Susana Alcala Wood, City Attorney Jorge Oseguera, City Auditor Mindy Cuppy, City Clerk Howard Chan, City Manager John Colville, City Treasurer C
ity Council Report
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Sacramento, CA 95814
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File ID: 2022-00718 April 26, 2022 Consent Item 04
Title: Agreement for the Purchase of Monthly Parking Permits-Mansion Inn Apartments [Published for 10-Day Review 04/14/2022]
Location: 400 16th Street, District 4
Recommendation: Pass a Motion authorizing the City Manager, or the City Manager’s designee, to execute an agreement with Mansion Apartments Owner, LLC for a term of 30 years with four, five-year extension options for the purchase of up to 150 monthly permits at Memorial Garage.
Contact: Matt Eierman, Parking Services Manager, (916) 808-5849, [email protected], Department of Public Works P
resenter: None
A
ttachments:
1-Description/Analysis
2-Agreement
Description/Analysis
Issue Detail: Mansion Apartments Owner, LLC is developing a 181-unit apartment complex at 400 16th Street called the Mansion Inn Apartments. To meet parking and financing requirements, the developer has negotiated a long-term agreement with the City for the purchase of monthly permits at nearby Memorial Garage, located at 805 14th Street.
The agreement will reserve up to 150 monthly permits at Memorial Garage for apartment residents. The number of monthly permits purchased at the end of two years of the agreement will be the total number the owner is required to purchase thereafter. Any remaining permits will be forfeited. Monthly permits issued to owner will be billed at 120 percent of the prevailing market rate.
Policy Considerations: This recommendation is consistent with City Code Chapter 3.04.020 regarding agreements involving income or expenditure of $250,000 or more and supports the Central City Parking Master Plan goal to make parking safe, secure, attractive and convenient.
The Sacramento City Code Section 4.04.020 and Council Rules of Procedure (Chapter 7, Section E.2.d) mandate that unless waived by a 2/3 vote of the City Council, all labor agreements and all agreements greater than $1,000,000 shall be made available to the public at least ten (10) days prior to council action. This item was published for 10-day review on April 14, 2022, in compliance with the City Code.
Economic Impacts: None
Environmental Considerations:
California Environmental Quality Act (CEQA): This project is exempt from the California Environmental Quality Act under Section 15301, “Operation of existing public structures or facilities involving no expansion of use.”
Sustainability: This action supports the City of Sacramento’s sustainability goals to improve and optimize the transportation infrastructure.
Commission/Committee Action: None
Rationale for Recommendation: This agreement will provide a long-term convenient source of parking for tenants of this apartment project and secure a long-term source of parking revenue for the City. Given the nature of the of the development, staff anticipates the project use will be higher in the evenings when garage occupancy is lower.
Financial Considerations: Permits issued under this agreement will be billed at 120 percent of the prevailing market rate. Based on the current monthly rate for Memorial Garage of $140, and the maximum number of permits allowed under the agreement (150), total revenue collected during the initial term and extended terms will be $15,120,000. All revenue collected will be credited to the Parking Fund (Fund 6004).
Local Business Enterprise (LBE): Not applicable