Agenda Item AGENDA STAFF REPORT ASR Control 25-000666
MEETING DATE:	03/24/26
legal entity taking action:	Board of Supervisors
board of supervisors district(s):	2
SUBMITTING Agency/Department:	County Executive Office (Approved)
Department contact person(s):	Thomas A. Miller (714) 834-6019
	KC Roestenberg (714) 567-5075

Subject: First Amendment to OCIT License at 600 W. Santa Ana Blvd, Santa Ana

ceo CONCUR

County Counsel Review

Clerk of the Board

Concur

Approved Agreement to Form

Consent Calendar

3 Votes Board Majority

Budgeted: N/A

Current Year Cost: N/A

Annual Cost: N/A

Staffing Impact:

# of Positions:

Sole Source: N/A

Current Fiscal Year Revenue: N/A

Funding Source: Fund 289: 100%	County Audit in last 3 years: No
Levine Act Review Completed: Yes

Prior Board Action: N/A

RECOMMENDED ACTION(S):

Find the project is categorically exempt from the California Environmental Quality Act (CEQA), Class 1 (Existing Facilities) pursuant to CEQA Guidelines, Section 15301.

Approve and execute the first amendment to license agreement with Civic Center, LLC., a California limited liability company, for electrical room equipment located at 600 W. Santa Ana Boulevard in Santa Ana for data use by various County agencies, and as managed by OCIT for an additional 10-year term.

Authorize the Chief Real Estate Officer or designee to exercise option terms and execute subsequent documents and amendments that make non-monetary and/or monetary changes that do not increase County costs or liability by more than $75,000 per year, as approved by County Counsel.

SUMMARY:

Approval of this first amendment to license agreement with Civic Center, LLC will extend the license term for 10 years for continued use of an electrical room, supporting the information technology needs of various County agencies, as managed by Orange County Information Technology.

BACKGROUND INFORMATION:

Since 2007, County has historically leased various office spaces within the building located at 600 W. Santa Ana Blvd., Santa Ana, California (Building) from the Civic Center, LLC., a California limited liability company (Current Licensor), for use by multiple agencies including Risk Management, Health Care Agency, Public Defender, District Attorney and OC Waste & Recycling.

Pursuant to a rent-free license agreement dated March 28, 2016 (License), County upgraded its phone and data equipment, serving multiple leased office spaces under various leases, to a new system requiring installation of certain County data equipment in the Building’s main telephone/electrical room in the basement of the Building (Electrical Room). The County’s data equipment subsequently required the installation of air conditioning to sufficiently cool the Electrical Room and prevent damage to County’s equipment. Under the License, County reimburses Current Licensor for County electrical usage from the data equipment and air conditioning on a monthly basis.

The County continues to need the License for the Electrical Room. CEO Real Estate has negotiated a 10-year rent-free extension of the License term and updated relevant clauses to County standards including insurance, County requested alterations clause and notice address. County will continue to occupy the Electrical Room at no cost and reimburse Lessor for monthly utility usage. County maintains its right to terminate this License at any time with a 30-day notice.

FINANCIAL IMPACT:

Appropriations for this first amendment to license has been included in the FY 2025-26 Budget for Fund 289, Orange County Information Technology (OCIT) Countywide Services Fund and will be included in the budgeting process for future years. Historically, OCIT's average annual utility costs are approximately between $750 to $1,000 per year for electricity. The actual monthly electricity costs fluctuate depending on usage and rates.

STAFFING IMPACT:

N/A

ATTACHMENT(S):

Attachment A –First Amendment to License
Attachment B – Acquisition Questionnaire
Attachment C – License Summary