HomeMy WebLinkAbout06/03/2003, C4 - DONATION OF PARK IMPROVEMENTS & OUTDOOR DINING AGREEMENT council Mdim D" June 3,2003
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C I T Y OF SAN LUIS OBISPO
FROM: �- Paul LeSage,Director of Parks and Recreation
Prepared By: Cindy McDonald, Supervising Administrative Assistant
SUBJECT: DONATION OF PARK IMPROVEMENTS & OUTDOOR DINING
AGREEMENT
CAO RECOMMENDATION
1. As recommended by the Parks and Recreation Commission,
a) accept the donation of park improvements at 2163 Santa Barbara Street; and
b) approve an Outdoor Dining Agreement for the rental of 800 square feet of the
park site at a monthly rent of.56 cents a square foot.
2. Authorize the Mayor to execute an agreement to accept the donation and a second agreement
approving the outdoor dining space rental..
DISCUSSION
Donation
Pizza Brokers, Inc. is in the process of renovating and reopening the former Pizza Hut site, located
at 2138 Broad Street. This site is located next to City property,across from Fire Station 1,known as
the Demonstration Garden. During the drought of the late 1980's, the site was landscaped with a
variety of drought tolerant plants. While it still serves as an example of how property can be
landscaped with low water use, it is not the most attractive parcel in the City. Given its location as
an entryway to the City it is quite unsightly. The property is currently maintained by the City using
a private contractor.
Pizza Brokers, Inc. has offered to redesign, install, and maintain the landscaping in the park, as
noted in Attachment 2 of this report. They propose a very low water use design and retaining all
trees on the site. The Parks and Recreation Commission and staff support the concept. Pizza
Brokers, Inc. has leased the property for 25 years,so the maintenance of the park will continue for
that entire time,regardless of the success of this new restaurant.
The Utilities Department does not object to the removal of the Demonstration Garden, as there are
many sources of information on drought tolerant plantings in the community.
The donor has indicated a willingness to install a public art piece in the park. It will require
approval through the public art process and will be brought before Council at a later date.
Council Agenda Report—Donation of Park Improvement& Outdoor Dining Agreement
Page 2
As with all donations, the donor will be required to obtain the necessary permits and advisory body
approvals for this project, including the Architectural Review Commission.
Outdoor Dining
Pizza Brokers, Inc. wishes to offer outdoor dining at their restaurant and is requesting the lease of
800 square feet of space in the adjoining park site. This agreement (Attachment 3) is based upon
the guidelines adopted for outdoor dining in the downtown. All improvements to the site are subject
to the City's development review process. The outdoor dining is considered when establishing the
parking requirement for the restaurant. The renter will be expected to maintain the premises in a
clean and safe manner. Parks and Recreation Department Staff will monitor compliance. Alcoholic
beverages may be served on the premises provided the appropriate permits are obtained.
Rent is set at 56 cents a square foot, the same as is recommended for the downtown. It would be
adjusted annually using the Consumer Price Index.
CONCURRENCES
On March 5, 2003, the Parks and Recreation approved the offer of donation from Pizza Brokers,
Inc. and with slight modifications approved a conceptual site plan. The Commission also approved
the Outdoor Dining Agreement at the same meeting. A copy of those minutes is included as
Attachment 4.
FISCAL IMPACT
Accepting the landscape maintenance donation from Pizza Brokers, Inc. will save the City about
$500 annually. The rental of the outdoor dining space will generate$5,400 in added revenue for the
City.
ATTACHMENTS
1. Site Location Map
2. Donor Agreement
3. Outdoor Dining Agreement
4. Parks and Recreation Commission Minutes of March.5, 2003
G:ISmBIKisaWgmda Prep FdaICM-06.03.03-DonadonByPi=aBrok=.DOC
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J ATTACHMENT 2
city or san tins OBISp0
DONOR NOR AGREEMENT
THIS AGREEMENT is made and entered into in the City of San Luis Obispo on this day
of , by and between the CITY OF SAN LUIS OBISPO, a municipal
corporation,hereinafter referred to as"City",and Pizza Brokers Inc.hereinafter referred to as"Donor".
WITNESSETH:
WHEREAS,Donor desires to donate park improvements at 2163 Santa Barbara Street(hereinafter referred
to as"Donation");and
WHEREAS, acceptance of the donation is consistent with City Policy as set forth in Resolution No.
(1999 Series).
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 acceptance or completion of the Donation.
2. DONOR'S OBLIGATIONS: Donor shall perform as follows:
• Construct park improvements to the City property as approved by the Architectural Review
Commission.
■ Follow all City Construction procedures including plan check; permitting, inspection, and
insurance requirements.
■ Maintain the park site to a standard acceptable to the Parks Maintenance Supervisor of the
City of San Luis Obispo for a period of 25 years or for the entire time the donor holds the
lease on the adjoining property at 2138 Broad Street,which ever is greater.
■ Secure approval and install a piece of public art at the park site.
3. CITY OBIGATIONS: City shall perform as follows:
■ Assist the donor is securing the development approval of this park donation.
4. TAX STATUS OF CITY: City hereby confirms that City is an organization described in Section
501( c)(3) and 170(b)(1)(A)(v) of the Internal Revenue Code, to which contribution are deductible for Federal
income tax purposes to the extent provided in Section 170 and all other applicable section of the Code. Donor
acknowledges and understands that he/she should consult with his other tax consultant as to the deductibility of the
Donation for Federal income tax purposes.
m
MCHMEM 2
bonoR agueement pace 2
4. 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 incorporated herein shall be of
any force or effect, nor shall any such oral agreement, understanding, or representation be binding upon the parties
hereto.
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 Administrative Officer of the City.
6. 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 Clerk
City of San Luis Obispo
990 Palm Street
San Luis Obispo,CA 93401
Donor Pizza Brokers Inc
Dick West
P.O.Box 4869
Paso Robles,CA 93447
7. AUTHORITY TO EXECUTE AGREEMENT. Both City and Donor do covenant that each
individual 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.
ATTEST: CITY OF SAN LUIS`OBISPO,A Municipal Corporation
By:
City Clerk Mayor
APPROVED AS TO FORM: DONOR:
-- �---- By:
omey Dick West,Representative
G:ICouncH Agenda ReportslPark on Broad SteeflDonation-Pivaarokers.doc
C AITACHMENT3
OUTDOOR DINING AGREEMENT
THIS AGREEMENT is made and entered into in the City of San Luis Obispo on this day
of by and between the CITY OF SAN LUIS OBISPO, a municipal
corporation,hereinafter referred to as City,and PIZZA BROKERS,INC.,hereinafter referred to as Contractor. This
Outdoor Dining Agreement does not convey a long-term or permanent interest in public property. The uses may be
revoked by the City of San Luis Obispo with out without cause.
WITNESSETH:
WHEREAS, Contractor wishes to offer outdoor dining, using City-owned park space adjacent to their
restaurant at 2138 Broad Street,and
WHEREAS,No City ordinance or regulation prohibits such an action,and
WHEREAS, Contractor has offered to improve and maintain the City property known as the
Demonstration Garden,and
WHEREAS,the Parks and Recreation Commission endorsed this action at their March 5,2003 meeting.
NOW THEREFORE, be it resolved that the City of San Luis Obispo does agree to permit Contractor to
offer outdoor dining on an 800 square foot portion of the City property located at 2138 Broad Street, subject to the
following conditions:
1. All improvements shall be subject to the approval of the Community Development Department.
At the Directors discretion, architectural review may be required. All work done related to the outdoor dining area
shall comply with appropriate City,County, State,and Federal regulations.
2. Applicant shall provide:
A. Proof of ownership of the adjoining property.
B. A copy of the business license certificate issued to the business operator.
C. Proof of public liability insurance in the amount of$1,000,000 which by an endorsement
names the City as additionally insured for the term of the agreement,or as other meets the approval of the City risk
manager.
D. A detail site plan noting dimensions and the area to be use for dinning; the proposed
number of tables,chairs and other furnishings to be used in the area,and the relationship of the outdoor dinning area
to the indoor dinning area.
E. A description of the types, colors,and materials,or all outdoor furnishings.
F. An explanation of how any additional required parking will be provided.
GASmfflKucrWgcnda Prep Filw106.03.03-OuldoorDiningAgreemenf.doc
ATTACHMENT 3
Agreement Page 2
G. A statement of proposed days and hours of operation.
3. The rent for the space shall be 56 cents per square foot; per month. Rent shall be paid quarterly,
in advance to the Finance department. The rent shall be in effect at this rate for one year from the commencement
of this Agreement. Thereafter it shall be adjusted annually on July 1 of each year by the annual percentage change
in the U.S. Bureau of Labor Statistics (or successor agency) consumer price index for all urban consumers (CPI-U)
all-cities average for the prior calendar year.
4. The premises shall be maintained in a clean and safe manner at all times.
5. Alcoholic beverages may be served on the premises, provided the appropriate permit is obtained
from the Alcoholic Beverage Control Board.
6. Items used for dining outdoors may not be left outside overnight.
7. This agreement is not transferable.
8. This Agreement shall be in effect for an unlimited term. It will automatically end upon expiration
of the business tax certificate or upon failure to pay the required fees. The City retains the right to cancel this
Agreement with 30-days written notice,with or without cause.
9. Contractor shall indemnify the City, its officers, agents, and employees against, and shall hold
them harmless from any loss, costs, damages, expense (including attorney fees) or liability by reason of injury or
death of any person, or damages to or destruction .of any property arising out of or in connection with this
agreement.
10. This Agreement creates an interest in real property that may be subject to a possessory interest tax.
Contractor shall be responsible for payment of any taxes due.
11. 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 Administrative Officer of the City.
12. 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 repmcsentation not reduced to writing and specifically incorporated herein shall be of
any force or effect, nor shall any such oral agreement,understanding, or representation be binding upon the parties
hereto.
13. 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 Clerk
City of San Luis Obispo
990 Palm Street
San Luis Obispo,CA 93401
Contractor Pizza Brokers,Inc.
Dick West
P.O. Box 4869
Paso Robles, CA 93447
C�- 'l
Agreement Page 3
14. AUTHORITY TO EXECUTE AGREEMENT. Both City and Contractor do covenant that each
individual executing this agreement on behalf of each parry 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.
ATTEST: CITY OF SAN LUIS OBISPO,A Municipal Corporation
By:
City Clerk,Lee Price Mayor,David F.Romero
APPROVED AS TO FORM: CONTRACTOR
By:
Ci omey,Jonathan Lowell President,Dick West
Parks and Recreation Coma. .onj' {Vi '
Minutes for March 5, 2003
Page 5
investigating whether contracting the pro-shop would be a good alternative. Buckshi would be in
favor of selling the excess land before cutting other programs and/or selling the golf course.
Pyper—Even with the shortfall of funds,there is a need to market the golf course with a brochure to all
hotels and motels.
Clay — stated that this is tenuous period of economics — many issues are being analyzed that will
require difficult decisions ahead of us. The value of the golf course is above the player or the game of
golf; it cuts noise pollution, and buffers the neighborhoods. Open space is important to the City of San
Luis Obispo.
Dunan- tourism issues should be addressed — professionally — cooperating with the Promotional
Coordinating Committee and the Downtown Association. Marketing is very critical prior to tourists
coming to San Luis Obispo. Dunan spoke to the audience that they need to be the calling card for the
golf course. He asked that they come to the Council Meeting on the 15th and let their voice be heard.
He said that the golf course is a lovely part of the community and to make it stay, it will take the voice
of the community. He encouraged the audience to stay involved.
Recommendation:
■ The Commission strongly supports retaining the Laguna Lake Golf Course as a municipal golf
course(Dunan/Pyper, unanimous).
■ The development of a plan of action to increase revenue and offset expenses. (Clay/Buckshi,
unanimous 11 111111111 1111:11 llllliilllllllliillllIIIIIIIIIIIIIIIIIIIII
e ation of adhoc t orce to assi a impl tion of an of
(Neville/Dunan, unanimous)
(3. Donation Offer on corner of Broad and Santa Barbara Streets
Sage briefed the Commission of the donation offer for the corner of Broad and Santa Barbara
reets. Applicant is proposing the leasing of public space for outdoor dining. Dick West, President
roduced Terry Lee, landscape architect who then summarized the concept ideas to the
ommissioners. The public art piece was shown by Randy Aughburger. Mr. Lee stated that they
planned to place the artwork in an area that would be a gathering.spot for citizens. LeSage reminded
the Commissioners about the landscape parkway entryway. Commissioner Clay noted that the
irrigation needs are modest; lawn irrigation would be small, suggested to continue the walkway
through the grass. Larson had no comment. Buckshi said the concept plan looks fine, although has
questions regarding the naming the park. Pyper believes that lawn is a waster of water. Mr. Lee
commented that the public could gather on the grass, and offered to change it to ground cover. Clay
said he would rather have a ground cover with native plants — a symbolic gesture. Dunan was
favorable but had two concerns; the lease amount, 50/sq foot or 1.00/sq foot, and the naming
convention. He is uncomfortable with the parks being named the same of a businesses. Lee said that
the area serves as an entry to the "village" (downtown area.) Clay suggested leaving it an unnamed
park.
Recommendation:
1. Accept the offer of donation to renovate and maintain the demonstration garden property.
(Pyper/Buckshi,unanimous).
C4 A
Parks and Recreation Comn .on �.,ff
Minutes for March 5, 2003 Ali, HM
Page 6
2. Approve the design of the park w/one modification of the walkway through the turf area
(Larson/Pyper,unanimous).
3. Lease a portion of the site for outdoor dining(Neville/Pyper,unanimous).
4. Naming the park: accept the name for the park; motion failed 3:2 (Buckshi, Dunan, Neville
opposed) 0(Clay abstained).
Con ation Plan for Irish Hills
Le ge in sourc d arke, io ogist to the
Commission. Havlik briefed the Commission regarding the Conservation Plan for Irish Hills.
Public comments were as follows:
John Cutter of Central Coast Concerned Mountain Bicyclists, a local mountain bike club, offered to
work with staff on clean up and maintenance trail days. He stated that their group is a responsible
group of citizens that enjoy active recreation.
Don Dollar endorses the plan and complimented staff on the work they have done.
Clarke presented a slide show to the Commissioners.
Recommendation:
Commissioners endorsed the concept plan.
5. Adjourned
The remainder of the agenda was postponed to the next meeting. The meeting adjourned at 10:47 p.m.
to the April 2, 2003 meeting.