Administrative
Report
N.1., File # 24-0209 Meeting Date: 2/20/2024
To: MAYOR AND CITY COUNCIL
From: CAMERON HARDING, COMMUNITY SERVICES DIRECTOR
TITLE
DISCUSSION AND POSSIBLE ACTION ON THE USE AND OPERATION OF THE VETERANS
PARK HISTORIC LIBRARY/COMMUNITY CENTER FACILITY
RECEIVE AND FILE THE PROPOSAL AND SUPPLEMENTAL PROPOSAL SUBMITTED BY “MADE BY MEG” IN RESPONSE TO RFP# 2223-004 - FACILITY MANAGEMENT AND OPERATION OF
THE VETERANS PARK HISTORIC LIBRARY/COMMUNITY CENTER
AUTHORIZE STAFF TO BEGIN NEGOTIATIONS WITH MADE BY MEG TO PREPARE A
CONCESSIONAIRE AGREEMENT FOR USE AND OPERATION OF THE FACILITY
AUTHORIZE STAFF TO PREPARE A LICENSE AGREEMENT WITH THE FRIENDS OF REDONDO
BEACH ARTS GROUP TO HOST A POP-UP ART EXHIBIT AT THE FACILITY IN APRIL
EXECUTIVE SUMMARY
The Veterans Park Historic Library/Community Center (Facility) is a landmark building listed on the National Register of Historic Places. It has served as the City’s Main Library as well as an event venue for private gatherings. Most recently, the City held a contract with Spectrum for operation of the Facility from 1996 to 2020.
In January 2022, the City Council directed staff to solicit community feedback on preferred uses and operational models for the Facility. In October 2022, the City Council approved the release of an RFP seeking a facility operator to manage the Facility in a way that would make it more open and accessible to the public and provide opportunities for cultural programming.
Two businesses responded to the RFP and submitted proposals that were reviewed by staff, one from Chef Dora Presents (CDP) and one from Made by Meg (MBM). Neither proposal fully achieved the public art and cultural programming goals desired by the City. As a result, on October 17, 2023, the City Council directed staff to continue working with the two vendors to further refine their proposals and include elements for a hybrid business model that would ensure public access and allow the City to periodically partner with cultural groups to provide programming like the CA 101 Arts Exhibit.
In November 2023, staff requested supplemental information from CDP and MBM that outlined the critical components the City Council discussed at the October meeting. A completed supplemental proposal was submitted by MBM. CDP did not submit a supplemental proposal and has decided not
N.1., File # 24-0209 Meeting Date: 2/20/2024
proposal was submitted by MBM. CDP did not submit a supplemental proposal and has decided not to participate any further in the selection process.
Following review of MBM’s supplemental proposal, it is recommended that the City Council authorize staff to negotiate and finalize terms with MBM and prepare a concessionaire agreement for use and operation of the facility. Following the negotiation of terms, which will include closed session discussion with the City Council for use of real property, staff will return with an item for consideration of Agreement approval. It is also recommended at this time that the City Council share any preliminary feedback on the primary terms in the proposal, such as the City controlled calendar dates and café hours of operation, to assist with negotiations.
On February 1, 2024, staff was contacted by Friends of Redondo Beach Arts (FRBA) group representatives requesting a short-term license for use of the Facility in April 2024 for a pop-up art exhibition. Given that the space will be unoccupied in April while the concessionaire agreement is finalized, and understanding the Council’s desire for continued promotion of the arts in the space, it is recommended that the Council authorize the preparation of a license agreement with FRBA for use of the Facility from April 1 to April 17, 2024.
BACKGROUND
In January 2022, staff presented a draft RFP to the City Council for facility management and operation of the Veterans Park Historic Library. The City Council requested that staff conduct outreach with the community to solicit feedback on how the Facility should be used to determine if there are other preferred uses or operating models. Outreach was conducted and included a community survey, two open house events, and multiple community discussions with the Recreation & Parks and Public Art commissions. Staff presented the findings to the City Council at its July 12, 2022 meeting. The City Council directed staff to develop an updated RFP that would solicit a facility operator to manage the Facility in a manner that is:
· Open to the public
· Incorporates the City’s history and the arts
· Takes advantage of the outdoor space, when appropriate · Includes a café or food service option
· Provides opportunities for residents to use the Facility at a reduced rate This updated RFP, was approved by the City Council on October 11, 2022. The RFP was issued on October 20 and was distributed to twelve event and catering vendors that had expressed interest in the Facility throughout the City’s outreach efforts. The RFP was also posted to the Arts for LA general listing webpage, which is an arts advocacy organization that connects arts and culture stakeholders throughout Southern California. In addition, the RFP was distributed to all commissioners on the Recreation & Parks, Historical, and Public Art commissions with a request to have it shared widely with anyone in their individual networks that may be interested in shaping the future of the Facility.
Two responsive proposals were received prior to the December 15, 2022 deadline for submissions, with proposals submitted by CDP and MBM. An interdepartmental team that included the Community Services and Public Works Departments, along with the City Manager’s Office, was created to review the proposals, conduct interviews, and make a recommendation on a preferred concessionaire. The review team conducted interviews with both prospective concessionaires on January 24, 2023 to
N.1., File # 24-0209 Meeting Date: 2/20/2024
review team conducted interviews with both prospective concessionaires on January 24, 2023 to further discuss how their concepts involved the arts and historical components. Following the interviews, staff conducted reference checks for both organizations, including current and recent clients. Both organizations had exceptional references and were highly recommended.
Following intensive review and discussion of all proposal materials, the interdepartmental team felt that CDP’s proposal at the time better captured the City’s preferred use for the facility, but acknowledged that neither proposal fully met the City’s stated goals. On October 17, 2023, the City Council heard presentations from both CDP and MBM, discussed the critical goals and objectives for the Facility and reiterated the need for the agreement to include collaborative/hybrid programming opportunities with cultural organizations. Ultimately, the City Council directed staff to continue working with both CDP and MBM to further refine their proposals and include the following elements:
· A café or similar, utilizing and supporting the outdoor and indoor space, where feasible · Verification of the vendor’s ability to execute the improvements or requirements · Collaboration with the Historical Museum and Historical Commission to create programming for the Facility
· Submittal of detailed plans regarding the budget, timeline, and execution of facility upgrades · Development of a minimum schedule of public uses for four months of time, including offseason time of use, and priority booking for Redondo Beach groups with 51% residents · A detailed parking plan that does not rely on the reservation of metered parking lots for events · An explanation of proposed uses for the Facility
On November 14, 2023, staff shared a supplemental information request with CDP and MBM that outlined the critical components that the City Council expressed at its October 17, 2023 meeting. A copy of the supplemental questions is included as an attachment to this report. A deadline of Monday, December 11 was provided, at which time staff received a proposal from MBM. CDP did not submit a responsive proposal and has chosen not to participate any further in the selection process.
A copy of MBM’s supplemental proposal is included as an attachment to this report. It outlines an overall commitment to providing a high-quality private rental venue for the community while maintaining opportunities for residents to use and enjoy the Facility. MBM has also provided proof of funds to support proposed facility improvements, ensuring the City of the timely execution of the planned improvements and facility updates in MBM’s proposal.
Notably, MBM’s supplemental proposal includes:
· A daytime café
· Publicly available events and activities including events with historical and cultural partners · A creative approach to utilizing outdoor space adjacent to the Facility · A thoughtful parking plan for larger events
· A collaborative hybrid model for use of the Facility that would provide select periods of time to the City. These dates, as proposed, include all of February, the last two weeks of May, the first two weeks of June, and the last two weeks of December
Through the initial and supplemental proposal, MBM has demonstrated the ability to partner with the City in the development of a collaborative agreement for use of the Facility. It is recommended that the City Council authorize staff to commence negotiating the terms of a concessionaire agreement
N.1., File # 24-0209 Meeting Date: 2/20/2024
the City Council authorize staff to commence negotiating the terms of a concessionaire agreement with MBM with the goal of incorporating all of the critical items outlined by the City Council. Staff would return at a subsequent meeting to present a draft agreement for formal consideration of approval. Staff is also requesting initial direction on any primary elements of the proposal that Council would like addressed, changed, or amended (e.g. dates available for City programming, café open hours, proposed improvements, etc.).
Separately, as mentioned above, City staff were contacted on February 1, 2024 by the Friends of Redondo Beach Arts (FRBA) group requesting a short-term license for use of the Facility in April 2024 for a pop-up art exhibition. The title of the exhibition is “PAIR” and will be open to the public from April 5-15, 2024. Given that the space will remain unoccupied in April, and understanding the Council’s desire for continued promotion of the arts in this space, it is recommended that Council direct staff to prepare a license agreement with FRBA for use of the Facility from April 1 through April 17, 2024.
COORDINATION
This item was prepared by staff in the Community Services and Public Works Departments, and the City Manager’s Office.
FISCAL IMPACT
MBM’s proposal, as written, requests a 10-year term plus two 5-year extension options. Dependent on the number of days the City opts to use the Facility (up to 3 months), the minimum annual guaranteed rental fee paid to the City will be between $135,000 (9 months) and $175,000 (12 months) for years 1 through 3. For years 4 through 10, the minimum annual guaranteed rental fee will be between $150,000 (9 months) to $200,000 (12 months). MBM proposes a 15% commission to the City on Catering and Café Sales and 20% Commission on Venue Rental Fees. The definitive fiscal impact will be determined once the terms of the concessionaire agreement are finalized.
APPROVED BY:
Mike Witzansky, City Manager
ATTACHMENTS
· City Council Administrative Report, October 17, 2023
· RFP# 2223-004 Facility Management and Operation of the Veterans Park Historic Library/Community Center, October 20, 2022
· RFP Proposal - Chef Dora Presents
· RFP Proposal - Made by Meg
· Supplemental Proposal - Made by Meg