Speaker 0: Alan Teague.
Speaker 5: Mayor. City Council members. I'm Alan Teague. You're probably going to see me a lot tonight. I've read through the agreement and I also read through the feed study, which is the basis for this agreement. The 1.1. If you look at the three years where the budgets, it's 1.1, 1.0, 1.4. But in the fee study on page 18, it says there'll be a significant reduction in hourly billable hours next year, 4000 hours less, which is about $250,000. The budget doesn't reflect that. So my question is how will this savings be granted to the city of Alameda with this agreement? So it doesn't look like there's a way to get that money back. So please figure out a way to fix it so that when they do less hours, we don't have to pay for it. And when that 1.11.2 budget, we don't have to pay.
Speaker 0: Thank you, city manager. We would like to respond to that.
Speaker 4: So how the agreement works now and it's similar to the phase agreement is it's on a reimbursement basis and then the fee schedule is calculated from the previous year. So you will if there's we have savings of 250,000, it will be reflected in the new fee schedule the following year.
Speaker 0: All right. Thank you. And this I just want to clarify this is this money would be paid for out of the general fund if currently how? How will this money be paid?
Speaker 4: It is currently paid out of the general fund by council direction. And what is on the agenda later on tonight is to have the fee study be charged to buy a unit for each of the units.
Speaker 0: And if that fails, then it would be paid for by as well. We're committing to this not knowing if that's going to pass, right?
Speaker 4: That's correct.
Speaker 0: Of what we.
Speaker 4: Have committed to do, the rent stabilization ordinance and the implementation of it, regardless of the funding and the council direction will be we'll hear later on tonight.
Speaker 0: Thank you.
Speaker 6: Ever matter of approval of this? We have to do this.
Speaker 0: All those in favor. I motion carries unanimously. Thank you. So now we're on our regular agenda items. Okay.
Speaker 1: 6 a.m. introduction of ordinance, approving a lease and authorizing the city manager to execute documents necessary to implement the terms of a lease with sale drone a Delaware corporation for a five year lease with two five year extension options and a right of first negotiation for the purchase of Building 12 located at 1050 Westheimer Avenue at Alameda Point.
Speaker 9: Good evening, mayor and city council members I'm Nanette Mercado in the community development and based we use department. This is sale drone is a tenant that's been operating out of building 12 for since 2016th February 2016. It came to us as part of the America's Cup.
Recommendation to Approve a 36-month Services Agreement between the City of Alameda and the Housing Authority for $1,152,116 (FY 2017-18, with 3% annual adjustments for FY 2018-19 and FY 2019-20) to Administer the Rent Review, Rent Stabilization and Limitations on Evictions Ordinance as Amended for the City of Alameda. (Rent Stabilization 265)