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RESOLUTION NO 10-021 CITY OF NEW BRIGHTON COUNTY OF RAMSEY STATE OF MINNESOTA A RESOLUTION TO ADOPT THE LEASE AGREEMENT WITH RAMSEY COUNTY WIC PROGRAM IN THE FAMILY SERVICE CENTER AND RAK CONSTRUCTION INC. FOR EXPANSION. WHEREAS, the City of New Brighton entered into a lease agreement effective January 1, 1995 through December 31, 1999 to lease approximately 378 square feet (Room 202) of the Family Service Center with the option to renew for another three year team (total of 6 years). WIC has operated out of the building in the same space since that date, and WHERAS, the Ramsey County WIC program has paid for phone/fax usage since January 2006. Prior to that through the original lease agreement WIC was not required to pay rent. Through the new lease agreement, WIC will be leasing the space for $13.50 per square foot at 635.5 square feet totaling $8,579.25 for the first year with a 2% escalating fee every year after. The lease agreement is a 15 year term, May 1, 2010 through April 30, 2025, and WHEREAS, quarterly, WIC will pay for data line(s) at a monthly access rate of $15 per line and will also pay 0.95% of all associated with common area maintenance (utility costs, cleaning costs, garbage/refuse pick-up and inspection fees), and WHEREAS, New Brighton will pay the cost of the expansion for WIC, which is not to exceed $20,079. The Lease Agreement states that Ramsey County will pay back the expansion cost within the first 6 months of the lease including 2.5% interest, and WHEREAS, quotes for the construction and expansion of the WIC lease space were received from two contractors RAK Construction Inc. and Kraus -Anderson Construction. WHEREAS, staff recommends awarding the contract to RAK Construction Inc. for the following reasons: 1. The RAK quote contained all necessary aspects of the quote requested. 2. RAK's staff was extremely knowledgeable and easy to work with. 3. RAK has extremely good references and has worked with Ramsey County on many projects. 4. Ramsey County has requested RAK construction as the contractor, and WHERAS, Ramsey County WIC program has been an upstanding tenant for the Family Service Center for the last 15 years. Per HIPAA laws and the Minnesota Department of Health, the Ramsey County WIC program must change locations or expand their current location. Ramsey County WIC has definitely expressed interest in staying at the Family Service Center. New Brighton and Ramsey County has researched several different options for the WIC program to stay in the FSC. The option that works for both parties is expanding WIC's current space, and