Item No.
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: OFFICE OF THE CITY MANAGER
BY: ROGER BRADLEY, CITY MANAGER
DATE: APRIL 23, 2024
SUBJECT: DISCUSSION REGARDING FUNDING OF THE NEW DOWNEY YMCA
FACILITY, INCLUDING ANY ADDITIONAL CITY PROVIDED ASSISTANCE
EXECUTIVE SUMMARY
The City Council will discuss funding of the new YMCA facility at 11531 Downey Avenue.
RECOMMENDATION
That the City Council:
Discuss funding, including any potential City assistance, of the new YMCA facility at 11531 Downey Avenue.
BACKGROUND
The planned brand-new YMCA facility will support a vibrant, healthy community with engaging youth and teen development programs, before and after school care, and senior and special needs activities. The new 20,000 square foot facility is being designed to include: an outdoor basketball court; pickleball courts; a child activity center; indoor pool; men’s, women’s, and family locker rooms; state-of-the-art fitness center; holistic health community space; dedicated parking with electric vehicle charging stations; and a secured entrance. The building will also be ADA compliant and will be designed to provide an inclusive environment that is welcoming to all. The construction of the new building is anticipated to be completed by the end of 2025.
Funding Discussion
At the February 28, 2023 City Council meeting, the City Council discussed funding of the YMCA Capital Campaign Project. At this meeting, the City Council received a presentation from YMCA representatives regarding the Downey YMCA history, programming, and the new proposed building. After deliberation by the City Council, it was decided to evaluate possible funding during the budget process.
Grant Management
As part of the State of California 2022-2023 budget, the California State Library appropriated a one-time local assistance grant for the new Downey Family YMCA in the
DISCUSSION REGARDING FUNDING OF THE NEW YMCA DISCUSSION REGARDING FUNDING OF
THE NEW DOWNEY YMCA FACILITY, INCLUDING ANY ADDITIONAL CITY PROVIDED ASSISTANCE APRIL 23, 2024
PAGE 2
2 amount of $3,000,000. Local assistance grants must be managed by a local government agency, and as such, the California State Budget named the City of Downey as the awardee of the grant funds on behalf of the YMCA.
On April 11, 2023, the City Council approved a grant agreement between the City of Downey and the YMCA of Metropolitan Los Angeles (YMCA) to outline the roles and responsibilities of each party while also offering a high-level overview of the expectations in relation to the project.
City staff has been working closely with the YMCA project team to complete necessary grant reports, and to discuss project timelines and designs to ensure the project meets necessary grant timelines and to proactively address any potential issues in order to avoid project delays. It should be noted that City staff is not charging their time, “Administrative Costs”, to the California State Library grant for the management of the grant. This enables more of the $3,000,000 funds to be used towards the actual project.
The State Library grant funding will assist with the following items associated with development of the new YMCA facility:
•demolition and site preparation;
•parking site I construction;
•site utilities, and
•conceptual and construction design drawings.
Waiver of City Fees
At the November 14, 2023 meeting, the City Council approved the waiver of $296,081 in City fees (and reduction in City revenues) to facilitate the development of a new YMCA facility at 11531 Downey Avenue and directed staff to draft a Development Agreement with YMCA to memorialize the waived fees and YMCA project development timeline. This agreement has been fully executed by both parties.
The new YMCA building project is estimated to cost $20,682,065. The YMCA has secured $12,343,294 million for the project, with a combination of community donations, the aforementioned State Grant, and through the federal 2024 Community Project Funding program from Congressman Robert Garcia. It should be noted that during the 2024 Community Project Grant process, Congressman Garcia originally submitted $3 million for congressional approval. It was announced in March 2024 that the final federal appropriated amount for the new YMCA was $850,000. The YMCA current has a fundraising campaign underway to bridge the funding gap.
ANALYSIS
At the April 9, 2024 City Council meeting, the City Council asked staff to return at a future City Council meeting with an agenda item to discuss funding of the new YMCA facility at 11531 Downey Avenue.
DISCUSSION REGARDING FUNDING OF THE NEW YMCA DISCUSSION REGARDING FUNDING OF
THE NEW DOWNEY YMCA FACILITY, INCLUDING ANY ADDITIONAL CITY PROVIDED ASSISTANCE APRIL 23, 2024
PAGE 3
3 CITY COUNCIL PRIORITIES
Fiscal Responsibility
Quality of Life, Safety & Infrastructure
FISCAL IMPACT
The fiscal impact will depend on the outcome of the City Council discussion.