TO:
Honorable Mayor and Members of the City Council
THROUGH:
Talyn Mirzakhanian, City Manager
FROM:
Erick Lee, Public Works Director
Ryan Heise, Acting Community Development Director
Katherine Doherty, City Engineer
Erik Zandvliet, Traffic Engineer
Jeff Fijalka, Principal Civil Engineer
SUBJECT:Title
Lot 3 Parking Structure Local Emergency Update (Unbudgeted) (Public Works Director Lee).
A) DETERMINE THAT THERE IS A NEED TO CONTINUE THE EMERGENCY ACTION
B) DISCUSS AND PROVIDE DIRECTION
Body
_________________________________________________________
RECOMMENDATION:
Staff recommends that the City Council:
A. Determine, by four-fifths vote, that there is a need to continue the emergency action.
B. Discuss and provide direction regarding the negotiation of licensing agreements for the use of the refuse enclosure within the Lot 3 interim parking lot.
FISCAL IMPLICATIONS:
The original cost estimate for the demolition and replacement of the Lot 3 Parking Structure (Lot 3) with an at-grade parking lot was on the order of $3,000,000. Pursuant to Manhattan Beach Municipal Code Section 3.08.060.A.6.c, the emergency demolition and replacement phase is being carried out through multiple emergency contracts. To date, the City has expensed, encumbered, or planned for the amounts indicated in the following table. Costs to construct the interim parking facility are not yet included.
|
General Fund |
Prop A Fund |
Meas M Fund |
Parking Fund |
TOTAL |
DEMOLITION |
|
|
|
|
|
Actual |
- |
- |
- |
258,071 |
258,071 |
Planned |
- |
- |
- |
291,929 |
291,929 |
Subtotal |
- |
- |
- |
550,000 |
550,000 |
|
|
|
|
|
|
INTERIM LOT |
|
|
|
|
|
Actual |
- |
- |
- |
6,604 |
6,604 |
Planned |
- |
- |
- |
464,429 |
464,429 |
Subtotal |
- |
- |
- |
471,033 |
471,033 |
|
|
|
|
|
|
SHUTTLE |
|
|
|
|
|
Actual |
- |
84,897 |
6,000 |
376 |
91,273 |
Planned |
- |
3,368 |
- |
- |
3,368 |
Subtotal |
- |
88,265 |
6,000 |
376 |
94,641 |
|
|
|
|
|
|
LOT CLOSURE |
|
|
|
|
|
Actual |
2,806 |
- |
- |
3,362 |
6,168 |
Subtotal |
2,806 |
- |
- |
3,362 |
6,168 |
|
|
|
|
|
|
GRAND TOTAL |
2,806 |
88,265 |
6,000 |
1,024,771 |
1,121,842 |
BACKGROUND:
The Lot 3 Parking Structure was a City-owned facility at the southwest corner of Morningside Drive and 12th Street in Downtown Manhattan Beach. The three-story structure was constructed in 1971 and contained 146 parking spaces critical to visitors and businesses in the Downtown area. In June 2024, City staff elected to close the structure indefinitely, following a series of onsite inspections and structural assessments indicating that advanced deterioration had significantly compromised the integrity of the structure. At the September 3, 2024 regular City Council meeting, City Council adopted Resolution No. 24-0105, declaring a local emergency at Lot 3 and authorizing the City Manager to secure, demolish, and replace the structure.
In addition to adopting Resolution No. 24-0105, City Council directed staff to explore means to expedite the work, including, but not limited to, extending construction work hours. Furthermore, City Council directed staff to discontinue temporary shuttle services and to identify and/or create additional parking spaces within walking distance of the Downtown area. City Council also directed staff to suspend parking restrictions in the Downtown Resident Permit Parking Area. Additional discussions included considering alternate locations for the Farmer’s Market, providing a shuttle service for special events, and evaluating the potential for valet parking.
Per Resolution No. 12-6422, which was adopted by City Council on December 4, 2012, in the event of an emergency, the City Manager is authorized to take action during an emergency pursuant to California Public Contract Code (California PCC) Section 22050. Section 22050 provides that the City Manager may order the repair of public facilities without advertising for bids when the repair is in the public interest and necessitates the immediate expenditure of public money to safeguard life, health, or property.
California PCC Section 22050 requires that if the City Manager orders an emergency action, the governing body shall initially review the emergency action at its next regularly scheduled meeting and at least at every regularly scheduled meeting thereafter until the action is terminated, to determine, by a four-fifths vote, that there is a need to continue the action. This staff report serves as the update required by Section 22050. Previous updates were provided at all City Council Regular Meetings held between September 17, 2024 and February 4, 2025.
DISCUSSION:
Emergency Demolition
Demolition activities concluded on November 22, 2024, and 12th Street was re-opened to traffic that same day. Center Place was re-opened for use as a delivery zone on November 27, 2024. The Lot 3 site is now vacant and currently secured with chain-link perimeter fencing.
Project Impacts to Farmer’s Market
Per City Council direction, the Farmer’s Market that is held every Tuesday by the Downtown Business and Professional Association (DBPA) has been temporarily relocated from its typical location near 13th Street and Morningside Drive to the Civic Center Plaza and Civic Center Parking Lot. Staff secured an amendment to the City’s agreement with the DBPA to address this change. A timeline for returning the Farmer’s Market to the original location has not yet been established.
Permanent Redevelopment Options for Parking Lot 3
On December 9, 2024, the City Council received a presentation from Kosmont Companies regarding potential scenarios and alternative options for the redevelopment of the Lot 3 site. These options included:
• Scenario 1: New Self-Park Garage - Replace Parking Lot 3 Structure
• Scenario 2: Automated Garage
• Scenario 3: Hotel/Commercial Reuse on Site
• Scenario 4: Public Parking on Alternative Sites
During the meeting, staff was directed to perform more research regarding the options available to the City and to return to the City Council with additional information.
Interim Parking Lot
After an in-depth review of the power generating capabilities of solar electric vehicle chargers, it was determined that the units currently on the market do not produce sufficient power to satisfy code requirements. As a result, City staff will continue to coordinate with Southern California Edison to design and construct an onsite electrical service capable of powering the required EV chargers within the interim lot.
Construction drawings for the parking lot have been submitted to the City’s Building and Safety Division for review and permitting. Plans and specifications are anticipated to be released for construction bidding the week of February 17, 2025, and bids will be due a minimum of 15 working days after the start of the bid solicitation. For similar construction bid solicitations, the City would typically charge a fee for contractors to access construction documents. However, the Public Works Department is in the process of switching from PlanetBids to OpenGov, a bid solicitation system that does not provide a mechanism to charge a fee to bidders. Due to the urgent nature of the project pursuant to the emergency declaration, and for consistency with other City departments that also use OpenGov, contractors who wish to provide a bid for the interim lot construction will not be charged a fee to access documents.
Construction of the interim parking lot is anticipated to start in late March with a projected completion by end of May 2025.
Refuse Enclosure Licensing Agreements
Per the direction received from City Council on January 21, 2025, staff developed a set of potential license fees that City Council may consider to offset the costs associated with constructing and maintaining a refuse enclosure within the interim lot. As illustrated in the Refuse Enclosure Fee Table, separate fees are included to account for lost parking revenue, maintenance, and cost of improvements. A proposed market rate for the temporary private use of public space is also included. The fees are not necessarily intended to be additive, but rather City Council may consider implementing any single fee or combination of fees. The license fees adopted by City Council do not need to cover all costs associated with the construction and operation of the refuse enclosure, as there is some public benefit derived from its inclusion in the interim parking lot.
Prior to the start of demolition activities, the recycling containers that were previously housed within the Lot 3 Parking Structure were moved into the Center Place alley, where they remain today. Due to the emergency nature of the demolition, the City was not able to provide the recycling container owners with sufficient notice for the owners to plan for and permit code-compliant refuse enclosures within their private properties. Because these owners are not currently able to accommodate the recycling containers on their property, the available options are to: 1) keep the containers in the Center Place alley, or 2) relocate them to the interim lot. Relocating the containers out of the alley and back into Lot 3 will restore proper emergency vehicle access along the alley. Additionally, moving the containers to a covered enclosure with a bermed slab and sewer connection will allow the City to remain complaint with Municipal Separate Storm Sewer (MS4) Permit requirements for stormwater protection.
Four private properties previously used the containers that were housed within the Lot 3 Parking Structure: Hennessey’s, The Kettle, Love & Salt and 1140 Highland Avenue (which includes Current Events, Un Caffè Altamura, Manhattan Beach Auto Parts, and other offices). City staff discussed the potential licensing fees with the DBPA and two of the four potential licensees. The feedback received from these business owners indicated that they would prefer that the City consider a more global, long-term solution to refuse containment and collection and that the City should look at Lot 3 as an opportunity to begin implementation of that vision. Additionally, in lieu of the potential fees identified by staff, the businesses feel that a rate that is closer aligned with the current sidewalk dining fee would be more appropriate.
Holiday Fireworks Event Shuttle Service
At the November 6, 2024 regular meeting, City Council authorized staff to implement a shuttle service during the Holiday Fireworks Event in an amount not to exceed $50,000. Staff executed a no-cost agreement with Northrup Grumman for the use of a 504-space parking lot and contracted with CharterUP for shuttle services to/from Downtown Manhattan Beach. The shuttle service operated eight full-size (56-person) charter buses between 2PM and 10PM. Prior to the event, the City’s communications team executed a public information campaign that included social media, print, webpage and shuttle stop signs. A dedicated shuttle stop and bypass lane was implemented for better access between Downtown and the remote parking lot. The costs associated with the Fireworks event shuttle and associated marketing totaled $20,345, including $17,600 for shuttle services, $1,528 for print ads, $717 for signs, and $500 for social media.
The shuttle service handled about 1,200 rides (600 each way) and diverted approximately 250 vehicles away from the Downtown area. This eased both traffic and parking congestion during the event. The shuttle was generally well received and would likely have higher ridership with more public awareness of the benefits of this service.
If a similar service is proposed for the 2025 event, both the number and size of the shuttles is scalable to match the expected ridership and reduce costs.
PUBLIC OUTREACH:
Formal public notice is not required for this item; however, the item was included in the agenda for this meeting, which was posted in accordance with the law. Additionally, staff has conducted significant outreach by speaking with businesses about parking impacts and coordinating communication and outreach with the DBPA and businesses that formerly used the refuse enclosure in Lot 3.
ENVIRONMENTAL REVIEW:
The City previously reviewed the proposed project for compliance with the California Environmental Quality Act (CEQA) and determined that the demolition of Lot 3 was covered by the statutory exemption for Emergency Projects (State CEQA Guidelines Section 15269) because the demolition was necessary to address a clear and imminent danger, and required immediate action to prevent or mitigate loss of, or damage to, life, health, property, or essential public services. Because the structure overhung the public right of way on three sides, collapse posed a threat to life, health, property and essential public services.
Additionally, the City previously determined that the interim surface parking aspect of the project qualifies for the following categorical exemptions:
- Class 1 categorical exemption pursuant to Section 15301 (Existing Facilities) of the State CEQA Guidelines because the project would modify the ground floor of a parking facility (that existed at the time the determination was made) to provide fewer parking spaces than the prior facility, thus resulting in no expansion of the prior use.
- Class 2 categorical exemption pursuant to Section 15302 (Replacement or Reconstruction) of the State CEQA Guidelines because the parking structure would be replaced with a flat parking lot with substantially the same purpose as the now-demolished structure and substantially the same capacity as the ground floor of the now-demolished structure.
- Class 4 categorical exemption pursuant to Section 15304 (Minor Alterations to Land) of the State CEQA Guidelines because grading necessary to accommodate a surface parking lot would occur at a lot that has less than 10 percent slope, is not in a waterway, wetland, or scenic area, and is not in officially mapped areas of geological hazard.
The actions under consideration at this time remain part of the previously analyzed project and no further environmental review is necessary.
LEGAL REVIEW:
The City Attorney has reviewed this report and determined that no additional legal analysis is necessary.
ATTACHMENTS:
1. Resolution No. 24-0105
2. Location Map
3. Refuse Enclosure Fee Table
4. PowerPoint Presentation