Loading...
HomeMy WebLinkAboutItem 8.1 Emerald Glen Activity Ctr Useor'DU~~r~ CITY CLERK ,`~ File # ^®©~-®Lt!J ~~ -i~ sz 1 ~~ ,~~/// ~~'~1r ram„-.~,~1~ AGENDA STATEMENT CITY COUNCIL MEETING DATE: March 17, 2009 SUBJECT: Future Use of the Emerald Glen Activity Center Buildings Report by Paul McCreary, Assistant Director of Parks & Community Services ATTACHMENTS: None RECOMMENDATION: Receive report and direct Staff to discontinue leasing Building "B" r}~ after August 2009, or provide alternate direction ~~ ~~ ~1 ~~ FINANCIAL STATEMENT: None DESCRIPTION: The City Council has a high priority objective to evaluate options for the operation of the Emerald Glen Activity Center following the opening of the new Shannon Community Center. In addition to the increased cost to operate the new Shannon Community Center, continuing. to operate the Activity Center will also increase the net cost to the City. Staff has analyzed the need for future use of the Activity Center buildings. The. following is background information about the Activity Center and an overview of the Staff recommendation to discontinue the operation of Building "B" after August 2009, which was unanimously supported by the Parks and Community Services Commission. BACKGROUND The former Shannon Community Center was closed in June 2004 due to problems resulting from water intrusion into the building. On July 20, 2004, the City Council directed Staff to install two modular buildings in Emerald Glen Park to serve as interim Community Center facilities until a new Community Center could be constructed at Shannon Park. Building "A" of the Activity Center has two classrooms that have been used for the Shamrock Preschool, Tenderfoot Day Camp, and Camp Emerald Glen. These programs were formerly held at the Shannon Community Center. ------------------------------------------------------------------------------------------------------------- COPY TO: Parks and Community Services Commission ~~ Page 1 of 4 ITEM NO. G:\COUNCILWgenda Statements\2009\3-17 EGlen Activity Center.doc Building "B" has one multi-purpose room that has been used for a variety of recreational and cultural arts classes that were formerly offered at the Shannon Community Center such as dance, art, music, theater and crafts. Now that construction of the Shannon Community Center has been completed, classes will begin there at the end of March, which is the start of the spring quarter. Staff plans to relocate all of the programs and classes currently offered in Buildings A and B to the Shannon Community Center, with the exception of the Shamrock Preschool, which will remain at Emerald Glen through June to minimize disruption for the students. Camp Emerald Glen will also remain in Building A through August 2009. Staff is confident that with the increased number of rooms, the Shannon Community Center will be able to accommodate all of these programs with roam for future growth (with the exception of the preschool as discussed below). Additionally it is anticipated that the Kolb ranch buildings at the Dublin Historic Park will be available on a limited basis for classes and programs starting in 20.10. ANALYSIS OF NEED FOR MODULAR BUILDINGS Building A has been well utilized for preschool classes and youth camps with an average of 40 hours of use per week. Additionally, the programs held in Building A were at full capacity, with an average of 23 students per class. This may be due to the fact that there is high demand for preschool programs in the Tri-Valley. During FY 2007-2048 there were 70 people on waiting lists for the preschool .classes and camps held in Building A. In comparison, Building B has been utilized an average of only 14 hours per week this past year, with less than 10 participants per class. This reduced the revenue generated and significantly increased the net operating cost for Building B. The lower amount of use for Building B is a result of the cancellation of various contract classes due to insufficient enrollment. Additionally the facility does not lend itself well to all activities. The Shannon Community Center will have more rooms to better meet the different needs of classes and activities. Based on the current demand for preschool programs, Staff believes there is enough interest to make the operation of Building A viable in the future. Based on the low amount of use for Building B there does not appear to be enough demand to justify continuing the operation of that building. However, if the City were to operate preschool classes at both the Shannon Community Center and the Emerald Glen Activity Center in Building A, Staff anticipates both sites may not be at full capacity as the existing market would be split between two facilities. Currently about half of the preschool participants live closer to the Shannon Community Center and the other half closer to Emerald Glen. Additionally, two new licensed preschool childcare programs will be opening this year at the former Nielsen Elementary School site (including Kidango and Montessori). ALTERNATIVES Alternative 1 is to remove both modular buildings as was planned when the installation was approved by the City Council in 2004. As noted earlier Staff is confident that the new Shannon Community Center and Kolb ranch buildings will be able to absorb the existing programming and have room for future growth. The buildings at Emerald Glen would be removed by Mobile Modular. The site would require some rough grading and the utilities would need to be prepared for non-operation. The estimated cost to remove both buildings and prepare the site is $20,300. Removing both buildings could save the City approximately $65,000 annually in operating costs. Page 2 of 4 Alternative 2 is to remove Building B and retain Building A to provide space for the expansion of classes and camps for preschoolers and youth. The estimated cost to remove Building B and prepare the site is $13,500. There will not be space at the Shannon Community Center to expand preschool enrollment, which for the current school year is at full capacity with a waiting list of over 30 students. Staff anticipates demand will continue to increase for the Preschool despite the slowdown of residential development in Dublin. According to statistics, there was a nationwide mini baby-boom for births in 2007. The recent increase in demand for preschools in the Tri-Valley may be a result of this mini-boom. Building A has two classrooms and was designed with preschool sized amenities such as toilets and sinks. There is also a fenced in playground area with access from both classrooms. Therefore it is well suited for youth programming. Staff estimates the annual net operating cost in the first year for Building A would be approximately $25,000 as follows: Total Revenue from Registration ......................$88,640 Expenditures Salaries and Benefits ........................................$62,400 Supplies and Services .......................................$33,870 Contracted Services ..........................................$17,300 Total Expenditures ...........................................$113,570 Estimated Net Cost .............................................$24,930 The revenue above is based on registration for preschool programs being at 60% of total capacity. CTTMMARV The Emerald Glen Activity Center -was established as an interim recreational facility and has served its purpose. Since opening in 2004, registration for programs in Building A has grown to over 860 annually. Building A has been utilized over 40 hours per week and the classes are at full capacity with waiting lists. Conversely, Building B has not been as well received as other Department facilities, averaging only 14 hours of use per week and having a higher cancellation rate for classes due to lack of enrollment. It is expected the current economic recession will reduce. revenues for the City. Continuing to operate Building B would increase this burden by adding $40,000 in net cost annually.. Staff estimates the net cost to operate Building A is $25,000 annually based on a 60% enrollment rate. If enrollment increases, Staff anticipates the additional enrollment fees could eliminate the net operating cost for Building A in subsequent years. Therefore, Staff recommends Alternative 2, which is to retain Building A for a one year period to determine if there is sufficient demand to continue operation of the preschool at Emerald Glen Park. If there is sufficient demand the preschool could remain in operation in the modular buildings until construction begins on the future Emerald Glen Community Center. At this time, it is unknown when that project will commence. RECOMMENDATION FROM PARKS AND COMMUNITY SERVICES COMMISSION Staff presented this report at the February 23, 2009, meeting of the Parks and Community Services Commission. The Commissioners discussed the importance of continuing to offer preschool at Emerald Glen because that is where the majority of development will happen in the future. The Commission unanimously recommended to the City Council to remove Building B after August 2009, and maintain Building "A" for expansion of preschool and youth classes and camps. Page 3 of 4 If the City Council concurs with the recommendation to continue operation of Building A, Staff will prepare cost estimates to offer preschool at Emerald Glen 'for one year beginning in the fall for City Council consideration as part of the annual Goals and Objectives process. RECOMMENDATION: Staff recommends that the City Council receive the report and direct Staff to discontinue leasing Building "B" after August 2009, or provide alternate direction. Page 4 of 4