REPORT TO THE CITY COUNCIL December 14, 2017 FROM: WILMA QUAN-SCHECTER, City Manager Office of the Mayor & City Manager BY: BRUCE RUDD, Interim Assistant City Manager Office of the Mayor & City Manager SUBJECT ..Title Actions pertaining to Woodward Park Rotary Amphitheatre: 1. Adopt a finding of Categorical Exemption pursuant to California Environmental Quality Act Guidelines Section 15301 2. Approve License Agreement between the City of Fresno and Rotary Club of Fresno Appropriating $100,000 to Fund Improvements to the Woodward Park Rotary Amphitheatre. ..Body RECOMMENDATION Approve a license agreement between the City of Fresno and the Rotary Club of Fresno to construct entryway improvements to the Woodward Park Rotary Amphitheatre, which would provide $100,000 toward cost of constructing Phase I of the Woodward Park Rotary Amphitheatre Entryway Improvement Project. EXECUTIVE SUMMARY The City of Fresno and the Rotary Club of Fresno (Rotary) entered into an agreement on August 25, 1992, which ultimately led to the construction of what is now known as the Woodward Park Rotary Amphitheatre. Over the last several years, the Rotary has been working on the development of a new entryway for the Amphitheatre and has reached a point in which they are prepared to move forward with this project. The project will occur over multiple phases, with the anticipated cost of Phase I being approximately $205,000. The first phase of the project has progressed to the point in which work can begin as early as January, 2018, contingent upon $100,000 being provided by the City of Fresno. It is recommended that funding for the project come from a combination of the Amphitheatre Ticket Surcharge Fees (ATSF), as well as parking revenues set aside to fund various parks-related capital improvements. BACKGROUND On August 25, 1992, the City of Fresno and the Rotary entered into 50-year Agreement that resulted in the construction of an amphitheater at Woodward Park. This Agreement was subsequently amended on January 15, 1996, in order to facilitate the completion of the necessary work. The original agreement also included the creation and collection of an Amphitheater Ticket Surcharge Fee (ATSF), which is to be used to fund future Amphitheatre capital improvement projects. While there have been subsequent amendments to the original agreement that are still enforceable, the provisions related to the construction of the Amphitheatre (e.g., insurance, indemnification) have since expired. Over the last several years, the Rotary has been working on developing plans for a new entry way for the Amphitheatre. Work has progressed to the point in which plans have now been finalized and permits issued earlier this year. Since that time, the Rotary has been reaching out to a number of community stakeholders to help in the construction and/or the funding of Phase I of this project, which is estimated to cost approximately $205,000. The total cost of all the phases may be as high as $800,000. The Rotary has now reached a point in which they are prepared to start construction predicated on the City of Fresno contributing $50,000 toward this effort along, with an allocation of another $50,000 from revenues derived from the collection of the ATSF. Currently, the ATSF account balance is $65,591. The remaining $50,000 would be funded from a portion of parking revenues that are set aside for future parks related capital improvements. ENVIRONMENTAL FINDINGS Staff has performed a preliminary environmental assessment of this project and has determined that it falls within the Class 1 Categorical Exemption set forth in CEQA Guidelines, Section 15301, as this a License Agreement to allow the Rotary to construct an entry way to the Woodward Park Rotary Amphitheatre. Furthermore, none of the exceptions to the Categorical Exemptions set forth in the CEQA Guidelines, Section 15300.2 apply to this project. LOCAL PREFERENCE Local preference was not implemented because this agreement is with a non-profit corporation, FISCAL IMPACT Funding for this project will be derived through a combination of ATSF related funds, as well as from a portion of parking revenues set aside to for parks-related capital improvements. Attachment: License Agreement