TITLE
Recommendation to authorize City Manager, or designee, to execute any and all documents necessary for a Supplemental Agreement to Management Agreement No. 21667 with SMG, a Pennsylvania joint venture, for the completion of various capital improvement projects at the Long Beach Convention and Entertainment Center located at 300 East Ocean Boulevard, in the amount of $250,000. (District 2)
DISCUSSION
On March 13, 2018, the City Council approved the use of $250,000 from FY 17 Year-End Tidelands Operations Fund surplus for the Long Beach Convention and Entertainment Center (LBCEC) foundation and hardscape improvements. This funding proposal was subsequently presented to, and approved by, the State Lands Commission on April 19, 2018:
Fountain Repairs/Enhancements ($250,000):
As part of the continuing effort to improve the overall experience for guests at the LBCEC, and to further enhance the appearance and marketability of the facility, significant repairs/upgrades are planned for the fountain located in the Terrace Plaza. These improvements will include specialty lighting and fountain elements. The additional funding for this project will enhance the guest experience and further increase the marketability of the venue.
This Supplemental Agreement is required to modify the Management Agreement to allow SMG to manage these capital improvement projects. SMG shall ensure that the bidding process for these projects complies with City of Long Beach (City) regulations and the resulting contracts comply with the State Labor Code, as well as with City’s insurance, bond, and other performance requirements. SMG shall confirm with the City that the project is completed according to the terms of the given contract.
The proposed Supplemental Agreement provides only the authorization for SMG to contract for and administer the proposed capital improvements on behalf of the City. No additional compensation is provided to SMG beyond what is already provided under the existing Management Agreement.
This matter was reviewed by Deputy City Attorney Linda T. Vu on May 29, 2018 and by Budget Management Officer Rhutu Amin Gharib on May 31, 2018.
TIMING CONSIDERATIONS
City Council action is requested on June 19, 2018, to allow SMG to immediately begin work to complete the projects in a timely manner.
FISCAL IMPACT
The $250,000 for capital improvements at the LBCEC is funded using FY 17 Year-End Tidelands Operations Fund surplus, and is budgeted in the Tidelands Operations Fund (TF 401) in the Public Works Department (PW). There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
JOHN KEISLER
DIRECTOR OF ECONOMIC DEVELOPMENT
APPROVED:
PATRICK H. WEST
CITY MANAGER