TO:
Honorable Mayor and Members of the City Council
THROUGH:
Talyn Mirzakhanian, City Manager
FROM:
Erick Lee, Public Works Director
Katherine Doherty, City Engineer
Jeff Fijalka, Principal Civil Engineer
SUBJECT:Title
Lot 3 Parking Structure Local Emergency Update (Unbudgeted) (Public Works Director Lee).
DETERMINE THAT THERE IS A NEED TO CONTINUE THE EMERGENCY ACTION
Body
_________________________________________________________
RECOMMENDATION:
Staff recommends that the City Council determine, by four-fifths vote, that there is a need to continue the emergency action.
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 |
|
|
General Fund |
Prop A Fund |
Meas M Fund |
Parking Fund |
TOTAL |
|
INTERIM LOT |
|
|
|
|
|
|
Actual |
- |
- |
- |
7,610 |
7,610 |
|
Planned |
- |
- |
- |
463,423 |
463,423 |
|
Subtotal |
- |
- |
- |
471,033 |
471,033 |
|
|
|
|
|
|
|
|
SHUTTLE |
|
|
|
|
|
|
Actual |
- |
85,142 |
6,000 |
376 |
91,518 |
|
Subtotal |
- |
85,142 |
6,000 |
376 |
91,518 |
|
|
|
|
|
|
|
|
LOT CLOSURE |
|
|
|
|
|
|
Actual |
2,806 |
- |
- |
3,362 |
6,168 |
|
Subtotal |
2,806 |
- |
- |
3,362 |
6,168 |
|
|
|
|
|
|
|
|
GRAND TOTAL |
2,806 |
85,142 |
6,000 |
1,024,771 |
1,118,719 |
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 March 18, 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.
Interim Parking Lot
Bid documents for the interim lot were made available on the OpenGov procurement site on March 4, 2025. A pre-bid meeting with interested contractors was held onsite on Tuesday, March 11, 2025 at 9:00 a.m. Two bids were received by the submission deadline of Wednesday, March 19, 2025 at 11:00 a.m.
Carbon Activated Corporation is the apparent low bidder for the project with a bid amount of $1,160,755. Additionally, PALP Inc., dba Excel Paving Company, submitted a bid in the amount of $1,223,789. Staff is currently reviewing the bid submissions in accordance with the provisions of the Public Contract Code to confirm that the low bidder is both responsible and responsive. A contract award is anticipated prior to April 4, 2025.
Refuse Enclosure Licensing Agreements
A refuse enclosure will be constructed within the interim lot to house the private recycling containers that were stored within the Lot 3 Parking Structure prior to demolition. During the February 18, 2025 Regular City Council Meeting, staff presented a set of proposed fees for the use of the refuse enclosure. Per the direction received, a $3.00 per square foot fee will be incorporated into all licensing agreements between the City and individual business owners who opt to store their containers within the interim lot.
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. The Council considered several options.
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.
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.
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