San Bernardino County officials will hold a public workshop to review the way it rents office space. The county is facing questions about two recent multimillion-dollar lease agreements made without competitive bidding.
"We have to have some consistency so everyone goes through the same process. But we also have to give departments some latitude to make decisions," said Board of Supervisors Chairman Jerry Eaves. "Right now we're giving people a little too much latitude."
Eaves announced Tuesday the board would hold a workshop sometime during the next two months to review how it leases buildings.
One of the two deals was approved by the board Tuesday. The county agreed to transfer the District Attorney's Child Support Division and some criminal operations from three buildings on Hospitality Lane in San Bernardino to a single 94,121-square-foot office building on Mountain View Avenue in Loma Linda.
The agreement, in which the county will pay up to $13 million in rent for eight years, was proposed to the board even though other property owners were not given the chance to offer their space for less.
Before voting unanimously to lease the building, supervisors questioned whether the district attorney couldn't have settled for less fancy digs.
"Mr. Stout wants to project a professional image," said Theresa Bushey, chief of the District Attorney's Bureau of Administration, referring to District Attorney Dennis Stout.
Another agreement, approved in January, guarantees a partnership headed by the county's former top administrator $26 million during the next 15 years for a shuttered Kmart in Rialto, which the county will use to house a mental health clinic.
In that agreement, former County Administrative Officer Harry Mays used his relationships with county officials to determine whether they would use the Kmart before he decided to buy it. The county did not seek other offers.
The county leases about 230 pieces of property to house everything from mental health clinics and libraries to welfare offices and sheriff's substations at an annual cost of more than $18 million, according to county records.
The county's Real Estate Services Department, which negotiates lease agreements, is not required to seek competitive bids.
County property manager John Yuhas said in many cases competitive bids are not necessary because only one piece of property suits the county's needs. He said his office is familiar with the market and often narrows the search down to a single property.
"I'm delighted there's going to be a workshop," said Supervisor Dennis Hansberger, who raised questions about the Kmart deal. "We haven't had a proper process up to this point."
Published 9/23/1998