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DATE: |
November 18, 2025 |
09 |
SUBJECT
Title
GENERAL SERVICES - APPROVAL OF LEASE AMENDMENT TO REDUCE LEASED PREMISES AT 3255 CAMINO DEL RIO SOUTH, APPROVAL IN PRINCIPLE OF NEW SPACE FOR BEHAVIORAL HEALTH SERVICES, AND CEQA EXEMPTION (DISTRICTS: ALL)
Body
OVERVIEW
The County of San Diego (County) Health and Human Services Agency Behavioral Health Services (BHS) offers comprehensive mental health and substance use disorder services to residents in San Diego County. BHS services include outpatient and support services which provide care for people living with ongoing mental health or substance use conditions, crisis services which provide immediate help for people experiencing mental health, drug, or alcohol-related crises, hospital-level care for people who need 24-hour intensive treatment, and residential and long-term services like residential treatment, community-based care, and skilled nursing facilities. BHS programs and the administrative staff needed to support these programs are housed in multiple facilities throughout the County to meet the needs of their clients.
BHS is currently conducting a comprehensive evaluation of the requirements of all their facilities in order to right-size operations. In response to that evaluation, staff have negotiated an amendment at 3255 Camino Del Rio South, San Diego, which houses BHS Administration. The amendment will reduce County’s leased space in the building and allow for early termination of the lease. This amendment is contingent upon the sale of the property to the Promises2Kids Foundation who will occupy the portion of the building BHS is vacating. In addition, several space evaluations have been conducted to replace leased sites that no longer meet BHS operational needs. Today’s request is for approval of the lease amendment and approval in principle to initiate site searches for replacement facilities.
RECOMMENDATION(S)
CHIEF ADMINISTRATIVE OFFICER
1. Find that the proposed lease amendment for 3255 Camino Del Rio South, San Diego, is exempt from the California Environmental Quality Act (CEQA) pursuant to State CEQA Guidelines section 15301.
2. Find that the proposed request for approval in principle is not approval of a project as defined by the CEQA pursuant to Section 15352 and 15378 (b)(5) of the State CEQA Guidelines.
3. Approve and authorize the Director, Department of General Services, or designee, to execute the proposed lease amendment for the premises located 3255 Camino Del Rio South, San Diego, with San Diego City Ventures LLC
4. Approve in principle the lease of space for the Health and Human Services Agency Behavioral Health Services.
5. Authorize the Director, Department of General Services, or designee, to conduct a search for suitable sites, negotiate leases, and return to the San Diego County Board of Supervisors for approval of the agreements, as required by law.
EQUITY IMPACT STATEMENT
It is anticipated that the proposed lease amendment and space requests for the Health and Human Services Agency will have a positive impact on the community by ensuring access for all through a fully optimized health and social service delivery system.
SUSTAINABILITY IMPACT STATEMENT
Implementing effective sustainability objectives is crucial to ensuring safe and healthy communities and contributing to the overall success of the region. The approval of the lease amendment and space requests is appropriate as it supports the County’s Strategic Initiative of Sustainability to ensure the capability to respond to immediate needs for individuals, families, and the region.
FISCAL IMPACT
3255 Camino Del Rio South
Funds for this request are included in the Fiscal Year (FY) 2025-26 Operational Plan for the Health and Human Services Agency (HHSA). If approved, this request will result in estimated costs and revenue of $194,626 in FY 2025-26 based on an amendment commencement date of January 1, 2026, and includes a 3% rent adjustment to go into effect March 2026. Fiscal Year 2026-27 costs are estimated at $397,111. Funds for the remaining contract term will be included in future years’ operational plans for HHSA. The funding source is Mental Health Realignment. There will be no change in General Fund cost and no additional staff years.
Approval In Principle
There is no fiscal impact associated with the requested approval in principle of leases for Behavioral Health Services. However, there will be future fiscal impacts, the lease costs resulting from these actions will be determined during lease negotiations and will be provided when staff return to the Board to request approval of new lease agreements. The funding sources for the leases will be Mental Health Realignment and will be included in future operational plans for the Health and Human Services Agency. There will be no change in net General Fund cost and no additional staff years.
BUSINESS IMPACT STATEMENT
N/A
Details
ADVISORY BOARD STATEMENT
N/A
BACKGROUND
3255 Camino Del Rio South
On October 23, 2001 (8), the San Diego County Board of Supervisors (Board) approved a lease for approximately 33,225 square feet of space at 3255 Camino Del Rio South, San Diego, for Behavioral Health Services (BHS) administration. The lease has been extended through a series of lease amendments and expires on February 28, 2029. BHS is currently conducting a comprehensive evaluation of the requirements of all their facilities in order to right-size operations. In response to that evaluation, BHS will be downsizing their operations at this site and exploring options to collocate BHS administration with other BHS programs.
Staff from the Department of General Services have negotiated a lease amendment to reduce the premises in the building from 33,225 rentable square feet to 9,357 rentable square feet. The monthly rent will reduce from $112,932 to $31,814 accordingly. The amendment also includes an option for County to terminate the lease for convenience with sixty days’ advance notice to the lessor. This amendment is contingent upon the sale of the property to the Promises2Kids Foundation who will occupy the portion of the building BHS is vacating. If escrow does not successfully close, the amendment will be void.
Approval In Principle
BHS Case Management and Administration: Currently Behavioral Health Services (BHS) case management staff are split between the North Central and East County clinics. BHS staff have determined it would be more efficient to combine case management staff from both clinics and co-locate them with BHS administration. The new facility should be centrally located and near major freeways to access BHS sites throughout the County. A space validation determined that approximately 38,000 square feet of office space is needed to support both case management and administration.
East County Clinic:
The Health and Human Services Agency East County Behavioral Health Center has been operating out of 10,600 square feet of leased space at 1000 Broadway in El Cajon since 1999. The East County Behavioral Health Center provides outpatient treatment, rehabilitation, and recovery services for people who need care for mental health or substance use conditions, co-occurring disorders, or a behavioral health crisis. This facility also houses County-Operated Strength-Based Case Management. BHS has determined it would be beneficial to relocate case management staff from the clinics and co-locate them with administrative staff. They are also interested in relocating the clinic to a site that is more aligned with clinic operational needs. A space validation determined that approximately 12,076 square feet of office space is needed to support East County Behavioral Health Center operations.
North Central Clinic: The Health and Human Services Agency’s (HHSA) North Central Behavioral Clinic and Case Management Office has been operating out of 16,000 square feet of leased space located at 1250 Morena Boulevard in San Diego since 1988. The clinic offers outpatient treatment, rehabilitation, and recovery services that include screening and assessment, medication management, crisis intervention, group and individual short-term therapy for people who are experiencing persistent, severe mental illness or a mental health crisis. BHS has determined it would be beneficial to relocate case management staff from the clinics and co-locate them with administrative staff. They are also interested in relocating the clinic to a site that is more aligned with clinic operational needs. A space validation determined that approximately 10,790 square feet of office space is needed to support North Central Behavioral Clinic operations.
ENVIRONMENTAL STATEMENT
3255 Camino Del Rio South
The proposed lease amendment is categorically exempt from environmental review pursuant to Section 15301 of the California Environmental Quality Act (CEQA) Guidelines because it involves amending an existing lease to reduce the amount of space used within an existing building, involving no expansion of the existing use. See Attachment A for Notice of Exemption.
Approval In Principle
The San Diego County Board of Supervisors’ (Board) approval in principle to lease office space for Behavioral Health Services is not a project under the CEQA. The Board’s action does not commit the County to a definite course of action with respect to any project. Once properties are identified for lease, staff will return to the Board with the appropriate environmental findings, as required by law.
LINKAGE TO THE COUNTY OF SAN DIEGO STRATEGIC PLAN
Today’s proposed action to approve the lease amendment and the space requests for the Health and Human Services Agency supports the Community Initiative in the County of San Diego’s 2025-2030 Strategic Plan by providing services that support safe communities.
Respectfully submitted,
ebony n. shelton
Chief Administrative Officer
ATTACHMENT(S)
Attachment A: Notice of Exemption for 3255 Camino Del Rio South Lease Amendment