Agenda Report
Fullerton City Council
MEETING DATE: June 21, 2022
TO: CITY COUNCIL / SUCCESSOR AGENCY
SUBMITTED BY: ERIC J. LEVITT, CITY MANAGER
PREPARED BY: JUDITH BOOTH, LIBRARY DIRECTOR
KELLEE FRITZAL, COnsultant / specialist
TAYLOR SAMUELSON, ADMINISTRATIVE ANALYST II
SUBJECT: TERMINATION OF LEASE NEGOTIATIONS AND REQUEST FOR PROPOSAL ISSUANCE FOR HUNT LIBRARY TENANT / OPERATOR AGREEMENT
SUMMARY
City Council directed staff to pursue negotiations with Heritage Future and Arts Orange County (ArtsOC) on the future use of the Hunt Library facility in June 2020. Staff has proceeded with renovations and rehabilitation of the Library. Staff recommends City Council terminate all negotiations with Heritage Future and ArtsOC and pursue a new Request for Proposals (RFP) for a Tenant / Operator that will meet the community needs and provide requested services while also understanding the responsibilities associated with maintaining the property.
RECOMMENDATION
Direct staff to terminate all lease negotiations with Heritage Future and ArtsOC relating to the City owned property at 201 South Basque Avenue, alternatively known as the “Hunt Library” facility.
Direct staff to draft and post a new Request for Proposals (RFP) for a Tenant / Operator that meets the needs of the community and provides requested services for the City-owned site at 201 South Basque Avenue, alternatively known as the “Hunt Library” facility.
PRIORITY POLICY STATEMENTS
This item matches the following Priority Policy Statement:
Fiscal and Organizational Stability.
FISCAL IMPACT
This action does not incur any fiscal impact. The City has received a total of $5.25 million from the State of California through the California Library 2019 and 2021 budgets to pursue renovations, modernization and overall facility improvements to the site. The City will further negotiate the terms of the lease upon receipt of qualified proposals and City Council review and approval.
DISCUSSION
Background
The Hunt Library is a historic facility donated to the City of Fullerton in the 1946 by the Hunt Foods Foundation and holds significant cultural and historic value for the community and its residents. The City operated the site as a library for several years, but it ultimately became a cost prohibitive, financial burden. The City closed the site in 2013 due to fiscal constraints.
The closure resulted in adding the building to the City’s list of excess properties with a potential sale at one point. After community groups voiced their concern and appreciation for the site, the City preserved it and began a multi-year process to pursue methods to revitalize the Hunt Library.
Architect William Pereira designed the building in the international style (rectilinear form, structural steel frame, glass panels and repeated module pattern) that provides a dramatic counterpart to the building’s park-like setting which resonates with many of the other architectural cornerstones of the community. The National Registry of Historic Places listed the site on its registry in 2019.
The City created a Library Ad-Hoc Committee which envisioned repurposing the site to provide a variety of compatible and creative uses. The Ad-Hoc Committee envisioned a facility that brought out the community in sharing knowledge and learning, encouraging curiosity and serving as a hub for activities, programs, events and classes.
Following direction from the Committee, the City issued a Request for Proposals (RFP) for a tenant / operator. The City received responses from eight candidates, two of which the City deemed unqualified.
The City pursued negotiations with Heritage Future and ArtsOC in June 2020 on the future use of the facility. The City began negotiations at the direction of City Council. The City contracted with ArtsOC to survey the community and considered the result of 36 stakeholder interviews, three visioning sessions and over 800 responses to surveys in developing the plan for the Hunt Library. The report also included floorplans for usage and programs in-line with the interests of the two organizations.
Negotiations regarding the site occurred over several months and resulted in various revisions to plans and changes in agreement language. The City drafted a term letter to both Heritage Future and ArtsOC in November of 2021. Both groups, however, had concerns with the terms of the lease due to the requirement to pay for utilities and maintenance. Heritage Future’s board would not move forward to agreeing to any lease.
The City has completed significant due diligence in working with nonprofits, various groups and stakeholders to protect and ensure the future of the Hunt Library. Given its historical value and community significance, staff requests direction to move the process forward.
The City’s Public Works department is on the second phase of facility updates to the building which include completing ADA compliance on the site and parking lots as well as working with Information Technology to modernize the interior information technology systems.
Staff anticipates the RFP process will take approximately 90 days to bring back to City Council for consideration and approval, with qualified proposing firms required to complete a site-walk prior to the closure of the application timeframe. The selection and evaluation process will highly depend on financial strength of applicants and will factor in community interests and overall use.
The attached draft RFP incorporates many of the focus areas identified throughout the Ad-Hoc Committee process as well as specific qualifications staff hopes will improve the overall applicant pool for this process. The new RFP specifically outlines financial qualifications of an organization and provides clarity into flexible site use while retaining community interests. Furthermore, the site provides the tenant the option to lease and utilize exterior space adjacent to the site including parking lots and a dog park area which the tenant could use for various programming purposes and creative site use. The RFP explicitly lays out tenant improvements so that all applicants understand the expected improvements which may be required when leasing the site. Improvements vary by the ultimate final site usage.
While staff has isolated specific sections of the facility for library-like usage, the applicant may repurpose the rest of the site for their needs. The RPF specifically includes flexibility and creative use as the tenant will operate and maintain the site.
The following outlines some of the major areas of the draft RFP:
Financial Strength – Source and Uses of Funds, Program Budget, etc.
Experience Managing 10,000 Square Foot Facility
Coverage of All Utilities and Operating Costs
Site Operation and Regular Working Hours (Open to Public Weekly) Clear Floor Plan of Proposed Site Vision and Use
Detailed Work Plan
Property Management Approach (Vandalism Mitigation and Security) Historical Site Maintenance and Preservation History.
Issuing a new RFP will attract qualified candidates with anticipation that the selected tenant will bring about positive change and added security at the site. Results of engagement indicate the community’s desire to ensure the Hunt Library remains a historically significant cultural site, preserved so the entire community may utilize and enjoy it. The selected tenant will have a high degree of experience and will work to mitigate vandalism and find creative site repurposing which draws in residents, students and community groups.
Attachments:
Attachment 1 – Draft RFP Hunt Library Tenant / Operator Hunt Library Lease
June 21, 2022 - Page 4