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HomeMy WebLinkAbout2019-10-08; City Council; ; MiraCosta Technology Career Institute Annual UpdateCITY COUNCIL Staff Report Meeting Date: To: From: Staff Contact: Subject: Oct. 8, 2019 Mayor and City Council Scott Chadwick, City Manager Ch.ristie Marcella, Economic Development Manager christie.marcella@carlsbadca.gov, 760-602-2732 MiraCosta Technology Career Institute Annual Update Recommended Action Receive a presentation on the MiraCosta Technology Career Institute. Executive Summary CAReview � MiraCosta Technology Career Institute (TCI) is part of MiraCosta College's Community Education & Workforce Development department. Located in Carlsbad, the college offers local community members the opportunity to enhance their lives and their careers with low-cost classes, workshops and programs. From enrichment classes to job training programs, all MiraCosta TCl's programs and classes are fee-based and not-for-credit. MiraCosta TCl's fast track training programs offer students a place to start and learn new skills to advance their careers and to help find meaningful employment in our local businesses. The institute provides job training in the fields of advanced manufacturing, engineering, healthcare, security, veterinary science and professional skills training. Discussion The City of Carlsbad Economic Development Division works to leverage partnerships that will support the needs of a growing business community and assist business growth with a focus on workforce development and employee attraction. This goal indudes working with partners including local universities and our community colleges to support a talent pipeline for Carlsbad companies. As seen in the annual report (Exhibit l}, MiraCosta TCI is a strong partner with the City of Carlsbad in pursuit of economic development. In July 2014, the City of Carlsbad entered into a 6-year lease agreement with MiraCosta Community Services and Business Development to open MiraCosta TCI in the city-owned property at 2075 Las Palmas Drive within the city's business and research center. The facility houses work skills programs including Engineering Technician and Machinist Technology programs, skill sets that are valuable to Carlsbad's high-tech manufacturing companies. In addition, their homeland & international security programs provide skills to many active duty and military veterans which can be transitioned back to their military units or to private sector jobs. The facility is also home to north county's Small Business Development Center (SBDC} i) . . . • • tober 8, 2019 Item #6 Page 1 of 28 which uses federal funds to help small businesses start, grow and secure financing. The initial lease with the city was based on a grant through the Trade Adjustment Assistance Community College and Career Training (TAACCCT) program. The program outlined in the grant became the benchmarks of their lease and Mira Costa has hit and exceeded their goals. As part of the lease agreement, MiraCosta TCI is required to submit an annual report to the City Council to · update on progress and highlight significant accomplishments over the past year. The following are highlights from the 2019 annual report: • Successfully launched three new programs in the past year: Biomedical Equipment Technician Program, Unmanned Systems Operator Technician Program, and Electronic Assembly Program • Helped to plan and implement North County Manufacturing Day in October 2018 at California State University, San Marcos which saw participation from 1,200 students throughout North County • Hosted a delegation from the New Zealand Ministry of Education interested in workforce development programs • Received a Supervisor Horn $15,000 Neighborhood Reinvestment Act grant, and a $5,000 donation from Hunter Industries to assist with the purchase of supplies and small equipment for the Advanced Manufacturing classes • Partnership with the U.S. Naval Airbase North Island to begin a large-scale advanced manufacturing apprenticeship program Fiscal Analysis There is no fiscal impact from receiving the report. Next Steps Staff will continue to work with MiraCosta TCI and its business partners. Environmental Evaluation (CEQA) Pursuant to Public Resources Code Section 21065, this action does not constitute a "project" within the meaning of CEQA in that, it has no potential to cause either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment, and therefore, does not require environmental review. Public Notification and Outreach This item was noticed in accordance with the Ralph M. Brown Act and was available for public viewing and review at least 72 hours prior to scheduled meeting date. Exhibits 1. MiraCosta Technology Career Institute Annual Report 2019. 2. MiraCosta-City of Carlsbad Lease Agreement. tober 8, 2019 Item #6 Page 2 of 28 TECHNOLOGY CAREER INSTITUTE 2019 ~ M!RACOSTA ¥'COLLEGE Community Education & Workforce Development Kurokawa, Linda lkurokawa@miracosta.edu tober 8, 2019 Item #6 Page 3 of 28 MISSION 4/17/19 MiraCosta TCI Update The mission of MiraCosta College's Community Education and Workforce Development is to provide affordable, not-for- credit continuing education to community members who are interested in either personal or professional enrichment. The Technology Career Institute (TCI) prepares students for successful careers, provides technical and professional skills training, and promotes leadership. Through TCl's many partnerships with business, industry, labor and public service agencies, and its career-oriented and broad-based learning plan, the institute serves our rapidly changing global economy. TCI strives to be a recognized leader in accelerated, not-for-credit education with a curriculum where theory meets practice and where multi-disciplinary skills important in a global economy are developed by our students. BACKGROUND On October 1, 2013, MiraCosta College Community Education & Workforce Development was awarded the third round of the Department of Labor (DOL) Trade Adjustment Assistance Community College and Career Training (TAACCCT) grant. This $2.75 million-dollar grant allowed us to expand our Machinist Technology program, add our Engineering Technician program, and renovate and move into the current Technology Career Institute building in Carlsbad. Since that time, we were also awarded $520,000 as part of the DOL TAACCCT Round 4 grant. These monies were used to help California State University, San Marcos run a feasibility study to determine the appropriate engineering programs they should develop in an effort to launch a new College of Engineering. In January 2017, our department was awarded the DOL America's Promise grant. Of the $6 million dollars awarded, a little over half was issued to MiraCosta. The remaining was distributed to consortium members: Grossmont College, Cuyamaca College, Chaffey College In Tech Center, San Diego Maritime Alliance, San Diego Regional Economic Development Corporation, San Diego East County Economic Development Council, and the San Diego North County Economic Development Council. The money issued to the colleges has provided tuition-free, accessible training to targeted underserved populations in blue tech, aerospace, engineering, advanced manufacturing, biomedical and emerging industries. Populations served have include veterans, recent high school and alternative high school graduates, non-traditional learners, ex-incarcerated, Native Americans, incumbent workers, the unemployed and underemployed. Since Mira Costa College Community Education and Workforce Development began operations at the Las Palm as facility, we continue to meet expectations in all goal areas from the original plan presented to the Carlsbad City Council. We have continually excelled in: • Student enrollments, with higher than 90% retention rates and over 90% graduation rates • Outreach to local high schools, alternative high schools, and middle schools • Outreach to veteran centers and events, Native Americans, ex-incarcerated, and facilities for crisis • Partnerships with local industry and companies in need of employees or employee training • Increased core programs offerings tober 8, 2019 Item #6 Page 4 of 28 • Maintained student support services • Collaborated with governmental, regional and city organizations 4/17/19 MiraCosta TCI Update MiraCosta College has been moving forward to ensure that we develop and deliver successful programs to our students. The award of a large DOL grant has been extremely valuable in our ability to provide affordable training to those looking for new job skills or for employers seeking training for current employees. Graduates of the MiraCosta TCI program work in job fields including but not limited to aerospace, automation & programming, automotive, communications, defense, irrigation, maritime, medical device, recreation, and space & flight industries. The salary range is anywhere from $14 to $28 per hour. A CCOMPLISHMENTS (2018 THROUGH Ql 2019) • We have successfully launched three new programs during the past year: o Biomedical Equipment Technician Program (487 hours, completed in 21 weeks) o Unmanned Systems Operator Technician Program (487 hours, completed in 21 weeks) o · Electronic Assembly Program (80 hours, completed in 10 weeks) A fourth new program was also started, the Craft Brewing Technician Program; however, this course is being offered at the John Landes Center in Oceanside due to lack of lab space at TCI. This is the only Craft Brewing Technician program in San Diego with a functioning Brew House. It is a 300-hour' prngram and will be offered twice a year. • We have successfully increased our marketing efforts to create better awareness about advanced manufacturing, technician, and maritime technology careers and programs in the North County region. • We provided employee skills training directly to five North County companies in the following areas: o Prevention of Sexual Harassment for Supervisors o Professional Development Training o Lean & Soft Skills Training o Team Building o Microsoft Excel o Microsoft Access o Prevention of Sexual Harassment Training o SOP training • We have had multiple advisory board meetings with industry partners, veteran organizations, social service organizations, high school counselors and local colleges/unive rsities. We consistently have guest speakers, industry meetings, and local organization meetings at our current facility. • We participated in the planning and implementation of the North County's 2018 Manufacturing Day in October. This event took place at California State University, San Marcos and had participation from 1,200 students throughout North County. • We have outreached to many K-12 schools throughout our district and beyond. We also attend STEM fairs, career fairs, and visit Camp Pendleton regularly. tober 8, 2019 Item #6 Page 5 of 28 4/17/19 MiraCosta TCI Update • We have placed six students in a two-year Machinist apprenticeship program with the U.S. Navy and General Atomics. • We became members of the Blue Economy STEM Education Initiative, helping to bring information about water and ocean careers to middle and high school studen~s throughout San Diego County. • Hosted a tour ofTCI by a delegation of 25 representatives from colleges throughout the U.S. who were interested in accelerated work skills training. • Hosted a delegation from the New Zealand Ministry of Education who were interested in workforce development. • Presented at the California Economic Summit regarding TCI and Workforce Development. • Received a Supervisor Horn $15,000 Neighborhood Reinvestment Act grant a $5,000 donation from Hunter Industries to assist with the purchase of supplies and small equipment for the Advanced Manufacturing classes atTCI. STATISTICS FOR 2015-2019 Core Program Area 2015-2016 2016-2017 2017-2018 2018-2019 Enrollment Enrollment Enrollment Enrollment Advanced Manufacturing 80 367 598 489 Engineering Technician Training Program 21 31 46 so HR Academy 69 186 142 121 High Threat Security Program 440 492 490 477 Manufacturing Machinist Technology Program 26 22 33 39 Other Classes/Courses 231 249 147 171 Phlebotomy Certificate Program 35 35 40 45 Veterinary Assistant Program 46 56 41 49 Biomedical Equipment Technician 30 Electronic Assembly 32 Unmanned Systems (ROV/DRONE) Operator Technician 31 Total 948 1438 1537 1534 tober 8, 2019 Item #6 Page 6 of 28 4/17/19 MiraCosta TCI Update Carlsbad Employer Partners: Other North County Employer Partners: Callaway Golf Accutek Form Factor C&H Machine Means Engineering CEA-Corp Nordson Asymtek HRE Performance Wheels ViaSat Hunter Industries Legoland Lisi Medical SMAC Cue Forecast 3D Southwest Greene Automation GT TE Connectivity HME (coming soon) Veridiam Maxlinear Weldpro Upper Deck Dr. Bronner Soaps Carlsbad Technology Landmark Manufacturing GIA Meziere Enterprises Advanced Diabetes Supply Ocean Aero GoPro Palomar Technologies Rigaku Automation Plasma Technology Inc. Palomar Airport Hydranautics LabCorp DGI Supply HME Genentech RXSafe Datron R&3D Engineering Axiom Test ArcZone Culver Brewery Electro Service Technology Pizza Port Beach Trax Kaiser Permanente Planet On the Wall D&K Engineering Ultracom Deep Trekker Apollo Sprayers Magnaflow EMPLOYER TESTIMONIAL -Ultra Communications, Inc. 1'As a follow-up on your program alumni: • Intern -Jeff Samuelson is doihg AWESOME as our Jr. Facilities Tech, 6 hours a day. • Intern -Kristy Moyes has just been tapped to be trained on our high-powered microscope and learn Non- Conforming Material Review (NCMR) processes in addition to her engineering intern duties, 40 hours per week. • Full Time Employee -Zainab Al Khudairi, we were able to add Mechanical Engineer technical writing duties project. • Full Time Employee -Cristian Ramirez is an invaluable member of the Engineering Lab. • Full Time Employee -Daniel Johnson has taken over the entire Test Technician duties for a large customer. • Full Time Employee -Ricardo Suazo is an integral part of the l stshift Manufacturing Assembly Tech team. Ultra-Communications is very thankful for the wonderful candidates MCC Technical College has provided to us. Your training has helped us build a strong workforce. Thanks!" Penny Steinman SHRM-CP, MA, PHR -Human Resources Manager, Ultra Communications, Inc. tober 8, 2019 Item #6 Page 8 of 28 STUDENT T ESTIMONIALS 4/17/19 MiraCosta TCI Update "I am doing great and loving my new job here at Navair, Fleet Readiness Southwest, I get to see the jet fighters like the cool F-18's, E2 C2's, etc. every day and I am contributing in helping our Dept. of Defense. I was hired as an Engineering Technician but got promoted to Project Manager on my first day due to prior experience. The knowledge I gained while in school puts me at a great advantage since every project is mostly technical and manufacturing, so thank you for all that you have thought me." -Helen "My experience in Calandra's class has been fantastic. Safety has been number one for every minute of every day since before we even set foot in the shop. Before the course started, I didn't think there would be any way I could feel safe in a machine shop full of new machinists, but her method really drilled it into everyone and set the right tone from the start. Of course machining has the inherent danger df heavy machines running at high speeds with sharp cutting tools, but that's what we're here to learn. Calandra has clearly created and maintained a safe environment. I love how everything Calandra teaches is immediately applied and incorporated into the lesson or project thaUollows. I've been able to practice each skill or technique she's taught and get better at it in subsequent work." -Malcom Morris-Pence "Thank you so much for the opportunity to learn and grow. It is already paying off by orders of magnitude. My next step in education will be toward a Bachelor's Degree in Mechanical Engineering. I never thought I would be the type of person to go on and succeed in college!" -Nicholas Leitholf A MERICA'S PROMISE GRANT MiraCosta TCI is now 2.5 years into the America's Promise Grant funding and has been enjoying higher overall enrollments due to the grant. We have been able to offer more low-cost employee training in our Advanced Manufacturing classes, reach out to more underserved populations that benefit from accelerated technical skills training, and expand technical skills training programs through partnerships with Chaffey College's lnTech Center and Grossmont/Cuyamaca CTE department. The grant funding allowed MiraCosta TCI to add Biomedical Equipment Technician, ROV /Drone Operator Technician programs which began July 2018 and a Craft Brewing Technician program that began in January 2019. With America's Promise Grant, most Advanced Manufacturing/Engineering classes are tuition free with a small Administrative Fee of $350 or less per course for 1.5 more years. Other programs range from $995 to $7,200 depending on the course. We are able to cover costs with the current discounted rental price, and most classes are doing well, some have waiting lists. COMING IN 2019 MiraCosta TCI has been asked to partner with the U.S. Naval Airbase North Island to begin a large-scale advanced manufacturing apprenticeship program. TCI will set up a t raining program for the apprentices that include 30 units of credit classes combined with work skills training programs. Some of the work skills modules will be taught at TCI, other tober 8, 2019 Item #6 Page 9 of 28 4/17/19 MiraCosta TCI Update modules and the credit classes will be taught at the Naval Airbase in San Diego. We are expecting this apprenticeship program to run for five years, placing approximately 90 apprentices per year into the training programs. This program will begin in 2020, but the curriculum and program schedule are being planned out this year. SUCCESS STORIES In most cases MiraCosta TCI serves those individuals who have not had the opportunity to obtain a college degree and who are unemployed or underemployed. However, TCI can also be the right answer for individuals who have been out of the workforce for a long time and need to refresh their skills to obtain a job, or who have a college degree but have no hands-on experience in their field. ZAINAB One of our participants during the last year, Zainab, was a female who was a foreign-born resident with a Master's Degree in Mechanical Engineering, but because she had never had the opportunity to apply the theoretical knowledge gained during her university studies, and because her accent was quite pronounced, she was having trouble landing a job in the U.S. Zainab heard about the Engineering Technician program at TCI and signed up for the course. Although she had studied Mechanical Engineering, she had never applied the skills of mechanics in a practical way to make herself valuable to industry. With the contextualized learning at TCI, Zainab quickly progressed to complicated projects that allowed her to become familiar with and integrate electronics training, robotics and 3D design with her mechanical knowledge. Shortly after graduating, she landed a job with Ultracomm Inc. as a full-fledged mechanical engineer. KATE Another participant, Kate, came to TCI with a Bachelor's Degree in Engineering, however due to a long break in her work history to have a family, she was rusty and out of date in her engineering skills. Taking the four-month program at TCI was just the perfect fit for Kate. She was an excellent student and progressed quickly through the course content and projects. Once she had completed the course, she was very nervous about going out and interviewing for positions, unsure if she was ready for this next big step. However, she quickly landed job at Apollo Medex, and within one month of working there, had been promoted to a supervisor role. She was grateful for the assistance that TCI played in helping her land the perfect job, and in turn, she donated $1,000 back to TCI to start an alumni donation fund. She now leads the Alumni group for the Engineering Technician program. CHALLENGES We have utilized every available space at TCI that can be used. In other words, we are bursting at the seams in terms of space capacity and program demand. Thus, we have devised a plan to buy or modify an existing building in the City of Carlsbad. We are hoping to have the new building operational before five years. The increa_se in cost of the utilities at TCI has been a burden to a very limited budget. The fact that the building has such poor energy saving measures is the main reason we are continually seeing the cost of utilities rise as the pricing tober 8, 2019 Item #6 Page 10 of 28 4/17/19 MiraCosta TCI Update structure from the various utility companies also increases. It either means we must charge students more or find additional funding for the department. Either option is a challenge for us. NEXT STEPS Over the next few years, we plan on accomplishing the following: • Maintain or increase our current enrollment numbers in all of our work skill programs. • Only about 12-15% of our student population for STEM programs 9ffered at TCI consist of women. We would like to increase that to 30% over the next two years. • Succeed in becoming a Maritime Center of Excellence as designated by U.S Maritime Administration at the Department of Transportation and receive Congressional funding from this designation. This process has been in the works for over 18 months and should reach fruitio11_this year. • Succeed in becoming an Unmanned Systems Center of Excellence as designated by the Federal Aviation Administration at the Department of Transportation and receive Congressional funding from this designation. This .process has been in the works for about 12 months and should reach fruition this year. • Establish two more incubator partnerships with our STEM programs to help build new companies through the use of our students as interns and our equipment to help create prototypes. As these incubators go to market w ith their product and become successful, they will profit share with TCI to assist us in covering operating expenses. • Find angel donors who are willing to assist us in creating TCl2 in Carlsbad. This new building will be three times the size of the current TCI and house six incubated companies. • Successfully launch the apprenticeship program with the U.S. Naval Airbase North Island. tober 8, 2019 Item #6 Page 11 of 28 2 3 4 5 6 7 8 9 10 l l 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION NO. 2014-171 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, AUTHORIZING EXECUTION OF A LEASE AGREEMENT BETWEEN THE CITY OF CARLSBAD ANO MIRACOSTA COLLEGE COMMUNITY SERVICES AND BUSINESS DEVELOPMENT AT 2075 LAS .PALMAS DRIVE FOR THE PURPOSES OF OPERATING A TECHNOLOGY CAREER INSTITUTE AND SMALL BUSINESS DEVELOPMENT CENTER. WHEREAS, the City has determined it is desirable and in the best interest of the community to enter into a six year lease agreement with MiraCosta College Community Services and Business Development to lease the Las Palmas building located at 2075 Las Palm as Drive, for the purposes of establishing and maintaining a technology career institute and small business development center; and WHEREAS, the City's economic development goal is to focus on creating quality jobs for the businesses in the City's main industry clusters; and WHEREAS, the City's economic development goal is also to become a focus for higher education and research to grow the skilled labor force in the city; and WHEREAS, support of the robotics and engineering skilled workforce that remains a required job requirement of many of the major companies in Carlsbad and more specifically in the City Center in which the subject property is located; and WHEREAS, the City has determined that it is necessary and appropriate to enter into the subject lease and extend the use of the building for the Technology Career Institute in order to further support the workforce training goals and industry recognized certificate programs including workforce training in electromechanical engineering, robotics/automation, and fluid power; and tober 8, 2019 Item #6 Page 12 of 28 1 ·2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 WHEREAS, the City and MiraCosta College Community Servic:es and Business Development have agreed to all terms of the lease. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California, as follows that: 1. The above recitations are true and correct. 2. That upon approval as to form, by the City Attorney, the Mayor is authorized to execute the lease agreement attached hereto between the City of Carlsbad and MiraCosta College Community Services and Business Development. Ill Ill Ill Ill Ill Ill Ill Ill Ill Ill Ill Ill Ill -2- tober 8, 2019 Item #6 Page 13 of 28 CITY OF CARLSBAD LEASE AGREEMENT PREMISES: 2075 Las Palmas Drive Carlsbad, CA 92011 LESSEE: Mira Costa Community Services and Business Development TERM: Six (6) Years EXHIBIT2 tober 8, 2019 Item #6 Page 15 of 28 CITY OF CARLSBAD LEASE AGREEMENT INDEX l. DEFINITION OF TERMS ...................................................................................... 2 2. TERM ............................................................................... : ...................................... 2 3. TERMINATION OF LEASE .................................................................................. 2 4. OPTIONS TO RENEW ........................................................................................... 3 5. VACATION OF PREMISES' .................................................................................. 3 6. RENT ....................................................................................................................... 4 7. COST OF LIVING ADJUSTMENT ....................................................................... 4 8. SECURITY DEPOSIT ............................................................................................. 4 9. UTILITIES PAYMENTS ........................................................................................ 4 10. TAXES, ASSESSMENTS, AND FEES ................................................................. .4 11. ACCEPTANCE AND MAINTENANCE ............................................................... 5 12. ALTERATIONS ...................................................................................................... 5 13. USE .......................................................................................................................... 5 14. OCCUPANCY, ASSIGNMENT AND SUBLETTING ......................................... 6 15. LESSEE'S GOALS .......................... : ...................................................................... 6 16. BENCHMARKING AND REPORTING ............................................................... 7 17. PETS .... ; ................................................................................................................... 8 18. NOT.ICES ................................................................................................................ 8 19. RIGHT OF INSPECTION ........................................................................................ 8 20. AUDIT ..................................................................................................................... 8 21. RIGHT TO SHOW PREMCSES .............................................................................. 8 22. INSURANCE .......................................................................................................... 8 23. INDEl\1NIFICATION ........................................................................................... 10 24. NONDISCRIMINATION ..................................................................................... 10 25. HAZARDOUS AND/OR CONTAMINATED SOIL AND MATERIAL. ........... IO 26. LAW TO GOVERN; VENUE .............................................................................. 10 27. AMERICANS WITH DISABILITIES ACT (ADA) ............................................ 11 28. W AIYER OF RELOCATION ASSlSTANCE ..................................................... 11 l tober 8, 2019 Item #6 Page 16 of 28 LEASE AGREEMENT This Lease Agreement ("Lease") is made this 17th day of July, 2014. Between: City of Carlsbad a chartered municipal corporation 1200 Carlsbad Village Drive · Carlsbad, California 92008 ("City") And: MiraCosta Community College District, on behalf of the MiraCosta Community Services and Business Development ("Lessee") WHEREAS, City desires to rent to Lessee and Lessee desires to rent from City certain publically owned property located at 2075 Las Palmas Drive in the City of Carlsbad, for the purpose of operating a Technology Career Institute and Small Business Development Center. The Premises is defined below and fully described in Exhibit "A," which is incorporated by this reference. NOW THEREFORE, it is mutually agreed by and between City and Lessee as follows: 1. DEFINITION OF TERMS. The following words in this Lease Agreement shall have the significance attached to them in this clause unless otherwise apparent from their context. a. "Lease" means this Lease Agreement. b. "Premises" means 2075 Las Palmas Drive, Carlsbad, California, which includes a 22,627 square foot building and parking as more fully described in Exhibit ,;A." c. "Lessee" means the MiraCosta Commuity College District on behalf of MiraCosta Community Services and Business Development and does not include its heirs, assigns, or successors-in-interest. d. "Invitees" means any individual or organization who enters the Premises at the express or implied invitation of Lessee. 2. TERM. The term of this Lease shall be six (6) years, commencing on July 17, 2014. 3. TERMINATION OF LEASE. 3.1 Each party shall have the right to terminate this Lease without cause for any reason by giving ninety (90) days prior written notice to the other party. 2 tober 8, 2019 Item #6 Page 17 of 28 3.2 City Manager shall have the right to terminate this Lease for cause by giving thirty (30) days prior written notice to Lessee for any of the following events: 3.2. l Lessee's failure to comply with the following clauses in this Lease shall constitute cause to terminate the Lease; Acceptance and Maintenance, Paragraph 11 Alterations, Paragraph 12 Use, Paragraph 13 Occupancy, Assignment and Subletting, Paragraph 14 Insurance, Paragraph 22 Americans with Disabilities Act (ADA), Paragraph 27 3 .2.2 If the City discovers at any time during the lease term that the Lessee or any other party has used, is using, or will use the Premises in an unlawful manner or for an unlawful purpose, or in any manner that is inconsistent with any provision of this Lease. 3.2.3 Failure to pay any installment of Rent, continuing for a period of five (5) days after receipt of City's written notice that such amount is due. Lessee agrees that any such written notice delivered by the City shall, to the fullest extent pem1itted by law, serve as the statutorily required notice under applicable law to the extent Lessee fails to cure such failure to pay "vi.thin such five (5) day period. In addition to the foregoing, Lessee agrees to notice and service of notice as provided for in accordance with applicable statutory requirements. 3.2.4 Failure in the perfom1ance of any of the Lessee's agreements, or obligations which failure continues for 30 days after written notice thereof from the City to the Lessee; provided that, if Lessee has exercised reasonable diligence to cure such failure and such failure cannot be cured within such 30 day period despite reasonable diligence, Lessee shall not be in default under this subparagraph unless Lessee fails thereafter diligently and continuously to prosecute the cure to completion. 4. OPTIONS TO RENEW. If Lessee desires to renew this Lease, Lessee shall provide written notice to City of Lessee's intent to renew not less than sixty (60) days prior to the expiration of the initial Lease term or first renewal year. City shall respond to Lessee's renewal request in writing within thirty (30) days of receiving such notice. City reserves the right to modify the rent rate for each renewal year at the City Council's discretion. 5. VACATION OF PREMISES. 5.1 Upon termination of this Lease for any reason, Lessee shall peaceably vacate, and shall cause its Invitees to peaceably vacate, and deliver the Premises to City in the 3 q tober 8, 2019 Item #6 Page 18 of 28 same condition as Lessee found them upon its acceptance of the Premises hereunder, excepting ordinary wear and tear, conditions caused by acts of God and improvements made in accordance with Section 12 herein. 5.2 Upon such termination, Lessee shall immediately: 5.2. l Arrange and pay for the disconnection of all utilities and services ordered by Lessee; 5.2.2 Provide a written statement to the Municipal Property Manager of Lessee's new address for purpose of refunding monies , if any due Lessee under this Lease, and forwarding mail; and 5.2.3 Deliver any keys for the Premises to the Municipal Property Manager or · send said keys by certified mail to the address stated in Paragraph l 8 below. · 6. RENT. In consideration of the possession and use of the Premises, Lessee shall deliver and pay rent to City during the term of this Lease in the amount of Five Thousand Six Hundred Fifty Six dollars and Seventy Five cents ($5,656.75) per month. 7. COST OF LIVING ADJUSTMENT. Not applicable in initial lease term. 8. SECURITY DEPOSIT. Lessee shall not be obligated to deliver a security deposit in connection with this Lease. 9. UTILITIES PAYMENTS. Lessee will be solely responsible to pay for any utilities and services necessary for the occupancy of the Premises. 10. TAXES, ASSESSMENTS, AND FEES. I 0.1 The tenns of this Lease may result in the creation of a possessory interest. If such a possessory interest is vested in Lessee, Lessee may be subjected to the payment of personal property taxes levied on such interest. Lessee shall be responsible for the pa}ment of, and shall pay before delinquent, all taxesl assessments, and fees assessed or levied upon Lessee, on said Premises or any interest therein, on any buildings, structures, machines, appliances, or other improvements of any nature whatsoever, or on any interest therein. l 0.2 Lessee further agrees not to allow such taxes, assessments, or fees to become a lien against said premises or any improvement thereon. Nothing herein contained shall be deemed to prevent or prohibit Lessee from contesting the validity of amount of any such tax, assessment, or fee in any manner authorized by law. 4 tober 8, 2019 Item #6 Page 19 of 28 11. ACCEPTANCE AND MAINTENANCE. 11. l Lessee hereby acknowledges that Lessee has inspected the Premises, that Lessee accepts said Premises "as is" and "where is," that the Premises are in a good and sanitary order, condition, and repair. 11.2 Lessee agrees to take good care of the Premises and all improvements, alterations, fixtures, and appurtenances thereon. Lessee agrees to provide for maintenance and upkeep of the Premises, as necessary to preserve the Premises in good order and condition, except that City shall provide for maintenance and repair of all landscaping, grounds, roof. electrical and HVAC. Said repairs and maintenance shall be made in a good and professional manner, and at least equal to the condition and quality of the repaired items at the inception of this Lease. Lessee agrees to be solely responsible for alJ costs of maintenance and repair except as noted above. 11 .3 In the event Lessee fails to properly maintain the premises as required by City, then City may notify Lessee in writing of said failure. In the event Lessee fails to perform said maintenance within thirty (30) days after such notice by City, City may immediately terminate this Lease, pursuant to Paragraph 3.2 above. 12. ALTERATIONS. 12. l Lessee shall make the alterations and improvements to the Premises, at Lessee's sole cost and expense, that Lessee reasonably believes are necessary to operate said Premises. Any and all alterations and improvements made to the Premises must first be approved in writing by the Municipal Property Manager. 12.2 At the City's option, any improvements made with the consent of the Municipal Property Manager shall become a fixture to the realty and shall remain on and be surrendered with the Premises upon tennination of this Lease. If the City opts for the removal of the fixtures, the Lessee will remove at the Lessee's sole expense upon termination of the Lease. 12.3 Noncompliance by Lessee or its Invitees with any provision of this clause shall be cause to terminate this Lease for the City pursuant to Paragraph 3.2 above. 12.4 Before making any improvement that require a City and/or other jurisdictional permit(s), the Lessee is responsible for obtaining all such jurisdictional pem1it(s) from the City or other agency with jurisdictional authority at Lessee's sole cost and expense. Written approval of alterations and improvements by the Municipal Property Manager as described in Section 12. l above does not negate the need to obtain such required City or other jurisdictional agency permit(s). 13. USE. Lessee agrees to use the Premises as follows: 5 11 tober 8, 2019 Item #6 Page 20 of 28 13. l To create a center that will serve as a technology career institute where attendees can become skilled professionals in advanced manufacturing and be trained on machinery and/or new technology that will-create jobs and benefit Carlsbad businesses and the region. The center will. provide learning opportunities for businesses utilizing the Small Business Development Center and could potentially create additional partnerships to strengthen the educational goals and improve the skills of the workforce. Lessee shall be allowed to hold events and functions that will promote the center's purpose and function, such as Job Fairs, Industry Open Houses, STEM summer outreach programs from High School and Middle School students, and program fund raisers. 13.2 Lessee shall not use, nor permit the use of, the Premises other than as described in Paragraph 13.1 above. In any case where Lessee is, or should reasonably be, in doubt as to the propriety of any panicular use, Lessee may request, and will not be in breach or default if Lessee abides by, the written determination of the Municipal Property Manager that such use is permitted. 13.3 Noncompliance by Lessee or its Invitees ,vith any provision of this clause shall be cause to terminate this Lease for the City pursuant to Paragraph 3.2 above. 13.4 All uses shall be in compliance with the City codes, the underlying Specific Plan for the Carlsbad Airport Business Park and its the Covenants, Conditions and Restrictions for the Premises. 14. OCCUPANCY, ASSIGNMENT AND SUBLETTING. The Premises shall only be occupied by Lessee and Lessee's Invitees. Lessee agrees to require its Invitees to utilize the premises in accordance with the Lease Agreement. Lessee shall not assign this Lease or any interest therein without the prior written consent of the Municipal Property Manager. Any such assignment without the City's consent shall be void and shall, at the option of City, be cause for the terminate this Lease, pursuant to Paragraph 3 .2 above. 15. LESSEE'S GOALS. In consideration for the letting of the Premises and amenities provided by the City, Lessee agrees to use its best efforts to accomplish the following objectives in order to provide a public benefit: 15.1 Order machines and equipment. 15.2 Implement Trade Adjustment Community College and Career Training (T AACCCT) grant-funded programs in phases based on industry need. Lessee may first start these programs at the current facility at the Landes Center in Oceanside, and then move the program over with the machinist program when the Premises is ready. 15.3 Move its current machinist program and other non-technology based programs into the Premises. 6 tober 8, 2019 Item #6 Page 21 of 28 15.4 Securing national certifications. Many of these certifications take many months of paperwork, training and testing, site visits, etc. 15.5 Develop transfer agreements, set-up initial coursework, and continue discussions with Cal State San Marcos, Palomar College, University of San Diego, Brown University, and other colleges and universities for long-tenn educational partnerships. 16. BENCHMARKING AND REPORTING. During the duration of this Lease term, Lessee agrees to provide the Economic Development Manager with annual reports on July 1 of each year for progress on the Technology Career Institute. Key perfomi.ance indicators tp identify in the annual report: • TCI will enroll 550 new·students and 225 incumbent workers, totaling 775. • TCI will graduate 495 students per year and 225 incumbent workers, if 90% new . students enrolled graduate and 100% of incumbent workers are enrolled. • The total number of actual participants enrolled and graduated in TCI_ programs each year. ·• · • TCI will be awarding nationally approved work skills certifications, such as National Career Readiness Certificate, International Society of Automation Certification, Electronics Technicians Association Certification, and Natfonal Institute for Metalworkign Skills (NIMS) Certification. The number of National Certifications wil1 be reported each year. • The number of graduates who have been placed in full-time employment and part- time employment within 3 months of graduation, target is 446, if 90% _ of new student program graduates. • The number of graduates who have been placed in full-time employment and part- time employment in Carlsbad within 3 months of graduation, target is 75. • TCl's involvement, contributions, and collaboration with Carlsbad industry and work skills agencies. 16.1 Lessee, Invitees and their guests shall at all times conduct themselves in a quiet and dignified manner so as not to cause annoyance or inconvenience to neighbors of Lessee or nearby residents. 16.2 Lessee and Invitees shall not violate, or pennit the violation of, any City or County ordinance, or state or federal law, in or about the Premises. 16.3 Noncompliance by Lessee or its Invitees with any provision of this clause shall be cause to tenninate this Lease for the City pursuant to Paragraph 3.2 above. 7 tober 8, 2019 Item #6 Page 22 of 28 17. PETS. No pets or livestock of any kind may be kept on the Premises without the prior written consent of the Municipal Property Manager. 18. NOTICES. Any notice or other documentation required or permitted to be given by this Lease must either be personally served on the other party or served by certified mail, return receipt requested, to the addressee below. Notices served by mail shall be sent to the address listed below and shall be deemed delivered as of the date sho\_Vll on the d~Iivery receipt as. the date of delivery, the date delivery was refused, or the date the ncifice was returned as undeliverable. A change of either party's address must also be immediately served in the manner described above. For City: Christina Vincent, Economic Development Manager City of Carlsbad Community and Economic Development 1635 Faraday A venue Carlsbad, CA 92008 19. RIGHT OF INSPECTION. For Lessee: Charlie Ng, Vice President Business and Administrative Services MiraCosta Community College District 1 Barnard Drive, Oceanside, CA 92056 City reserves the right for its agents or employees to enter upon and inspect the·Premises during business hours to ascertain if Lessee is complying with the provisions of this Lease. 20. AUDIT. City reserves the right to have city employees or its agents conduct financial audits of Lessees financial records in any way related to the Premises once yearly. City shall provide at least three (3) business days advance notice to Lessee of City's intent to inspect such records. 21. RIGHT TO SHOW PREMISES. City reserves the right, during the last sixty (60) days of this Lease, or any extension thereof, to conduct an "open house" of the Premises in order to facilitate re-leasing or sale the Premises. Said "open house" shall not exceed four .hours total duration (maximum of two separate days), and when possible, be scheduled from 3:00 p.m. to 5:00 p.m., Monday through Friday. 22. INSURANCE. Lessee will obtain and maintain for the duration of this Lease and any and all amendments, insurance against claims for injuries to persons or damage to property which may arise out of or in connection with the occupancy or use of the Premises by Lessee or its Invitees, 8 \Y tober 8, 2019 Item #6 Page 23 of 28 v1s1tors, agents, representatives, employees or subcontractors. The insurance will be obtained from an insurance carrier admitted and authorized to do business in the State of California. The insurance carrier is required to have a current Best's Key Rating of not less than "A-:VII" OR with a surplus line insurer on the State of California's List of Eligible Surplus Line Insurers (LESLI) with a rating in the latest Best's Key Rating Guide of at least "A:X''. 22.1 Coverages and Limits. Lessee will maintain the types of coverages and minimum limits indicated below, unless the City Risk Manager approves a lower amount. These minimum amounts of coverage will not constitute any limitations or cap on Lessee's indemnification obligations under this Lease. City, its officers, agents and employees make no representation that the limits of the insurance specified to be carried by Lessee pursuant to this Lease are adequate to protect Lessee. If Lessee believes that any required insurance coverage is inadequate, Lessee will obtain such additional insurance coverage, as Lessee deems adequate, at Lessee's sole expense. 22.2 Commercial General Liability Insurance. $1,000,000 combined single-limit per occurrence for bodily injury, personal injury and property damage. If the submitted policies contain aggregate limits, general aggregate limits will apply separately to the work under thls Lease or the general aggregate will be twice the required per occurrence limit. 22.3 Workers' Compensation and Employer's Liability. Workers' Compensation limits as required by the California Labor Code. Workers' Compensation will not be required if Lessee has no employees and provides, to City's satisfaction, a declaration stating this. 22.4 Additional Provisions. Lessee will ensure that the policies of insurance required under this Lease contain, or are endorsed to contain, the following provisions: 22.4.1 The City will be named as an additional insured on Commercial General Liability which shall provide primary coverage to the City. 22.4.2 Lessee will obtain occurrences-type coverage. 22.4.3 This insurance will be in force during the life of the Agreement and any extensions of it and will not be canceled without thirty (30) days prior written notice to City sent by certified mail pursuant to the Notice provisions of this Lease. 22.5 Providing Certificates of Insurance and Endorsements. Prior to City's execution of this Lease, Lessee will furnish certificates of insurance and endorsements to City. 22.6 Failure to Maintain Coverage. If Lessee fails to maintain any of these insurance coverages, then City will have the option to declare Lessee in breach, or may purchase replacement insurance or pay the premiums that are due on existing policies in order to maintain the required coverages. Lessee is responsible for any 9 tober 8, 2019 Item #6 Page 24 of 28 payments made by City to obtain or maintain insurance and City may collect these payments from Lessee within ten ( l 0) days of payment. 22.7 Noncompliance by Lessee or its Invitees with any provision of this clause shall be cause to terminate this Lease for the City pursuant to Paragraph 3.2 above. 23. INDEMNIFICATION. Lessee shall defend, indemnify, and hold harmless City, its officers, agents, volunteers and employees from and against any and all claims, demands, and liabilities for loss of any kind or nature which City, its officers, agents, volunteers or employees may sustain or incur or which may be imposed upon them or any of them for injury to or death Qf persons or damage to property as a result of, arising out of, or in any manner connected with this Lease or with the occupancy and use of the Premises by Lessee, its Invitees, visitors, or any other persons whatsoever. Lessee further agrees to pay any and all costs and expenses, including, but not limited to, court costs and reasonable· attorney's fees incurred by City on account of any such claims, demands, or liabilities. However, the provisions of this Lease shall not be construed to indemnify City for claims or acts arising from City's sole · negligence, active negligence or willful acts. 24. NONDISCRIMINATION. Lessee herein covenants that this Lease is made and accepted upon and subject to . the · condition that there shall be no discrimination against or segregation of any person or group of persons on account of physical or mental disabilities, race, color, creed, religion, sex, marital status, national origin or ancestry in the use, occupancy, tenure or enjoyment of the leased premises. Lessee shall not _establish or permit any such practice of discrimination or segregation with reference to the selection, location, number, or use of occupancy by customers, tenants, invitees or vendees in the leased Premises. 25. HAZARDOUS AND/OR CONTAMINATED SOIL AND MATERIAL. Lessee will not place or permit to be placed materials and/or contaminated soils on the Premises which under federal, state, or local law, statute, ordinance, or regulations require special handling in collection, storage, treatment, and/or disposal. Lessee also hereby covenants and agrees that, if at any time it is determined there are materials and/or contaminated soils located on the Premises which under any environmental requirement require special handling in collection, storage, treatment, or disposal, Lessee shall notify City. Within thirty (30) days after written notice to City or from City, Lessee shall commence to take and thereafter diligently complete, at Lessee's sole expense, such actions as may be necessary to comply with environmental requirements. This obligation shall survive the term or the early termination of this Lease. 26. LAW TO GOVERN; VENUE. This Lease Agreement shall be interpreted, construed and governed according to the laws of the State of California. In the event of litigation bet\veen the parties, venue in state trial courts shall lie exclusively in the County of San Diego, North County Branch. In the event 10 I lo tober 8, 2019 Item #6 Page 25 of 28 of litigation in a U.S. District Court, venue shall lie exclusively in th_e Southern District of California, in San Diego. 27. AMERICANS WITH DISABILITIES ACT (ADA). It is the duty of the Lessee while operating under this Lease to comply with all local, state, and federal laws, including, but not limited to, the Americans with Disabilities Act and to indemnify City from any violation of any such law. Failure by Lessee or its Invitees to comply with a provision of local, state, or federal law is grounds for immediate termination of this Lease by the City pursuant to Paragraph 3.2 above. 28. WAIVER OF RELOCATION ASSISTANCE. Lessee is aware of the provision of California's Relocation Assistance Act (Cal. Gov. Code § 7260, et seq.) and hereby irrevocably waives any and all benefits of said act on behalf of Lessee, all Lessee's of the Premises as of the date of execution hereof, and each <>f Lessee's assignees or subtenants under this Lease. Lessee agrees to this waiver after consulting with its attorneys, and being advised of the full implications of this waiver. 1 1 ll tober 8, 2019 Item #6 Page 26 of 28 MiraCosta Technology Career Institute Annual Update Christie Marcella, Economic Development Manager Linda Kurokawa, Executive DirectorCommunity Education & Workforce Development June 25, 2019 What current data is showing is that success in the new economy is as much about acquiring the knowledge, skills and abilities needed for in-demand occupations as it is to be well educated. Both paths may work, but Education combined with Technical Training is how to ultimately secure a competitive advantage in the new economy. Success in the New Economy J:1tRACO-;;:. ¥'COLLEGE Industry, EDCs and the Advanced Manufacturing Industry desperately needed machinists in a hurry Phase 1 –Complete machinist program start up Phase 2 –Create larger training center (TCI) adding more machines and Engineering Technician programs + incumbent worker training Phase 3 –Grants to fund equipment and tuitions. Phase 4 –Purchase our own larger building through private angel donation and industry profit sharing Why and How we created TCI J:1tRACO-;;:. ¥'COLLEGE It is a place where high school graduates, unemployed, underemployed and veterans can get trained quickly and transfer right into vacant jobs or continue their education for further advancement ....._M1RACO-;J ¥COLLEGE Real world training in state-of-the-art technology center. •Accelerated training in under six months Students have opportunities in job shadowing, internships, networking and company tours Career Readiness Boot Camp: 20 hours of resume writing, interviewing techniques, employer expectations, connecting students to industry partners Curriculum designed by industry experts= over 90% job placement Fosters 75-80% hands-on approach Lifetime job placement assistance What makes TCI uniquely special? fv1!RACOSTA ~-_/4 COLLEGE What’s at TCI? •Engineering Technician •Electronic Assembly •Machining Technology •Unmanned Systems (ROV/Drone) Technician •Scuba Diving Instructor •Advanced Manufacturing Courses •Biomedical Equipment Technician •Homeland & Public Security Courses •Phlebotomy Certification •Veterinary Assistant Expectations Met in All Goal Areas Student Enrollments Outreach Partnerships Partnerships with local industry and companies in need of employees or employee trainingOutreach to local high schools, alternative high schools, and middle schools Outreach to veteran centers and events, Native Americans, ex- incarcerated, and facilities for crisis Higher than 90% retention rates Over 90% Graduation rates for most programs ... Higher Companies who have HIRED our students -PRlCE -F'RO □UCT!ii11 1 C ■ '1'"411,. 1~•C1J l Cl MEANS ENGINEERING, INC. CALIFORNIA RE.SORT AND EDM SERVICES TE AEROTEK" connectivity ® Moving Coll A.ctuators Carlsbad Employer Partners: •Acushnet •Assure Controls •Callaway Golf •Craftsmanship Museum •Eastridge •Forecast 3D •Form Factor •HM Electronics, Inc. •Industrial Strength •Lets Go Robotics •Means Engineering •Metric Systems Corporation •Nordson Asymtek •Pacific CNC •Premiere Hire •RA Medical Systems, Inc. •Radiometer •Rockwell Collins •SMAC •Spinal Elements •ViaSat •Volt Our Graduates Work In These Fields: •Aerospace •Automation & Programming •Automotive •Communications •Defense •Irrigation •Maritime •Medical Device •Recreation •Space/Flight Industry •Job Shops Salary Range: $14 -$28/hour . I I I Success Story: Kate •Earned a BS degree in Engineering •Took a long break in her work history to have a family •Signed up for Engineering Technician at TCI •Progressed quickly through the course content and projects. •Was very nervous about interviewing for positions •Quickly landed a job at Apollo Medex •Within one month of working there had been promoted to a supervisor role. •She donated $1,000 back to TCI to start an alumni donation fund. Coming in 2019/20 •Focus on Virtual Reality and Artificial Intelligence •Internet of Things •Augmented Reality •Robots •U.S. Naval Airbase Apprenticeship Program Partnership •60 –90 apprentices per year •Credit classes plus work skills training for manufacturing and aerospace engineering technician. •Refocus Security Program to Homeland Security and Public Safety Courses •Including Tactical Ropes Course, Public Safety Tactical Swimming, Public Safety Firearms Instructor, Security and Investigative Services, etc. Next Steps •Maintain or increase our current enrollment numbers in all of our work skill programs. •Increase female student population to 30% over the next two years. •Succeed in becoming a Maritime Center of Excellence and an Unmanned Systems Center of Excellence •Establish two more profit-sharing incubator partnerships with our STEM programs •Successfully launch the apprenticeship program with the U.S. Naval Airbase North Island •Continue funding and planning for TCI2. Questions •Christie Marcella Economic Development Manager Christie.Marcella@carlsbadca.gov 760-602-2732 •Linda Kurokawa Executive Director lkurokawa@miracosta.edu 760-795-6824