HomeMy WebLinkAbout06/19/2007, C3 - CONTRACT WITH THE SAN LUIS OBISPO SWIM CLUB, INC. FOR USE OF THE SAN LUIS OBISPO SWIM CENTER council M°°.°° 1
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CITY OF SAN LUIS OBISPO
FROM: Betsy Kiser, Parks and Recreation Director
SUBJECT: CONTRACT WITH THE SAN LUIS OBISPO SWIM CLUB, INC. FOR USE
OF THE SAN LUIS OBISPO SWIM CENTER
CAO RECOMMENDATION
As recommended by the Parks and Recreation Commission, approve a five-year contract between
the City of San Luis Obispo and the San Luis Obispo Swim Club, Inc. for use of the SLO Swim
Center, and authorize the Mayor to execute the contract.
DISCUSSION
Background
Since 1979, the City has had an agreement with the San Luis Obispo Swim Club, Inc., also
known as the Sea Hawks, for use of the SLO Swim Center for a competitive swimming program.
The Club operates year-round and conducts all practices and various swim meets at the Center.
Because the City does not offer a competitive swim program of its own, the community benefits
from the Club's existence by having access to a program that serves local citizens. Staff
therefore recommends that the collaboration continue.
Agreement
The proposed contract includes all conditions and terms as listed below (Attachment#1):
1. The typical one (1) year term of the agreement has been increased to five (5)
years, with an option to renew for an additional five years upon mutual consent of
both parties. The City has desired a longer term contract for several years, but
until now, the Sea Hawks board of directors has been hesitant to commit a future
board to a long-term agreement.
2. The schedule of use is clearly defined including specific hours, the number of
lanes that will be made available, and the seasonal variance to both of these
conditions.
3. The Club will be invoiced quarterly for $2291.00 in use fees and an additional
$116.50 for office space rental. All fees will increase yearly by the Consumer
Price Index for all urban consumers (CPI-U), an all cities average for the prior
year.
4. The agreement is organized and grouped for easy reference. It includes the
following sections: Term and Renewal, Schedule of Use, Fees, Swim Meets,
Office Space, Telephone, Storage, Equipment, First Aid Supplies, Personnel,
Supervision, Liability Insurance, Expansion of Programs, Damage, Tax Exempt
Status, Termination, Notices, and Indemnity.
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CAR—2007 Sea Hawks Swim Club Contract Page 2
CONCURRENCES
The draft agreement has been reviewed by the Sea Hawks Board of Directors and the Parks and
Recreation Commission and approved by both (see Attachment#2 for Commission minutes).
FISCAL IMPACT
The City will realize a slight increase in revenues as a result of the new use fees. The amount of
the use fee will automatically be adjusted on July 1 of each subsequent year by the percentage
change in the U.S. Bureau of Labor Statistics Consumer Price Index for all urban consumers
(CPI-U), an all cities average for the prior calendar year.
ALTERNATIVES
The City Council could decide to continue with an annual contract rather than a multi-year
contract. This is not recommended because 1) the City has desired a multi-year contract with the
Sea Hawks for several years now due to the stabile and successful collaboration with the Club;
and 2) the Sea Hawks board of directors has agreed to a longer term contract.
ATTACHMENTS
1. 2007 Contract with the Sea Hawks Swim Club
I. Parks and Recreation Commission minutes from June 6, 2007
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CADocuments and Settings\slouser\Dsktop\CAR-Seahawks Swim Club Contract 2007.doc
ATTACHMN,
AGREEMENT BETWEEN THE CITY OF SAN LUIS OBISPO
AND THE SAN LUIS OBISPO SWIM CLUB,INC. FOR
USE OF SLO SWIM CENTER IN SINSHEIMER PARK
THIS AGREEMENT, made and entered into this 1st day of July, 2007, by and
between the CITY OF SAN LUIS OBISPO, a municipal corporation (hereinafter"City")
and the SAN LUIS OBISPO SWIM CLUB, INC., also known as the SAN LUIS OBISPO
SEA HAWKS, an educational;non-profit, tax-exempt corporation headquartered in the
City of San Luis Obispo (hereinafter, "Club").
WITNESSETH:
WHEREAS, City is the owner and operator of the SLO Swim Center located in
Sinsheimer Park (hereinafter"Pool'); and
WHEREAS, City desires that all residents of San Luis Obispo with interests in any
manner of aquatic activities, including competitive swimming, have the opportunity to
make use of Pool;and
WHEREAS, Club makes available aquatic training and competitive experience as well
as other aquatic activities to all members of the community and has indicated its desire to
make Pool its home facility;
NOW, THEREFORE, in consideration of the mutual promises, agreements, covenants
and conditions herein set forth, City and Club hereby mutually agree and covenant as
follows:
1. TERM AND RENEWAL
A. The term of this agreement shall be five (5) years, to commence on July 1, 2007
and expire on June 30, 2012.
B. Upon expiration of the term of this agreement, the parties shall meet and confer
regarding subsequent extension of this agreement. Upon mutual consent of the
parties to terms and conditions, this agreement shall be renewable for an
additional period of five years.
2. SCHEDULE OF USE
City hereby grants to Club the use of Pool for club use for the days and hours listed. Use
is based on the following average daily attendance figures:
Youth 110
Adult 45
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arrACHMENT
Seahawks Swim Club AgreE.__.,nt-2007 page 2
A. September through May: Monday through Friday
(1) 6:00- 7:30am (long course)
a) In the pool before 6am will not be guaranteed by contract.
b) 3 lanes will be designated in contract, subject to discussion as needed.
c) Additional lane space might be available for either program when lanes
exceed 10 swimmers per lane.
(2) 12:00- 1:301)m (short course)
a) 3lanes available, 11:30am-1:30pm in the deep end, excluding the very
last lane which is reserved for aqua joggers.
b) An additional one or two lanes might be available if space permits.
(3) 3:30- 8:00pm (short course)
a) Number of lanes available will range from 2 or 3 to as many as 9,
depending on other uses in the pool and the time of year.
b) During High School water polo season, shallow end space is typically
available for Club use between 3:30 and S:OOpm. If polo practice
continues past 5:30pm, up to 3 lanes may be available for Club use in the
shallow end until polo is finished. On game dates, practice may have to
be canceled, hours adjusted, or use developed based on having only 3
lanes available after S:OOpm.
c) During High School swimming and diving season, lanes available to Club
will be decided upon by discussion between Pool Supervisor, Club Coach,
and High School Coach. Club could anticipate 5 lanes from 3:30 to
5`.00pm, up to 6 lanes from 5:00 to 5:30pm, and up to 9 lanes after
5`.30pm. On meet dates, use may have to be canceled, hours adjusted, or
work outs developed based on having only a couple of lanes available after
5:30pm.
d) During the May swim lesson program, lane space availability will be
decided upon by discussion between Club Coach and pool Supervisor.
Club could anticipate up to 8 lanes in the middle of the pool between 3:30
and 5:30pm, leaving the shallowest and deepest portions of the pool, as
well as the diving boards, available to conduct lessons.
e) When Lifeguard Training and WSI courses are offered(typically between
late February and the end of May), space may be needed in the deep
portion of the pool between 7:00 and 8:OOpm, probably 6 lanes maximum
on nights when the diving boards are needed. The shallow end of the pool
can be available after 7:OOam to the Club so that available space is not
actually reduced, simply moved.
f) Scuba classes will be conducted during this evening time period as well;
with no space impact to Club.
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ATTACHMENT
Seahawks Swim Club Agre4_.ant-2007 — page 3
B. September through May: Saturday
(1) 8:00— 10:00am (long course)
a) Other activities such as in-service trainings and testing may also be
scheduled occasionally during this time period.
C. June through August: Monday through Friday
(1) 6:00— 8:OOam (long course)
b) In the pool before 6am will not be guaranteed by contract.
c) 3 lanes will be designated in contract, subject to discussion as needed.
d) Pool space will be available between 8:00 and 9:OOam, long course—
Monday, Wednesday, Thursday and Friday.
(2) 9:45 - 11:30am(short course)
a) 4 lanes will be made available (wide lane in the middle of the pool counts
as one lane)for Club to conduct practice.
(3) 12.00. 1:301)m (short course)
b) 3 lanes available in the deep end, excluding the very last lane which is
reserved for aqua joggers.
c) An additional one or two lanes might be available if space permits.
(4)4:15 — 8:OOpm (short course)
a) 7 lanes will be made available (wide lane in the middle of the pool counts
as one lane) for Club to conduct practice from 4:15 to 5:30pm.
b) From 5:30 to 7:15pm Club has use of the deep end of the pool not
including the wide lane in the middle. After 7:15pm needed lanes will be
available but may be in the middle or shallow area of the pool.
c) Scuba classes will be conducted during this evening time period as well,
with no space impact to Club.
D. June through August: Saturday
(1) 8:00 10:00am (long course)
a) Other activities such as in-service trainings and testing may also be
scheduled occasionally during this time period.
E. Circumstances, such as equipment failure, power outages, and meet usage by the
high school, could arise necessitating canceling of any of the contractual times.
As much notice as possible will be provided to permit notification to swimmers.
In the event the pool is closed for an extended period of time (more than a couple
of days), adjustments to the quarterly fee may be considered.
C.� 'S
ATTACHMENT
Seahawks Swim Club Agrei._ _nt-2007 -- page 4
F. As indicated, hours of use are not exclusive and the Club may share Pool with
other users and/or programs as scheduled by the Pool Supervisor.
3. FEES
Club agrees to pay the City use fees as follows:
A quarterly invoice will be mailed to Club from the City Finance Department.
A. $ 2291.00 for 1S`quarter—July, August, September
B. $ 2291.00 for 2nd quarter—October, November,December
C. $ 2291.00 for 3rd quarter—January, February, March
D. $ 2291.00 for 4'quarter—April, May, June
Additionally, Club will be billed quarterly for use of office space at Pool. This amount
will equal $ 116.50 per month. See section S.
If Club and City agree that Club may use the Pool at times in addition to those set out
above, the use fee for the additional time shall be determined by Club and Pool
Supervisor.
The amount of the use fee will automatically be adjusted on July 1 of each subsequent
year by the percentage change in the U.S. Bureau of Labor Statistics Consumer Price
Index for all urban consumers (CPI-U), all cities average for the prior calendar year.
4. SWIM MEETS
A. City hereby further grants Club use of Pool to host certain swim meets. Swim
meet dates must be submitted to the SLO Swim Center Supervisor a minimum of
forty-five (45) days prior to the date. Club shall generally have exclusive use of
pool and pool facilities for scheduled, approved swim meets. Club agrees that no
swim meet set-up or participant warm-up will be allowed prior to the starting
times arranged and that all swim meet participants and spectators will remain
outside the confines of the SLO Swim Center until such starting time.
B. City agrees to provide the additional custodial supplies required during a swim
meet.
C. Club agrees to leave entire facility in a clean, safe condition at the culmination of
each swim meet.
D. In consideration for the pool time and services during swim meets, Club agrees to
pay City according to the following schedule of rates:
E. Sanctioned Swim Meets (Scheduled in accordance with Section 4)
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Ai7ACHMENT
Seahawks Swim Club Agr&._..;nt-2007 - page 5
(1) $58.00 per hour—inclusive of Pool staff(2) to assist with meet functions in
accordance with meet guidelines.
(2) Sanctioned Dual, Intersquad meets; Clinics or time trials (Scheduled in
accordance with Section IV and when not occurring during regular hours for
Club use): To be determined on a case by case basis.between Club and Pool
Supervisor.
F. City agrees to grant Club the concession rights during meets mentioned above.
Club agrees to inform any outside vendors participating in meets of the
requirement to pay City (10%) of gross sales realized on City property.
5. OFFICE SPACE
A. City will make available to Club, on a space available basis, office space to
conduct Club business. The space determined for this use will be mutually agreed
to by Director of Parks and Recreation and Club representative. Club will
compensate City$116.50 per month for this office area, billed quarterly by the
City Finance Department, together with billing for Pool use fees. The Club office
space shall be maintained by Club staff, in a manner acceptable to the City.
B. Should the area determined as Club office become necessary for City operations,
this Section (12) may be terminated, upon thirty (30) days notices, and have no
affect on the remainder of this agreement.
6. TELEPHONE
Club agrees to furnish, for its own use, a minimum of one (1) telephone; this telephone to
be installed in Club office space and in a location mutually agreed to by Director of Parks
and Recreation and Club representative. Telephone shall be listed in local directory
under Club's full name. All costs associated with telephone will be borne by Club.
7. STORAGE
City hereby grants the Club the right, with no liability to the City for loss or damage, to
store at Pool such aquatic equipment that is associated with the Club's program. The
storage thereof shall not interfere with normal City operations of other aquatic programs,
impede access to any part of the facility, or create a safety hazard. Storage area shall be
approved by the SLO Swim Center Supervisor.
8. EQUIPMENT
Club agrees to furnish, for its own use, any and all aquatic equipment it deems necessary
to conduct a safe training and competitive program. Such property, including fixtures
that are not an integral part of Pool, shall remain the property of the Club and shall not be
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ATTACHMENT j
Seahawks Swim Club Agr&.._ant-2007 page 6
used by any other group without permission first being granted by the Club. Any
equipment provided by the Club to the City on a permanent basis shall be covered by
separate agreements. Club agrees to assist yearly with replacement costs of equipment
used by both City and Club such as lane lines, lane line reels, backstroke flags, etc.
9. FIRST AID SUPPLIES
Club agrees to maintain at all times, during Club's use of Pool, an adequate supply of
first aid materials, including cold pack supplies, to meet the needs of both the workout
program and any swim meet activity/event. The availability of Club's first aid supplies
shall be known by all coaches and Club users. This is not inclusive of materials needed
to clean up a potential hazardous material spill.
10. PERSONNEL
A. Club shall furnish any and all personnel necessary to conduct its aquatic workouts
and swim meets. At least one coach must be on deck for the duration of all Club
workouts. Coaching staff shall remain at the facility until all Club users have left,
including times when City staff is also present. City staff shall not be responsible
for Club users still in the facility at the conclusion of the workout or meet.
B. Club coaching staff shall remain current in all certifications required by State
agencies and U.S.A. Swimming (or other affiliation). Club is responsible for
providing copies of current certificates for all coaching staff to Pool Supervisor.
C. If coaching staff is not present for a scheduled event, the Club practice will be
canceled and Club members at the facility will be asked to wait outside. Club is
required to inform Pool Supervisor of any changes in regular workout/practice
schedules.
D. Any person that is responsible for a Club aquatic activity must be a paid or
volunteer employee sanctioned by the Club Board of Directors. A list of such
sanctioned personnel will be provided to City and kept updated quarterly. Club
shall also maintain a current phone list of sanctioned personnel and provide a copy
to the City.
11. SUPERVISION
A. Club agrees to accept responsibility for supervision of Club users at all times in
accordance with the U.S.A. Swimming Insurance Summary.
B. This supervision is inclusive to all parts of the facility (lobby, locker rooms, deck,
pool and multi-purpose room). This supervision begins when Club user enters the
facility and ends when Club user leaves the facility. Club users are expected to
follow reasonable standards of behavior at all times when using any part of the
SeahawksSwim Club Agreeincrit-2007 AI IACj1imEN7T page?
facility (lobby, locker rooms, deck, pool and multi-purpose room). Coaching staff
is solely responsible for monitoring Club users at all times. The multi-purpose
room shall not be utilized by any Club member unless under constant supervision
by a Sanctioned Coach or Volunteer.
B. Coaching staff is responsible for performing a thorough walk through and check
of the facility before leaving after each shift. The purpose is to make sure all
members have left, all belongings are retrieved, and the facility is left clean and
safe. This is required even at times when other City staff are present and/or City
programs are still in progress
C. Coaching staff are responsible for securing the facility at times when no other
users or staff is present. No individuals shall be left un-supervised at the facility.
Coaching staff is responsible for securing all entrances and exits and restrooms.
Coaching staff may be responsible for activating the alarm.
D. All coaching staff will be provided training specific to the SLO Swim Center by
an individual from the Club designated by the Club Board of Directors. This
training will occur upon initial hiring and be conducted thereafter on an annual
basis. This training will include, but not be limited to: storage of lane lines, space
availability for each shift, operation and use of pool covers, alarm activation and
deactivation, user supervision, use of multi-purpose room, location of equipment,
location of first aid supplies, and securing facility.
E. All coaching staff will be provided an Emergency Procedure orientation
conducted by an individual designated by the Pool Supervisor.
12. LIABILITY INSURANCE
A. Club shall furnish to City evidence of current policy of comprehensive general
liability insurance in an amount not less than $1,000,000 which shall endorse and
name the City as additional insured for those periods of time that Club is
conducting its program at the SLO Swim Center.
B. Such insurance shall insure such performance by the Club of the indemnity
provision of Section 18 but shall not limit the liability of the Club to the stated
amount of the insurance.
C. The evidence of insurance shall contain an endorsement that the insurance is
primary coverage and will not be terminated or altered by the insurer except on 30
days written notice to City.
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i� ATTACHMENT_
i
Seahawks Swim Club Agreo...ont-2007 page 8
13. EXPANSION OF PROGRAMS
Club retains the right to expand its program to meet the needs of the community as
outlined in its corporate articles and bylaws. Any expansion of programs will not change
use time or rental rates as described herein except as provided for in Section 11 of this
agreement.
14. DAMAGE
Club shall be responsible for damage to the physical plant and any City owned
equipment, excepting normal wear and tear, if the damage occurs during the time Club is
using Pool and the damage arises out of and is in connection with Club's use of the Pool.
15. TAX EXEMPT STATUS
Club shall notify the City if its tax-exempt and non-profit status should change.
16. TERMINATION
Either party may terminate this agreement without the other party's consent by giving six
months written notice.
17. NOTICES
Notices under this agreement shall be sent by certified mail, return receipt requested,
postage prepaid, addressed as follows:.
CITY: Director of Parks and Recreation
City of San Luis Obispo
1341 Nipomo St.
San Luis Obispo, CA 93401
CLUB: San Luis Obispo Swim Club,Inc.
Board of Directors
P.O. Box 142
San Luis Obispo, CA 93406
18. INDEMNITY
Club agrees to defend, indemnify, protect and hold City and its agents, officers, and
employees harmless from and against any and all claims asserted or liability established
for damages or injuries to any person or property, including injury to Club's employees,
volunteers, and participants, arising out of Club's use or occupancy of the SLO Swim
Center, and all expenses of investigating and defending against same. However, Club's
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ATTACHMENT
Seahawks.SwiM Club Agree. nt-2007 - page 9
duty to indemnify and hold harmless shall not include any claims or liability arising from
the established sole negligence or willful misconduct of the City.
IN WITNESS WHEREOF,the parties hereto have executed this agreement on the day
and year first above written.
CITY OF SAN LUIS OBISPO SAN LUIS OBISPO SWIM CLUB, INC.
by: by:
Mayor Dave Romero Name
Title
ATTEST:
Audrey Hooper, City Clerk Name
Title
APPROVED AS TO FORM:
on P. Lowell, City Attorney
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ATTACHMENT 2
Parks and Recreation Commission—Minutes
mi
June 6, 2007
Page 3 of 6
Commissioner Hensinger discussed the challenge of turning the Orcutt intersec ' area into a park-
like setting. Planner Hook discussed the possible need for soil remediati and the problems with
contamination being somewhat less for open space use than if the ar as proposed for residential
development.
Commissioner Wolf relayed his familiarity of the area fr a bicyclist's perspective and gave his first
hand account of using the underpass. Wolf asked r information on the Garibaldi easement and
commented on the roundabout subject and co unity workshop. Further discussion involved the
changing character of the area which Hook plained is already occurring on its own and would still
occur over a long period of time. The ' y will not purchase land to implement the plan, rather by
changing the general plan and zoni regulations, the plan will provide the direction for developers
whose projects will be expect o conform in the future. Commissioner Wolf thinks it is a positive
plan, increasing value and b ness while retaining the unique character of the area.
MOTION: (May caid)
To accept the aft South Broad Street Corridor Plan finding the proposed parks, trails and bridge
connection propriate and consistent with the City's General Plan policies regarding Parks and
Recrea ' .
proved 4 Yes: 0 No: 2 Absent(Lemieux/Dollar)
5. SLO Swim Club Agreement—Kiser
Director Kiser presented the SLO Swim Club Agreement to the Commissioners along with
background information. A copy of Addendum 1 was also distributed which was not part of the
agenda packet. Kiser noted that in the past the SLO Swim Club board did not want to commit future
boards to more than a one year agreement, but agreed to a multi-year contract with this agreement.
Changes to the agreement include: term of the agreement increased to 5 years with an option to renew
for an additional five years; minor changes to the schedule of use; increased fees according to the
consumer price index; and the reorganization of sections so agreement flows more smoothly and is
more easily referenced.
Commissioners briefly discussed the agreement, and Director Kiser informed that there were no other
competitive groups involved.
MOTION: (Kincaid/Hensinger)
Forward a recommendation to the City Council to approve a five-year contract between the City of
San Luis Obispo and the Sea Hawk Swim Club for use of the SLO Swim Center, effective July 1, 2007
to June 30, 2012.
Approved 4 Yes: 0 No: 2 Absent(Lemieux/Dollar)
RED FILE
- MEETING AGENDA
ITEM #�
council mcmoaxnfflfW
JUN 19 2007 CAO" c" CDD DIR L
TO: Council Members ACRO °FIN DIR
SLO CITY CLERK J ATTORNEY FIRE CHIEF
VIA: Ken Hampian, CAO Rf CLERK/OR14 PW DIR
❑ DEPT HEADS POLICE CHF
N_RUPEC DIR
FROM: Betsy Kiser, Parks and Recreation Director �2-. UTIL DIR
HR DIR
SUBJECT: FISCAL IMPACT OF SEAHAWK SWIM CLUB CONTRACT r' AG�tsat,C
Z- Qino
Councilmember Carter has asked several questions regarding the fiscal impact of entering into
the agreement with the SLO SeaHawk Swim Club. Because our relationship with the SeaHawks
has existed for so long, staff was probably too concise in our agenda report background
discussion and in the fiscal information we provided. Therefore, we appreciate the added
questions because they offer an opportunity to more completely explain the SeaHawk program
and how the program fits into our overall policy framework. To do so, we will start with a brief
background of the City's partnership and sponsorship program and its relationship to the SLO
SeaHawk Swim Club and proposed agreement.
Community Partnership/Sponsorship Program
There are many programs, projects and activities which are of interest to the City and the
community, but cannot be addressed directly due to limitations on the City's human or financial
resources. However, in keeping with the City's tradition of citizen involvement, City resources
can be used in partnership with others to create opportunities for otherwise unfeasible projects or
programs. The City encourages the formation of such community partnerships whenever
possible (see section of Partnership Policy—Attachment 1).
In judging whether or not to participate in such partnerships, the City considers such things as:
• The level of public benefit offered by the partnership;
• The extent to which such a partnership will help advance existing City goals;
• Whether or not the partnership will help meet a currently unmet community need;
• The potential success and cost-effectiveness of the proposed partnership strategy;
• Whether or not the City is the appropriate public agency partner (or if another agency would
be more appropriate).
The City currently has partnership agreements with a number of non-profit organizations
including the SLO Little Theatre, the SLO County Arts Center, SLO Children's Museum, and the
Performing Arts Center. The level of support for each of these partnerships varies from in-kind
support to well over$200,000 annually.
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Our Relationship.with the SeaHawks Is a Partnership
In order to better understand our relationship with the SeaHawks, the City's agreement with them
should be viewed as a partnership, and not a Recreation Department program. Therefore, like
other partnerships, it does not need to strictly conform to our cost recovery policies (more on this
later). The following history should help explain why viewing this relationship in such a fashion
is appropriate.
Historical Context of Partnership with the SeaHawk Swim Club
The SeaHawk Swim Club has been in existence for 50 years. Prior to the construction of the SLO
Swim Center twenty-eight years ago, the SeaHawks swam at San Luis Coastal Unified School
District's Ness Pool, which was quite old and in disrepair. In need of a new pool, the parents and
families of the swim club members provided strong advocacy for the.development of the SLO
Swim Center, so much so that both the Club and individual family names can be found on the
plaque dedicating the pool.
When the SLO Swim Center was complete, a priority use system was established to govern its
use. Recreation Department programs are to get first priority use, including City sponsored youth
swimming club(s). The use policy goes on to .say: Parks and Recreation Department co-
sponsored swim clubs shall have entered into a written agreement with the City to qualify for
Priority #1. At the time (still true today), the City had no competitive swim program of its own.
Therefore, the public benefit of working with the Seahawks was great — they could do provide a
service that we were not organized to provide and, at the same time, advance the goals and
mission of the City's recreation program.
As a result, the City entered into an agreement with the SeaHawks for use of the pool, making the
SeaHawks a co-sponsored/partnership activity of City. Since that time, the agreement has been
reviewed by both parties and renewed accordingly. Because of this partnership, the City has not
been pressured by the community to establish and run its own competitive swim program; a
program is already available through the SeaHawks.
Fees Paid Annuallv by SLO SeaHawks for Use of SLO Swim Center
Rent for Pool (fee based on estimate of lanes used) 9,164
Rent for Office Space 1,398
Lifeguards 3,900
Swim Meets (3/ ear) 3,560
TOTAL $187022
As outlined earlier, the SeaHawks program is technically not a City-run program, but because of
its City-sponsored/partnership status, we have flexibility in establishing both the level and type of
City support. Although not a strict requirement, fees have been established to reasonably
conform to the cost recovery policy established by the Council. The cost recovery goal for this
type of recreational activity can range anywhere from the low to mid range, or 0 to 60%
(Attachment 2).
In 2005, the City reviewed the fees charged to the SeaHawks and increased the fee by 10% with
annual COLA adjustments. Last year, due to the opening of Kennedy Fitness Club and a
subsequent loss of many SeaHawks members (along with income), the City recommended only
the COLA adjustment, in an effort to allow the Swim Club to remain solvent. The
recommendation from staff is the same for this year for the same reason.
Fees Charged by the SLO SeaHawk Swim Club for Membershiy
In talking with the coach of the SeaHawks and in reviewing the organization's website
information on fees, there are currently 54 members in the club. Depending on age, fees per
month range from $43 to $95, with an average income from membership dues of $3,236 per
month ($38,832/year). The remaining operating revenues are generated through fund raisers
coordinated by the club members and their families.
Cost to Operate the Swim Center on an Annual Basis
While every attempt is made to identify new revenues and to meet existing revenue targets, the
Swim Center remains a highly subsidized general fund amenity. Because of the inherent public
benefit provided by a municipal pool, as is required of most municipal pools, SLO Councils have
consistently supported a high level of subsidy. (It should also be noted that our pool has a track
record of very solid management.)
2007-09 Preliminary Financial Plan: 2007-08
Direct Costs Revenues
Programming Expenditures $331,100
Maintenance Expenditures $363,000
Revenue Generated from Programs $135,500
TOTAL 1 $694100 $1354001
At $18,000, the SeaHawks account for about 13% of the $135,500 in program revenues.
Compared to many other City partnerships, therefore, the SeaHawks offer a service with some
revenue returning to the City. On the other hand, there would be no significant offsetting savings
if use by them is discontinued, or if use is reduced by fees that exceed the tolerance level of
members. This is because there are no significant "incremental" costs in providing the
SeaHawks with use of the City's pool. And where incremental costs are incurred, such as
lifeguards for off-hour use, the direct costs are fully paid by the SeaHawks.
Conclusion
Municipal governments can be the producer and provider of services (like police and fire
protection, and many of our recreation programs); or only the producer of services provided by
third parties. In this case, our partnership produces a competitive swimming program provided
by SeaHawks at a modest cost to swimmers and to the City. In the absence of such a partnership,
the City would likely be asked to produce and provide a similar program, but without the benefit
of volunteer support, enthusiasm and funding.
If additional information is needed, please advise and staff can follow-up in the coming days.
A 6ek„y,f r
city of San lulS OBISp0 community
paatnEasbip ana foun6ation policy
Purpose. There are many programs, projects and activities which are of interest to the
City and the community, but cannot be addressed directly due to limitations on the City's
human or financial resources. However, in keeping with the City's tradition of citizen
involvement, City resources can be used in partnership with others to create opportunities
for otherwise unfeasible projects or programs. The City encourages the formation of such
community partnerships whenever possible. Under certain Iimited conditions the City
will also consider endorsing the establishment of a foundation to encourage public
contributions and grant funding for specific purposes that affect City programs. Both
partnerships and foundations can be methods for the public to become more involved in
creating the quality of life that is so special to the residents.
A few examples of some successful City partnerships are:
• Performing Arts Center
• DARE Program
• Prado Day Center
• Santa Rosa Park roller hockey rink
• STAR At-Risk Program
• Creek Stewardship Program
I. COMMUNITY PARTNERSHIPS
Eligible Programs, Projects and Activities. On occasion, the City may propose a
partnership with another community organization. More often, however, partnerships
with the City are proposed by community organizations wishing to initiate or enhance
certain programs, projects or activities of special interest to them. In judging whether or
not to participate in such partnerships, the City will consider such things as:
• The level of public benefit offered by the partnership;
• The extent to which such a partnership will help advance existing City goals;
• Whether or not the partnership will help meet a currently unmet community need;
• The potential success and cost-effectiveness of the proposed partnership strategy;
• Whether or not the City is the appropriate public agency partner (or if another agency
would be more appropriate).
Eligible Community Partners. The City shall only form community partnerships with
entities that can demonstrate good organization and stability throughout the term of the
1
IHzr
partnership. Non-profit organizations should have a board of directors and,if funding is
to be received from the City, must be qualified under Section 501(c) of the Internal
Revenue Code. If no funding is to be received from the City,official non-profit status is
not required.
Community Partnership Agreement. All community partnerships require a formal
agreement between the City and the partner(s). The agreement shall clearly define the
purpose of the partnership, the City's responsibilities, the partner(s)'responsibilities, the
level of in-kind (e.g., labor and materials) and direct financial support the City shall
contribute, the level of in-kind or financial support the partner(s) shall contribute, any
reporting responsibilities the partner(s) shall have and any other operational details
relevant to the purpose of the partnership. The City's standard contract agreement format
shall be used to document the partnership. If City funding,or significant in-kind support
is to be provided,or the purposes of the partnership could have major community impact,
the partnership agreement shall be approved by the City Council. Other agreements may
generally be approved by the City Administrative Officer.
Level and Type of City Support. Because there is such a diversity in the nature of
potential partnerships,it is difficult to establish rigid parameters for an appropriate level
of City support. As a general guideline, it is reasonable to expect the City and the
partner(s) shall each contribute half the cost toward a community partnership. However,
this ratio could vary depending upon the program/project cost,resources of the partner(s)
and level of interest on the part of the City. In-kind contributions shall be counted, as
well as actual cash,in calculating the total contribution of the parties. Once agreement is
reached on the levels of contribution by the parties, it will be documented in the
partnership agreement. The level of in-kind support to be committed from the City,
particularly the amount of staff support, shall be determined based on work load
considerations and the potential impact on other existing City services and priorities. In
particular, before the commitment of financial or in-kind support which cannot be easily
accommodated within existing departmental budgets, the availability of additional
funding must be determined.
Examples:
The City and the Central Coast Women's League form a partnership to enhance the
existing skate park. The total cost of the enhancements is anticipated to be $40.000.
Each party commits to contributing $20,000 either in cash or in a combination of"in-
kind"services. e.g. volunteer or staff labor,and cash.
The City and Friends of Las Casas de Adobe(FOCA)form a partnership to rehabilitate
the three City-owned adobes. The total cost of the project is anticipated$1.2 million.
The parties agree that the City will provide$25,000 in "seed money"from the General
Fund to allow FOCA to perform initial studies and establish fundraising mechanisms. In
addition the City agrees to provide certain assistance, such as tree trimming, and to
approve other sources of funding such as the Community Development Block Grant. The
2
,.-POLICIES AND OWECTIVES
BUDGET AND FISCAL POLICIES
technology, legal services, fleet maintenance 2. Cost recovery for activities directed to youth
and insurance. and seniors should be relatively low. In
those circumstances where services are
3. The method of assessing and collecting fees similar to those provided in the private
should be as simple as possible in order to sector, cost recovery levels should be
reduce the administrative cost of collection. higher.
4. Rate structures should be sensitive to the Although ability to pay may not be a
"market" for similar services as well as to concern for all youth and senior participants,
smaller, infrequent users of the service. these are desired program activities, and the
cost of determining need may be greater
5. A unified approach should be used in than the cost of providing a uniform service
determining cost recovery levels for various fee structure to all participants. Further,
programs based on the factors discussed there is a community-wide benefit in
above. encouraging high-levels of participation in
youth and senior recreation activities
F. Low Cost-Recovery Services regardless of financial status.
Based on the criteria discussed above, the 3. Cost recovery goals for recreation activities
following types of services should have very are set as follows:
low cost recovery goals. In selected
circumstances, there may be specific activities High-Range Cost.Recovery Activities
within the broad scope of services provided that (60%to 10001)
should have user charges associated with them. a. Classes(Adult and Youth)
However, the primary source of funding for the
operation as a whole should be general-purpose b. Day care services
revenues, not user fees. c. Adult athletics (volleyball, basketball,
softball,lap swim)
1. Delivering public safety emergency d. Facility rentals (Jack House, other in-
response services such as police patrol door facilities except the City/County
services and fire suppression. Library)
2. Maintaining and developing public facilities Mid-Range Cost Recovery Activities
that are provided on a uniform, community- (30%to 60%)
wide basis such as streets, parks and e. City/County Library room rentals
general-purpose buildings. f. Special events (triathlon, other City-
sponsored special events)
3. Providing social service programs and g. Youth track
economic development activities. h. Minor league baseball
i. Youth basketball
G. Recreation Programs j. Swim lessons
k. Outdoor facility and equipment rentals
The following cost recovery policies apply to
the City's recreation programs: Low-Range Cosi Recovery Activities
(0 to 30%)
1. Cost recovery for activities directed to adults I. Public swim
should be relatively high. in. Special swim classes
n. Community garden
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POLICIES AND OBJECTIVES
BUDGET AND FISCAL POLICIES
o. Youth STAR H. Development Review Programs
p. Teen services
q. Senior services The following cost recovery policies apply to
the development review programs:
4. For cost recovery activities of less than
100%, there should be a differential in rates 1. Services provided under this category
between residents and non-residents. include:
However, the Director of Parks and
Recreation is authorized to reduce or a. Planning (planned development permits,
eliminate non-resident fee differentials when tentative tract and parcel maps,
it can be demonstrated that: rezonings, general plan amendments,
variances, use permits).
a. The fee is reducing attendance. b. Building and safety (building permits,
b. And there are no appreciable structural plan checks,inspections).
expenditure savings from the reduced c. Engineering (public improvement plan
attendance. checks, inspections, subdivision
5. Charges will be assessed for use of rooms,
requirements, encroachments).
pools, gymnasiums, ball fields, special-use d. Fire plan check.
areas, and recreation equipment for activities
not sponsored or co-sponsored by the City. 2. Cost recovery for these services should
Such charges will generally conform to the generally be very high. In most instances,
fee guidelines described above. However, the City's cost recovery goal should be
the Director of Parks and Recreation is 100%.
authorized to charge fees that are closer to
full cost recovery for facilities that are 3. However, in charging high cost recovery
heavily used at peak times and include a levels, the City needs to clearly establish
majority of non-resident users. and articulate standards for its performance
in reviewing developer applications to
6. A vendor charge of at least 10 percent of ensure that there is "value for cost."
gross income will be assessed from
individuals or organizations using City I. Comparability With Other Communities
facilities for moneymaking activities.
In setting user fees, the City will consider fees
7. Director of Parks and Recreation is charged by other agencies in accordance with
authorized to offer reduced fees such as the following criteria:
introductory rates, family discounts and
coupon discounts on a pilot basis (not to 1. Surveying the comparability of the City's
exceed 18 months) to promote new fees to other communities provides useful
recreation programs or resurrect existing background information in setting fees for
ones. several reasons:
8. The Parks and Recreation Department will a They reflect the "market" for these fees
consider waiving fees only when the City and can assist in assessing the
Administrative Officer determines in writing reasonableness of San Luis Obispo's
that an undue hardship exists. fees.
B-10