HomeMy WebLinkAboutADMIN 67-86 TOWN OF NEWCASTLE
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MEETING: GENERAL PURPOSE AND ADMINISTRATION COMMITTEE
DATE: OCTOBER 6 , 1986.
REPORT #: ADMIN 67-86 FILE #:
SMECT: LEASE AGREEMENT WITH THE MINISTRY OF GOVERNMENT SERVICES FOR RENTAL
OF HOLDING CELLS , POLICE AND FIRE BUILDING.
RECOMMENDATIONS:
It is respectfully recommended that the General Purpose and Administration
Committee recommends to Council the following:
1 . That report ADMIN. 67-85 be received; and
2. That the rental of the Holding Cells to the Ministry of Government
Services at an annual rate of $2,010.00 from July lst, 1986 be approved;
and
3. Thay a by-law authorizing the Mayor and Clerk to execute a rental
agreement with Her Majesty the Queen as represented by the Minister
of Government Services for the Province of Ontario, with respect to
the Holding Cells in the premises located at 132 Church Street,
Bowmanville, be recommended to Council for passage.
BACKGROUND AND COMMENT:
The matter of the rental agreement was presented to Committee for
consideration at the meeting of September 2nd, 1986 (Report Admin 62-86) .
By resolution, the report was referred back to staff for more information
"re: charge per square foot, recovery of damages, liability, parking spaces ,
revenue received in past years, and the present revenue being received."
ADMIN 67 - 86 -2-
Regional Police vacated the first floor of the building as of June 30th , 1986.
The Ministry of Government Services entered into negotiations with respect to
the leasing of the cells at an annual rate of $2,010.00.
As part of their proposal , the Ministry indicated that the lease for the
cells area (335 square feet) would be separate from the lease for the second
floor area.until that lease comes up for renewal December 31st, 1987. At
that time the Ministry proposed that the two leases (Cells and Courtrooms) be
combined into a single lease.
The resolution of Committee requesting additional information on several
matters relating to the leasing arrangments were reviewed:
1 . DURHAM REGIONAL POLICE LEASE
2700 square feet, rental $29,600.00 annually, $
2,466.67 per month
@ $10.68 per square foot.
2. MINISTRY OF GOVERNMENT SERVICES (second floor)
5,242 square feet, rental $31 ,452.00 annually, $2,621 .00 per month
@ $6.00 per square foot.
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N.B, (original lease attached to by-law 78-28)
3. MINISTRY OF GOVERNMENT SERVICES (Cells)
335 square feet, rental $2,010.00 annually, $167.50 per month ,
@ $6.00 per square foot.
4. PARKING SPACE REQUIREMENTS
The lease for the second floor contains a condition that the Courts be
provided with nine (9) parking spaces. This requirement was reflected in
the conditions of the lease for the cells. It is a duplication and has
been deleted.
5. LIABILITY AND RECOVERY OF DAMAGES
The Ministry of Government Services assumes full responsibility for liability
and damages to the premises during their tenancy, save what is deemed to
be "normal wear and tear." To allay any concerns, they have agreed to
the inclusion of an additional condition in the lease agreement to cover
the issue; Condition (m) "That the Ministry of Government Services will
be liable for any damages to the cells other than normal wear and tear
during the term of the tenancy".
ADMIN 67 - 86 -3-
6. FAST AND PRESENT REVENUES
Combined rents from Government Services and the Region totalled
$61 ,052.00 per year.
Present revenues from Government Services will total $33,462.00
per year.
The- Ministry of Government Services is offering the same rate per square
foot for the cells as they are currently paying for the second floor
facilities. The rate is reasonable and it is recommended that the lease
for the cells be approved and the necessary by-law forwarded to Council
for passing.
Respectfully submitted.
F
David W. Oakes , Clerk-Administrator.
DWO/sm.
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