SR-11-27-2012-3B 303-009/802-002City of City Council Report
Santa I omen'
City Council Meeting: November 27, 2012
Agenda Item: 35
To: Mayor and City Council
From: Rod Merl, Pier Manager
Subject: Coin - Operated Telescopes and Binoculars on the Santa Monica Pier and
Palisades Park
Recommended Action
Staff recommends that the City Council authorize the City Manager to negotiate and
execute a License Agreement with Fare Share Enterprises, a New York -based
company for the installation and maintenance of new coin - operated telescopes and
binoculars on the Santa Monica Pier and Palisades Park.
Executive Summary,
The availability of coin - operated telescopes provides the public with an opportunity to
better view the panoramic vistas from the Pier and Palisades Park. Staff recommends
the Council authorize a license agreement with Fare Share Enterprises for the
installation, revenue collection, maintenance and repair of new coin - operated
telescopes and binoculars.
Background
Coin - operated telescopes have been available to the public along the Santa Monica
Pier since the 1940s. The current City vendor provides eight coin - operated telescopes
on the Pier and one at Palisades Park. The cost for the public to use the telescopes is
25 cents and the vendor pays the City 50 percent of the gross revenues. The current
vendor's license agreement expired in May 2012 and has been operating on a month to
month extension. In May 2012 the City issued a Request for Proposal for services and
received four responses.
Discussion
An evaluation panel comprised of staff from the Office of Pier Management, Economic
Development, and Community and Cultural Services reviewed the four proposals
received. Vendors were rated and ranked based on the evaluation criteria outlined in
the RFP including 1) thoroughness and completeness of proposal; 2) experience and
1
demonstrated capability; 3) references from parties that have received similar services;
4) design and quality of viewers; and 5) economic return to the City. After reviewing all
proposals and receiving feedback from references, Fare Share Enterprises was
identified as the preferred firm.
Fare Share Enterprises, based in New York, is an industry leader in the manufacture
and operation of coin - operated telescopes and binoculars. Fare Share furnishes
viewers at prominent locations across the United States and locally including the Griffith
Park Observatory and Universal Studios. Fare Share Enterprises employs a local
technician to service its viewers bi- weekly in order to ensure the telescopes and
binoculars are operational, clean and attractive to the public. City staff conducted a site
visit to the Griffith Park Observatory to confirm that Fare Share's viewers were well
maintained and offered excellent optics.
Staff recommends that Council authorize the City Manager to negotiate and execute a
License in accordance with the following key conditions:
® Term of three years with a month -to -month renewal option at the sole discretion
of the City.
® Viewers provided by the Licensee will include ADA accessible telescopes and
binoculars.
® Licensee will be responsible for the installation, revenue collection, maintenance
and repair of the viewers; and all costs will be the responsibility of the Licensee.
• The recommended cost for the public to use the viewers will be 50 cents.
• Licensee will remit to the City 50 percent of gross revenues from viewers.
® Licensee will furnish the City with a written report showing meter readings for
each viewer.
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Financial Impacts & Budget Actions
Revenues will be deposited into Pier Vendor Rent Account 30626.401830. Anticipated
revenues in the amount of $6,400 have been included in the FY 2013 -14 proposed
budget.
Prepared by: Elana Buegoff, Sr. Development Analyst
Approved:
Rod Merl, Pier Manag r
Office of Pier Manag ent
Forwarded to Council:
Rod Gould
City Manager
Reference
Agreement 9666 (CCS).