HomeMy WebLinkAboutItem 7.3 Shannon Center Lease Agreement (2) CITY OF DUBLIN
AGENDA STATEMENT
CITY COUNCIL MEETING DATE: May 14 , 1984
SUBJECT Shannon Center Lease Agreement
EXHIBITS ATTACHED Lease Agreement ; Letter from Paul Ryan dated May 2 ,
1984 ; March 12 , 1984 Agenda Statement and Exhibit B ;
Memorandum from City Manager dated April 17 , 1984
RECOMMENDATION ) 'Approve Agreement
Authorize budget transfer in the amount of $3 , 000
from the Contingent Reserve to the Recreation
Account to cover the cost of moving the Recreation
Department to the Shannon Community Center
FINANCIAL STATEMENT: 1 ) Total cost of Center operation estimated at
$72 , 345 ; Management Fee from Dublin San Ramon
Services District - $24 , 000
Estimated net cost of lease agreement - $48 ,345
Additional cost of advertising Center programs -
$4 , 500 per year
2 ) Total cost to relocate and set-up operation at
Shannon Center - $3 , 000 in 1983-84
DESCRIPTION At its meeting of March 12 , 1984 , the City Council
authorized Staff to present a proposal to the Dublin San Ramon Services
District to lease and manage the Shannon Community Center . Staff was also
authorized to negotiate the specific terms of the lease in accordance with-
the report presented to the Council on March 12 , 1984 . Since that meeting ,
Staff has met with the Dublin San Ramon Services District Staff to negotiate
the terms of the lease . A draft lease agreement was prepared and
distributed to the City Council on April 17 , 1984 for comment .
On May 1 , 1984 , the Dublin San Ramon Services District Board of Directors
approved the lease agreement with the following modifications.
1 . Page 1, Paragraph l .b. add - Advertising of programs, services ,
availability, etc. , of the Shannon Center site shall be conducted
equally within the District boundaries .
2 . Page 3 , Paragraph l . j . add - and with District ' s prior approval .
3 . Page 3 , Paragraph l . h . ( 15 ) add - prohibiting removal of furnishings or
any other contents of the building without prior District approval .
4 . Page 4 , Paragraph 2 . c, change - Park Maintenance Superintendent to
District ' s representative .
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COPIES TO: Dublin San Ramon Services District
ITEM N0. City of San Ramon
E X H I B I T A
AGREEMENT FOR LEASE OF
SHANNON PARK COMMUNITY CENTER
THIS AGREEMENT is made and entered into this day of
May, 1984 , by and between the CITY OF DUBLIN ( hereinafter
"Dublin" ) , a municipal corporation, and the DUBLIN SAN RAMON
SERVICES DISTRICT ( hereinafter "District" ) , a political sub-
division of the State of California, based on the following
understandings :
W I T N E S S E T H:
WHEREAS, the Shannon Park Community Center is a facility
owned by the District and used for public recreation and social
purposes ; and
WHEREAS , the District desires to preserve the facility for
public use and foster an increase in the public recreational and
social programs ; and
WHEREAS , Dublin has established a recreation department for
the purpose of organizing and increasing the number and quality
of recreation programs available for residents within the
boundaries of the District ; and
WHEREAS, Dublin desires to lease Shannon Park Community
Center for use as the offices of the recreation department and
for use as a facility for public recreation and social purposes ;
NOW, THEREFORE, based on the foregoing mutual understandings,
Dublin and District agree as follows :
1 . RESPONSIBILITIES OF DUBLIN.
For the term of this Agreement , Dublin agrees to manage and
maintain the Shannon Park Community Center in the following
particulars :
a . Dublin shall plan, schedule, coordinate, supervise
and evaluate all recreation and/or social programs
conducted on the premises of said facility.
b. Dublin shall schedule the use of the said facility
on the basis of "first come, first served" , for
activities which are not sponsored by the City of
Dublin. All residents of the District shall be
treated equally in terms of access to the facility.
Advertising of programs, services, availability,
Page 1
etc . , of the Shannon Center site shall be conducted
equally within the District boundaries .
C. Dublin shall provide personnel to supervise all
programs and to maintain the facility as set forth
hereafter .
d . Dublin shall provide adequate security for the
premises and shall be responsible for and hold
District harmless from any damage which is the
proximate result of a breach of premises security.
e . Dublin shall be responsible for all utility service
within the building, including gas and electricity,
telephone, refuse removal, sewer , water service,
and pest control .
f . Dublin shall be responsible for the maintenance and
replacement, if necessary, of all items of
equipment listed on the inventory of personal
property and fixtures attached hereto as Attachment
1 , which are damaged or lost and not caused by
normal wear .
g . Dublin shall be responsible for the maintenance of
the interior of the buildings of the facility,
including the floors , walls, ceilings, doors and
windows , as defined in Attachment 2 :
h . Dublin agrees to be responsible for enforcing
and carrying out the code provisions, ordinances
and regulations of the District as they relate to
the operation of the Center . Dublin further agrees
to adhere to the following conditions in operating
the Center .
1 ) Submitting written work orders to DSRSD to
perform needed repairs . This will help
determine responsibility of repair work
2 ) Keeping a supply of touchup paint for all
painted surfaces
3 ) Enforcing key checkout procedures and reporting
any missing keys
4 ) Insuring only Shannon users are utilizing
storage areas and instituting a yearly check of
these areas in December
S ) Not allowing round tables downstairs
Page 2
6 ) Allowing ample time between scheduled events to
allow janitorial staff to perform necessary
duties . Janitorial staff may be required to
perform evening maintenance if needed for early
morning users
7 ) Assuring only round tables and brown chairs
will be allowed in the East Room
8 ) Assure that attendants wear identifying
clothing
9 ) Keeping bridge clear of leaves and debris
10 ) Having staff enforce all rules
11 ) Reporting any vandalism or abuse in writing
within twenty-four hours of the incident and
reporting occurrences to appropriate law
enforcement agencies . The District shall
receive copies of all incident reports
12 ) Providing district with copies of user
correspondence relative to complaints; meeting
with District representatives as needed to
review as appropriate
13 ) Repairing tables damaged by user or attendant
abuse
14 ) Instituting a thorough facility item checkout
procedure
15 ) Prohibiting removal of furnishings or any other
contents of the building without prior District
approval
i . The City of Dublin shall be responsible for setting
reasonable fees for use of the Community Center for
recreation and/or social programs conducted within
the facility. All individuals or organizations
residing or located within the boundaries of the
District shall be treated equally with respect to
fees charged for use of the facility.
j . City is authorized to make minor modifications to
the Center to enhance its use as the administrative
offices of the Dublin Recreation Department and to
enhance its use for recreation programs conducted
at the Center . Such modifications include but are
not limited to an identification sign on the
exterior and interior of the building, modification
of non-bearing partitions , etc. Such minor
modifications will be made at Dublin ' s expense and
with District ' s prior approval .
2 . RESPONSIBILITIES OF DISTRICT.
For the term of this Agreement, District agrees to
maintain the buildings and the grounds of said facility in
Page 3
such a condition as to permit Dublin to conduct, without
disruption, all scheduled recreation and social programs .
Specific District responsibilities shall include the
following :
a . . Replacing all overhead light bulbs ( not covered by
Dublin )
b. Any building or equipment repairs not damaged due to
tenant usage '
C . Inspecting facility to determine whether agreement is
District ' s
being upheld on a monthly basis . The Park Maintenance
representative
Superintendent shall meet on a regular schedule with a
Dublin representative . A written evaluation sheet
shall be the outcome of this meeting to determine needs
of both agencies involved
d . Approving general activity uses allowable in each room
relative to safety and maintenance
Completely painting appropriate surfaces
e . Complete painting of any painted surface within the
facility
f . Maintain the facility in a structurally safe condition.
3 . CONSIDERATION FOR AGREEMENT .
Dublin shall pay to District the sum of One Dollar ( $1 . 00 )
per year as and for rent for the Shannon Park Community Center .
District shall pay to Dublin the sum of $2 , 000 . 00 per month as
and for consideration for the management services to be performed
by Dublin pursuant to paragraph 1 hereof . In addition to the
foregoing, Dublin shall receive all revenues generated from the
use of the facility.
4 . INSURANCE AND INDEMNIFICATION .
Dublin shall assume liability and pay all costs of defense,
including legal fees and court costs, and hold the District
harmless from loss , damages, costs or expenses caused by any
negligent or wrongful acts, errors, or omissions of Dublin ' s
employees , agents and subcontractors which may occur in the
performance of the terms, duties and obligations of this
Agreement . Dublin shall provide a ' certificate of insurance to
the District, to be included as part of this Agreement, which
Page 4
will give evidence of general liability insurance of not less
than One Million Dollars ( $1 , 000 , 000 . 00 ) for personal injury,
accidental death and property damage . District shall be named as
an additional insured in any such liability insurance policy.
Dublin ' s insurance shall be designated as primary to any
insurance carried by the District . Dublin shall pay all premiums
for said insurance .
Dublin shall also provide the District with a certificate
of insurance, to be included as part of this Agreement, which
will give evidence that Dublin ' s employees are covered by
worker ' s compensation insurance .
District shall assume liability and pay all costs of
defense, including legal fees and court costs, and hold Dublin
harmless from loss , damages , costs or expenses caused by any
negligent or wrongful acts , errors, or omission of District ' s
employees , agents and subcontractors which may occur in the
performance of the terms , duties and obligations of this
Agreement .
5 . DESCRIPTION OF LEASED PREMISES .
The property, which is the subject of this Lease Agreement,
is the grounds and buildings known as Shannon Park Community
Center , 11600 Shannon Avenue, Dublin, California 94568 .
6 . TERM OF AGREEMENT .
The term of this Agreement shall be from July 1, 1984 , to
June 30 , 1985 . This Agreement may be renewed in writing by both
parties at any time prior to June 1 , 1985 . This Agreement may be
cancelled by either party by written notice to the other party at
least thirty ( 30 ) days prior to the date of termination.
7 : AMENDMENTS .
The terms of this Agreement may be amended with written
consent of both Parties .
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Page 5
8 . DISCRIMINATION.
District and Dublin shall neither discriminate nor
permit discrimination against any person or group of
persons on the ground of race, color , sex , age, national
origin, religion or marital status in any manner prohibited
by law. Non-compliance with this paragraph shall
constitute a material breach, and the other party may
terminate this Agreement .
9 . NOTICES .
Any written notices to the parties hereto shall be
sufficient if they are deposited in the United States Post
Office, in envelopes,: postage prepaid by registered or certified
mail, and addressed as follows :
DUBLIN: City Manager
City of Dublin
6500 Dublin Boulevard
Suite 101
Dublin, California 94568
DISTRICT : General Manager
Dublin San Ramon Services District
7051 Dublin Boulevard
Dublin, California 94568
IN WITNESS WHEREOF, the parties hereto have executed this
Agreement in duplicate at Dublin, California, the day and year
first above written.
CITY OF DUBLIN
By
Mayor
ATTEST:
City Clerk
DUBLIN SAN RAMON SERVICES DISTRICT
By
President of Board of Directors
ATTEST :
Secretary
Page 6
SHANNON INVENTORY
ATTACHMENT 1
5/liE4
ITEM DESCRIPTION LOCATIOiN AMOi!"JT CO`lD1TION
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Wall Plaques 4 Lobby 4 Good
Bulletin Board 66 Lobby 1 Poor
Chalk Board Small Lobby 1 Fair
Chess Board Large Lobby 1 Goad
Trash Recpt. Metal Lobby 1 Good
Chair Brown Lobby 1 Good
Ash Tray 16" Lobby 1 Fair
Rect. Table 60" Lobby '1 Good
Desk 60";i30"Metal Office 1 Good
Desk Chair Green Office 1 Poor
Tripods Small Alumn, Office 3 Fair
Ladder 14' Wood Office I Good
Steam Trays Stain. Steel Office 10 Good
Trash Recpt. Metal Office 3 Good
Rect. Table 36"x72" Office 1 Good
Metal Table 60" Office 1 Good
File Cabinet 4 Drawer Office I Good
Upol. Chair Brown Office 3 Fair
Vinyl Cov. Chair Brown Office 1 Poor
Port. Metal Closet Gray Office I Good
Round Tables 5 ft East Room 5 Good
Chairs Brown East Room 42 Good
Chairs Red East Room 5 Good
Chairs Yellow East Room 3 Good
Chalk Board 6 ft. East Room 1 Good
Trash Recept. Metal East Room 2 Good
Rect. Tables Bft.x3ft. West Roam 22 Poor
Rect. Tables 8ft.x 30" West Room 10 Poor
Round Tables 60" Wept Roo. 13 Good
Table Carts West Roc: 4 Good
Chair Carts West Room 1 Good
Table Carts(Round) West Room. 3 Good
Podium Wood West Roam 1 Fair
Chair Dolley Pipe West Room l Geod
Chairs Brown West Room 54 Good
Chairs Orange West Room 134 Good
Trash Recept. Metal West Room I Good
Chairs Red A B Room 62 Good
Chairs Yellow A B Room 19 food
Trash Recpt. Metal A B Room l Good
Balance Beam AMF A B Root 1 Good
Metal Frame 58"x55" A B Room 1 Poor
Table Tennis Table Folding A B Room(stor.l 1 Good
Floor Mat 127x6'(Orange) A B Room(stor.) 1 Good
Floor Mat 7.5'x4.5'(Green) A B Room(stor.) 4 Fair
Floor Mat B'x4'(Blue-White) A B Room(stor.) 4 Good
Floor Mat 10'x52(Orange) A B Room(stor.) 1 Good
Floor Mat 6'x4'(Blue-White) A B Room(stor.) 1 Good
Medical Stretcher A B Room(stor.) 1 Good
Rect- Tables 8ft.;;36" A B Room 4 Fair
Chairs S,mail Preschool 20 Good
Tables Small Preschool 3 Good
Trash Recpt. Metal Preschool 1 Good
Elect Kiln Cress Elect. Long Stor. 1 Good
Elect Pot Wheel Robert Brent Long Stor. 2 . Goad
Chairs Brown Behind Stage 28 Good
Chairs Orange Behind Stage 10 Good
Ladder 6' Alumn. Behind Stage 1 Fair
Ladder 8' Wood Behind Stage 1 Good
Card Table 30" Behind Stage I Poor
Card Table 36" Behind Stage 2 Fair ;
P.A. System ALTEC Stage 1 Good
Chair Brown Hall 1 Good
Chair Pianno Hall 1 Fair
Piar,no Upright Hall 1 Poor '
Trash Recpt. Metal Hall 1 Good
Table 58"r,28" Hall 1 Poor
Chairs Red Stor. Room 28 Poor
Chairs Yellow Stor. Room 1 Poor
ATTACHMENT 2
SHANNON MAINTENANCE SCHEDULE - by City of Dublin
Office/Carpets
Shall be vacumed twice per week
Shall be cleaned once per year and treated with a soil
repellant
Cabinet finish shall be protected once per month
East Room/Wood Floors
Shall be dust-mopped daily
Shall be spot-coated with identical polyurethane sealer as
needed
Do not use any machine applications on this floor
Shall be refinished every year with a polyurethane sealer
Main Hall/Floors
Shall be damp-mopped daily
Shall be wax-restored (waterbase) twice per week
Floors shall be stripped, neutralized and waxed (waterbase)
once per year or more often if needed
West Roorn; Hallway; Main Lobby/Floors
Shall be damp-mopped every other day
Wax-restored once per week
Shall be stripped, neutralized and waxed (waterbase) once per
year
Kitchen; Restrooms
Shall be damp-mopped daily
Wax-restored once per week
Shall be stripped, neutralized and waxed (.waterbase) once per
year or more often if needed
All plumbing fixtures shall be cleaned daily with a
germicidal cleaner
Ceramic tiles in restrooms should be cleaned daily and sealed
( solvent base ) once per year
Aroma screens or equivalent shall be used in men ' s urinals
Kitchen appliances and any stainless steel shall be polished
once per week to restore to original finish
Cabinet finish shall be protected once per month
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Page 2
Shannon Maintenance Shedule
Meeting Room/Concrete Floors ( Downstairs )
Shall be damp mopped twice per week
Preschool ( Downstairs )
Shall be vacuumed twice per week
Shall be cleaned once per year and be treated with a soil
repellant
Entire Building/Walls
Wallpaper shall be cleaned every two weeks
Painted walls shall be touched up as needed
Graffiti shall be removed immediately when observed
Lower Windows ( Under 10 ' )
Shall be cleaned once per week
Upper Windows (Over 10 ' )
Shall be cleaned twice per year
Light fixtures--Inside Building & Bridge
Shall replace all burnt out light bulbs that can be reached
by a 6 ' ladder
UUBLIN SAN RAMON SERVICES DISTRICT
General Offices: 7051 Dublin Boulevard Dublin, California 94568 (415) 828-0515
May 2 , 1984
NIA Y 2 1984
cr D';�r•r,
Mr. Richard Ambrose , City Manager
City of Dublin
P. 0. Box 2340
Dublin , California 94568
Dear Richard :
As a follow-up to last night 's Board of Directors
meeting , attached is my draft of our agreement , on which
the Board 's modifications and our corrections are shown in
red . Since the document is on your word processor , we
would appreciate your running a final draft for submission
to our respective bodies for adoption at their next meet-
ings , i . e . , we will need to have the document by Thursday ,
May 10. Please send a copy of the final draft to the City
of San Ramon , so that they will be fully apprised of what
is transpiring .
This draft assures equal access , advertising of pro-
grams , etc . to Dublin and San Ramon residents , which was a
concern of our Board . They also want your City Council to
be aware of their concern that pre-school and senior citi-
zens ' programs should be given highest priority in sched-
uling the facility .
Lastly , the District would like to meet with the City
in the future to address other recreation concerns and
programs .
Very truly yours,
PR: rj r RYAN
General Manager
encl .
A POLITICAL SUBDIVISION OF THE STATE OF CALIFORNIA • PROVIDES MUNICIPAL TYPE SERVICES TO CITIZENS OF AMADOR-LIVERMORE AND SAN RAMON VALLEYS
ALAMEDA AND CONTRA COSTA COUNTIES.
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CITY OF DUBLIN
AGENDA STATEMENT
CITY COUNCIL MEETING DATE: March 12, 1984
SUBJECT Proposal to DSRSD for Shannon Center Lease
EXHIBITS ATTACHED Exhibit A: . Shannon Center Report from Building
Official
Exhibit B : DSRSD List of Interior Improvements Being
Undertaken . -
Exhibit C: SRVCC Operating Analysis
Exhibit D: Estimated Cost of Operation by City
a
Exhibit E: SRVCC Current Rental, Charges 9
Exhibit F : Current Agreement between SRVCC and DSRSD
RECOMMENDATI Direct Staff to present City .proposal to `:DSRSD and
negotiate specific terms `of .the lease .
FINANCIAL STATEMENT: $72 ,345 . 00 less any amount negotiated as, a management
contract and any rental revenue. This estimate does .
not include the cost of equipment or' minor building
alterations undertaken at the City's expense.
DESCRIPTION At the regular City Council meeting on December 12 ,
1983 , the Council directed the Parks & Recreation Commission to . investigate _
the potential terms and costs associated with the lease of the Shannon .
Community Center .
The Park & Recreation Commission provided Staff with input on the costs
factors which needed to be investigated when considering acquisition of the
lease of Shannon Center . In addition, they requested that the Building
Official inspect the facility to determine its structural soundness . The
Commission also met and toured the facility in order to have a basic
understanding of potential uses of the building.
Physical Condition
The Building Official inspected the facility and provided a brief list. of
corrections ( Exhibit A) . Subsequent to this inspection, -City Staff has met
with Mr . Paul Ryan, General Manager , Dublin San Ramon Services District and
provided him with this information: Mr . Ryan is taking steps to
specifically examine each of the areas . Some of - the items were already . .
included in a list of building improvements which DSRSD is in the process of
completing . DSRSD is replacing boards on the wood deck which have gaps and
knot holes in the planks . DSRSD is in the process of- completing„$35 , 000 in v
physical improvements at the facility. . Exhibit B outlines some of the
interior work to be included in this project. Included in these .
improvements is the installation of an overhead light . near . the bridge to
improve lighting on the approach to the building.
Cost Estimates
To determine potential costs associated with the operation of -the facility,
Staff has met with Mr . Dave Stegman of the San .Ramon Valley Community
Center , Inc. (SRVCC) . - Exhibit C outlines the cur rent;:operating -budget which r
SRVCC has shared with . the City.
Exhibit D shows an estimated cost of operation by the -City. ,.,. In part, these
estimates were based upon information provided by SRVCC. ,. The current :
arrangement which the Community Center utilizes for maintenance .services is
the use of an independant contractor . , This contract provides for,: custodial
services in addition to building attendant services during - the .day ,time
hours . If the city is successful in obtaining the lease agreement staff
would investigate the possibility of continuing with the ;same arrangement, .
-------------------------- -=----------------------------------- -----------
COPIES T0: Paul :Ryan, .'DSRSD ,._ti;
p Dave Stegman, SRVCC'---,
ITEM NO 8' r
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AGENDA STATEMENT : Proposal to DSRSD for Shannon Center Lease
Page 2
or a separate agreement for custodial services and the use of part-time
building attendants during the day time hours . Staff has estimated the
total cost of operating the facility at approximately $72 , 345 .
The estimated cost of operation has only accounted for anticipated routine
costs . Capital expenditures for signs identifying the location as the City
of Dublin Recreation Department and minor interior modifications are not
included in the analysis . Also, any costs associated with equipment and
programs are not presented in the estimate . If the City acquires the lease,
it will assume the responsibility for the interior of the building . It is
important to recognize that the repair of any interior vandalism would
become the City ' s responsibility. These costs are difficult to project at
this time, however, the potential for these costs must be recognized .
Liability
The acquisition of the lease has been discussed with the City' s Insurance
Broker . Mr . Fernandez has indicated that the cost of liability would not be
affected until February 1 , 1985 . DSRSD carries their own insurance on the
contents of the building, which is property of the District . The lease
agreement would require the City to assume the liability for the operation
of the Center . Mr . Fernandez did recommend we require users of the facility
to show proof of insurance . He has assisted the City of Pleasanton in the
development of a similar program in which one day single event coverage can
be purchased for approximately $25 . 00-$50 . 00 . He has noted that the .
contractors instructing on-going classes would be required to show proof of
insurance .
Revenue
SRVCC has projected revenues equal to $48 , 000 during the current year . This
revenue comes from renting the facility to various community groups and
private individuals . The revenues do not include revenues derived from
special interest classes .
In 1979 , DSRSD determined that the cost to the District of "mothballing" the
facility would be approximately $2 , 000 per month. Therefore, DSRSD entered
into a management contract with SRVCC in which the Community Center received
a $2 , 000 per month fee from the District . SRVCC is responsible for the.
interior maintenance of the building . The management contract has remained
at the same level since 1979 . As the property owners , it is in the
District ' s interest to assure that their investment and the facility is
adequately maintained . The management contract actually represents a cost
which the district would incur even if the facility were not operating.
Staff has requested information from DSRSD regarding the factors used in
calculating the cost of "mothballing" the facility. If this data is
available it will be presented at the meeting .
Exhibit E identifies the current rental rates charged for the use of the
Center . Mr . Stegman has indicated that separate agreements exist for some
groups , such as senior citizens . The agreements are for a flat fee and were
based in part on the organization ' s ability to pay. Two factors may impact
the amount of revenue derived from rental of the building .
First, if 'the City undertakes a risk management program as suggested by our
Insurance Broker , the fee schedule may need adjustment to remain
competitive . The cost of insurance in addition to the existing rental fees
may prove to be more than surrounding facilities charge. Second, the City
Council may wish to establish a fee schedule different than the current
arrangement . Any reduction in fees collected would increase the general
fund operating cost to the City.
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AGENDA STATEMENT : Proposal to DSRSD for Shannon Center Lease
Page 3
Net Operational Cost
Given the fact that DSRSD would incur costs regardless of whether the
facility was used, we anticipate a continuation of the management contract .
Therefore, provided that the contract is at least $2 , 000 per month , the
annual net cost of operation would be approximately $48 ,000 .
Estimated Cost of Operation $72 ,345
Management Contract ( 24 , 000 )
Net Cost of Operation. 48 , 345
This cost would be reduced further by any revenue derived from renting the
facility. SRVCC anticipates $48 , 000 utilizing their current fee structure.
As noted above, if the. fees were altered the City may experience a decline
in this offsetting revenue . However , SRVCC estimates do not reflect the
total amount of revenues realized from special interest classes .
Other Considerations
In developing the cost estimate Staff has attempted to provide the most
realistic setting as possible . Discussions with DSRSD Staff revealed that a
significant amount of personnel costs are associated with the operation of a
Community Center . The accounting for deposits , rental fees, and scheduling
the use of the facility require adequate personnel . In addition, there is a
substantial amount of follow up correspondance and bookkeeping which are
affiliated with the operation .
Proposal
At their regular meeting on February 21 , 1984 the Parks and . Recreation
Commission recommended to the City Council that the City present .a proposal
to DSRSD for a one year lease of Shannon Center . The proposal would be
similar to the existing agreement between DSRSD and SRVCC ( Exhibit F ) . The
following items should be included as condition of any proposed agreement :
A . City staff would negotiate with DSRSD the management contract of at
least $2 , 000 per month .
B . The City shall have sole control over the establishment of rental
fees .
C . City Staff will work with DSRSD to assure physical improvements which
create liability for the City are completed prior to the City' s
operation .
D . The lease proposal be for one year .
E. The City would have the authorization to make minor modifications to
the facility.
It is recommended that the City Council authorize the City Manager to submit
a formal proposal based on these conditions to DSRSD for their
consideration . A final agreement would be brought before the City Council
for its approval , however , it should include the conditions mentioned above
and will be based on the existing agreement between SRVCC and DSRSD.
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SHANNON COMMUNITY CENTER
ESTIMATED COST OF OPERATION
Note : The following costs reflect expenditures for opening the facility and
does not include any costs associated with equipment and programs .
Personnel Services
Part-time Building Attendants ( 3 , 000 hrs @ $6 . 00/hr ) $ 18 , 000 . 00
Part-time Worker ' s Compensation ( Rate = 11 . 02 ) 1 , 985 . 00
Secretary - 30o ( Includes Worker ' s Comp & Fringe Benefits ) 7 , 065 . 00
Total Personnel Services S 27 , 050 . 00
Contract Services
Maintenance Agreement ( Provides for 8 a .m. - 5 p.m.
Building Attendant/Custodial Service) $ 22 , 700 .00
Alarm/Exterminator Services 2 , 750 . 00
Total Contract Services S 25 , -50 . 00
Services and Supplies
Telephone ( Includes 1 time cost of establishing service/ecuipmt ) $ 2 ,500 . 00
Office Sua_olies 1 , 000 . 00
Printing - Forms , etc . 500 . 00
Maintenance Supplies' 2 ,500 . 00
Utilities ( PG&E/1,-rater/Sewer/Refuse.) 13 , 345 . 00
Total Services/Supplies S 19 , 845 . 00
GRAND TOTAL = $ 72 , 345 . 00
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H E M 0 R A N D U M
10: City Council
FROM : City manager
SUBJECT: Shannon Center Agreement
i
DATE: April 17., 1984
Attached is a copy of the cover letter and draft agreement which has
been sent to the Dublin . San Ramon Services District. This
agreement covers, those issues identified by the City Council at its
meeting of March 12, 1984 .
City Staff and Paul Ryan have discussed the various provisions of the
agreement. . 'At '-.the Staff level, Mr . Ryan agreed with the City ' s
initial draft proposal with the following exceptions.
1 . That the City agrees to be responsible for enforcing and carry-
ing out the code provisions, ordinances and regulations of the
District as they relate to the operation (see paragraph l.h. ) .
2 . That the City shall set reasonable fees (see paragraph l . i . )
3 . That a non-discrimination clause be added (see paragraph 8 . )
4 . That the City reduce its request for funds from the District to
operate . the ,.Center from $2,300/month to $2,000/month. The
City's request for the increase is based on the fact that the
$2,000 figure established by DSRSD in 1979 represents the
mothball cost to the District at that, time. Since 1979, there
has been an increase of 80% in the cost of utilities which are
part of the mothball cost (see attached) . City Staff has
tentatively agreed with District Staff to this reduction,
provided that the District maintain no review authority over the
-City' s ability to set fees. .
5 . The District wanted the City to stipulate that the City' s
insurance would be primary for negligent acts on the part of the
City as they relate to the operation of the Center.
The agreement as drafted with changes will be sub:zitted to the
District Board of Directors at their first meeting in May. After the
City receives a formal response from ti:e District regarding the
agree:ent, this item will be placed on the City Council 's agenda.
In the meantime , if you have any comments or concerns regarding the
draft agreement, please let me know no later than April 24, 1984 .
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