Agenda Item B.1
DISCUSSION/ACTION ITEM
Meeting Date: February 24, 2022
____________________________________________________________
TO: Mayor and Councilmembers
FROM: Kristine Schmidt, Assistant City Manager
SUBJECT: Management Plan for the Goleta Community Center
RECOMMENDATION:
A. Review and approve a draft plan to assume direct management of the Goleta Community Center effective July 1, 2022;
B. Authorize the City Manager to provide notice to the Goleta Valley Community Center that its lease will not be renewed upon its June 30, 2022 expiration;
C. Authorize the City Manager to negotiate one-year lease agreements with current long- term Goleta Community Center tenants;
D. Approve a budget appropriation of $100,000 from the General Fund unassigned fund balance to the City Manager’s department Fiscal Year 2021 -22 Budget for professional services and other expenses related to conducting and implementing a Community Center Strategic Planning Process.
BACKGROUND:
For a number of years, the City Council has expressed increasing interest in enhancing the role that the Goleta Community Center (GCC), which the City acquired from the Goleta Union School District in 2013, plays in the Goleta community. On August 31, 2021, the City Council held a special workshop regarding the Goleta Community Center (GCC) facility and its operations. Council heard staff presentations about:
A community outreach process that was conducted in 2020 by the City’s consultant, Antenore & Associates;
The status of the Community Center building and the Goleta Community Center seismic and ADA improvement projects; and
The Ad Hoc Goleta Community Center Committee’s recommendation that the City assume direct management of the Goleta Community Center upon the expiration of the lease with the Goleta Valley Community Center (GVCC) organization.
The staff reports and supporting documents for these items were extensive and are not repeated in this report. Howeve r, background about the recommendations presented 1 today including the reports and the accompanying video from the August 31, 2021, Goleta Community Center City Council workshop are available at the following link:
https://www.cityofgoleta.org/i-want-to/news-and-updates/government-meeting-agendas- and-videos
Following this workshop, Council asked staff to return to Council at a future date with a plan and timeline to assume management of the facility on July 1, 2022 , upon the expiration of the current lease with the non -profit Goleta Valley Community Center organization (GVCC) and to discuss a process to develop and adopt a Strategic Plan for the Goleta Community Center. The change will allow the City to manage the GCC during the upcoming $8 million (or more) seismic and ADA improvements capital project and develop a comprehensive Strategic Plan for the Community Center before determining the best long-term management model for the future.
Consideration of direct management is timely. In January 2021, based on an opinion from the City’s Building Official (Willdan), the City had to amend the GVCC’s lease to exclude the main Auditorium and Dining Hall until after seismic upgrades are complete, affecting the ability of the GCC to be managed by the GVCC on a full cost recovery basis. The seismic and ADA capital project is likely to begin construction next year, which will require close coordination with Public Works staff to continue operations, to the extent possible, during construction. The City has received approval for an increase in the FEMA grant for the seismic project and final approval of federal funding for the remainder of the project is expected in the next few days.
Since the August 2021 workshop , staff have informed the GVCC of Council’s intent to consider direct management of the property and asked the acting General Manager and the Board of Directors to consider what its position would be should the City assume direct management. Specifically, 1) whether the GVCC would continue as an entity and if, so, what continuing role the Board would like the City Council to consider for the GVCC at the GCC; 2) whether they would intend to continue to run the Sen ior Center Program at the GCC, 3) how they would anticipate allocating the estimated $750,000 in funds that the GVCC has accumulated in its management of the Community Center. Staff have not received an answer f rom the GVCC, but if Council approves staff’s recommendations today, members of the GVCC Board have indicated they will meet with us to discuss this.
Staff are not proposing to take over management of the Senior Center Program currently run by the GVCC organiz ation. However, staff have developed and are prepared to present at a future date a supplemental budget for the running of the Senior Center Program, should the GVCC organization wish to discontinue its management of this program and should the Council wish to manage it instead.
DISCUSSION:
This report represents the start of a draft management plan for the City to assume management of the Community Center effective July 1, 2022 . Elements of the management plan include:
2 This written report;
A facility map (Attachment 1);
A fee schedule (Attachment 2);
A staffing model (Attachment 3);
A draft budget (Attachment 4); and
A list of one-time start-up costs (Attachment 5).
All numbers presented herein are rough estimates based on past GVCC financials and anticipated staff levels.
The draft management plan is designed to give a preliminary idea of what would be involved in the City assuming direct management of the Community Center from the current manager, the Goleta Valley Community Center non-profit entity. It was developed in part based on the GVCC’s financial reports, a nd in consultation with GVCC staff , and in part based on City’s own financial management and classification and compensation structures. Should Council wish to proceed, staff would continue to refine the budget for presentation to Council as part of the budget process.
Staff have tried to estimate the true financial commitment of running the Community Center to the City’s standards , and as the draft budget in Attachment 4 shows, staff estimates the cost to the General Fund for the City to manage the Community Center in Fiscal Year 2022-23 would be approximately $254,500. Several points are worth making up front about the costs of managing the GCC in Fiscal Year 2022-23.
First, the GVCC was already facing a deficit of $39,000 in its operations for FY 2019-20, which they had hoped to fill with new donations. Second, the loss of revenue from the Auditorium and the Dining Hall is estimated to be about $75,000, which results in a deficit versus GVCC’s 2019-20 budget, but which would also affect the GVCC budget were it to continue as the manager .
Eventually, with the completion of construction, this revenue will be restored. Third, during active construction, revenues are likely to be further, albeit temporarily, impacted to an as -yet undetermined degree. This would also affect the GVCC budget were it to continue as the manager
Fourth, the City ’s salary and benefit structure compen sates higher that the non - profit GVCC for like work to operate the facility , and while this is likely to bring benefits in the way of recruitment and retention, it does result in h igher staffing costs to the tune of approximately $74,000 per year.
Finally, City management brings with it a professional management support structure (Finance, Human Resources, Community Relations, Legal, Governance, etc.) which will enrich the Center’s management, but not without a cost. A 21% Administrative Charge on total expenditures is reflected in the draft budget, similar to that assessed to the Buellton and Solvang libraries under those management models, resulting in a “cost” of $103,851. This represents the hidden costs of the draw on administrative resources that would otherwise be dedicated to other City operations. It is important to note that this may or may not lead to an actual 3 increased City cost, depending on whether the workload can be simply absorbed or results in a need for additional staff.
REVENUES
The GVCC is run on a fee-for-space business model. Under that model, the Community Center needs to generate enough income to support the GVCC operations. The key revenues for the Community Center are long term leases and user fees. The GVCC also operates a Senior Center Program and receives some revenue (including a $25,000 grant from the City) to support that program ; however, staff assume that this funding will continue to be dedicated to Senior Center Program funding and did not include it in the staffing model.
The draft Management Plan assumes that Council will want the GCC to continue to be self-supporting to the degree possible, but without raising user fees or rents for lessees in Fiscal Year 2022-23. It won’t be possible for the City to recoup the full cost of operating the GCC under this model. Council may wish to reassess fees and rents in the future.
User Fees
User fees include short-term space rentals and most other income to the Center. User fees are received primarily for use of the following spaces: Auditorium, Dining Hall, Conference Room, and eight classrooms (rooms numbered 1-8). Non-profit entities are assessed reduced fees. Contributors to user fees include all Center users including those offering exercise and dance classes, self -help and recovery meetings, crafts classes, religious meetings, organization meetings (e.g., HOAs and non-profit boards), and private parties. Examples of other miscellaneous user fees collected are for rental of the courtyard, playing field rental, equipment rental, and storage fees.
Current User Fees are reflected in the fee schedule attached (Attachment 2). Staff have built the draft management plan using these fees as the base. Should Council wish to proceed with direct management of the GCC, staff would work with Finance to reevaluate the fees, as appropriate.
GVCC organization financials show pre -COVID annual user fee income in Table 1 as follows:
Table 1: GVCC User Fees
Fiscal Year Annual Income
FY 2019-20 $86,136 (8 mo.)
FY 2018-19 $143,857
FY 2017-18 $150,265
FY 2016-17 $159,090
FY 2015-16 $137,515
Since the COVID-19 closure, user fees have been heavily impacted . Initially, this was a significant negative impact as total user fees for FY 2019-20 ended up at just $90,357 for 4 the year. Then, when the GVCC organization agreed to rent space for the COVID Testing site, user fees greatly increased. User fee revenues were $260,338 in Fiscal Year 2020-
21. However, since the COVID testing site closed in December 2021, this revenue level should be considered anomalous.
For purposes of staff’s model, staff assumed a normal pre -COVID level of operations.
However, staff reduced the assumed revenue for the fact that the Auditorium and Dining Hall are not available for use until after the seismic upgrade project is complete. Based on this, staff expect revenues of $75,000 from user fees in 2022-23.
Leases
Long-term sublease tenants of the GVCC include CommUnify (formerly the Co mmunity Action Commission) providing Head Start and Early Head Start Programs, Kevin Long Fitness for fitness training, and the Rainbow School providing early childhood education.
The Management Plan assumes that the City will enter into leases with these tenants on similar terms to their current subleases with the GVCC. Table 2 below provides additional information about the GCC lessees.
Table 2: GCC Lessees
Lessee Rooms occupied Square Footage Expires
CommUnify Building B, Rooms 9, 10, 11, 12
and Play Areas
4,933 + Play Areas 6/30/22
Kevin Long Building B, Room 14B 707 6/30/22
Rainbow School Building C, Rooms 6, 7, 8, 10,
11, 12 and 13, with access to
play areas adjacent to leased
premises
7,195 + Play Area 6/30/22
These leases collectively generate $233,640 in revenue annually. Each lease has a provision for a CPI increase to rents each year, however , the GVCC did not assess an increase in Fiscal Year 2021 -22 and staff have not included one in the 2022-23 assumptions.
Other Revenue
The GVCC had budgeted for $39,000 in donations in Fiscal Year 2019-20 to balance their budget, which was a new strategy, as donations had n ot previously constituted a significant revenue source for them. Due to the pandemic, the needed fundraising and these donations never materialized. Staff have not included donations as a source of revenue in the management model, though there may be an opportunity for this in the future. For example, the City might pursue a relationship with a “Friends of the Community Center” group to fundraise for the GCC. Depending on their interest, this might even be a role the existing GVCC organization wishes to play.
5 Other small revenues, such as reimburse ments for additional staffing for events , equipment rentals, and utility reimbursements from long -term tenants, were included in our model.
Potential Revenue from GVCC’s Senior Center Program
As the community center operator, the GVCC organization has not charged itself rent or user fees for its own p rograms. Should Council assume management of the GCC, the GVCC organization’s Senior Center Program would become a tenant of the City . Until 2020, EqualiTech was a long -term tenant in 9 39 square feet of space (Room 13A and 13B) providing non-profit computer education at a monthly lease of $850 ($10,200 per year). Since EqualiTech vacated that space, it has been used by the GVCC as its Senior Center which allowed the space that had been formerly used by the Senior Center to be temporarily rented as a COVID Testing site. Should the City assume management of the facility, it would be reasonable to charge the GVCC organization for the use of that space for the Senior Center.
The Senior Center Program is also a significant user of other meeting room space and has not previously been assessed user fees. If the City assumes management of the GCC, and the GVCC organization continues to manage the Senior Center Program, the GVCC organization should reasonably pay user fees for the use of these spaces, similar to other non-profit organizations.
Council could, of course, provide some additional level of support to the GVCC non-profit Senior Center Program through its support to other agencies program or other mechanism (e.g., a donation of space) . And if the City assumed management of the Senior Center Program it is unlikely staff woul d recommend charging the program. For this reason, no lease or user fee revenue from the Senior Center Program has been included in the Management Plan.
EXPENSES
As reflected in the draft budget, expe nses for the City to manage the GCC will exceed revenues by approximately $254,500. Under the current revenue model, this will result in a necessary General Fund subsidy to the Community Center. Depending on any enhancements to the role of the GCC in the community that are identified in the upcoming Strategic Planning process and the availability of funding (e.g., through revenue enhancement to the General Fund), Council may also wish to further increase General Fund support for the Center and its activities in the future. However, cost estimates for this Management Plan are based on management of current operations without enhanced programming.
Staffing
The largest expense for the Community Center is staffing. Staff have developed a staffing model based on the level of staffing currently employed by the GVCC. City staff would be assigned different job titles than the GVCC and , as the government sector tends to pay 6 slightly higher and provide better benefits than the non-profit sector, our staffing costs are expected to be higher for the same work, consistent with the City’s classification system and comparability with other public agencies.
New City staff proposed to operate the Community Center include a full-time Recreation Supervisor based at the Center to provide direct supervision of day-to-day operations.
Staffing would also include a full-time Administrative Assistant to provide clerical and accounting and light analytical support and to manage facility bookings. Staff propose 90 hours per week of maintenance and/or custod ial staffing to provide a presence at the Center during all open hours ( 6:30 a.m.to 8 p.m.), assist with set up and breakdown of tables and chairs and perform light custodial work. During regular business hours, this would be a Facilities Maintenance Worker I , who in addition to these duties would be available to perform light maintenance and interact with City maintenance contractors1.
After hours this would be an hourly Custodian position. All positions except the Facilities Maintenance Worker I , would report to the Recreation Supervisor. The Facilities Maintenance Worker I would report to the General Services department. Finally, the City’s existing Parks and Recreation Manager p osition, which would assume management oversight responsibility for the operation of the facility and all GCC staff, would receive a differential pay increase from Range 113 to Range 114 (9%) to account for the increased scope of authority and accountabili ty. Table 3 below provides a breakdown of the anticipated first-year staffing costs.
Table 3: Estimated First Year Staffing Costs at GCC
Position Hrs./Wk. (Cat.) Annual Cost
(Loaded)
Recreation Supervisor 40 (Reg) $120,592
Administrative Assistant 40 (Reg) $93,212
Maintenance Worker I 40 (Reg) $79,918
Custodial 50 (Hourly @ ~15/wk.) $41,984
Parks & Rec Manager Differential (Reg) $14,780
Limited Term Advisor 10 (Hourly) for up to one year $13,994 Misc. Expenses Training, subscriptions, mtgs $2,900
TOTAL ANNUAL $364,310
* Loaded costs include wages (including bilingual premium), health and welfare benefits, pension, Social Security and Medicare.
As was presented to Council in August 2021, staff anticipate making job offers to existing GVCC staff to fill the Administrative Assistant, the Facilities Maintenance Worker I, and the hourly Custodian positions, upon interview and assessment of qualification for City service. The current acting GVCC General Manager would be offered a limited -term 10- hour per week assignment up to one year in support of the GCC to provide historical 1 This would actually be an enhancement of City operations, as the City does not currently have a maintenance staff member on site at the GCC for these types of issues. 7 expertise about the facility and its operations. The Recreation Supervisor would be filled by competitive recruitment. Should the City eventually seek a contract operator of the GCC, staff anticipate that the City would require such operator to consider absorbing GCC City staff and/or that we would attempt to absorb staff ourselves through attrition rather than laying anyone off.
It should be noted that the GVCC employed one additional full -time clerical support person before the Auditorium and Dining Hall were closed due to seismic issues. Since those rooms cannot be reopened for booking until after the construction project, staff did not build that position into this model. Once the Auditorium and Dining Hall are reopened, with the additional $75,000 in restored revenue , the City could consider adding that position back, if necessary. However, given the additional support available to the Community Center through the City’s management structure ( Finance, Human Resources, Community Relations, Legal, Governance, etc.), such additional staffing may not be necessary.
Other Regular Expenses
Other expenses for running the Community Center include office equipment and supplies, utilities, etc. These costs are largely based on the Community Center’s historical costs.
As mentioned above, staff have included an Administrative Fee charge of 21% ($103,851) for information purposes to account for ongoing support to the Community Center (Finance, Human Resources, Community Relations, Legal, Governance, etc.) . This is a new expense for the Community Center, but these services would also be an enhancement to services currently available to the Community Center operation. In fact, staff see this enhanced professional management support as key in implementing some of the recommendations that came out of the 2020 public outreach effort and in developing and implementing a Strategic Plan for t he GCC, as explained more fully below. The Administrative Fee represents hidden costs and the draw on administrative resources that would otherwise be dedicated to other City operations. It is important to note that this may or may not lead to an actual increased City cost, depending on whether the workload can be simply absorbed or results in a need for additional staff. We normally wouldn’t reflect this in the actual budget for a City program. However, for purposes of this report we wanted to reflect this as part of the true cost of managing the GCC.
One-time Expenses
Staff have estimated one-time expenses as well , which are not reflected in the management plan. These include $13,000 for staff furnishings and information technology hardware, and approximately $2,000 for light maintenance tools. Unless the GVCC would agree to donate the furnishings and equipment currently at the Community Center for the GCC’s continued use, t here would also be a significant undetermined cost for tables, chairs and storage carts in the conference room and classrooms (and eventually the Auditorium and Dining H all), art for rooms and hallways , lounge furniture for the hall, rentable equipment (podium, projector, etc.) and other miscellaneous equipment . Staff 8 assumes that GVCC would make these available for at least the first year but would need to seek formal approval of that from the GVCC to confirm.
Should the purchase of a vehicle (pickup truck) prove necessary, this would add an extra cost of approximately $50,000, plus the cost of gas , maintenance and insurance. In the interim, staff could be reimbursed for trips to and from City Hall under the vehicle reimbursement policy. The GVCC does not own a vehicle.
STRATEGIC PLANNING
For the last several year s, staff have been working with Council’s Ad Hoc Goleta Valley Community Center Committee (Ad Hoc Committee), on consideration of management alternatives for the Community Center. As part of that, in 2020 the City contracted with Antenore and Associates (A&A) for a facilitated stakeholder and public outreach process to better understand the community’s desires for programming and uses at the Community Center and discuss how the facility can best meet those needs. Antenore and Associate’s conclusions were based on an online community survey with approximately 300 responses (89% of respondents had visited the Community Center at least once in the last 2 years) and six in-person focus group meetings held with key stakeholders.
The Antenore and Associate’s report, which was presented to the City Council on August 31, 2021, identified eight key areas of needed focus from this public outreach.
1. Seismic & Structural Needs
2. Facilities Improvements
3. Overall Maintenance
4. The Role of the Center in and for the Community
5. Business Practices, Access and Usage of The Center
6. Center Programming & Events
7. Communication and Outreach
8. Strategic Plan for the Goleta Community Center
A&A recommended that the City determine the Center’s future role in the community, either as a “community center”, or a facility solely with rental spa ces and community meeting rooms, or a combination of both. Then, it should modernize business practices to promote access and usage of the Center including clearly defining the process for rentals and establishing fees including a rent subsidy for non -profits. The City should decide what role the City is, and is not , going to play in addressing the community’s interests with new programming and events and in providing resources to augment existing gatherings. A&A recommended that the City develop a communications and outreach strategy to better communicate and engage the community in supporting and utilizing the Center, including pursuing up-to-date online scheduling and communications methods and creating a more welcoming and clearly marked entrance that includes a marquee with messages and highlights about available community programming and events.
9 Finally, A&A recommended that the City form a small working group to do a Strategic Plan for the Center. This Strategic Plan would be informed by the data and input obtained by the A&A outreach process to define the role of the Center in the community, prioritize structural needs and improvements, identify the key resources needed to improve the facilities, and generate an outreach plan for community awareness and access. Staff propose to begin a Strategic Planning process, building on the work already completed.
As discussed at the August 31, 2021 Workshop, s taff propose to work with the existing Ad Hoc Goleta Valley Community Center Committee (which we will begin to refer to as the “Goleta Community Center” Ad Hoc Comm ittee for clarity) to develop an RFP for professional facilitation of the Strategic Planning Process , participate in the Strategic Planning Process, and advise staff on the implementation of the resulting Strategic Plan.
This is consistent with the scope reflected in the establishing Resolution No. 19-07, which stated: “ The purpose of establishing this ad hoc committee is for the City to better understand the community’s desires for programming and uses at the GVCC and how the GVCC can best serve these need s. The committee will discuss what types of programming are appropriate and what the best management structure might be. The committee will also discuss what elements should be included in a request for proposals (RFP) for management at the Center in the future. The committee will also be a forum for conversation between the City, GVCC Board and the community about the day to day operations and management.” The Committee members are currently Mayor Perotte and Councilmember Kyriaco.
In addition to the mem bers of the Ad Hoc Committee, the Strategic Plan working group may include stakeholders selected by the subcommittee such as, for example: a member of the Parks and Recreation Commission, a member of the Public Engag ement Commission, a member of the GVCC Board of Directors, a representative from the Goleta Union School District, and the directors of two non-profit agencies operating in the community. Staff from the Neighborhood Services, General Services, and City Manager departments would also participate. As necessary, the working group could gather input from additional stakeholders such as: the GVCC Board of Directors, current GCC users and tenants, sports groups , recreation program providers , arts organizations, private organizations needing to use space, Old Town residents, youth organizations, and local non-profits.
Staff anticipates that the Strategic Planning process will involve establishing a vision for the Community Center, an appropriate mission statement, strategic long-term goals, and specific objectives to be implemented over a 3 - to 5-year horizon. The Strategic Plan might serve as a basis for the City to continue to manage the GCC. It might also form the basis for the City to request pr oposals from non-profit operators about how they would operate the facility consistent with the vision, mission, and goals of the p lan, should the City wish to explore an independent community center operator in the future.
Staff proposes to set aside $100,000 for the Strategic Planning Effort. The amount actually expended will depend on the level of additional community input the Working Group wishes to collect. If the full allocated amount is not used for the Strategic Planning process, it could be used for some of the Strategic Plan implementation costs. 10 TIMELINE
The timeline for completing the assumption of GCC management, construction of the seismic and ADA capital improvement projects, and the GCC Strategic Planning Process will be affected by numerous outside factors including , but not limited to , the availability and requirements of capital project funding, and the final scope and staging of the capital improvement projects. A tentative timeline for the City managem ent of the GCC is provided in Table 4 below:
Table 4: Tentative Timeline for City Management of GCC
City Management Construction Strategic Planning
Feb – June 2022 Hire staff, negotiate
leases, approve
budget & other
transition activity
Funding approved,
final plans, project
put out to bid
Strategic Plan RFP
issued; consultant
is selected
July- Dec 2022 Begin management
of GCC
Bids received and
evaluated;
contractor selected
Strategic Planning
Process underway
Jan -June 2023 Stage operations in
concert with
construction
Construction begins
(Spring)
Draft Strategic Plan
to Council for
approval
June- Dec 2023 Stage operations in
concert with
construction, begin
to implement
Strategic Plan
Construction
completed
Issue RFP for new
GCC management
(if desired)
Jan -June 2024 Implement
Strategic Plan
(possibly under
new management)
Building fully
reopened
Ad Hoc Committee
/Working Group
continues to advise
on Strategic Plan
Implementation
GOLETA STRATEGIC PLAN:
The actions recommended in this report are related to the following goals and objectives from the City of Goleta’s 2021-2023 Strategic Plan.
Strategic Goal: Strengthen Citywide infrastructure including roads and traffic circulation, including bicycle lanes, paths, and sidewalks
Objective: Complete design and seek funding for Goleta Community Center seismic upgrades and ADA improvements.
Strategic Goal: Support the continued vigor and vitality in Old Town.
11 Objective: Investigate future management options for the Goleta Communit y Center and secure a long -term agreement for management of the facility and operations.
FISCAL IMPACTS:
Staff estimate s that, under City Management, Community Center revenues would be approximately $383,880 and expenditures would be $598,381, resulting in a General Fund subsidy of approximately $25 4,500 in Fiscal Year 2022 -23. The cost could be affected by temporarily reduced user fee revenue during the active seismic and ADA improvement projects construction (up to -$75,000, or more if tenants in other buildings are affected ), and permanently increased user fee revenue (+$75,000) once the Auditorium and Dining Hall are back in use.
There would also be one-time costs, which could be significant depending on the GVCC’s willingness to allow the Community Center to continue to use furnishings and equipment that it owns for Community Center operations and the need for a City vehicle dedicated to the Community Center. Total one-time costs are estimates at approximately $63,140 and are further detailed in Attachment 5. .
The cost for the development (and possibly partial implementation) of the Strategic Plan for the Community Center would be $100,000. Council might also wish to increase City programming at the Community Center as a result of the Strategic Plan, which would be at an additional ongoing cost. An additional appropriation of $100,000 is needed for professional services in the City Manager’s budget to cover the initial cost. Staff recommends appropriating the $100,000 from the General Fund unassigned fund balance, which has a current estimated balance of approximately $11.4 million.
ALTERNATIVES:
Council could decline to assume management of the Community Center and instead ask staff to negotiate a continued lease with the Goleta Valley Community Center and allow the GCC to continue to be managed by that o rganization. Council could also decline to set aside funding for the Strategic Planning Process, ins tead managing the process internally, but staff are already over -subscribed and so the timeline for this could be extended significantly.
Reviewed By: Legal Review By: Approved By:
___________________ ___________________ _________________ Kristine Schmidt Megan Garibaldi Michelle Greene
Assistant City Manager City Attorney City Manager
12 ATTACHMENTS:
1. Facility Map
2. Fee Schedule
3. Staffing Model
4. Draft Budget
5. List of One-time Start-up Costs
6. Staff Presentation
13 ATTACHMENT 1:
Facility Map
14 Attachment 1 - Goleta Community Center Site Map
15 Attachment 2
Fee Schedule
16 Field Fees Rates
Mon – Fri $30/Hr
Sat – Sun $40/Hr
Deposit $75
Room Rental Fees
Rooms
Meeting/Class Per Hour Dining Per hour
Commercial Non-Profit
Chairs &
Tables Set
up Fee Commercial Non-Profit
Chairs &
Tables Set
up Fee
Classroom $40.00 $20.00 $10.00 $50.00 $25.00 $25.00 Dining Hall $150.00 $75.00 $50.00 $175.00 $87.00 $75.00 Auditorium $200.00 $100.00 $75.00 $250.00 $125.00 $100.00 Courtyard $150.00 $75.00 $25.00 $175.00 $87.00 $ 50.00 Gazebo $50.00 $50.00 $25.00 $ - $ - $ - Saturday and
Premium Days
Party Package
Rates
Full Day Rate
Package $1,915.00
Full Day Rate
Package with Beer &
Wine Service $2,195.00
Application
Processing Fee $10.00
Refundable Deposit $ 800.00
After Hours Late Fee
$50/hour or
any portion of
an hour
Party or Dining
Event Rental Rates
(Mon-Fri, Sun)
Rates
Auditorium/
Courtyard
Dining
Hall
Full Day Rate (Max
8 hours) $1,400.00 $760.00
Beer & Wine
Hourly Service
Add-on Fee $35/Hour
Kitchen Rental Flat
Fee $150.00
Table, Chairs & Set
up Fee $100.00
Application
Processing Fee $10.00
Refundable
Deposit $800.00 $300.00
After Hours Late
Fee
$200/hour or any
portion of an hour
Senior Center Rate
Annual Membership $ 25.00
Pickleball Fees Rates
Annual Membership $60.00
Drop-in Fee $2/per player
Pickleball Fees Rates
Annual Membership $60.00
Drop-in Fee $2/per player
17 Equipment Rentals
Part
Total
Available Cost Notes
Tables &
Chairs
Chairs 500 $ -
Tables - Rectangular
(8'x30") 50 $ -
Tables - Round (5'
Diameter) 24 $ -
Tables - Half (8'x20") 10 $ -
Catering
Barbecue (Wood
Burning) 1 $25.00
Coffee Pot 6 $5.00 50 or more cup capacity
Coffee Service $1.00 Per person, ($20 minimum)
Audio Visual
Audio Video Cart 2 $ -
Internet - Wireless $10.00
Per Connection (See
Disclaimer)
PA System 1 $25.00
Mixer, 2 speakers, up to 4
mics
Podium 1 $ -
Podium - Sound 2 $10.00
Projector - Digital 1 $25.00 Laptop Capable
Projector - Overhead 2 $5.00
Screen - Large 1 $5.00
Screen - Medium 2 $5.00
TV/DVD/VCR 3 $10.00
Miscellaneous
Cable Covers 4 $ -
Chalk Board
(Portable) 1 $ -
Easel 2 $ -
Extension Cords 2 $ -
Risers/Platforms 6 $ -
Covered in burgundy
carpeting
Spotlight 1 $10.00
Auditorium only, Self-
operated
Whiteboard
(Portable) 2 $ -
18 ATTACHMENT 3:
Staffing Model
19 Attachment 3
Draft Community Center Staffing Plan
Range Hours/week Hourly Pay Annual w/Benefits
Recreation Supervisor (new range 109) 109 40 $43.15 120,591.99$ Admin Assistant (Range 105) 105 40 $31.72 93,212.44$
Maintenance Worker I (Range 101 40 $26.17 79,917.91$
Custodian/Building Attendant (Hourly) N/A 50 $15.00 41,983.50$ Special Project Assoc (LT Hrly to 6/2023) N/A 10 $25.00 13,994.50$ Parks and Recreation Manager (5-10 hrs)* 114 5-10 $6.17 14,779.69$ Differential cost only Sum Staffing Cost 364,480.03$
*The Parks and Recreation Manager is an existing budgeted position. Cost is based on assumed adjustment to account for additional duties. Actual adjustment will be based on a future classification study.
This staffing plan assumes the City provides no programming at the Community Center. There would be additional costs if the City wished to plan programs or events at the Center.
20 ATTACHMENT 4:
Draft Budget
21 Account & Description 2022-2023 City Budget Notes
43102 (new) Community Center Reservations $ 75,000 Rentals, any income except lease (normal year $150K) 43103(new) Equipment Rentals $ 8,000 Equipment, extra custodial fees not in room fee? New object for service income? $ 2,400 Ad hoc additional security reimbursement 43100 - Property Rental $ 249,180 Long-term Leases 46003 - Donations $ - 46000 - Miscellaneous Revenue $ 300 New object? Lessee utility reimbursements $ 9,000 Leases Edison recover charges (need formula) $ 343,880
50001 - Salary & Wages - Regular & Part Time $ 222,997 50002 - Salary & Wages- Temporary $ 52,000 50100 - Medicare & Social Security $ 7,211 51021 - Worker's Compensation
50102 - Health Plan Allowance $ 46,620 50106 - Life Insurance $ 463 50107 - Long Term Disability $ 59 50101 - Retirement Contributions $ 30,060 51001 - Conference, Meetings And Travel $ 1,600 51003 - Memberships & Dues $ 300 51004 - Training $ 1,000 Salaries & Benefits $ 362,310 51030 - Office Supplies $ 2,500 51011 - Postage $ 300 51042 - Leases/Rental-Equipment $ 2,000 51069 - Maintenance-Office Equipment $ 800 57020 - Computer Hardware & Peripherals $ 2,500 51068 - Maintenance-Software License & Subscriptions $ 720 hosting/maintenance- Appropriate City Account? 51035 - Books & Subscriptions $ 400
REVENUE
TOTAL REVENUE
EXPENDITURES
22 51031 - Special Department Supplies $ 5,000 credit card charges, etc 51032 - Minor Equipment (under 5K) $ 3,500 Unrestricted furnishing expense 51070 - Maintenance-Other Equipment $ 12,000 51064 - Maintenance-Facilities $ 26,100 Added "unrestricted" maintenance fees $8600 51050 - Utilities - Telephone $ 5,400 51051 - Utilities - Gas $ 4,500 51052 - Utilities - Electric $ 22,000 51053 - Utilities - Water & Sewer $ 16,200 51020 - Insurance $ 18,000 51012 - Advertising $ 3,000 51200 - Professional Services $ 2,000 54000 - Bank Fees $ 3,400 54003 - Permits & Fees $ 1,200 54010- Administrative Charges $ 103,851 Overhead at 21% 54014 - Other Charges $ 700 Supplies & Services $ 236,071 $ 598,381
Total Income $ 343,880
Total Expenditures $ 598,381 Total Net Income $ (254,501)
TOTAL EXEPENDITURES
SUMMARY TOTALS
23 ATTACHMENT 5:
List of One-time Start-up Costs
24 Attachment 5: One-Time Costs
Definitely Need: Est Cost (new)
IT Hardware (x3)
Laptop and Docking Station $5,400.00
Dual Monitors $1,800.00
$7,200.00
Office Furniture (x3)
Standing Desk $3,000.00
Chair $2,100.00
$5,100.00
Phone headset (x3)
Phone $330.00
Headset $300.00
$630.00
Uniforms (x4)
Saftey Vests $87.04
Hard Hats $124.08
$211.12
Subtotal $13,141.12
Probable Need: Est Cost (new)
City vehicle (2WD Reg Cab Work Truck) $50,000.00
TOTAL $63,141.12
Probable Need (Not costed- Potential GVCC donation?)
Conference Room Table and Chairs
Art
Lounge furninshings for hall
Table and Chairs in classrooms
(Eventual: Table and Chairs for Dining Hall and Auditorium) Storage carts for tables and chairs
Rentable equipment (e.g. podium, projector, screen)
Misc equipment (extension cords)
Promotion and recreation supplies
Maintenance Equipment (ladder, tools, custodial)
25 ATTACHMENT 6:
Staff Presentation
26 Management Plan for
the Goleta Community
Center
Special City Council Meeting
February 24, 2022
February 24, 2022 Special City Council Meeting 1
27 Overview
Background
History (Short Version)
Workshop on 8/31/21
Ad Hoc Recommendation
Fa
ctors
Direction from Council
Management Plan
Strategic Plan
Next steps
February 24, 2022 Special City Council Meeting 2
28 History
• Main building constructed 19 27. South
building (CommUnify, etc.) in 1949-50 and
west building (Rainbow School) in 1959
• Former Goleta Union School (closed 1976 due
to s
eismic needs), leased to County in 1977
• City assumed lease in 2002, and purchased in
2013
• Since 1984, sublet to th e Goleta Valley
Community Center (GVCC) organization for
a Community Center ($1 per year rent)
• GVCC organization rents out sp
aces and
retains proceeds for operations
• long-t erm subleases
• short-term e vent, meeting, class rentals
• pickleball courts and sports field
February 24, 2022 Special City Council Meeting 3
29 August Workshop
2020 Community Outreach Results &
Recommendations
Status of the GCC Facility & Planned Seismic and
ADA Construction Projects
Ad Hoc Committee Recommendation for Direct City
Management of GCC upon Lease Expiration
February 24, 2022 Special City Council Meeting
August 31, 2021 Workshop Topics:
4 30
Ad Hoc Committee's Recommendation
Longstanding Council
interest in new
operational objectives
and alternative
management structures
Forced closure of the
Auditorium and Dining
Room pending seismic
upgrades
Upcoming seismic and
ADA projects will require
staging to minimize
disruption to lessees and
operations
February 24, 2022 Special City Council Meeting 5
31 Ad Hoc Committee's Recommendation
Areas for improvement
identified by GCC
Community Outreach
Process conducted by
Antenore & Assoc. (A&A)
A&A Recommendation to
Develop a Strategic Plan
• May be incorporated into
RFP for new operator
Potential to align GCC
needs with City
resources/opportunities
• Communications and
outreach program
• Online reservation system
• Foundation for donations
• Library programs
February 24, 2022 Special City Council Meeting 6
32 Council Direction from August 31, 2021
February 24, 2022 Special City Council Meeting
A. Begin planning for the assumption of interim direct management of the GCC upon the expiration of GVCC’s lease on June 30, 2022; B. Return to Council with a plan and timeline to assume management of the facility; and
C. Return to Council to discuss a process to develop and adopt a Strategic Plan for the Goleta Community Center.
7 33
Management Plan
February 24, 2022 Special City Council Meeting 8
34 Management of the Community Center
• What would it take for
the City to directly
manage the Community
Center?
• Management Plan: What will
it take for the City of Goleta
to manage the Community
Center effective 7/1/2022?
• Realistic view of operating
deficit
February 24, 2022 Special City Council Meeting
Revenue
$343,880
3 long term
tenancies
User fees
Expenses
$598,381
Approx. 190
Staff
Hrs/week
City Admin
“Fee” $103K
9 35
Management Plan Assumptions
• Facility operations overseen by Parks and Recreation Manager –New • Property management/maintenance overseen by General Services (formerly PW) – Will now include lease negotiation
Operations Management
• Continue fee-for-space model (rooms, field, courts)
• Status quo fee structure (pickleball under review) and rents • No direct programming (assume GVCC manages Senior Center) Status Quo Operations
• Will require close coordination with Public Works staff to continue operations • Staging to minimize disruptions
• Will impact revenues in the short-term
Seismic and ADA Upgrades
February 24, 2022 Special City Council Meeting 10
36 Management Plan Assumptions
• Model based on GVCC staffing
• City will interview and extend job offers to qualified GVCC staff • Wages and benefits will be consistent with City’s class and comp structure Staffing
• Planning process will inform future management decisions • Strategic Plan may lead to additional costs
Strategic Plan
• No grant or donations to support operations
Donations
• Continue to play some role at the GCC
• Continue to manage Senior Center Program
• Allow City use of existing tables, chairs, art, etc.
GVCC Continuing Role
February 24, 2022 Special City Council Meeting 11
37 Anticipated Revenues
February 24, 2022 Special City Council Meeting
Account & Description 2022-2023 City Budget
REVENUE
Community Center Reservations (User Fees) $75,000
Equipment Rentals $8,000
Service Income (Charge for Additional Security, etc.) $2,400 Property Rental (Long Term Leases) $249,180
Donations $-
Miscellaneous Revenue $300
Lessee utility reimbursements $9,000
TOTAL REVENUE $343,880
12 38
Anticipated Revenues
User Fees
• Short term rentals and other use
in
come
• Auditorium, Dining Hall, 8
cl
assrooms, field and courts
• Anticipated $75,000 2022 -23
annual revenue due to seismic
upgrade closures (normally
$150,000)
• Assumes a return to pre-COV
ID
operations
Long Term Leases
• 3 Long-term subleases
• Co
mmunify
• Kevin Long (Personal Training)
• Rainbow School
• $233,640 total annual revenue
February 24, 2022 Special City Council Meeting 13
39 Salaries & Benefits FY 2022-23
Salary & Wages – Regular & Part Time $ 222,997
Salary & Wages – Temporary $ 52,000
Medicare & Social Security $ 7,211
Worker's Compensation $ -
Health Plan Allowance $ 46,620
Life Insurance $ 463
Long Term Disability $ 59
Retirement Contributions $ 30,060
Conference, Meetings And Travel $ 1,600
Memberships & Dues $ 300
Training $ 1,000
Subtotal $ 362,310
Expenditures
February 24, 2022 Special City Council Meeting
Supplies & Services FY 2022-23
Office Supplies $ 2,500
Postage $ 300
Leases/Rental – Equipment $ 2,000
Maintenance – office Equipment $ 800
Computer Hardware & Peripherals $ 2,500
Maintenance – Software License & Subscriptions $ 720
Books & Subscriptions $ 400
Special Department Supplies $ 5,000
Minor Equipment (under 5K) $ 3,500
Maintenance – Other Equipment $ 12,000
Maintenance – Facilities $ 26,100
Utilities – Telephone $ 5,400
Utilities – Gas $ 4,500
Utilities – Electric $ 22,000
Utilities – Water & Sewer $ 16,200
Insurance $ 18,000
Advertising $ 3,000
Professional Services $ 2,000
Bank Fees $ 3,400
Permits & Fees $ 1,200
Administrative Charges $ 103,851
Other Charges $ 700
Subtotal $ 236,071
Expenditures Summary FY 2022-23
Salaries & Benefits Subtotal $ 362,310
Supplies & Services Subtotal $ 236,071
TOTAL $ 598,381
14 40
Expenditures
Position Hrs/Wk (Cat.) Annual Cost
(Loaded)
Recreation Supervisor 40 (Reg) $120,592
Administrative
Assistant
40 (Reg) $93,212
Maintenance Worker I 40 (Reg) $79,918
Custodial 50 (Hourly @ ~15/wk) $41,984
Parks & Rec Manager Differential (Reg) $14,780
Limited Term Advisor 10 (Hourly) for up to
one year
$13,994
Misc. Expenses Training,
subscriptions, mtgs
$2,900
TOTAL ANNUAL $364,310
February 24, 2022 Special City Council Meeting 15
41 Expenditures
February 24, 2022 Special City Council Meeting 16
• Wil
l provide direct benefit to GCC operations
• Finance, Human Resources, Community Relations, Legal, Governance, etc. • Hidden costs of the draw on administrative resources otherwise dedicated to other City operations.
• May or may not lead to an actual increased City cost
• More difficult to absorb in oversubscribed departments 42 One-time Expenditures
One-Time Costs Est Cost (New)
Definite Need:
IT Hardware (x3) $7,200.00
Office Furniture (x3) $5,100.00
Phone headset (x3) $630.00
Uniforms (x4) $211.12
Subtotal $13,141.12
Probable Need:
City vehicle (2WD Reg Cab Work Truck) $50,000.00
TOTAL $63,141.12
February 24, 2022 Special City Council Meeting 17
43 Management Plan Takeaways
It will cost the City more to
operate the GCC
Revenues will be impacted by
closure of the auditorium and
dining hall and possibly by
construction activity
FY 22-23 General Fund support
the GCC of $254,500
• Includes $103K Admin “Fee”
• When auditorium and dining hall
open, reduced to $179,000 per year
Strategic Plan will help
determine:
• Role of the GCC in the community
• Whether management should
continue to be City or new private
operator
February 24, 2022 Special City Council Meeting 18
44 Strategic Plan
February 24, 2022 Special City Council Meeting 19
45 Build on the A&A 2020 Outreach Process
1. Seismic & Structural Needs
2. Facilities Improvements
3. Overall Maintenance
4. The Role of the Center in & for the Community
5. Business Practices, Access & Usage of the Center
6. Center Programming & Events
7. Communication & Outreach
8. Strategic Plan for the Goleta Community Center
February 24, 2022 Special City Council Meeting
•Methods
•Online community survey with
approximately 300 responses
•6 in-person focus group meetings with
key stakeholders
•Findings
•On Aug 31, 2020 A&A presented findings
and identified 8 key focus areas
•Outcome
•Staff proposes to form Strategic Plan
Working Group to participate in strategic
planning process
20 46
Strategic Planning
To Develop:
• Vision
• Mission
• Values
• Strategic Goals
• Specific
Objectives/Actions
(SMART)
February 24, 2022 Special City Council Meeting
Strategic Plan Working Group
Consultant, Ad Hoc
Committee, Staff, 1
PRC member, 1 PEC
member, 1 GVCC
Board Member, 2
Non-profit Directors
Gather Input
Input from additional
stakeholders:
Tenants, neighbors,
GVCC Board, other
non-profits, sports
groups, private users,
etc.
Financial Resources
$100K to support
process and
implementation
21 47
Timeline
February 24, 2022 Special City Council Meeting
City Management Construction Strategic Planning
Feb – June
2022
Hire staff, negotiate leases,
approve budget & other
transition activity
Funding approved, final
plans, project put out to
bid
Ad Hoc issues and evaluates
Strategic Plan RFP , selects
consultant
July- Dec
2022
Begin management of GCC Bids received and
evaluated, contractor
selected
Strategic Planning Process
underway
Jan -June
2023
Stage operations in concert
with construction
Construction begins
(Spring)
Draft Strategic Plan to Council
for approval
June- Dec
2023
Stage operations in concert
with construction, begin to
implement Strategic Plan
Construction completed Issue RFP for new GCC
management (if desired)
Jan -June
2024
Implement Strategic Plan
(possibly under new
management)
Building fully reopened Ad Hoc Committee continues to
advise on Strategic Plan
Implementation
22 48
Next Steps
Return to Council 3/15/22 with consent items related to transition Notify GVCC and seek input about their continued role
Negotiate new lease agreements with tenants
Meet with Community Center users to discuss transition
GVCC staff transition interviews and offers
Finalize GCC budget as part of normal budget process
Ad Hoc Committee meeting(s) to discuss and issue Strategic Plan RFP February 24, 2022 Special City Council Meeting 23
49 Questions or
Comments?
February 24, 2022 Special City Council Meeting 24
50