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HomeMy WebLinkAboutItem 6a. Parking Program Update and authorization to advertise an RFP for Parking Rate Study Item 6a Department: Public Works Cost Center: 5101 For Agenda of: 11/7/2023 Placement: Public Hearing Estimated Time: 90 minutes FROM: Matt Horn, Public Works Director Prepared By: Jennifer Rice, Public Works Deputy Director Mobility Services SUBJECT: PARKING PROGRAM UPDATE AND AUTHORIZE ADVERTISEMENT OF A REQUEST FOR PROPOSALS FOR A PARKING RATE STUDY RECOMMENDATION 1. Review and provide direction on the project scope, strategy, and outreach efforts for the Parking Rate Study; and 2. Authorize the advertisement of the Request for Proposals for rate study vendors; and 3. Authorize the City Manager to execute an agreement with the selected consulting firm; and 4. Receive parking program update and consider near-term parking rate relief options, including consideration of staff’s recommendation to adopt a draft Resolution entitled, “A Resolution of the City Council of the City of San Luis Obispo, California, authorizing one hour of free parking for all users of the City’s parking structures.” REPORT-IN-BRIEF On June 7, 2022, the City Council approved parking rate increases effective January 2, 2023, July 1, 2023, and July 1, 2025, with the adoption of the 2022-23 Budget Supplement. The rate structure was based on anticipated impacts to the Parking Fund as a result of the proposed construction of the Cultural Arts District Parking Structure (CADPS). In February 2023, the Council adopted the Access and Parking Management Plan (APMP), and at that time, directed staff to return with a fee study evaluating al l parking rates and programs. With the recent construction contract award and lease revenue bond debt financing secured for the Cultural Arts District Parking Structure, now is the opportunity to conduct a comprehensive rate study since costs are better known. Additionally, staff is able to update the Parking Fund’s Long-Term Forecast (LTF) with these costs and has determined there is an opportunity for rate relief or adjustments in the near term that could further support the downtown commercial district, particularly as the holiday season is approaching. Page 143 of 281 Item 6a The following report provides an overview of the updated LTF, which indicates that the Parking Fund is anticipated to see revenues exceeding expenditures by an average of $1,060,0001 annually for the upcoming 5 year forecast due to better than anticipated financing for the CADPS and proposed reductions to the Capital Improvement Project budget to better reflect anticipated project completion timelines . The report further discusses the Parking Rate Study scope of work and various scenarios that will be considered as part of the study. Finally, as the LTF indicates opportunity to adjust programs and reduce revenue, the report also includes a list of options for Council’s consideration to provide near-term relief of the downtown parking rates to the community and visitors. Staff’s recommendation to Council is to reinstate the one-hour free for all structure users in all structures. POLICY CONTEXT Per General Plan Section 13.1 et seq2, City parking programs shall be financially self‐ supporting. Parking Services is responsible for maintaining the health of the Parking Fund and ensuring that all obligations and financial policies are met. Parking rates and fees ensure the fund is able to meet these obligations and policies. On April 18, 2023, the City Council adopted Resolution 11410: “A Resolution of the City Council of the City of San Luis Obispo, California, authorizing the Public Works Director or their designee to implement the Park Local Pilot Program” providing one hour free in the gateless parking structure to San Luis Obispo County community members who register for the program. Concurrent with this action was a commitment to initiate a parking rate study after the details of the Cultural Arts Parking District Structure were finalized. DISCUSSION Background The City of San Luis Obispo recognizes the importance of providing accessible and affordable parking options for community members, businesses, and visitors. As such, it is essential to assess the existing parking rates and parking permit fees to ensure those fees and rates align with the City's goals of maintaining an efficient and equitable parking system. Historically, the City’s parking rates have been substantially below the market value in an effort to support downtown commerce and economic vitality. The City Council approved three parking rate increases with the adoption of the 2022 Budget Supplement. The first rate increase was to go into effect January 2, 2023 to increase the 10-hour meter area of the downtown perimeter from $1.25 to $1.50. 1 Excluding FY 2023-24, as expenditures are planned to exceed revenues by $8.4 million due to the Cultural Arts District Parking Structure Construction Contract. 2 Commercial Parking 13.1. Policies 13.1.1. Curb Parking The City shall manage curb parking in the downtown to encourage short‐term use to those visiting businesses and public facilities. 13.1.2. City Parking Programs City parking programs shall be financia lly self‐supporting. Page 144 of 281 Item 6a This was ultimately deferred so as to not impose a new rate in the downtown during the winter months, which are historically the slower times. Additionally, at that time, the meters were in the process of being updated to credit card meters, and the older meters did not have the capability to support the change. As such, a rate increase didn’t go into effect until July 1, 2023. An additional rate increase is scheduled to take effect on July 1, 2025 (see table below). In February 2023, the Access and Parking Management Plan was adopted by Council. At that time, Council directed staff to return at a later date with a fee study evaluating all parking rates and fees. In June of 2023, Council authorized the allocation of $150,000 from the Parking Funds Undesignated Fund Balance to perform a rate study. Table 1: Downtown Parking Rates Downtown Parking Rates   Prior to July 1, 2023 Effective July 1, 2023 Effective July 1, 2025 On-Street Parking Hourly Tier 1 (Downtown Core, 2-hr) $ 2.00 $ 4.00 $ 5.00 Tier 2 (Outer Perimeter, 10-hr) $ 1.50 $ 3.00 $ 3.00 Structures Hourly $ 1.50 $ 3.00 $ 3.00 Daily Max $ 6.00 $ 12.00 $ 12.00 Overnight $ 15.00 $ 15.00 $ 15.00 *Prior to July 1, 2021, the 10-hr on-street parking area was $1.25/hour and the structure daily max was $12. Parking Rate Study As part of the ongoing effort to manage parking effectively and support the needs of the community, it is crucial to periodically evaluate and adjust parking rates and permit fees. Parking rate studies are typically completed every two to five years in order to allow for assessments of parking demand, occupancy rates, and revenue generation, as well as to address changing needs. Factors that would lead to more frequent parking rates studies include: 1. When there are significant changes such as new developments, changes in land use, population growth, or any significant change that would impact parking supply or parking demand. 2. If there are frequent complaints or issues related to parking, it may be necessary to conduct a parking rate study to identify the root causes and determine if changes to parking policies and rates are needed. 3. When implementing new technology in order to align with the new technology platforms. Page 145 of 281 Item 6a The parking rate study contemplated through the RFP process discussed in this report will serve the City for the next two to five years allowing leadership to make future parking rate decisions with this analysis coupled with known costs for debt service related to the recently awarded contract for the construction of the Cultura l Arts District Parking Structure. Parking Sentiment Parking plays a critical role in the fiscal health and customer satisfaction of the downtown area. Since the implementation of the parking rate increase and other changes on July 1, 2023, some downtown businesses, visitors, and employees have shared frustration with the increase in rates and concern f or potential negative impacts to the downtown environment and economy. City staff has been tracking sentiment of phone call interactions since September and, in general, less than 5% are negative sentiment, typically on the topics of the parking rates, the Park Local Program , and citations. Since July 1, 2023, the City has received significant correspondence from downtown business owners, employees and patrons expressing concerns that parking in the downtown (costs, technology, etc.) may be prohibitive for visitors. Downtown Area Parking Session and Visitation Data City staff tracks and reports a variety of information related to parking activity within the downtown, including the number of parking sessions compared to previous years. Overall, the period between July through October (2023) shows the number of parking sessions are up by 25% since the previous year (2022). While this does not necessarily equate to the number of visits to the downtown, it should be noted that the technology, enforcement procedures, and parking space inventory between the two comparison years has not changed to an extent that would impact the data. In addition to parking session data, staff has had the opportunity to see some initial mobile phone location data from a third-party provider. The location data shows a general decrease in visitation compared to last year throughout the County, including the City of San Luis Obispo. During the same period, the downtown area has seen a somewhat larger decline than the City as a whole. The specific causes of the decline are difficult to determine given the changes in consumer travel and buying behaviors because of the Covid-19 pandemic, increased inflation, labor issues, gas prices and other factors outside the City’s control as well as the recent parking changes. Ultimately, the data only shows the changes in visitation over time and does not describe the “why” behind those changes. Ultimately, these datasets are limited and conflicting, as neither provides a complete picture of what specifically is impacting travel behavior in the Downtown. The feedback from the Downtown community, however, has been consistent that fewer people are frequenting Downtown which has impacted businesses. That may be for a variety of reasons including, but not limited to the recent parking changes. Page 146 of 281 Item 6a Park Local Pilot Program On June 7, 2022, the City Council approved elimination of the long standing first-hour subsidy for all users of the downtown parking structures, effective July 1, 2023. On February 21, 2023, the City Council reviewed and approved the Access and Parking Management Plan. At that meeting, Council expressed a strong desi re to continue to support downtown businesses and employees by continuing to provide the first hour free in parking structures while still balancing the increased funding needs to support the construction of the Cultural Arts District Parking Structure. At that time, Council requested that staff develop and review with Council prior to implementation a pilot program that allows locals a first hour free benefit. On April 18, 2023, the City Council adopted a resolution to provide one hour free in the gateless parking structure located at 847 Palm Street to registered San Luis Obispo County residents as part of a Park Local Pilot Program. The resolution included direction for staff to return to Council and report on the status of the program during the 2024 Mid- Year Budget Report. Since implementation of the Park Local Pilot Program , there have been technological and user-adaptability challenges. Primarily, the technology systems in place in the gateless structure (pay stations and mobile apps) cannot automa tically include one-hour free for a specific subset of drivers (San Luis Obispo County residents that have registered to be a member of the Park Local Pilot Program). Unfortunately, this requires that Park Local permittees account for the free hour without any receipt or validation. This has presented significant challenges both in communicating the process to redeem the free hour, and the ease of using the program. Additionally, the sign-up process has proved challenging for a number of County residents, and significant staff resources have been necessary to assist residents in the process of registering for the program. Parking Program Fund Update The current rate structure was developed based on anticipated impacts to the Parking Fund as a result of the planned Cultural Arts District Parking Structure. Now that the Cultural Arts District Parking Structure’s construction contract has been awarded and the annual debt service cost is known, staff is able to update the Parking Funds Long Term Forecast (LTF) and evaluate if there is any opportunity for adjustments in the near term. The LTF included as Attachment C to this report shows a total anticipated average annual surplus of $1,060,000. Note that this scenario assumes that the planned rate increase for July 1, 2025 is not implemented. The LTF provided in Attachment C includes changes to total anticipated revenue and expenditures in the Parking Fund resulting in part from the Cultural Arts District Parking Structure construction costs and financing, as well as proposed reductions to the CIP. The proposed revisions to the CIP are consistent with the resources available to deliver capital projects in FY 2024-25 through FY 2028-29, as well as the need to prepare a new asset management plan in FY 2024-25 and implement this plan with the 2025-27 Financial Plan. This approach allows for a more updated asset management plan to be developed and aligned with revenue projections and new parking rates that will be considered by Council in April 2024. Page 147 of 281 Item 6a Scope of the Parking Rate Study The proposed parking rate study will comprehensively evaluate the parking rates and permit fees within the parking structures and on -street parking throughout the City. The key objectives of the study include: 1. Customer Outreach: The consultant shall propose a methodology for surveying and/or interviewing business owners, employees, community members, visitors, developers, stakeholders, and City staff to determine parking needs. The survey shall be used to identify needs, concerns, experiences, and issues with the current parking conditions in downtown San Luis Obispo. The process shall have several response opportunities to reach a broad cross-section of respondents. 2. Inventory Existing Parking: The inventory shall include public and private on-street, off-street, and surface parking. A block-by-block inventory within the study area for the following data shall be prepared: on -street parking spaces (number, location, time limit, and hours of service), public and private parking lot spaces (number, location, time limit, and hours of service), residential parking, loading zones, and accessible parking. Final reports shall include this data presented on a GIS -based map and spreadsheets. 3. Parking Usage and Observations Analysis: The study area shall be examined at different times of the day and days of the week to provide insight into changing dynamics in the parking demand of downtown San Luis Obispo and to determine average and peak occupancy, average turnover, and average parking durations. Areas of interest include determining peak demands and periods of the day when parking is at low demand and peak demand; identifying areas of perceived parking space shortages, and surpluses; identifying on-street parking spaces that are non- conforming with by-laws and legislation; identifying underutilized private lots that could potentially provide additional parking in high volume parking areas; identify, where appropriate areas for increased and/or improved pedestrian connectivity and walkability, including areas for bicycle and pedestrian amenities; identify where new parking spaces could be relocated to comply with accessibility standards and other applicable provincial and federal laws. 4. Assessment of Existing and Future Demand: Assess the demand for parking within the study area and evaluate the demand to current inventory; project new demand based on current land use ordinances and projected business and residential growth. Evaluate parking standards in current land use ordinances. Identify parking solutions to account for projected changes and/or growth in the study area. 5. Evaluate Various Scenarios: The Consultant shall evaluate various scenarios including, but not limited to the below list. Additional scenarios may be added as a result of community outreach. Page 148 of 281 Item 6a A. Evaluate elimination or adjustments to charging on-street 6:00PM – 9:00 PM B. Evaluate adjustments to the paid parking hours on Sunday C. Evaluate elimination of Park Local Program, and reverting to offering 1 hour free for everyone D. Evaluate deferring future approved rate increases (current Council approved rate increase will include another adjustment July 1, 202 5, to increase on-street parking to $5/hr) E. Evaluate rates specifically for new Cultural Arts District Parking Structure F. Evaluate block time payments G. Evaluate tier-based parking pricing H. Evaluate demand-based parking pricing I. Evaluate daily parking bundles J. Evaluate maximum daily rates in the structures to incentivize longer term parking K. Evaluate permit parking fees (downtown as well as preferential parking districts) L. Evaluate the current validation program and possible improvements M. Evaluate impacts of changes to the grace periods for enforcement N. Evaluate the costs and benefits of user experience enhancement options including but not limited to License Plate Recognition (LPR) auto billing in the structures, a. Reduction in the number of supported mobile apps, b. Signage and communication options 6. Identify Parking Priorities and Recommendations : Develop parking priorities and recommendations to help address community and downtown business parking concerns. A phased implementation plan to meet current and future parking needs shall be included. Recommended strategies may include, but are not limited to: A. Public-private partnerships, including the creation of license agreements/memorandums of understanding for public use of private off - street parking lots and other innovative and creative parking solutions. Page 149 of 281 Item 6a B. Bicycle and pedestrian connectivity improvement, including signage, wayfinding, and lighting recommendations. C. Land use ordinance amendments, such as changes to parking standards and parking in-lieu fees. D. Changes to public parking supply and locations, including establishing peripheral parking and repurposing existing parking spots where appropriate. E. Programs and initiatives such as educational, equitable, informational and/or marketing materials for local businesses and residents, rideshare and bikeshare programs, park and walk initiatives, employee and user incentives, senior rates, low-income parking permits, parking demand management, and enforcement. Consideration of Near-Term Relief to Downtown Parking Rates Recently, the City has secured better than anticipated financing for the Cultural Arts District Parking Structure, which has allowed staff the ability to update the LTF for the Parking Fund. As part of this updated LTF, staff has evaluated certain scenarios that could provide relief to downtown businesses and support local visits to the downtown, including reinstating one-hour free to all users of the parking structures. If any scenario is acted upon by Council the scope of work for the Rate Study RFP will be updated to reflect these changes. It should be noted that a permanent implementation of any of these scenarios may impact the flexibility of future rates, programs, and/or opportunities that may be recommended as part of the final Rate Study. As previously stated, the Parking Fund is anticipated to have an annual surplus of $1,060,000. The near term relief scenarios described below have been modeled and are presented to Council considering the Parking Fund’s annual surplus. Tables 3 and 4 included in the Fiscal Impact Section of this report, show projected fiscal impacts of these scenarios described below. Structure Rate Scenarios 1. One-Hour Free in Structures: Council could consider providing the first hour free of parking in all parking structures. This could be a permanent reinstatement, or done on an interim basis, both of which are shown in Table 3. 2. Reduced Structure Parking: Council could consider reducing the maximum rate in the parking structures, for example, from $12 daily maximu m to $6 or $9 daily maximum, to encourage longer trips to downtown. 3. Free Structure Parking Days: Council could consider subsidizing free structure parking on Sundays, or another specified day, for example Monday, which is typically the slowest day in downtown, to encourage local visits to downtown businesses. Page 150 of 281 Item 6a On-Street Scenario 4. Adjust Paid Parking Times (9 AM – 6 PM): Council could consider reducing or removing the evening enforcement hours. In 2021, enforcement hours were expanded from 6 PM to 9 PM. It should be noted that the estimated lost revenue shown in the fiscal section for this scenario includes the lost revenue of the on - street spaces, lost revenue due to citations, and lost revenue in the structures to account for shifts in driver behavior as drivers shift from parking in the structures to on-street during the 6 PM to 9 PM time period. The estimate is based on reasonable assumptions understanding that actual revenue may be different given the difficulty for modeling parking behaviors. Staff’s recommendation for Council’s consideration is to provide immediate relief of downtown parking rates by reinstating and subsidizing one hour free in all structures for everyone. Attachment D is the revised LTF (as shown in Attachment C) including the first hour free scenario. As previously noted, the Park Local Pilot Program has technological and customer experience challenges. Additionally, one hour free for all structure users has been identified by the downtown community and partners as a key adjustment and strategy since rate changes went into effect on July 1, 2023. If Council approves this option, the scope of the Rate Study would be modified to include evaluation of other parking fees to account for the ongoing program costs of reinstating the one ho ur free. Staff estimates it will take approximately 2 weeks to fully implement the necessary technology and physical infrastructure to reinstate the first hour free in the structures:  Technology Update in 842 Palm (Gateless Technology) – approx. 2 weeks  Technology Update in 919 Palm and Marsh Structure (Gated System) – approx. 1 week  Signage Update in all Structures – approx. 2 weeks The goal would be to have the one hour free operational by Thanksgiving weekend. Note that communication efforts would happen concurrently during this work as well as beyond. Additionally, with the reinstatement of one hour free for everyone, the Park Local Pilot Program would be concluded. Previous Council or Advisory Body Action On June 7, 2022, Council approved three parking rate increases with the adoption of the 2022 Budget Supplement, as well as the elimination of the first-hour subsidy for all customers of the downtown parking structures. On February 21, 2023 City Council received and adopted the Access and Parkin g Management Plan (APMP). Council also directed staff to conduct a rate study on all parking fees and return at a later time. Additionally, Council directed staff to create a pilot program to continue to provide one hour free for San Luis Obispo County residents. Page 151 of 281 Item 6a On April 18, 2023, the City Council adopted a resolution to provide one hour free in the gateless parking structure to registered San Luis Obispo County residents as park of a Park Local Pilot Program. On June 6, 2023, Council authorized with the adoption of the 2023-25 Financial Plan the allocation of $150,000 to conduct a parking rate study. Public Engagement The scope of the Parking Rate Study RFP was presented to and reviewed by both internal and external stakeholders:  September 2023: Parking Steering Committee (comprised of internal and external stakeholders, including representation from Downtown SLO, SLO Museum of Art and SLO Repertory Theater)  October 2023: SLO Chamber of Commerce Economic Development Committee  October 2023: Downtown SLO Board of Directors The Rate Study also includes a public engagement component which will include, but not be limited to the following: 1. Survey of downtown residents, visitors, business owners and employees 2. Presence at community events, such as Farmers’ Market Initial feedback heard from stakeholders includes the following and has been incorporated into the Rate Study RFP and work plan:  Consider programs specific for employees, particularly part time and/or late-night employees.  Study should look at user experience as a whole, rather than just rates .  Consider programs to improve ease/convenience to the user that would also save on administrative costs.  Consider business, community and stakeholder input throughout the data collection and study, and prioritize that it is reflected in the final study. Additionally, City staff continues to engage with the downtown community, partners and stakeholders daily, particularly in regard to the current challenges some are experiencing due to the recent rate changes. Page 152 of 281 Item 6a CONCURRENCE The City’s Economic Development Program has reviewed the Parking Rate Study RFP and concurs with the recommendations within this report. ENVIRONMENTAL REVIEW The California Environmental Quality Act does not apply to the recommended action in this report, because the action does not constitute a “Project” under CEQA Guidelines Sec. 15378. FISCAL IMPACT Budgeted: Yes Budget Year: 2023-24 Funding Identified: Yes Fiscal Analysis: Parking Rate Study Table 2: Rate Study Budget and Funding Source Funding Sources Total Budget Available Current Funding Request Remaining Balance Annual Ongoing Cost Parking Fund $150,000 $0 $150,000 $0 State Federal Fees Other: Total $150,000 $0 $150,000 $0 A budget of $150,000 has been allocated to cover the expenses associated with conducting this comprehensive rate study. The funds will be utilized for data collection, analysis, consultant fees, community engagement activities, and the production of a final report with actionable recommendations. Fiscal Impact of Near-Term Relief to Downtown Parking Rates Options The below tables identify the anticipated fiscal impacts associated with each scenario discussed above and assume Council concurs with the proposed CIP reductions for Parking Structure Asset Maintenance. Note that the Council could opt to approve relief for an interim time period or until the conclusion of the Parking Rate Study. However, the table below includes continued anticipated annual costs, for reference, if these changes were to be permanent. The costs to implement each scenario until the conclusion of Parking Rate Study is shown in the table below column “2023-24 Cost”. Page 153 of 281 Item 6a In order to evaluate the Parking Fund’s resilience with these scenarios’ annual ongoing costs, it is important to evaluate the fund’s total revenue, total expenditures, and fund balance. Table 4 below shows these three indicators. Table 3: Scenario Estimated Lost Revenue Near-Term Solution 2023-24 Revenue1 Annual Ongoing Revenue Structures First Hour Free ($830,000) ($1,420,000) First Hour Free for Interim Time ($116,000)/month Reduce to $9 Daily Max ($216,000) ($370,000) Reduce to $6 Daily Max ($599,000) ($1,026,000) Free Parking Sunday ($96,000) ($163,000) Free Parking Sunday and Monday ($272,000) ($466,000) Reduced Hour Cost each $0.25 ($186,000) ($318,000) On-Street Adjust Paid Parking Times (9 AM – 6 PM) ($1,057,000) ($1,811,300) 1. Effective Thanksgiving Weekend 2023 Page 154 of 281 Item 6a Table 4: Scenario Revenue, Expenditure and Fund Balance FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 Structures First Hour Free Revenues $9,558,434 $9,529,334 $9,987,287 $10,007,606 Expenditures $9,757,960 $9,691,322 $10,262,290 $9,904,944 Unappropriated Fund Balance $2,566,885 $2,309,147 $1,933,539 $1,927,958 Reduced Parking Structure Daily Maximum Costs to $9 Revenues $10,608,434 $10,587,334 $11,051,287 $11,076,606 Expenditures $9,757,960 $9,691,322 $10,262,290 $9,904,944 Unappropriated Fund Balance $4,230,885 $5,031,147 $5,719,539 $6,782,958 Reduced Parking Structure Daily Maximum Costs to $6 Revenues $9,952,434 $9,926,334 $10,386,287 $10,408,606 Expenditures $9,757,960 $9,691,322 $10,262,290 $9,904,944 Unappropriated Fund Balance $3,191,885 $3,331,147 $3,354,539 $3,749,958 Free Parking Sunday Revenues $10,815,434 $10,796,334 $11,260,287 $11,287,606 Expenditures $9,757,960 $9,691,322 $10,262,290 $9,904,944 Unappropriated Fund Balance $4,557,885 $5,567,147 $6,464,539 $7,738,958 Free Parking Sunday and Monday Revenues $10,512,434 $10,491,334 $10,953,287 $10,979,606 Expenditures $9,757,960 $9,691,322 $10,262,290 $9,904,944 Unappropriated Fund Balance $4,078,885 $4,783,147 $5,373,539 $6,339,958 Reduced Hour Cost each $0.25 for Structures Revenues $10,660,434 $10,640,334 $11,103,287 $11,129,606 Expenditures $9,757,960 $9,691,322 $10,262,290 $9,904,944 Unappropriated Fund Balance $4,312,885 $5,166,147 $5,906,539 $7,022,958 Page 155 of 281 Item 6a On-Street Adjust Paid Parking Times (9 AM - 6 PM) Revenues $9,167,134 $9,135,034 $9,590,987 $9,609,306 Expenditures $9,757,960 $9,691,322 $10,262,290 $9,904,944 Unappropriated Fund Balance $1,948,585 $1,296,547 $524,639 $120,758 ALTERNATIVES 1. Reject the authorization to release an RFP for the rate study. Staff does not recommend this alternative as it would hinder the City's ability to assess and adapt parking rates and permit fees in a proactive and data -driven manner, potentially impacting the overall efficiency and effectiveness of Parking Services. Th is investment will provide valuable insights and ensure that parking policies align with the needs of the community, promote turnover, and support the long-term sustainability of the parking system. 2. Reject staff’s recommendation to subsidize one hour free for all structure users. Staff does not recommend this alternative as the downtown community continues to express challenges and concerns associated with the current rates. Reinstating the first hour free for all structure users is consistent with what the downtown community has expressed to be their highest priority. ATTACHMENTS A - Parking Rate Study Request for Proposal B - Draft Resolution to authorize one hour of free parking in the parking structures for all users C - Revised Long Term Forecast D - Revised Long Term Forecast including Staff Recommended First Hour Free Page 156 of 281 The City of San Luis Obispo is committed to including disabled persons in all of our services, programs and activities. Telecommunications Device for the Deaf (805) 781-7410. Notice Requesting Proposals for City of SLO 2024 Parking Rate Study The City of San Luis Obispo is requesting sealed proposals for a parking rate study for Parking Services. All firms interested in receiving further correspondence regarding this Request for Proposals (RFP) will be required to complete a free registration using BidSync (https://www.bidsync.com/bidsync-app- web/vendor/register/Login.xhtml). All proposals must be received via BidSync by the Department of Finance at or before 5:00 PM December 1, 2023 when they will be opened electronically via BidSync on the proposal end date and time. The preferred method for bid submission is electronic via BidSync. However, if you wish to submit a paper copy, please submit it in a sealed envelope to the Department of Finance, City of San Luis Obispo, 990 Palm Street, San Luis Obispo, CA, 93401. Project packages and additional information may be obtained at the City’s BidSync website at www.BidSync.com. Please contact Jennifer Rice, Public Works Deputy Director of Mobility Services at jrice@slocity.org or 805-781-7058 with any questions. For technical help with BidSync please contact BidSync tech support at 800-990-9339. Page 157 of 281 TABLE OF CONTENTS A. INTRODUCTION ......................................................................................................................................... 3 B. SCOPE OF WORK ....................................................................................................................................... 5 C. PROJECT SCHEDULE .................................................................................................................................. 8 D. PROJECT BUDGET ...................................................................................... Error! Bookmark not defined. E. GENERAL TERMS AND CONDITIONS ......................................................................................................... 8 F. SPECIAL TERMS AND CONDITIONS .................................................... ERROR! BOOKMARK NOT DEFINED. G. FORM OF AGREEMENT ............................................................................................................................. 6 H. INSURANCE REQUIREMENTS ............................................................ ERROR! BOOKMARK NOT DEFINED. I. PROPOSAL SUBMITTAL FORMS .................................................................................................................. 2 Page 158 of 281 -3- A. INTRODUCTION The City is requesting proposals from qualified and experienced firms to conduct a comprehensive parking rate study. We are interested in understanding our current parking rates, evaluating the competitiveness of our rates compared to other municipalities of similar size and population and identifying opportunities for revenue optimization. Existing Infrastructure The City’s Parking Services Program provides on-street and off-street public parking facilities including: five public parking lots downtown, three parking structures, 11 preferential parking permit districts, 55 multi- space pay stations, and over 700 single space parking meters. The Parking Services Program also oversees 15,000 sq. ft. of retail space, 2,100 sq. ft. of office space, and three residential parcels that total 22,000 sq. ft. EV Charging Stations & Parking The City of San Luis Obispo continues to improve parking in the Downtown core with new technology including electric vehicle charging stations.  98 public charging station ports  A total of 19 charging spaces are now available including two reserved for vehicles with a valid disabled placard or license plate in the Marsh Street parking structure Gateless The City has installed new gateless technology at the 842 Palm Street Structure. The remaining two structures, 919 Palm and 871 Marsh, will be converted Summer/Fall 2024. Cultural Arts District Parking Structure The Cultural Arts District Parking Structure will be the City’s fourth parking structure. The City broke ground in Spring of 2023 and is anticipated to take two years to complete. By investing in the Cultural Arts District Parking Structure, the City will:  Increase downtown’s transportation options for community members, including vehicle parking, electric vehicle charging stations, and bike storage. Page 159 of 281 -4-  Increase public event space downtown.  Set the stage for a vibrant and pedestrian-friendly Cultural Arts District, including a new SLO Repertory (SLO Rep) Theater.  Provide safe overnight parking options for downtown residents and provide much-needed parking options for new housing units that are planned for downtown. When completed, the Cultural Arts Parking Structure will stand at five stories and provide the community with 397 new parking spaces, 41 of which will have electric vehicle (EV) charging stations. The parking structure will be wired to expand EV charging stations in other parking spaces as needed in the future. There will also be 32 bike racks for convenient bike parking. The structure will be accessible 24 hours a day, seven days a week, and includes short-term and long-term bicycle parking. It will serve residents who live downtown and will also operate DROP (the Downtown Residential Overnight Parking program). The roof level has been designed to accommodate special events with excellent views of both the Bishop and Cerro San Luis peaks. The outdoor courtyard will serve as a meeting place and provide a pedestrian connection to the Monterey Street corridor. The design team has maximized the use of the site to include the parking structure, SLO Rep Theater, and future housing. Current and Planned Rates Current Rates as of July 2023  Parking structures: $3 per hour, $12 maximum daily rate, overnight parking rate (12am to prior to 12am on the next day) $15  Two-hour on-street parking in downtown core: $4 per hour  10-hour on-street parking in outer downtown area: $3 per hour Future / Planned Rates as of July 2025  Parking structures: $3 per hour, $12 maximum daily rate, overnight parking rate (12am to prior to 12am on the next day) $15  Two-hour on-street parking in downtown core: $5 per hour  10-hour on-street parking in outer downtown area: $3 per hour Permits and Programs Commercial Loading Zone Permits Price: $60.00 per permit/per year Commercial Loading Zone Permits are currently $60 for each permit and expire on October 31 each calendar year. Monthly Street Parking Permit (10-hour Meter Permit) Price: $60/month and $180/quarter This permit provides downtown employees access to reduced rate parking at all 10-Hour metered areas. Each permit allows up to 10 hours of parking at the 10-Hour metered areas for a vehicle displaying a valid pass. Vehicles must relocate to another 10-Hour metered spaces for additional time each day. The permits are available five (5) business days prior to the first of the month and/or quarter. Downtown Business Parking Validation Businesses can purchase validation tickets or codes (100 for $200). Each validation ticket is equivalent to 1 hour of parking. This is a 33% savings on the hourly rates. Page 160 of 281 -5- Validation tickets are a way to provide parking validation for downtown customers (or staff) in any of the three downtown parking structures (842 Palm, 919 Palm, 871 Marsh) and at select pay stations for on-street parking. Quarterly Parking Pass for Employees (PROX Card Pass) Price: $255/quarter This pass provides daily access with access to either the 842 Palm or 871 Marsh Parking Structures. Each pass provides unrestricted access for one vehicle between the hours of 6:00 am – 12:00 am. Residential Overnight Parking (DROP PROX Card Pass) Price: $375 per quarter The City provides an overnight parking option for downtown residents only. Participants of this program are allowed unlimited use of either the 842 Palm or 871 Marsh Parking Structures. The cost is $375/Quarter, and all applicants must provide proof of downtown residency. Preferential Parking District Permit Price: $20 per year The City manages 13 Preferential Parking District which ensure that residents are able to find adequate parking in the area they reside. Qualified properties are provided 2 parking permits per address at an annual cost of $20 per permit. Roughly 900 properties are currently eligible to participate in the program. Downtown Special Event and Construction Parking Permit Price: $20 per space per day This permit allows the public to reserve a parking space for a special event or construction project. Park Local Pilot Program Permit Price: No charge The Park Local Pilot Program allows San Luis Obispo County residents to have one hour of free parking in downtown structures once they register to participate in the program. The City created the program to make certain that residents continue to have reasonably priced parking options to encourage downtown visits and support local businesses. B. SCOPE OF WORK The City is looking for a reputable vendor to perform a thorough analysis of the parking permit and hourly parking rates. The goal of this study is to provide valuable insights in order to make informed decisions about our parking rate structure, ensuring it aligns with the needs of our customers while optimizing our revenue generation. 1. Project Coordination The Consultant will work closely with the Parking Services Division throughout all phases of the project and the completion of the scope of services. Regular project management meetings with municipal staff will be expected throughout the project. 2. Customer Outreach The consultant shall propose a methodology for surveying and/or interviewing business owners, employees, residents, visitors, developers, stakeholders, and municipal staff to determine parking needs. The survey shall be used to identify needs, concerns, experiences, and issues with the current parking conditions in downtown San Luis Obispo. The process shall have several response opportunities, to reach a broad cross-section of respondents. Page 161 of 281 -6- 3. Update Inventory of Existing Parking The City completed an inventory of existing parking in spring 2023. The consultant should update that inventory as necessary to ensure that the inventory contains a block-by-block inventory within the study area (Exhibit B) with the following: on-street parking spaces (number, location, time limit, and hours of service), public and private parking lot spaces (number, location, time limit, and hours of service), residential parking, loading zones, and accessible parking. Final reports shall include this data presented on a GIS-based map and spreadsheets. 4. Parking Usage and Observations Analysis The study area shall be examined at different times of the day and days of the week to provide insight into changing dynamics in the parking demand of downtown San Luis Obispo and to determine average and peak occupancy, average turnover, and average parking durations. Areas of interest include determining peak demands and periods of the day when parking is at low demand and peak demand; identifying areas of perceived parking space shortages, and surpluses; identifying on-street parking spaces that are non- conforming with by-laws and legislation; identifying underutilized private lots that could potentially provide additional parking in high volume parking areas; identify, where appropriate areas for increased and/or improved pedestrian connectivity and walkability, including areas for bicycle and pedestrian amenities; identify where new parking spaces could be relocated to comply with accessibility standards and other applicable provincial and federal laws. Relevant by-laws such as restrictions to Winter overnight parking, parking ratios required for new development and front yard parking set-back requirements should be reviewed. 5. Assessment of Existing and Future Demand Assess the demand for parking within the study area and evaluate the demand to current inventory; project new demand based on current land use ordinances and projected business and residential growth. Evaluate parking standards in current land use ordinances. Identify parking solutions to account for projected changes and/or growth in the study area. 6. Evaluate Various Scenarios The Consultant shall evaluate various scenarios including, but not limited to the below list. Additional scenarios may be added as a result of community outreach. 1. Evaluate elimination of charging on-street 6PM – 9PM 2. Evaluate adjustments to the paid parking hours on Sunday 3. Evaluate elimination of Parks Local Program, and reverting to offering 1 hour free for everyone 4. Evaluate deferring future approved rate increases 5. Evaluate rates specifically for new Cultural Arts District Parking Structure 6. Evaluate block time payments 7. Evaluate tier-based parking pricing 8. Evaluate demand-based parking pricing 9. Evaluate daily parking bundles 10. Evaluate maximum daily rates in the structures to incentivize longer term parking 11. Evaluate permit parking fees (downtown as well as preferential parking districts) 12. Evaluate the current validation program and possible improvements 13. Evaluate impacts of changes to the grace periods for enforcement Page 162 of 281 -7- 14. Evaluate the costs and benefits of user experience enhancement options including but not limited to: a. License Plate Recognition auto billing in the structures b. Reduction in the number of supported mobile apps c. Signage and communication options 7. Identify Parking Priorities and Recommendations Develop parking priorities and recommendations to help address community and downtown parking concerns. A phased implementation plan to meet current and future parking needs shall be included. Recommended strategies may include, but are not limited to:  Public-private partnerships, including the creation of license agreements/memorandums of understanding for public use of private off-street parking lots and other innovative and creative parking solutions.  Bicycle and pedestrian connectivity improvement, including signage, wayfinding, and lighting recommendations.  Land use ordinance amendments, such as changes to parking standards and parking in-lieu fees.  Changes to public parking supply and locations, including establishing peripheral parking and repurposing existing parking spots where appropriate.  Programs and initiatives such as educational, informational and/or marketing materials for local businesses and residents, rideshare and bikeshare programs, park and walk initiatives, employee and user incentives, parking demand management, and enforcement.  Programs to increase ease/convenience to the user while also saving costs on administrative processes.  Employee specific parking programs, considering both full and part time employees, late night employees, location/security of parking areas. 8. Final Report The tasks above will be combined into a final report documenting the project. Deliverables:  Review the public parking needs of the community.  Collect data and present it in a graphical and spreadsheet format. A map/inventory of downtown parking shall be developed illustrating current parking spaces in the study area including the location of handicap spaces and drop-off/loading spaces, public vs. private status and time regulations of public parking spaces.  The survey of utilization and use patterns shall be tabulated and illustrated with graphics.  Create a set of performance measurements for tracking the success of the program.  Evaluate various scenarios as described.  Conduct community consultation with groups as identified including the public, staff, Council, municipal advisory committees, and community groups.  Attend and participate in meetings with Parking Services and provide timely, accurate, and reliable information.  Develop a Parking Rate Study report, summarizing study findings and recommendations. A draft shall be prepared for stakeholder review, and a final version shall be submitted to Parking Services in electronic form, along with all original files and data developed and used as part of this study. Page 163 of 281 -8- C. PROJECT SCHEDULE Preliminary Schedule Begin Study  January 2023 Final Rate Study  March 2023 E. GENERAL TERMS AND CONDITIONS PROPOSAL REQUIREMENTS 1. Requirement to Meet All Provisions. Each individual or firm submitting a proposal (bidder) shall meet all the terms, and conditions of the Request for Proposals (RFP) project package. By virtue of its proposal submittal, the bidder acknowledges agreement with and acceptance of all provisions of the RFP specifications. 2. Proposal Submittal. Each proposal must be submitted on the form(s) provided in the specifications and accompanied by any other required submittals or supplemental materials. Proposal documents shall be submitted electronically via BidSync. However, if you can’t submit electronic please send your bid copy in a sealed envelope to the Department of Finance, City of San Luis Obispo, 990 Palm Street, San Luis Obispo, CA, 93401. To guard against premature opening, the proposal should be clearly labeled with the proposal title, project number, name of bidder, and date and time of proposal opening. No FAX submittals will be accepted. 3. Insurance Certificate. Each proposal must include a certificate of insurance showing: a. The insurance carrier and its A.M. Best rating. b. Scope of coverage and limits. c. Deductibles and self-insured retention. The purpose of this submittal is to generally assess the adequacy of the bidder’s insurance coverage during proposal evaluation; as discussed under paragraph 12 below, endorsements are not required until contract award. The City’s insurance requirements are detailed in Section E. 4. Proposal Quotes and Unit Price Extension. The extension of unit prices for the quantities indicated and the lump sum prices quoted by the bidder must be entered in figures in the spaces provided on the Proposal Submittal Form(s). Any lump sum bid shall be stated in figures. The Proposal Submittal Form(s) must be totally completed. If the unit price and the total amount stated by any bidder for any item are not in agreement, the unit price alone will be considered as representing the bidder’s intention and the proposal total will be corrected to conform to the specified unit price. 5. Proposal Withdrawal and Opening. A bidder may withdraw its proposal, without prejudice prior to the time specified for the proposal opening, by submitting a written request to the Director of Finance for its withdrawal, in which event the proposal will be returned to the bidder unopened. No proposal received after the time specified or at any place other than that stated in the “Notice Inviting Bids/Requesting Proposals” will be considered. All proposals will be opened and declared publicly. Bidders or their representatives are invited to be present at the opening of the proposals. Page 164 of 281 -9- 6. Submittal of One Proposal Only. No individual or business entity of any kind shall be allowed to make or file, or to be interested as the primary submitter in more than one proposal, except an alternative proposal when specifically requested; however, an individual or business entity that has submitted a sub-proposal to a bidder submitting a proposal, or who has quoted prices on materials to such bidder, is not thereby disqualified from submitting a sub-proposal or from quoting prices to other bidders submitting proposals. 7. Communications. All timely requests for information submitted in writing will receive a written response from the City. Telephone communications with City staff are not encouraged but will be permitted. However, any such oral communication shall not be binding on the City. CONTRACT AWARD AND EXECUTION 8. Proposal Retention and Award. The City reserves the right to retain all proposals for a period of 60 days for examination and comparison. The City also reserves the right to waive non-substantial irregularities in any proposal, to reject any or all proposals, to reject or delete one part of a proposal and accept the other, except to the extent that proposals are qualified by specific limitations. See the “special terms and conditions” in Section C of these specifications for proposal evaluation and contract award criteria. 9. Competency and Responsibility of Bidder. The City reserves full discretion to determine the competence and responsibility, professionally and/or financially, of bidders. Bidders will provide, in a timely manner, all information that the City deems necessary to make such a decision. 10. Contract Requirement. The bidder to whom award is made (Contractor) shall execute a written contract with the City within ten (10) calendar days after notice of the award. The contract shall be made in the form adopted by the City and incorporated in these specifications. CONTRACT PERFORMANCE 11. The City’s contract terms and conditions that Contractor will be expected to execute and be bound by are attached hereto as Exhibit A. Page 165 of 281 -10- F. SPECIAL TERMS AND CONDITIONS 1. Contract Award. Subject to the reservations set forth in Paragraph 9 of Section E (General Terms and Conditions) of these specifications, the contract will be awarded to the lowest responsible, responsive proposer. 2. Sales Tax Reimbursement. For sales occurring within the City of San Luis Obispo, the City receives sales tax revenues. Therefore, for bids from retail firms located in the City at the time of proposal closing for which sales tax is allocated to the City, 1% of the taxable amount of the bid will be deducted from the proposal by the City in calculating and determining the lowest responsible, responsive proposer. 3. Labor Actions. In the event that the successful proposer is experiencing a labor action at the time of contract award (or if its suppliers or subcontractors are experiencing such a labor action), the City reserves the right to declare said proposer is no longer the lowest responsible, responsive proposer and to accept the next acceptable low proposal from a proposer that is not experiencing a labor action, and to declare it to be the lowest responsible, responsive proposer. 4. Failure to Accept Contract. The following will occur if the proposer to whom the award is made (Contractor) fails to enter into the contract: the award will be annulled; any bid security will be forfeited in accordance with the special terms and conditions if a proposer's bond or security is required; and an award may be made to the next lowest responsible, responsive proposer who shall fulfill every stipulation as if it were the party to whom the first award was made. 5. Contract Term. The supplies or services identified in this specification will be used by the City until completion of said services but not to exceed one year from the date of contract execution. The prices quoted for these items must be valid for the entire period indicated above unless otherwise conditioned by the proposer in its proposal. 6. Contract Extension. The term of the contract may be extended by mutual consent for an additional one-year, and annually thereafter, for a total of four years. 7. Supplemental Purchases Supplemental purchases may be made from the successful proposer during the contract term in addition to the items listed in the Detail Proposal Submittal Form. For these supplemental purchases, the proposer shall not offer prices to the City in excess of the amounts offered to other similar customers for the same item. If the proposer is willing to offer the City a standard discount on all supplemental purchases from its generally prevailing or published price structure during the contract term, this offer and the amount of discount on a percentage basis should be provided with the proposal submittal. 8. Contractor Invoices. The Contractor may deliver either a monthly invoice to the City with attached copies of detail invoices as supporting detail, or in one lump-sum upon completion. Page 166 of 281 -11- 9 Non-Exclusive Contract. The City reserves the right to purchase the items listed in the Detail Proposal Submittal Form, as well as any supplemental items, from other vendors during the contract term. 10. Unrestrictive Brand Names. Any manufacturer's names, trade names, brand names or catalog numbers used in the specifications are for the purpose of describing and establishing general quality levels. Such references are not intended to be restrictive. Proposals will be considered for any brand that meets or exceeds the quality of the specifications given for any item. In the event an alternate brand name is proposed, supplemental documentation shall be provided demonstrating that the alternate brand name meets or exceeds the requirements specified herein. The burden of proof as to the suitability of any proposed alternatives is upon the proposer, and the City shall be the sole judge in making this determination. 11. Delivery. Prices quoted for all supplies or equipment to be provided under the terms and conditions of this RFP package shall include delivery charges, to be delivered F.O.B. San Luis Obispo by the successful proposer and received by the City within 90 days after authorization to proceed by the City. 12. Start and Completion of Work. Work on this project shall begin immediately after contract execution and shall be completed within 90 calendar days thereafter, unless otherwise negotiated with City by mutual agreement. 13. Change in Work. The City reserves the right to change quantities of any item after contract award. If the total quantity of any changed item varies by 25% or less, there shall be no change in the agreed upon unit price for that item. Unit pricing for any quantity changes per item in excess of 25% shall be subject to negotiation with the Contractor. 14. Submittal of References. Each proposer shall submit a statement of qualifications and references on the form provided in the RFP package. 15. Statement of Contract Disqualifications. Each proposer shall submit a statement regarding any past governmental agency bidding or contract disqualifications on the form provided in the RFP package. Page 167 of 281 -12- PROPOSAL CONTENT 1. Proposal Content. Your proposal must include the following information: Submittal Forms a. Proposal submittal summary. b. Certificate of insurance. c. References from at least three firms for whom you have provided similar services. Qualifications d. Experience of your firm and those of sub-consultants in performing work and projects relevant to the Scope of Services outlined and described in the request. e. Resumes of the individuals who would be assigned to this project, including any sub- consultants, with their corollary experience highlighted and specific roles in this project clearly described. f. Standard hourly billing rates for the assigned staff, including any sub-consultants. g. Statement and explanation of any instances where your firm or sub-consultant has been removed from a project or disqualified from proposing on a project. h. Must have experience conducting parking studies in communities of comparable or larger size and scope to San Luis Obispo. The proposer must demonstrate capabilities in providing these services to similarly sized communities and the ability to work creatively with key stakeholders. i. Must have been in business providing parking studies for a minimum of four years. The proposer must have provided parking studies in other communities and demonstrated this through its proposal. Work Program j. Detailed description of your approach to completing the work. k. Detailed schedule by task and sub-task for completing the work. l. Estimated hours for your staff in performing each phase and task of the work, including sub- consultants, so we can clearly see who will be doing what work, and how much time it will take. m. Detailed budget by task and sub-task for completing the work. n. Services or data to be provided by the City. o. Services and deliverables provided by the Consultant(s). p. Any other information that would assist us in making this contract award decision. q. Description of assumptions critical to development of the response which may impact cost or scope. Requested Changes to Terms and Conditions r. The City desires to begin work soon after selecting the preferred Consultant and expects the Consultant to execute the City’s contract and all of the terms therein, as set forth in Exhibit A. To expedite the contracting process, each submittal shall include requested redlined changes to terms and conditions, if necessary. Please be advised that Consultant’s requested changes to the City’s terms and conditions will be considered by City staff when scoring and determining the competency and responsibility of the proposer. Page 168 of 281 -13- Proposal Length s. Proposal length should only be as long as required to be responsive to the RFP, including attachments and supplemental materials. 2. Proposal Evaluation and Selection. Proposals will be evaluated by a review committee and evaluated on the following criteria: a. Understanding of the work required by the City. b. Quality, clarity and responsiveness of the proposal. c. Demonstrated competence and professional qualifications necessary for successfully performing the work required by the City. d. Recent team experience in successfully performing similar services. e. Creativity of the proposed approach in completing the work. f. Value g. Writing skills. h. References. i. Background and experience of the specific individuals managing and assigned to this project. j. The ability to deliver the study within the specified timeline. As reflected above, contract award will not be based solely on price, but on a combination of factors as determined to be in the best interest of the City. After evaluating the proposals and discussing them further with the finalists or the tentatively selected contractor, the City reserves the right to further negotiate the proposed work and/or method and amount of compensation. 3. Proposal Review and Award Schedule. The following is an outline of the anticipated schedule for proposal review and contract award: a. Issue RFP 11/10/23 b. Receive proposals 12/1/23 c. Complete proposal evaluations 12/15/23 d. Execute contract 12/20/23 e. Start work 1/15/24 f. Complete work 3/15/24 4. Ownership of Materials. All original drawings, plan documents and other materials prepared by or in possession of the Contractor as part of the work or services under these specifications shall become the permanent property of the City and shall be delivered to the City upon demand. 5. Release of Reports and Information. Any reports, information, data, or other material given to, prepared by or assembled by the Contractor as part of the work or services under these specifications shall be the property of the City and shall not be made available to any individual or organization by the Contractor without the prior written approval of the City. 6. Copies of Reports and Information. If the City requests additional copies of reports, drawings, specifications, or any other material in addition to what the Contractor is required to furnish in limited quantities as part of the work or services under these specifications, the Contractor shall provide such additional copies as are requested, and City shall compensate the Contractor for the costs of duplicating of such copies at the Contractor's direct expense. Page 169 of 281 -14- 7. Required Deliverable Products. The Contractor will be required to provide: a. One electronic submission - digital-ready original .pdf of all final documents. If you wish to file a paper copy, please submit in sealed envelope to the address provided in the RFP. b. Corresponding computer files compatible with the following programs whenever possible unless otherwise directed by the project manager: Word Processing: MS Word Spreadsheets: MS Excel Desktop Publishing: InDesign Virtual Models: Sketch Up Digital Maps: Geodatabase shape files in State Plan Coordinate System as specified by City GIS staff c. City staff will review any documents or materials provided by the Contractor and, where necessary, the Contractor will be required to respond to staff comments and make such changes as deemed appropriate. ALTERNATIVE PROPOSALS 8. Alternative Proposals. The proposer may submit an alternative proposal (or proposals) that it believes will also meet the City's project objectives but in a different way. In this case, the proposer must provide an analysis of the advantages and disadvantages of each of the alternative and discuss under what circumstances the City would prefer one alternative to the other(s). 9. Attendance at Meetings and Hearings. As part of the workscope and included in the contract price is attendance by the Contractor at up to [number] public meetings to present and discuss its findings and recommendations. Contractor shall attend as many "working" meetings with staff as necessary in performing work-scope tasks. 10. Accuracy of Specifications. The specifications for this project are believed by the City to be accurate and to contain no affirmative misrepresentation or any concealment of fact. Bidders are cautioned to undertake an independent analysis of any test results in the specifications, as City does not guaranty the accuracy of its interpretation of test results contained in the specifications package. In preparing its proposal, the bidder and all subcontractors named in its proposal shall bear sole responsibility for proposal preparation errors resulting from any misstatements or omissions in the plans and specifications that could easily have been ascertained by examining either the project site or accurate test data in the City's possession. Although the effect of ambiguities or defects in the plans and specifications will be as determined by law, any patent ambiguity or defect shall give rise to a duty of bidder to inquire prior to proposal submittal. Failure to so inquire shall cause any such ambiguity or defect to be construed against the bidder. An ambiguity or defect shall be considered patent if it is of such a nature that the bidder, assuming reasonable skill, ability and diligence on its part, knew or should have known of the existence of the ambiguity or defect. Furthermore, failure of the bidder or subcontractors to notify City in writing of specification or plan defects or ambiguities prior to proposal submittal shall waive any right to assert said defects or ambiguities subsequent to submittal of the proposal. To the extent that these specifications constitute performance specifications, the City shall not be Page 170 of 281 -15- liable for costs incurred by the successful bidder to achieve the project’s objective or standard beyond the amounts provided there for in the proposal. In the event that, after awarding the contract, any dispute arises as a result of any actual or alleged ambiguity or defect in the plans and/or specifications, or any other matter whatsoever, Contractor shall immediately notify the City in writing, and the Contractor and all subcontractors shall continue to perform, irrespective of whether or not the ambiguity or defect is major, material, minor or trivial, and irrespective of whether or not a change order, time extension, or additional compensation has been granted by City. Failure to provide the hereinbefore described written notice within one (1) working day of contractor's becoming aware of the facts giving rise to the dispute shall constitute a waiver of the right to assert the causative role of the defect or ambiguity in the plans or specifications concerning the dispute. Page 171 of 281 -16- SECTION H: INSURANCE REQUIREMENTS The Contractor shall procure and maintain for the duration of the contract insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder by the Contractor, its agents, representatives, employees or subcontractors. Minimum Scope of Insurance. Coverage shall be at least as broad as: 1. Insurance Services Office Commercial General Liability coverage (occurrence form CG 0001). 2. Insurance Services Office form number CA 0001 (Ed. 1/87) covering Automobile Liability, code 1 (any auto). 3. Workers' Compensation insurance as required by the State of California and Employer's Liability Insurance. Minimum Limits of Insurance. Contractor shall maintain limits no less than: 1. General Liability: $1,000,000 per occurrence for bodily injury, personal injury and property damage. If Commercial General Liability or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to this project/location or the general aggregate limit shall be twice the required occurrence limit of $2,000,000. 2. Automobile Liability: $1,000,000 per accident for bodily injury and property damage. 3. Employer's Liability: $1,000,000 per accident for bodily injury or disease. Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions must be declared to and approved by the City. At the option of the City, either: the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects the City, its officers, officials, employees and volunteers; or the Contractor shall procure a bond guaranteeing payment of losses and related investigations, claim administration and defense expenses. Other Insurance Provisions. The general liability and automobile liability policies are to contain, or be endorsed to contain, the following provisions: 1. The City, its officers, officials, employees, agents and volunteers are to be covered as insureds as respects: liability arising out of activities performed by or on behalf of the Contractor; products and completed operations of the Contractor; premises owned, occupied or used by the Contractor; or automobiles owned, leased, hired or borrowed by the Contractor. The coverage shall contain no special limitations on the scope of protection afforded to the City, its officers, official, employees, agents or volunteers. 2. For any claims related to this project, the Contractor's insurance coverage shall be primary insurance as respects the City, its officers, officials, employees, agents and volunteers. Any insurance or self-insurance maintained by the City, its officers, officials, employees, agents or volunteers shall be excess of the Contractor's insurance and shall not contribute with it. Page 172 of 281 -1- 3. The Contractor's insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer's liability. 4. Each insurance policy required by this clause shall be endorsed to state that coverage shall not be suspended, voided, canceled by either party, reduced in coverage or in limits except after thirty (30) days' prior written notice by certified mail, return receipt requested, has been given to the City. Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M. Best's rating of no less than A:VII. Verification of Coverage. Contractor shall furnish the City with a certificate of insurance showing maintenance of the required insurance coverage. Original endorsements effecting general liability and automobile liability coverage required by this clause must also be provided. The endorsements are to be signed by a person authorized by that insurer to bind coverage on its behalf. All endorsements are to be received and approved by the City before work commences. Page 173 of 281 -2- SECTION I: PROPOSAL SUBMITTAL FORM - SAMPLE The undersigned declares that she or he:  Has carefully examined this RFP, which is hereby made a part of this proposal.  Is thoroughly familiar with its contents.  Is authorized to represent the proposing firm.  Agrees to perform the work as set forth in this proposal. BID ITEM: Total Base Price Sales tax [] Other TOTAL $ □ Certificate of insurance attached; insurance company’s A.M. Best rating: __________________. Firm Name and Address Contact Phone Signature of Authorized Representative Date Page 174 of 281 -3- REFERENCES Number of years engaged in providing the services included within the scope of the specifications under the present business name: . Describe fully the last three contracts performed by your firm that demonstrate your ability to provide the services included with the scope of the specifications. Attach additional pages if required. The City reserves the right to contact each of the references listed for additional information regarding your firm's qualifications. Reference No. 1: Agency Name Contact Name Telephone & Email Street Address City, State, Zip Code Description of services provided including contract amount, when provided and project outcome Reference No. 2: Agency Name Contact Name Telephone & Email Street Address City, State, Zip Code Description of services provided including contract amount, when provided and project outcome Page 175 of 281 -4- Reference No. 3 Agency Name Contact Name Telephone & Email Street Address City, State, Zip Code Description of services provided including contract amount, when provided and project outcome Page 176 of 281 -5- STATEMENT OF PAST CONTRACT DISQUALIFICATIONS The proposer shall state whether it or any of its officers or employees who have a proprietary interest in it, has ever been disqualified, removed, or otherwise prevented from bidding on, or completing a federal, state, or local government project because of the violation of law, a safety regulation, or for any other reason, including but not limited to financial difficulties, project delays, or disputes regarding work or product quality, and if so to explain the circumstances.  Do you have any disqualification as described in the above paragraph to declare? Yes □ No □  If yes, explain the circumstances. Executed on at _______________________________________ under penalty of perjury of the laws of the State of California, that the foregoing is true and correct. ______________________________________ Signature of Authorized Proposer Representative Page 177 of 281 -6- EXHIBIT A: FORM OF AGREEMENT CITY OF SAN LUIS OBISPO AGREEMENT This Agreement is made and entered into in the City of San Luis Obispo on _____________, by and between the City of San Luis Obispo, a municipal corporation, hereinafter referred to as City, and ________________, hereinafter referred to as Contractor. W I T N E S S E T H: WHEREAS, the City wishes to [____]; and WHEREAS, [_____] is qualified to perform this type of service and has submitted a proposal to do so which has been accepted by City. NOW THEREFORE, in consideration of their mutual promises, obligations and covenants hereinafter contained, the parties hereto agree as follows: NOW THEREFORE, in consideration of their mutual promises, obligations and covenants hereinafter contained, the parties hereto agree as follows: 1. TERM. The term of this Agreement shall be from the date this Agreement is made and entered, as first written above, until [date], or upon acceptance and completion of said Services, whichever occurs sooner. 2. INCORPORATION BY REFERENCE. The City of SLO Parking Rate Study 2024 RFP and Consultant's proposal dated [date] are hereby incorporated in and made a part of this Agreement, attached as Exhibit A.; To the extent that there are any conflicts between the Consultant’s fees and scope of work and the City’s terms and conditions as stated herein, the City’s terms and conditions shall prevail unless specifically agreed otherwise in writing signed by both Parties. 3. CITY'S OBLIGATIONS. For providing services as specified in this Agreement, and upon receipt of an invoice, City will pay and Contractor shall receive therefor compensation of [_________]. 4. CONSULTANT’S/CONTRACTOR’S OBLIGATIONS. For and in consideration of the payments and agreements hereinbefore mentioned to be made and performed by City, Contractor agrees with City to do everything required by this Agreement and the said specifications set forth in Exhibit A. 5. AMENDMENTS. Any amendment, modification or variation from the terms of this Agreement shall be in writing and shall be effective only upon approval by the City Manager. 6. COMPLETE AGREEMENT. This written Agreement, including all writings specifically incorporated herein by reference, shall constitute the complete agreement between the parties hereto. No oral agreement, understanding or representation not reduced to writing and specifically Page 178 of 281 -7- incorporated herein shall be of any force or effect, nor shall any such oral agreement, understanding or representation be binding upon the parties hereto. 7. NOTICE. All written notices to the parties hereto shall be sent by United States mail, postage prepaid by registered or certified mail addressed as follows: City City of San Luis Obispo 990 Palm Street San Luis Obispo, CA 93401 Attn: [_____] Consultant 8. AUTHORITY TO EXECUTE AGREEMENT. Both City and Contractor do covenant that everyone executing this agreement on behalf of each party is a person duly authorized and empowered to execute Agreements for such party. IN WITNESS WHEREOF, the parties hereto have caused this instrument to be executed the day and year first above written. CITY OF SAN LUIS OBISPO: By:_____________________________________ City Manager APPROVED AS TO FORM: CONSULTANT: ________________________________ By: _____________________________________ City Attorney Name of CAO / President Its: CAO / President Page 179 of 281 Page 180 of 281 R ______ RESOLUTION NO. _____ (2023 SERIES) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, AUTHORIZING ONE HOUR OF FREE PARKING FOR ALL USERS OF THE CITY’S PARKING STRUCTURES WHEREAS, the Circulation Element of the General Plan states the City shall maintain and regularly update the Access and Parking Management Plan including parking demand reduction strategies and emerging best practices; and WHEREAS, parking plays a critical role in the fiscal health and customer satisfaction of the downtown area; and WHEREAS, on June 7, 2022, Council adopted rate increases to address revenue enhancement strategies associated with the Parking Fund, and approved elimination of the first hour parking subsidy at public structures, effective July 1, 2023; and WHEREAS, the Access and Parking Management Plan was updated and adopted on February 21, 2023; and WHEREAS, on February 21, 2023, Council instructed staff to return with a details for the Park Local Pilot Program, which would preserve the first hour free in the parking structure or similar benefit in the parking structures that supports downtown vitality while allowing the Parking Fund to meet current and future debt obligations; and WHEREAS, on April 18, 2023 Council adopted a resolution authorizing the Public Works Director to establish a Park Local Pilot Program; and WHEREAS, on July 1, 2023 the Park Local Pilot Program was implemented in the 842 Palm Street structure. NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo as follows: SECTION 1. Resolution 11410 (2023 Series) is hereby rescinded. SECTION 2. Findings. The Council, after review and consideration of the Park Local Pilot Program, public testimony, and staff presentation; makes the following findings: a) Reinstating one hour of free parking for all structure users would be of greater benefit to downtown businesses, employees, and the local community than the Park Local Pilot Program. b) The benefit of the one hour of free parking shall be offered at all three of the existing City parking structures and will include the City’s fourth parking structure, once constructed. Page 181 of 281 Resolution No. _____ (2023 Series) Page 2 R ______ SECTION 3. Environmental Review. The California Environmental Quality Act (CEQA) does not apply to the recommended action in this report because the recommended action does not constitute a “Project” under CEQA Guidelines Sec. 15378. The adoption of the Park Local Pilot Program is an administrative activity of a government agency that will not result in direct or indirect physical impact on the environment. Upon motion of Council Member ___________, seconded by Council Member ___________, and on the following roll call vote: AYES: NOES: ABSENT: The foregoing resolution was adopted this _____ day of _______________ 2023. ___________________________ Mayor Erica A. Stewart ATTEST: ______________________ Teresa Purrington City Clerk APPROVED AS TO FORM: ______________________ J. Christine Dietrick City Attorney IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Luis Obispo, California, on ______________________. ___________________________ Teresa Purrington City Clerk Page 182 of 281 Long Term Forecast With Changes to CIP and No Rate Reductions PARKING FUND LONG‐TERM FORECAST UNAUDITED ACTUAL ADOPTED BUDGET  REVISED  PROJECTED  BUDGET  BUDGETED PROJECTED PROJECTED PROJECTED PROJECTED PROJECTED  2022‐23   2023‐24   2023‐24   2024‐25   2025‐26   2026‐27   2027‐28  2028‐29   2029‐30  REVENUES Other Revenues 829,710                     37,800                80,460                85,000                 85,000                  85,000                  85,000                  85,000                   85,000                    TOTAL REVENUES 7,965,182                 10,203,324        10,793,163        10,978,434         10,960,334          11,425,287          11,453,606          11,230,401           11,251,640             Proceeds from Debt Financing 46,315,169       47,427,585       TOTAL REVENUES INCL. DEBT FINANCING 7,965,182                 56,518,493        58,220,748        10,978,434         10,960,334          11,425,287          11,453,606          11,230,401           11,251,640             EXPENDITURES Staffing 1,690,052                 1,922,948          2,088,629          2,197,468           2,262,973             2,332,493             2,429,976             2,532,079              2,638,989               Contract Services 829,932                     950,946              950,946             632,861              646,015                659,463                673,210                687,266                 701,638                  Other Operating Expenditures 733,292                     695,046              667,660             694,888              738,601                799,681                867,973                944,469                 1,030,308               General Government (CAP) 872,976                     1,019,048          1,019,048          1,049,619           1,102,100             1,157,205             1,215,066             1,275,819              1,339,610               Operating Transfers Out 390,646                     368,233              368,233             372,223              376,333                380,566                384,926                154,183                 158,809                  Total Operating Expenditures                  4,516,898            4,956,220 5,094,516                    4,947,060              5,126,022              5,329,408              5,571,151               5,593,816                 5,869,353  Total Capital Expenditures                 1,936,247         48,594,961 58,989,830                   882,467                 631,665             1,102,292                 507,612                  998,814                1,209,136  Total Debt Service 819,617                            4,195,421 2,565,990                  3,928,434             3,933,635             3,830,590             3,826,182               3,827,455                3,826,080  TOTAL EXPENDITURES 7,272,762                        57,746,602         66,650,336             9,757,960              9,691,322            10,262,290              9,904,944             10,420,085              10,904,570  CHANGES IN FINANCIAL POSITION BEGINNING FUND BALANCE                13,129,005          13,210,257         13,210,257             4,719,666              5,879,137              7,087,146              8,189,140               9,676,799              10,426,112  Revenue Over/(Under) Expenses $692,420         (1,228,109) ($8,429,588)           1,220,474              1,269,012              1,162,997              1,548,662                   810,316                    347,071  ENDING FUND BALANCE W/O CALPERS DOWN PAYMENT                13,821,425          11,982,148            4,780,669             5,940,140              7,148,149              8,250,143              9,737,802             10,487,115              10,773,183  Cal PERS Additional Discretionary Payment (ADP)               61,003                 61,003                  61,003                    61,003                    61,003                    61,003                     61,003                      61,003  ENDING FUND BALANCE                13,210,257          11,921,145            4,719,666             5,879,137              7,087,146              8,189,140              9,676,799             10,426,112              10,712,180  Policy Reserve Level ‐ 20% 896,927                     1,000,202          1,027,900          997,356              1,032,104             1,071,705             1,118,945             1,169,383              1,223,314               CalPERS Trust Fund 64,896                       64,896                64,896                64,896                 64,896                  64,896                  64,896                  64,896                   64,896                    UNRESERVED FUND BALANCE                12,248,434          10,856,047            3,626,870             4,816,885              5,990,147              7,052,539              8,492,958               9,191,834                 9,423,970  2023‐2025 FINANCIAL PLAN Page 183 of 281 Page 184 of 281 Long Term Forecast With Changes to CIP and No Rate Reductions PARKING FUND LONG‐TERM FORECAST UNAUDITED ACTUAL ADOPTED BUDGET  REVISED  PROJECTED  BUDGET  BUDGETED PROJECTED PROJECTED PROJECTED PROJECTED PROJECTED  2022‐23   2023‐24   2023‐24   2024‐25   2025‐26   2026‐27   2027‐28  2028‐29   2029‐30  REVENUES Other Revenues 829,710                     37,800                80,460                85,000                 85,000                  85,000                  85,000                  85,000                   85,000                    TOTAL REVENUES 7,965,182                 10,203,324        9,963,163          9,558,434           9,529,334             9,987,287             10,007,606          9,778,401              9,791,640               Proceeds from Debt Financing 46,315,169       47,427,585       TOTAL REVENUES INCL. DEBT FINANCING 7,965,182                 56,518,493        57,390,748        9,558,434           9,529,334             9,987,287             10,007,606          9,778,401              9,791,640               EXPENDITURES Staffing 1,690,052                 1,922,948          2,088,629          2,197,468           2,262,973             2,332,493             2,429,976             2,532,079              2,638,989               Contract Services 829,932                     950,946              950,946             632,861              646,015                659,463                673,210                687,266                 701,638                  Other Operating Expenditures 733,292                     695,046              667,660             694,888              738,601                799,681                867,973                944,469                 1,030,308               General Government (CAP) 872,976                     1,019,048          1,019,048          1,049,619           1,102,100             1,157,205             1,215,066             1,275,819              1,339,610               Operating Transfers Out 390,646                     368,233              368,233             372,223              376,333                380,566                384,926                154,183                 158,809                  Total Operating Expenditures                  4,516,898            4,956,220 5,094,516                    4,947,060              5,126,022              5,329,408              5,571,151               5,593,816                 5,869,353  Total Capital Expenditures                 1,936,247         48,594,961 58,989,830                   882,467                 631,665             1,102,292                 507,612                  998,814                1,209,136  Total Debt Service 819,617                            4,195,421 2,565,990                  3,928,434             3,933,635             3,830,590             3,826,182               3,827,455                3,826,080  TOTAL EXPENDITURES 7,272,762                        57,746,602         66,650,336             9,757,960              9,691,322            10,262,290              9,904,944             10,420,085              10,904,570  CHANGES IN FINANCIAL POSITION BEGINNING FUND BALANCE                13,129,005          13,210,257         13,210,257             3,889,666              3,629,137              3,406,146              3,070,140               3,111,799                 2,409,112  Revenue Over/(Under) Expenses $692,420         (1,228,109) ($9,259,588)             (199,526)               (161,988)               (275,003)                102,662                (641,684)              (1,112,929) ENDING FUND BALANCE W/O CALPERS DOWN PAYMENT                13,821,425          11,982,148            3,950,669             3,690,140              3,467,149              3,131,143              3,172,802               2,470,115                 1,296,183  Cal PERS Additional Discretionary Payment (ADP)               61,003                 61,003                  61,003                    61,003                    61,003                    61,003                     61,003                      61,003  ENDING FUND BALANCE                13,210,257          11,921,145            3,889,666             3,629,137              3,406,146              3,070,140              3,111,799               2,409,112                 1,235,180  Policy Reserve Level ‐ 20% 896,927                     1,000,202          1,027,900          997,356              1,032,104             1,071,705             1,118,945             1,169,383              1,223,314               CalPERS Trust Fund 64,896                       64,896                64,896                64,896                 64,896                  64,896                  64,896                  64,896                   64,896                    UNRESERVED FUND BALANCE                12,248,434          10,856,047            2,796,870             2,566,885              2,309,147              1,933,539              1,927,958               1,174,834                    (53,030) 2023‐2025 FINANCIAL PLAN and First Hour Free Page 185 of 281 Page 186 of 281