City of Sacramento
City Council - 5PM Report
915 I Street Sacramento, CA 95814
www.cityofsacramento.org
File ID: 2023-00653 6/13/2023 Consent Item 5.
Supplemental Agreement: Sacramento History Alliance Operating Agreement File ID: 2023-00653
Location: Sacramento History Museum, 101 I Street, District 4, Represented by Councilmember Valenzuela
Recommendation: Pass a Motion: 1) finding that special circumstances make the use of the bid procedure inappropriate and it is in the best interest of the City to lease a City-owned property without bidding pursuant to City Code section 3.68.110(F); and 2) authorizing the City Manager or the City Manager’s designee to execute the Fifth Amendment to City Agreement No. 2012-0977 with the Sacramento History Alliance to extend the agreement for one year through June 30, 2024 for the operation and management of the Sacramento History Museum.
Contact: Rebecca Bitter, Administrative Analyst, (916) 808-8052, [email protected]; Megan Van Voorhis, Director, (916) 808-5105, [email protected], Department of Convention and Cultural Services
Presenter: None
Attachments:
1-Description/Analysis
2-Sacramento History Alliance Operating Agreement
Description/Analysis
Issue Detail: In 2012, the City and the Historic Old Sacramento Foundation (‘HOSF”) executed City Agreement No. 2012-0997 (“Agreement”) for a five-year term with an optional five-year extension to operate, manage, and maintain the Sacramento History Museum, to promote preservation of the Old Sacramento Historic District, and to provide various history programs in Old Sacramento. The Sacramento History Museum is located on City-owned property at 101 I Street in the Old Sacramento Historic District. The Agreement was first amended in 2014 to expand the services provided by HOSF. In 2017, at HOSF’s request, a second amendment was executed to extend the term of the Agreement through June 30, 2018 while the City and HOSF negotiated a new agreement. In 2017 HOSF amended their articles of incorporation to become the Sacramento History Alliance, Inc.,
File ID: 2023-00653 6/13/2023 Consent Item 5.
(“SHA”). In 2018, the City and SHA determined it would be prudent to execute a Third Amendment to extend the term of City Agreement No. 2012-0997 through June 30, 2022 for the remaining 4 years of the second 5-year term and assign all rights and obligations of the Agreement to SHA. In 2022, the City and SHA determined it would be prudent to execute a Fourth Amendment to extend the term of City Agreement No. 2012-0997 through June 30, 2023. The City and SHA are in negotiations for a new agreement but do not expect to complete those negotiations before the Agreement expires, so the City and SHA desire to extend the term of City Agreement No. 2012-0997 through June 30, 2024.
Policy Considerations: The proposed amendment supports the City’s 2035 General Plan Goal ERC
4.1 to provide a diversity of arts and cultural facilities and programs for people of all ages to improve knowledge of Sacramento’s history, enhance quality of life, and enrich community culture, and policies that encourage partnerships with organizations to support cultural educational activities and programming, children’s programming, and reinvestment in City facilities.
Economic Impacts: Not Applicable.
Environmental Considerations:
California Environmental Quality Act (CEQA): The report concerns administrative activities that will not have a significant effect on the environment and is exempt from the Environmental Quality Act (CEQA) review [CEQA Guidelines Sections 15061(b)(3); 15378(b)(2)].
Sustainability: Not Applicable.
Commission/Committee Action: Not Applicable.
Rationale for Recommendation: The City and SHA extended City Agreement No. 2012-0997 for one year through June 30, 2023. All available extensions under the Agreement have been exhausted.
With no remaining term extensions available, any extensions must be approved by City Council.
City Code section 3.68.110(F) provides City Council may determine that, in the best interest of the City, special circumstances make the use of the bid procedure inappropriate for the leasing of city owned property. Staff recommends that it is in the best interests of the City to approve the proposed amendment to City Agreement No. 2012-0997 for one additional year due to the long-standing and successful operation of the Sacramento History Museum by SHA.
Financial Considerations: Through City Agreement No. 2012-0997, the City provides $50,000 annually to SHA for support of activities with the Center for Sacramento History (City Archives) and with the option to provide additional funding annually in an amount not-to-exceed $100,000 for additional services as agreed upon with written approval by the City. This funding is included in the Fiscal Year (FY) 2023/24 Proposed Convention and Cultural Services Department Budget.
File ID: 2023-00653 6/13/2023 Consent Item 5.
City Agreement No. 2012-0997 also provides that SHA may receive financial support, if available, as determined through the City’s annual budget process. Funding in the amount of $143,528 is available in the FY2023/24 Proposed Convention and Cultural Services Department Budget. In addition, SHA will receive $108,000 through a separate annual agreement executed with Sacramento County and the City. These funds are deposited in the Sacramento History Museum Budget (17001921) to be distributed by the City.
Sufficient funding is available in the Proposed FY2023/24 Convention and Cultural Services Department Operating Budget, pending Council approval, to execute the Fifth Amendment to City Agreement 2012-0997 through June 30, 2024.
Local Business Enterprise (LBE): Not applicable.