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6.1.D. - Page 1 <br /> RE PO RT <br /> To the Honorable Mayor and City Council <br /> From the Cit Mana er <br /> October 8, 2012 <br /> SUBJECT <br /> Amendment #6 to the Revocable Permit between the City of Redwood City and <br /> the Children's Creative Learning Center, Inc. (CCLC) <br /> RECOMMENDATION <br /> Approve by motion Amendment #6 to the Revocable Permit dated August 17, 1998 for <br /> child care services at the Sandpiper Community Center, and authorize the City Manager <br /> to execute same. <br /> BACKGROUND <br /> Since 1998, the Parks, Recreation and Community Services Department has held a <br /> revocable permit with the Children's Creative Learning Center, Inc. (CCLC) for childcare <br /> services at the Sandpiper Community Center. CCLC currently accommodates a <br /> program for up to 60 children from the Redwood Shores area. As part of the <br /> agreement, CCLC has paid a monthly fee in the amount of $4,466.98 to the City to <br /> cover costs of custodial, maintenance, utilities, etc. for space at the center, totaling <br /> $53,603.76 this past year. <br /> ANALYSIS <br /> The revocable permit allows for a 5% maximum rent increase each year. Staff has <br /> negotiated the terms and conditions with the Executive Director of the CCLC, and they <br /> have accepted the proposed increase. CCLC indicated that the rent increase is <br /> consistent with the market rate and is in line with other entities which they do business <br /> with. The proposed rate increase would take effect immediately upon approval by the <br /> City Council. <br /> ALTERNATIVES <br /> Do not approve the Amendment and keep the monthly rental rate at the same level. <br /> FISCAL IMPACT <br /> The 5% increase will bring in an additional $2,680.20 per year ($223.35 per month) to <br /> the City. <br /> ENVIRONMENTAL REVIEW <br /> N/A <br />