TO:
Honorable Mayor and Members of the City Council
THROUGH:
Bruce Moe, City Manager
FROM:
Mark Leyman, Parks and Recreation Director
Linda Robb, Sr. Management Analyst
SUBJECT:Title
Consideration of a Three-Year Memorandum of Understanding with Oceanographic Teaching Stations (OTS) Authorizing the Use of the Roundhouse for Fundraising Events, and Consideration of a Request from the OTS to Modify Permissible Hours in the Existing Agreement to Allow for an Earlier Start Time for a June 7, 2023, Event (Parks and Recreation Director Leyman).
(Estimated Time: 30 Mins.)
A) DISCUSS AND PROVIDE DIRECTION
B) ADOPT RESOLUTION NO. 23-0070
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Recommended Action
RECOMMENDATION:
Staff recommends that the City Council consider a three-year Memorandum of Understanding (MOU) with Oceanographic Teaching Stations (OTS) authorizing the use of the Roundhouse for fundraising events. Further, staff recommends that Council consider a request from the OTS for modified event hours for a June 7, 2023, event. If City Council approves the new three year agreement, staff recommends the City Council adopt Resolution No. 23-0070.
Body
FISCAL IMPLICATIONS:
If the agreement is approved, OTS will pay the City 15% of the aggregate amount of all “License Fees” received from the use of the Roundhouse for authorized events. Fees received from OTS will be allocated to the State Pier and Parking Lot Fund. During the first pilot period one fundraising event was held. OTS received $2,800 in license fees and paid $420 to the City.
BACKGROUND:
On June 16, 2020, City Council approved a six-month pilot program authorizing the use of the Roundhouse for fundraising events. The pilot program was delayed by the COVID-19 pandemic and began in September 2021, running through March 2022. Due to the short pilot time period and small number of events that occurred staff recommended a one-year license agreement to properly evaluate the program, approved by City Council on June 21, 2022.
OTS is required to provide seven business days advance notice of events to the City. Permissible activities, including birthday parties, neighborhood dinners, appreciation events, speakers/lectures, and corporate gatherings are outlined in the attached MOU between the City and OTS.
Since the agreement has been in place, there has been one event in the past three years.
DISCUSSION:
The attached MOU allows OTS to license third parties to use the Roundhouse for certain events, including the serving of alcohol at those events, for the purpose of generating revenue for the OTS.
The attached contract is the same as the version approved in 2022 with the exception that the OTS has requested to add a provision that specifies that modifications from the stated hours of events may be reviewed and approved at the City Manager’s discretion. This request would provide greater flexibility of hours which may be helpful for OTS fundraising purposes and planning.
The events are subject to the following conditions:
1. OTS shall enter into a license agreement with the event sponsor.
2. Permissible events include birthday parties, neighborhood dinners, appreciation events, speakers/lectures, and corporate gatherings.
3. OTS shall provide at least seven business days advance notice.
4. All events shall occur between the hours of 6:00 PM and 10:30 PM during the winter period (November to April), and between the hours of 7:00 PM and 10:30 PM for summer events (May-October)
5. Maximum Occupancy: 40
6. Private security is required for events of twenty or more people.
7. No event may block access to any part of the Pier at any time without prior written approval from the City.
8. There shall be no driving on the pier, no smoking, no gasoline or other combustibles, no cooking, no animals, nothing may be attached to walls or display tanks, no access to office or lab areas, no use of plastic straws or bags, no tents or pop-ups on the pier, and no feeding of the fish and other sea specimens.
9. The City shall have the right to use the Roundhouse up to ten times per year for special functions. City events shall take precedence over any authorized events.
10. In order to allow alcohol service at events, OTS agrees to maintain liquor liability insurance verified by the City’s Risk Manager. No alcoholic beverages are to be sold during any event.
Staff recommends that the City Council:
1) Discuss and provide direction on the Oceanic Teaching Stations Memorandum of Understanding, with a change to condition #4 above, adding a provision that flexibility of hours may be adjusted for events that fall outside of the stated parameters, on a case by case basis, by the City Manager (language to this effect has been included in the draft agreement attached to this report).
2) Discuss and provide direction on a rental request for an event which occurs on June 7, 2023, with hours outside of the current guidelines. The proposed event request is from 5:00 PM to 8:00 PM (2 hours earlier than permitted in the existing agreement). OTS has proposed earlier opening hours (10:00 AM) to provide additional public access.
PUBLIC OUTREACH:
The original agreement was discussed and approved on June 16, 2020. The first amendment to extend the agreement was discussed and approved at the June 21, 2022, City Council meeting.
ENVIRONMENTAL REVIEW:
The City has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that the activity is not a “Project” as defined under Section 15378 of the State CEQA Guidelines; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines the activity is not subject to CEQA. Thus, no environmental review is necessary.
LEGAL REVIEW:
The City Attorney has approved the agreement as to form.
ATTACHMENTS:
1. Resolution No. 23-0070
2. Memorandum of Understanding - Oceanographic Teaching Stations, Inc.