CITY OF EL PASO, TEXAS
AGENDA ITEM SUMMARY FORM
Details
District 3
Airport, Sam Rodriguez, (915) 212-7301
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public hearing date: Click or tap to enter a date.
strategic goal:
Goal
Goal 1 - Create an Environment Conducive to Strong Sustainable Economic Development
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subgoal: Choose an item.
SUBJECT:
APPROVE a Resolution / Ordinance / lease to do what? OR AUTHORIZE the City Manager to do what? Be descriptive of what we want Council to approve. Include $ amount if applicable.
Title
This item is a Resolution to authorize the City Manager to sign an Office Space Rental Agreement between the City of El Paso and G2 Secure Staff, LLC, for approximately three hundred and twenty-eight (328) square feet of office and related shared space in the Airport Terminal Building, for a one-year term with automatic renewal for two (2) additional terms of one (1) year each.
The rental fee for the first year of this lease is $17,446.32. That is a decrease of $1,131.60 from the current rental fee due to the decrease in the terminal rental rate for FY 2021 as per the City’s Budget Resolution approved in August 2020.
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Background / DISCUSSION:
Discussion of the what, why, where, when, and how to enable Council to have reasonably complete description of he contemplated action. This should include attachment of bid tabulation, or ordinance or resolution if appropriate. What are the benefits to the City of this action? What are the citizen concerns?
The Department of Aviation is requesting approval of this item to allow G2 Secure Staff, LLC to continue leasing space in the Airport Terminal Building. G2 entered into an Office Space Rental Agreement on January 22, 2019, and failed to provide timely notification to the City of its intent to exercise the first option available under that agreement. As such, the agreement terminated on January 21, 2020, and the lease has been in Holdover since January 22, 2020. This item simultaneously terminates the 2019 agreement and provides a new lease for said space effective on December 1, 2020.
G2 Secure Staff was contracted by Alaska Airlines to provide ground handling services since it began its operations at the El Paso International Airport (EPIA) in February 2019. The G2 workforce includes a general manager, a supervisor and about 30 part-time and full-time workers.
Term: Initial term of 1 year plus two one-year options to extend
Initial Year Rental Rates (adjusted annually):
|
Space |
SF |
Rental Rate (per SF per annum) |
Annual Rental Fee |
Monthly Rental Fee |
|
Office 1 (break room) |
187 |
$49.90 |
$9,331.30 |
$777.61 |
|
Office 2 (manager) |
141 |
$49.90 |
$7,035.90 |
$586.33 |
|
Electrical/Telecom Surcharge |
328 |
$3.29 |
$1,079.12 |
$89.93 |
|
TOTAL |
|
|
$17,446.32 |
$1,453.86 |
PRIOR COUNCIL ACTION:
Has the Council previously considered this item or a closely related one?
1/22/2019 - Approval of Office Space Rental Agreement
AMOUNT AND SOURCE OF FUNDING:
How will this item be funded? Has the item been budgeted? If so, identify funding source by amount numbers and description of account. Does it require a budget transfer?
N/A: This is a revenue-generating item
********************REQUIRED AUTHORIZATION********************
If Agenda Item Summary Form is initiated by Purchasing, client department should sign also