SR-02-26-2013-3JCity Council Meeting: February 26, 2013
Agenda Item:
To: Mayor and City Council
From: Martin Pastucha, Director of Public Works
Subject: License Agreement for Private Encroachments into the Public Right -of-
Way at 1401 Ocean Avenue
Recommended Action
Staff recommends that the City Council authorize the City Manager to negotiate and
execute a 10 -year license agreement with King's Seafood Company LLC, with option to
renew for two additional 5 -year terms, for existing landscaping and the construction of a
concrete stairway and access ramp in the public right -of -way on Ocean Avenue for an
area up to 490 square feet and charge fees for the net increase in encroachment area
up to 150 square feet in the amount of $3,636 annually.
Executive Summary
King's Seafood Company LLC proposes to remodel an existing restaurant space in the
Portofino Plaza at 1401 Ocean Avenue. The proposed scope of work along Ocean
Avenue includes a fagade remodel, landscape modification and permanent entry
improvements in the public right of way. The improvements that are proposed to be
constructed in the public right of way will not exceed 490 square feet. Staff
recommends the City enter into a 10 -year license agreement with King's Seafood
Company LLC for a total encroachment area up to 490 square feet and charge fees in
the amount of $3,636 annually for the net increase encroachment area up to 150 square
feet of private concrete stairway and access ramp in the public right -of -way.
Background
On December 12, 2012, a plan check application was filed to remodel an existing
restaurant space at the Portofino Plaza on 1401 Ocean Ave (former Ocean Avenue
Seafood). The proposed scope of work includes remodeling the dining and kitchen
area, exterior walls, reconfiguring existing sidewalk planters, stairway and access ramp
to the public sidewalk.
On January 1, 2013, an Architectural Review Board (ARB) application was filed for the
fagade remodel and modification to the landscape planters at the existing restaurant
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space of the Portofino Plaza facing Ocean Avenue. This application will be considered
by the ARB on February 21, 2013.
Discussion
The existing restaurant space at 1401 Ocean Avenue currently has three semicircular
planter areas in the public right of way. The existing encroachment is 340 square feet in
area. The improvements that are proposed to be constructed in the public right of way
are as follows:
Landscaping (existing planters reconfigured with no new sq. ft.) 340 square feet
Concrete stairway, landing and ADA accessible ramp 150 square feet
Total new encroachment 490 square feet
The net increase in encroachment area is 150 square feet (490 SF — 340 SF). The
proposed plan provides improved access and an enhanced presence on Ocean Avenue
and does not adversely affect the current adequacy of the sidewalk area for pedestrian
use. The encroachment will provide for a sidewalk width of at least eight feet.
Current municipal codes and City ordinances do not provide staff with the authority to
permit, license or charge a fee for the proposed improvements in the public right of way.
A study session regarding a wider variety of private improvements placed within the
public- right -of -way is anticipated to be on a March or April Council agenda.
Staff recommends that the City enter into a 10 -year license agreement with the property
developer, King's Seafood Company LLC (Developer), with option to renew for two
additional 5 -year terms, and charge an amount equal to the outdoor dining fees for
Ocean Avenue of $2.02 per square foot per month for the private improvements
encroaching into the public right -of -way. In consideration of the existing encroachments,
staff proposes to assess fees only for the net increase in encroachment area resulting in
an annual license fee of $3,636 beginning in FY 2013 -14.
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In addition to specifying the value, the license agreement would contain maintenance
and insurance requirements, and require the Developer to indemnify and hold - harmless
the City of Santa Monica from any lawsuits, damages, or losses associated with the
improvements. The Developer would also be required to remove any improvements
within the public right -of -way at their sole expense and without recourse, should the City
have any future need of the encroachment area for transportation or utility
improvements. The encroachment rights granted to the Developer would commence
upon the effective date of the license agreement and continue for 10 years. Should any
tenant who occupies the area that benefits from this improvement change over the term
of the license agreement, the property owner or new tenant shall be responsible for the
terms of the agreement for the remaining duration of the agreement or for the removal
and restoration of the sidewalk for the entire affected area within the public right -of -way
per City of Santa Monica requirements.
Financial Impacts & Budget Actions
The license agreement would begin in FY 2013 -14 and would provide $3,636 in annual
revenues at account 01402.401810. Revenues will be included in the proposed FY
2013 -15 budget.
Prepared by: Greg DeVinck, Supervising Civil Engineer
Approved:
Forwarded to Council:
Martin Pastucha Rod Gould
Director of Public Works City Manager
Attachments:
Exhibit A - Photograph of existing planter areas
Exhibit B - Rendering of proposed improvements in public right -of -way
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Exhibit A — Existing Planter Areas
Exhibit B — Rendering of Proposed Improvements in the Public Right -of -Way
Exhibit C — Plan of Proposed Improvements in the Public Right -of -Way
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Reference Agreement No.
9715 (CCS)