REQUEST FOR CITY COUNCIL ACTION
SUBMITTED TO: Honorable Mayor and City Council Members
SUBMITTED BY: Eric G. Parra, Interim City Manager
VIA: Ashley Wysocki, Director of Community & Library Services
PREPARED BY: Carrie Gonzales, Management Aide
Subject:
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Approve and authorize execution of a five-year License Agreement with Southern California Edison Company for public parkland located at Gisler Park
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Statement of Issue:
The five-year license agreement with Southern California Edison (SCE) Company for use of 10.5 acres known as Gisler Park will expire on June 30, 2024. SCE has prepared a new five-year license agreement for the City’s use of this property for Gisler Park located north of Hamilton Avenue, between Brookhurst and Bushard Streets.
Financial Impact:
The license amount is $3,061.96 for year one, with annual CPI adjustments of 5% over the five-year period. Sufficient funds are budgeted in the FY 2024/25 Park Development Fund, account number 22845001.70300. Future fiscal years will be budgeted accordingly.
Recommended Action:
recommendation
Approve the License Agreement with Southern California Edison for the use of 10.5 acres of property known as Gisler Park, Contract No. 9.2247, and authorize the Mayor and City Clerk to execute any and all documents necessary to complete this transaction.
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Alternative Action(s):
Do not approve the license agreement with Southern California Edison and direct staff accordingly.
Analysis:
The City of Huntington Beach first entered into a license agreement with Southern California Edison (SCE) in 1985, for the use of 10.5 acres of SCE property located north of Hamilton, between Brookhurst and Bushard Streets. The license agreement has been renewed for successive five-year terms since that time.
The current license agreement expires on June 30, 2024. The proposed license agreement would commence July 1, 2024, and expire June 30, 2029. The City has historically utilized the SCE property in conjunction with the adjacent City-owned property for use as Gisler Park. In exchange for the use of the property, the City would pay an annual license fee with annual CPI adjustments of 5% over a five-year period as shown below.
|
Year |
Term |
Yearly Amount |
Payment Due First Day of |
|
First Year |
2024 |
$3,061.96 |
July |
|
Second Year |
2025 |
$3,215.06 |
July |
|
Third Year |
2026 |
$3,375.81 |
July |
|
Fourth Year |
2027 |
$3,544.60 |
July |
|
Fifth Year |
2028 |
$3,721.83 |
July |
All other terms of the proposed license agreement remain virtually unchanged from previous agreements.
Environmental Status:
Pursuant to CEQA Guidelines Section 15378(b)(5), administrative activities of governments that will not result in direct or indirect physical changes in the environment do not constitute a project.
Strategic Plan Goal:
Non Applicable - Administrative Item
Attachment(s):
1. License Agreement with Southern California Edison - Contract No. 9.2247 for Gisler Park.