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Home My WebLink About09/07/1999, 7 - CITY DONATION ACCEPTANCE POLICY council M.6,D= AcjenoA Repom ;N-� CITY OF SAN LUIS OBISPO FROM: Paul LeSage,Director of Parks and Recreation SUBJECT: CITY DONATION ACCEPTANCE POLICY CAO RECOMMENDATION Adopt a resolution establishing a City Donation Acceptance Policy. DISCUSSION Background From time to time, individuals, community groups, and businesses have approached the City with the intent of making significant donations. On August 17, 1999, the City Council received a correspondence from Pat Cusack, of Saturn of San Luis Obispo, offering to build a basketball court at Emerson Park. The matter was referred to staff. In reviewing the potential of a donation of this magnitude ($30,000 to $40,000 estimate), and with the potential for donations at the Sports Field Complex, staff determined that there was a need for a formal City policy to cover the acceptance of such gifts. If this policy is adopted, it will be used in reviewing the Saturn donation offer. That item will then be brought to the Council in a timely manner. Cities and other government agencies find it appropriate to develop a formal approach to accepting donations. The purpose of such a policy is to protect the City's interests while not discouraging potential donors. San Luis Obispo park and recreation facilities have benefited from significant donations in the past. Much of Sinsheimer Park, including the baseball stadium, was donated by private businesses and community organizations. Many of the barbeque pits.in City parks were built by service clubs. The Rotary Pavilion in Laguna Lake Park was constructed entirely by the Monday Rotary Club. The City has also previously recognized donations with namings, such as Rotary Pavillion, and with signage such as the baseball scoreboard at the Sinsheimer Baseball Stadium. Certain ongoing maintenance efforts have also been acknowledged. The trail signs on Bishop Peak note that the trails are maintained by the Sierra Club. Primarily, these donations have been accepted on an informal or "hand shake" basis. While major problems have not happened, this informal process does put the City at risk. What if, for example, a project was constructed without inspection and later found to be substandard. Would the City be required to demolish and rebuild it? The attached policy addresses this issue and others that protect the City's interest. 7-1 Council Agenda Report—City Donation Acceptance Policy Page 2 Proposed Policy The policy stipulates that donations must have a purpose consistent with City goals and highlights the City's ability to decline donations. It also seeks to encourage donations that do not add to the City's workload or bring hidden costs. The policy provides for all donations with a value in excess of$5,000 to be approved by the City Council. Donations of less than that amount may be approved by the Department Head. Significant donations bring with them an expectation of recognition. This policy allows for appropriate recognition without imposing commercial advertising in City facilities. This policy also stipulates that capital donations will be subject to normal City review, permitting, inspection, and insurance requirements. While the item in this policy on recognition has raised the most questions, this stipulation on review, permitting, etc., is what protects the City from well-intended, but ill-advised, donations. Regarding recognition, while it is staff's position that what is spelled out in Item 9 of the policy is appropriate, not everyone agrees with that position. Staff asked the Joint Use Committee to review the policy because of the potential for donations on sites under their purview. While endorsing the policy, the committee members expressed concern that the naming policy was restrictive and could discourage donations. Staff understands and appreciates this concern, as it represents the enthusiasm of the public for more high-quality facilities and provides a balance to staff's caution in protecting the City's interest. However, Staff believes that a successful track record of facilitating donations has been established and is reflected in the proposed policy. Staff is comfortable that the proposed basketball court in Emerson Park can be accomplished under this policy. CONCURRENCES The Joint Use Committee unanimously endorsed this policy on August 24, 1999, with the concern previously noted. The policy will be reviewed by the Parks and Recreation Commission on September 1, 1999. The action of the Commission will be reported to the City Council prior to the September 7, 1999, Council meeting. FISCAL IMPACT There is no fiscal impact in adopting this policy. The fiscal impact of individual donations with be reviewed either by the City Council or the Department Head, depending on the value of the donation. ATTACHMENT Resolution 7-2 RESOLUTION NO. (1999 Series) A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO ADOPTING A CITY DONATION ACCEPTANCE POLICY WHEREAS, individuals, community groups, and businesses may wish to make donations to the City in either cash or in-kind contributions that enhance projects, facilities, and programs; and WHEREAS, the need for projects, facilities, and programs exceeds the City's ability to fund all such needed projects; and WHEREAS, it is an acceptable and appropriate practice to accept donations, in order to enhance City programs and/or facilities to provide a higher level of service to the public. NOW THEREFORE, be it resolved that the City Council of the City of San Luis Obispo hereby adopts the following policy concerning the acceptance of donations: 1. The donation must have a purpose consistent with City goals and objectives. 2. The City may decline any donation without comment or cause. 3. The donation will not be in conflict with any provision of the law. 4. The donation will be aesthetically acceptable to the City. 5. The donation will not add to the City's workload unless it provides a net benefit to the City. 6. The donation will not bring hidden costs such as starting a program the City would be unwilling to fund when the donation was exhausted. 7. The donation places no restriction on the City, unless agreed to by the City Council. 8. The donation shall become property of the City. 9. All donations will receive recognition appropriate to the level and nature of the donation as determined by the City. For those of a capital nature, that may be in the form of signage, marking, or naming. Any naming of Parks and Recreation facilities shall be consistent with City policy on the naming of such facilities as set forth in Resolution 8621 (1997 Series). Regardless of the recognition strategy selected, the intent shall be to appropriately honor the donor for their contribution to the community. The appearance of traditional commercial advertising shall be avoided. .7-3 ,v Resolution No, (1999 Series) Page 2 10. Donations exceeding $5,000 shall be accepted through a written agreement consistent with these guidelines and approved :by the City Council.. In=kind Capital donations will be subject to normal City review, permitting, inspection, and insurance requirements. Upon motion of - ____—__, seconded by and on the following roll call vote: AYES: NOES: ABSENT: the foregoing resolution was adopted this day of , ..1999. Mayor Allen Settle ATTEST: Lee.Price, City Clerk APPROVED AS TO FORM: G. rge n, ty Attorney 7-4 MEQ" _7_q� AGENDA .� DA)` ITEM # council mcmoizanoum F3O110d -'�❑ September 2, 1999 wv3 1 w❑ AHO EJIH01N831yL1 A3NHOilWMTO: City Council ❑ ovo�❑ VIA: John Dunn, City Administrative Officer� � FROM: Paul LeSage, Director of Parks and Recreation SUBJECT: '••II CITY DONATION ACCEPTANCE POLICY At their September 1, 1999, meeting, the Parks and Recreation Commission unanimously endorsed the City Donation Acceptance policy. PL:lh RECEIVED SEP - 3 1999 SLO CITY CLERK