TITLE
Consider a memorandum/resolution amending the lease for space at the Killeen Arts and Activities Center with Richard Milburn Academy.
SUMMARY
AGENDA ITEM
Amending the lease for space at the Killeen Arts and Activities Center with Richard Milburn Academy
ORIGINATING DEPARTMENT
Community Development
BACKGROUND INFORMATION
On April 26, 2011, the city council authorized the city manager to enter into a lease agreement with the Richard Milburn Academy, a charter school. The lease is for sixty (60) months with the option to extend for two (2) additional terms of sixty (60) months. The base rent is $7,978.78 per month, with an additional monthly fee of $732.00 per month for the city to provide janitorial services.
DISCUSSION/CONCLUSION
Richard Milburn administration has approached city staff to terminate janitorial services to the leased area as of November 1, 2015. Although this change will decrease revenue to the city, the janitorial staff has been overwhelmed by the janitorial demands of the school space for which it has been providing services. In addition, the cost of supplies far outweighs the monthly fee charged for providing the janitorial service. Eliminating the Richard Milburn Academy area will allow city staff to provide enhanced service to the civic spaces and other city office areas now located at KAAC.
FISCAL IMPACT
Revenues into account 010-0000-363.99-08 will reduce by $732.00 per month.
RECOMMENDATION
Staff recommends that the city council approve an amendment to the 2011 lease agreement with the Richard Milburn Academy to discontinue janitorial services effective November 1, 2015.