PLACEMENT: Departmental
TITLE:
title
ADOPT A RESOLUTION APPROVING AN OPTION TO LEASE AND LEASE AGREEMENT WITH MARTIN COUNTY HEALTHY START COALITION, INC., A FLORIDA NOT-FOR-PROFIT CORPORATION, FOR USE OF COUNTY OWNED PROPERTY ON SE TOWER DRIVE IN STUART
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EXECUTIVE SUMMARY:
executive summary
This is a request for adoption of a resolution approving an Option to Lease (Option) and Public Purpose Lease Agreement (Lease) between Martin County and Martin County Healthy Start Coalition, Inc. (MCHSC) for the construction and operation of a public community-based maternity center, located along SE Tower Drive between SE Salerno Road and SE Willoughby Boulevard.
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DEPARTMENT: Public Works
PREPARED BY: Name: Carla T. Segura, FRP
Title: Real Property Manager
REQUESTED BY: Samantha Suffich, Chief Executive Officer-MCHSC
PRESET: 9:30 AM
PROCEDURES: None
BACKGROUND/RELATED STRATEGIC GOAL:
1. Option to Lease and Public Purpose Lease Agreement Drafted By:
Martin County
2. Parties to the Option and Lease:
Martin County - Lessor
Martin County Healthy Start Coalition, Inc. - Lessee
3. Purpose of the Option and Lease:
Provide MCHSC with property on which to build a new community-based maternity center
4. New/Renewal/Modified:
New
5. Duration:
Option - exercise of Option on or before September 30, 2028 (30 months)
Lease - 25 years with an option to renew for an additional term approved by the Board.
6. Benefits to County:
Public facility for maternity care that will support a community-based maternity center in Martin County.
7. Cost to Martin County:
None
At its February 25, 2025, meeting, the Board of County Commissioners (Board) authorized staff to proceed with preparing the Option and Lease with MCHSC. At that meeting, Samantha Suffich, Executive Director of MCHSC, addressed the Board and outlined the objectives and priorities for establishing a maternity center in Martin County to benefit the public following the discontinuation of such services by Cleveland Clinic.
The proposed Option and Lease provide an opportunity for MCHSC to develop a public facility that will offer support and education to pregnant women and infants in Martin County with the goal of promoting a healthy start in life and strengthening local partnerships to deliver high-quality prenatal care.
MCHSC applied to the County for a lease of county-owned property adjacent to the former EOC Facility on SE Tower Drive in Stuart for the development and operation of the maternity center.
Staff has worked with MCHSC to develop the Option, which has been executed by MCHSC. The Option requires timely satisfaction and submittal of the following conditions on or before December 31, 2027:
• Preliminary Engineering design plans for construction;
• Development schedule setting forth development milestones and completion dates;
• Cost estimates, prepared by a Florid a licensed engineer or general contractor;
• List of contractors, subcontractors, vendors, and suppliers;
• Phase I Environmental Site Assessment;
• Plan of operation;
• Evidence of compliance with applicable governmental regulations, including but not limited to Growth Management and Zoning; and
The Option will automatically terminate on August 26, 2028, unless exercised prior to that date.
By August 26, 2028, MCHSC shall submit to the Real Property Manager written certification by both its Treasurer and Accountant (and lender, if applicable) demonstrating assets equal to at least the full amount of the certified development costs for the first three (3) years.
Upon receipt and approval of all required documents, MCHSC may exercise the Option by providing written notice to the Real Property Manager prior to expiration. The Lease shall commence upon exercise of the Option.
Staff recommends a Lease term of 25 years, with four (4) ten (10) year renewal options, or such other term as approved by the Board.
The Lease will require annual rent of $1.00, in consideration of the public benefit and improvements to the property.
The County is authorized pursuant to Section 125.38, Florida Statutes, to lease real property owned by the County to not-for-profit organizations established for the purposes of promoting community interest
and welfare. This portion of the subject property is not currently needed for County purposes.
ISSUES:
None
LEGAL SUFFICIENCY REVIEW:
This item has been reviewed for legal sufficiency to determine whether it is consistent with applicable law, and staff have identified and addressed legal risks and developed strategies for legal defensibility, as applicable.
RECOMMENDED ACTION:
RECOMMENDATION
Move that the Board:
1. Approve the Option to Lease between Martin County and Martin County Healthy Start Coalition, Inc., a Florida not-for-profit corporation;
2. Direct staff to include in the Lease a term and renewal period acceptable to the Board;
3. Adopt a Resolution approving the Public Purpose Lease Agreement upon satisfaction of all requirements set forth in the Option to Lease with final approval by the County Attorney’s office; and
4. Authorize the Chair to execute any documents necessary to complete this transaction.
ALTERNATIVE RECOMMENDATIONS
Provide staff with alternative recommendation.
FISCAL IMPACT:
RECOMMENDATION
None
ALTERNATIVE RECOMMENDATIONS
None
DOCUMENT(S) REQUIRING ACTION:
☐Budget Transfer / Amendment ☐ Chair Letter ☒Contract / Agreement
☐Grant / Application ☐Notice ☐Ordinance ☒Resolution
☐Other: