Life Enrichment Committee
May 14, 2024
AGENDA REPORT
TO: Jestin D. Johnson FROM: Fred Kelley
City Administrator Director, OPRYD
SUBJECT: License Agreement for 666 Bellevue
Avenue and Acceptance of Oakland
Parks and Recreation Foundation
Grants
DATE: April 10, 2024
City Administrator Approval Date:
RECOMMENDATION
Staff Recommends That The City Council Adopt The Following Pieces of Legislation:
1) A Resolution Authorizing The City Administrator To (1) Accept A One-Time Transfer Of Gifts And Donations From The Oakland Parks And Recreation Foundation (OPRF) In An Amount Not To Exceed $713,770; (2) Accept Additional Monetary Grants, Gifts, And Donations From The OPRF In A Total Amount Not To Exceed $1,500,000 Through June 30, 2026; (3) Appropriate Said Funds For The City Of Oakland Parks, Recreation, And Youth Development Department; And (4) Accept Goods And In-Kind Services From The OPRF Valued In An Amount Not To Exceed $750,000 Through June 30, 2026; And
2) An Ordinance (1) Authorizing A License Agreement With Oakland Parks And Recreation Foundation For Use Of Office Space At The Lakeside Park Garden Center Located At 666 Bellevue Avenue At The Below Market Rate Of $0.00 Through June 30, 2026 With A 3-Year Option To Renew; (2) Making Findings That The License For Below Fair Market Value Is In The Best Interest Of The City; And (3) Making Appropriate California Environmental Quality Act (CEQA) Findings
EXECUTIVE SUMMARY
The first proposed legislation is a resolution to authorize the City Administrator to accept a one- time transfer of gifts and donations totaling $713,770. The proposed resolution further authorizes the City Administrator to accept donations of goods and in-kind services from the OPRF valued in an amount not to exceed $750,000, as well as grants, gifts, and donations of money from OPRF in an amount of up to $1,500,000, through June 30, 2026. These monies are to be appropriated for the exclusive benefit of Oakland Parks, Recreation and Youth Department (OPRYD), its clients, and facilities.
Jestin Johnson (Apr 30, 2024 15:49 PDT)
Apr 30, 2024
Jestin D. Johnson, City Administrator
Subject: License Agreement for 666 Bellevue Avenue and Acceptance of Oakland Parks and Recreation Foundation Grants
Date: April 10, 2024 Page 2
Life Enrichment Committee
May 14, 2024
The City Council’s action would facilitate the timely use of grants, gifts, and donations from OPRF to supplement the City of Oakland’s adopted budget. The action will also allow for streamlined acceptance from donors who often are working within a compressed timeline. As a result, visitors to OPRYD parks and facilities will receive increased benefits and services they would not otherwise receive.
The second piece of proposed legislation is an ordinance authorizing a license agreement with OPRF to use the approximately 849 square feet of Lakeside Park Garden Center (Marsha J.
Corprew Memorial) located at 666 Bellevue Avenue (Premises). City Council approval of the proposed ordinance would authorize a license agreement with OPRF for the non-exclusive use of the Premises at the below market rate of $0.00 through June 30, 2026, with a 3-year option to renew until June 30, 2029. The office space would further OPRF fundraising efforts to support OPRYD programs and support various community-based organizations benefiting the City’s park programs. Pursuant to Oakland Municipal Code (OMC) section 2.42.110, and based on the value of the in-kind services and the social, cultural, and economic benefits provided by OPRF to the City, staff recommends the City Council find and determine that it is in the City’s best interest to enter into the license with OPRF at the below market license fee of $0.00 per month through June 30, 2026, with a 3-year option to renew until June 30, 2029.
BACKGROUND / LEGISLATIVE HISTORY
As municipal finances tighten, cities must explore new partnerships to achieve their goals. A combination of public and private funds is required to build critical libraries, recreation centers, art galleries, boathouses, and other facilities. With limited funds for capital improvement over the next few years, the timing is perfect to engage City management and staff in developing fundraising efforts. Private citizens, businesses, foundations, and State and Federal grants offer opportunities to continue to complete and develop projects throughout the City.
Created in 2015 through a merger of Friends of Oakland Parks and Recreation (established in 1981) and Oakland Parks Coalition, OPRF is a nonprofit organization. For more than 40 years, their mission has been to improve the quality of life for all Oakland citizens by generating funding and support for projects and programs that enhance and supplement recreational, environmental, educational, beautification, and leisure activities offered through OPRYD. OPRF is dedicated to providing financial and volunteer resources and advocacy for recreation programs and parks in Oakland and improving the quality of life for all Oakland residents and members of the public who utilize these facilities.
OPRF has a proven track record of actively soliciting funds from private and public sources for City parks and recreation programs and can access private funding sources and other entities to which the City may not have access. They are committed to working cooperatively with private entities, endowments, foundations, various public agencies, and other entities to foster public/private partnerships essential to realizing the vision of Oakland as a model city and ensuring accessibility to parks and recreational opportunities for all.
OPRF is dedicated to working cooperatively with the City of Oakland and its departments. Their longstanding relationship with OPRYD supports and funds the department’s park improvement projects, services, and activities. OPRYD utilizes OPRF grant funds to foster environmental Jestin D. Johnson, City Administrator
Subject: License Agreement for 666 Bellevue Avenue and Acceptance of Oakland Parks and Recreation Foundation Grants
Date: April 10, 2024 Page 3
Life Enrichment Committee
May 14, 2024
education, enhance recreation experiences, expose children and youth to traditional and non- traditional sports programs, encourage beautification projects at Oakland parks, promote community gardens, and rehabilitate or maintain parks and recreation facilities.
PURPOSE June 30, 2023 Updated Balance
Cultural Arts, Nature & Science Program Accounts $ 15,993 Recreation Aquatics Programs $ 43,787
Recreation Program Accounts $ 349,927
Recreation Sports Accounts $ 304,064
Grand Total $ 713,770
Over the last 40 years, OPRF has retrofitted more than 55 playgrounds and ball fields throughout Oakland and provided more than 150 grants to worthy programs. In 2022 alone, OPRF funded 14 grants that provided camp scholarships, funded boating and swim lessons, and supplemented sporting programs such as Pee-Wee basketball and softball, to name a few.
OPRF is committed to serving Oakland's diverse community and works with like-minded partners to address facilities and programs most in need.
ANALYSIS AND POLICY ALTERNATIVES
By providing OPRF with below-market-rate office space, OPRF staff, in turn, find funding streams to support essential City activities. Using the City Council priorities as a guiding principle, OPRF seeks funds from private and public sources for projects consistent with the City’s adopted policies and priorities, including the City Council’s adopted equity-based Capital Improvement Prioritization and scorecard process. This advances Citywide Priority 3, vibrant, sustainable infrastructure. OPRF grants, gifts, and donations improve parks, enhance visitors’ experiences, increase neighborhood health and vitality, and provide equitable access to recreation programs through scholarships, advancing holistic community safety, Citywide Priority 1.
It is beneficial for the City and OPRF to work collaboratively and in their respective areas of expertise to improve and enhance Oakland’s parks and recreation facilities and recreational programs throughout Oakland. OPRF has the qualifications, philanthropic expertise, and 501(c)(3) nonprofit corporation status to encourage private donations.
Under Oakland Municipal Code section 2.04.160 (Acceptance, appropriation and expenditures from restricted gift proceeds), the City Administrator is delegated limited authority to accept gifts and donations to the City up to $50,000 without City Council action provided that: (1) the gift/donation does not create unbudgeted costs for the City, (2) the gift/donation is for a program or project that has been approved by the Council in the biennial or mid-cycle operating or Capital Improvement Program (CIP) budget, or by City Council legislation during the fiscal year, and (3) the gift/donation or proceeds therefrom are used in accord with restrictions and/or special conditions of the donor. Given the volume of OPRF donations, the City Administration seeks a solution to streamline and simplify the acceptance of gifts and donations from OPRF.
Staff is therefore seeking authority to accept gifts and donations from OPRF where individually may be valued over the City Administrator’s $50,000 threshold limit under Administrative Jestin D. Johnson, City Administrator
Subject: License Agreement for 666 Bellevue Avenue and Acceptance of Oakland Parks and Recreation Foundation Grants
Date: April 10, 2024 Page 4
Life Enrichment Committee
May 14, 2024
Instruction #1052. The resolution being proposed would allow the City Administrator to accept monetary donations totaling up to $1,500,000 until June 30, 2026. Additionally, the resolution would give the City Administrator the authority to accept goods and in-kind services from OPRF, valued up to a total amount not exceeding $750,000, until June 30, 2026.
FISCAL IMPACT
Pursuant to OMC 2.42.110, and based on the value of the in-kind services and the social, cultural, and economic benefits provided by OPRF to the City as described herein, staff recommends that the City Council finds and determines that it is in the City’s best interest to enter into the license with OPRF at the below market annual license fee of Zero Dollars ($0.00).
Based on recent trends, it is estimated that OPRF will grant the City annual gifts, donations, and grants of approximately $500,000 each fiscal year. Most of these monies are non-recurring, with no commitment to be funded for multiple fiscal years. The monies are stipulated by the donors and/or grantors to be used specifically to benefit OPRYD programs and/or patrons. OPRYD is committed to expending these funds in accordance with donor and/or grantor stipulations.
The proposed resolution authorizes the City Administrator to accept grants, gifts, and donations of money from OPRF in a total amount not to exceed $1,500,000 through June 30, 2026, and appropriate them into the Parks and Recreation Grant Fund (2996), Office of OPR Director Organization (501110), OPR Small Grants Project (1006523), and Recreation and Cultural Civic Program (NB03).
PUBLIC OUTREACH / INTEREST
No outreach was deemed necessary for this report other than posting on the City’s website.
COORDINATION
This report was prepared by OPRYD staff and reviewed by the Economic and Workforce Development Department’s Real Estate Division, the Office of the City Attorney, and the Finance Department’s Budget Bureau.
SUSTAINABLE OPPORTUNITIES
Economic: Access to gifts, donations, and grants that would not otherwise be available.
Environmental: Gifts, donations, and grants can be used to repair and improve parks and park facilities.
Race & Equity: Gifts, donations, and grants can be used to mitigate enrollment costs as a barrier to entry via subsidizing recreational programs' enrollment cost. Approximately $300,000 per year will be used to subsidize enrollment costs for Oakland families.
Jestin D. Johnson, City Administrator
Subject: License Agreement for 666 Bellevue Avenue and Acceptance of Oakland Parks and Recreation Foundation Grants
Date: April 10, 2024 Page 5
Life Enrichment Committee
May 14, 2024
CALIFORNIA ENVIRONMENTAL QUALITY ACT
Approval of this legislation will not result in any major changes to the Premises. Therefore, this Ordinance is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15301 (existing facilities) and 15061(b)(3) (no significant effect on the environment).
ACTION REQUESTED OF THE CITY COUNCIL
Staff Recommends That The City Council Adopt:
1) A Resolution Authorizing The City Administrator To (1) Accept A One-Time Transfer Of Gifts And Donations From The Oakland Parks And Recreation Foundation (OPRF) In An Amount Not To Exceed $713,770; (2) Accept Additional Monetary Grants, Gifts, And Donations From The OPRF In A Total Amount Not To Exceed $1,500,000 Through June 30, 2026; (3) Appropriate Said Funds For The City Of Oakland Parks, Recreation, And Youth Development Department; And (4) Accept Goods And In-Kind Services From The OPRF Valued In An Amount Not To Exceed $750,000 Through June 30, 2026 ; and
2) An Ordinance (1) Authorizing A License Agreement With Oakland Parks And Recreation Foundation (OPRF) For Use Of Office Space At The Lakeside Park Garden Center Located at 666 Bellevue Avenue At The Below Market Rate Of $0.00 Through June 30, 2026, With A 3-Year Option To Renew; (2) Making Findings That The License For Below Fair Market Value Is In The Best Interest Of The City; And (3) Making Appropriate California Environmental Quality Act (CEQA) Findings
For questions regarding this report, please contact FELICIA GOTTHELF, MANAGEMENT ASSISTANT, at (510) 671-4657.
Respectfully submitted,
____________________________
Fred Kelley
Director, OPRYD
Prepared by:
Felicia Gotthelf, Management Assistant
Administrative Unit
Fred Kelley (Apr 25, 2024 15:07 PDT)
Fred Kelley