That the City Council approve the renewal of the lease agreement between the City of La Habra and the La Habra Host Lions Club for the City-owned buildings at 320 Erna Street.

The La Habra Host Lions Club (Lions) is a local non-profit service organization that routinely supports and collaborates with the City to provide community events, programs, and projects. In 2019, the City entered into a lease agreement with the La Habra Host Lions Club to continue leasing the City-owned buildings at El Centro Lions Park located at 320 Erna Avenue (Park). This agreement has allowed the Lions to utilize portions of the Park and some of its buildings for club Board meetings and events, as well as to store Lions equipment that is used in support of the La Habra community.

The initial lease term was five years, expiring November 4, 2024, and included an option to renew the original lease for an additional five-year term commencing on November 5, 2024 (see original agreement, Attachment 1). The Lions have expressed, in writing, a desire to exercise the renewal term (see Lions letter, Attachment 2), keeping the same terms of the original lease for the duration of the five-year renewal term. According to the terms of the initial lease, the City Council may approve the five-year lease term extension with a four-fifths vote; but, should the City Council deny the renewal request, it could direct staff to draft and negotiate a new lease that would then only require a majority vote of the City Council for approval.

Under the terms of the current lease, a sum of $1.00 is due annually from the Lions to the City as rent for use of the subject facilities. The City remains responsible for park maintenance, including upkeep of the basketball courts, landscaping, lighting, and lawn areas at the Park, as well as for water, trash, and electricity costs associated with the Park. The Lions are required to keep all buildings in adequate condition, and are responsible for any repairs and/or general maintenance associated with the regular use of the facilities, as well as any electricity and natural gas costs for the subject buildings and during the annual Corn Festival event. The Lions are not permitted to utilize the buildings for any other purpose than for the benefit of the La Habra community without written approval by the Community Services Director or his/her designee. As outlined in the agreement, the Lions are also required to obtain and submit to the City proof of insurance that meets the City's requirements for all lessees of City-owned properties and/or facilities.

If approved by City Council, this proposed lease extension would provide the City with $1.00 of rent per year for the next five years; however, it should be noted that the Lions routinely support City, local schools, and other community events, programs, and services, as well as fundraise in support of specific City programs and services, such as the La Habra Children's Museum and the City's senior programs.

Goal 6.E  Build and maintain partnerships and collaborations with other government agencies, the business community, local non-profit organizations
Goal 7.C  Provide and maintain quality public services for our residents