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Approve Supplemental Site Lease Agreement and Site License Amendment with International Bus Lines, Inc. December 5, 2017 Page 2 DISCUSSION The Santa Ana Regional Transportation Center (SARTC) is a regional transportation hub that brings together Amtrak, Metrolink, Orange County Transit Authority, and interstate bus services. It is open to the public seven days a week from 5:00 a.m. to midnight. The facility contains approximately 35,000 square feet of total rental space. On October 3, 2017, the City Council approved a site license and site lease agreements with International Bus Lines, Inc., (IBL) for the use of a bus bay and interior office space, respectively. Compensation to the City for those agreements would be delayed until IBL completed tenant improvements to construct approximately 580 square feet of new ticket counter office space. The agreements set construction completion for no later than March 2018, at which time business operations would commence. IBL approached City staff and requested permission to operate during their peak season of the year, which is comprised of the Christmas and New Year holidays. This is much sooner than when the requisite tenant improvements could be completed. Therefore, the supplemental site lease agreement (Exhibit 1) provides IBL with temporary use of a stand-alone, kiosk space in the SARTC lobby that was to be demolished in the future (Exhibit 2). The City has negotiated with IBL to carry out the removal of the kiosk at the end of the supplemental term. IBL will be providing a $5,000 refundable deposit to guarantee that the demolition and restoration work in the SARTC lobby area is satisfactory to the City. The amendment to the site license agreement (Exhibit 3) allows for immediate compensation of $3,000 per month for access to Bus Bay No. 4 for IBL transit services operations, upon confirmation that all of the operating requirements set forth in the license agreement have been met. STRATEGIC PLAN ALIGNMENT Approval of this item supports the City's efforts to meet Goal #3 - Economic Development, Objective #2 (create new opportunities for business/job growth and encourage private development through new General Plan and Zoning Ordinance policies), Strategy C (support business development and job growth along transit corridors through the completion of critical transit plans/projects including: The Fixed Guideway Project, Santa Ana Regional Transportation Center Master Plan, Complete Streets and General Plan Circulation Element update). 20A-2