DATE: FEBRUARY 6, 2024
DEPARTMENT: PUBLIC WORKS
FROM: DAVID JACOBS, PUBLIC WORKS DIRECTOR
BY: JENNY DAVILA, PUBLIC WORKS ADMIN SUPERVISOR
TITLE: AMENDMENT NUMBER 3 TO THE MONTEREY STREET PARKING GARAGE OPERATIONS CONTRACT RECOMMENDED MOTION:
A motion to approve a resolution authorizing the Interim City manager to execute an Amendment with Laz Parking California, LLC (Laz Parking, henceforth in this report) for the Monterey Street Parking Garage Operations to increase the compensation by $8,000 for a total amount not to exceed $363,000.
EXECUTIVE SUMMARY:
On November 20, 2018, City Council approved a Service Agreement between the City of Salinas and LAZ Parking California, LLC for the Management of the Monterey Street Parking Garage. Due to an increase in maintenance at the garage, the annual agreement amount of Two Hundred Fifty Thousand Dollars ($250,000) has been exceeded. To pay the final invoice for December 2023, we are requesting the not to exceed amount be increased by $8,000 for a total amount not to exceed $363,000 annually. This increase will not exceed the already approved total of up to Seven Hundred Fifty Thousand Dollars ($750,000) for the term of the agreement.
BACKGROUND:
On November 20, 2018, a resolution was approved to accept a two-year agreement with Laz Parking for Management and Operation of the Monterey Street Parking Garage for a total of $280,039 annually.
On December 8, 2020, an amendment was approved to extend the original contract to December 31, 2024 On November 1, 2022, amendment No. 2 was approved to increase the approved agreement to an amount not to exceed $355,000 per year.
Due to increased maintenance needs for outdated equipment at the Parking garage, the final invoice for December was $8,000 more than the not to exceed amount of the Agreement. We are requesting an increased compensation to add $8,000 to cover services rendered.
CEQA CONSIDERATION
Not a Project. The City of Salinas has determined that the proposed action is not a project as defined by the California Environmental Quality Act (CEQA) (CEQA Guidelines Section 15378). In addition, CEQA Guidelines Section 15061 includes the general rule that CEQA applies only to activities which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA. Because the proposed action and this matter have no potential to cause any effect on the environment, or because it falls within a category of activities excluded as projects pursuant to CEQA Guidelines section 15378, this matter is not a project. Because the matter does not cause a direct or foreseeable indirect physical change on or in the environment, this matter is not a project. Any subsequent discretionary projects resulting from this action will be assessed for CEQA applicability.
STRATEGIC PLAN INITIATIVE:
Continuing operations of the Monterey Street Parking Garage is important in the work towards a financially sustainable Downtown Parking District. Ensuring that the Monterey Street Garage is operated by a contractor who understands the operations of the garage is important as the City and the Downtown Community work toward restoring activity in Downtown. The move of the City towards sustainable parking programs supports the City goal of Infrastructure and Environmental Sustainability and is an objective of the Salinas Plan.
DEPARTMENTAL COORDINATION:
The Public Works Department, working to improve sustainability of parking programs, coordinates closely with the Finance Department, Police Department, Community Development, and the City Attorney’s Office.
FISCAL AND SUSTAINABILITY IMPACT:
The Monterey Street Parking Garage is funded from the Downtown Parking District Fund. Funds are available and appropriated in 6801.50.5446.
ATTACHMENTS:
Resolution
Existing Agreement
Amendment
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