Sponsor: Property Management and Public Health
Title
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Second Amendment to Lease with Hmong American Partnership
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Recommendation
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1. Approve the Second Amendment to the Lease with Hmong American Partnership, 1075 Arcade Street, Saint Paul, MN 55106, for space at the same location for the period from March 1, 2022 through February 28, 2027 in accordance with the rates in the lease agreement.
2. Authorize the Chair and Chief Clerk to execute the lease amendment.
3. Authorize the County Manager to execute the five-year renewal option in accordance with the general terms and conditions of the amended lease.
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Background and Rationale
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For nearly 40 years Public Health has provided a Women, Infants and Children (WIC) clinic on Saint Paul’s East Side, and for the last 14 years the clinic has been located within the Hmong American Partnership (HAP) building at 1075 Arcade Street. This location services approximately 5,150 WIC participants per month, making it the second largest WIC clinic in Minnesota. This location is ideal because many eligible families reside on the East Side, it is on a bus line, and has ample free parking. WIC families also access other social services offered by the HAP at this location. Remaining at this location is a key strategic component to the service delivery model.
The current five-year lease term expires February 28, 2022. Property Management has negotiated a five-year term extension, as specified in the amendment. The county may cancel this lease without cause by providing 180 days advance written notice. An additional five (5) year renewal option was also negotiated and is part of the amendment.
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County Goals (Check those advanced by Action)
☒ Well-being ☐ Prosperity ☐ Opportunity ☒ Accountability
Racial Equity Impact
The WIC Clinic at HAP serves a clientele that is 85% non-white and 14% Hispanic. Services are provided in English, Hmong, Karen and Spanish. Ramsey County has the highest poverty rate for people of color in the metro area, so maintaining a WIC clinic on the East Side of Saint Paul is critical to addressing the county’s poverty and disparities across race.
Community Participation Level and Impact
There is no community engagement for this lease amendment.
☒ Inform ☐ Consult ☐ Involve ☐ Collaborate ☐ Empower
Fiscal Impact
The terms of the amendment include: 3,000 square feet, a five-year term, base rent of $4,500 per month, and a $.25 per sq. ft. annual increase beginning in the second year of the five-year term. Total rent for the five-year term is $277,500. This is a gross rent lease inclusive of any and all operating expenses, real estate taxes, assessments, and other similar charges or any type. The costs associated with this lease amendment are included in the proposed 2022-23 operating budget for WIC.
County Manager Comments
No additional comments.
Last Previous Action
On February 14, 2012, the Ramsey County Board approved a five-year lease agreement with Hmong American Partnership for the period of March 1, 2012 through February 28, 2017 in the amount of $255,000, with the option to renew the lease for one additional five-year term (Resolution 2012-058).
Attachments
1. Second Amendment to Lease with Hmong American Partnership