TO:
Honorable Mayor and Members of the City Council
THROUGH:
Mark Danaj, City Manager
FROM:
Raul Saenz, Interim Public Works Director
SUBJECT:Title
Cooperative Agreement Between City of Manhattan Beach, Oceanographic Teaching Stations, Inc., and Harrison Greenberg Foundation for Improvements to Roundhouse Aquarium (Interim Public Works Director Saenz).
APPROVE
Line
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Recommended Action
RECOMMENDATION:
Staff recommends that City Council:
1. Approve cooperative agreement between City of Manhattan Beach, Oceanographic Teaching Stations, Inc. (OTS), and Harrison Greenberg Foundation (Foundation), and
2. Authorize City Manager to execute agreement
Body
FISCAL IMPLICATIONS:
The proposed aquarium renovation project is expected to be primarily funded by the Foundation. The Foundation has pledged $1.25 million towards the project and will undertake additional fundraising efforts to meet the estimated total project cost range between $1.6M and $2.5M.
This agreement also includes a pledge from the City to contribute $150,000 for improvements to Roundhouse infrastructure and an additional $100,000 for in-kind staff time since the City is a key stakeholder. The $150,000 would be used for construction costs only and would have been spent to improve the Roundhouse, with or without the aquarium project. These funds would come from the Pier Fund, which can only be used for expenses incurred for the Pier, Roundhouse, and Comfort Station.
BACKGROUND:
The Foundation led by Mr. Michael Greenberg has proposed to make a major investment to fully renovate the existing aquarium located at the Roundhouse at the end of the pier. Mr. Greenberg is proposing to undertake this effort to honor the memory of his late son, Harrison Greenberg, that had a deep love for the ocean, marine life, and the City of Manhattan Beach.
The aquarium is currently operated by OTS. OTS is made up of volunteers who all contribute to maintain the health and safety of all of the marine animals under their care and also teach numerous classes to hundreds of grade-school students each year.
On March 15, 2016, the City Council approved a draft term sheet, which specified the major “dealpoints” between all three parties as a precursor to an agreement. City Council directed staff to prepare a cooperative agreement and authorized staff to prepare and issue a Request for Proposal (RFP) to solicit the services of a Project Manager.
DISCUSSION:
City staff, OTS, and the Foundation have met in good faith and have agreed to the terms outlined in the attached cooperative agreement. The agreement outlines the roles and responsibilities of each party (Attachment 1).
In summary, the following are the major elements of the cooperative agreement:
• Foundation has pledged $1.25 million towards the project and committed to undertaking fundraising efforts to meet the total expected project costs.
• City has pledged to contribute $150,000 for improvements to Roundhouse infrastructure and an additional $100,000 for in-kind staff time.
o In-kind staff time includes, but not limited to, contract management, coordinating with permitting agencies including Coastal Commission, and facilitating as-needed community outreach.
• City shall be lead on the project, will issue all RFPs, execute and manage all professional and construction contracts.
• An incremental deposit schedule is included that allows for review of cost estimates at key points along the project before deciding to continue moving forward with the project.
• Funding from the project would be used to pay for arrangements to preserve the animal specimens and establish temporary facilities to allow continued operations during construction.
• OTS to operate and maintain Roundhouse Aquarium after construction completion to a standard acceptable to City.
• No additional signage to the exterior of the Roundhouse will be added, other than signage approved by City.
• A memorial recognizing the contributions of Foundation shall remain displayed in the Roundhouse so long as the Roundhouse Aquarium remains in operation.
o A sample of the type of envisioned memorial is included as Exhibit B to the agreement.
Concurrent with the preparation of this agreement, staff also worked closely with OTS and Foundation to develop an RFP to hire a Project Manager. The RFP was issued and City received four proposals. The proposals are currently under review by all three parties. A consultant agreement is expected to come before City Council at a subsequent meeting.
POLICY ALTERNATIVES:
City Council may choose to not approve the agreement.
Pros:
City in-kind services funds would not be spent.
Cons:
The opportunity to transform the existing aquarium would be lost.
PUBLIC OUTREACH:
There will be periodic presentations to City Council to provide status of the project. The community will be invited to review the information and provide comments. The selected Project Manager will meet with individual stakeholders to provide detailed project updates and solicit input.
ENVINRONMENTAL REVIEW:
An environmental review will be conducted during the final design phase for the project.
LEGAL REVIEW:
This agreement has been reviewed by the City Attorney and is approved as to form.
Attachments:
1. Roundhouse Aquarium Cooperative Agreement