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agenda-report Affirmation and Update of Los Angeles 2024 Summer Olympics and Paralympics Games Guarantee Letters to LA28

Santa Monica City Council
August 22, 2023

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agenda-report Affirmation and Update of Los Angeles 2024 Summer Olympics and Paralympics Games Guarantee Letters to LA28
Meeting
August 22, 2023
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Santa Monica City Council
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City Council
Report
City Council Meeting: August 22, 2023
Agenda Item: 5.B
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To: Mayor and City Council
From: David White, City Manager, City Manager's Office
Subject: Affirmation and Update of Los Angeles 2024 Summer Olympics and Paralympics Games Guarantee Letters to LA28
Recommended Action
Staff recommends the Council:

1. Adopt a finding of Statutory Exemption pursuant to Section 15272 (Olympic Games) of the California Environmental Quality Act (CEQA) Guidelines;

2. Authorize the City Manager to submit a Venue Guarantee Letter (Attachment A) to LA28 for use of Santa Monica State Beach for Beach Volleyball during the 2028 Summer Olympics; and

3. Authorize the City Manager to submit a City Guarantee Letter (Attachment B) to LA28 for use of Santa Monica State Beach for Beach Volleyball during the 2028 Summer Olympics.

Summary
On September 13, 2016, the Santa Monica City Council approved the Venue and City Guarantee letters for the LA 2024 Summer Olympics and Paralympics (Attachments C and D). These letters served as an official commitment by the City to host the Olympic sport of beach volleyball, and outlined general guarantees related to the use of City facilities, infrastructure support, and an initial estimate of beach and parking lot rental costs. Council’s approval of these letters demonstrated Santa Monica's readiness and commitment to supporting the LA 2024 Summer Olympics and Paralympics bid.

Exactly one year after Council’s approval of the guarantee letters, the International Olympic Committee (IOC) awarded the 2028 Summer Olympics and Paralympics to the City of Los Angeles, now known as LA28. To align with this new timeline, it is necessary 2 of 5
to update the guarantee letters to reflect the transition from LA 2024 to LA28, reiterate the City of Santa Monica’s support for Los Angeles as the host city, and confirm Santa Monica’s commitment to hosting the Olympic sport of beach volleyball as a venue city.

Following Council’s approval of the updated guarantee letters, staff would begin negotiating the Venue City Games Agreement, which would include more detailed terms and conditions. The draft agreement terms would first be vetted through a community outreach process in collaboration with LA28, and then brought to Council for approval in early 2024.

Once Council has approved the Venue City Games Agreement, staff would then begin negotiating the Enhanced City Master Agreement, which would include all terms and conditions, financial obligations, and detailed commitments for municipal services.

Discussion
On September 13, 2016, the Council approved the Venue Guarantee Letters for the LA 2024 Summer Olympics bid. Los Angeles was one of four cities bidding to host the 2024 Olympic and Paralympic Games. The LA 2024 Exploratory Committee (LA 2024) sought conceptual approval and agreement to minimum terms for the venue use, which was anticipated to form the basis of the Venue Use Agreement if Los Angeles won the 2024 Games.

Prior to the Council’s approval of the LA 2024 guarantee letters in 2016, staff conducted community outreach in partnership with the LA 2024 Communications Team and provided presentations to beach residents, Planning Commission, Recreation and Parks Commission, Pier Corporation Board, Santa Monica Pier Lessees Association, and the State Department of Parks and Recreation.

On September 13, 2017, the IOC awarded the 2028 Summer Olympic and Paralympic Games to Los Angeles, while simultaneously awarding the 2024 Games to Paris, France. Now that LA 2024 has transitioned to LA28, it is necessary to update the Venue and City Guarantee letters accordingly. The Venue Guarantee establishes the minimum 3 of 5
terms, including the exclusive use period, rental fee, and reimbursement for the loss of parking revenue. The City Guarantee letter includes commitments by the City to not stage major events during the Games, protect the marketing rights of the Los Angeles Organizing Committee for the Olympic and Paralympic Games (OCOG), provide basic public services, comply with local laws, and collaborate with the United States Department of Homeland Security on public safety efforts.

The proposed beach volleyball venue on Santa Monica State Beach is the only Olympic sport that will be hosted in Santa Monica. The concept plan includes a temporary 12,000-seat stadium on the sand north of the Santa Monica Pier, warm-up and practice courts, and operational and broadcast components in Beach Lot 1 North (Attachment E). The plan also outlines security measures, transportation solutions, and construction schedules. In 2016, the rental fee for the venue was estimated to be approximately $3.7 million, based on established formulas and current rates, the rental fee would be updated to 2028 market rates. The preliminary construction plan would phase the closure of Beach Lot 1 North and the beach area as follows:
• April and May 2028: Approximately 400 spaces in Beach Lot 1 North would be occupied.
• June 2028: 800 spaces in Beach Lot 1 North would be occupied as well as the beach construction area.
• July 14 – 30, 2028: LA28 Summer Olympic Games
• July and August 2028 (dates TBD): Entire Beach Lot 1 North and beach venue area would be fenced.
• August 2028 (dates TBD): tear down; approximately 800 parking spaces would be occupied in Beach Lot 1 North.

The closure of Beach Lot 1 North and reduced parking capacity during the Games would have significant impacts. Alternative parking and transportation options, as well as a communication plan for residents and visitors, would be developed during the negotiation of the Venue Use Agreement.
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Environmental Analysis
Conceptual approval for the Olympic Games is statutorily exempt from CEQA pursuant to Section 15272 of the State CEQA Guidelines, which states that “CEQA does not apply to activities or approvals necessary to the bidding for, hosting or staffing of, and funding or carrying out of Olympic Games under the authority of the International Olympic Committee, except for the construction of facilities necessary for such Olympic Games.” The construction of the temporary stadium on the beach would be subject to further review to determine the level of environmental clearance necessary.

Past Council Action
Meeting Date Description
09/13/2016
(Attachment F)
Approval of City and Venue Guarantee Letters for the Los Angeles 2024 Summer Olympics and Paralympics Bid
Financial Impacts and Budget Actions
There is no immediate financial impact or budget action necessary as a result of the recommended action. Staff will return to Council in the future with specific budget actions upon approval of the Venue City Games and Enhanced City Master Agreements.

Prepared By: Melissa Spagnuolo, Community Partnerships Manager Approved Forwarded to Council
Attachments:

A. Venue Guarantee Letter LA28 (draft)
B. City Guarantee Letter LA28 (draft)
C. Venue Use Guarantee Letter LA 2024
D. City Guarantee Letters LA 2024
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E. Aerial View of Proposed Venue Site
F. City Council Staff Report - September 13, 2016 (Web Link)

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