SR-11-A (28)
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Santa Monica. CalIfornia. June 20, 1977
TO:
~~yor and City CouncIl
\\ Pr-
2 8 Wn
JU~
FROt-1 :
City Staff
SUBJECT:
Santa Monica Farmer's ~furket
Introduction
At Its regular meeting of May 10. 1977, the CIty Council~ In response to a request
from "Friends of Santa Monica Farmer I s Market Committee", (Steve Ogawa, Chairman)
adopted a motIon directIng City Staff to meet WIth ~lr. Ogawa to:
~ NegotIate the use of the County parkIng lot for a three month
perIod, rent free.
B. The City to have no fInancial lIabilities or other responsibIlItIes.
C. Farmer's Market to be responsible for all factors regardIng the use
of the land, keep the property clean, with cleanIng also done subsequent
to each use.
D. Agreement to be negotIated durIng the above three month period for
future rental of the parkIng lot to be used
Attached IS a copy of the CommIttee's orIginal request. In summary, the request
proposed that the CIty provide support and aId by.
~. InItIal rent subsidy on a downtown Santa Monica SIte.
B. InitIal refuse collectIon subSIdy.
C. Aid In acqUIsition of all necessary City approvals.
D. AId in obtaIning site lIabIlIty Illsurmlce.
E, (ETA positions as avaIlable.
Negotiations between the City and the CommIttee have yielded the following results
for an Interim agreement coverIng an inItIal term of three months. These terms
JllN }. S 1977
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. To: Mayor and City Council
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June 20, 1977
would be subject to renegotiation during the three month per~od.
Site, Time, Day of Week of Operatlon
The site proposed is a portion of the City employees lot as shown on the attached
plan_ The hours of operatlon would be 8:00 a.m_ to 3:30 p.m,. every Saturday.
Insurance
City Staff, with the assistance of the Independent Insurance Agents ASSOclation and
the Clty'S 1nsurance consultant, Don Voller of Muno, McLaurin, has determined
1nsurance needs as follows:
Company: (best quotat1on) ~etna L1fe and Casualty
Lim1ts:
$300(300,000 Bodily Injury
50.000 Property Damage
~o deductible and no products coverage
Cost:
$100 per event day ($5,200 per year based on each Saturday)
with a $5,000 depos1t 1n advance,
Product liability 1S also ava1lable from Aetna (aga1n best quotation recelved) at
a cost of $500 per day ($26,000 per year based on each Saturday) with a $25,000
advance deposlt (same limits as above),
~~ile the llab1l1ty lnsurance costs are acceptable to the Commlttee, the prodllcts
llab1l1ty costs are prohibitive.
Product 11ability 1nsurance is deemed necessary by the City Attorney's Office so
that the City 1S fully protected against a potent1al cause of actlon brought by
someone purchaslng foo~ subsequently lngesting 1t and suffer1ng some damaglng results.
Although such liability is remote since the food products are fresh, not processed,
T~: Mayor and C1 ty couel
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~ June 20, 1977
without product llability 1nsurance, the C1ty would be potentially liable to the
extent of its current limlt of retention, $100,000. This potential liabl1ity would
increase as the retent10n 1S raised. Therefore, while the exposure may be m1nimal,
the potential lIabIlity is whatever the CIty'S retention may be. It should be
pOlnted out that no other farmer's market operated on a simIlar basis to that pro-
posed ln Santa Monica has products liabil1ty insurance. However, Council d1rection,
as a basis for negotIatIon, was to incur no financ1al obllgatlon or other respon-
sibility.
Refuse PIck-up
Refuse p1ck-up can be accommodated at a cost to the Farmer's ~arket of $44 per week.
This is acceptable to the CommIttee.
County Health Department Requirements
Attached is correspondence from the County Health Department IndicatIng thelr
reqUIrements. C1ty Staff 1S assisting the Comm1ttee in obtainIng the necessary
sanltary facIl1tles. It is the Market's responSIbIlIty to pay the assoclated costs.
These reqUIrements should be incorporated Into any interIm or other agreement.
Lease-Rental Payment
Counc~l directIon was to provide three months rent free of the agreed upon area
WIth negotiations to take place during thIS perIod to arr1ve at fInal lease payment
figures. One approach ~s a percentage of stall fees with a minimum guarantee. For
example, assuming 20% of stall fees of $50 per stall and 25 stalls ~ 25 stalls x
$50 per stall rental x 20% ~ $250 per week or $l~OOO per month. Var1ables are that
lfstall fees are too high, they may not be rented.
Alternatives
1. Direct the CIty Attorney to prepare and the CIty Manager to execute an interim
agreement to permit a Farmer1s Market to operate on City property and under
the conditions and requirements outlIned above (lncluding the reqUIrement of
To~
~ayor and CIty cou~
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June 20, 1977
product liabilIty Insllrance) and in accordance wIth prevIous CounCIl direction
on this matter. DurIng the three month lnterim agreement, a fInal agreement
would be attempted between the partIes with approval and ratificatIon by the
CIty Council.
2. DIscontInue negotIatIons for a Farmer's Market if it becomes apparent that
product lIabilItIes Insurance premium cost is prohIbitive to the operatIon of
the ~arket.
3, This alternative IS sImilar to #1 above except that products liabIlIties Ill-
surance could eI~her be waived or the premiums subsidIzed by the City. The
staff believes that waiver of thIS coverage Jeopardizes the cities insurance
program and is an unacceptable rIsk
Products liabilIty Insurance premIum
payment by the CIty would not be consIstent with previous Council gUIdelIne to
Incur no fInancIal obligation or other responSIbility.
Recommendation
It IS recommended that alternatIve #2 be adopted.
Prepared by: Larry J, Kosmant
~dminIstrative Assistant
DavJd p, Dolter
Assistant City Manager
LJK.DPD:pp
attachments
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srATE OF CAlIfO'?NIA-AG'IlCUlTURE AND SERV1GS .AGENCY
EDf..IUND G BPO>vN JR, Governor
DEPA~TMENT Of
@~wmer.sr 107 SOUTH BROADWAY. ROOM 8020 (213) 620-.4360
nrr _I lOS ANGELES, CALIfORNIA 90012
April 25, 1977
Jim vfilliarns
City Manager
City of Santa Honica
1685 Main Street
Santa lJlonica, CA 90401
Dear Mr. WHJ_i3Fl,,:
Please L\.nd attached t.he l.rrd,t('n proposal fOl~ the formation
of the S'?J:~t.a Boni C~ f F-l""".;r t s HarkeL vIe ask your support.
in seei.::1,g tbat. the F.trm~'c' i, ga?"r,st cecomes a reality. This
is a u...'1.l.que opportUJlj Ly to make ~he CIty of Santa Honica
a better place ft)l> all cOI'cerned.
Sincerely,
']tf J/i' j"lJ 4t<:~'^C'--
Steve Oga'..ra
C/O Bob K,"lolos
State Depart~ent of Consumer
Affairs
107 S. Bra ad-..roy , Room 8020
Los Angeles, ell. 90012
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PROPOSAL FOR 'IHE LOCAT10~'J OF GZRTIF'IED FAR:1SR'S WillKCT In THE GITY OF 3MIT'll.
110:UGA
Harket Formation
'rhe formation of a Sa.'1ta l10nica FaITer's llarket requires the active
part1.dpation of four different groups. First, the ~)anta l10nica Farmer's
E.arket Associat..ion ~dll provide actlve m3.nager:l~nt of the market. Th:1.s "..'1.11
meaT], insuring cowplicnce ,nth t~e suggestio:ls and regulations of the Cl.ty
of Sa.'"lta l1onica, 1..'003 Santa 1'Lmlca Cha:Tlb~r of Go'w.erce and the State of Cali-
fomia, plus the 3,.~ttL.'1g of rn3.r~-::et.. 1..~n'3':> [llld da;,(s. The open:ing of the Santa
Eonic- a Farmer r s H lrkc t. t.; ill C(Tl'''::nce on t.he 28th of IhJ '{nth an apricot
festi-,ral.. Glean-11p of the rr;-~rk,"t 3.rea ?n-1 rnl5c811&.n~~ous apparatu3 vnll
be th0 respollf>ibiJity of the F;!.cr;;er's UU'!."et Association. Damage and lcng-
t.e.:"ffi r;.a.htt..en:Ulce ',nil also 1e provid':d t;r the Fdm'~rts lIarket A:35ociation.
The farmer's l-brkeL Association in conjunction ,nth the Agricultural Extension
will run educatic~,CJl hur1{shop3 on t!1-3 pr;:>::;er.;atJ..on of rn,arket produce l'uth
the aid of Su~,3.n Gi8 ",berg, Collsurller Advocate t Ci t.y Attorney's Office , City
of Santa Eon:ica.
The ri3.I'ket ['1~ln(lbBT' l'Till J.mrrE'diately .form a Friands of the Sant.a Bonica
Fe.rmer's l1arket CO:~J1littee to gu~de the mana.geTent of the Ihrket until a full
Assoc:Lation is .fOri'led. Th. "',mager ,.rill seek representatives fro;" a ,...-ide
cross-section of the population jn Sfu~ta t:anica to serve on the Co~ittee
and the full association. The f.'a.~ket m::ln9.ger ldll be l'JDrklng \-;ith the
City Staff to secure site approval, liabllity lnsurance, desk space ili~d
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Propo~}al for the Lo..:ation of Cert:ifi: c1 ?~'Y'T;"ier' 5 Ifar~cet in the City of Santa
l10rde n Page 2
CETA (ComprehensivE:: Er-,'plO~TI'enc. TraIning Aet) positior:s. S1mu.lt3T180usl:,.r, tb
pmnager t>rlll be 'l/iOrking ~'rlt.h tlF~ Sa.'1ta i;onica Cha."11ber of CarnIne.loce to bair.
the support of local bus~esse3. The market ~anager will also remain respJ~-
slble for maintainill.g contact "rlth Departlflent of Food and Agrlcu~ture and.
Depart.F;ent of COnSlli'11er J...ffall's. The IY'c.rket manager ~d.ll at all tilnes act
as lia50n for all group3 participatL."lg in the rrarket forwatlon.
The ma..'1ager ,.rill be on salar-.f to the State of Callfornia for research
pm--poS8S. Eventuall~-, the manager r 5 ~}al~u"'Y I'r 11 be paid out of stall fee3
and peJ"hnps aUgr1~nted by gr'mLs from outside fl.mding organizations. An
ass~!..~,tant Tr'anage.c fu'1d a pro'-he::: hencHer (rrore as ell ctated. by market voltl!:'e)
l'i:Lll be I'aid out of CSTA fUll,ls.
Th~ F'rlcr.:ls of th" S8nl.3. l:O!l1.Cd Fd':"T~~1" s Harket 11les \11..11 b8 $5.0J to
b0 cred.ited tot-l~lr'i ?.. 5l\p?Or~, irlg fllC Olbel"1.Jhip j_n the S~Y}ta rJlonl.ca I~armerr s rr2.r"ket
Asso<:;l..aVLon. Dq~3 in LlB S,>:1La ::ordcd. F,iY'iTler'S H~tl'ket Association \trill be
S'50.00 p2r ;,rc<o>:r lor fa:l:'InGrs (no c..lv:.rg~' to backyard gardeners for membel'srup
fees), S25.00 - 'j;'!"':.)(l.OO PC'l' ;}car for bUS:U1E:SS sponsors and $lO.OO per year
for cit tzens VIllo vri sh to bn:o:;:,,~ SUPiJort ille; mer.ocrs of thE' Association. The
funJ S ',\'111 be 1] sed i'0X' p:::'el ir,~nd.r'Y advcrtisi..'1.g, the purchase of certifled
seal es for the bcn8fi.t 0: t.h,:, o3.ckyo.rd g~l'deners r the pa~'lTIent of E.arket
Certificatlon fees to the Lof' Angeles Count;T Agricultural COlT\!ni.ssioner and
~
to cover accountL'1.g costs.
Initially, th.2; mar~mt ;:.muld
be open S~3.tlITdaJr from 8 lli-l to 3 FI~1.
In
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long r-un, it may pay to open the market year-roillld and. tl,rQ days per v:eek at
the same hours.
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Proposal for the Locat-Lon of CertifiF_-J Fnrrn2r's Harket In the Clty of Santa
Monica Page 3
The St.ate of California as reprcsc1:.tcd by the Dcp2rtment of Food and
Agriculture and the Department of Consuner Affalrs ~liJ 1 be responsible for
locatjng dist~~t farrr-ers for the Far~BrrS t!arket, to act as consultant and
to provide liason "~th the Depart~ent of C0Ilsumer }~iairs. The Depa~rtment
of Cons1F.1er Affairs will stirr;uJ_ate interest in the local media organization
(TV, radio, nc'tlSpapers) in order to publicize the market.
The Santa l>1onica Cha.'1lDer of Corr~"l1er<:e can pJ ay a vital role LTl getting
the market started. L'litialJ;sr, th~ Chi"nber of Comrll':rece can help sol i..cit
sponsor support fro"1 l.he local rE>rehaut.3 f ot' th~ fan:er f 5 market and aid
the SWltd.. Honica Fal"~Y~r'.5 Li:l-rkct r'ssocjat.ton in locatjng a storage area
convenient to the locat.ion pt"Oljjd_C'rl. by the Cit.y of SaYlta Honica. After.,rards,
t:he SanV.l Bonica L-:cc--'er' 5 l,;,;rkn~, !\~,~OG; ~ti(m reque"ts t.hat the Chamber act
as lincon betNeen i",plbcrs of tlF' b~L',jnt-';S::', e')!lt~~lxtity and the Santa Hon-ica
Fnrwer's l1c:u'ket. ?h'~ ~;<mt,a 1:.-)!ljG2 F,q..t'n~::-:'s Ha.rket invites the Chamber to
provide moneLary support, if lX-s::db't, and aid in draping up the r1..t'ticlE:s
of i.nc..:lJ:'fxn'at'io~l for non -I-'] '0 fit , tax..cxe:npt st,at,us~
\'Ie are asking the Cit;)r of Shnta Bonica to provide the lOCdtion a.'1.d
sec'..'rc a'_l the necessary C'lGard!1{'C's and T-;aivers as requh'ed by the Zoning,
Build_lng, Hen] til, })ol ice and F.u'e Departments. Three items not discussed
at the April 19th neeting l.rlth the Cit:l IIanager's Office are the furnishing
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of CDTA v;arkers to be placed at the dlspOSal of thE. warkst manager, a1] ocation
of desk sp3-ce and telephone for the use of the Santa 110nica Farlier' s Harket
Association and provisio~ of trash removal at th3 market site.
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PrOI}:J sal
Honica
for the LocatlO!l of CertJ fi<::l Far;:18r'S I1arket In the City of SanC3.
P dge J+
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ReYer~S7
C~sts and Benefits to the City of SaLta l:oni('a
,
There is strong eVlucnce th~t a popular and flourishing warket will
attract bus:Ll'1ess to the area irrJ;1f~diately f,urrounding the market site. If
the market is placed at a central Santa Monica do~mto~m location, It will
enliven the dm'mtm-m mall, and I:,a..."'{able sales ~"r.ill go up. An atmosphere
unique to Southern California will be ~ryJected in the City of S&~ta llonice.
Revenues to the City will be accYQed by the returns from business taxes on
increased sales, and
, .L'
o~.,. vae
eventual rent p'lici by the Santa Bonica F drJ'er' s
l1arket on the IT',arkel:, slte. Thc City of Santa lIonic3. aP-d the Santa BonIca
Fanr:erts Harket AssoGiat.ion v;ill r.:.:)botia~,!" a fall' allo~ation of the L.'1.~ome
fron the stall fees charGed b the far"Plers. OLher beJ:lefits realjzed by tho:;
City of Sml:,a t,lonica from tllD pxlst'?'Lcc of the Sant,a !1onica Farmer';:; l':arket
are a.s follo.,;s: t~(: fclI'Ilier'5 i,.ar)':et. I,o}l prov.i.:'ie a vcu_uable social ssryic:;
t.o the senior c.itl_~fms, the 1:-;(10]" and t,{;05'~ on f1Jeed incoJT.es by increasing
the 1W<lilnbLLH;'rT of fresh, In"i-cost produ.ee. The G13rket's activities ~~.lll
go a lon; "\-lcy l.oTt.',:' t'd irprovir\; the cl1st', 0: all conSl:''1<~rs.
ThE; co~,t.s to lhe City oi Sant.a t:om ea sl:,efil from the lllitial subsic.y of
the sit.e rental, l-i'lbillty :i.n',l~'a.'1~C a..'ii providing a desk, a telephone, arlQ
Lra~,h piGk--up.
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Fourth Street
lrrrril- rTT~r I
Employee pa rking Lot
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County BUllding and Parking
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r..ed,<;a! Director
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J.o':tle (2)
CURING IS COSTLY... PR~VENTION
PRICELESS!
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- I
2 Ii'lay 1977
From;
Steven Ogawa
Chairman, Friends of the Santa Monica Farmer's Market
2508 Naples Ave. #10
Venice, Ca. 90291
To:
The Santa Monica City Council
c/o David Dolter, Assistant City Manager
City of Santa fuonica.
City Hall
1685 Main Street
Santa Monica, Ca. 90404
i,1r. Dolter,
Please deliver this proposal to the City Council per my
communication this morning with Larry Kosmont. Any questions re-
garding any of the material in the proposal should be directed
to me at my home address above.
Sincerely yours.
~-h. // .L (~'r' 'Vi
I..i Lu: 1./ . i,.. :" ;/ y (~{.. L.-
- ;"-"
steven Ogawa ,.
Friends of the Santa i:onica
Farmer's l\larket
ltI\y 1 a WI'f j
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r.KU.PO;:.AL FOn 'l'Ii~ LOCATION OF A CEN.'I'IFIED FA>~llhR I.:;, i,,,-idKB'1
I:{ T& CI'fy OF ~AwrA i,'lonICA
ihe Friends of the Santa ~onica Farmer's ~arket Commitee re-
quests that the City Council of the City of ~anta Nonica consider
a temporary downtown Santa ~onica s1te as the location for a Cert-
ified Farmerts hiarket.
A Certified Farmer's Market (which is certified as such by the
Los Angeles County Agricultural Commissioner) ensures that only
farmers sell in the Farmer's Market. Thus, middlemen and peddlers
cannot sell or buy in the Farmer's IViarket. Bv selling ~n the Cert-
ified Farmer' 6 l';;arket, the grower is exempted from strict packaging,
sizing, and labeling restrictions. By avo1ding these production
costs and by dealing directly with the consumer, farmers are able
to sell their p~oducts to the consumer at a better price while in-
creasir,g their own profits. Although certaln restrictions will be
relaxed, produce quality and health standards will remain at their
present high level.
There are many reasons why Farmerrs ~arkets have become popular.
~eople enjoy buying fresh produce direct from the farm. There is
strong evidence that a popular and flourishing market is good for
other buslnesses in the community which surrounds the market. A
Certified Parmer's ~iarket also provides added social services to
the elderly and the poor.
The FriendS of the Santa ~onica Farmer's Market ~s an adv~s-
ory board formed to gu~de the market's management until a full tax-
exempt, non-profit association is formed. This full associa~ion is
e
-
respons1ble for ensuring compliance with the regulations and sugges-
.
tions of the Clty of ~anta Monica, the ~anta Monica Chamber of Com-
merce.a~d the ~tate of California. 1h15 full association is also
responslble for clean-up of the market area, long-term maintainence
and any physical damage that may occurr as a result of market activ-
ities. Ihis full association will also set market days and tlmes
and will coordinate educational workshops on the canning, drying,
and freezing of market produce. These workshops will be accomplish-
ed with the cooperation of the California Department of Consumer
Affairs and the California Department of Food and Agriculture.
'~he Friends of the Santa ~onica Farmer's ffiarket Gornmitee pro-
poses the following sites for the location of a Certified Farmer's
~arKet. These sites afford the greatest potential for the ~;arket.s
survival while taking into consideration the concerns of the commun-
lty. In the order of desireablity, they ares
1} the abandoned municipal parking lot on the West slde
of Fourth street, between Broadway and Colorado.
2) Ihe municipal parking lot on the East side of fourth
~treet between 1roadway and Colorado.
J) The dirt lot on the Northwest corner of Broadway and
.r'ourth street. Just .3Duth of the parking structure if 5 on Fourth
utreet.
~he Friends of the ~anta ~onica FarmerJs ~ar~et Cooomitee is
reque3tin~ that the City of ~anta Monica provlde the following;
~} initial subsidy of the rent on a mutually acceptible
dOVin"tO'J'l(l o.Janta i.onica site.
e e
2) In~tial subsidy of trash pick-up.
J) Aid in obtaining any and all varlations and clearances
as required by the Departments of loning, Building, health, ?ol~ce,
and ~ire.
4) Aid in obtalning liabillty insurance on ~he selected
site.
5) 8~j'A (Comprehensive Emplofee rraining Act) positions,
dependent on their availability.
Lltlmately, the revenue from fees charged to the indlvidual
0eller will go to pay site rental, liability insurance, trash pick-
up, the market manager's salary, and other miscellaneous costs.
Dues will be collected from participating farmers, and in-
tere3~ed businessmen and citizens. ~his money will be spent on ad-
vertising, accountlng costs, the payment of ~arket Certification
fees to the ~os Angeles County Agricultural Commiss~oner, the pur-
chase of certified scales and the purchase of clean-up items. Dues
in the full association entitles the individual or group to one
vote in the adopt~on of association by-laws, election of a Board
of ~lrectorSt and voice in deciding other market policies.
Stall rental in the market will initially be restricted to
~ellers of food items only. At first, only fruit, vegetables and
cut flowers will be sold. The potential for marketing eggs, dalry
products and frozen meat will be investigated at a later date.
~he ideal days the market should be open are Saturdays. l'he
possibility of opening on another day w~ll be explored if the mar-
ket's volume warrants such a move. ~imes of operation ideally should
be 8Ak to 3fW. ~he full assoclation will negotiate with the in-
e e
valved parties regarding the precise times and days the market
shall be open.
In addition, the Farmer's ~arket shall not become a forum for
propaganda O~ political activity on the behalf of any political
candidate. ~urthermore, permanent structures should not be requir-
ed as the farmers will sell off the backs of their tr~cks.
'~o conclude, the Friends of the ~anta Monica Farmer's Market
Commltee urges the City Council of the City of Santa Monica to
approve the location of a Certified Farmer's ~arket in downtown
.:-anta :.1onica. Santa konlca would be the first city on a major Cal-
ifornia metropolitan area to support a Certified Farmer's ~larket.
l'he Coromi tee hopes the Santa i;~oLica Farmer' s l~larket can become a
!,lOdt;!l for other Farmer's i'.,arkets throughou:r; California.
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