Long Beach, CA
File #: 07-0656    Version: 1 Name: PRM - Lease with Camp Fire USA, LB Area Council
Type: Contract Status: CCIS
File created: 6/6/2007 In control: City Council
On agenda: 6/12/2007 Final action: 6/12/2007
Title: Recommendation to authorize City Manager to execute a new lease by and between the City of Long Beach and Camp Fire USA, Long Beach Area Council, for a term of 20 years, through June 30, 2027, with two, ten-year options for renewal; and to execute future amendments to extend the lease term. (District 5)
Sponsors: Parks, Recreation and Marine
Indexes: Leases
Attachments: 1. 061207-C-8sr&att.pdf
Related files: 30254_000
TITLE
Recommendation to authorize City Manager to execute a new lease by and between the City of Long Beach and Camp Fire USA, Long Beach Area Council, for a term of 20 years, through June 30, 2027, with two, ten-year options for renewal; and to execute future amendments to extend the lease term.  (District 5)
 
DISCUSSION
Camp Fire USA, Long Beach Area Council (Lessee), has leased approximately seven acres of City-owned property at 7070 E. Carson Street since 1968. The property is used primarily to provide camping, recreational, and educational programs involving community service to over 10,000 youth in the Long Beach area. More than 6,000 of the participants live in the City of Long Beach, with the balance living primarily in southern Los Angeles and northern Orange counties. Camp Fire USA's mission is "to build caring, confident youth and future leaders."
 
Last fall, Lessee shared their proposal to embark on the rehabilitation of Camp Shiwaka, the Long Beach programming and recreation site. They have hired nationally known architect, Bob Theis, who specializes in the redesign of natural settings and green construction. The design objectives include: (1) increasing property security; (2) shielding noise pollution; (3) adding natural elements for both educational and environmental purposes, such as increased forestation and water features; and (4) increasing accessibility by adding more recreational and storage facilities. An artist rendering of the Camp Shiwaka development project is provided (Attachment A).
 
The estimated cost of the rehabilitation is $3.3 million. Lessee has synchronized its fundraising strategy with a three-phase development.
 
·      Phase 1 - Security;
 
·      Phase 2 - Camp Infrastructure;
 
·      Phase 3 - Main Building Rehabilitation.
 
A cost breakdown of each phase is provided (Attachment B).
 
Members of the Lessee's Fundraising and Community Relations Committee (Committee) have committed to raising $500,000 to $1,000,000 by 2009, and an additional $1,000,000 to $2,000,000 by 2010. The Committee has developed a fundraising strategy, which includes grants, private donations, and endowments.
 
In anticipation of receiving grant funds, Lessee has requested a 20-year lease, with two, ten-year options for renewal to meet land tenure requirements. Should Lessee exercise the renewal options, the lease term will expire June 30, 2047. Grant agencies typically require a minimum 20-year lease term for funded projects. The Department of Parks, Recreation and Marine supports the request and intends to continue its long-standing relationship with Camp Fire USA for the foreseeable future, with the understanding that services will continue to be provided to youth in the community.
 
A new lease is proposed with the following lease terms and conditions:
 
·      Premises: 7070 E. Carson Street.
 
·      Authorized Use: Operation and maintenance of camping, recreational, and educational programs for youth.
 
·      Term: 20 years, through June 30,2027.
 
·      Renewal Options: Two, ten-year renewal options. The City Manager shall be authorized to execute the renewal options.
 
·      Rent: Annual rent in the amount of $1.
 
·      Utilities: Lessee shall pay all utilities, including water.
 
·      Maintenance: Lessee shall be responsible for all maintenance and improvements of the premises.
 
·      Insurance: Lessee shall provide insurance coverage as defined by the City's Risk Management Office.
 
·      Planned Improvements: Lessee shall be responsible for obtaining all necessary approvals, permits, and other entitlements.
 
This matter was reviewed by Deputy City Attorney Gary J. Anderson on May 16, 2007, and Budget and Performance Management Bureau Manager David Wodynski on May 17, 2007.
 
TIMING CONSIDERATIONS
City Council action is requested on June 12, 2007, to enable Camp Fire USA, Long Beach Area Council, to execute a new 20-year lease.
 
FISCAL IMPACT
The annual $1 rental payment will be deposited in the General Fund (GP) in the Department of Parks, Recreation and Marine (PR).
 
SUGGESTED ACTION
Approve recommendation.
 
Respectfully Submitted,
 
 
PHIL T. HESTER
DIRECTOR OF PARKS, RECREATION AND MARINE
 
APPROVED:
 
 
 
                                                  
 
GERALD R. MILLER
 
CITY MANAGER