To be clear, as proposed the security arrangements are far from ideal. A key problem with this the proposed arrangement is the fact that DTSM is having to pay for the security. This is a cost that should be borne by the city as it reflects a fundamental city function. The draining of funds from DTSM to subsidize a basic city function significantly weakens DTSM’s ability to program, promote and activate the Promenade and adjacent spaces, further hindering the recovery of our downtown. Also, unarmed private security is significantly inferior in safety perception (and reality) to a fully provisioned and highly visible SMPD presence. I firmly believe that some of the Council members’ aversion to a visible and robust SMPD presence on the Promenade and in downtown is entirely mistaken and completely unsupportable on the facts.
For now, this Item is a positive step forward. That said, the economic drain on DTSM for subsidizing these basic City requirements is not sustainable and must be addressed in next year’s budget.
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1928 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) This issue must be forthrightly addressed both in this evening’s vote to pass this item as well as the termination of the Civic Auditorium sale. In the near future, the City must significantly enhance SMPD-provided and managed safety upgrades, with concomitant sanitation improvements to the entire area, paid for by the city.
If these initiatives are less than fully embraced by this Council, then the ongoing decline of our city’s heart and consequent destruction of an irreplaceable economic and social center in a rapidly densifying city will be clearly an act of commission rather than simple act of omission. That would be unacceptable.
Respectfully,
Marc L. Verville
Sunset Park
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1929 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) From: Susan Collins
To: councilmtgitems
Subject: Agenda Item 11 A
Date: Tuesday, July 25, 2023 11:58:17 AM
EXTERNAL
We need more law enforcement presence throughout the City, and especially at the crime-ridden Promenade and surrounding Downtown. Fact: Physical assaults and an average of 35 retail thefts occur each week during business hours on The Promenade.
The proposal in this agenda item extends the failed policy that is already in place. Santa Monica, in particular the Promenade, has been featured on national news programs as an example of the failing policies in this city which have increased crime, closed businesses, and driven families away from using the area.
We have already seen three previous times how unarmed guards DO NOT work and allowed for the massive increase in crime and loitering on our sidewalks and storefronts. This proposal is no different than the Block-by-Block Ambassadors and will prove to be yet another failure in public safety for residents, tourists, and merchants in Santa Monica.
This should only be an interim solution until the SMPD has the number of sworn officers Chief Batista says he needs to protect our residents and businesses. The City's primary responsibility is to protect life and property, which includes law enforcement.
In addition, under the plan presented tomorrow night, this basic obligation of the City is being unfairly paid for solely by the property owners and businesses in Downtown. Businesses can not function under these circumstances. We should be doing everything possible to support our local businesses who are already paying much higher than average rents and taxes. Forcing them to pay for private security on top of paying inflated taxes which should be providing this service is harmful to the overall well-being of this community.
Please provide armed guard patrol and presence on The Promenade and in Downtown, so that businesses can return, operate safely, and families can participate in our community and enjoy Santa Monica without fear.
Thank you,
Susan Collins
Susan Collins
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1930 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1931 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) From: Vivien B
To: councilmtgitems
Subject: Agenda 11A
Date: Tuesday, July 25, 2023 12:03:05 PM
EXTERNAL
Esteemed Council Members,
I am in full support of hiring private security company Covered 6 to help protect the citizens and tourist of Santa Monica who want to come to the Third Street Promenade and other downtown areas. As a long time property owner and owner of condo in Santa Monica I am well aware of the unsafe circumstances that plague our city. The police can not be everywhere and can work in tantrum with Covered 6. I attended a DSM meeting recently and was impressed with their training , hiring practices, level of experience and safety record. The promenade used to be a safe place to walk and shop. Ambassadors are ill equipped to safeguard the public and although friendly have failed. I have many friends who live in the vicinity and they are afraid to shop on the Promenade as they have been accosted or seen tourist get harassed and accosted.
I encourage you to vote yes for the Covered 6 pilot program.
Sincerely,
Vivien Benjamin
1 Sea Colony Dr
Santa Monica, CA 90045
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1932 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) From: John Warfel
To: councilmtgitems
Subject: July 25, 2023, Santa Monica City Council Agenda Item 11 - Downtown Santa Monica Date: Tuesday, July 25, 2023 12:27:14 PM
EXTERNAL
Dear Mayor Davis, Mayor Pro Tem Negrete, and honorable Council members; I support Downtown Santa Monica, Inc.’s Budget, Work Plan, and proposed amendments to the Services Agreement between DTSM, Inc. and the City of Santa Monica. Approval of these important items will allow for the deployment of private security officers in Downtown Santa Monica to supplement services provided by the Santa Monica Police Department.
Please consider consolidating the DTSM’s new security program with the current City sponsored private security at the SM Pier and the downtown parking structures. It makes little sense to have 3 separate private security details with 3 different security vendors operating at the same time in the same general area.
Please approve these items at the July 25, 2023, Santa Monica City Council meeting so these services can be implemented.
Thank you.
John Warfel
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1933 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) From: [email protected]
To: councilmtgitems
Subject: item 11A JULY 25TH council meeting
Date: Tuesday, July 25, 2023 12:34:08 PM
EXTERNAL
Please ensure the promenade security personnel from the Contractor will be armed.
Unarmed will not be effective in serious cases.
Thank you,
Rachel Sene
Jay Johnson
Sent from Mail for Windows
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1934 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) From: Natalya Zernitskaya
To: councilmtgitems
Cc: Gleam Davis; Lana Negrete; Christine Parra; Oscar de la Torre; Phil Brock; Caroline Torosis; Jesse Zwick; David White
Subject: 7/25/23 Council Agenda Item 11A- Public Comments Date: Tuesday, July 25, 2023 1:38:12 PM
EXTERNAL
RE: Agenda Item 11A
Good Afternoon Mayor Davis, Mayor Pro Tem Negrete, and City Councilmembers, I am very grateful for the efforts of DTSM, Inc. in working to make the 3rd Street Promenade and Downtown Santa Monica in general a more welcoming, thriving, and safe place for all to visit. Our City is not the only city that is still recovering from the economic ravages of the Covid-19 pandemic but as a city with a significant portion of revenues coming from sales and use taxes, particularly from those who are visiting our downtown, including the Promenade, we must ensure that we consider potential impacts of significant changes, such as the proposal for a pilot program to hire private security for the Promenade.
My concerns include: the trade-offs that would be required should the Council choose to accept DTSM Inc.’s recommendation to hire private security, potential for risk given that at least one security guard would be armed per shift, and how this may shift visitors’ experience on the Promenade. For your convenience, I have laid out several questions and discussion topics that I feel should be addressed as a part of your deliberations on Item11- A.
The pilot program would cost $1.7 million for the year, which would necessitate reductions to the DTSM Ambassador Program
Per the staff report, " For FY 2023-24, the proposed budget includes the funding for the private daytime security for the Promenade, which would be operated as a one-year Pilot Program. For this service, DTSM proposes to allocate approximately $1.7 million and would be funded primarily through reductions to DTSM Ambassador Services. DTSM has indicated that up to 16 full-time equivalent Ambassador positions will be impacted. " (emphasis added)
Is the trade-off of 16 DTSM ambassadors worth what we will be getting from private security?
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1935 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Can we better utilize the resources that we already have, such as SMPD officers and/or street teams, to enhance the perception of safety on the Promenade? (Especially since there is the new-ish SMPD outpost directly on the Promenade)
If the Council chooses to move forward with the recommendation for the pilot program, the $1.7 million would come out of the DTSM Inc. budget, but if it is deemed successful, future funding would likely have to come out of the City budget, at least in part. What potential programs or services would the Council consider cutting back in order to fund private security in future fiscal years? At least 1 security guard would be armed per shift and there are 3 shifts (morning, afternoon, and evening) per day so over the course of each day, there would be 3 individuals with a sidearm patrolling the 3rd Street Promenade Although DTSM, Inc. appears to have received assurances from Covered 6 that private security guards are former military or law enforcement (with honorable discharges) and thus have significant experience with firearms, having people who are not sworn SMPD officers be armed introduces additional risks including, but not limited to, potential fiscal or legal liabilities if there is an altercation
In recent years, we have seen conflicts between members of the public and armed private security guards escalate with tragic results such as the fatal shooting of a 24 year old woman in a San Francisco Walgreens over an alleged robbery (see : https://www.cbsnews.com/sanfrancisco/news/walgreensshooting-san-francisco-armed-security-guard/) How would we ensure that should there be any conflicts, the contracted private security would utilize de-escalation methods to reduce the risk of harm to the public, the private security team members, and all others who visit the Promenade?
How would the appearance of private security, and the knock-on effects of the tradeoffs, be perceived by visitors?
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1936 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) What will their uniforms look like and could that potentially confuse people with regards to who a visitor should approach for assistance with a safety issue (if individual stores have their own security or when there are SMPD officers present)?
Would the new private security at the expense of 16 DTSM Ambassadors improve or harm perceptions of the Promenade?
Given that DTSM Ambassadors do much more than just directing visitors and providing information, including helping to clean up litter, would the Promenade require increased janitorial services, additional way-finding signage, etc. to fill the roles that are currently served by the Ambassadors? Will the private security teams have the ability or capacity to communicate with service providers to help people who are unhoused and in need of assistance? While I am sure that there are many more questions and topics that will need to be discussed in order for you to make a thoughtful and well-informed decision, I hope that what I have laid out above is helpful to you as you discuss and deliberate the best path forward.
I am not opposed to trying new things and appreciate the DTSM Inc. board’s efforts to work towards creative solutions to improve the Promenade. I believe that hiring private security introduces more potential risks than potential rewards.
Thank you for your consideration.
Sincerely,
Natalya Zernitskaya
Natalya Zernitskaya (she/her)
[email protected]
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1937 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) From: George Gleason
To: councilmtgitems
Subject: Agenda Item 11A
Date: Tuesday, July 25, 2023 4:38:03 PM
EXTERNAL
Hello,
I live in Wilmont and strongly urge the council to approve the DTSM, Inc., budget, especially the component related to the pilot program for private security in Downtown Santa Monica. I've lived in Santa Monica for over a decade and Downtown is really struggling as a result of crime and issues with the unhoused. I am a big supporter of SMPD, and I am sure that the extra assistance from private security in providing compassionate responses to the unhoused population would be very helpful for SMPD in doing their jobs. We need investment from various groups throughout the U.S. in order to help facilitate the revitalization of DTSM, and when potential investment partners hear and see what's happening in Downtown Santa Monica, they are reluctant to invest here.
Thank You,
George
--
George Gleason
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1938 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan)
MASTER SERVICES AGREEMENT
by and between
CITY OF SANTA MONICA
a municipal corporation
and
DOWNTOWN SANTA MONICA, INC.
a non-profit public benefit corporation
July 2023
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1939 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan)
TABLE OF CONTENTS UPDATE
SECTION 1. DEFINITIONS. ................................................................................................... IV SECTION 2. TERM. ................................................................................................................. VI SECTION 3. ROLES AND RESPONSIBILITIES. ................................................................ VI
3.1. DTSM ROLES AND RESPONSIBILITIES. ........................................................................ VI
3.2. ADMINISTRATION OF CENTRAL BUSINESS DISTRICT AREA. ...................................... VIII
3.3. THE CITY’S ROLES AND RESPONSIBILITIES. .............................................................. VIII SECTION 4. ADMINISTRATION OF FUNDS .................................................................... XI SECTION 5. COMMUNITY AND CONSTRUCTION PROJECTS. .................................. XI
5.1. DOWNTOWN COMMUNITY PLANS. ............................................................................... XI
5.2. CAPITAL IMPROVEMENT PROJECTS. ........................................................................... XII SECTION 6. MAINTENANCE AND MANAGEMENT OF PUBLIC AREAS. ............... XII
6.1. GENERAL MAINTENANCE MATTERS. .......................................................................... XII
6.2. PUBLIC SAFETY SERVICES. .......................................................................................... XII
6.3. MANAGEMENT. ......................................................................................................... XIII SECTION 7. MANAGEMENT OF LEASEHOLD AND LICENSED SPACE................ XIV
7.1. MANAGEMENT OF LEASEHOLD SPACE AND LICENSED SPACE. .................................. XIV
7.2. GENERAL DUTIES AND RESPONSIBILITIES REGARDING LEASES AND LICENSES......... XIV
7.3. LEASE AND LICENSE EXECUTION. ............................................................................. XIV
7.4. MANAGEMENT OF LEASES AND LICENSES. ................................................................ XIV
7.5. ENFORCEMENT. ......................................................................................................... XIV
7.6. RULES AND REGULATIONS. ....................................................................................... XIV
7.7. DTSM NOT BROKER/AGENT. .................................................................................... XV
7.8. OTHER STRUCTURES CONSTRUCTED IN PUBLIC AREAS.............................................. XV
7.9. VENDING CART OPERATIONS. .................................................................................... XV
7.10. OUTDOOR DINING LICENSE AGREEMENTS. ................................................................ XV
7.11. GRANT OF LICENSE. ................................................................................................... XV
7.12. LICENSE AREA ACCEPTED “AS IS”. ............................................................................ XV
7.13. IMPROVEMENTS. ......................................................................................................... XV
7.14. NATURE OF LICENSE RELATIONSHIP. ......................................................................... XV
7.15. INGRESS AND EGRESS. ................................................................................................ XV
7.16. NONTRANSFERABLE LICENSES. .................................................................................. XV SECTION 8. ADVERTISING, PROMOTION, ENTERTAINMENT, AND SPECIAL EVENTS.................................................................................................................................. XVII
8.1. DTSM PROGRAMS. .................................................................................................. XVII
8.2. FILMING AND SPECIAL EVENTS. ............................................................................... XVII
8.3. SIGNS AND BANNERS. ............................................................................................... XVII
8.4. STREET PERFORMERS. ............................................................................................. XVIII ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1940 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) SECTION 9. REPORTING REQUIREMENTS. ............................................................. XVIII
9.1. ESTABLISHMENT OF WORK PLAN. ........................................................................... XVIII
9.2. THIS SECTION LEFT INTENTIONALLY BLANK ........................................... XVIII
9.3. ANNUAL REPORT..................................................................................................... XVIII
9.4. ANNUAL FINANCIAL REPORT. ................................................................................. XVIII
9.5. MISCELLANEOUS REPORTS AND INFORMATION. ........................................................ XIX SECTION 10. TERMINATION. ........................................................................................... XIX
10.1. TERMINATION UPON DEFAULT. ................................................................................. XIX
10.2. TERMINATION WITHOUT CAUSE. .............................................................................. XIX
10.3. REVERSION OF FUNDS AND PROPERTY. ..................................................................... XIX SECTION 11. AVAILABILITY OF CITY INFORMATION. ............................................ XX SECTION 12. PURCHASING AND OTHER MONETARY OBLIGATIONS FOR OPERATION OF THE DOWNTOWN. .................................................................................. XX SECTION 13. COMPENSATION. ......................................................................................... XX
13.1. ANNUAL BUDGET. ...................................................................................................... XX
13.2. FILMING AND SPECIAL EVENT FEES. ......................................................................... XXI
13.3. NO NAMING RIGHTS. ................................................................................................. XXI SECTION 14. DTSM OPERATING STANDARDS. .......................................................... XXI
14.1. BY-LAWS. ................................................................................................................. XXI
14.2. NONDISCRIMINATION. ............................................................................................... XXI
14.3. ACCOUNTING PROCEDURES. ..................................................................................... XXII
14.4. SUBCONTRACTORS. .................................................................................................. XXII
14.5. COMPLIANCE WITH LAWS AND MANAGEMENT PLAN. .............................................. XXII
14.6. COMPLIANCE MONITORING. .................................................................................... XXII SECTION 15. INSURANCE AND INDEMNIFICATION. ............................................. XXIV
15.1. INSURANCE REQUIREMENTS. .................................................................................. XXIV
15.2. INDEMNITY BY DTSM ........................................................................................... XXIV
15.3. THIRD PARTY INDEMNITY ...................................................................................... XXIV
15.4. ENFORCEMENT COSTS ............................................................................................ XXIV SECTION 16. MISCELLANEOUS. .................................................................................... XXV
16.1. INTEGRATED CONTRACT. ........................................................................................ XXV
16.2. DELEGATION AND ASSIGNMENT. ............................................................................. XXV
16.3. NOTICES. ................................................................................................................ XXVI
16.4. NO INTEREST IN PROPERTY. ................................................................................... XXVI
16.5. OTHER SERVICES. ................................................................................................... XXVI
16.6. APPROVALS. .......................................................................................................... XXVII
16.7. WAIVER. ................................................................................................................ XXVII
16.8. GOVERNING LAW. ................................................................................................. XXVII
16.9. COMPLIANCE WITH APPLICABLE LAW. .................................................................. XXVII
16.10. SURVIVAL OF PROVISIONS AND OBLIGATIONS ...................................................... XXVII
16.11. SEVERABILITY ....................................................................................................... XXVII ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1941 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan)
16.12. VENUE AND JURSIDICTION .................................................................................... XXVII
16.13. INDEPENDENT PARTIES. ......................................................................................... XXVII
16.14. EXECUTION COUNTERPARTS. ................................................................................ XXVII
16.15. COST OF LITIGATION. ............................................................................................ XXVII
16.16. PERMITS AND LICENSES. ....................................................................................... XXVII
16.17. CITY PROPRIETARY CAPACITY. ............................................................................. XXVII
16.18. CAPTIONS AND HEADINGS. .................................................................................... XXVII
16.19. RECITALS AND EXHIBITS. ...................................................................................... XXVII EXHIBIT A – Downtown Map
EXHIBIT B – FY 23/24 DTSM Annual Work Plan and Budget (includes DTSM Management Plan Services and City Baseline Service Matrices)
EXHIBIT C – Insurance
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1942 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan)
MASTER SERVICES AGREEMENT
This Master Services Agreement (“Services Agreement”), entered into this ____ day of ___________, 2023 (“Execution Date”), by and between the CITY OF SANTA MONICA, a municipal corporation (“City”), and the DOWNTOWN SANTA MONICA, INC. a non-profit public benefit corporation (“DTSM”), is made with reference to the following:
R E C I T A L S:
A. The City is a municipal corporation duly organized and validly existing under the laws of the State of California with the power to carry on its business as it is now being conducted under the Statutes of the State of California and the Charter of the City.
B. DTSM is a non-profit, public benefit corporation duly organized and validly existing under the laws of the State of California.
C. On December 3, 2004, the City and the Bayside District Corporation (“BDC”) entered into a Services Agreement approved by the City Council as Contract No. 8406 (CCS) (the “Original Agreement”) for the purpose of setting forth the role and obligations of the BDC in the administration of certain functions and programs in the City’s downtown business area.
D. On March 25, 2008, the City Council of the City approved a management district plan prepared by BDC following a two-year process, which included public input. This management district plan was the basis for an engineer’s report (“Engineer’s Report”) setting forth the mechanism for assessing property owners to raise funds to provide additional and enhanced services in Downtown PBAD. On July 24, 2008, a majority vote in favor of the proposed assessment was confirmed. City Council Resolution No. 10336 (CCS) was adopted, approving the management district plan and Engineer’s Report ordering formation of a property and business assessment district in Downtown PBAD, and authorizing the levy and placement of the assessments on the property tax rolls each year.
E. On May 20, 2009, the City and BDC entered into an Amended and Restated Services Agreement Number 9063 (CCS) (“Services Agreement”) to further define BDC’s and the City’s roles and obligations in administering certain functions and programs in the Downtown PBAD. This Services Agreement No. 9063 replaced and superseded the Original Agreement.
F. On or about April 22, 2010, the City and BDC entered into a (CCS) (“Maintenance Agreement”) to amend certain roles and responsibilities of the City and BDC for the BDC to assume responsibility for delivering the City’s preexisting base level custodial maintenance services in Parking Structures 1 through 6, 9, and 10, with the sole exception of restroom paper supplies, in exchange for the City assuming responsibility for certain enhanced levels of maintenance services on Ocean Avenue, Colorado Avenue, Broadway, Santa Monica Boulevard, Arizona Avenue, Wilshire Boulevard, 5th Street, 6th Street, and 7th Street within the boundaries of the Downtown PBAD.
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1943 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) G. On September 14, 2010, and February 28, 2012, respectfully, the City Council approved a modification to the Maintenance Agreement to extend the term of the agreement and approve the FY 2010-2011 and FY 2011-2012 Work Plans. This Maintenance Agreement expired on or about September 10, 2012.
H. On or about January 27, 2011, BDC’s Board of Directors approved a name change for BDC to Downtown Santa Monica, Inc. (“DTSM”). DTSM subsequently revised its Articles of Incorporation and By-laws to reflect the name change.
I. On September 11, 2012, the City and DTSM entered into a Maintenance Services Agreement No. 9626 (“Second Maintenance Agreement”) for DTSM and the City to continue delivering exchange of maintenance services and ensure that district assessment funds would be used only to enhance maintenance services above baseline City-funded maintenance services.
The Second Maintenance Agreement would be renewed annually provided DTSM’s annual Work Plan was approved by City Council and the services provided by City and DTSM remained cost-neutral.
J. On or about August 28, 2012, the City and DTSM entered into a First Amendment to the Services Agreement (“First Amendment”) to reflect the name change.
K. On or about November 20, 2012, the City and DTSM entered into a Second Amendment to the Services Agreement (“Second Amendment”) to add a fifth disbursement date in each year of all assessment funds received and accounted for by the City.
L. On July 14, 2015, the City Council of the City adopted Resolutions No. 10895 (CCS) and No. 10896 (CCS) ordering the formation of two additional assessment areas, the Lincoln Boulevard Property Based Assessment District (“Lincoln PBAD”) and the Colorado Avenue Property Based Assessment District Overlay Zone (“Colorado Overlay Zone”), respectively; approving the management district plans and Engineer Reports for each assessment area, authorizing the levy and placement of assessments on the property tax rolls each year, and approving the City’s funding of general benefits associated with the new assessment areas.
M. On May 31, 2016, the City and DTSM entered into a Third Amendment to the Services Agreement (“Third Amendment”) to delegate certain responsibilities to DTSM regarding the administration of the Lincoln PBAD and Colorado Overlay Zone.
N. On March 6, 2018, the City Council of the City authorized the City Manager to negotiate and execute the renewal of the Services Agreement with DTSM for an additional ten (10) year term.
O. On March 21, 2018, DTSM’s property owners located within the Downtown PBAD affirmed, by majority vote, based upon the ballots returned, as weighted by ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1944 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) assessments to be paid, for the continuation of existing services and assessments for an additional ten (10) year term. Specifically, ballots were returned for 221 parcels, representing 67 percent of assessment dollars. Of the ballots returned, 91% of the property owners located within the Downtown PBAD voted in favor of preserving the Downtown PBAD.
P. On May 15, 2019, the City and DTSM entered into a Fourth Amendment to the Services Agreement (“Fourth Amendment”) to extend the term for an additional ten year period up through May 19, 2029. The Services Agreement, First Amendment, Second Amendment, Third Amendment, and Fourth Amendment may be collectively referred to as the “Services Agreement”.
Q. Between September 13, 2013, and October 11, 2022, the City and DTSM modified the Second Maintenance Agreement eleven times to: (1) extend the term of the agreement through December 2, 2023; (2) approve DTSM’s annual Budgets and Work Plans; (3) grant DTSM a license to use designated office and storage areas and shared restroom facilities in certain parking structures that are owned by the City to support DTSM’s performance of its obligations under the Second Maintenance Agreement; (4) provide additional compensation to DTSM for enhanced maintenance services benefitting City-owned property located at 612 Colorado Avenue; (5) modify and expand the location of the license areas that the City permitted DTSM to use; (6) authorize DTSM to temporarily use a surface parking area for staging of downtown holiday décor; and (7) provide that DTSM will comply with the all laws, ordinance, and rules, including the California Labor Code and Department of Industrial Relations rules and regulations.
R. On July 25, 2023, the City Council approved this Master Services Agreement to replace and supersede the Services Agreement and Second Maintenance Agreement for DTSM to continue to provide additional and enhanced services in Downtown Santa Monica per the terms of this Master Services Agreement and authorize DTSM to procure and provide private security services within the Downtown during a one-year pilot program. Accordingly, upon the Execution Date of this Master Services Agreement, the Services Agreement and Second Maintenance Agreement shall terminate and be of no further force or effect.
S. The purpose of this Master Services Agreement is to produce a strong and vibrant pedestrian-oriented downtown for the benefit of the City’s residents, customers, and visitors with the goal to contribute to the City’s economic vitality and create a community resource to enhance the quality of life for City residents and visitors. Toward that end, the City has invested public monies in streetscape and parking improvements, has established assessment districts to fund such improvements and the maintenance thereof, and has adopted various revitalization plans such as the Third Street Mall Specific Plan on August 12, 1986, as amended by the Bayside District Specific Plan on January 23, 1996 (“Bayside District Specific Plan”), and the Downtown Urban Design Plan adopted by City Council on July 22, 1997, the Downtown Community Plan adopted by Council in July 25, 2017 and amended in May 2023. In addition, in 2021 Council adopted the Third Street Promenade Stabilization and Economic Vitality Plan, which helped to inform subsequent zoning amendments for the Downtown and are reflected in the amended Downtown Community Plan.
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1945 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) T. DTSM has expertise in planning, implementing, sustaining and managing the revitalization goals of the City and the City desires to continue to use the expertise and services of DTSM to develop, implement, and maintain various programs for the continued revitalization of Downtown Santa Monica. In furtherance of the goals recited above, the City desires to use the expertise and services of DTSM to develop, implement, and maintain various programs for the enhanced maintenance, marketing, and promotion to support the economic vitality, and provide for the public benefit of Downtown Santa Monica, as more specifically defined in Section 1.1(a), below.
U. The City further recognizes that in addition to the administration of such duties outlined above, the scope of DTSM’s duties may be expanded to cover other duties and activities such as developing, maintaining, and revitalizing the Downtown as may be funded by the City or other agencies through various business improvement areas, assessment districts, or other sources of revenue, and that DTSM may accept such funding or contracts, provided that the purpose of these funds or contracts falls within the general purpose of the continued revitalization and promotion of the Downtown.
V. City and DTSM recognize and acknowledge that Downtown Santa Monica is a valued asset of the City which should be developed, managed and maintained as a public resource. Accordingly, the City desires to assign certain responsibilities to DTSM as set forth herein, and DTSM desires to accept such responsibilities, based upon the terms and conditions set forth herein.
NOW, THEREFORE, it is mutually agreed by and between the parties as follows:
AGREEMENT
SECTION 1. DEFINITIONS.
1.1. The following words, terms and phrases shall have the following meaning in this Agreement:
a. “Downtown”, “Downtown Santa Monica”, “Santa Monica PBAD” or “Santa Monica Property Based Assessment District” means and refers collectively to the Downtown PBAD, Colorado Overlay Zone, and Lincoln PBAD, as shown on the “Property Based Assessment District Maps” attached hereto as Exhibit A to this Agreement. b. “Fiscal Year” means and refers to the operating year commencing on July 1 and ending on June 30.
c. “Leasehold Space” and “Licensed Space” means and refers to those portions of the City-owned public parking structures and Public Areas which are leased or licensed by City to third parties.
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1946 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) d. “Mall Maintenance Fee” means and refers to the Third Street Promenade and Downtown District Operation and Maintenance Assessment Fee on business operators located within areas shown in Exhibit A, described as having the following boundaries: the mid-line of Wilshire Boulevard on the north, the mid-line of Broadway on the south, Fourth Court on the east and Second Court on the west, such boundaries having been established by adoption of Ordinance No. 1382 (CCS) on August 26, 1986, as amended by Resolution No. 7488 (CCS) on August 11, 1987, and Resolution No. 8026 (CCS) on May 22, 1990. e. “Management Plan” means and refers collectively to the plans prepared by DTSM and adopted by the City Council on March 26, 2008, for the Downtown PBAD, and on July 14, 2015, for the Lincoln PBAD and the Colorado Overlay Zone, setting for the details of funding sources for DTSM activities based on property assessments and details for programs to be funded with additional financial resources generated by the property based assessments. f. “Parking Structures Licensed Area” means and refers to collectively the office and storage areas and shared restroom facilities in that are located in the City owned parking structures depicted in the Work Plan attached hereto as Exhibit B to support DTSM’s performance of its obligations under its annual Work Plan that is approved by the City. g. “Pilot Program” means and refers to DTSM’s deployment of private security personnel for the Santa Monica PBAD as specified in the Work Plan attached hereto as Exhibit B. The Pilot Program automatically expires twelve (12) months after the deployment date that is identified in DTSM’s written notice to City notifying the City of the deployment date unless certain requirements are met to extend the Pilot Program pursuant to Section 6.2 of this Agreement.
h. “Public Areas” means and refers to those portions of the Downtown located within the physical boundaries thereof which are controlled and operated by the City and made available for the general use, convenience or benefit of the public including, but not limited to, public rights of way, access roads, driveways, alleyways, public restrooms, public parking sites, decking, stairways, and other similar areas.
i. “The Specific Plan” means and refers to that certain plan identified more specifically as the “Downtown Community Plan” adopted on July 25, 2017. j. “Downtown PBAD” means and refers to that certain Property Based Assessment District created by City Council Resolution No. 10336 (CCS), adopted on July 24, 2008, and as shown on the “Property Based Assessment District Maps” attached hereto as Exhibit A to this Agreement.
k. “Lincoln PBAD” means and refers to that certain Property Based Assessment District created by City Council Resolution No. 10895 (CCS), adopted on July 14, 2015, and as shown on the “Property Based Assessment District Maps” attached hereto as Exhibit A to this Agreement.
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1947 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) l. “Colorado Overlay Zone” means and refers to that certain benefit zones within the Downtown PBAD, created by City Council Resolution No. 10896 (CCS), adopted July 14, 2015, and as shown on the “Property Based Assessment District Maps” attached hereto as Exhibit A to this Agreement.
SECTION 2. TERM.
The term of this Agreement shall commence on the Execution Date of this Agreement and continue up through May 19, 2029, unless earlier terminated pursuant to Section 10 of this Agreement or extended by the parties in writing pursuant to an amendment executed by the parties. Upon the Execution Date of this Master Services Agreement, this Agreement will replace and supersede the Services Agreement and Second Maintenance Agreement and these agreements shall terminate and be of no further force or effect.
SECTION 3. ROLES AND RESPONSIBILITIES.
3.1. DTSM Roles and Responsibilities.
DSTM shall be dedicated to promoting the continued economic revitalization of the Downtown through the sponsorship, support and production of programs, projects and services that benefit Santa Monica residents, Downtown merchants, property owners, customers and visitors. Without limiting the generality of the foregoing, and to the extent these duties are funded by the various business improvement areas, contracts, and other sources of funding received, DTSM shall be responsible for:
a. Organizing, advising, and/or conducting marketing and advertising campaigns and concierge programs for the benefit of the Downtown; b. Organizing, advising, and/or conducting promotions and special events that attract and benefit local residents, customers, and visitors to the Downtown; c. Assisting the City by (i) coordinating the delivery of City-funded maintenance equal in commitment to the level of service described in the matrix included in the Work Plan attached hereto as Exhibit B and provided by the City as of the Execution Date of this Agreement for the repair and service of the streetscape, public areas and other public improvements within the Downtown, and (ii) providing enhanced levels of services, over and above what the City provides as described in clause (i) above, decided after consultation with the City, to be funded through the assessment revenues generated from the Mall Maintenance Fee and the Santa Monica PBAD. The enhanced level of maintenance services that DTSM will provide include custodial maintenance services that were previously performed by the City in the City owned parking structures as set forth in the Work Plan attached hereto as Exhibit B. d. Providing advice and recommendations to the City regarding long-term planning and zoning issues, preferred retail mix, streetscape and capital improvement projects, public ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1948 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) parking projects, signage, specific discretionary planning and zoning cases, and developmental strategies in order to enhance the economic vitality of the Downtown; e. Assisting new and existing businesses by providing real estate and other economic information, identifying sites, and providing information about the development process;
f. Assisting the City in managing the Downtown vending cart license program; g. Advising the City on operational issues related to the Downtown upon City’s request, from time to time;
h. Coordinating with the City on filming, photo shoots and special events in the Downtown, and collecting Film and Special Event Fees, as approved by the City; i. Upon City’s written request, monitoring the street performer program in the Downtown;
j. Advising merchants, property owners, and others having a business interest in the Downtown on common matters of interest;
k. Serving as a liaison with City on behalf of merchants, property owners, and the general public on issues affecting the continued vitality of the Downtown; l. Providing information and cooperating with other local governments and professional organizations regarding activities or current operations of the Downtown; m. Upon request of merchants, property owners, or residents within the Downtown, making recommendations to the City about additional services needed in the Downtown and methods for funding, that are not provided for by the assessment districts and business improvement areas in place as of the date of this contract; n. Preparing annually a Work Plan, Annual Report, and Audited Financial Statement to be submitted and approved by City Council;
o. Administering or providing services and activities for the Downtown as set forth in the approved work plans pursuant to Section 9.1, below; p. Managing an ambassador program that deploys resources within Downtown Santa Monica to that may provide information to visitors about activities, sites and points of interest within the Downtown, and monitors public facilities within the Downtown, provided the ambassadors are clearly not identified as representatives of the City or any law enforcement agency of the City, and do not assume any law enforcement responsibilities; q. At its sole expense, maintaining the Parking Structures Licensed Area, and the Improvements identified in Section 7.13 of this Agreement, in a clean and orderly condition, ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1949 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) clean the Parking Structures Licensed Area and the Improvements on a regular basis, and make repairs that may be required by the City. Upon expiration or earlier termination of this Agreement, DTSM must return the Parking Structures Licensed Area and all its improvements to the City in as good as condition as they were on the date that the Parking Structures Licensed Area was first granted on June 30, 2014, under the Second Maintenance Agreement, less reasonable wear and tear. If DTSM does not keep the Parking Structures Licensed Area, and the Improvements, in good repair or fails to correct any condition within forty-eight (48) hours after being notified in writing by the City, then the City may enter the Parking Structures Licensed Area and remedy the conditions and charge the cost thereof to DTSM; and r. Procuring and directly contracting with private security personnel that will be deployed for the one-year Pilot Program provided that the security personnel are clearly not identified as representatives of the City, or any law enforcement agency of the City, and do not assume any law enforcement responsibilities as specified in Section 6.2 of this Agreement.
The expected level of service to be provided within the Downtown will be defined annually in the Work Plan as further described in Section 9, below. DTSM shall have no obligation to provide services to any area outside of the Downtown area except as specifically approved by the City and DTSM in writing.
3.2. Administration of Central Business District Business Improvement Area. a. Ordinance No. 725 (CCS), amended by Ordinance No. 1228, established the Downtown Parking and Business Improvement Area, also known as the Central Business District Business Improvement Area, to provide for the levy of a special assessment on retail businesses for the general promotion of retail trade activities in the area. DTSM has undertaken responsibility for the general promotion of retail trade activities in the Central Business District Business Improvement Area.
b. Until elimination of the Central Business District Business Improvement Area as contemplated by the Management Plan, Section VI, DTSM shall continue to undertake responsibility for the general promotion of retail trade activities as specified by Section 3 of Ordinance No. 725 (CCS), and amended by Ordinance No. 1228. These promotional activities and their related costs shall be segregated in the Work Plan from other activities of DTSM. c. DTSM agrees that all funds received from the City for implementation of this Section shall be subject to separate accounting and shall comply with the requirements of Sections 4 and 14 of this Agreement. All funds received pursuant to this Section shall be exclusively expended for the general promotion of retail trade activities which benefit the entire Downtown, save and except the sum of up to 20% thereof, which may be retained by DTSM for administrative overhead. DTSM shall be liable to the City for any and all expenditure of funds contrary to this Agreement.
3.3 The City’s Roles and Responsibilities.
The City shall support DTSM in its stated role and responsibilities, and shall be responsible for:
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1950 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) a. Delivery of City-funded maintenance equal in commitment to the level of service described in the matrix included in the Work Plan attached hereto as Exhibit B, and other municipal services to the extent that funds are available to the City; b. Funding of approved projects and programs for the Downtown, in such amounts as the City, in its sole discretion, determines necessary and appropriate; c. Design, construction, management and maintenance of capital projects, which shall be the subject of consultation with DTSM to the extent the same may affect the responsibilities of DTSM under this Agreement;
d. Processing and approving permits as specified by applicable law; e. In its role as property manager, negotiating and administering the leases and licenses for the City’s Leasehold and Licensed Space within the Downtown; f. Seeking advice from DTSM on those items identified in Section 3.1 above so that the City may avail itself of the knowledge and expertise of DTSM in its advisory role on behalf of the Downtown;
g. Provide written notification to DTSM when applications are sought for various private activities within the Downtown, including, but not limited to filming, special events, and for projects requiring Planning Commission review, Architectural Review Board applications, and certain construction-related projects which may have an impact on the Downtown, such as construction for exterior work, public works, and other street use projects or activities; h. Employee Parking. The City agrees to use its best efforts to provide parking passes, permits, or keycards to DTSM to be used by DTSM”s employees, board members, and the downtown ambassadors and private security services subcontracted by DTSM. DTSM shall ensure that its employees, board members, and downtown ambassadors and security service subcontractors park their vehicles only in such areas designated by the City and for the purpose of supporting DTSSM’s performance of its obligations under this Agreement. DTSM acknowledges and understands that the City is under no obligation whatsoever to provide parking to DTSM, and the City may at any time and at the City’s sole discretion, reduce the number of parking passes, permits, or keycards provided, change the designated parking areas, or otherwise restrict or revoke any parking privilege given by the City to DTSM under this Agreement. In addition, the City reserves the right to charge DTSM a fee, the amount of which may be determine by the City in its sole discretion, for DTSM’s use of parking passes, permits, or keycards;
i. License to use Parking Structures. The City agrees to permit DTSM to use the Parking Structures Licensed Area. DTSM acknowledges and understands that the City is under no obligation whatsoever to permit DTSM to use the Parking Structures Licensed Area, and the City may, at any time, and at the City’s sole discretion, modify or reduce the Parking Structures Licensed Area, or otherwise restrict or revoke the Parking Structures Licensed Area, or any other ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1951 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) privilege, given by the City to DTSM under this Agreement. In addition, the City reserves the right to charge DTSM a fee, the amount of which may be determine by the City in its sole discretion, for DTSM’s use of the Parking Structures Licensed Area; j. City, by and through its Public Works Department, agrees to perform certain enhanced levels of maintenance within the boundaries of the Santa Monica PBAD that are more fully set forth in the attached Work Plan attached hereto as Exhibit B. City will make available to DTSM any currently existing documents, data, or information pertinent to these services and promptly examine and render findings on any and all documents submitted for staff review by DTSM;
k. Appoint member to DTSM’s Board of Directors;
l. Approve DTSM’s Annual Work Plan and Budget provided City is in agreement with proposed Annual Work Plan and Budget; and
With respect to City responsibilities provided pursuant to Subsections i and j above, the parties acknowledge that because the mutual exchange of maintenance services is revenue neutral, no compensation will be provided to DTSM by City, and no compensation will be provided by DTSM, for those maintenance services to be performed by each respective party as set forth hereunder. In the event that the cost to perform the services provided by DTSM hereunder exceeds the level of funding that the City provided for such base level custodial maintenance services for the Parking Structures Licensed Areas, the difference in cost shall be borne solely be DTSM. DTSM is not responsible for additional costs of any City services to be performed by City pursuant to Subsections i and j, unless mutually agreed to by the parties in writing.
m. Payment to DTSM of the following funds:
(i) all funds received pursuant to adoption of Resolution No. 10336 (CCS) on July 24, 2008, establishing the Downtown PBAD, and authorizing levy of property-based assessments, after deduction of an administrative fee to be retained by the City in an amount equal to $95.90 per parcel, increased annually by the CPI for the Los Angeles-Long Beach area, subject to the requirement that the CPI adjustment not exceed 5% nor be lower than 2% in any one year, to cover City’s costs in administering and collecting the assessments;
(ii) all funds received from the Mall Maintenance Fee, originally established by Ordinance No. 1382 (CCS) on August 26, 1986, less an administrative fee to be retained by the City in an amount equal to 1.27% of the Mall Maintenance Fee collected to cover City’s costs in administering and collecting the Mall Maintenance Fee.
(iii) all funds received from the Central Business District Business Improvement Area pursuant to Ordinance No. 725 (CCS), as amended by ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1952 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Ordinance No. 1228 (CCS), less an administrative fee to be retained by the City in an amount equal to 5%, which shall be retained by City to cover costs of collection and administration;
(iv) all funds received pursuant to adoption of Resolution Nos. 10895 (CCS) and 10896 (CCS) on July 14, 2015, establishing the Lincoln PBAD and the Colorado Overlay Zone, respectively, and authorizing levy of property-based assessments, after deduction of an administrative fee to be retained by the City in an amount equal to $95.90 per parcel, increased annually by the CPI for the Los Angeles-Long Beach area, subject to the requirement that the CPI adjustment not exceed 5% nor be lower than 2% in any one year, to cover City’s costs in administering and collecting the assessments;
(v) all funds related to the annual payment of general benefit for the properties within the boundaries of the Lincoln PBAD and Colorado Overlay Zone as set forth in the Engineer’s Reports; and
(vi) City will disburse to DTSM all funds received and accounted for as of December 31, February 28, May 31, August 31, and September 30 of each year, within 21 days after the aforementioned dates, for the Downtown PBAD assessment, Mall Maintenance Fee, Central Business District Business Improvement Area fee, Colorado Overlay Zone, Lincoln PBAD assessment, and general benefits, less the applicable administrative fee, and less any reimbursements that may have been made to assessees or fee payers to correct incorrect assessments. The City will include with the disbursements a report that clearly explains how much was collected for each fee, the amount of the administrative fee and reimbursements that were deducted from the disbursement, for the benefit of DTSM’s budget planning and program administration.
SECTION 4. ADMINISTRATION OF FUNDS
DTSM agrees that all funds received from the City for implementation of this Agreement shall comply with the requirements of Section 14 of this Agreement. DTSM shall render a full and accurate accounting for the expenditures annually. DTSM shall be liable to and shall reimburse the City for any and all expenditure of funds contrary to this Agreement.
SECTION 5. COMMUNITY PLANS AND CONSTRUCTION PROJECTS.
5.1. Community Plans.
DTSM may gather public input and make recommendations to the City regarding land use, circulation, design and other policies and community plans that affect the Downtown.
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1953 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan)
5.2. Capital Improvement Projects.
DTSM may make recommendations to the City for capital improvements to be constructed in the Downtown.
SECTION 6. MAINTENANCE AND MANAGEMENT OF PUBLIC AREAS.
6.1. General Maintenance Matters.
DTSM shall report to the City any maintenance and repair problems falling within the City’s jurisdiction, which DTSM becomes aware of or observes. Effective upon the Execution Date of this Agreement, the City will continue to provide maintenance-of-effort and base level services equal in commitment level to the services provided by the City as of the Execution Date of this Agreement for the repair and service of the streetscape, public areas and other public improvements within the Downtown as described in the Work Plan attached hereto as Exhibit B, and to the extent that funds are available to the City. The City shall undertake any regular maintenance and repair work it deems necessary at its discretion. The City shall undertake to advise DTSM, where possible, of any non-routine maintenance projects so that DTSM may assist in the coordination of such projects with the day-to-day operation of the Downtown.
DTSM shall directly provide supplemental and enhanced maintenance services and programs throughout the Downtown to the extent funds are available through Mall Maintenance Fees and property-based assessments for the purposes described in section 3.1 of this Agreement.
DTSM and City shall coordinate such additional maintenance services and the City base level services to avoid operational conflicts. DTSM may retain vendors or subcontractors for such supplemental maintenance services. DTSM and City staff will cooperate to prepare an annual plan that will describe in detail the base and enhanced services for the upcoming year. DTSM and City will meet and confer on a regular basis to ensure that all services are being delivered in a coordinated manner and in accordance with high standards for cleanliness and efficiency.
DTSM shall ensure that its subcontractors adhere to the same standards of sustainable maintenance practices as are followed by City maintenance.
6.2. Public Safety Services.
DTSM may advise the City with respect to any safety or security issues within the Downtown. The DTSM may, at its election, retain or provide private security personnel, street performer monitors, ambassador services, and concierge services (collectively, “security personnel”) for the benefit of Downtown visitors using the revenues generated by the Mall Maintenance Fees and property-based assessments described herein, or from other revenue sources for these purposes.
DTSM will not deploy security services in the Downtown after the expiration of the Pilot Program unless, pursuant to the California Streets & Highways Code section 36636, the City modifies the management district plans for the assessment districts located within the Santa Monica PBAD in which security personnel will be deployed. Such modifications are necessary ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1954 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) to, among other things, identify security services as an activity and the level of security services, that will be funded with the revenue collected from the levy of assessments for these districts. In the event that DTSM intends to deploy security services after the expiration of the Pilot Program within the Downtown, then no later than One Hundred and Twenty (120) days prior to the expiration of the Pilot Program, DTSM will provide the City a written request that the City modify the management district plans for the assessment districts in which security personnel will be deployed. DTSM understands and acknowledges that California Streets & Highways Code section 36636 requires that the City comply with noticing requirements to notify each business or property owner affected by the proposed modifications and that the City Council hold a public hearing prior to modifying management district plans. In the event that such modifications to the management district plans are not adopted by the City prior to the expiration of the Pilot Program to permit the continued deployment of private security services in Downtown, DTSM agrees that it will cease its deployment of the private security services in Downtown upon expiration of the Pilot Program.
During special events, DTSM may also hire personnel to serve as ushers or monitors with prior written approval of the Santa Monica Police Department. Such ushers or monitors may be in uniform but shall not hold themselves out to be agents, employees, or independent contractors of the City.
a. Limitation on Duties of Security Personnel. Security personnel that DTSM deploys to service the Santa Monica PBAD shall have no ability to exercise any police functions, and security personnel duties shall be limited to performing security personnel services, including observing and reporting potential crimes to the Santa Monica Police Department.
Additionally, DTSM shall ensure that any security personnel retained and provided by DTSM do not interfere with the operations of the Santa Monica Police Department. b. City Not Responsible for Directing Means and Methods of Security Personnel. DTSM understands, acknowledges, and agrees that City shall not be responsible for directing means and methods of security personnel functions and duties that are performed for the Pilot Program or extension thereof. DTSM acknowledges, understands, and agrees that security personnel retained or provided by DTSM shall not be deemed as agents, employees, or independent contractors of the City, and security personnel shall not hold themselves out to be agents, employees, or independent contractors. DTSM represents that all of DTSM’s subcontractors that will provide security personnel for the Downtown, possess the training, qualifications, and ability to perform the security services in a professional manner, without the advice, control, direction, or supervision of City, including its Santa Monica Police Department. c. Compliance with Santa Monica Municipal Code. Security personnel shall comply with Santa Monica Municipal Code section 3.36.140 at all times while performing its functions and duties.
6.3. Management.
DTSM may assist in and make recommendations to City for the day-to-day management, operation and programming of the Public Areas.
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1955 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) SECTION 7. MANAGEMENT OF LEASEHOLD AND LICENSED SPACE.
7.1. Management of Leasehold Space and Licensed Space.
DTSM may advise the City regarding uses and operations of prospective or existing tenant or licensees in Leasehold Space or License Space. All recommendations from DTSM to the City on leases and licenses shall follow the guidelines set forth in the most current Leasing Guidelines approved by the City. Upon finalization of any agreement, DTSM shall advise and assist the tenant and the City with any future leasing issues as they arise.
7.2. General Duties and Responsibilities Regarding Leases and Licenses.
DTSM may advise the City regarding recruitment of new tenants or licensees for any available Leasehold Space or License Space within Downtown. DTSM may assist the City on an as-needed basis in the monitoring of conditions of the lease or license. As requested by the City, DTSM may serve as a liaison between the City and the tenants and licensees with respect to resolution of disputes.
7.3. Lease and License Execution.
City shall review with DTSM the uses, terms, and conditions of any new or amended lease or license for any City-owned property or Public Areas within the Downtown. All leases and licenses shall be consistent with the most current Leasing Guidelines, as they now exist or as amended from time to time in the future. After review, all such leases and licenses shall be entered into by the City pursuant to the execution procedures set forth in Santa Monica Municipal Code §2.32.030 et seq.
7.4. Management of Leases and Licenses.
The City shall maintain the original signed leases and licenses in the Clerk’s Office with copies forwarded to DTSM.
7.5. Enforcement.
City shall have complete authority and responsibility in the enforcement of all leases and licenses in the Downtown. Such enforcement shall include, but not be limited to, collection of rental amounts owed to the City, enforcement of other lease or license requirements, declarations of any default, termination, and bringing or defending any litigation arising from a lease or license dispute.
7.6. Rules and Regulations.
From time to time, DTSM may recommend to the City such rules and regulations or such revisions to Leasing Guidelines with respect to the Leasehold Space and Licensed Space as will provide for the orderly operation of Downtown Santa Monica consistent with this Agreement, and which will provide for a harmonious relationship between tenants, licensees, City, and DTSM.
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1956 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan)
7.7. DTSM Not Broker/Agent.
It is specifically understood and agreed that DTSM is not acting as a real estate broker or agent. DTSM’s relationship with City is that of an advisor, planner, and facilitator, and not that of a property manager or any other party who performs any service for which a real estate broker’s or salesperson’s license is required pursuant to the California Business and Professions Code.
7.8. Other Structures Constructed in Public Areas.
Neither DTSM nor any private person or entity shall be entitled to erect structures or improvements on the Public Areas with the exception of tenant or licensee improvements authorized pursuant to a City approved lease or license agreement pertaining to the Leasehold Space or Licensed Space. No alterations may be made to any City-constructed Leasehold Spaces, including the retail pavilion structures on the Third Street Promenade without City’s prior written approval. Nothing in this Section prohibits DTSM from placing temporary installations or decorations consistent with the roles and responsibilities of DTSM under this Agreement, provided, however, that permits required under the Santa Monica Municipal Code first shall be obtained as applicable.
7.9. Vending Cart Operations.
DTSM may advise and assist City in the management of the vending cart operations in the Downtown, including vending cart operations authorized on the Third Street Promenade and other Downtown vending cart activities authorized under S.M.M.C. Section 6.36.070, vending cart leasing guidelines, if any, and as amended, and agreements approved by the City. City may, at its sole discretion, authorize DTSM to directly manage such vending cart operations as the designated Administrator.
7.10. Outdoor Dining License Agreements.
The City, through approved License Agreements, may in its sole discretion allow licensees to operate outdoor dining areas in the public right-of-way at certain locations within the Downtown in accordance with City ordinances. City shall advise DTSM of these outdoor license agreements and seek DTSM’s input. At City’s request, DTSM may monitor performance of outdoor dining in accordance with the License Agreement.
7.11. Grant of License.
The City hereby grants to DTSM a revocable license for DTSM to enter and use particular office and storage areas and shared facilities in the Parking Structures Licensed Areas, at no cost to DTSM, as designated in the Work Plan attached hereto as Exhibit B, which may be modified by the City in writing from time to time, and additional areas may be identified and approved in writing by the City. Utility services (excluding telecommunications) for the Parking Structures Licensed Areas will also be provided by City. DTSM agrees to utilize the designated office and storage areas in the Parking Structures Licensed Areas to perform DTSM services pursuant to this Agreement.
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1957 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan)
7.12. License Areas Accepted “As Is”.
DTSM has inspected and accepts the Parking Structures Licensed Areas and any existing improvements and facilities on the Parking Structures Licensed Areas “AS IS, in their present condition, and without representation or warranty by the City as a condition of the Parking Structures Licensed Areas or any present or future stability of the Parking Structures Licensed Areas. The City is not required to make any changes, alterations, additions, improvements or repairs in or about the Parking Structures Licensed Areas during the term of this Agreement.
DTSM may not make any changes to the Parking Structures Licensed Areas without the prior written consent of City. All approved changes will be at DTSM’s sole expense.
7.13. Improvements.
The City and DTSM acknowledge that DTSM has installed a storage cage on Level B2 and Level B3 of Parking Structure 6 within the Parking Structures Licensed Area (collectively “Improvements” as designated in Exhibit B attached hereto.). The Improvements and their use must be consistent with the Work Plan approved by City under this Agreement and will be deemed to be DTSM’s personal property for the term of this Agreement and any extension thereof. DTSM may not make any changes to the Improvements without the prior written consent of the City. No other furnishings or fixtures may be installed in such a manner as to become permanently affixed to or a part of the Parking Structures Licensed Area. The City reserves the right to order the removal or alteration of any Improvements that are not consistent with City requirements. Upon the expiration or earlier termination of this Agreement, the Improvements shall become the property of the City; or, the City may require DTSM to remove any Improvements. In removing any Improvements, DTSM must restore the Parking Structures Licensed Area and repair any damage caused by such removal. Any installation or removal of, or changes to, the Improvements under this paragraph will be at DTSM’s sole expense.
7.14. Nature of License Relationship.
It is understood and agreed that the conditional and limited licenses to use Parking Structures Licensed Areas granted by this Agreement does not constitute an estate or interest in real property, but is merely a conditional, limited right to enter upon and use the Parking Structures Licensed Areas. Neither this Agreement, or action, failure to act, statement, representation, recognition, certificate, approval, or permit issued by the City, or its representatives, agents, employees, attorneys, or assigns, shall create, confer, or convey any vested or nonconforming right or benefit regarding the Licensed Areas. The relationship between City and DTSM with respect to Parking Structures Licensed Areas is solely that of licensor and licensee and not of landlord and tenant or easement grantor and easement grantee, or any other relationship. Notwithstanding any action of either party in the future, under no circumstances will the license granted herein ripen into either a lease or an easement, whether under a claim of prescriptive easement or otherwise.
17.15. Ingress and Egress.
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1958 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) The City reserves the right to enter upon the Parking Structures Licensed Areas at any time during the term of this Agreement, and will provide at least 24 hours’ advance notice of entry, unless an emergency or other exigent circumstances preclude such advance notice. The City may remove DTSM from the use of the Parking Structures Licensed Areas, at any time and without notice to DTSM, if such removal by the City is necessitated by an emergency pertaining to the public health, safety or welfare of any person, which determination will be made in the City’s sole discretion.
17.16. Nontransferable Licenses.
The license rights granted to DTSM under this Agreement are non-transferable. DTSM is prohibited from assigning any of its interests to the Parking Structures Licensed Areas to any other party or parties without the City’s prior written consent. Any attempt to do so will be null and void, and any purported assignee or transferee will acquire no right in the Parking Structures Licensed Areas.
SECTION 8. ADVERTISING, PROMOTION, ENTERTAINMENT, AND SPECIAL EVENTS.
8.1. DTSM Programs.
DTSM shall be responsible for development and implementation of various advertising, promotional, entertainment, and special event programs which will enhance the pedestrian enjoyment, commercial operation and aesthetic quality of the Downtown, as well as support and enhance the Downtown’s commercial, retail and entertainment qualities. DTSM may manage temporary holiday or special events and installations subject to compliance with the permit requirements of applicable law.
8.2. Filming and Special Events.
DTSM shall facilitate filming and special event activities in the Downtown. Such filming and special event activities shall be in accordance with the permit requirements of applicable law, the City’s Community Event Management Plan or other such special event regulations as the City may, from time to time, adopt and shall not be amended without prior written approval of City. DTSM shall recommend a schedule of commercially reasonable fees and charges for filming and special events, subject to approval by the City. The City shall consult and coordinate with DTSM prior to selecting the Downtown as a venue for a special event.
8.3. Signs and Banners.
DTSM shall also have the right and authority to display signs or banners, or other similar items, as provided in the Specific Plan and in compliance with applicable law, to advertise promotional programs or otherwise generally to promote the Downtown. Any such signs or banners shall be subject to all applicable City ordinances, laws, rules and regulations.
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1959 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan)
8.4. Street Performers.
DTSM shall advise and make recommendations to City regarding street performers in the Downtown. Such advice and recommendations may pertain to the promulgation of regulations governing time, place and manner restrictions for street performers, the administration of street performer regulatory programs, the administration of street performer monitor programs, and enforcement of such street performer regulations that the City may, from time to time, adopt.
SECTION 9. REPORTING REQUIREMENTS.
9.1. Establishment of Work Plan.
DTSM shall prepare an annual operational, programmatic and development plan (known as the “Work Plan”) and budget (“Budget”) for implementation of DTSM’s roles and responsibilities set forth in Section 3 of this Agreement. Such Work Plan and Budget shall describe in detail the activities and services to be performed by DTSM, with corresponding expenditures and revenues. These programs shall take into account the different funding sources anticipated, and may change from year to year. The Work Plan shall also describe the enhanced maintenance that DTSM will provide in that fiscal year. In preparing the Work Plan, staff from the City and DTSM shall meet and confer to coordinate the roles and responsibilities set forth in Section 3 of this Agreement. The services provided by DTSM and the City, respectively, must remain revenue neutral and consistent with the Management Plan for Downtown PBAD and Streets and Highways Code section 36625. DTSM shall submit the Work Plan and Budget to the City Manager for the City’s review at least ninety (90) days prior to commencement of each fiscal year. This annual Work Plan is required to be submitted to and approved by the City as contemplated by Streets and Highways Code section 36650. DTSM shall consider and reasonably incorporate into the Work Plan and Budget recommendations made by the City.
9.2. THIS SECTION LEFT INTENTIONALLY BLANK
9.3. Annual Report.
DTSM shall submit an Annual Report to City within one hundred and twenty (120) days of the end of DTSM’s fiscal year. The Annual Report shall include a status discussion concerning (i) the operation of the Downtown; (ii) the various programs conducted by DTSM in connection with the Downtown and this Agreement, including reports concerning programs and uses of funds; (iii) the accomplishment of objectives contained in the prior year’s Work Plan; and (iv) any other matters connected with the Downtown or within DTSM’s knowledge which have a material impact on the Downtown or the purposes or performance of this Agreement.
9.4. Annual Financial Report.
An audited annual financial report shall be prepared by DTSM in such form as required by the City’s Director of Finance and shall be submitted within one hundred and twenty (120) days of the end of DTSM’s fiscal year.
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1960 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan)
9.5. Miscellaneous Reports and Information.
DTSM shall deliver to City copies of all notices, agendas, and minutes of DTSM’s Board of Directors meetings, quarterly financial reports of expenditures, annual reports of all programs and promotional activities, and any other information requested by City promptly upon request.
In addition, DTSM shall prepare, from time to time, reports on such other matters relating to its responsibilities as City may reasonably request.
SECTION 10. TERMINATION.
10.1. Termination Upon Default.
In the event DTSM fails or refuses to perform any of its obligations hereunder, at the time and in the manner required by this Agreement, the City shall provide DTSM with written notice of default and the steps necessary to cure such default. DTSM shall cure such default within thirty (30) days from the date of written notice from the City. If, however, the default cannot reasonably be cured within said thirty (30) days, the City may extend the time for cure.
In the event DTSM fails to cure in a timely manner, the City may exercise any remedies available under law or equity, including but not limited to:
a. Terminate this Agreement immediately by giving DTSM written notice thereof. b. City may take steps to cure the default and, to the extent permissible, recover costs incurred due to the default by retaining said costs from assessments collected by the City from property and business owners.
Exercise of either of the above remedies by City shall in no way limit City’s exercise of any other remedies existing at law or in equity.
10.2. Termination Without Cause.
a. Either party may terminate this Agreement immediately if the Santa Monica PBAD is dissolved pursuant to applicable state law upon written notice to the other party. b. DTSM may terminate this Agreement without cause, at anytime, during the term of the Agreement upon six (6) months’ written notice to the City.
10.3. Reversion of Funds and Property.
Upon termination of this Agreement, DTSM shall immediately convey to City all unspent funds within DTSM’s possession or control, whether such funds were originally from City or from other sources, together with an accounting of all financial obligations of DTSM at the time of termination. All furniture, equipment and supplies, and all other assets of DTSM, shall revert to the City at the termination of this Agreement.
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1961 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) SECTION 11. AVAILABILITY OF CITY INFORMATION.
Upon reasonable notice, the City will make available to DTSM all public documents at its disposal reasonably required to fulfill the purposes and intent of this Agreement, including census data, property ownership records, copies of maps, studies and professional consultant and City staff reports relevant to the Downtown. In addition, City shall make available to DTSM planning and marketing studies and economic analyses which affect the Downtown. DTSM shall have access to public records regarding any proposed development in the Downtown, or any development which would restrict vehicular or pedestrian access to the Downtown or otherwise materially affect the operation or management of the Downtown. Additionally, the City shall, upon reasonable notice, make available to DTSM non-confidential information concerning costs and revenues attributable to Downtown area facilities and programs available to DTSM.
SECTION 12. PURCHASING AND OTHER MONETARY OBLIGATIONS FOR OPERATION OF THE DOWNTOWN.
DTSM shall be solely responsible for costs and expenses incurred in connection with the satisfaction of its obligations under this Agreement, including, but not limited to, salaries, insurance and payroll taxes for its employees. DTSM shall also bear all costs for programmatic activities identified in the annual Work Plan and annual Budget, including, but not limited to, marketing, promotions and special events. However, DTSM shall not be responsible for payment of any property taxes, insurance, assessments or other costs associated with the ownership or operation of real property or the Public Areas of the Downtown, except as may be specifically required to be paid by DTSM pursuant to this Agreement or its annual budget, as approved by the City.
SECTION 13. COMPENSATION.
13.1. Annual Budget.
After deduction of administrative fees and any reservations for refunds owed to assessees or fee payers, as provided in this Agreement, City will provide DTSM the balance of assessment and fee revenues generated by businesses and property owners within the Downtown for purposes of performing services pursuant to this Agreement. Use of the funding shall be consistent with the Annual Plan required hereunder. Nothing herein shall be deemed to obligate the City to fund any specific amount of money for DTSM.
Consistent with the requirements of this Agreement and local, state and federal laws, as well as DTSM’s conflict of interest requirements, nothing in this Agreement shall otherwise preclude DTSM from accepting contracts or funding from various business improvement areas, assessment districts, private sponsorships for events or other sources of revenue. DTSM may accept such funding or contracts, provided that the purpose of these funds or contracts falls within the general purpose of the continued revitalization and promotion of the Downtown and is consistent with the purposes and intent to this Agreement.
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1962 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan)
13.2. Filming and Special Event Fees.
DTSM shall have the right and authority to collect filming and special event location fees in accordance with a fee schedule established by DTSM and approved by the City for filming and special events occurring Downtown. All film application fees shall be retained by the City.
DTSM shall provide the City with an accounting of all filming and special event fees collected as part of the annual DTSM budget.
13.3. No Naming Rights.
Nothing in this Agreement is intended to permit DTSM to allow any person, including any corporation to have the right to have his, her, or its name associated with the Downtown.
This Section shall not apply to sponsors of special or temporary events conducted pursuant to and consistent with the current Work Plan.
SECTION 14. DTSM OPERATING STANDARDS.
14.1. By-Laws
a. DTSM has adopted By-laws approved by City governing its operations, including procedures for amendment of said By-laws. Under the By-laws approved by the City on January 13, 2009, the By-laws may not be amended or repealed without prior written approval of at least seven (7) Directors. A copy of the By-laws is on file in the offices of DTSM. b. As a condition precedent to the effectiveness of this Agreement, DTSM shall amend its By-laws to provide that a person shall not qualify nor remain as a Director, if that person is an agent, representative, employee or volunteer of the owner of property or the owner of property not current in payment of special or general benefit assessments, fees or licenses imposed within the Downtown.
14.2. Nondiscrimination.
DTSM certifies and agrees that it will not discriminate against any employee or applicant for employment because of race, color, religion, national origin, ancestry, sex, marital status, age, sexual orientation, disability or condition of having AIDS, in accordance with the requirements of local, state and federal law. DTSM also agrees that it will provide equal opportunity to all employees and applicants without regard to race, color, religion, national origin, ancestry, sex, marital status, age, sexual orientation, disability or condition of having AIDS, in accordance with requirements of local, state and federal law. Such shall include, but not be limited to, the following:
a. Employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination, rates of pay or other forms of compensation; and b. Selection for training, including interns and apprentices.
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1963 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) c. DTSM agrees to post notices setting forth the provisions of this Section in conspicuous places in each of DTSM’s facilities providing services hereunder, available and open to employees and applicants for employment.
d. DTSM shall state, in all solicitations or advertisements for employees placed by or on behalf of DTSM , that all qualified applicants will receive consideration for employment without regard to race, color, religion, national origin, ancestry, sex, marital status, age, sexual orientation, disability or condition , in accordance with requirements of local, state and federal law.
e. In accordance with applicable state and federal law, DTSM shall allow duly authorized county, state, and federal representatives access to its employment records during regular business hours in order to verify compliance with the nondiscrimination provisions of this Section. DTSM shall provide such other information and records as such representatives may require in order to verify compliance with the nondiscrimination provisions of this Section.
If City finds that any of the provisions of this Section have been violated, the same shall constitute a material breach of this Agreement upon which City may determine to cancel, terminate, or suspend this Agreement. While City reserves the right to determine independently that the nondiscrimination provisions of this Agreement have been violated, a determination by the California Fair Employment and Housing Commission or the Federal Equal Employment Opportunity Commission that DTSM has violated State and Federal nondiscrimination laws shall constitute a finding by City that DTSM has violated the nondiscrimination provisions of this Agreement. DTSM will provide the City with a copy of its personnel policies manual which sets forth the policies governing transactions between employees and prospective employees and the DTSM relating to employment benefits and other personnel-related services.
DTSM shall not discriminate in any manner in providing the services set forth in this Agreement. All contracts or agreements entered into by DTSM shall comply with Title VI of the Civil Rights Act of 1964, 42 USC Section 2000d, and with Section 504 of the Rehabilitation Act, 29 USC Section 794. In accordance with these statutes and other federal, state, and local laws, no person in the United States shall, on the grounds of race, creed, color, disability, national origin, sex, age, marital status, sexual orientation, HIV/AIDS status, political affiliation or religious beliefs, be excluded from participation in, be denied the benefits of, or otherwise subjected to discrimination under any program or activity provided by DTSM. DTSM and any of its subcontractors shall adhere to all regulations set forth by the Americans with Disabilities Act (ADA). Any contracts awarded by DTSM shall comply with the terms of this Section.
14.3. Accounting Procedures.
DTSM shall maintain its books and records in accordance with generally accepted accounting principles (GAAP), and in such form as will facilitate accurate preparation of necessary fiscal reports and in such form as is otherwise acceptable to the City. DTSM may retain the services of a certified public accountant for assistance in this function. City shall have access to all of DTSM’s books, records, and accounts, including those records kept pursuant to Section 4 of this Agreement, and shall have the right to audit such books, records and accounts upon reasonable notice and during normal working hours.
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1964 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan)
14.4. Subcontractors.
DTSM will enter into contracts with subcontractors to perform, in part, the DTSM services contemplated under this Agreement. DTSM is responsible for the quality of all subcontractor work performed under this Agreement. DTSM is also responsible for ensuring that every subcontract or agreement of any kind entered into between DTSM and subcontractor (or between subcontractor and others) for or in connection with performance of services provided by DTSM under this Agreement will be consistent with this Agreement and Management Plan. DTSM shall submit to the City an executed copy of any and all agreements with subcontractors arising from or related to this Agreement. With respect to private security services for the Downtown, DTSM shall submit to the City a copy of the proposed agreement between DTSM and subcontractor for City review and approval by the City Manager prior to execution of the agreement. City Manager shall approve the proposed agreement provided that the proposed agreement is consistent with this Agreement.
DTSM may terminate and replace the services of any subcontractor that is performing services pursuant to annual work plans, subject to the prior written approval of the City.
Requests for subcontractors shall be submitted in writing, describing the scope of work to be contracted, the name of the proposed subcontractor, and the total price or hourly rates used in preparing an estimated cost for the subcontractor’s services. The City may issue approval of the subcontractor in the form of a Work Order.
14.5 Compliance with Laws and Management Plan. DTSM shall comply with all laws of the State of California and the United States, all ordinances, rules and regulations enacted or issued by City including, but not limited to, Articles 2 and 3, Division 2, Part 7, Chapter 1 of the Labor Code, State of California related to prevailing wage, apprentices, penalties and certified payroll.
14.6. Registration with the Department of Industrial Relations; Compliance Monitoring.
a. DTSM understands, acknowledges and agrees that no contractor or subcontractor may be listed on a bid proposal for a public works project (within the meaning of Labor Code section 1720) unless registered with the Department of Industrial Relations pursuant to Labor Code section 1725.5 with limited exceptions from this requirement for bid purposes only under Labor Code section 1771.1(a).
b. DTSM understands, acknowledges and agrees that no contractor or subcontractor may be awarded a contract for public work on a public works project (within the meaning of Labor Code section 1720) unless registered with the Department of Industrial Relations pursuant to Labor Code section 1725.5.
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1965 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) c. All public works projects (within the meaning of Labor Code section 1720) performed or caused to be performed by DTSM under this Agreement, or other agreement for services or improvements to be performed by DTSM under this Agreement, shall be subject to compliance monitoring and enforcement by the Department of Industrial Relations. d. In addition to any other indemnities provided to City under this Agreement, DTSM shall defend, indemnify and hold the City and its respective officers, employees and agents harmless against any penalties, claims, demands, judgements, damages, or costs, resulting or arising from the implementation of any public works project under the Maintenance Agreement, in violation of the Labor Code. This Section 4.4 shall survive termination of the Maintenance Agreement.
SECTION 15. INSURANCE AND INDEMNIFICATION.
15.1. Insurance Requirements for DTSM and Third Parties.
For the duration of the term of this Agreement, DTSM shall obtain insurance that, at a minimum, meets the requirements for insurance set forth in Exhibit C, Insurance Requirements.
For the duration of the term of this Agreement, every subcontract or agreement of any kind entered into between DTSM and a subcontractor (or between any DTSM contractor and others) shall require the subcontractor to provide the minimum scope and limits of insurance set forth in Exhibit C.
15.2 Indemnity by DTSM.
DTSM shall indemnify, save, protect, defend and hold harmless the City, its City Council, boards and commissions, agents, officers, representatives, employees, lenders and volunteers (collectively, the “City Indemnified Parties”) from any and all liability, claim, action, demand, proceeding, loss, damage, cost, expense, or injury to persons or property (collectively, “Indemnified Claims”) to the extent caused, claimed to be caused, in connection with, or arising from the act, errors, and/or omissions of DTSM or DTSM’s officers, agents, employees, subcontractors, and contractors, in the performance of the services or work required to be conducted by DTSM pursuant to this Agreement, except to the extent any Indemnified Claim is caused by the active negligence or willful misconduct of the City. DTSM’s obligation to indemnify, defend and hold harmless City Indemnified Parties does not extend to the maintenance, service, repair or condition of City owned facilities, streets, and sidewalks, unless the responsibility for such maintenance, repair or condition has been assumed by DTSM pursuant to the terms of this Agreement or Indemnified Claim is caused by the acts, errors, and/or omissions of DTSM or DTSM’s officers, agents, employees, subcontractors, contractors, in the performance of the services or work required to be conducted by DTSM pursuant to this Agreement. If any action or proceeding is brought against any of the City Indemnified Parties in connection with any Indemnified Claims indemnified by DTSM as set forth above, DTSM, upon notice from City, shall defend the same at DTSM’s expense with counsel approved by City, subject to the reasonable requirements of DTSM’s insurance carrier if defended by same, which ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1966 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) approval shall not be unreasonably withheld. It is understood and agreed that DTSM’s insurance set forth in Section 15.1, shall be the primary insurance in connection with the Indemnified Claims.
15.3. Third Party Indemnity
Except as otherwise approved in writing by the City, DTSM shall require that all written contracts that it enters into with contractors, subcontractors, indemnify, save, protect, defend, and hold harmless the City Indemnified Parties, DTSM and their respective officers, directors, agents, employees, and affiliates from any and all liabilities, losses and claims, and reimburse them for all expenses they incur (including the costs of litigation and reasonable attorneys' fees) on account of personal injury or death to persons and damage to property which occurs in the Downtown, to the extent caused by the acts, errors, and/or omissions or misconduct of such contractor, subcontractors, or employees or agents of such subcontractor, contractor, arising from or related to the performance of work or services it performs on or about the Downtown, or from such contractor or subcontractor’s property. Each contractor or subcontractor that DTSM employs hereunder shall pay for and defend any and all suits or actions threatened or instituted against DTSM or City Indemnified Parties, and shall pay all reasonable attorneys' fees, litigation costs and all other expenses in connection therewith, and shall promptly discharge any judgments arising therefrom. These conditions shall also apply to any work or operations subcontracted by such contractors or subcontractors. Such provisions shall expressly survive the expiration of any contracts in which they are contained. This Section 15.3 does not relieve DTSM from performing its obligations pursuant to Section 15.2, above.
15.4. Enforcement Costs. DTSM agrees to pay any and all costs the City incurs enforcing the indemnity, defense and hold harmless provisions set forth in this Section 15.
SECTION 16. MISCELLANEOUS.
16.1. Integrated Contract.
This Agreement represents the full and complete understanding of every kind or nature whatsoever between the parties hereto, and all preliminary negotiations and agreements are merged herein. No other verbal agreement, oral or written, or implied covenant shall be held to vary the provisions of this Agreement. Any modification of this Agreement will be effective only by written execution signed by both City and DTSM, and approved as to form by the City Attorney.
16.2. Delegation and Assignment.
DTSM shall not delegate or assign all or any portion of its rights or duties under this Agreement to any person, firm, or entity, except as may be specifically permitted by this Agreement. DTSM may subcontract work to fulfill its responsibilities under this agreement.
DTSM shall be responsible for the quality of all subcontractor work performed pursuant to this Agreement.
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1967 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan)
16.3. Notices.
All notices, demands, requests, consents, or approvals as may be required or permitted to be given under this Agreement shall be in writing and shall be sent via mail, or hand delivered, to the parties at the addresses set forth below.
To DTSM: Downtown Santa Monica, Inc.
Attention: CEO
1351 Third Street Promenade, Suite 201
Santa Monica, California 90401
To City: City of Santa Monica
Economic Development Division
Attention: Economic Development Manager
1901 Main Street, Suite E
Santa Monica, California 90405
With copies to:
City of Santa Monica
City Manager’s Office
1685 Main Street
Santa Monica, CA 90401
Attention: City Manager
City of Santa Monica
City Attorney’s Office
1685 Main Street, Room 310
Santa Monica, CA 90401
Attention: City Attorney
16.4. No Interest in Property.
This Agreement shall not be deemed at any time to be an interest in real property or a lien of any nature against the Downtown, the Third Street Promenade, or the real property upon which the Third St. Promenade improvements are erected. This clause shall be self-operative and no further instrument of subordination shall be required. The relationship of the City and DTSM shall not be that of a partnership, joint ventures, or otherwise of co-owners.
16.5. Other Services.
In addition to the services specifically set forth in this Agreement, DTSM shall perform from time to time such other services necessary or desirable for the operation, management, restoration, and continued revitalization of the Downtown as the City shall reasonably request and may be practicable within the DTSM annual budget.
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1968 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan)
16.6. Approvals.
All approvals requested or required to be given by either party hereto, unless a specific time frame is set forth in this Agreement, shall be given within thirty (30) days following delivery of the request for approval. All approvals shall be in writing.
16.7. Waiver.
A waiver by City of any breach of any term, covenant, or condition contained herein shall not be deemed to be a waiver of any subsequent breach of the same or any other term, covenant, or condition contained herein whether of the same or a different character.
16.8. Governing Law.
This Agreement has been made and shall be construed and interpreted in accordance with the laws of the State of California.
16.9. Compliance with Applicable Law.
DTSM shall perform all of the services set forth in this Agreement in complete accordance with all applicable municipal, state or federal laws, ordinances, rules and regulations.
16.10. Survival of Provisions and Obligations.
Any provision of this Agreement, which by its nature must be exercised after termination of this Agreement, will survive termination and remain effective for a reasonable time. Any obligation that accrued prior to termination of this Agreement will survive termination of this Agreement.
16.11. Severability.
If any term or provision, or any portion thereof, of this Agreement, or the application thereof to any, person or circumstances shall, to any extent, be invalid or unenforceable, the remainder of this Agreement, or the application of such term or provision to persons or circumstances, other than those as to which it is held invalid or unenforceable, shall not be affected thereby, and each term and provision of this Agreement shall be valid and be enforced to the fullest extent permitted by law.
16.12. Venue and Jurisdiction.
City and DTSM agree that any litigation arising out of this Agreement may only be brought in either the unites States District Court, Central District of California, or the Superior Court of California, County of Los Angeles, West District, as appropriate. The parties agree that venue exists in either court, and each party expressly waives any right to transfer to another venue. The parties further agree that either court will have personal jurisdiction over the parties to the is Agreement.
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1969 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan)
16.13. Independent Parties.
Both parties to this Agreement will be acting in an independent capacity and not as agents, employees, partners, or joint venturers of one another. Neither the City nor its officers or employees have any control over the conduct of DTSM or any of DTSM’s agents, employees, or subcontractors, except as otherwise provided herein.
16.14. Execution in Counterparts.
This Agreement, and all amendments and supplements to it, may be executed in counterparts with the same effect as if both parties hereto had executed the same document. All counterparts shall be construed together and shall constitute a single document. Any signature to this Agreement transmitted electronically through DocuSign, PDF, or other electronic form shall be deemed an original signature and be binding upon the parties hereto (it being agreed that such electronic signature shall have the same force and effect as an original signature).
16.15. Cost of Litigation.
If any legal action is necessary to enforce any provision of this Agreement or for damages by reason of any alleged breach of any provision of this Agreement, the prevailing party will be entitled to receive from the losing party all reasonable costs, disbursements, and expenses, and such amount as the court may adjudge to be reasonable attorney fees.
16.16. Permits and Licenses.
DTSM, at its sole expense, shall obtain and maintain during the term of this Agreement all required business and professional permits, licenses, and certificates that are required to perform its obligations under this Agreement.
16.17. City’s Proprietary Capacity.
DTSM agrees that City, in making and entering into this Agreement, the City is also acting in City’s proprietary capacity for all purposes and in all respects. Nothing contained in this Agreement may be deemed directly or indirectly to restrict or impair in any manner or respect whatsoever any of City’s governmental powers or rights or the exercise thereof by City, whether with respect to the Parking Structures Licensed Areas or DTSM’s use thereof or otherwise. It is intended that DTSM must fulfill and comply with all requirements as may be imposed by any governmental agency or authority of City having or exercising jurisdiction over the Parking Structures Licensed Areas in its governmental capacity.
16.18. Captions and Headings.
The Section captions and headings are for convenience of reference only and in no way shall be used to construe or modify the provisions set forth in this Agreement.
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1970 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan)
16.19. Recitals and Exhibits.
The Recitals set forth above and the following Exhibits shall be included as a term of this Agreement and are incorporated herein by reference:
Exhibit A: Downtown Santa Monica Map
Exhibit B: FY 2023-24 Work Plan (includes DTSM Management Plan Services and City Baseline Service Matrices)
Exhibit C: Insurance Requirements
IN WITNESS WHEREOF, the parties have executed this Agreement as of the day and year first above written.
CITY OF SANTA MONICA,
a municipal corporation
By: ____________________________
DAVID WHITE
City Manager
APPROVED AS TO FORM:
__________________________
DOUGLAS SLOAN
City Attorney
ATTEST:
__________________________
DENISE ANDERSON-WARREN
City Clerk
DOWNTOWN SANTA MONICA, INC.,
a non-profit public benefit corporation
By: ________________________________
Chair
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1971 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Mall Assessment Area
Lincoln Expansion
Colorado Overlay
Central Business
Improvement District
Zones 1-3 = DTSM PBAD
Downtown Santa Monica
Exhibit A - DTSM Map
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1972 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) DOWNTOWN SANTA MONICA, INC.
ANNUAL WORK PLAN + BUDGET FY2023/24
1 Exhibit B - DTSM Work Plan
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1973 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Table of Contents
Introduction...................................................................................................................................................................3 Services..................................................................................................................................................................... 4 Strategic Priorities..................................................................................................................................................... 4 Fiscal Year 2023/2024 Budget and Allocations.........................................................................................................5 Operations and Public Space Management...................................................................................................... 5 Public Safety....................................................................................................................................................... 5 Advocacy and Oversight................................................................................................................................. 5 Parking Structure Custodial Maintenance......................................................................................................6 Enhanced Custodial Maintenance................................................................................................................. 6 Parks Attendants, Restroom Monitoring, and Social Outreach....................................................................6 Placemaking and Beautification..................................................................................................................... 6 Communications, Events, & Development...........................................................................................................7 Community Events and Activations.................................................................................................................7 Partnerships.........................................................................................................................................................7 Public Relations and Promotions...................................................................................................................... 7 Economic Development and Advocacy....................................................................................................... 7 Data and Research........................................................................................................................................... 8 Communications and Outreach..................................................................................................................... 8 Organizational Management................................................................................................................................ 9 Administrative Functions................................................................................................................................... 9 Professional Support...........................................................................................................................................9 Board and Staff Education and Development.............................................................................................. 9 Exhibit A - FY23-24 Budget.....................................................................................................................................10 Exhibit B - District Boundary Map..........................................................................................................................11 Exhibit C - Downtown Parking Structures Licensed Area.................................................................................. 12 Board Directory...................................................................................................................................................... 15 Staff Directory......................................................................................................................................................... 15 DTSM, Inc. Operations Enhanced Maintenance Schedules.................................................................................. 16 Parking Structure Maintenance Schedule.................................................................................................... 16 Lincoln Blvd and Colorado Ave Maintenance Schedule...........................................................................16 Pressure Washing Schedule............................................................................................................................ 17 Restroom Monitoring Schedule...................................................................................................................... 17 General Maintenance Schedule................................................................................................................... 18 Activity Frequency........................................................................................................................................... 18 City of Santa Monica Public Works Maintenance Service Matrix....................................................................19 2 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1974 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) DOWNTOWN SANTA MONICA, INC.
FY2023-24 OPERATIONAL PLAN
Introduction
It is the mission of Downtown Santa Monica, Inc. ( DTSM, Inc.) to manage services and operations in Downtown Santa Monica while promoting economic stability, growth and community life within this unique neighborhood. To produce a strong and vibrant pedestrian-oriented downtown, DTSM, Inc. leverages its services, relationships and expertise to develop, implement, and maintain various programs for enhanced maintenance and security, marketing, events, promotions, and economic vitality to benefit Downtown Santa Monica.
To meet the challenges facing Downtown Santa Monica in Fiscal Year 2022/2023, DTSM, Inc. reset its strategic priorities to focus on the foundations of a successful downtown: public safety, creating a clean and welcoming environment, activating a vibrant public space, and advocating for policies that support the business community. Meeting these goals remains the urgent focus of DTSM, Inc. in Fiscal Year 2023/2024, and this is reflected in this Operational Plan and budget. 3 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1975 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Services
DTSM, Inc. is contracted by the City of Santa Monica to provide services to the district.
As representatives of Downtown stakeholder interests in these challenging times, the need for DTSM, Inc. to deliver is greater than ever. DTSM, Inc. functions are as follows:
1. Advising the City of Santa Monica on all matters related to Downtown
2. Advocating on behalf of all Downtown stakeholders
3. Providing marketing and promotional services, and programming events and activations
4. Providing enhanced maintenance and public safety services Strategic Priorities
In Fiscal Year 2022/2023, the DTSM, Inc. Board of Directors determined its strategic priorities. These priorities remain the points of emphasis for DTSM, Inc. in Fiscal Year 2023/2024, and are as follows:
1. Evaluate, and seek to amend, the Services Agreement between DTSM, Inc. and the City of Santa Monica
2. Improve the experience in the Downtown parking structures by evaluating services and conditions and making recommendations in the areas of management, maintenance, custodial, and revenue management
3. Impact public safety in Downtown Santa Monica through advocacy and practical measures
4. Reactivate public spaces in Downtown through events, activations, and improving the process in which businesses can open and operate in Downtown
5. Address issues relating to infrastructure and management in the Downtown
6. Work to build support from Downtown Stakeholders through communications, outreach, and coalition-building
In Fiscal Year 2022/2023, DTSM, Inc. began executing on its strategic priorities. The DTSM, Inc. Board of Directors passed recommendations to amend its Services Agreement with the City of Santa Monica. Cosmetic and infrastructure improvements are now happening in Downtown parking structures. DTSM, Inc. is poised to introduce a supplemental private security team. Community events and the Santa Monica Ice Rink returned, and communications with stakeholders and promotions for our local businesses improved.
Delivering on these strategic priorities continues in Fiscal Year 2023/2024. 4 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1976 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Fiscal Year 2023/2024 Budget and Allocations
The DTSM, Inc. Board of Directors approved a budget of $10,629,733.21 for the fiscal year 2023/2024. DTSM, Inc. anticipates receiving $10,208,033 in revenue from property-based assessments, business license taxes, and income from enterprise programs. The Board determined to use $421,700.21 of reserve funding to pay for the total expenditures for the fiscal year. (See Attachment A, page 10.) The 2023/2024 budget contains allocations for Organizational Management, Communications, Events, and Development, and Operations and Public Space Management. The descriptions of these allocations, and their unique directives, are as follows:
Operations and Public Space Management
A clean, safe, and welcoming environment is the foundation for success in Downtown Santa Monica. DTSM, Inc. provides enhanced services in the areas of public safety, custodial maintenance, and social outreach, while also providing oversight of City of Santa Monica services. Together, DTSM, Inc. and the City of Santa Monica fulfill the responsibility of creating a thriving and inviting community space for everyone.
Operations and Public Space Management services make up 69.83% of the DTSM, Inc. budget and include the following directives:
Public Safety
● Support the City of Santa Monica’s public safety officials in their efforts to keep Downtown safe
● Advocate on behalf of Downtown Santa Monica with City, County, and other government agencies charged with managing public safety to ensure they maintain a regular presence in Downtown
● Fund and oversee private security personnel deployed in Downtown Santa Monica
● Facilitate communication between parties engaged in preserving the safety of Downtown public spaces
Advocacy and Oversight
● Advise the City of Santa Monica on operations and services in the public right-of-way. Advocate for maximum effectiveness and efficiency in managing public resources
● Advise the City of Santa Monica on operations and services in public parking 5 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1977 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) resources. Advocate for maximum effectiveness and efficiency in managing public parking resources
● Collaborate with the City of Santa Monica and related service vendors to ensure compliance with maintenance standards established by all parties working in the public right-of-way and on public property Parking Structure Custodial Maintenance
● Provide custodial maintenance services for Downtown public parking structures in accordance with the Maintenance Services Agreement between DTSM, Inc. and the City of Santa Monica (See Attachment B: Services Matrix) Enhanced Custodial Maintenance
● Provide enhanced custodial services to support a clean, active, and well-managed Downtown (See Attachment B: Services Matrix) ● Conduct regular power washing and as-needed hot spot cleaning of key public spaces, including sidewalks, crosswalks, and alleys
● Promptly remove graffiti from public and private property and notify private property owners of other identified maintenance concerns and safety hazards Parks Attendants, Restroom Monitoring, and Social Outreach ● Ensure a positive visitor experience in Downtown parking structure restrooms and in Downtown-adjacent parks by providing attendants and custodial maintenance services
● Deploy a Homeless Outreach Coordinator and Quality of Life team to work strictly in the Downtown District to collaborate with other advocacy groups and service providers to expedite services for individuals in need ● Partner with the City of Santa Monica and other community organizations in supporting initiatives to combat crime and homelessness Placemaking and Beautification
● Create engaging streetscapes and pedestrian spaces through the preservation of existing assets and investments in infrastructure, landscaping, amenities, and creative placemaking
● Participate in planning beautification and improvement projects for streets, sidewalks, and alleys across the district
● Work with the City of Santa Monica to maximize multi-modal transportation access and wayfinding in Downtown Santa Monica for all visitors ● Monitor permits for large-scale maintenance and construction, street and alley closures, and Third Street Promenade vehicle access. Mitigate impacts of temporary closures and provide advance communication to district 6 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1978 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) stakeholders
● Collaborate with the City of Santa Monica to provide active street vendor management for Third Street Promenade and other public spaces ● Create, manage, and oversee Downtown decor and lighting programs Communications, Events, & Development
DTSM, Inc. furthers the reputation and economic vitality of Downtown Santa Monica and the Third Street Promenade through consistent branded communications, hosted and facilitated events, and economic development.
Communications, Events & Development services make up 23.21% of the DTSM, Inc. budget and include the following directives:
Community Events and Activations
● Produce a full calendar of events, programming and holiday activities to activate and encourage visitorship to the Downtown area year-round ● Facilitate third-party events and activations on Third Street Promenade in partnership with the City of Santa Monica
● Facilitate filming in the Downtown in partnership with Film L.A.
Partnerships
● Identify partnerships, sponsorships, and other funding opportunities for key programs supporting or enhancing Downtown Santa Monica
● Partner with Santa Monica Travel & Tourism, the Santa Monica Chamber of Commerce, and other local organizations to support tourism, economic development, and community engagement
Public Relations and Promotions
● Produce advertising and promotional campaigns to drive brand awareness and foot traffic to Downtown
● Produce and implement a 12-month public relations plan to reinforce the Downtown Santa Monica brand and keep Third Street Promenade top of mind for local visitors
● Strengthen local media relations by building and maintaining relationships with local editors and journalists
Economic Development and Advocacy
● Seek supplemental and diversified revenue streams to enhance programs and services. Maximize revenues generated by Downtown Santa Monica, Inc. 7 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1979 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) events and activations
● Create and oversee licensed operations in public space including community benefit activations, vendor management, and new programs ● Preserve the Downtown Santa Monica and the Third Street Promenade competitive advantages and economic viability through planning and advocating for reinvestment in short term and long-term capital improvements ● Maximize the utility of private properties abutting the Third Street Promenade through zoning and ordinance changes, a streamlined permitting processes and support for tenant selection by owners
● Advocate for new and existing revenues to fund maintenance, operations, and capital improvements in Downtown Santa Monica. Revenue generating opportunities include advertising, new technology, and new funding sources (Enhanced Infrastructure Financing District)
● Advocate on behalf of property and business owners on matters contributing to the overall vitality of business Downtown. Advise the City Council and its boards, commissions, and staff on development of policies, plans and ordinances impacting the trajectory of Downtown
Data and Research
● Produce regular data-driven reports to inform the decisions of DTSM, Inc. and support the Downtown community
● Position Downtown Santa Monica, Inc. as a central source of information on all aspects related to Downtown, including the economic vitality and market potential
● Track, analyze, and advise the City Council and its boards, commissions, and staff on public and private development projects
Communications and Outreach
● Develop a communications and marketing strategic plan to reintroduce Downtown Santa Monica to stakeholders, reinforce Downtown Santa Monica’s brand positioning as a premier beach destination, and reposition Third Street Promenade as an experience-based destination
● Manage and produce content for Downtown Santa Monica’s communication channels including website, newsletters and social media ● Launch new and maintain existing stakeholder communications, such as newsletters and reports, to provide timely and relevant information ● Host stakeholder meetings to share updates on programs, collaborative opportunities and other essential information
● Produce a data-driven annual report to highlight the achievements of DTSM, Inc. in the prior fiscal year
● Conduct stakeholder surveys and program evaluations as needed to maximize 8 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1980 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) the effectiveness of all DTSM, Inc. programs
Organizational Management
DTSM, Inc. is an efficient and effective organization that employs a professional staff to manage relationships and services that support Downtown Santa Monica. These functions require centralized administrative support funded through revenues received by DTSM, Inc. throughout the fiscal year. Organizational Management services make up 6.96% of the DTSM, Inc. budget and include the following directives:
Administrative Functions
● Maintain a professional office for a staff dedicated to providing a high caliber of service while adhering to all required compliance standards ● Provide public meeting space for the Board and committees Professional Support
● Ensure proper insurance coverage and protect the organization from risk ● Administer financial functions for the organization including preparing quarterly financial management reports, conducting an annual audit, and managing internal accounting functions
Board and Staff Education and Development
● Conduct regular staff training and create opportunities for professional development and continuing education, including ongoing coaching and performance feedback
● Create opportunities for strategic and organizational planning and educational opportunities for members of the Board of Directors
9 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1981 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Exhibit A - FY23-24 Budget
10 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1982 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Exhibit B - District Boundary Map
The boundaries of the Downtown Santa Monica district extend from the east side of Ocean Ave to the east side of Lincoln Blvd. and from the I-10 freeway to the commercial parcels immediately north of Wilshire Blvd.
11 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1983 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Exhibit C - Downtown Parking Structures Licensed Area
12 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1984 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) 13 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1985 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) 14 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1986 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Board Directory
Chair Eric Sedman
Vice Chairs Michele Aronson
Joshua Gilman
Julia Ladd
Peter Trinh
Secretary/Treasurer Barry Snell
Board Members Luke Cain
Bruce Fairty
Anuj Gupta
Ericka Lesley
Leo Pustilnikov
Lucian Tudor
Lora Vrastil
Staff Directory
Chief Executive Officer Andrew Thomas
Director of Marketing and Partnerships Ariana Gomez
Director of Operations and Placemaking Jeremy Ferguson
Special Events Manager Laura Borsecnik
Business & Community Development Manager Martin Ronzio-Garcia Public Space Manager Fatima Fazal
Community Engagement Manager Julia Moser
Data and Research Manager Michael Lin
Administrative Office Manager Victor Greenwood
15 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1987 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) DTSM, Inc. Operations Enhanced Maintenance Schedules
Parking Structure Maintenance Schedule
The following duties are performed in Parking Structures 1,2,4,5 and 6 during the stated shifts. (Note: Duties and shifts subject to change based on need.) Shift time from 10:00 p.m. – 6:30 a.m.
Run M30 Sweeper/Scrubber vehicle on a rotational schedule in all structures Close all restrooms for deep cleaning floor-to-ceiling
Sweep, mop, and wipe down all stairwells and landing areas Conduct pan and broom maintenance throughout structures Document maintenance issues for reporting
Shift time from 8:00 a.m. - 4:30 p.m.
Clean restrooms (empty trash, clean toilets/urinals, clean sinks, counters, mirrors, and replenish toiletries as needed)
Remove, or paint over, graffiti
Remove debris as needed
Conduct pan and broom maintenance as needed
Shift time from 2:30 p.m. – 11:00 p.m.
Clean restrooms daily (empty trash, clean toilets/urinals, clean sinks, counters, mirrors, replenish toiletries as needed
Sweep/mop restroom as needed
Pull all trash (2/3rds full) and replace bags on every level of parking structures and wipe down cans Wipe down all structure interior signage as well as fire and electrical boxes Remove or paint over any graffiti that is reported or found Clean up all spills as necessary
Conduct pan and broom maintenance as needed
Lincoln Blvd and Colorado Ave Maintenance Schedule
Lincoln Blvd Shift time from 7:00 a.m. – 6:00 p.m.
Sweep and clean all sidewalks on east and west side of Lincoln Blvd from Colorado to Wilshire Wipe down and clean all public infrastructure as needed Document maintenance issues for reporting
16 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1988 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Colorado Ave Shift time from 8:00 a.m. – 9:30 p.m.
Sweep and clean sidewalks on north and south side of Colorado Ave from Ocean Ave to Lincoln Blvd Wipe down and clean all public infrastructure as needed Document maintenance issues for reporting
Pressure Washing Schedule
Enhanced Maintenance – Pressure Washing & Deep Cleaning in Downtown DTSM, Inc. conducts pressure washing and deep cleaning services throughout various locations in Downtown. Services are planned to be deployed in accordance with the following minimum schedule, which may be adjusted as resources permit.
Activity Frequency
Zone 1: Third Street Promenade Intersections 4x Annually Zone 1: Alleys (2nd & 3rd Courts) Once a week
Zone 2: Alleys Once a week
Zone 3: Alleys Once every 2 weeks
Zone L: Lincoln Blvd. Sidewalks 4x Annually
Downtown Hotspots (Areas of Need) As Needed
Parking Structure Stairwells (Areas of Need) Once a week Restroom Monitoring Schedule
The following restrooms are monitored and provided ongoing custodial services during all hours of public operation. (Per matrix, wipe downs every 15 minutes light cleaning twice a day, and deep cleaning nightly)
● Parking Structure #2 (during Farmer’s Market)
● Parking Structure #4
● Parking Structure #5
● Tongva Park
● Reed Park
17 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1989 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) General Maintenance Schedule
In order to care for infrastructure and improve the aesthetic of Downtown’s public spaces, DTSM completes the following routine maintenance activities during the course of a year.
Activity Frequency
Paint Public Infrastructure As Needed
Dinosaur Landscaping Refresh / Replant Quarterly/As
Needed
Dinosaur Fountain Maintenance Semi-Weekly/As
Needed
Vector Management Monthly/As
Needed
Tree Light Maintenance As Needed
Promenade Paver Repair As Needed
Sweep and remove trash from Alleys As Needed
18 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1990 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) City of Santa Monica Public Works Maintenance Service Matrix The following pages contain a matrix outlining the services in Downtown provided by the Promenade Maintenance team of the City of Santa Monica Public Works Department. It is the responsibility of DTSM, Inc. to ensure maintenance work meets or exceeds the minimum levels of service established on creation of the assessment district.
Section - 3rd Street Promenade:
From the north side of Wilshire to the south side of Broadway Shifts: Effective
1 = 5:00am to 1:30pm. 7 days a week
2 = 2:00 p.m. to 10:30 p.m. 7 days a week
3 rd Street Promenade Maintenance:
Service Description Frequency Shift
Pedestrian Walkways:
Sweeper
Scrubber
Pressure Washer
Pre-treat stains and
spot pressure wash
Picks up large debris
Picks up small debris, applies
degreaser, scrubs pavement
& recovers excess water
Steam cleans in places
scrubbers can’t reach
Degreaser applied with
hand-sprayer
Once daily, 7 days a week
Once daily, 7 days a week
Once daily, 5 days a week
As needed
1 1
1 1
Monitoring Walk site, sweep & remove
debris
• Daily and as needed 1 or 2
Drinking Fountains (7) Spray & wipe • Daily and as needed 1 or 2 19 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1991 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Section - 3rd Street Promenade, Promenade Maintenance, Cont’d.
Service Description Frequency
Trash Containers (40) Wipe top, remove trash,
replace bag
• Four times daily, Mon. – Thu.
• Five times daily, Fri. – Sun. &
Holidays
Trash Container Liners (40) Steam clean/wipe down
from the inside &
deodorize
• Weekly as needed
Stainless Steel Bollards (27) Spray & wipe, steam
clean
• Once daily
Directories (7) Spray & wipe • Once daily
Sculptures (9) Spray & wipe • Once daily, as needed
Graffiti Remove • As needed
Dinosaur Pools (4) Remove debris • As needed
Special Events Extra trash containers &
general maintenance
frequencies
• As needed
Spot Cleaning &
Customer Calls
Additional cleanings,
graffiti, broken glass,
animal waste, etc.
• As needed
Off Duty
Emergency Call-outs
Oil spills, electrical, water,
accidents, etc.
• As needed
20 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1992 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Section – 3rd Street, Public Landscape:
Service Description Frequency Shift
Tree Trimming 3,790 sq. ft.
(154)
Regular • Once, yearly (spring) Mariposa
Tree Well Maintenance
3,790 sq. ft. (154)
Inspect for grate or
decomposed granite
displacement and/or debris &
litter
Clean debris, reset tree grates
• Daily
• As needed, based
upon inspections
Landcare
Succulents & Topiaries
(Dinosaur fountain
planters)
2,000 sq. ft.
Prune & shape topiaries
Weed and detail succulent
beds
• Once every six weeks
• Weekly, as needed
Landcare
Irrigation Inspection Check system and controller
for proper settings
• Weekly, as needed Landcare/ In
House
Fountain Maintenance Maintain fountains and
provide cleaning service for
the Topiary pools
• Twice weekly California
Waters
21 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1993 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Section - Parking Structures:
Shifts: Effective 1/1/15
1 = 5:00 a.m. to 1:30 p.m. 7 days a week
2 = 2:00 p.m. to 10:30 p.m. 7 days a week
Parking Structures (Civic, Main Library and Ken Edwards) Promenade Maintenance:
Service Description Frequency Shift
Bin Rooms
PS 1-6
Pressure wash, degrease, or
scrub. Organize trash and
recyclables.
• Once daily, 7 days a
week
• Once 7 days a week
1 or 2
Clarifiers:
Structures 2-6
Clean out sludge
Remove restaurant grease
• Monthly
• As needed, contracted
(Facilities)
Contractor
Parking Structures, Public Landscape:
Service Description Frequency Shift
Planter
Maintenance
(ground level
planters in Structure
1 only) 5,900 sq. ft.
Pick up litter & debris
Water plants
Prune shrubs
• Daily
• Manually, as needed
weekly
• Every 6 weeks
Landcare
22 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1994 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Section – Colorado Blvd., Arizona Avenue & Wilshire Boulevard:
Sidewalks on both sides of streets from east side of Ocean Avenue to alley between 5thand 6th Streets.
Ocean Ave east side, 2nd and 4th Streets both sides:
Sidewalks on both sides of streets from north of Wilshire Boulevard to south of Colorado Avenue.
Shifts: Effective 1/1/15
1 = 5:00 a.m. to 1:30 p.m. 7 days a week
2 = 2:00 p.m. to 10:30 p.m. 7 days a week
Colorado Blvd., Arizona Avenue & Wilshire Boulevard, 2nd & 4th Streets, Promenade Maintenance Service Description Frequency Shift
Pedestrian Walkways:
Sweeper
Scrubber (South Side)
Pressure Washer
Pre-treat stains/spot
pressure washing
Picks up large debris
Picks up small debris, applies
degreaser, scrubs pavement
& recovers excess water
Steam cleans in places
scrubbers can’t reach
Degreaser applied with
hand-sprayer
• 5 x a week
• 3 x a week Once
daily
• 4 x a week
1 1
1 1
Monitoring Walk site, sweep & remove
debris
• Daily, as needed 1 & 2
Bus Stop Steam clean • As needed 1 & 2
23 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1995 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Trash Containers (74) Wipe top, remove trash, replace
bag
• Twice daily, as
needed
1 & 2
Trash Container Liners
(74)
Steam clean & deodorize • As needed 1 or 2
Section - Colorado Blvd., Arizona Avenue & Wilshire Boulevard and Ocean Ave., 2nd& 4 th Streets, Promenade Maintenance, Cont’d.
Service Description Frequency Shift
Tree Wells Rake out debris & weed out • As needed 1 or 2 Spot Cleaning &
Customer Calls
Additional cleanings, graffiti,
broken glass, animal waste, etc.
• As needed, 7
days a week
1 & 2
Off Duty
Emergency Call-outs
Oil spills, electrical, water,
accidents, etc.
• As needed
24 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1996 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Section - Public Landscape,
2 ND & 4th Street
Service Description Frequency Shift
Tree Trimming (182) Regular • Every 2 years West Coast
Arborists
Tree Well Maintenance
(182)
Backfill tree wells with
decomposed granite
• As needed 1 or 2 and
PLD
Arizona Ave.
Service Description Frequency Shift
Tree Trimming (46) Regular • Every 2 years West
Coast
Arborists
Tree Well Maintenance
(61)
Backfill tree wells with
decomposed granite
• As needed 1 & 2
Wilshire Blvd.
Service Description Frequency Shift
Tree Trimming (66) Regular • Every 2 years West
Coast
Arborists
25 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1997 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Section - Transit Mall:
Sidewalks on both sides of the streets:
• Broadway east side of Ocean Avenue to alley between 5thand 6th Streets. • Santa Monica Boulevard from east side of Ocean Avenue to alley between 5th and 6th Streets.
Shifts: Effective 1/1/15
1 = 5:00 a.m. to 1:30 p.m. 7 days a week
2 = 2:00 p.m. to 10:30 p.m. 7 days a week
Transit Mall, Promenade Maintenance:
Service Description Frequency Shift
Monitoring Walk site, sweep & remove
debris
• Daily 1 & 2
Benches (241) Spray & wipe, polish wood • Once daily, as needed
1 or 2
Drinking Fountains (3) Spray & wipe • Daily, as needed 1 or 2 Trash Containers (36) Wipe top, remove trash,
replace bag
• Four times daily 1 & 2
Trash Container Liners
(36)
Steam clean & deodorize • As needed 1
Bollards (40) Spray, wipe & polish • Once daily, 5 days a week
1 or 2
Informational Signs (6) Spray & wipe • Once daily, 5 days a week
1 or 2
26 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1998 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Arbors (6) Spray & wipe • Once daily, 5 days a
week
1 or 2
Graffiti Monitor & Remove • As needed 1 & 2
Spot Cleaning & Customer
Calls
Additional cleanings,
graffiti, broken glass,
animal waste, etc.
• As needed 1 & 2
Off Duty
Emergency Call-outs
Oil spills, electrical, water,
accidents, etc.
• As needed
Section - Transit Mall, Public Landscape:
Service Description Frequency Shift
Tree Trimming
(193)
Regular • Every 2 years West Coast
Arborists
Tree Well Maintenance Inspect for grate
displacement and/or
debris & litter
Clean debris, reset tree
grates
• Daily
• As needed, based
upon inspections
Landcare /
PLD
Irrigation Inspections Check system and
controller for proper
settings
• Weekly Landcare /
PLD
Monitoring Remove debris from tree
wells
• Daily Landcare
27 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 1999 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Section – Colorado, Broadway, Santa Monica Blvd., Arizona Avenue & Wilshire Boulevard:
Sidewalks on both sides of streets from east side of 5th to the alley east of 7th St. 5 th, 6th and 7th Streets:
Sidewalks on both sides of streets from north of Wilshire Boulevard to south of Colorado Avenue.
Service Description Frequency Shift
Pedestrian Walkways:
Sweeper
Scrubber
Pressure Washer
Pre-treat stains/ and spot
pressure wash
Picks up large debris
Picks up small debris,
applies degreaser, scrubs
pavement & recovers
excess water
Steam cleans in places
scrubbers can’t reach
Degreaser applied with
hand-sprayer
• Twice weekly
• Once every three
weeks
• Once every three
weeks
• as needed
1 1
1 1
Monitoring Walk site, sweep &
remove debris
• As needed 1 or 2
Tree Well Maintenance Clean debris
Remove and spray for
weeds
• Daily, as needed
• As needed, based
upon inspections
1 1
28 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 2000 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Section - Alleys:
● 1
st Court: Between Ocean Avenue & 2nd Street from north side of Wilshire Boulevard to south side of Colorado Avenue.
● Mall Court West: Between 2nd Street and 3rd Street from north side of Wilshire Boulevard to south side of Broadway.
● Mall Court East: Between 3rd Street and 4th Street from north side of Wilshire Boulevard to south side of Broadway.
● 4
th Court: Between 4thand 5th Streets from north side of Wilshire Boulevard to south side of Colorado Avenue.
● 5
th Court: Between 5th Street and 6th Street from north side of Wilshire Boulevard to south side of Colorado Avenue.
● 6
th Court: Between 6th Street and 7th Street from Colorado to Wilshire ● 7
th Court: Between 7th Street and Lincoln Blvd. from Colorado to Wilshire Shifts: Effective 1/1/15
1 = 5:00 a.m. to 1:30 p.m. 7 days a week
2 = 2:00 p.m. to 10:30 p.m. 7 days a week
2:00 p.m. to 10:30 p.m.
Alleys, Promenade Maintenance:
Service Description Frequency Shift
Mall Court East & West
Sweeper/ Mobile
Vacuum / scrubber
Picks up small debris, applies
degreaser, scrubs pavement &
recovers excess water
• 5 days a week 1
Monitoring Walk site, sweep & remove debris • Daily 1 & 2 Spills Apply absorbent, pressure wash
and scrub
• As needed
Spot Cleaning
& Customer Calls
Discarded furniture, appliances,
spills, etc.
• As needed 1 & 2
Graffiti Monitor & Remove • As needed 1 & 2
29 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 2001 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Weed suppression Remove weeds • As needed,
based upon
inspections
1 or 2
Off Duty
Emergency Call-outs
Toxic spills, electrical, water,
accidents, etc.
• As needed 1 & 2
Section Six - Alleys, Promenade Maintenance, Cont’d.
Service Description Frequency Shift
1stt , 4th, 5th, 6th & 7th
Courts:
Mobile Vacuum Vacuums debris from large areas • 5 days a week 1 Monitoring Walk site, sweep debris • Once daily 1 & 2
•
Spot Cleaning
& Customer Calls
Discarded furniture, appliances,
spills, etc.
• As needed 1 & 2
Graffiti Remove • As needed 1 & 2
Off Duty
Emergency Call-outs
Oil spills, electrical, water,
accidents, etc.
• As needed 1 & 2
Weed suppression Remove weeds • As needed,
based upon
inspections
1 or 2
30 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 2002 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Section – Colorado Ave. Esplanade:
From east side of 4th St. to the east side of Ocean Ave Service Description Frequency Shift
Pedestrian Walkways:
Sweeper
Sweeper / scrubber
Pressure Washer
Pre-treat stains and spot
pressure wash
Picks up large debris
Picks up small debris, applies
degreaser, scrubs pavement &
recovers excess water
Steam cleans in places
scrubbers can’t reach
Degreaser applied with
hand-sprayer
• Once daily, 7 days
a week
• Once daily, 7 days
a week
• Once daily, 5 days
a week (Mon., Tue.,
Thu., Fri., Sat.)
• As needed
1 1
1 1
Monitoring Walk site, sweep & remove
debris
• Daily and as
needed
1 or 2
Trash Containers Wipe top, remove trash,
replace bag
• 4 times daily
•
1 or 2
Trash Container Liners Steam clean / wipe down from
the inside & deodorize
• As needed 1 or 2
Graffiti Remove
• As needed 1 or 2
Landscape General Maintenance-using
current maintenance
specifications requirements
Landcare
31 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 2003 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Department of Transportation
Downtown Parking Facility Maintenance Matrix
Parking Division Fall 2022 (9/19/2022 Rev. 3)
The Parking Division of the Department of Transportation conducts several related activities in support of Downtown Santa Monica Clean and Safe Initiatives. These operational efforts include:
● SP+ parking contract tasks related to cleanliness and monitoring of facilities ● City Staff inspection roles and management of resources applied to clean and safe activities
● Funding of interdepartmental efforts to provide for basic and enhanced security and cleanliness measures,
● Periodic evaluation of effectiveness of anti-littering, graffiti, and human soiling countermeasures to adapt to changing conditions, and ● Regular collaboration and meeting with DTSM and Public Works – Promenade Maintenance partners to solution more effective and joint cleanliness and safety countermeasures.
The role of the parking contractor, SP Plus, Inc. in accomplishing basic clean and safe measures is significant and are done over three daily work shifts. The following tables describe specific tasks accomplished by SP+.
SP Plus, Inc. – Working Shifts: Effective 7/1/2022
1 = 7:00 a.m. to 4:00 p.m. (Daily/ Office: Monday to Friday) 2 = 3:00 p.m. to 11:30 p.m. (Daily)
3 = 11:00 p.m. to 7:30 a.m. (Daily)
M = 5:00 a.m. to 1:30 p.m. (Porters/ Maintenance Team: Monday to Friday) On succeeding pages are found the activities that SP Plus performs to assist with Clean and Safe Initiatives. Downtown Parking Structures 1, 2, 4, 5, 6, and 9:
9/23/2022 1
Department of Transportation
Downtown Parking Facility Maintenance Matrix
Parking Division Fall 2022 (9/19/2022 Rev. 3)
32 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 2004 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Service Description Frequency Shift
Public Elevators:
Usability Inspection
Preventive
Maintenance
Major Repairs
Up-time Reports
Daily inspection of all
publicly accessible
elevators OTIS conducts
monthly inspections/ minor
repairs
As-needed safety,
electronic, & mechanical
repairs Administrative
reporting of elevator
availability
• Once daily, 7 days a week
• Monthly
• Once daily, 5 days a week
• By 5th of each Month
1 1
1 1
Parking Structure Safety Measures (PS 1, 2, 4, 5, & 6)
Service Description Frequency Shift
Fire Alarm Testing Scheduling of routine testing
functions, subcontracts with
Allen Alarm and OTIS
• Four times annually 1
Fire Alarm Repairs SP+ subcontracts with ADT
and Redhawk to conduct
on the spot repairs
• As needed 1, 2, & M
Public Restrooms –
Plumbing Issues
SP+ porters and
subcontractors on-call to
repair and replace stuck
plumbing
• As needed M
Public Restrooms –
fixture replacements
SP+ porters replace broken
sinks, urinals, toilets, mirrors,
hand dryers, and doors
• Inspection once daily, 7
days/week. • Fixture
replacement as needed
M and 1
PS 6 Emergency
Generator
Annual inspection and
testing of
emergency diesel/electric
generator
• Annual inspection by
subcontractor
M
Lighting Inspect stairwell, lobby, and
drive aisle lighting, replace
damaged or failed bulbs
• Inspect daily/ 7 days/week
• Replace as needed in
batches, weekly
M
33 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 2005 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Graffiti
Countermeasures
SP+ collaboration with DTSM/
PW-PM, performs final paint
top coat
• Inspection once daily, 7
days/week. • As needed final
top-coat paint applied after
PW or DTSM graffiti removal.
1 & 2
Homeless Sweeps Monitor and report
encampments in parking
facilities to SMPD.
• Inspection once daily, 7
days/week.
1 Clarifiers/ Sanitary
Sewer Inspections
Inspect and clean out
sumps, clarifiers, and sewers
as Preventive Maintenance
• PS 1 twice per year, PS 2, 4, &
5 restroom lines three times per
year.
M
Storm Drain Cleaning Inspect and clean out storm
drains in parking facilities
• As needed or at least annually M
Storm Drain Repairs Toxic spills, water accidents,
pipe and catchment
replacements
• As-needed in collaboration
with PW - Facilities Maintenance
Division
1, 2 & M
Safety and Guide Signing, Pavement Stencils, Flex Posts: PS 1, 2, 4, 5, 6, 9 & 10) Service Description Frequency Shift
Safety Signage and
Guidance Signage
SP+ inspects daily and
cleans or replaces
damaged signs
• Inspection once daily, 7
days/week. • Sign replacement
as-needed in batch
M
Curb Painting,
Pavement
delineation
Refresh curb paint and
apply pavement stencils.
• Refresh paint one parking
structure per month, ongoing all
year.
M
Plastic Flex Points,
rubber-clad
bollards
Inspect and replace lane
posts in
structures and downtown
surface lots
• Inspect Weekly
• Replace in batches bi-monthly
M
Mirrors Parking structure Exit mirrors
at alleys and streets
• Inspect once daily, 7 days/ week
• Replace/ adjust weekly
M
Hand-rails, stair
treads, barricades
Inspection, light cleaning,
repaint metal hand-rails or
replace stair treads as
needed
• Inspect once daily, 7 days/week
• Repaint weekly
• Replace treads/flooring as
needed
M
34 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 2006 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Pavement/
Concrete Repairs
Inspect and monitor,
arrange with subcontractor
for minor repairs. Consult
with Public Works
-Arch/Engr divisions as
necessary for extensive
repairs
• Inspect and report minor damage
once daily, 7 days per week
• Assign subcontractor to conduct
minor repairs in batches every two
months
1, 2 & M
Lane striping,
parking stalls,
directional arrows
Inspect and monitor wear
of lane striping, parking
stencils, arrows, and related
pavement markings
• Inspect weekly
• Assign subcontractor to refresh
pavement markings every two
years
• Conduct spot repainting as
needed
M
Parking Structure Access and Revenue Control Systems (PARCS) Ken Edwards Center; Main Library; Civic Center, PS 1, 2, 4, 5, 6, 7, 8, 9 & 10 Service Description Frequency Shift
Ticket and
Pre-paid
Scanning Kiosks
and Pay-on-Foot
Machines
Inspect, replace
stock, repair
damaged customer
interfaces, and
conduct preventive
maintenance.
• Inspect once daily, 7 days/week •
Replace ticket stock and money trays as
needed,
• Conduct repairs as needed
1 & 2
Entry & Exit Gate
arms
Inspect and replace
as need, daily
• Inspect safe and proper operation of
gate arms
• Replace as needed
1 & 2
Ken Edwards
Center Parking
Structure
Inspect and monitor
PARCS machines
Inspect gate arms
• Once daily, 7 days/week
• Replace as needed
1 or 2
1 or 2
Main Library
Parking Structure
Inspect coin, cash,
and credit card
readers, change
dispensers
Inspect gate arms
• Once daily, 7 days a week
• Replace as needed
1 & 2
1 & 2
Civic Center
Parking Structure
Inspect coin, cash,
and credit card
readers, change
dispensers
Conduct incidental
• Once daily, 7 days a week
• Once daily, 5 days a week
• Once daily, 5 days per week
1 or 2 or 3
M or 1
1, M
35 ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 2007 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) pan & broom clean
up Inspect Lighting,
fire alarms, elevators
Cash and ticket
pullers
Inspect coin, cash,
and credit card
readers, change
dispensers
• Once daily, 7 days/week
• Replace/ repair as needed
1 or 2 or 3
Customer
Interface,
Communication
equipment
Inspect voice,
speaker, and pin-hole
camera
communication
system
• Once daily, 7 days/week1
-End36
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 2008 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Exhibit C: Insurance Requirements and Verification
DTSM Insurance Requirements
DTSM shall procure and maintain for the duration of the Agreement insurance against claims for injuries to persons or damages to property that may arise from or in connection with the performance of the work hereunder by DTSM, its agents, representatives, employees or sub-contractors.
Minimum Scope and Limits of Insurance
Coverage shall be at least as broad as:
1. Commercial General Liability (CGL): Insurance Services Office Form CG 00 01 covering CGL on an “occurrence” basis, including products and completed operations, property damage, bodily injury and personal and advertising injury, with limits of no less than $10,000,000 per occurrence.
2. Automobile Liability: Insurance Services Office Form CA 00 01 covering Code 1 (any auto), or if DTSM has no owned autos, Code 8 (hired) and Code 9 (non-owned), with limits of no less than $2,000,000 per accident for bodily injury and property damage.
3. Property Insurance: Insurance covering all personal property stored on the premises. The policy shall be written on an “all risks” basis (excluding earthquake) and insure the personal property at full replacement cost.
4. Workers’ Compensation: Workers’ Compensation insurance as required by the State of California, with Statutory Limits and Employers’ Liability Insurance with limits of no less than $1,000,000 per accident for bodily injury or disease (see footnote #1).
5. Commercial Crime Policy: Insurance that covers employee theft, forgery or alteration, and robbery with limits of no less than $500,000 per occurrence.
6. Non-Profit Directors and Officers Liability: 1,000,000 per occurrence, $1,000,000 aggregate.
If DTSM maintains broader coverage or higher limits than the minimums shown above, the City of Santa Monica requires and shall be entitled to the broader coverage or higher limits maintained by DTSM. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City of Santa Monica.
Other Insurance Provisions
1. The insurance policies are to contain, or be endorsed to contain, the following provisions:
a. Additional Insured Status: The City of Santa Monica, its officers, officials, employees and volunteers are to be covered as additional insureds on the CGL policy with respect to liability arising out of work or operations performed by or on behalf of DTSM including materials, parts, or equipment furnished in connection with such work or operations. CGL coverage can be ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 2009 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) provided in the form of an endorsement to the DTSM’s insurance (at least as broad as Insurance Services Office Form CG 20 10 11 85, or if not available, through the addition of both CG 20 10, CG 20 26, CG 20 33, or CG 20 38 and CG 20 37).
b. Primary Coverage: For any claims related to this Agreement, DTSM’s insurance shall be primary coverage as least as broad as Insurance Services Office Form CG 20 01 04 13 as respects the City of Santa Monica, its officers, officials, employees and volunteers. Any insurance or self-insurance maintained by the City of Santa Monica, its officers, officials, employees or volunteers shall be in excess of the DTSM’s insurance and shall not contribute with it. c. Notice of Cancellation: Each insurance policy required herein shall state that coverage shall not be cancelled except after notice has been given to the City of Santa Monica. d. Waiver of Subrogation: DTSM hereby grants to the City of Santa Monica a waiver of any right of subrogation which any insurer of said DTSM may acquire against the City of Santa Monica by virtue of payment of any loss. DTSM agrees to obtain any endorsement that may be necessary to affect this waiver of subrogation, but this provision applies regardless of whether or not the City of Santa Monica has received a waiver of subrogation endorsement from the insurer.
The Workers’ Compensation policy shall be endorsed with a waiver of subrogation in favor of the City of Santa Monica for all work performed by the DTSM, its employees, agents and subcontractors.
Self-Insured Retentions
Self-insured retentions must be declared to and approved by the City of Santa Monica. The City of Santa Monica may require the DTSM to purchase coverage with a lower retention or provide satisfactory proof of ability to pay losses and related investigations, claim administration, and defense expenses within the retention. The policy language shall provide, or be endorsed to provide, that the self-insured retention may be satisfied by either the name insured or the City of Santa Monica.
Acceptability of Insurers
Insurance is to be placed with insurers authorized to conduct business in California with a current A.M.
Best rating of no less than A:VII, unless otherwise acceptable to the City of Santa Monica.
Verification of Coverage
DTSM shall furnish the City of Santa Monica with original certificates and amendatory endorsements (or copies of the applicable policy language effecting coverage provided by this clause). All certificates and endorsements are to be received and approved by the City of Santa Monica before work commences.
However, failure to obtain required documents prior to the work beginning shall not waive DTSM’s obligation to provide them. The City of Santa Monica reserves the right to require complete, certified copies of all required insurance policies, including the endorsements required herein, at any time.
Failure to Maintain Insurance Coverage
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 2010 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) If DTSM, for any reason, fails to maintain insurance coverage which is required pursuant to this Agreement, the same shall be deemed a material breach of contract. The City of Santa Monica, at its sole option, may terminate this Agreement and obtain damages from DTSM resulting from said breach.
Footnotes
# 1: Workers’ Compensation insurance coverage is not required if the DTSM does not have employees.
DTSM must, however, execute the City’s Workers’ Compensation Coverage Exemption Declaration Form.
Third Party Insurance Requirements
DTSM shall require and verify that every subcontractor or agreement of any kind entered into between DTSM and a third party (or between any DTSM subcontractor and others) procure and maintain for the duration of this Agreement insurance against claims for injuries to persons or damages to property that may arise from or in connection with the performance of the work hereunder by the third party, its agents, representatives, employees, or subcontractors.
Minimum Scope and Limits of Insurance
Coverage shall be at least as broad as:
1. Commercial General Liability (CGL): Insurance Services Office Form CG 00 01 covering CGL on an “occurrence” basis, including products and completed operations, property damage, bodily injury and personal and advertising injury, with limits of no less than $8,000,000 per occurrence for subcontractors providing security services and limits of no less than $2,000,000 per occurrence for all other subcontractors. If a general aggregate limit applies, either the general aggregate limit shall apply separately to this project/location (Insurance Services Office Form CG 25 04) or the general aggregate limit shall be twice the required occurrence limit. 2 Automobile Liability: Insurance Services Office Form CA 00 01 covering Code 1 (any auto), or if Subcontractor has no owned autos, Code 8 (hired) and Code 9 (non-owned), with limits of no less than $1,000,000 per accident for bodily injury and property damage.
2. Workers’ Compensation: Workers’ Compensation insurance as required by the State of California, with Statutory Limits and Employers’ Liability Insurance with limits of no less than $1,000,000 per accident for bodily injury or disease (see footnote #1).
3. Professional Liability (Errors and Omissions): Insurance appropriates to the Subcontractor’s profession, with limit no less than $2,000,000 per occurrence or claim, $2,000,000 aggregate, if applicable.
If the Subcontractor maintains broader coverage or higher limits than the minimums shown above, the City of Santa Monica requires and shall be entitled to the broader coverage or higher limits maintained ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 2011 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) by the Subcontractor. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City of Santa Monica.
Other Insurance Provisions
The insurance policies are to contain, or be endorsed to contain, the following provisions:
a. Additional Insured Status: The City of Santa Monica, its officers, officials, employees and volunteers are to be covered as additional insureds on the CGL policy with respect to liability arising out of work or operations performed by or on behalf of Subcontractor including materials, parts, or equipment furnished in connection with such work or operations. CGL coverage can be provided in the form of an endorsement to the Subcontractor’s insurance (at least as broad as Insurance Services Office Form CG 20 10 11 85, or if not available, through the addition of both CG 20 10, CG 20 26, CG 20 33, or CG 20 38 and CG 20 37). b. Primary Coverage: For any claims related to this Agreement, the Subcontractor’s insurance shall be primary coverage as least as broad as Insurance Services Office Form CG 20 01 04 13 as respects the City of Santa Monica, its officers, officials, employees and volunteers. Any insurance or self-insurance maintained by the City of Santa Monica, its officers, officials, employees or volunteers shall be in excess of the Subcontractor’s insurance and shall not contribute with it. c. Notice of Cancellation: Each insurance policy required herein shall state that coverage shall not be cancelled except after notice has been given to the City of Santa Monica. d. Waiver of Subrogation: Subcontractor hereby grants to the City of Santa Monica a waiver of any right of subrogation which any insurer of said Subcontractor may acquire against the City of Santa Monica by virtue of payment of any loss. Subcontractor agrees to obtain any endorsement that may be necessary to affect this waiver of subrogation, but this provision applies regardless of whether or not the City of Santa Monica has received a waiver of subrogation endorsement from the insurer.
The Workers’ Compensation policy shall be endorsed with a waiver of subrogation in favor of the City of Santa Monica for all work performed by the Subcontractor, its employees, agents and contractors.
Self-Insured Retentions
Self-insured retentions must be declared to and approved by the City of Santa Monica. The City of Santa Monica may require the Subcontractor to purchase coverage with a lower retention or provide satisfactory proof of ability to pay losses and related investigations, claim administration, and defense expenses within the retention. The policy language shall provide, or be endorsed to provide, that the selfinsured retention may be satisfied by either the name insured or the City of Santa Monica.
Acceptability of Insurers
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 2012 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Insurance is to be placed with insurers authorized to conduct business in California with a current A.M.
Best rating of no less than A:VII, unless otherwise acceptable to the City of Santa Monica.
Verification of Coverage
Subcontractor shall furnish the City of Santa Monica with original certificates and amendatory endorsements (or copies of the applicable policy language effecting coverage provided by this clause). All certificates and endorsements are to be received and approved by the City of Santa Monica before work commences. However, failure to obtain required documents prior to the work beginning shall not waive the Subcontractor’s obligation to provide them. The City of Santa Monica reserves the right to require complete, certified copies of all required insurance policies, including the endorsements required herein, at any time.
Failure to Maintain Insurance Coverage
If Subcontractor, for any reason, fails to maintain insurance coverage which is required pursuant to this Agreement, the same shall be deemed a material breach of contract. The City of Santa Monica, at its sole option, may terminate this Agreement and obtain damages from the Subcontractor resulting from said breach.
Footnotes
# 1: Workers’ Compensation insurance coverage is not required if the Subcontractor does not have employees. The Subcontractor must, however, execute the City’s Workers’ Compensation Coverage Exemption Declaration Form.
ITEM 11.A.
JULY 25, 2023
ITEM 11.A.
JULY 25, 2023
11.A.j
Packet Pg. 2013 Attachment: Written Comments [Revision 1] (5811 : Downtown Santa Monica, Inc. FY2023-24 Budget and Work Plan) Downtown Santa Monica
Annual Work Plan, Budget
+ Services Agreement
July 25, 2023
11.A.k
Packet Pg. 2014 Attachment: PowerPoint Presentation (5811 : Downtown Santa Monica, Inc. FY2023-24 Staff recommends City Council:
1. Adopt a finding of categorical exemption pursuant to Section 15301 of CEQA Guidelines;
2. Approve the Downtown Santa Monica, Inc. Fiscal Year 2023-24 Budget & Work Plan;
3. Authorize the City Manager to execute proposed Master Services Agreement between DTSM & the City to replace & supersede the Amended & Restated Services Agreement (executed 2019), to authorize DTSM to retain private security services for downtown Santa Monica for a one-year pilot program & also replace & supersede the existing Maintenance Services Agreement (executed 2012), by including in the Master Services Agreement the ongoing responsibilities of DTSM & City pertaining to custodial services for City’s parking structures & DTSM’s license to use a portion of parking structures 5 & 6;
11.A.k
Packet Pg. 2015 Attachment: PowerPoint Presentation (5811 : Downtown Santa Monica, Inc. FY2023-24 The Requests (cont.)
4. Authorize the City Manager to negotiate and execute a 1st Modification to the Lot 27 Community Events MOU to extend term (2 addit. yrs to 2025) & expand the site area include 1318 4th Street for community events & activities consistent with DTSM’s roles & responsibilities under the proposed Master Services Agreement;
5. Authorize the City Manager to reinstate & amend the Third Street Promenade Public Services Program & Amenities License Agreement with DTSM to continue activation of the Promenade, incl. operating a Promenade vending cart program (4 addit. yrs to 2027); &
6. Authorize the City Manager to negotiate & execute a Letter of Intent between the City, DTSM & Rooftop Cinema Club for the activation of Parking Structure 6 rooftop space as an outdoor movie theater.
11.A.k
Packet Pg. 2016 Attachment: PowerPoint Presentation (5811 : Downtown Santa Monica, Inc. FY2023-24 Downtown SM District DTSM Annual Work Plan
+ Budget – Clean + Safe
Priorities FY23/24
DTSM Board of Directors
adopted annual budget May
25, 2023 + Work Plan June
15.2023
$10.2M revenues; $10.6 M
expenditures (offset by cash
reserve) • Operations + Public Space
Mgmt.
• Communications, Events +
Economic Development
• Organization Mgmt.
11.A.k
Packet Pg. 2017 Attachment: PowerPoint Presentation (5811 : Downtown Santa Monica, Inc. FY2023-24 DTSM Master Services Agreement
Prior Council approvals:
1) City + Bayside District Corporation (BDC) entered into Original Services Agreement (2004) to set forth roles + responsibilities of the BDC Amended + Restated Services Agreement (2009) + four amendments (2011-2018)
2) City + BDC entered into a Maintenance Service Agreements (2010) + 12 modifications (2013- 2022)
Proposed Master Services Agreement (exp. May 19, 2029) to replace all of above + authorize one year pilot program for private security services
• Outlines ongoing responsibilities of DTSM & City incl. custodial services for City’s parking structures & DTSM’s license to use a portion of parking structures 5 & 6; • Extending Private Security Pilot Program would require modifications to the Management District Plans for the assessment districts – public noticing + hearings (per the State of CA Streets + Hwy Code Sect. 36636)
11.A.k
Packet Pg. 2018 Attachment: PowerPoint Presentation (5811 : Downtown Santa Monica, Inc. FY2023-24 Community Events + Activations • Lot 27 Community Events MOU – extend two additional yrs. (to 2026) + include 1318 4th St site • Third St Promenade Public Services Program + Amenities License Agreement – incl. Promenade Vending Cart Program • Rooftop Cinema LOI for PS6 activation
11.A.k
Packet Pg. 2019 Attachment: PowerPoint Presentation (5811 : Downtown Santa Monica, Inc. FY2023-24 Questions?
Downtown SM Inc.
Andrew Thomas, Chief Executive Officer, DTSM Inc
Eric Sedman, Chair of the Board, DTSM Inc.
City Staff including Anuj Gupta (CMO), Isabel Birrueta (CAO), David Martin (CDD) + Jennifer Taylor (CDD/EDD/Staff Liason to DTSM)
THANK YOU
11.A.k
Packet Pg. 2020 Attachment: PowerPoint Presentation (5811 : Downtown Santa Monica, Inc. FY2023-24
13.A
July 25, 2023
Council Meeting: July 25, 2023 Santa Monica, California 1 of 1
CITY CLERK’S OFFICE - MEMORANDUM
To: Mayor and City Council
From: Denise Anderson Warren, City Clerk, Records & Elections Services Department
Date: July 25, 2023
13.A Santa Monica Housing Commission Report : Creating Equity - Affordable Homeownership in Santa Monica
13.A
Packet Pg. 2021
Creating Equity
Affordable Homeownership in Santa Monica
Report by
Santa Monica Housing Commission
7 May 2023
13.A.a
Packet Pg. 2022 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 1 Acknowledgements
This report was created by the Santa Monica Housing Commission during the 2022-2023 program year. The Housing Commission comprises Commissioners Peter Borresen, Kate Evarts, Dominic Gomez, Josh Hamilton, and Richard Hilton; Vice Chair Theresa Marasco; and Chair Michelle Gray. This report originated with 2022-2023 Housing Commission Work Plan items related to increasing affordable homeownership and is based on the initial hard work of the Housing Commission Ad Hoc Affordable Homeownership Subcommittee, comprising Commissioner and Subcommittee Chair Peter Borresen, Commissioner Dominic Gomez, and Vice Chair Theresa Marasco. The initial work of the subcommittee was discussed, revised, and expanded by the entire Housing Commission with the input of Santa Monica residents and additional research by Commissioner Borresen, Vice Chair Marasco, and Chair Gray.
13.A.a
Packet Pg. 2023 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 2 Table of Contents
1. INTRODUCTION ..................................................................................................................................... 3
1.1 Notes on terminology ............................................................................................................. 4
2. AFFORDABLE HOMEOWNERSHIP IN HOUSING POLICY................................................................. 5
2.1 Fulfills stated city goals .......................................................................................................... 5
2.2 Preserves and expands affordability....................................................................................... 6
2.3 Advances social, racial, and economic justice ....................................................................... 6
2.3.1 Social and economic justice............................................................................................. 6
2.3.2 Racial justice ................................................................................................................... 7
2.3.3 Proposed HUD requirements ........................................................................................... 9
3. AFFORDABLE HOMEOWNERSHIP INVENTORY ...............................................................................11
3.1 Existing housing................................................................................................................... 11
3.1.1 Rent controlled units ...................................................................................................... 11
3.1.2 100% affordable units .................................................................................................... 11
3.1.3 Market rate units............................................................................................................ 12
3.1.4 Inclusionary Units .......................................................................................................... 12
3.2 New housing........................................................................................................................ 13
3.2.1 New 100% affordable single and multifamily properties ................................................. 13
3.2.2 New market rate and inclusionary units ......................................................................... 15
4. MEANS TO AFFORDABLE HOMEOWNERSHIP.................................................................................16
4.1 Existing funding.................................................................................................................... 16
4.1.1 For prospective home buyers......................................................................................... 16
4.1.2 For organizations and municipalities .............................................................................. 17
4.2 Proposed actions for Santa Monica ..................................................................................... 19
4.2.1 TORCA 2.0.................................................................................................................... 19
4.2.1.1 For rent controlled buildings and units................................................................................20
4.2.1.2 For market rate and inclusionary units ...............................................................................21
4.2.2 HUD homeownership program....................................................................................... 21
4.2.3 100% affordable rental housing conversion.................................................................... 22
4.2.4 Inclusion of for-sale units in new 100% affordable rental housing .................................. 22
4.2.5 Equalize fees ................................................................................................................. 23
4.2.6 Prioritize new market rate for-sale housing over new market rate rental housing............ 23
4.2.7 New forgivable down payment assistance loan fund ...................................................... 24
4.2.8 New home purchase assistance office ........................................................................... 24
4.2.9 Community land trusts ................................................................................................... 24
4.2.10 Rent to own ................................................................................................................. 25
5. RECOMMENDATIONS..........................................................................................................................27
6. CONCLUSION.......................................................................................................................................30
13.A.a
Packet Pg. 2024 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 3
1. Introduction
Home. Hogar. Words that evoke images of warmth, safety, and sanctuary. More than mere shelter, home is a physical place where we live, play, work, and love, as well as a liminal, emotional place of memory, security, aspiration, and identity. Both a springboard and an anchor, home is the cornerstone of the fabled American Dream.
No wonder, then, that homeownership is such a widespread, cherished goal. In modern capitalist societies, the only way to improve on one’s personal idea of home—existing or aspirational—is to own one’s own home, including the land on which it lies. This ownership physically manifests and makes permanent the stability of home.
Homeownership confers numerous benefits in addition to stability. It contributes to lower and more controlled long term housing costs, builds personal and multigenerational wealth through appreciation, enables environmental customization, and provides a means of selfexpression. Homeownership fosters pride, builds social equity, and strengthens community.
Unfortunately, in Santa Monica homeownership and its many attendant benefits are reserved exclusively for wealthy people, most of whom are white. From small condos to sprawling mansions, the cost of owning residential real estate in Santa Monica is prohibitively expensive for those with low to moderate incomes, including the vast majority of Black and brown Santa Monica residents.
Affordable homeownership may not seem feasible in Santa Monica due to the high cost of living, and therefore a poor use of limited city and federal resources. However, successful programs in similarly costly cities like San Diego1 and New York City2 demonstrate otherwise. Furthermore, affordable homeownership is particularly key to affirmatively furthering fair housing—as new proposed HUD guidelines require—in cities with high costs of living. As this report illustrates, affordable homeownership is vital to creating equity— both literal and figurative, financial and societal.
The following report outlines multiple ways for Santa Monica to advance homeownership parity, from converting existing housing stock to facilitating new construction, and utilizing federal, state, and local funding from individual home purchase assistance programs to grants for institutions and municipalities. Together with proposed Santa Monica programming, these diverse sources of inventory and funding can be combined in myriad ways to achieve the city’s affordable homeownership goals. 1 https://www.sdhc.org/housing-opportunities/affordable-for-sale-housing/ 2 https://www.nyc.gov/site/hpd/services-and-information/hdfc.page
13.A.a
Packet Pg. 2025 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 4
1.1 Notes on terminology
In this report homeownership always refers to the purchase by one or more real individuals of any form of private residence for the purpose of owner occupancy. This residence can take the form of an individual unit in a multifamily building, an individual unit in a duplex or triplex, a tiny house, a townhouse, a modular home, etcetera. Note that the initial requirement of owner occupancy does not mean an owner can never rent or sell their unit to another party, as building wealth is a key benefit of homeownership that affirmatively furthers fair housing by facilitating upward mobility.
In addition, regardless of the form a private residence takes, in this report homeownership always includes full or proportional fractional ownership of the property’s underlying land.
This stipulation is important because stored wealth and capital appreciation in residential real estate is primarily attached to a property’s underlying land.
In this report the terms single family housing, home, unit, or property refers to a freestanding private residence—for example a traditional house, tiny home, or modular home—not the zoning or land use classification.
Finally, unless indicated otherwise, in this report the term voluntary homeownership model refers to individual tenants’ ability to choose whether or not to purchase the housing unit they live in, not building owners' ability to choose whether or not to participate in providing for-sale units or converting rental units to for-sale units.
13.A.a
Packet Pg. 2026 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 5
2. Affordable homeownership in housing policy
Robust and effective housing policy requires multiple elements to satisfy the diverse housing needs and desires of Santa Monica residents. These include market rate home rentals, market rate home ownership, affordable home rentals, and affordable home ownership. Housing policy in the City of Santa Monica currently addresses all but one of these elements: affordable homeownership. This significant omission must be addressed and remedied for multiple reasons, including the following.
2.1 Fulfills stated city goals
Affordable homeownership is an explicitly stated goal of the City of Santa Monica. On 31 March 2021, City Council updated the City of Santa Monica’s 6 th Cycle (2021-2029)
Housing Element to include the requirement that the City of Santa Monica:
“Explore diverse opportunities for affordable homeownership and transition from renters to owners by residents.”3
Santa Monica seems to have been thinking about affordable homeownership for years.
Since at least 2016, the application for the city’s Below Market Housing waitlist has included a check box for applicants to indicate interest in homeownership opportunities.
Furthermore, on 11 March 2023 City Council voted unanimously to adopt council priorities for the Fiscal Years 2023-2025 Budget that include the guiding principle of Racial Justice, Equity, and Social Diversity:
The City of Santa Monica acknowledges the effects of generational and institutional racism and discrimination, and its consequences that continue to impact our residents and businesses. These lessons of our history cannot be ignored. The City is committed to advancing racial equity and social diversity to improve the wellbeing of people who live, work, learn, play, and do business in our City and create a community where differences in life outcomes cannot be predicted by race, class, gender, disability or other identities. Everyone in Santa Monica must have an opportunity to thrive4
3 https://www.hcd.ca.gov/housing-elements/docs/santa-monica-6th-draft070822.pdf 4 https://santamonica.gov/press/2023/03/11/city-council-adopts-priorities-and-provides-direction-for-2023- 2025-biennial-budget-process
13.A.a
Packet Pg. 2027 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 6 As demonstrated in section 2.3, opportunities for affordable homeownership are closely tied to issues of racial justice, equity, and social diversity.
Finally, city staff have stated that California demands for affordable housing construction may be met via affordable homes for-sale.
5 Enabling low and moderate income individuals and families to own homes in Santa Monica fulfills all of these vital city priorities.
2.2 Preserves and expands affordability
Since California mandated the end of vacancy control with the Costa-Hawkins Rental Housing Act of 1995, base rents of rent controlled units in Santa Monica can be reset at market rates with each new tenancy. This, in addition to the removal and redevelopment of rent controlled buildings under the Ellis Act of 1985, has led to a continual and significant loss of housing affordability in Santa Monica.
6 Introducing new affordable homeownership
opportunities will help preserve and make permanent existing city housing affordability and increase the total affordable housing stock in Santa Monica.
2.3 Advances social, racial, and economic justice
Homeownership contributes to lower housing costs, builds personal and multigenerational wealth through appreciation, fosters stability, enables personalization, builds social equity, and strengthens community. However, in Santa Monica only wealthy, and predominantly white, people can afford to purchase houses or multifamily units and enjoy the numerous benefits of homeownership. Dedicated efforts to expand diverse affordable homeownership opportunities for low and moderate income Santa Monicans can change this disparity.
2.3.1 Social and economic justice
Affordable rentals serve an important purpose, particularly for short term and transitioning residents. However, they do not enable long term Santa Monicans with low and moderate incomes to realize the many benefits of homeownership. To do that, Santa Monicans of modest means must have equal opportunities to own residential property through robust affordable homeownership policies and programs.
5 Santa Monica Housing Commission meeting, 10 November 2022, agenda item 5A https://santamonica.gov/media/HED/Housing/Housing%20Agenda%20Attachments/11-10- 22%20HC%20Agenda%20Final.pdf
6https://www.smgov.net/uploadedFiles/Departments/Rent_Control/Reports/Annual_Reports/2022%20Annual %20Report.pdf
13.A.a
Packet Pg. 2028 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 7 In addition to helping lower and control long term housing costs, build wealth, establish roots, personalize their homes, build social equity, and strengthen community, affordable homeownership policies and programs will also qualitatively improve city housing stock for the whole city, but particularly for low and moderate income residents.
In contrast with many affordable rentals, the conversion, design, and construction of local affordable housing for-sale will result in the creation of homes that more closely follow real estate trends that reflect home buyers’ actual preferences. These include desirable location and setting; proximity to preferred schools, parks, goods, and services; adequate square footage; abundant natural light; pleasing, and not institutional, facades that complement neighborhood aesthetics; and amenities like inviting common spaces, generous landscaping, and sufficient parking. Such housing characteristics will improve quality of life for low and moderate income residents while improving the overall quality of Santa Monica’s housing inventory.
2.3.2 Racial justice
Social and economic injustice are particularly evident when analyzing racial disparities in rates of homeownership.
US Department of Housing and Urban Development (HUD) Secretary Marcia L. Fudge recently issued the following statement:
“Today, homeownership is the principal source of wealth creation for most American households. Unfortunately, [National Association of REALTORS® Research Group’s] report confirms that Black Americans are being locked out of homeownership opportunities at an even higher rate than a decade ago. It is critical that we bridge the racial homeownership gap with intentional solutions that recognize both the persistent history of discrimination and inequity, and the current crisis of housing affordability.”8
The report to which Secretary Fudge refers, entitled 2023 Snapshot of Race and Home Buying in America, shows more Americans own homes now than during any year following the Great Recession, but Black Americans continue to face significant obstacles to homeownership. Furthermore, rates of Hispanic American and Asian American homeownership still trail that of white Americans. Worse, the homeownership rate for Black Americans is lower now than it was a decade ago.9
8 https://www.hud.gov/press/press_releases_media_advisories/hud_no_22_029 9 https://cdn.nar.realtor/sites/default/files/documents/2023-snapshot-of-race-and-home-buying-in-the-us-03- 02-2023.pdf
13.A.a
Packet Pg. 2029 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 8 Systematic and institutional harm to and theft from Black and brown people, particularly regarding property ownership and once thriving communities, is widely documented.
Tactics including redlining, exclusionary zoning, racially restrictive covenants, and displacement via eminent domain to build highways and other development were common and caused the upheaval and destruction of untold numbers of individuals, families, and communities nationwide.
According to Robert D. Bullard, an urban planning professor at Texas Southern University:
“If you look at Black and Latino neighborhoods, in terms of homeownership, the loss of equity, the business corridors that were destroyed and the loss of community that highways have caused, the damage is tremendous”
10 These discriminatory practices occurred in Santa Monica in living memory. In order to extend the Interstate 10 highway to the Pacific Ocean, the city leveled the Pico neighborhood, forcing Black, Mexican, and Japanese residents to leave their longtime homes and communities.11 Then, through eminent domain proceedings, the city razed the historic Belmar Triangle to build the Santa Monica Civic Auditorium and part of the Los Angeles County Courthouse grounds,
12 burning down homes and businesses that were
rented and owned by African Americans and other marginalized groups.13 The resulting loss of affordable housing, deeply rooted community, and multigenerational wealth impacts Black and brown Santa Monicans and their descendants to this day.
In recent years. the City of Santa Monica has made many efforts to advance truth and reconciliation with historically marginalized and disenfranchised residents. These include formal recognition of historically significant city sites,15 dedication to diverse city hiring practices, the ongoing reframing project to address the problematic WPA mural in City Hall16, and recently a formal apology by Santa Monica City Council17 for historical wrongs committed by the city against Black residents.
Such efforts also include the Right to Return policy that took effect January 2022, which allows up to one hundred people previously displaced from the Pico neighborhood and 10 https://www.latimes.com/projects/us-freeway-highway-expansion-black-latino-communities/ 11 https://www.latimes.com/homeless-housing/story/2021-11-11/the-racist-history-of-americas-interstatehighway-boom 12 https://alisonrosejefferson.com/wpcontent/uploads/2021/10/ReconstructionAndReclamation.FINAL_.12.21.2020-3.pdf 13 https://www.smconservancy.org/property/belmar/
15 https://santamonica.gov/belmar-history-art
16 https://www.santamonica.gov/programs/acknowledge-and-reframe-together 17 https://www.argonautnews.com/community/discussing-santa-monica-s-black-apology/article_a5560aa8- a288-11ed-bbaf-83d8cd59503a.html
13.A.a
Packet Pg. 2030 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 9 Belmar Triangle area and their descendants to receive priority status on the city’s Below Market Housing waitlist.
18 Placement on this list provides low and moderate income individuals with opportunities to apply for local affordable rental units.
Sheryll Cashin, Georgetown University law professor and author of “White Space, Black ‘Hood: Opportunity Hoarding and Segregation in the Age of Inequality”, said this about Santa Monica’s Right to Return policy:
“It’s an example of more of what needs to happen where a city looks honestly at its past to understand that a lot of the dramatic inequality in the present overlays with race”
19 Unfortunately, providing historically marginalized and disenfranchised Santa Monicans with the opportunity to apply for below market rental housing does little to restore the historical homes, wealth, and once thriving community these residents and their descendants lost.
Nichelle Monroe, a local whose great-uncle is said to have been the first Black baby born in Santa Monica over a century ago and whose architect grandfather, Vernon Brunson, designed many buildings in the city, agrees.
Monroe thinks Santa Monica should make it easier for her family to purchase a home in the city. While she’s proud that her family is featured in the educational materials lining the new Belmar Triangle walking path, she says:
“But what else is there? The theft is still there. The generational wealth is still gone.”
20 To meaningfully begin to acknowledge and restore the depth and breadth of historical harm to and theft from Black and brown Santa Monicans, we must turn to affordable homeownership.
2.3.3 Proposed HUD requirements
Affordable homeownership is an integral part of achieving social, racial, and economic justice. HUD concurs, having recently released a new proposed Affirmatively Furthering Fair Housing Final Rule two years in the making. This proposed rule takes a significant step 18 https://www.latimes.com/homeless-housing/story/2021-12-26/santa-monica-to-people-long-evicted-byfreeway-come-back-home 19 https://www.latimes.com/homeless-housing/story/2021-12-26/santa-monica-to-people-long-evicted-byfreeway-come-back-home 20 https://www.latimes.com/homeless-housing/story/2021-12-26/santa-monica-to-people-long-evicted-byfreeway-come-back-home
13.A.a
Packet Pg. 2031 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 10 towards addressing the country’s history of discriminatory housing policies and practices. It responds to both President Biden’s directive, Memorandum on Redressing Our Nation's and the Federal Government's History of Discriminatory Housing Practices and Policies, 25 and to HUD and Secretary Fudge's call to weave equity throughout HUD's work.26 “Affirmatively furthering fair housing means more than merely steering clear of housing discrimination violations” said Demetria L. McCain, Principal Deputy Assistant Secretary for Fair Housing and Equal Opportunity. “Today, HUD is taking new, bold action to eliminate the historic patterns of segregation that continue to harm American families.
This action will help make the purpose of the Fair Housing Act reality by making it easier for local communities to identify inequities and make concrete commitments to address them.”27
HUD’s new Affirmatively Furthering Fair Housing Final Rule expands upon previous HUD policy, implementing opportunities for transparency and accountability while bolstering economic equity for all American families. This proposed rule is just one part of a larger Equity Plan being implemented by HUD.28 Affordable homeownership is a significant component of HUD’s comprehensive new Equity Plan.
While this rule is awaiting adoption, American history and HUD policy have been moving steadily in this direction and its mandates are expected take effect shortly. As HUD Secretary Marcia L. Fudge concluded her previously cited statement on racial disparity in homeownership:
“The Biden-Harris Administration and HUD will continue to prioritize opening the door to homeownership for families—especially those who have been systemically kept out over generations”
29 As a progressive city dedicated to diversity, equity, and inclusion, Santa Monica should take the initiative to adopt exemplary plans, policies, and practices that exceed existing minimum fair housing requirements and embody the goals of forthcoming HUD rules. By offering meaningful paths to affordable homeownership, Santa Monica can begin to fulfill the forthcoming HUD requirement for inclusion of an equity plan in the 5-Year and Annual Consolidated Plans, while modeling best practices for affirmatively furthering fair housing for cities nationwide.
25 https://www.whitehouse.gov/briefing-room/presidential-actions/2021/01/26/memorandum-on-redressingour-nations-and-the-federal-governments-history-of-discriminatory-housing-practices-and-policies/ 26 https://www.hud.gov/press/press_releases_media_advisories/HUD_No_23_013 27 https://www.hud.gov/press/press_releases_media_advisories/HUD_No_23_013 28 https://www.hud.gov/sites/dfiles/PA/documents/HUDEquity508compliant.pdf 29 https://www.hud.gov/press/press_releases_media_advisories/hud_no_22_029
13.A.a
Packet Pg. 2032 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 11
3. Affordable homeownership inventory
Providing affordable homeownership opportunities for Santa Monicans first requires local housing inventory for purchase by prospective homebuyers. This inventory can come in two forms: existing housing and newly constructed housing.
3.1 Existing housing
Santa Monica’s considerable existing rental housing inventory leaves room for some rental units to be repurposed for purchase. The benefits of converting existing rental units to units for purchase include ready availability and lower costs. While Santa Monica currently prohibits the conversion of multifamily rental housing to for-sale multifamily housing, 31 there
is precedent for changing this policy. For further discussion, see section 4.2.1.
3.1.1 Rent controlled units
As demonstrated by the original Tenant Ownership Rights Charter Amendment (TORCA), 32 with appropriate legislation, existing rent controlled units can provide a repository of ready affordable housing for sale. Furthermore, when occupied buildings that are subject to rent control are placed on the market, their sale prices are frequently lower than their replacement cost because rent control laws prevent new building owners from charging existing tenants prevailing market rents. This presents a unique opportunity for nonprofit parties to purchase discounted multifamily housing in order to facilitate tenants’ optional subsequent affordable purchase of their units, as outlined in section 4.2.1.1.
3.1.2 100% affordable units
Existing 100% affordable rental buildings in Santa Monica also have the potential to be converted to properties with affordable optional homeownership opportunities, wherein existing tenants could purchase the units they occupy or similar units in the same or comparable buildings. For further discussion, see section 4.2.3. 31 https://library.qcode.us/lib/santa_monica_ca/pub/municipal_code/item/the_charter_of_the_city_of_santaarticle_xx-2018 32 https://library.qcode.us/lib/santa_monica_ca/pub/municipal_code/item/the_charter_of_the_city_of_santaarticle_xx
13.A.a
Packet Pg. 2033 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 12
3.1.3 Market rate units
There is abundant and increasing market rate rental housing in Santa Monica, many units of which stand vacant. Providing landlords with the option to convert some of these existing market rate rental units to purchasable units can provide valuable additional homeownership opportunities for all Santa Monicans. Importantly, this option can also provide increased opportunities for affordable homeownership, particularly when units are purchased with low income and first time homebuyer assistance programs.
With more than 70% of Santa Monica residents renting their homes, numerous rental vacancies awaiting formal inventory, and no shortage of new market rate rental construction in various stages of development, enabling the optional conversion by landlords of existing market rate rental housing to for-sale housing is a potentially time- and cost-saving means of increasing affordable homeownership opportunities in Santa Monica.
To ensure meaningful expansion of homeownership opportunities in Santa Monica, including affordable homeownership, city policy changes that permit such conversions should include requirements that individual units be purchased by owner-occupants, with minimum tenancy duration requirements of two years before an owner may sell or rent their unit, and/or penalty fees to discourage real estate flipping. Such policy changes should also ensure protections for existing tenants, including generous advance notice of conversion, right of first refusal to purchase, and possible relocation compensation. If individual tenant owned properties allow owners to subsequently rent their units, the rent charged should conform to affordability requirements where deed-restrictions are present. For further discussion, see section 4.2.1.2.
3.1.4 Inclusionary Units
A valuable potential source of affordable homeownership inventory is inclusionary units in existing (and future) market rate rental projects. In concert with the optional conversion mentioned above, all such inclusionary units should be eligible for similar optional conversion with the key stipulation that the city maintain inclusionary units’ affordability by deed restricting their sale. When inclusionary units are on the same site with accompanying market rate units, this practice will have the added benefit of affirmatively furthering fair housing by integrating market rate and affordable housing, reducing the stigma of concentrated and siloed affordable housing and improving low and moderate income residents’ access to high opportunity, low poverty neighborhoods. For further discussion, see section 4.2.1.2.
13.A.a
Packet Pg. 2034 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 13
3.2 New Housing
While Santa Monica’s land area is small, it has room and numerous projects slated for new housing construction. Focusing new housing construction on homeownership instead of rental housing can greatly increase the city’s affordable homeownership inventory, with results that will benefit all Santa Monica residents and prospective homeowners, now and in the future.
In addition to the rewards above, affordable homeownership policies and programs will result in the qualitative improvement of city housing for low and moderate income residents. Currently, the exclusive dedication of policy and resources to affordable rental housing—particularly 100% affordable rental housing—leads to design and construction choices that maximize utility and uniformity in order to minimize building time and cost.
These come at the real expense of livability and environmental and aesthetic choices that maximize usability, comfort, and physical and mental health for tenants.
For example, 100% affordable housing buildings in Santa Monica are often identifiable by their angular, flat, and modular facades composed of inexpensive industrial materials, the absence of adequate green space, and sparse landscaping. The interiors of these units are often small and utilitarian, including countertops finished with inexpensive, drab composite materials to hide dirt and wear, and small windows that afford little natural light.
Again, in contrast with many affordable rentals, the conversion, design, and construction of local affordable for-sale housing will result in the creation of units that more closely follow real estate trends that reflect actual preferences of home buyers. These include desirable location and setting; proximity to preferred schools, parks, goods, and services; adequate square footage per unit to accommodate free movement, substantial in-unit storage, and guests; abundant natural light; pleasing, and not institutional, facades that complement neighborhood aesthetics; and amenities like attractive and comfortable common spaces, generous landscaping, and sufficient parking. Such housing characteristics improve quality of life for low and moderate income residents as well as the overall quality of Santa Monica’s housing inventory.
3.2.1 New 100% affordable single and multifamily properties There are currently thousands of affordable housing units in Santa Monica, virtually all of which are rentals.35 There are also many 100% affordable housing projects in Santa Monica that provide affordable rental housing and more continue to be built. Rather than focusing exclusively on new rental housing, the city and existing and/or new nonprofit 35 See figures B-52 and B-53. https://www.santamonica.gov/media/Housing-Element-Update-2021-to2029/Adopted%20Appendix%20B%20Housing%20Needs%20Clean.pdf
13.A.a
Packet Pg. 2035 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 14 housing providers could invest resources into the design and construction of new 100% affordable for-sale housing units in myriad forms.
One form this new construction could take is traditional multifamily buildings designed and built for sale to qualifying low and moderate income buyers. Once all the units in a building were sold, management and operations of the building and property could continue under one of several common structures, for example, a condominium, community land trust, or cooperative.
However, planning new construction offers opportunities for creative design that will introduce visual interest to neighborhoods while maintaining their aesthetic continuity, greatly benefiting both homeowners with modest incomes and their neighbors. New construction could take the form of a property with diverse residential structures on it, for example, ten tiny homes with optimized communal spaces. Alternately, a property could include a duplex, triplex, or quadplex and one or more tiny homes or accessory dwelling units (ADU).
A possible variation on the above illustrations involves mixed use projects wherein owner occupied residential units benefit from having mixed use commercial facilities on site as an additional source of revenue to help sustain the owners’ collective property. In addition to the potential financial benefits of this configuration of 100% affordable for-sale housing, mixed use developments create greater access to goods and services for tenant owners and their neighbors.
With imagination and commitment to diversifying Santa Monicans’ affordable homeownership options, creative and forward thinking nonprofits could design and build diverse 100% affordable for-sale housing properties and mixed use properties that expand current ideas of quality affordable housing. Such diverse combinations of structures and densities can offer low and moderate income individuals and families the privacy, exterior space, and lower density of traditional single family housing with the cost- and spacesaving benefits of multiple units on a single property.
Large areas of land in Santa Monica are bought by nonprofits using city loans which are subsequently forgiven.
36, 37 This permanent land transfer to third parties at little or no cost is currently used almost exclusively for affordable rental housing. Diverting some of the city’s resources to affordable homeownership projects in lieu of affordable rental housing projects would create a better and more diversified investment in Santa Monica residents, neighborhoods, and community.
36 See figure B-53. https://www.santamonica.gov/media/Housing-Element-Update-2021-to2029/Adopted%20Appendix%20B%20Housing%20Needs%20Clean.pdf 37 See Grant Balance Reduction (1) on page 6 of linked document. https://www.santamonica.gov/media/HED/Housing/2021-07-27_HousingTrustFundGuidelines.pdf
13.A.a
Packet Pg. 2036 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 15
3.2.2 New market rate and inclusionary units
Compared with traditional single family housing and even luxury condominiums, modest market rate multifamily for-sale units provide a considerably less expensive, and therefore more attainable, alternative for prospective homeowners. Smaller in size than traditional houses, with significant cost per unit and land per unit savings, modest market rate multifamily units are an important element of increasing affordable homeownership opportunities for low and moderate income Santa Monicans.
While new high density rental apartment construction is common in Santa Monica, 38 such
affordable multifamily for-sale construction is not. Shifting focus from the former to the latter can provide residents with valuable affordable homeownership inventory.
Furthermore, new market rate multifamily for-sale construction could provide additional opportunities for affordable homeownership via new policy that requires a minimum percentage of deed restricted units in each new market rate building, which are sold solely to qualifying low and moderate income homebuyers.39
38 https://smmirror.com/2022/12/ws-communities-files-first-santa-monica-builders-remedy-project/ 39 San Francisco has a similar requirement. https://sf.gov/information/inclusionary-housing-program
13.A.a
Packet Pg. 2037 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 16
4. Means to affordable homeownership
4.1 Existing funding
4.1.1 For prospective home buyers
There are many different sources of financial assistance for prospective homebuyers of modest means. The following is a non-exhaustive list of current homeownership assistance programs.
HUD Housing Choice Voucher Homeownership Program
The Housing Choice Voucher (HCV) homeownership program allows families that are assisted under the HCV program to use their voucher to buy a home and receive monthly assistance in meeting homeownership expenses.
https://www.hud.gov/program_offices/public_indian_housing/programs/hcv/homeownershi p
California Housing Finance Agency Forgivable Equity Builder Loan Program The Forgivable Equity Builder Loan gives first-time homebuyers a head start with immediate equity in their homes via a loan of up to 10% of the purchase price of the home. The loan is forgivable if the borrower continuously occupies the home as their primary residence for five years. The Forgivable Equity Builder Loan is a forgivable subordinate loan program that may only be used with a CalHFA first mortgage.
https://www.calhfa.ca.gov/homebuyer/programs/forgivable.htm Los Angeles County Development Authority (LACDA) First-Time Homebuyers Home Ownership Program
The Home Ownership Program (HOP) loan provides a second mortgage loan for first-time homebuyers with an assistance amount of up to $85,000, or 20% of the purchase prices, whichever is less. The loan provides down payment and/or closing assistance and is secured with a Deed of Trust and Promissory Note. Santa Monica does not currently participate in this program. https://www.lacda.org/home-ownership/home-ownershipprogram#:~:text=The%20Home%20Ownership%20Program%20
13.A.a
Packet Pg. 2038 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 17 The California Housing Finance Agency MyHome Assistance Program CalHFA Government Loans (FHA): MyHome offers a deferred-payment junior loan of an amount up to the lesser of 3.5% of the purchase price or appraised value to assist with down payment and/or closing costs. CalHFA Conventional Loans: MyHome offers a deferred-payment junior loan of an amount up to the lesser of 3% of the purchase price or appraised value to assist with down payment and/or closing costs. https://www.calhfa.ca.gov/homebuyer/programs/myhome.htm Neighborhood Housing Services of Los Angeles County NeighborhoodLIFT Program In collaboration with Wells Fargo and NeighborWorks® America, provides eligible homebuyers with $25,000 in down payment assistance on qualified properties ($27,500 for veterans and service members, teachers, paraprofessionals, law enforcement officers, firefighters, and emergency medical technicians). https://nhslacounty.org/lift/ The Golden State Finance Authority GSFA Platinum® Program Financial assistance up to 5.5% of the first mortgage loan amount; assistance can be used towards down payment and/or closing costs; homebuyer doesn't have to be a first-time homebuyer to qualify; perfect credit not required—FICO scores as low as 640 can qualify; DTI up to 50% allowed in some circumstances; 1-4 unit residences, condos, townhomes and manufactured homes allowed; flexible income limits (low-to-moderate income); various first mortgage loan types available to fit the needs of the homebuyer (FHA, VA, USDA, and conventional financing). https://gsfahome.org/programs/dpa/platinum.shtml
4.1.2 For organizations and municipalities
There are many different sources of financial assistance for organizations and municipalities that serve prospective homebuyers of modest means. The following is a nonexhaustive list of such current and planned financial assistance programs.
HUD Family Self Sufficiency Program
The HUD Family Self Sufficiency (FSS) program is the nation’s largest asset building program for low income families. The program currently serves around 65,000 participants at over 700 Public Housing Authorities (PHAs). FSS is a voluntary program that uses a combination of coordination of services and supports from community partners and an escrow savings account to help participants grow their earned income and savings and
13.A.a
Packet Pg. 2039 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 18 increase their financial wellbeing overall. Upon graduation from the program, the average family participating in FSS in 2021 had about $9,500 in savings. The $113 million-dollar Family Self-Sufficiency (FSS) NOFO released in August 2022 is an historic expansion of the program and central to HUD’s agenda for economic justice.
On 17 May 2022, HUD published a new FSS rule, taking a critical step towards making FSS available to even more families. Among other changes, the rule permits any adult household member, not only the official head of household, to enroll in the program, and eliminates regulations that were potential barriers to program graduation. The rule also eliminates a cap on savings that had been in place for higher-income families.40 FSS is usually administered by individual housing authorities, but it may also be administered in conjunction with nonprofit organizations. The Santa Monica Housing Authority (SMHA) stopped admitting participants to the FSS program in 2019; St. Joseph Center still administers the program for existing participants who have yet to complete the five year program.
https://www.hud.gov/program_offices/public_indian_housing/programs/hcv/fss California Department of Housing and Community Development Homeownership Super NOFA
A one-stop shop for affordable homeownership projects and programs. The California Department of Housing and Community Development (HCD), in accordance with Assembly Bill 434 (Chapter 192, Statutes 2020), is working to make our homeownership program funds accessible to more developers and communities. This funding provides loans and grants to local public entities and nonprofits for homeownership development projects, selfhelp technical assistance projects, mortgage assistance programs, owner-occupied rehabilitation programs, shared housing programs, and programs for the acquisition of manufactured housing for agricultural households. https://www.hcd.ca.gov/grants-andfunding/programs-active/homeownership-super-nofa HUD Self-Help Homeownership Opportunity Program NOFO
The U.S. Department of Housing and Urban Development (HUD) announced the availability of $12.5 million through the Self-Help Homeownership Opportunity Program (SHOP) for eligible national and regional nonprofit organizations and consortia with experience providing or facilitating self-help housing opportunities. This funding opportunity aims to develop decent, safe, and sanitary housing for low income persons and families who would otherwise not have the opportunity to become homeowners. The continued 40 https://www.hud.gov/press/press_releases_media_advisories/HUD_No_22_142
13.A.a
Packet Pg. 2040 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 19 partnerships with local communities and organizations that SHOP funds facilitate will help rebuild and revitalize neighborhoods and improve the lives of residents by expanding access to affordable housing and homeownership opportunities. https://www.hud.gov/press/press_releases_media_advisories/hud_no_22_165
4.2 Proposed actions for Santa Monica
4.2.1 TORCA 2.0
The City of Santa Monica passed the Tenant Ownership Rights Charter Amendment (TORCA) in 1984 to enable tenants and landlords to negotiate the conversion of multifamily building units into condominiums. Benefits included the potential transfer of equity from landlords to tenants; increased housing security for tenants who continued to rent, as they were protected from Ellis Act evictions;
43 and the numerous rewards of homeownership.
TORCA had several shortcomings. Conversion required tenants and landlords to negotiate, which was not always easy or possible. The ability for owners to sell voluntarily vacated units at market prices gave them incentive to persuade tenants to vacate their units. This sometimes resulted in the harassment of renters by owners, and even by third parties who offered to help renters purchase their units in order to flip them for sizable profits. 44 Only seven percent of original renters bought and occupied their units under TORCA, 45 likely a consequence of the above challenges and a lack of city engagement. TORCA ended in 1996.46
The Santa Monica Housing Commission recommends that the City of Santa Monica make policy changes to allow the conversion of existing rental units to for-sale units with the express provisions detailed below. TORCA 2.0 is a placeholder name for this recommended new legislation given its evolution from the original TORCA. 43 https://library.qcode.us/lib/santa_monica_ca/pub/municipal_code/item/the_charter_of_the_city_of_santaarticle_xx?view=all 44 Multiple private conversations between Commissioner Borresen and Santa Monica landlords, TORCA tenants, and other interested parties circa 2005-2010
45 https://santamonica.gov/media/HED/Housing/Housing%20Agenda%20Attachments/HC%202-2- 23%20Agenda%20Final.pdf
46 https://library.qcode.us/lib/santa_monica_ca/pub/municipal_code/item/the_charter_of_the_city_of_santaarticle_xx
13.A.a
Packet Pg. 2041 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 20
4.2.1.1 For rent controlled buildings and units
The Housing Commission recommends that City Council make policy changes to allow and encourage the conversion of existing rent controlled units to for-sale units, with these provisions:
1. Conversions of rent controlled buildings take place via the purchase of entire rent controlled properties by nonprofit organizations or government intermediaries with the primary goal of facilitating renters’ optional purchase of their units.
2. Any organization purchasing a rent controlled building via the above provision institute deed restrictions to preserve housing affordability. Rental units remain subject to rent control unless and until individual tenants choose to purchase their units, at which time the units will be sold at an affordable rate.
3. All individual unit purchases include proportional ownership of the entire property’s underlying land.
3. Tenants’ purchase of their units is strictly voluntary. No existing tenants are displaced by this policy. Any organization that purchases a rent controlled building continue managing, under rent control, the tenancies of those who do not wish to purchase their units.
4. There are no time constraints for tenants to purchase their units after property acquisition.
5. Units that are vacant at the time of conversion, or that become vacant should renters leave voluntarily, are sold with affordability covenants.
6. Once all units are sold, the managing organization retains no further ownership or control of the property or land. The building would operate in a manner similar to other owner occupied buildings.
7. Units purchased by tenants must be owner occupied. A minimum tenancy duration requirement of two years before an owner may sell or rent their unit, and a flip tax and/or penalty fee applies to tenants purchasing their units in order to ensure owner occupancy and prohibit unit flipping. Proceeds from such taxes or fees may be returned to collective tenant owners for property improvements.
8. If individual tenant owned properties choose to allow subsequent renting of units by owners, rent charged must conform to affordability requirements where deed-restrictions are present.
13.A.a
Packet Pg. 2042 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 21
4.2.1.2 For market rate and inclusionary units
The Housing Commission recommends that the City of Santa Monica make policy changes to allow the conversion of existing market rate rental housing to for-sale units, with these provisions:
1. Market rate buildings that are exempt from rent control may be converted to tenant owned units.
2. Building conversion requires protection for existing tenants who wish to remain in their units as renters without purchasing their units.
3. Converted buildings preserve the affordability of inclusionary units by converting them to affordable for-sale units if and when ownership conversion takes place. These affordable units are sold to qualifying low or moderate income buyers and include a minimum owner occupancy duration of 2 years before an owner may sell or rent their unit, and a flip tax and/or penalty fee to ensure owner occupancy and prohibit unit flipping.
4. If individual owner occupied properties choose to allow subsequent renting of units by owners, rent charged by owners of affordable units must conform to affordability requirements where deed-restrictions are present.
4.2.2 HUD homeownership program
The HUD Housing Choice Voucher (HCV) homeownership program allows families that are assisted under the HCV program to use their voucher to buy a home and receive monthly assistance in meeting homeownership expenses. The HCV homeownership program is available only to families that have been admitted to the HCV program and each PHA has discretion to determine whether to implement the HCV homeownership program in their jurisdiction.
To participate in the HCV homeownership program, the HCV family must meet specific income and employment requirements (employment requirements do not apply to elderly and disabled families), be a first-time homeowner as defined in the regulation, attend and satisfactorily complete the pre-assistance homeownership and housing counseling program required by the PHA, and meet any additional eligibility requirements set by the PHA.47
The HUD HCV homeownership program is a uniquely powerful tool for helping qualified low income renters become first-time homebuyers, which enhances stability, contributes 47 https://www.hudexchange.info/programs/public-housing/hcv-homeownership/
13.A.a
Packet Pg. 2043 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 22 to lower and more controlled long term housing costs, and builds personal and multigenerational wealth through appreciation in addition to the less tangible benefits of homeownership. Significantly, this program can also assist HCV holders to transition away from HUD assistance, making their vouchers available for new low income residents in need of this housing assistance.
As such, the Housing Commission strongly recommends that the Santa Monica Housing Authority Board direct SMHA staff to adopt participation in the existing HUD HCV and other available HUD homeownership programs.
4.2.3 100% affordable rental housing conversion
Given the stated desire of the city to increase affordable homeownership, the Housing Commission recommends that City Council direct staff to begin exploring this potential subset of affordable homeownership inventory in two ways:
First, staff should conduct research to determine the legal, financial, and logistical feasibility of working with existing and/or new housing nonprofit partners to convert 100% affordable rental housing to a homeownership model whereby each tenant would be given the option to purchase their unit.
Next, the city should engage directly with existing nonprofit housing providers currently managing, constructing, or planning 100% affordable rental properties in Santa Monica to gauge their willingness to consider such transitions and discuss how they could be orchestrated.
The Housing Commission further recommends that, should this source of affordable homeownership inventory prove feasible, the city encourage or require existing nonprofit housing providers of 100% affordable rental buildings to transition their units to a voluntary ownership model. If necessary, this may require buildings to migrate to new nonprofits that will pursue ownership as a primary goal.
4.2.4 Inclusion of for-sale units in new 100% affordable rental housing Furthermore, both to encourage the construction of 100% affordable for-sale housing and to improve the quality of 100% affordable housing development units and properties, the Housing Commission recommends the city explore the feasibility of requiring all new 100% affordable housing projects to include a minimum percentage of for-sale units in each 100% affordable housing building, for example ten percent, with possible provisions that may permit a lower or no percentage of for-sale units in a given building in exchange for additional 100% affordable housing projects comprised of 100% affordable for-sale units.
13.A.a
Packet Pg. 2044 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 23 All such for-sale units must be owner occupied. They should require a minimum owner occupancy duration requirement of two years before an owner may sell or rent their unit, and a flip tax and/or penalty fee in order to ensure owner occupancy and prohibit unit flipping. Proceeds from such taxes or fees may be returned to collective tenant owners for property improvements. If individual owner occupied properties choose to allow subsequent renting of units by owners, rent charged must conform to affordability requirements where deed-restrictions are present.
4.2.5 Equalize fees
In Santa Monica, city fees48 and planning policies49 are biased against new for-sale housing construction compared with new rental housing construction. These disparities may discourage the construction of lower priced multifamily buildings occupied by tenant owners in favor of rentals.
To encourage new construction of for-sale multifamily housing, the Housing Commission recommends the City of Santa Monica equalize the treatment of new ownership construction and new rental construction in planning and fee schedules so that one isn’t privileged over the other.
4.2.6 Prioritize new market rate for-sale housing over new market rate rental housing Again, compared with traditional single family housing and even luxury condominiums, modest market rate multifamily for-sale units provide a considerably less expensive, and therefore more attainable, alternative for prospective homeowners. Smaller in size than traditional houses, with significant cost per unit and land per unit savings, modest market rate multifamily units are an important element of increasing affordable homeownership opportunities for low and moderate income Santa Monicans.
While new high density rental apartment construction is common in Santa Monica,50 such affordable multifamily for-sale construction is not. And while rental housing serves an important purpose, particularly for short term and transitioning residents, it does not enable long term Santa Monicans with low and moderate incomes to realize the many benefits of 48 Affordable housing fees are $39.12 per square foot for apartments and $45.70 per square foot for condominiums (effective 12/01/22; updated annually). https://www.santamonica.gov/housing-ahppdevelopers 49 See item G on linked page: On site affordable housing units must be rental units in rental projects. In ownership projects, these affordable units may be rental units or ownership units. https://library.qcode.us/lib/santa_monica_ca/pub/municipal_code/item/article_9-division_6-chapter_9_64- 9_64_050
50 https://smmirror.com/2022/12/ws-communities-files-first-santa-monica-builders-remedy-project/
13.A.a
Packet Pg. 2045 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 24 homeownership. Shifting focus from the former to the latter can provide residents with valuable affordable homeownership inventory.
In light of this, the Housing Commission recommends that the city prioritizes new construction of market rate for-sale housing over market rate rental housing until homeownership rates equalize.
4.2.7 New forgivable down payment assistance loan fund
Dedicated financial assistance programs are vital to increasing homeownership among low and moderate income individuals and families. The Housing Commission recommends that the City of Santa Monica use local, state, and federal housing trust funds to establish generous homeownership assistance programming that provides interest free or forgivable down payment assistance to low and moderate income city residents who wish to purchase affordable housing.
4.2.8 New home purchase assistance office
Buying a home for the first time is daunting. Navigating affordable homeownership assistance programs is even more complex, difficult, and time consuming, particularly for first time home buyers. The Housing Commission recommends that the city establish a home purchase assistance office that will encourage homeownership, help prospective buyers navigate the numerous and varied purchase assistance programs, monitor ownership programs, and seek new ways to help Santa Monica residents, particularly those with low or moderate incomes, buy a home.
4.2.9 Community land trusts
Community Land Trusts (CLTs) are organizations that own land and develop it through an inclusive, community-based process.52 They originate in movements for racial, economic, and environmental justice and have been used to combat Black land loss and displacement, build community wealth, and strengthen community health and wellbeing.53 CLTs develop land according to a community’s needs, which can include anything from open space to a multifamily rental housing project. However, CLTs are most often created to provide affordable homeownership opportunities to low- and moderate-income 52 https://nhc.org/policy-guide/shared-equity-homeownership-the-basics/shared-equity-models-of-ownership/ 53 https://www.lisc.org/our-stories/story/real-power-is-in-the-land-community-land-trustspast-present-andfuture/
13.A.a
Packet Pg. 2046 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 25 households. There are about 200 community land trusts in the US, and the model has become popular in the UK as well.54
The CLT model is structured around a ground lease. The CLT owns land, which is leased to households who purchase the homes that sit on CLT land. Removing the cost of land from the cost of purchasing the home provides a significant subsidy to the households. The ground lease limits the amount for which the home can be sold, passing the subsidy on from one homeowner to the next. CLTs also often retain the right to repurchase the home in the case of foreclosure.55
CLTs and the community-based nongovernmental organizations (NGOs) that establish them are generally grant fundable and attract foundation support. The NGO sector is growing, with hundreds of CLTs nationwide. Some cities are also investing substantial public funds in CLTs, as in Houston’s CLT bond issue and capital campaign totaling $140 million. Boston recently lost 2500 units of affordable housing in a single year when deed restrictions expired, so the city now funds a network of CLTs across the metro area. Other cities have made smaller initial investments, such as Louisville, Kentucky which put $2.3 million into developing 10 CLT units, and is working with Grounded Solutions to expand their programs.56
The Housing Commission recommends that the city research, create, and secure funding for a community land trust pilot program to permanently acquire land and convert or erect affordable for-sale housing in order to create opportunities for 100% affordable homeownership with fractional underlying ownership of underlying land, under community control, with or without mixed use space, in high opportunity, low poverty neighborhoods, for low and moderate income Santa Monicans.
4.2.10 Rent to own
While there are many financial assistance programs for low and moderate income individuals and families pursuing homeownership, these programs can involve standard mortgage products that require participants have good credit and/or access to additional savings. Not all low and moderate income prospective homeowners can be served via these programs. However, rent-to-own programming can provide a gradual path to homeownership for low and moderate income people who lack strong credit histories and/or sufficient savings to utilize traditional homeownership assistance programs.
Typical rent to own opportunities advertised by private property owners can be predatory schemes that result in higher monthly payments by tenants that nonetheless fail to result in 54 https://nhc.org/policy-guide/shared-equity-homeownership-the-basics/shared-equity-models-of-ownership/ 55 https://nhc.org/policy-guide/shared-equity-homeownership-the-basics/shared-equity-models-of-ownership/ 56 https://challenge.economicarchitectureproject.org/evolution-in-community-land-trusts
13.A.a
Packet Pg. 2047 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 26 homeownership because agreements include clauses whereby tenants forfeit all ownership claims unless and until they have paid the entire home purchase price. Because this can take a long time, tenants often move out before completing the purchase and forfeit equity that might have been built under a contract with different conditions.
Municipal, nonprofit, and other organizations whose aims are to advance affordable homeownership have an opportunity to create supportive, rather than predatory, rent to own programming. One key potential difference between the two is fractional accrual of equity by tenants with each payment, ensuring rent to own is not a decades long, all or nothing bid for homeownership.
Therefore, the Housing Commission recommends that City Council direct staff to research and report to City Council on the feasibility of and best practices for supporting rent to own paths to affordable homeownership whereby a portion of paid monthly rents are credited toward the purchase of that unit as well as proportional ownership of the underlying land.
Tenants accrue fractional ownership with each payment and retain rights to compensation for such if they vacate their unit prior to completing its purchase. Rent to own programming may be implemented by the city or via a nonprofit organization with the primary aim of advancing affordable homeownership.
13.A.a
Packet Pg. 2048 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 27
5. Recommendations
The Santa Monica Housing Commission recommends that City Council urgently takes the following actions to establish and increase avenues for affordable homeownership in Santa Monica:
1. Create new city policy (e.g., TORCA 2.0) that:
A. Allows and encourages the conversion of existing rent controlled units to for-sale units, with the following provisions:
i. Conversions of rent controlled buildings take place via the purchase of entire rent controlled properties by nonprofit organizations or government intermediaries with the primary goal of facilitating renters’ optional purchase of their units;
ii. Any organization purchasing a rent controlled building via this provision institute deed restrictions to preserve housing affordability and rental units remain subject to rent control unless and until individual tenants choose to purchase their units, at which time the units will be sold at an affordable rate; iii. All individual unit purchases include proportional ownership of the entire property’s underlying land;
iv. Tenants’ purchase of their units is strictly voluntary, no existing tenants are displaced by this policy, and any organization that purchases a rent controlled building continue managing, under rent control, the tenancies of those who do not wish to purchase their units;
v. There are no time constraints for tenants to purchase their units after property acquisition;
vi. Units that are vacant at the time of conversion, or that become vacant should renters leave voluntarily, are sold with affordability covenants; vii. Once all units are sold, the managing organization retains no further ownership or control of the property or land and the building operate in a manner similar to other owner occupied buildings;
viii. Units purchased by tenants must be owner occupied with a minimum tenancy duration of two years before an owner may sell or rent their unit, and a flip tax and/or penalty fee to ensure owner occupancy and prohibit unit flipping;
13.A.a
Packet Pg. 2049 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 28 ix. If individual tenant owned properties choose to allow subsequent renting of units by owners, rent charged must conform to affordability requirements where deed-restrictions are present. (See section 4.2.1.1) B. Allows the conversion of existing market rate rental housing to for-sale units, with the following provisions:
i. Market rate buildings that are exempt from rent control may be converted to tenant owned units;
ii. Building conversion requires protection for existing tenants who wish to remain in their units as renters without purchasing their units; iii. Converted buildings preserve the affordability of inclusionary units by converting them to affordable for-sale units if and when ownership conversion takes place and these affordable units are sold to qualifying low or moderate income buyers with a minimum tenancy duration of two years before an owner may sell or rent their unit;
iv. If individual owner occupied properties choose to allow subsequent renting of units by owners, rent charged by owners of affordable units must conform to affordability requirements where deed-restrictions are present. (See section 4.2.1.2)
2. Direct SMHA staff to adopt participation in the existing HUD HCV and other HUD homeownership programs. (See section 4.2.2)
3. Begin exploring the potential of converting 100% affordable rental housing to for-sale housing in the following ways:
A. Conduct research to determine the legal, financial, and logistical feasibility of working with current and/or new housing nonprofit partners to convert 100% affordable rental housing to a tenant-optional homeownership model on a per unit basis;
B. Engage directly with existing nonprofit housing providers currently managing, constructing, or planning 100% affordable rental properties in Santa Monica to gauge their willingness to consider such transitions and discuss how they could be orchestrated;
C. If feasible, encourage or require those current nonprofits to transition their units to a tenant-voluntary ownership model, which may require buildings to migrate to new nonprofits that will pursue ownership as a primary goal. (See section 4.2.3)
13.A.a
Packet Pg. 2050 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 29
4. Explore the feasibility of requiring all new 100% affordable housing projects to include a minimum percentage of for-sale units in each 100% affordable housing building, for example 10%, with possible provisions that may permit a lower or no percentage of for-sale units in a given building in exchange for additional 100% affordable housing projects comprised of 100% affordable for-sale units. All such for-sale units should require owner occupancy and a minimum owner occupancy duration of two years before an owner may sell or rent their unit. If individual owner occupied properties choose to allow subsequent renting of units by owners, rent charged must conform to affordability requirements where deed-restrictions are present. (See section 4.2.4)
5. Equalize the treatment of new ownership construction and new rental construction in planning and fee schedules so that one isn’t privileged over the other. (See section 4.2.5)
6. Prioritize new construction of market rate for-sale housing over market rate rental housing until homeownership rates equalize. (See section 4.2.6)
7. Establish generous city programs using housing trust funds to provide interest free or forgivable down payment assistance to low and moderate income city residents who wish to purchase affordable housing. (See section 4.2.7)
8. Establish a city home purchase assistance office that will encourage homeownership, help prospective buyers navigate the various purchase assistance programs, monitor ownership programs, and seek new ways to help Santa Monica residents buy their homes. (See section 4.2.8)
9. Research, create, and secure funding for a community land trust pilot program to permanently acquire land and convert or erect affordable for-sale housing in order to create opportunities for 100% affordable homeownership with fractional underlying ownership of land, under community control, with or without mixed use space, in high opportunity, low poverty neighborhoods, for low and moderate income Santa Monicans. (See section 4.2.9)
10. Direct staff to research and report to City Council on the feasibility of and best practices for supporting rent to own paths to affordable homeownership whereby a portion of paid monthly rents are credited toward the purchase of that unit and proportional ownership of the underlying land. Tenants accrue fractional ownership with each payment and retain rights to compensation for such if they vacate their unit prior to completing its purchase. Rent to own programming may be implemented by the city or via a nonprofit organization with the primary aim of advancing affordable homeownership. (See section
4.2.10)
13.A.a
Packet Pg. 2051 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) Santa Monica Housing Commission Affordable Homeownership Report 30
6. Conclusion
Homeownership is the cornerstone of the American Dream. In addition to the financial and material rewards of helping lower and control long term housing costs, building personal and multigenerational wealth, and enabling environmental customization, homeownership brings vital, less tangible benefits like providing a means of self-expression, fostering pride, increasing social equity, and strengthening community. As such, homeownership is an unparalleled means of improving individuals’ and families’ quality of life.
Santa Monica prides itself on being a diverse, equitable, and inclusive city. It has taken great strides in acknowledging historical harms and facilitating the participation of marginalized communities in creating a vibrant local cultural milieu. At this point in history, diversity is still inextricably tied to socioeconomic diversity. Therefore, the city’s next steps to advance diversity, equity, and inclusion must address the fact that diversity in Santa Monica, as elsewhere, still exists at the expense of its least privileged residents.
While affordable rental housing is a key component of plans to remedy California’s and Santa Monica’s affordable housing crisis, relegating low and moderate income residents solely to rental housing perpetuates and exacerbates other economic and societal disparities. These disparities are increasingly evident in Santa Monica given the high cost of living, and the city must act swiftly and decisively to mitigate and more fully address them.
HUD Secretary Marcia Fudge correctly states that “homeownership is the principal source of wealth creation for most American households.” As such, equity in Santa Monica—both literal and figurative, financial and societal—is dependent upon the creation of affordable homeownership opportunities. To strengthen the fabric of this community and ensure that equity, diversity, and inclusion thrive here, Santa Monica must work to enfranchise and empower those who are integral to the city’s character and success but not yet integrated into both its tangible and intangible wealth.
Despite the high cost of living in Santa Monica, including some of the highest real estate prices in the country, affordable homeownership is possible here. Successful programming in similarly expensive cities like San Diego and New York City demonstrates this. With the commitment and creativity of city leaders, Santa Monica can strengthen its social, cultural, and economic foundations while protecting and fortifying its most vital asset—the people who live, work, play, and love here.
The Santa Monica Housing Commission thanks City Council for its consideration of this report and the community informed recommendations herein. The Housing Commission respectfully asks that the Mayor, Mayor Pro Tempore, and Councilmembers act swiftly to begin the process of including all residents in the bounty, equity, and pride of homeownership in Santa Monica.
13.A.a
Packet Pg. 2052 Attachment: Santa Monica Housing Commission Affordable Homeownership Report (5826 : Housing Commission Update) From: Tara Barauskas
To: councilmtgitems
Subject: July 25th agenda, item 13A
Date: Friday, July 21, 2023 4:32:11 PM
Attachments: councilltr72123.pdf
EXTERNAL
Please distribute this comment letter regarding item 13A for next Tuesday’s agenda. Thank you! Tara
Tara Barauskas, LEED AP
Executive Director
Community Corporation of Santa Monica
1423 2nd Street, Suite B
Santa Monica, CA 90401
(310) 394-8487 ext. 133
[email protected]
www.communitycorp.org
I acknowledge with respect and gratitude the Tongva, Kizh, and Chumash Peoples on whose traditional territory I live and work.
ITEM 13.A.
JULY 25, 2023
ITEM 13.A.
JULY 25, 2023
13.A.b
Packet Pg. 2053 Attachment: Written Comments (5826 : Housing Commission Update) ITEM 13.A.
JULY 25, 2023
ITEM 13.A.
JULY 25, 2023
13.A.b
Packet Pg. 2054 Attachment: Written Comments (5826 : Housing Commission Update) ITEM 13.A.
JULY 25, 2023
ITEM 13.A.
JULY 25, 2023
13.A.b
Packet Pg. 2055 Attachment: Written Comments (5826 : Housing Commission Update) ITEM 13.A.
JULY 25, 2023
ITEM 13.A.
JULY 25, 2023
13.A.b
Packet Pg. 2056 Attachment: Written Comments (5826 : Housing Commission Update) From: SM Renters Rights
To: Gleam Davis; Caroline Torosis; Jesse Zwick; [email protected]; Oscar de la Torre; Lana Negrete; Phil Brock; councilmtgitems; Council Mailbox
Subject: From SMRR - Item 13.A - 7-25-23 Council Meeting Date: Monday, July 24, 2023 11:04:47 AM
Attachments: 230724 SMRR Letter regarding Item 13.A on 7.25.23 City Council Agenda.pdf
EXTERNAL
Dear Mayor and Councilmembers,
Please see the attached letter from SMRR regarding the 13.A agenda item for your July 25th Council meeting.
Thank you.
ITEM 13.A.
JULY 25, 2023
ITEM 13.A.
JULY 25, 2023
13.A.b
Packet Pg. 2057 Attachment: Written Comments (5826 : Housing Commission Update) 1 July 24, 2023
Re: Agenda Item 13A for July 25, 2023 City Council Meeting (Housing Commission Report) – The Need for Further Study, Including Financial Modeling, to Determine Whether Santa Monica Can Create A Fair, Effective and Efficient Affordable Home Ownership Program
Dear Councilmembers:
Santa Monicans for Renters’ Rights (“SMRR”) has reviewed with great interest the Santa Monica Housing Commission’s May 7, 2023 Report entitled “Creating Equity: Affordable Home Ownership in Santa Monica” (“the Report”). SMRR has long shared the goal of creating affordable homeownership opportunities, in addition to affordable rental opportunities, if it can be done fairly, effectively and efficiently. For example, since 2008 each SMRR Platform (adopted by a vote of the SMRR general membership) has provided:
The City should facilitate below-market-rate homeownership and rental opportunities for very-low-income and low-income households that live or work in Santa Monica. SMRR opposes condo-conversion schemes that create displacement and harassment risks for existing residents.
SMRR Platform at Plank B.9.
SMRR appreciates the effort that the Housing Commission put into the Report, and SMRR particularly appreciates the Housing Commission’s apparently strong agreement with SMRR that any potential program for the conversion of rental housing to ownership housing must avoid displacement and harassment risks for existing residents.1 However, for the reasons set out in detail below, SMRR believes far more work must be done—including financial modeling (which is completely absent from the Report)—before the Housing Commission, the City Council, or the community can credibly determine whether any of the proposals put forward in the Report represent sensible policy and/or a proper use of the City’s limited affordable housing funds.
Principles of good and responsible governance require that no decisions regarding potential uses of taxpayer funds (or supporting legal changes) should occur until the additional work necessary for a credible decision is performed by Staff and the Housing Commission, and vetted by the City Council and the community.
1 For example, in order to avoid the risks of tenant harassment and displacement, the Housing Commission recommends that a non-profit entity purchase a building before the process of converting it to ownership housing commences. See Report at 20.
ITEM 13.A.
JULY 25, 2023
ITEM 13.A.
JULY 25, 2023
13.A.b
Packet Pg. 2058 Attachment: Written Comments (5826 : Housing Commission Update) 2 I. THE REPORT DOES NOT PROVIDE OR LINK TO INFORMATION ABOUT
EXISTING PROGRAMS IN OTHER JURISDICTIONS THAT IS SUFFICIENT TO DEMONSTRATE THAT THE REPORT’S PROPOSALS ARE FAIR,
EFFECTIVE AND EFFICIENT USES OF THE CITY’S LIMITED RESOURCES On the first page of the “Introduction” to the Report, the Housing Commission recognizes the need to demonstrate that an affordable homeownership program can be implemented in Santa Monica in a fair, effective and efficient manner:
Affordable homeownership may not seem feasible in Santa Monica due to the high cost of living, and therefore a poor use of limited city and federal resources.
However, successful programs in similarly costly cities like San Diego1 and New York City2 demonstrate otherwise.
1 https://www.sdhc.org/housing-opportunities/affordable-for-sale-housing/ 2 https://www.nyc.gov/site/hpd/services-and-information/hdfc.page Report at p. 3.
The Report makes no further reference to the San Diego or New York City programs, or to any other existing local government program (although it does reference HUD rules that govern any federally funded Section 8 homeownership program that a local housing authority may choose to create). However, a review of the information on the cited websites reveals material differences between the San Diego and New York City programs on the one hand, and the Report’s proposals on the other hand—as well as the absence of critical financial information.
Consequently, SMRR respectfully submits that the Report’s citation to the existence of the San Diego and New York City programs does not by itself constitute sufficient analysis to credibly “demonstrate” that the Report’s proposals are viable and wise.
The San Diego Program
The San Diego program is 20 years old. It consists of 257 total units, which represents roughly 1/20th of one percent of the total housing stock in San Diego. This is equivalent to roughly 25 units in Santa Monica.
The San Diego units were constructed by private developers in either 2003 or 2006—a time when land and construction costs (as well as the market value of the units) were much lower than they are in Santa Monica today. The units then were sold to eligible lower or moderate income homebuyers at below market prices affordable to them, with the San Diego Housing Authority (“SDHA”) taking back a promissory note and second deed of trust for the difference between the below market price paid and the actual market price of the unit at the time of the first sale (an amount that the SDHA presumably paid to the private developer back in 2003 and 2006). The homebuyers paid the purchase price through 30 year fixed-rate mortgages from third-party lenders. The second loan is repayable to the SDHA as a balloon payment at the end of the 45 or 55 deed restriction period.
Unlike the proposals in the Report, the San Diego program guidelines require the purchasers of the units to reside in them as their primary residence at all times (i.e., the homebuyers may not rent the units to others). The guidelines also require (apparently like the proposals in the Report) that any resales of the units during the 45 or 55 year deed-restriction period be made to the same ITEM 13.A.
JULY 25, 2023
ITEM 13.A.
JULY 25, 2023
13.A.b
Packet Pg. 2059 Attachment: Written Comments (5826 : Housing Commission Update) 3 income-type household as originally purchased the unit at a price the SDHA calculates is affordable to such a household (a price that the guidelines state will be below the then current market price). The new homebuyer must agree to abide by all the same program restrictions, and must assume the obligation to repay the original loan by the SDHA at the end of the deedrestriction period.
A large number of critical questions regarding the San Diego program are left unanswered by the cited website. These include, but are not limited to:
Why has San Diego decided not to add any units to this program in the last 17 years? What did it cost the SDHA to partially finance the original purchases back in 2003 or 2006, and what would it cost to replicate that aspect of the program model today? What does it cost SDHA to administer the program?
Has SDHA incurred other costs (e.g., protecting the unit from foreclosure to the thirdparty lender who financed the homebuyers’ portions of the purchase price, covering any homeowner association dues or assessments missed by the homebuyers, etc.)? Why did SDHA elect to require owner occupancy (i.e., preclude the homebuyers from renting to others)?
How many of the original homebuyers have sold their units to date, and were those sales voluntary or compelled to avoid foreclosure (e.g., due to missed mortgage payments, missed Homeowners Association dues or assessments for major repairs, etc.)? What financial gains, if any, have been obtained by persons who sold their units subject to the affordable price resale requirement?
New York City Program
The New York City program is roughly 50 years old. It consists of more than 1100 limitedequity cooperative buildings that, according to a March 2020 Curbed NY article that SMRR located, include some 25,800 units. These units represent roughly 4/5ths of one percent of the total units in New York City, which would equate to roughly 400 units in Santa Monica.
Many of these buildings were acquired by New York City in the 1970s and 1980s when the landlords abandoned them (an acquisition pathway not available in Santa Monica), and then the City rehabilitated them over time. More recently, some undisclosed number of buildings were constructed (and, while not clear from the relevant website, maybe some other recent buildings were acquired and rehabilitated).
The precise rules governing the original unit purchases apparently vary somewhat among the buildings. Each homebuyer must meet the income restrictions imposed for the particular unit.
The precise mechanism for calculating sales price is not disclosed on the cited website (although it necessarily is limited given the income restrictions on eligible purchasers and the nature of the limited-equity cooperative model of affordable homeownership). The source of purchaser financing likewise is not disclosed.
ITEM 13.A.
JULY 25, 2023
ITEM 13.A.
JULY 25, 2023
13.A.b
Packet Pg. 2060 Attachment: Written Comments (5826 : Housing Commission Update) 4 Unlike the proposals in the Report, the typical cooperative building in the New York City program requires the purchasers of the units to reside in them as their primary residence at all times (i.e., the homebuyers may not rent the units to others, although subletting during a temporary absence may be allowed in some buildings). The typical cooperative building also requires (apparently like the proposals in the Report) that any resales of the units be made to the same income-type household as originally purchased the unit (which inevitably limits the resale price well below market price). In addition, a portion of the profit on any resale must be paid to the cooperative as a “flip tax” (which uses the money for repairs and maintenance), although the percentage varies by building.
A large number of critical questions regarding the New York City program are left unanswered by the cited website. These include, but are not limited to:
What did it cost New York City to recently construct new buildings (and, if applicable, to recently acquire and rehabilitate non-abandoned buildings)? What does it cost New York City to administer the program? Has New York City incurred other costs (e.g., providing loans to individual homebuyers, serving as a backstop to the cooperative buildings in the event mismanagement or unexpectedly substantial repairs require infusions of funds, etc.)?
How do purchasers finance their purchases?
Why did New York City elect to require owner occupancy (i.e., preclude the homebuyers from renting to others)?
How many of the original purchasers have sold their units to date, and were those sales voluntary or compelled to avoid foreclosure (e.g., due to missed mortgage payments, missed Cooperative dues or assessments for major repairs, etc.)? What financial gains, if any, have been obtained by persons who sold their units subject to the resale requirements?
Section 8 Homeownership Program
At a later point, the Report quotes in part and cites HUD’s online general “Overview” of the Section 8 Housing Choice Voucher Homeownership program:
The HUD Housing Choice Voucher (HCV) homeownership program allows families that are assisted under the HCV program to use their voucher to buy a home and receive monthly assistance in meeting homeownership expenses. The HCV homeownership program is available only to families that have been admitted to the HCV program and each PHA has discretion to determine whether to implement the HCV homeownership program in their jurisdiction.
To participate in the HCV homeownership program, the HCV family must meet specific income and employment requirements (employment requirements do not apply to elderly and disabled families), be a first-time homeowner as defined in the regulation, attend and satisfactorily complete the pre-assistance ITEM 13.A.
JULY 25, 2023
ITEM 13.A.
JULY 25, 2023
13.A.b
Packet Pg. 2061 Attachment: Written Comments (5826 : Housing Commission Update) 5 homeownership and housing counseling program required by the PHA, and meet any additional eligibility requirements set by the PHA.47 47 https://www.hudexchange.info/programs/public-housing/hcv-homeownership/ Report at 21. Although not mentioned in the Report, the cited website provides links that shed some light on the nature of the existing programs in jurisdictions that have elected to stand up such a HCV homeownership program. This limited information makes clear that mere citation to the potential for such a program is not sufficient by itself to credibly demonstrate that implementing such a program in Santa Monica is viable or wise.
In particular, the website links to a spreadsheet identifying the total number of new and ongoing participants in each existing program for each year from 2015 through 2020. Sorting the spreadsheet to California reveals that the (1) the 42 programs in California have a combined total of about 400 participants, (2) there has been no growth in the number of participants in the programs over that six year period, (3) the City of Los Angeles has a program with just 40 participants, and (4) San Francisco has a program with just four participants.
The website also links to a January 19, 2022 HUD webinar with representatives from what HUD considers high performing programs in Columbus Ohio (a program that had averaged roughly 11 to 14 home purchases per year from the approximately 13,500 voucher holders), Fort Worth Texas (a program that had averaged roughly 13 home purchases per year from the approximately 6,000 voucher holders), Louisville Kentucky (a program that had averaged roughly 25 home purchases per year from the approximately 11,000 voucher holders), and the State of Michigan (a program that had averaged roughly 50 home purchases per year from the approximately 29,000 voucher holders). The representatives from these jurisdictions—which undoubtedly have far lower housing costs than Santa Monica—stated that the very high prices in their markets as of January 2022 and low inventory had largely brought their programs to a standstill at that time. The representatives also discussed the substantial administrative effort historically required to make their programs successful.
This limited data leaves a large number of questions unanswered, including but not limited to the following:
What did it cost Los Angeles to stand up its program?
What does it cost Los Angeles to administer its program? Are there other costs that Los Angeles (or other jurisdictions) have incurred (e.g., the need for pre- or post-closing financial assistance to the purchaser beyond the voucher payments)?
How do participants in the Los Angeles program finance their downpayments? What lenders finance the home purchases in the Los Angeles program? What is the price of a unit that a participant in the Los Angeles program could afford? What explains why the Los Angeles program consists of just 40 participants? ITEM 13.A.
JULY 25, 2023
ITEM 13.A.
JULY 25, 2023
13.A.b
Packet Pg. 2062 Attachment: Written Comments (5826 : Housing Commission Update) 6 What explains why there has been no growth in the Los Angeles program from 2015 through 2020?
What financial gains, if any, have participants in the Los Angeles program obtained (note that HUD regulations prohibit participants from leasing or selling the properties while they remain in the program)?
* * *
In short, SMRR believes a much deeper understanding of the existing programs referenced in the Report is a necessary (but not sufficient) precondition to credibly evaluating whether those same or somewhat altered programs could or should be adopted in Santa Monica.
II. THE REPORT DOES NOT PROVIDE ANY OF THE FINANCIAL ANALYSES
OF THE PROPOSED PROGRAMS AND POTENTIAL ALTERNATIVE USES
OF CITY FUNDS THAT ARE NECESSARY TO A CREDIBLE EVALUATION OF THE REPORT’S PROPOSALS
In order to credibly evaluate the broad concepts recommended in the Report, pro forma financial analyses of the proposed affordable homeownership programs also are necessary in order to assess (1) what it would cost the City to design, fund and administer these programs, (2) how many people at what income levels could feasibly utilize these programs, (3) what benefits would the participants in these programs receive, and (4) what risks would the participants take (e.g., incurring large unit or building repair costs, and potentially losing their homes if unable to afford these costs). If these pro forma financial analyses suggest one or more programs could be financially feasible and effective in Santa Monica, similar pro forma analyses would be needed of alternative affordable housing programs in order to compare the cost-effectiveness of the proposed programs and alternative programs. Assuming the comparative pro formas indicated one of the proposed programs could be cost-effective, further financial analysis would be required to determine the potential additional costs (if any) that adoption of the proposed programs would have on remaining renters (e.g., would rents rise from a reduction in supply?).
The Report fails to supply any of this necessary financial analysis, and therefore does not provide a credible basis for evaluating the Report’s proposed programs.
III. IF AND WHEN A CREDIBLE CASE IS PRESENTED FOR THE REPORT’S
PROPOSED AFFORDABLE HOMEOWNERSHIP PROGRAMS, OR SOME
ALTERNATIVE PROGRAM, ADDITIONAL ATTENTION WILL BE
REQUIRED TO ASSURE THE PROGRAMS ARE ADMINISTERED FAIRLY Assuming the requisite work discussed in prior sections of this letter indicates that the Report’s proposed programs could be effective and efficient, considerable additional work will be required to assure that they are fair. As the discussion in Part I above of existing programs makes clear, only a small number of persons will be able to take advantage of any affordable homeownership opportunities. This means that the process for selecting who obtains these benefits must be fair and must be viewed by the community as fair.
One obvious requirement is that those who have participated and will participate in the evaluation and adoption of the currently proposed and any ultimately adopted programs must be precluded from actually utilizing the programs (as sellers or buyers). Failure to adopt this rule ITEM 13.A.
JULY 25, 2023
ITEM 13.A.
JULY 25, 2023
13.A.b
Packet Pg. 2063 Attachment: Written Comments (5826 : Housing Commission Update) 7 would raise concerns that the evaluation and adoption process was guided by self-interest rather than the community’s best interest, and would raise concerns that the selection process itself was rigged to favor insiders. True or not, the appearance of impropriety would be anathema to good governance principles and undermine community support for any ultimately adopted program.
Many additional potential criteria undoubtedly would come to mind, and would have to be vetted both for validity and for legality (for example, prioritizing those with the longest period of residence in the community, requiring residents of existing buildings all consent, etc.).
Consideration of such potential criteria is premature until there first is a potentially effective and cost-efficient program to consider.
IV. IF AND WHEN AN APPARENTLY FAIR, EFFECTIVE AND EFFICIENT
PROGRAM IS IDENTIFIED, THE CITY SHOULD PROCEED WITH A PILOT
PROGRAM TO TEST WHETHER THESE THEORETICAL CONCLUSIONS
ARE BORNE OUT IN THE REAL WORLD
Prudence and good government principles dictate that, should it appear possible to stand up a fair, effective and efficient affordable homeownership program, the City should begin with a pilot program in order to determine whether there is proof of concept in the real world conditions prevailing in Santa Monica. Council adopted this approach when it developed the Preserve Our Diversity rent subsidy program, and valuable lessons were learned from both the initial pilot and the expanded pilot programs.
* * *
In sum, SMRR supports the concept of an affordable home ownership program in Santa Monica to the extent it can be fair, effective and efficient. The Report does not yet provide the necessary data from which to make a credible decision about whether that is in fact possible. Council should make no decisions unless and until the requisite data is developed.
Thank you for considering our views.
Sincerely,
Denny Zane Mike Soloff
Co-Chair, Santa Monicans for Renters’ Rights Co-Chair, Santa Monicans for Renters’ Rights ITEM 13.A.
JULY 25, 2023
ITEM 13.A.
JULY 25, 2023
13.A.b
Packet Pg. 2064 Attachment: Written Comments (5826 : Housing Commission Update) From: [email protected]
To: councilmtgitems
Subject: Ítem: 13 A
Date: Monday, July 24, 2023 12:55:47 PM
EXTERNAL
Dear council members: The idea of the buying rental units is an interesting one.
Perhaps consider an easier way to keep people in their rent controlled units would be to have funds to help cover one’s rent. Partial payments to the building owners.
This would be very beneficial to older tenants. A relatively simple procedure. Less red tape.
The city did this when the rents were raised 6%. It seemed to work out very well.
Thank you. Ms Steiner
ITEM 13.A.
JULY 25, 2023
ITEM 13.A.
JULY 25, 2023
13.A.b
Packet Pg. 2065 Attachment: Written Comments (5826 : Housing Commission Update) From: Leslie Lambert
To: councilmtgitems
Cc: Gleam Davis; Caroline Torosis; Christine Parra; Jesse Zwick; Lana Negrete; Phil Brock; Oscar de la Torre Subject: Item 13A
Date: Monday, July 24, 2023 9:16:55 PM
Attachments: HousingProposal.docx
EXTERNAL
Attached are my comments on Item 13A on your July 25, 2023 agenda.
ITEM 13.A.
JULY 25, 2023
ITEM 13.A.
JULY 25, 2023
13.A.b
Packet Pg. 2066 Attachment: Written Comments (5826 : Housing Commission Update) July 25, 2023
RE: Item 13A
Dear Mayor Davis, Mayor Pro Tem Negrete and Councilmembers:
I have read the proposal of the Housing Commission regarding homeownership opportunities for lower income households. We all support increasing realistic and affordable homeownership opportunities for income groups in Santa Monica who are currently priced out of our market. I encourage the City to pursue approaches to bringing homeownership within the reach of moderate and middle income families. The downpayment assistance and mortgage financing programs described in the Commission’s proposal could help make this a reality and increase the economic diversity of our city.
The following are my thoughts regarding the impacts of the Commission’s proposals regarding lower income housing.
Conversion of Existing 100% Affordable Housing Projects. I believe this to be infeasible given the legally required fifteen-year Tax Credit compliance period. Tax Credit investors have purchased these credits and would face enormous tax implications should this fifteen-year requirement not be met. This would inevitably lead to litigation unless the nonprofit managing general partner can cover the costs of these penalties. Further, receipt of a Tax Credit allocation from the State is premised on execution of a 55-year deed restriction, stipulating that the rental units will remain affordable to extremely low, very low and low income households.
Funding Support for New 100% Affordable Housing Projects. I assume that the Commission is proposing that some or all of the 100% projects to be assisted by the City in the future be developed as homeownership projects rather than rental projects. If this proposal proceeds, fewer affordable units would be produced since there are not adequate leveraging sources for homeownership units. The downpayment assistance and mortgage financing programs cited in the Commission’s proposal are valuable in certain contexts, but I do not believe they would benefit extremely low, very low and low income households. However, these programs would likely benefit moderate and middle income buyers.
Homeownership Costs. I believe that affordable housing costs, as defined by the State, would not be adequate to cover the monthly costs of ownership. As an example, the affordable monthly housing cost, defined by the AHPP is $663 for extremely low income households, $1,105 for very low income households and $1,326 for low income households. (Family of 4, 2BR). Whether these amounts would be sufficient to cover property taxes and insurance, homeowner association fees, private mortgage insurance, utilities, and a mortgage payment is questionable. Further, it is probably not realistic to assume tax benefits from mortgage interest deductions for extremely low and very low income households.
The Housing Commission cites HUD’s Section 8 Housing Voucher Homeownership Assistance Program as a potential vehicle for making homeownership affordable to eligible lower income households. However, reports indicate that the use of this program has been very limited in California. The City should explore the reasons for this limited application. This is particularly important given the thousands of very low and low income units included in the City’s RHNA and the resulting need to expedite affordable housing production.
ITEM 13.A.
JULY 25, 2023
ITEM 13.A.
JULY 25, 2023
13.A.b
Packet Pg. 2067 Attachment: Written Comments (5826 : Housing Commission Update) Conversion of Inclusionary Units to Ownership Housing. Since all or the majority of recent inclusionary rental units developed are affordable to very low income households, the feasibility of subdividing these units to create individual homeownership units, together with the unlikelihood that very low income households will be able to afford monthly costs, makes this a very questionable approach. Further, these units are subject to the same 55-year deed restriction as the 100% projects.
Long Term Affordability. The Commission’s objective to provide wealth accumulation opportunities for lower income people is a good one. However, given the substantial public subsidy that would be necessary to make these units affordable, a meaningful equity sharing formula would be necessary to avoid a “gift of public funds” scenario and to protect long term affordability. (To be clear, the City does not “give away” money to nonprofits for housing development. Land acquisition loans are converted to permanent financing and repayable from projects’ residual receipts.) An equity sharing requirement to ensure long term affordability may not be compatible with a wealth accumulation goal. I am assuming that the City will require the same 55 years of affordability that it currently imposes on affordable rental units. I also assume that the City’s share of equity would remain with the unit to ensure future affordability.
(As an affordable housing practitioner I administered first time homebuyers’ programs that imposed resale controls (equity sharing) designed to keep the units affordable. These programs are very difficult to administer since many lower income sellers resent the public agencies’ taking its share of equity upon resale. A form of collective amnesia was common in terms of remembering the conditions on which the deal was structured.)
Extremely Low Income Housing. The only source of affordable housing for extremely low income families and individuals is 100% Affordable Housing Projects. Unquestionably this is the most vulnerable group and the most likely to become unhoused if affordable housing is not provided. I question whether homeownership is a viable option for those at the bottom of the income spectrum. It is important to remember that State HCD has in the past allowed the City to count extremely low income units as very low income units for the purpose of meeting RHNA goals.
I am confident that this is the start of a lively discussion about increasing homeownership opportunities in Santa Monica while meeting our RHNA goals for very low and low income housing production. I am also confident that a great deal more thought and research will be devoted to these issues. Thank you for the opportunity to comment.
Sincerely,
Leslie Lambert, Sunset Park Resident
ITEM 13.A.
JULY 25, 2023
ITEM 13.A.
JULY 25, 2023
13.A.b
Packet Pg. 2068 Attachment: Written Comments (5826 : Housing Commission Update) From: Joni Pan
To: Gleam Davis; Phil Brock; Christine Parra; Lana Negrete; Jesse Zwick; Caroline Torosis; Oscar de la Torre; councilmtgitems
Subject: Support for Agenda Item 13A - Affordable Homeownership in Santa Monica Date: Tuesday, July 25, 2023 10:11:27 AM
EXTERNAL
Dear Santa Monica City Council Members,
I am writing to express my enthusiastic support for Agenda Item 13A, which aims to promote Affordable Homeownership in Santa Monica. I believe that the proposed policy changes, allowing the conversion of rent-controlled units into purchasable units, will be a significant step towards increasing homeownership opportunities for residents.
By facilitating the purchase of entire rent-controlled properties by nonprofit organizations or government intermediaries, and implementing deed restrictions to preserve housing affordability, this initiative demonstrates a thoughtful and balanced approach. I appreciate that existing tenants will not be displaced, and homeownership will remain accessible through voluntary purchases.
Encouraging owner occupancy, along with penalties to discourage unit flipping, will ensure the long-term stability and affordability of these homes. I also commend the provision for proportional ownership of the underlying land, promoting a sense of community and shared responsibility.
In conclusion, I wholeheartedly support Agenda Item 13A, and I urge the City Council to adopt these measures to foster affordable homeownership and strengthen our community. Thank you for your dedication to addressing housing challenges in Santa Monica.
Sincerely,
Joan
ITEM 13.A.
JULY 25, 2023
ITEM 13.A.
JULY 25, 2023
13.A.b
Packet Pg. 2069 Attachment: Written Comments (5826 : Housing Commission Update) City Council
Report
City Council Meeting: July 25, 2023
Agenda Item: 16.A
1 of 1
To: Mayor and City Council
From: Denise Anderson Warren, City Clerk, Records and Election Services Department
Subject: Recommendation to rescind the July 14, 2022, appointment of Sonya Wilson and Boyko Buchinsky to the Human Services Commission; and, consider new appointment to the vacancy on the Commission with a term ending June 30, 2026
Prepared By: Esterlina Lugo, Deputy City Clerk
Approved Forwarded to Council
Attachments:
A. Applicant List_Human Services
16.A
Packet Pg. 2070
Revised 9/20/22 at 10am
City of Santa Monica
Boards and Commissions Applicants
Human Services Commission
Name Application Date
Marie Manvel 7/15/2022
Willa F. Wells 7/25/2022
TOTAL APPLICANTS: 2
*Incumbents listed in red
16.A.b
Packet Pg. 2071 Attachment: Applicant List_Human Services (5857 : 16.A. Rescind Human Services Appointment - Sonya Wilson and Boyko Buchinsky (5 City Council
Report
City Council Meeting: July 25, 2023
Agenda Item: 16.B
1 of 1
To: Mayor and City Council
From: Denise Anderson Warren, City Clerk, Records and Election Services Department
Subject: Designation of voting delegate and alternate(s) for the League of California Cities Annual Conference and Expo, to be held September 20 - 22, 2023, in Sacramento, California.
Prepared By: Denise Anderson Warren, City Clerk
Approved Forwarded to Council
16.B
Packet Pg. 2072
City Council
Report
City Council Meeting: July 25, 2023
Agenda Item: 16.C
1 of 1
To: Mayor and City Council
From: Denise Anderson Warren, City Clerk, Records and Election Services Department
Subject: Request by Mayor Davis, Mayor Pro Tem Negrete and Councilmember Zwick that the City Council direct the City Manager to explore and propose policy and regulatory changes needed to elevate Santa Monica's attractiveness as a major event venue. Positioning Santa Monica as a sought-after location to attract both local and international events would facilitate the City’s ability to proactively capitalize on several upcoming opportunities and support local businesses, stimulate economic recovery, further promote tourism, and provide new revenue sources to fund community programs and services for Santa Monica residents.
Prepared By: Denise Anderson Warren, City Clerk
Approved Forwarded to Council
Attachments:
A. Written Comments
16.C
Packet Pg. 2073
From: Joe DiRosa
To: councilmtgitems
Subject: Agenda Item #16
Date: Wednesday, July 19, 2023 10:18:57 PM
Attachments: LA Artist Series.pdf
EXTERNAL
Dear City Council,
I would like to officially support the city looking into options that increase the city’s ability to increase business downtown and compete for large scale events. Keeping the SaMo Civic Auditorium and converting Sears to a L. A, Artist Series would not only provide 2 concert venues and over 100,000 sq ft of convention space.. It would also position us as a leader for the 2026 World Cup and the 2028 Olympic events.
With 2 major event venues, we would be able to handle so many of the events from those two major global events.. Plus compete for conventions, Art Basel LA, LA Fashion Week, comedy shows, major art exhibits, and lots of concerts to bring in tourism, hotel stays, shoppers, and diners to revive downtown..
Also, if that Sears was an LA Artist Series, that block would be full of security and cameras..
The entire feel of that block would change and it would help make that downtown problem area so much safer.
Joe DiRosa
Founder, CEO | Seedlings Inc.
Photo M: (310) 770-5171
E: [email protected]
A: Seedlings.vc
The content of this email is confidential and intended for the recipient specified in message only. It is strictly forbidden to share any part of this message with any third party, without a written consent of the sender. If you received this message by mistake, please reply to this message and follow with its deletion, so that we can ensure such a mistake does not occur in the future.
ITEM 16.C.
JULY 25, 2023
ITEM 16.C.
JULY 25, 2023
16.C.a
Packet Pg. 2074 Attachment: Written Comments [Revision 1] (5880 : Propose policy changes needed to elevate Santa Monica) ITEM 16.C.
JULY 25, 2023
ITEM 16.C.
JULY 25, 2023
16.C.a
Packet Pg. 2075 Attachment: Written Comments [Revision 1] (5880 : Propose ITEM 16.C.
JULY 25, 2023
ITEM 16.C.
JULY 25, 2023
16.C.a
Packet Pg. 2076 Attachment: Written Comments [Revision 1] (5880 : Propose ITEM 16.C.
JULY 25, 2023
ITEM 16.C.
JULY 25, 2023
16.C.a
Packet Pg. 2077 Attachment: Written Comments [Revision 1] (5880 : Propose ITEM 16.C.
JULY 25, 2023
ITEM 16.C.
JULY 25, 2023
16.C.a
Packet Pg. 2078 Attachment: Written Comments [Revision 1] (5880 : Propose ITEM 16.C.
JULY 25, 2023
ITEM 16.C.
JULY 25, 2023
16.C.a
Packet Pg. 2079 Attachment: Written Comments [Revision 1] (5880 : Propose ITEM 16.C.
JULY 25, 2023
ITEM 16.C.
JULY 25, 2023
16.C.a
Packet Pg. 2080 Attachment: Written Comments [Revision 1] (5880 : Propose ITEM 16.C.
JULY 25, 2023
ITEM 16.C.
JULY 25, 2023
16.C.a
Packet Pg. 2081 Attachment: Written Comments [Revision 1] (5880 : Propose ITEM 16.C.
JULY 25, 2023
ITEM 16.C.
JULY 25, 2023
16.C.a
Packet Pg. 2082 Attachment: Written Comments [Revision 1] (5880 : Propose ITEM 16.C.
JULY 25, 2023
ITEM 16.C.
JULY 25, 2023
16.C.a
Packet Pg. 2083 Attachment: Written Comments [Revision 1] (5880 : Propose ITEM 16.C.
JULY 25, 2023
ITEM 16.C.
JULY 25, 2023
16.C.a
Packet Pg. 2084 Attachment: Written Comments [Revision 1] (5880 : Propose ITEM 16.C.
JULY 25, 2023
ITEM 16.C.
JULY 25, 2023
16.C.a
Packet Pg. 2085 Attachment: Written Comments [Revision 1] (5880 : Propose September 2023
Gallery 2
Gallery 1
Main Hall
Exterior Event Space / Production HQ
Recording Studio
Lower Level Production Space
Rooftop
Special Events & Booking Calendar
Birthdays
US Holidays
Siri Suggestions
August 2023
S M T W T F S
1 2 3 4 5
6 7 8 9 10 11 12
13 14 15 16 17 18 19
20 21 22 23 24 25 26
27 28 29 30 31
September 2023
S M T W T F S
1 2
3 4 5 6 7 8 9
10 11 12 13 14 15 16
17 18 19 20 21 22 23
24 25 26 27 28 29 30
October 2023
S M T W T F S
1 2 3 4 5 6 7
8 9 10 11 12 13 14
15 16 17 18 19 20 21
22 23 24 25 26 27 28
29 30 31
Sunday Monday Tuesday Wednesday Thursday Friday Saturday 27 28 29 30 31 1
9:00 AM Group Show
9:00 AM VIP Area
2 9:00 AM VIP Area
9:00 AM Brand Concert
9:00 AM Afterparty
9:00 AM New Event
3 9:00 AM4
Labor Day
9:00 AM Labor Day Concert
9:00 AM Labor Day Rooftop
5 9:00 AM Liquor Tasting
Scheduled: Sep 26, 2023 at 9:00 AM to
10:00 AM, PDT
9:00 AM Music Video Shoot
6 … Music Video Shoot
9:00 AM DJ in the Galleries
9:00 AM DJ in the Galleries
7 … Music Video Shoot
9:00 AM Gallery 1 Opening
8 9:00 AM Special Event
9:00 AM Magazine Event
9 9:00 AM Live / Concert
10 9:00 AM LA Artist Series Music Week
9:00 AM LA Artist Series Music Week
9:00 AM LA Artist Series Music Week
9:00 AM LA Artist Series Music Week
9:00 AM LA Artist Series Music Week
11 … LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
12 … LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
13 … LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
14 … LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
15 … LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
16 Rosh Hashanah
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
17 9:00 AM Emmy Awards
9:00 AM Emmy Awards
9:00 AM Emmy Awards
9:00 AM Emmy Awards
9:00 AM Emmy Awards
18 TV Show Shoot
9:00 AM Record Release Party
9:00 AM TV Production Rental
19 … TV Production Rental
9:00 AM Wine Tasting
20 … TV Production Rental
9:00 AM Wrap Party
21 … TV Production Rental
9:00 AM Gallery 2 Opening
9:00 AM Fashion Show
22 … TV Production Rental
9:00 AM Cocktails Event
9:00 AM Cocktails
23 9:00 AM VIP Area
9:00 AM VIP Area
9:00 AM Concert
9:00 AM Afterparty
24 9:00 AM Pilot Shoot
9:00 AM Pilot Shoot
25 Yom Kippur
26 TV Shoot
9:00 AM Open Mic Night
27 9:00 AM Monthly Poetry Slam
28 9:00 AM DJ in the Galleries
9:00 AM DJ in the Galleries
29 9:00 AM Brand Concert30 9:00 AM VIP Area
9:00 AM Pre-event Cocktails
9:00 AM Product Launch
9:00 AM VIP Afterparty
27 28 29 30 31 1
9:00 AM Group Show
9:00 AM VIP Area
2 9:00 AM VIP Area
9:00 AM Brand Concert
9:00 AM Afterparty
9:00 AM New Event
3 9:00 AM4
Labor Day
9:00 AM Labor Day Concert
9:00 AM Labor Day Rooftop
5 9:00 AM Liquor Tasting
Scheduled: Sep 26, 2023 at 9:00 AM to
10:00 AM, PDT
9:00 AM Music Video Shoot
6 … Music Video Shoot
9:00 AM DJ in the Galleries
9:00 AM DJ in the Galleries
7 … Music Video Shoot
9:00 AM Gallery 1 Opening
8 9:00 AM Special Event
9:00 AM Magazine Event
9 9:00 AM Live / Concert
10 9:00 AM LA Artist Series Music Week
9:00 AM LA Artist Series Music Week
9:00 AM LA Artist Series Music Week
9:00 AM LA Artist Series Music Week
9:00 AM LA Artist Series Music Week
11 … LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
12 … LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
13 … LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
14 … LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
15 … LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
16 Rosh Hashanah
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
17 9:00 AM Emmy Awards
9:00 AM Emmy Awards
9:00 AM Emmy Awards
9:00 AM Emmy Awards
9:00 AM Emmy Awards
18 TV Show Shoot
9:00 AM Record Release Party
9:00 AM TV Production Rental
19 … TV Production Rental
9:00 AM Wine Tasting
20 … TV Production Rental
9:00 AM Wrap Party
21 … TV Production Rental
9:00 AM Gallery 2 Opening
9:00 AM Fashion Show
22 … TV Production Rental
9:00 AM Cocktails Event
9:00 AM Cocktails
23 9:00 AM VIP Area
9:00 AM VIP Area
9:00 AM Concert
9:00 AM Afterparty
24 9:00 AM Pilot Shoot
9:00 AM Pilot Shoot
25 Yom Kippur
26 TV Shoot
9:00 AM Open Mic Night
27 9:00 AM Monthly Poetry Slam
28 9:00 AM DJ in the Galleries
9:00 AM DJ in the Galleries
29 9:00 AM Brand Concert30 9:00 AM VIP Area
9:00 AM Pre-event Cocktails
9:00 AM Product Launch
9:00 AM VIP Afterparty
27 28 29 30 31 1
9:00 AM Group Show
9:00 AM VIP Area
2 9:00 AM VIP Area
9:00 AM Brand Concert
9:00 AM Afterparty
9:00 AM New Event
3 9:00 AM4
Labor Day
9:00 AM Labor Day Concert
9:00 AM Labor Day Rooftop
5 9:00 AM Liquor Tasting
Scheduled: Sep 26, 2023 at 9:00 AM to
10:00 AM, PDT
9:00 AM Music Video Shoot
6 … Music Video Shoot
9:00 AM DJ in the Galleries
9:00 AM DJ in the Galleries
7 … Music Video Shoot
9:00 AM Gallery 1 Opening
8 9:00 AM Special Event
9:00 AM Magazine Event
9 9:00 AM Live / Concert
10 9:00 AM LA Artist Series Music Week
9:00 AM LA Artist Series Music Week
9:00 AM LA Artist Series Music Week
9:00 AM LA Artist Series Music Week
9:00 AM LA Artist Series Music Week
11 … LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
12 … LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
13 … LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
14 … LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
15 … LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
16 Rosh Hashanah
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
… LA Artist Series Music Week
17 9:00 AM Emmy Awards
9:00 AM Emmy Awards
9:00 AM Emmy Awards
9:00 AM Emmy Awards
9:00 AM Emmy Awards
18 TV Show Shoot
9:00 AM Record Release Party
9:00 AM TV Production Rental
19 … TV Production Rental
9:00 AM Wine Tasting
20 … TV Production Rental
9:00 AM Wrap Party
21 … TV Production Rental
9:00 AM Gallery 2 Opening
9:00 AM Fashion Show
22 … TV Production Rental
9:00 AM Cocktails Event
9:00 AM Cocktails
23 9:00 AM VIP Area
9:00 AM VIP Area
9:00 AM Concert
9:00 AM Afterparty
24 9:00 AM Pilot Shoot
9:00 AM Pilot Shoot
25 Yom Kippur
26 TV Shoot
9:00 AM Open Mic Night
27 9:00 AM Monthly Poetry Slam
28 9:00 AM DJ in the Galleries
9:00 AM DJ in the Galleries
29 9:00 AM Brand Concert30 9:00 AM VIP Area
9:00 AM Pre-event Cocktails
9:00 AM Product Launch
9:00 AM VIP Afterparty