Citizen Portal
Sign In

Committee moves short-term DPH training sublease forward amid questions about term and future uses

Government Audit and Oversight Committee, San Francisco Board of Supervisors · July 18, 2018

Loading...

AI-Generated Content: All content on this page was generated by AI to highlight key points from the meeting. For complete details and context, we recommend watching the full video. so we can fix them.

Summary

The committee moved a 3.5-year sublease of nearly 20,000 sq ft at 1735 Mission for Department of Public Health EHR training to the full Board without recommendation, asking staff to evaluate post-training uses and possible PDR zoning flexibility.

The Government Audit & Oversight Committee on July 18 moved to the full Board a resolution authorizing a 3.5-year sublease of approximately 19,975 square feet at 1735 Mission Street for the Department of Public Health (DPH) to conduct intensive training related to a new electronic health record (EHR) system.

Real estate staff described the sublease with HealthRight 360 as a short-term solution that will allow DPH to conduct a six-month intensive training period ahead of an initial go-live date on August 3, 2019, and to host ongoing training waves afterward. The sublease carries a monthly base rent of $52,135 and includes tenant improvement reimbursement and other charges. "We will be ramping up the program for training of our EHR project," Greg Wagner, DPH chief financial officer, said, stressing the scale of the effort and projecting ongoing training needs as new staff and clinicians come on board.

BLA analysis showed total proposed sublease costs of about $3.8 million over the term and recommended that the Board request the director of real estate to further evaluate options to use the space efficiently once the space is no longer needed for EHR training. Committee members pressed staff on the length of the lease and what uses would be legally allowed in PDR zoning; staff said much of the space will be training rooms and limited IT operating space and that the negotiated rent is below typical market rates for comparable short-term options.

Chair Jane Kim said she was initially reluctant to support a 3.5-year lease but moved the item forward without recommendation to the Board, asking staff to continue discussions with DPH, Real Estate and Planning to expand allowable uses where appropriate and to ensure efficient long-term utilization of the space.