TITLE
Recommendation to authorize City Manager to execute the Twelfth Amendment to Historical Site Lease No. 24291 with Rancho Los Alamitos Foundation to provide for the annual management fee for lease year 2009-2010. (District 3)
DISCUSSION
On October 3, 1995, the City Council authorized a Historic Site Lease (Lease) with the Rancho Los Alamitos Foundation (Foundation) to manage, operate, and interpret the City's historical site known as Rancho Los Alamitos Historic Ranch and Gardens (Rancho). As stated in the Lease, the Foundation is responsible for enhancing the educational value of the site through public and community activities, assemblies, and visits. Maintenance responsibilities include: maintenance of gardens, residential and agricultural structures, interiors and furnishings, fixtures, utilities, carpeting, and equipment.
In consideration of the Foundation's agreement to manage the educational, historical, and community service aspects of the Rancho, the City pays the Foundation an annual management fee. The Lease provides for an annual increase to the management fee based on the Consumer Price Index (CPI). Therefore, the Department of Parks, Recreation and Marine annually requests City Council authorization to amend the Lease reflecting the adjusted management fee.
On November 11, 2008, the City Council authorized a fee of $542,558 for lease year 2008-2009. During the FY 2009-2010 budget process, in accordance with Section 15.8 of the Lease, it was determined that due to financial constraints, the annual management fee would be decreased by $54,850 for lease year 2009-2010, for a revised fee total of $487,708. A Lease amendment is required to reflect this change. All other terms and conditions of the Lease will remain in effect.
This matter was reviewed by Deputy City Attorney Gary J. Anderson on November 6, 2009, and Budget and Performance Management Bureau Manager David Wodynski on November 16, 2009.
TIMING CONSIDERATIONS
City Council ac...
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