HomeMy WebLinkAbout11/14/1989, 4 - CONSIDERATION OF WAIVER/MODIFICATION OF PARKING USER FEES FOR ALANO CLUB PROPERTY IN RAILROAD SQUAR l �
- M 'NG DATE:
A�lll city of San Luis OBISPOMain � , ,9
COUNCIL AGENDA REPORT `�'N"N'BE'L
David F. Romero Wayne A. Pete on Prepared by: Keith Opalewski
Public Works Director City Engin Parking Program Coordinator
SUBJECT:
Consideration of Waiver/Modification of Parking User Fees for Alano Club Property in Railroad
Square
CAO RECOMMENDATION:
By motion, adopt policy that all users of parking spaces located within the Railroad Square
Parking Service Area must pay the rate established in the approved lease agreement.
BACKGROUND:
At its meeting of September 19, 1989, Council adopted Resolution No. 6693 (Exhibit A)
establishing a parking user fee for property owners in the Railroad Square Parking Service Area.
Prior to the final vote by Council a public hearing was held to hear comments from people who
would be affected by the user fees. A representative from the Alano Club conveyed that they are
a non-profit organization and the proposed fee would pose a financial hardship.
Council directed Alano Club to discuss the matter with their Board of Directors and propose a fee
that they could pay. The September 28, 1989 letter (Exhibit B) to Mayor Dunin and Council
states that the Alano Club could possibly pay $50 per month for their required parking spaces.
DISCUSSION:
The adoption of Resolution No. 6693 was the culmination of years of work by staff members,
which included numerous meetings with property owners who would be affected by the parking
program. It should be noted that the bulk of discussions centered around the monthly rate for
parking spaces ($12.00 final rate). All property owners including the Alano Club signed planning
applications (Exhibit C) confirming their support for the parking program. In fact, the
establishment of a joint use parking program benefited all users by reducing the overall parking
requirments from 176 required to the 130 spaces provided. The latter was contingent upon the
premise that since it was a joint use parking area, all property owners would participate in the
program.
When the issue came before the Council only the Alana Club lobbied for a reduced rate based on
the assumption that their services benefited the community and they were non-profit.
Although the Alana Club may enjoy a non-profit tax exempt status for their community service,
the property owned by them also includes two retail businesses. The retail businesses jointly have
a five space parking requirement, which added to Alano's 20 space requirement converts to 25
spaces to be provided. Common parking provided in the parking lot off Church Street also is
owned by the Alano Club. The total parking spaces in the lot is six, thereby reducing the total
required spaces for the property to 19.
The retail businesses are a source of revenue for the Alano Club. According to BIA figures the
average cost for retail space in downtown is $1.50 per square foot. Thus, the 1428 square feet of
space represents potential monthly income of $2142. The required monthly parking fee ($228) is
only slightly more than 10% of their monthly rental income.
111111011.4111 city of san tins osispo
NMZS COUNCIL AGENDA REPORT
Council Agenda Report
Page Two
Contrary to Alano Club's claim of not being a normal member of the Railroad Square
Association, the inclusion of retail businesses and the location of the club within the Railroad
Square Parking Service Area suggests that they should pay the fair fee for Railroad Square
parking spaces.
ALTERNATIVES:
Given the non-profit nature of the Alano Club the following options are possible to fulfill their
parking requirements.
Option A - Full market value of $228 per month for 19 required spaces. (Staff
recommendation)
Option B - Give additional (double) credit for the six off-site spaces on Church Street and
reduce their parking required to 13 spaces ($158 monthly). Note: No other
businesses receive double credit.
Option C - Accept Alano Club's proposal of $50 per month which equates to a 4 space
requirement.
FISCAL IMPACT: -
Accepting any other option besides full market value will reduce Railroad Square parking
revenue by a range of $840 to $2136 annually.
OTHER DEPARTMENT COMMENTS:
Community Development concurs with staff that Alano Club should pay full market value for
their parking.
CONSEQUENCES OF NOT TAKING RECOMMENDED ACTION:
Accepting a lower monthly parking fee for Alano Club will reduce the funding for the overall
project. Furthermore, this action would set a precedent for other retail users to request a review
and possible reduction in their parking requirement.
RECOMMENDATION:
Adopt policy that all users of parking spaces established by the joint use parking program pay
full market value set forth in the lease agreement.
ACTION TAKEN: _Approved as recommended as modified
Denied Continued
Vote:
,1111%jjQW1§j CTCy of san luis OBISpo
COUNCIL AGENDA REPORT
Council Agenda Report
Page Three
APPROVED:
City A trative Officer
Director of Finance
City Attorn y
Attachments:
Resolution No. 6693
memorandum from Alano Club Board of Directors
Planning Application
I
�-3
Alano Club, Inc.
1814 Osos St. —
San Luis Obispo, CA
-t IM 0D U .;
•i
To Ron Dunin Date. September 28, 1989
Mayor, San Luis Obispo
Copies: NP. Petersen
R. Pinard
P. Rappa
J. Reiss
!1r// A. Settle
From Bud B. Secretary,
Alano Club Board of Directors
OF A`MWsK,
Subject Railroad Square Parking Lease Agreement
You will recall that the Railroad Square Parking Lease Agreement. was
discussed at the Council meeting of September 19, 1989. At that time
I presented certain facts about the Alano Club of San Luis Obispo. I
explained that we are a non-profit organization of sober alcoholics. We
acquired the property in 1961 from Earl Bernard. who made, it available to us
n, on an interest free loan, providing that it continue to serve recovering
alcoholics. I also noted that while the Club is a distinct entity from
Alcoholics Anonymous, it i.s the facility used by the Pioneer Group of AA
and that 75 per cent of all AA meetings in San Luis Obispo useour facilities.
In addition, the Club is a safe have for its members 7 days a week and we:.
sponsor sober events for the entire recovery community throughout the year.
I indicated to the Council that for these reasons we were not a normal
member of the Railroad Square Association and that we simply could not
afford to pay the assessment developed by city staff. At that point you,
Fir. Mayor, asked if we .could afford to pay any part of the assessment. I
replied that I did not 'Know but that I would raise the issue with the Board
of Directors at our next meeting. The resolution in question then passed
the Council with the understanding that we would apply for a waiver of the
parking fees referred to in the draft lease agreement.
The Alano Club Board of Directors met on September 27, 1989. After discussion
and consultation with Club Manager- Pete Petersen , we determined that we.
could probably manage to pay $50.00 per rionth.
We are unclear as to the procedures that should be followed in order to
obtain a formal waiver or modification of the financial terms contained in
the Railroad Square Parking Lease Agreement, Your advise on this matter
would be appreciated.
OCT 2
CITY CLERK
Sat:1.l:iS onl.SPo. l`p
C-11A, 01' SAF WIS 01i1s�)o
L PLANNING APPLICA) ION
lr'r•r11111.-4.vM1L1,DPI1i . 49h Ditm:•I.IwI P O BV•el'.r • ... I)tu..•e r 17.4 r. . . \
•i', ,, .' .... '"� dud r',. 'r. . . .. .
—___--_
_ rt• .
-AIL ale !:I(pr%,pn'hnrr 9 Ir D, z. n'•: • .;r :I.
+• �ar W can 10 a'
•ti'••'-4~I✓W QW1- the aermit to allow a narking reductior. (176 recjired. 130 spaces provide)
far a joint use ,parking program for Railroad Square, and to allow offsitP :larking.
rr.:aucll:., _1820 nses St.
. `mIxt osyaem a maeras, Railroad Square area
+sass«:vmcoaaarkmemrawcvoes,a�
APPLl WMMPIUBITATWM t Mw revoww tan can PRMMTV OTMEAJAUMOMMU AGENT• I naw ..aa
rMno a001cid a are no aaaeaao met~ The woos latwn oro eanoJeW aDWIc~and eawnl w.y n.,r0 .
•.ow to*ft 1a
-Iry^N+net owrwI.nat m
aOD' O � a appD.al
9/25/85 -
. .s.• r ..-y„y.., -a NY..+....: :amu. �..�.L
' s'2y�'�.,6i!' r.�y'•' "s'.'� .- ��h..���'C!S' -�3�.?SC1T��'JY."5i..,1['A/�n!'flj
RESOLUTION NO. 0-69J.. (1989 SERIES)
A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN
LUIS OBISPO ESTABLISHING A PARKING USER FEE FOR
PROPERTY OWNERS It+ THE R=AILROAD SQUAPE PAR::T_::C
SERVICE AREA
WHEREAS, the City of San Luis Obispo has improved the quality
of transportation and parking facilities in the area commonly
known as Railroad Square; and
WHEREAS, the improvements have been completed and local
businesses and other users are deriving benefit from the
project; and
WHEREAS, the City Council approved a parking program for the
Railroad Square Parking Service Area which requires payment of
parking fees if property owners cannot provide on-site parking;
and
WHEREAS, the City has agreed to operate and maintain the
(^� parking facilities and part of the costs for development and
maintainance are to be recovered from private participation in
a user fee program, and Council has heard public comment on
this matter;
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF
SAN LUIS OBISPO THE FOLLOWING:
Section 1. All property owners maintaining businesses that use
the area served by Railroad Square parking facilities shall be
required to enter into a lease with the City, and that said
lease shall require the payment of $12 per space per month for
the term of the lease.
Section 2 . As set forth in the lease agreement the City
retains the right to implement parking control measures in.. all
or part of the Railroad Square parking area.
Section 3. The City shall monitor the parking demand in the
area and initiate improvements or changes as deemed necessary
and which are mutually agreed upon by property owners.
Section 4. The City shall continue to maintain, and if
possible, expand the parking facilities through the use or
acquisition of additional railroad property.
R6693
i
Resolution No. 6693 (1989 Series)
Page 2
Copies of this resolution shall be made available in the City
Clerk's Office.
On motion of Mayor Duninseconded. by Councilwoman Pinard
and on the following roll call vote:
AYES: Mayor Dunin, Councilmembers Pinard, Rappa, Reiss and Settle
NOES: None
ABSENT: None
the foregoing resolution was passed and adopted this ]Qrh
day of September 1989
ayor Ron Dunin
i
ATTEST:
pt-w"
u
CIT CLERK P oges
APPROV
CITY1 MINISTR'AT E OFFICER
FINANCE DIRECTOR
CITY ATTO Y
COMMUNITY DEVELOPMENT DIRECTOR
PUBLIC WORKS DIRECTOR
.a,
M1,- rNG AGENDA
WE ITEM #
Alano Club, Inc.
1814 Osos St.
San Luis Obispo, CA
M E M O R A N D U M
To Ron Dunin Date November 9, 1989
Mayor, San Luis Obispo
"Upies Finance Department
P. Petersen
From Bud B. Secretary, D
Alano Club Board of Directors
Subject Railroad Square Parking Lease Agreement
You may recall that I wrote you on September 28, 1989 (copy enclosed)
regarding the discussion of the Railroad Square Parking Lease Agree-
ment that had occurred during the City Council meeting on September 1.9,
1989. In that memorandum I asked for a statement of procedures to
enable us to obtain the waiver/modification of the termsof the draft
lease agreement that was discussed that evening.
I realize that there are many pressing issues that have to be dealt with,
but since I last wrote to you we have recieved Invoice No. 7023 from the
City of San Luis Obispo requesting payment of the amount specified in the
draft agreement. While we are reluctant to ignore the invoice, we
feel we can not take any action until we obtain some clarifications
from you regarding the intent of the Council on September 19, 1989.
We look forward to hearing from you and hope to get this issue settled
and behind us at an early date.
+ RECEIVED
NOV 1 4 ��; _
CITY CLERK
f r SAN LUIS OBISPO. CA
✓ ,car E
i
Alarm Club, Inc .
1R l l Osus St.
San Luis Obispo, CA
�A
M L M O R A i H U M
To Ron Uunin Date September 28, 1989
Mayor, San Luis Obis"i,,, .
Copies: P. Petersen
R. Pinard
P. Rappa
J. Reiss
From bud B. Secretary, &Z-fl)A. Settle
Alano Club Board of Directors
Subject Railroad Square Parking Lease Agreement
You will recall that the Railroad Square Parking Lease Agreement was
discussed at the Council meeting of September 1.9; 1989. At that time
I presented certain facts about the Alano Club of San Luis Obispo. I
explained that we are a non-profit organization of sober alcoholics. We
acquired the property in 1961 from Earl Bernard who made it available to us
on an interest free loan, providing that it continue to serve recovering
alcoholics. I also noted that while the Club is a distinct entity from
Alcoholics Anonymous, it i� the facility used by the Pioneer Group of AA
and that 75 per cent of all AA meetings in San Luis Obispo use our facilities.
In addition, the Club is a safe have for its members 7 days a week and we ,
sponsor sober events for the entire recovery community throughout the year.
I indicated to the Council that for these reasons we were not a normal
member of the Railroad Square Association and that we simply could not
afford to pay the assessment developed by city staff. At that point you,
Mr. Mayor, asked if we could afford to pay any part of the assessment. I
replied that I did not know but that I would raise the issue with the BrIrd
of Directors at our next meeting. The resolution in question then passed
the Council with the understanding that we would apply for a waiver of the
parking fees referred to in the draft lease agreement.
The Alano Club Board of Directors met on September 27, 1989. After discussion
and consultation with Club Manager Pete Petersen , we determined that we
could probably manage to pay $50. 00 per month.
We are unclear as to the procedures that shoutd be followed in order to
obtain a formal waiver or modification of the financial terms contained in
the Railroad Square Parking Lease Agreement. Your advise on this matter
would be appreciated.