TITLE
Recommendation to adopt Specifications No. PR15-105 and authorize City Manager to execute new permits with SoCal Kitesurfing, LLC, of Tustin, CA; Off the Hook Kiteboarding, Inc., of Huntington Beach, CA; and Captain Kirks, Inc., of San Pedro, CA, to operate kiteboarding and stand-up paddleboarding rental and instruction concessions on City of Long Beach beaches for an initial term of 18 months, with subsequent term extensions through September 30, 2021, subject to the approval of the California Coastal Commission, and at the discretion of the City Manager, or his designee. (District 3)
DISCUSSION
City Council approval is requested to issue new permits with SoCal Kitesurfing, LLC; Off the Hook Kiteboarding, Inc.; and Captain Kirks, Inc., to operate kiteboarding and stand-up paddleboarding rental and instruction concessions.
Kiteboarding, or kitesurfing, as it is sometimes referred to, involves using the power of a large controllable kite to propel a rider across the water on a specialized wakeboard. The calm waters and steady offshore winds found along Long Beach’s shoreline have made it an ideal kiteboarding venue. On July 9, 2015, the California Coastal Commission authorized Coastal Development Permit No. 5-14-0017 (Coastal Permit) for the establishment of a designated kiteboarding lesson area, kiteboarding beach launch/exit area, and three kiteboarding vendor areas on the beach between Claremont and La Verne Avenues (Attachment). In anticipation of the Coastal Permit, a Request for Proposals (RFP) document was issued to select three individual concessionaires to provide the aforementioned services.
The RFP was advertised in the Press-Telegram on April 29, 2015, and 672 potential proposers specializing in these services were notified of the RFP opportunity. Of those proposers, 15 downloaded the RFP via our electronic bid system. The RFP document was made available from the Purchasing Division, located on the seventh floor of City Hall, and the Division’s website at: www.longbeach.gov/purchasing <http://www.longbeach.gov/purchasing>. An RFP announcement was also included in the Purchasing Division’s weekly update of Open Bid Opportunities, which is sent to 22 local, minority, and women-owned business groups. Five proposals were received by May 14, 2015. Of those five proposals, none were a Minority-owned Business Enterprise (MBE), none were a Women-owned Business Enterprise (WBE), one was a certified Small Business Enterprise (SBE), and one was a Long Beach business (Local).
Local Business Outreach
In an effort to align with our outreach goal, Long Beach businesses are encouraged to submit proposals for City contracts. The Purchasing Division also assists businesses with registering on the Bids Online database to download the RFP specifications. Through outreach, 132 Long Beach vendors were notified to submit proposals, of which one downloaded and submitted a proposal. The Purchasing Division is committed to continuing to perform outreach to local businesses to expand the vendor pool.
A panel comprised of staff from the Department of Parks, Recreation and Marine (PRM) reviewed the submitted proposals and selected three of them to operate the concessions via permits authorized by the City Council and executed by the City Manager.
The three selected proposers are SoCal Kitesurfing, LLC; Off the Hook Kiteboarding, Inc.; and Captain Kirks, Inc. (Permittees). The Permittees shall each be issued separate permits containing the following major provisions:
• Initial Term: 18 months, through September 1, 2017.
• Renewal Options: The Permittees may have the opportunity to extend the term of their permits through September 30, 2021. However, these extensions will be subject to the approval of the California Coastal Commission, and at the discretion of the City Manager or his designee.
• Permitted Use: Operation of a kiteboarding and stand-up paddleboarding concession, which includes instruction/lessons and kiteboarding equipment rentals. Pursuant to the Coastal Permit, Permittees shall not be allowed to sell kiteboarding equipment or sundry items, nor shall they be allowed to erect any permanent structures on the beach.
• Permit Areas: Each Permittee shall be assigned specific areas of the City’s beaches between Claremont and La Verne Avenues. The Manager of Marinas and Beaches, or designee, will make the assignments, and these areas will be the only locations from which the Permittees will be allowed to operate their individual physical concessions. In addition, the Permittees will be allowed to use a designated common lesson area, as well as launch/exit areas.
• Permit Fee: Each Permittee shall pay PRM an annual permit fee of $3,000.
• Insurance/Program Liability: Each Permittee shall provide proof of insurance coverage and a copy of their participant liability waivers, as defined and/or accepted to sufficiency by the City’s Risk Manager, on an annual basis or upon policy renewal and/or change.
• Kiteboarding Guidelines: The Permittees shall comply with the International Kiteboarding Organization (IKO) kiteboarding school requirements, as well as the City of Long Beach Kiteboarding Guidelines, and where applicable, shall maintain their Professional Air Sports Association certified school status throughout the term of their permit.
This matter was reviewed by Deputy City Attorney Linda T. Vu on February 11, 2016 and by Budget Management Officer Victoria Bell on February 12, 2016.
TIMING CONSIDERATIONS
City Council action to adopt Specifications No. PR15-105 and to execute permits is requested on March 1, 2016, to ensure agreements are in place expeditiously.
FISCAL IMPACT
Annual revenue in the amount of $3,000 per Permittee, $9,000 total, from the use of City beaches will accrue to the Tidelands Operations Fund (TF 401) in the Parks, Recreation and Marine Department (PR). There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
STEPHEN P. SCOTT
INTERIM DIRECTOR OF PARKS, RECREATION AND MARINE
JOHN GROSS
DIRECTOR OF FINANCIAL MANAGEMENT
APPROVED:
PATRICK H. WEST
CITY MANAGER