Consider and take appropriate action on a license agreement with Integral Care, a Texas non-profit corporation, to use space at the County-owned building located on the 14^th floor at 700 Lavaca Street, Austin, Texas 78701. (Judge Brown)

Staff Report & Agenda Item Details

The Facilities Management Department (FMD) has been working with the County attorney's office to draft the attached license agreement between Travis County and Integral Care. The Facilities Management Department has performed the programming and the planning of space to determine that Integral Care would be occupying 19,671 square feet on the 14^thfloor at 700 Lavaca Street, Administration Building. The organization will also have access to 60 parking spaces in the Lavaca Parking Garage.<br><br>This request is sponsored by the Diversion Center/Central Intake Project Commissioners Court Subcommittee, based on the work and partnership of Integral Care, and the entity has gone through the process set forth in County code, Chapter 44, to request discounted space. Integral Care meets eligibility criteria for a discount, as they are a nonprofit tax-exempt entity with an organizational mission related to county services. A memo from the organization requesting discounted rent is attached.<br><br>The current average market rate for Class B downtown office spaces is approximately $50 per square foot (PSF). The Facilities Management Department has worked with Integral Care to negotiate a fee waiver for the first year, and a rate of $19.93 PSF starting with the second year, with an additional charge of $150 per parking space in the Lavaca Garage. <br><br>The license agreement will start on May 1, 2026, and will expire on April 30, 2028. However, the Licensee has three (3) one-year extensions. If the extensions are exercised, then the license agreement will expire on April 30, 2031. The language of the agreement provides that both the County and Integral Care may terminate the License Agreement if needed, with notice.