SR-11-E (4)
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/1-(, 2 J \Co.
Callfornia
RP yep. I'll r
Cauncll r'1eetlng
11/23/82
Santa Monlca,
:~O;J ~ 0 C;r ~
TO
FROM
Mayor and Clty Councll
Clty Staff
SUBJECT
Beach Concessions
Introductlon
ThlS report outlines the procedures to be used by staff for lmproving food
conceSSions at the beach
It also outllnes the requirement of the State
under the operating agreement for State approval of new concession agreements.
Included lS a suggested t1me l1ne to accompl1sh this program.
_Backgrou~
The City now operates seven (7) fast food stands at the Santa Monica State
Beach The contract for the present concessionaires w1ll exp1re 1n December,
1982 In Aorll, the Clty Council requested that the staff report back to
them '0 two months with a work program to improve the conceSS1on operation
Because of the Sand and Sea negotlatlons, staff has been unable to meet the
time schedule establlshed by Councll, and 1S now submlttlng thlS report.
The Beach Operating Agreement with the State of Callfornla requlres the
C1ty to comply wlth governlng State Leg1slat1on for conceSSlon solic1tat1on.
5B 1532 (51eroty) will be the leg1slat1on 1nvolved. The changes Wh1Ch oc-
curred wlth the passage of S8 1632 are the State Parks and Recreatlon Com-
ffi15510n 15 now granted reVlew of conceSS1on contracts and plans to determ1ne
their compliance wlth a general plan for the partlcular State Park un1t 1n
QUestion
All conceSSlons must be compatable w1th the general plan
Any contracts that are for longer than two years shall be awarded to the
'Best Bldder",
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140IJ 2 .:; 198'2
'RP DTA:mlr
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Santa Monica, Californ1a
The maX1mum term for a conceSSlon contract shall be f1ve years except 1f
the dlrector determ1nes that a longer term lS necessary to allow the con-
ceSSlonalre to amort1ze Improvements made by the conceSS10na1re
In no event ~ay the term exceed 20 years wlthout spec1flc authorlzat1on by
Statute.Sectlon 5080.20 requ1res State Comm1ss10n approval of $100,000 gross
receIpts or lnvestment contracts. After th1S act10n 1S taken the Director
may subm1t the conceSSlon contract to the legislature for 1ncluslon 1n the
Governor's Budget. The Lesislatlve Analysts Office then reviews and com-
ments on the project to the leglslature. Approval lS gained by the 1nclu-
slon of the ltem 1n the Governor's Budget.
The leglslature schedule requ1res subm1ss1on on November 1 to the State
Depart!f1ent of Parks and Recreation, or Apnl 1, 1983, for the Finance Com-
mlttee clean up bill.
D1ScuSSlon
In order to lmprove the quality and var1ety of food service and max1mize
revenues from conceSS10ns, the staff proposes that a market analysis be
conducted before the bldd1ng process
The analys1s wlll determlne the
market for the type and qual1ty of food/equlpment rental des1red, the type
and quallty of food serVlce (multlple flxed stands, vendors, Slngle flxed
stand wlth satellltes, etc.) The consultant will be pald from the Program
POllCY Development Budget 01-200-266-000-506 at a fee not to exceed $5,000.
The entlre process of b1dd1ng and selection of concessions, under the new
State law, wlll requlre at least three months. It wlll be necessary, there-
fore, to contlnue the exist1ng concession contracts untll September 15, 1983.
RP OTA 1mb
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~nta Mon1ca, Callforn1a
The staff 1ntends to adhere to the followlng schedule'
November 24- 26
December 21
Selectlon of MarKet Analys1s Consultant
Renew eXlstlng conceSSlon contracts
without material changes to 9/15/83
Market Analysis report submltted to
staff
Recreatlon & Parks Commlss1on approval
of recommended conceSSlon program
(method of food serVlce, food types,
locat1ons, vendors, etc )
Councll approval of concepts and bid
spec1flcations for subm1ssion to State
State reviews proposal package and
approves as lncluslon in State budget
C1ty solicits concesslonaire(s) for
provlslons of food serVlce
Staff revlews proposal and recommends
"best b1dder" to City Council
City Council approves awarding of bid
to "best" concessionaire pendlng
approval of State of City's se1ectlon
Concesslonalre fulfills bid specificat10n
for food service
Concessionaire starts food operations
December 31
January 20, 1983
Februa~y 22
March-July I
July l-August 15
August-September
September 27
October'83-March'84
~'larch 1984
Recomrrlendatlon
Staf~ recommends that the Clty Councl1 authorize the staff to proceed wlth
the b1ddlng and selectlon of the beach conceSSlonalres ln accordance with
the schedule put forward In thlS report.
Prepared by Donald T. Arnett, Dlrector
Recreat10n and Parks
OTA 1mb