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Approve the First Amendments to the Operation and Management Agreements with the 6 veterans associations for the 6 veterans memorial buildings in Solano County; and Authorize the County Administrator or designee to execute the agreements and any subsequent amendments
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Published Notice Required? Yes ____ No _X _
Public Hearing Required? Yes ____ No _X _
DEPARTMENTAL RECOMMENDATION:
The Department of General Services recommends that the Board of Supervisors:
1. Approve the First Amendments to the Operation and Management Agreements with the 6 veterans associations for the 6 veterans memorial buildings in Solano County; and
2. Authorize the County Administrator or designee to execute the agreement and any subsequent amendments.
SUMMARY:
The Department of General Services is recommending the Board approve the First Amendments to the Operation and Management (O&M) Agreements with the 6 veterans associations for the 6 veterans memorial buildings in Solano County. The O&M Agreements commenced in 2016 and expire in 2021. The First Amendments modify building maintenance responsibilities of the veterans associations and the County.
FINANCIAL IMPACT:
Using the agreed upon costs for the maintenance responsibilities, the cost to the General Fund is estimated to be $50,000 annually and will impact the Department of General Services - Facilities Operations Budget Unit 1652. First year costs will be greater due to deferred one-time costs. This estimate will be reviewed and revised after operating under the new amendments for one full year.
The costs associated with preparing the agenda item are nominal and absorbed by the department’s FY2018/19 Adopted Budget.
DISCUSSION:
The County owns 6 veterans memorial buildings and has O&M agreements with veterans associations for each building as illustrated in Attachment A. The O&M agreements (Attachment B) are all virtually identical, and grant the veterans associations exclusive use of the buildings in exchange for a certain level of responsibility towards repair and maintenance of the buildings. Whereas the current O&M agreements require the veterans associations to be responsible for repairs and maintenance for individual items that are less than $1,000, and the County to be responsible for items equal to or over $1,000, the First Amendments (Attachment C), which are also virtually identical, require the veterans and the County to each be responsible for certain items, regardless of cost, as outlined in the responsibility matrix (Attachment D).
The responsibility modifications attain two primary goals: 1) returns the control of asset maintenance and preservation to the County, as the veterans memorial buildings are valuable community assets; and 2) eases the physical and financial burdens for the veterans association members. Staff will provide an update to the Board regarding costs after operating under the new amendments for one full year.
ALTERNATIVES:
The Board may choose to not approve the amendments or the Board may choose to make modifications to the amendments, which will require approval by the 6 veterans associations. Neither alternative is recommended as the amendments result in positive changes for both the County and the veterans associations.
OTHER AGENCY INVOLVEMENT:
County Counsel has reviewed and approved the First Amendments as to form.
CAO RECOMMENDATION:
APPROVE DEPARTMENTAL RECOMMENDATION