Title
INFORMATIONAL REPORT ON SPACE USE AT 11th ALICE ARTS CENTER, INCLUDING PERFORMING ARTS PROGRAMS, RESIDENTIAL UNITS, AND THE OAKLAND SCHOOL FOR TilE ARTS
Body
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CITY OF OAKLANAWFICEOF'!@_' ,
THE CITY CLERK,
A GEAFDA REPOR T - " ".,- ,, @; 1,
TO: Office of the City Manager 2093 MA Y 2 9 PH 8: 1 6
ATTN: Robert C. Bobb
FROM: Life Enrichment Agency
DATE: June 10, 2003
RE:. INFORMATIONAL REPORT ON SPACE USE AT THE ALICE ARTS CENTER,
INCLUDING PERFORMING ARTS PROGRAMS, RESIDENTIAL UNITS, AND
THE OAKLAND SCHOOL FOR THE ARTS
SUMMARY
At the request of Councilmember Nadel, this report summarizes space use at the Alice Arts Center.
There are 10 performing arts groups using offices and/or studios. There are 74 single-occupant
residences, of which 50 are occupied and four used for other purposes such as storage and community
shower rooms. The Oakland School for the Arts has at the Center its first freshman class of about 95
students and occupies the basement, a first-floor mezzanine office, and certain studios. The school
will admit its second class of approximately 100 students in September 2003 and has not asked to
occupy additional space. In the fall of 2004, however, the school in order to accept intended
enrollment will exceed the space it has. The school is seeking an alternate site.
FISCAL IMPACT
This is an informational report and there is no fiscal impact.
BACKGROUND
The Alice Arts Center has been home to a variety of nonprofit performing arts and educational arts
organizations since 1987. The facility was originally set up to help new and established community
performing arts groups provide services to the people of Oakland and enrich the cultural base of the
city. The Center serves over 50,000 people per year and is home to up to 70 residential tenants. Arts
groups and the now Oakland School for the Arts presently lease office space and studios.
In 2001, City Council approved approximately $1.6 million for construction and soft costs associated
with extensive remodeling of the Center to accommodate the school. Funding was broken down
approximately as follows: $612,000 from CIP firads, $625,000 from the mayor's Pay-Go fund from
fiscal years 2001 through 2003, and $363,000 from the Redevelopment Agency. The improvements
were such that if the school left the facility after two years, refurbished space was suitable to rent and
would be desirable to existing and new performing arts organizations.
KEY ISSUES AND IMPACTS
The use of the Center by the Oakland School for the Arts has had an impact on some, but not all, of
the resident arts companies. There has been some conflict over space use. The addition of almost
100 active young people has also meant more traffic, more activity, and more maintenance. There
has also been more energy, and the facility is receiving more use since the school has been on site.
Inevitably, however, occasional conflicts arise. el
AW012UNCIL
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Life Enrichmen
J 03
Robert C. Bobb
June 10, 2003 Page 2
The principal concern at this time is how to accommodate the growth of the school. When the second
class of approximately 1 00 students enrolls this September, the space that has already been leased by
the school can be used but it will be filled to capacity. The Center cannot accommodate a third class,
which is scheduled for the fall of 2004. If the school is to remain it will have to take over, and
remodel, virtually all of the building. Arts groups and residents will have to be located. Owing to the
expense and the disruption this will cause, the school is seeking an alternate site. Such a site has not
yet been identified.
SUSTAINABLE OPPORTUNITIES
This is an informational report and does not affect sustainable opportunities.
DISABILITY AND SENIOR CITIZEN ACCESS
This informational report does not impact access by seniors or persons with disabilities.
RECONEYIENDATION(S) AND RATIONALE
Staff recommends that the Life Enrichment Committee accepts this report.
ACTION REQUESTED OF THE CITY COUNCIL
Accept this informational report.
Respectfully submitted,
G#ORGE,t. MtJSGRO'v'fE
A4sistant City Manager
for the Life Enrichment Agency
APPROVED AND FORWARDED TO
Life Enrichment Committee
Prepared by:
Dennis M. Power
Director of Museum Services
it
em'
Life Enrichment
J1 03
CITYOFOAKLAND
7 4; CITY CLERK
OFFIC , ; - -
LI
TIAY 29 P. 1: 41
C IT Y H A ILL - I FR n. 0 AWA PLAZA OAKLAND, CALIFORNIA 94612
NANCY J. NADEL (510) _138-7003
Councilmember FAX: (510) 1-38-61 -,q
District #3 TDD: (510) 238-7413
May 29, 2003
MEMORANDUM
TO: Life Enrichment Committee
FROM: Nancy J. Nadel, Vice Mayor
RE: Alice Arts Center
The companies at the Alice Arts Center (AAC) have a Ion-, history of serving the
Oakland community in a building that has been rehabilitated by the City at considerable
expense for this purpose. The community value of this resource has been clear from the
support throughout the years, but city staff recommendations have waffled throughout
that time, leading to confusion and frustration for resident companies (Attachment A).
Locatin- the char-ter Oakland Performing Arts School (OPAS) in a portion of the building
has exacerbated this lack of clarity, as the groups have been given conflicting information
an the plans of the school. Finally on April 29, 2003, Mayor Brown clearly told the
companies and residents of the AAC that he wants to move them out of the AAC to allow
for the expansion of the charter school. This memo will provide a brief history and urge
the council to:
• keep our promise that the OPAS will not displace the residents and arts and dance
companies
• provide the marketing assistance promised for the AAC to promote the
internationally renowned arts organizations
• help find a suitable location for OPAS.
Back,-round
In the mid 1990s, the Alice A-its Center companies had an arrangement with the city to be
housed at the AAC in exchange for providing free classes for Oakland residents. Durin.g
that period, when these non-profit companies were not using studio and theater space,
they sublet those spaces as a source of revenue to help fund their continuing operations.
These companies have an extraordinarily high level of expertise in dance and teachin,a
and many Oakland youth have benefited from these wonderful classes. The companies at
the AAC provided a unique opportunity for children to learn from a variety of unique,
world class companies, including- premier African American modem dance, ballet and
dance for people with disabilities. This combination makes the Alice a unique resource
for the benefit of the Oakland community, and has provided invaluable skills and lessons
in self esteem for Oakland's youth. In addition, at least one company, Dimensions Dance
Theater, also aives free classes in the Oakland Public Schools.
In September of 1997, a recommendation was presented to council from the director of
the Life Enrichment Agency at that time, Shirley Stubblefield, encouraging the council to
11 establish the mission of the Alice as consistent with recreation center operations, namely
that the priority of the AAC resident arts organizations shall be to offer performing arts
classes and programs to the general public at the lowest possible cost and marketed to the
diversity of Oakland's residents." (see attachment B).
When Mayor Brown was elected, Jacques Barzhagi showed interest in the building and
the responsibility for the building was shifted from Parks and Recreation to the newly
created Crafts and Cultural Arts Department. At about the same time there was interest
in the Oakland community of arts supporters to help develop a vision for the AAC and
promote the arts companies. A board member from Citicentre Dance who had previously
transformed La Pena Cultural Center into a self-sustaining entity, offered to help develop
a similar strategy for the AAC. Working with Marina Drurnmer who was then with a
small foundation, they began a facilitated process with the companies. In concert with
that concept, I set money aside in the budget to build-out the storefronts to facilitate
rentals that would bring in revenue for the building and make it self-sustaining.
In the inidst of that process, Erica Harrold from the mayor's staff announced a change in
policy that the companies could no longer sublease space, and they were told that they
had to sign an MOU with the city formalizing their agreements. The MOU discussions
were long, negotiations were unsuccessful. Without council action, a decision was made
to use the storefront build-out money for other building maintenance needs. The fragile
trust and unity that had begun to develop was shattered. When MOU discussions broke
down, the companies at the AAC were told they would have to sign leases and pay rent.
Simultaneously, one of the company members found a brochure about an art school that
had the address of the AAC. No discussion had taken place between the chosen principal
of the OPAS and the AAC tenants, and city staff did not tell AAC companies about
OPAS antil they asked about the brochure.
The lease negotiations were difficult, as the companies had not been able to factor rent
into their fundraising plans, and had to scramble to identify how to cover these costs. In
the end however, City Council approved three year leases to the satisfaction of all
involved that assured that the companies would not be displaced by OPAS as part of its
expansion needs. Council and the City Manager's office committed to supporting both
the school and the companies, specifically stating that the school would not usurp the
space of the companies. At that time, the need for better communication between the
companies and OPAS was discussed. Unfortunately, in a series of meeting with the
companies and resident tenants held to work out joint uses of the space, no one from
OPAS was in attendance. However, the building manager did agree to help with
marketing for the companies, and secured a commitment from the East Bay Community
Foundation for a brochure.
Current Actions
As recently as two months ago, I was 'told by one of the companies' representatives that:
• they and all the other corapanies had never received signed copies of their leases,
• the OPAS students were constantly in the upper floors of the building
unsupervised and disturbing the work of the companies,
• the building manager, Taura Musgrove, had left AAC to work for the OPAS,
• the EBCF dropped the commitment to fund the brochure because they were
unsure about the companies staying in the facility,
• the companies heard the mayor was trying to get them all to leave the building so
the school could expand,
• without council approval, Dennis Power was instructed to stop renting any vacant
rooms in the SRO (thus decreasing revenues for the city, and eliminating much
needed SRO housing) and
• OPAS was using many of the, studio and theater times that the companies needed.
One extraordinary international award-winning company, Axis Dance, had to
move its performance season to San Francisco for this year because they could
not get into the theater until after 6 PM and that did not give them enough time to
set up.
Upon investigation, I found all these rumors they'd heard were true. I expressed
frustration to the Mayor that he was not includin a the arts companies and residential
tenants in his planning. Subsequently he agreed to meet with the companies. At the
time of the writing of this repon, three such meetings occurred on April 25', 28' and
May 2 Id . Representatives of the companies, the Mayor and Anne Campbell of his staff,
and I were present as was Dennis Power who currently oversees management of the
AAC.
The Mayor originaUy offered to two of the companies space at the now city-owned
California Arts Supply building which is not built out for dance, would not house all the
companies with office space and studio space, has no performance space, and has no
space for resident artists and AAC residential tenants.
The most recent offer the mayor has made is to sell the Cal Arts building and put the
money into fixing a wing of the Fox for the dance groups. Again this means no
performance space for many years Lo come, no space for residential tenants, and not
enough space fcr all the arts companies currently at the AAC.
At the April 25'h meeting with the mayor andAAC, Greg Hodge, president of the OUSD
was also present. Mr. Hodge offered to find a space for OPAS in an existing
underutilized public school building. Such a solution would be a wirL/win in that no
additional seismic upgrades would have to be done at the AAC for OPAS saving money
for the OPAS, the AAC companies could stay in the home that was rehabilitated for them
saving them moving expenses and business address change and business interruption
expenses and a underutilized public school space would be better utilized. 1 urge the
OPAS to seriously pursue diis option with the school district.
Recommendations
I recommend that the City Council:
• Reaffirm its commitment to these internationally renowned arts companies that
have been an ongoing asset to our community.
• Formalize the mission of the Alice Arts Center as a community arts center serving,
the interests of Oakland by providing spaces for classes, performances and
housing guest artists and artists.
• Direct staff to facilitate the relocation of the OPAS, as originally planned, to an
appropriate location given their space needs.
A-9-OS-99 02:15P
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Alft&
CITY OF OAKLAND
CULTURAL ARTS DIVISION - 250 FRANK H. OGAWA PLAZA, SUITE 6306 - OAKLAND, CALIFORNIA 9461 -1
Life Enrichment Agency (5I0)213U--_1I03
Parks, Recreation and Cultural Seryice@ I-AX (510) 238-634i
JUly 29, 1999
TO: Jacques Barghazi, Senior Advisor to the Mayor
trica Harrold, Arts Community Coordinator
FROM: Safi firoh 3U
RE: Alice Arts Center
cc. Individuals interviewed
Per your request, the following is a brief report on the Alice Arts Center, Presenting Some
analysis of the Alice's challenges and possibilities for its futtire. I met with the following
persons:
Alicg Art Center and Hotel Sta
Debbie Newsome, Alice Center Director
Charle% Sarkson, Optradons Manager
AI ire Resident Companies:
Deborah Vaughan, Executive Artistic Director, Dimcmions Dance Theater
LaTanya Tigncr, Administrative Director, Dimensions Dance Theater
Renee Heider, Executive Director, Oakland Balict
Elena Serrano, Advancement Director, CitiCentre Dance Theatre
Helena Joyce-Wright, Artistic Director, Oakland Entsemble-Thcater
Jan Mabry, Managing Director, Oakland Ensemble Theater
Alico Arts Partn=:
Edsel Matthews, Managing Director. Koncepts Cultural Gdlery
Barbara Stack, Executive Director, Oakland Youth Orchestra
Carol Swann, Co@Director, Moving on Centcr
I
A I I
Aug-09-99 02:16P P.08
From my analysis of what was discussed with those interviewed and my general knowledge of
and past experiencewith the Alice, the Alice's internal symptomatic issues (which have been
expressed by WMOUS.Aakehalders, as chronic) are the consequence ofseveral cureprobletits that
the AEcL@ Arts Center and Hotel has historical1v faced.
CORF TNTERNAL PROBLEMS
I The Alice Arts Center anti Hotcl is not discus.4cd holisticulIX. It is discussed, seen and
operated as three separate and distinct units -- the hotel, the arts center, ind the
commercial space- As one building, it should, during this phase of review and planning
for the be discussed holistically -- as the Alice Axts Center and Hotel
.1 community".
.@Ymprotns. - relationship and maintenance responsibilities are not clear between hotel
and arts center staff
- no relationship between hotel tenants and arts center organizatwas
- decisions are made for one unit (i.e., hotel) without considcration of the
possible impact to thc others (i.e., arts center)
2@ Tbc Alicc Arts Center and Hotel acks _qL.articulat mission and zqMMjtLjensjv%:
.plan of prograMming and otwations.
This would direct the creation of policies and programs and clearly define what "success"
i3 Cur the Alice.
Symproms: - unarticulatcd, yet existing, expectations that the "City" has of resident
companies, and that the resident companies have of the "City"
- different expectations and ideas of what the Alice is andlor could be
- no marketing currently existing for the Alice
- inadequate staffing structure and expertise
- inadequate use of space
- inadequaEc equipment in the theater and studios A and C
- studio and theater space not greatly accessible to organizations not
housedarthe Alice
- unciarity regardirig relationship of "resident" companies to the Alice's
presence andfunction
3- TheAliecArtsCenterandffotcfhasbeenpl-.iguedwithincorisistenLma IrMnent.
qaj.jm_
There have been four Ceitcr Directors (14erb Felsenfeld, Rick Cohen, Jackie Birdsong-
James, 'Debbie Newsome) and three different entities responsible for managing the
hotel. The four Center Directors and the different hotel management have been managed
by four City staff people (Mary Anne Hedderson, Cleve Williams, Karimah Allen and
Angela Johnson). *Debbie Newsome wax the oni), Ceprier Direcfrjr that went thrvugha
17
P-09
comperitive inremcew prOceys WhICh inClUdCd life rO.Tident CUMpanieT as rcvieivers who alw,
parric;puced in the final j election of the Cerver Directvr
Sjvmprams: confusion regarding policies, procedures, and chain of command
urdarity regarding relationship between "re,5idenl" companie.,; and the
Alice's presence and function
arbitrary approval of office space rentals
4. The Alice Arts Center aird Hotel lack-s a comurehensive cummunicafionssvstet
(between and among Alice staff and arts center Lind hotel lenants).
Symptoms: - inconsistent communication
- inconsistent, coatlicting and sporadic studio scheduling
IfOrMal diSZUSSi0n,5 tah-en as formal communication and decision
making
- rules changing
- lines of authority and decision-inaking power unclear
5- The Alice Arts Center and Hotel tacks the re-vs;nucs to support a btidget that would
allow sufficient ogerations.
.@vtnptoms.- inadequate level of staffing
inadequate maintenance of the building (bathrooms, carpet, etc.)
inadequate maintenance of production equipment
In spite of the many challenges and changes that the Alice has faced over the years, the u-ts
organizations that call Alice home have consistently provided public programs. The
organizations are the "value add" to the Alice "Arts" Center bringing the performing "arts" alive
on a daily ba.,sis-. Most of the organizations interviewed expressed appreciation to the City for
support ofspace and acknowledged that the space is a great contribution to their efforts in
creating and presenting art in Oakland.
FXTV,FtNAL CHALLENGE
The Alice Arts Center and Hotel also has an external challenge -- its immediate surrounding.
7herc: is an cmpty lot next to it that :5 becoming umightly, a three or four-sLory car gwage
directly in front of it that is unsightly and inaccessible from Alice Street, aT.V. and VCR repair
shop tl2at is also not aesthetically pleasing. The commercial properties on Alice, l4th and
Harrison streets work against the Alice's potential and the perception that future patrons may
have ofihe Alice Arts Center.
3
Aug-09-99 02:16P P.10
CONCL USION:
The Alice Arts Center and Hotel has grear potential. However, it needs to be driven by a specific
purpose, vvhich it does not currently have. I would recommend the creation and implementation
of a three-year "plan" fur the Alice Arts Center and Hotel. A plan that would define vision,
mission and priorities for the Alice. The immediate commercial area should be considered and
included in any planning process- It is conceivable that the area could be designated as a mini arts
district, which could focus the use of the neighborhood's corrirriercial properties (including those
at the Alice) to especially appeal to arts and entertainment constituents. Currently, there is no
aesthetic congruency among the commercial properties on 14th Street. or Alice Street. rn fact, the
commercial properties (two of them) on 14th street between Alicem and I larrison art: vacant. One
of those properties used to be Holmes Bookstore, a great, long-standing independent book store.
And of course. the commercial space at the Alice is vacant.
A well-arriculated plan, accompanied by financial resources for implementation, would:
create an integnitc model for the Alice,
inform budget development @including revenue generation - @:amrd and contributed),
inform the leadership. management and operations staffing structure.
define the level of staffing expertise needed to efficiently run the Alice,
inform marketing and outreach efforts,
define relationships bet-ween and among the center and hotel occupants and managemenL,
create relationship with the Alice's immediate residential and business corninunities, and
assist ihe Alice in living up to the potential the City First saw in it as a pt:rforming arts
center.
The planning process must include the major stakeholders and a skilled and knowledgeable
planning consultariL This type of planning could take a minimum of 6 to 8 rrionths.
M,1jor Stakeholders:
City (Commission, Mayor and Art Depararent staff)
arts organizations and hotel tenants at the Alice
commercial property owners
residential neighbors
others who have used the Alice
individuals in the funding community
One addidvnal note: The Alice Arts Center and Hotel needs a minor, though important, "face-
lift". Brighter interior paint, industrial carpet, visually beautified entrance (from curb to
elevators). Sidewalk treatments (mosaics?), murals on theater columns, large patted flowers, ew.,
would enhartec a patrons experience at the Alice- This could be discussed as part of planning and
a call for proposaLs, from artists, could be initiated. This would require finaricial resources.
If you have any qUeSEions; please call me at X73816.
4
IL C- +
CITY OF OAKLAND
Agenda Report
TO: Interim City Manager
ATTN: Rofi S. Bonner
FROM: Life Enrichment Agency
DATE: September 16, 1997
RE: A SIX YEAR REVENUE AND EXPENDITURE ANALYSIS OF THE
HENRY J. KAISER CONVENTION CENTER, ALICE ARTS CENTER,
STUDIO ONE AND LAKE CHABOT GOLF COURSE, INCLUDING
PR&TECTIONS FOR FISCAL YEAR 1997-98 AND STRATEGIES FOR
REDUCING OPERATING SUBSIDIES
EXECUTIVE SUMMAR
This report presents budget expenditure and revenue information
covering the past SIX (6) fiscal years for the Henry J. I<aiser
Convention Center (HTKCC), the Alice Arts Center (AAC), Studio One,
and Lake Chabot Golf Course (LCGC); projections for the current
fiscal year are also provided. It also includes alternative
strategies for reducing the operating subsidies which have
characterized all of the facilities analyzed herein (except the LCGC,
which is accumulating operating surpluses). The alternative
strategies and abbreviated mpral-s" and "con's" associated with each
recommendation are listed below. A more detailed explanation/
rationale for each recommendation is contained within the report.
Recommendation IA: that the City Council establish a facility
management policy for the HTKCC which directs staff to (a) maximize
public access and cultural diversity of programs and services, or (b)
maximize revenues and profits, or Q optimize both revenues and public
access using City guidelines.
Policy would provide clear direction for staff and patrons.
Policy would provide revenue and patron usage targets.
Con1g
Expenditures could continue to exceed revenues.
RecommendAtion 13i If maximizing revenues and profits is the
preferred policy for the HJ'KCC, staff recommends issuing an RFQ or
RFP to identify and select a private sector business operator to
manage the HJKCC. It should be noted that from 1983-94 a ncn-profit
corporation operated the HJKCC and was not as successful financially,
as PRCS's experience in covering operating costs.
P-olq
RFQ process would yield private operator for HKJCC.
Private aperaror could expand marketing efforts, reduce operating
costs and perhaps, increase cost recovery.
FINANCE RATIVE
5 IC
Kafi S. Bonner September 16, 1997
Can's
Private operator may require on-going City subsidy.
The need for infrastructure repairs could deter potential operators.
Recommendation 2.A: that public access continue to be provided at the
HJKCC through an appropriate accounting mechanism, such as Community
Access grants, in an amount of $100,000 per year.
pro I s;
Community groups would share "open dates" at HJXCC.
Additional community groups could participate with the removal of
financial barriers.
Con's
competition for open dates could cause additional conflict.
Recommendation 2B: that no fee waivers or fee reductions be allowed
for any non-City sponsored event at the HTKCC (City sponsorship to be
defined as any event or program which is produced by a City agency or
directly funded, in whole or in part, by City funds)
pr@ Izz
city expenditures would be reduced.
Cary I s
Elimination of fee waivers could reduce participation by community
groups.
Some events could cease- without limited City sponsorship.
Recommendation 3A: that the HJKCC orient its marketing eff orts toward
sporting events suited to the arena and musical events with
mitigation programs to eliminate inappropriate behavior.
Sporting and musical events could increase revenues.
Con's
Mitigation programs may not satisfy neighbor constituents.
Recommendation 4A: that the City Council direct staf f to prepare an
itemLzed and prioritized listing of necessary capita! infrastructure
needs at the HJKCC, with priorities to ref lect those investments
which can be expected to offer the greatest financial return.
P-MIq
Capital improvement needs would be identified.
Recommendation 4B: that staff develop funding strategies consistent
with the needs identified in Recommendation 4A and the basic mission
identified in Recommendation IA.
ii
Kofi S. Banner September 16, 1997
Recommendation 4C: that the HJ-KCC be SUbS4 dized in an amount not to
exceed $400, 000 per year (inclusive of community access grants), with
staff directed to continue its efforts to reduce this subsidy amount
over time by 10% per year.
Pro vs,
The subsidy could be planned and budgeted.
Can's
Reducing the subsidy by 10% each year may not be possible with rising
salary and fringe benefits and on-going maintenance expenses.
Recommendation SA: that the City Council establish the mission of the
AAC performing arts operations to be consistent with recreation
center operations, namely, that the priority of the AAC resident arts
organizations shall be to offer performing arts classes and programs
to the general public at the lowest possible cost, and marketed to
the diversity of Oakland's residents.
prol-@
Resident art organizations could provide expanded public programs
Conlr@
Resident art organizations may not have financial resources to
provide low cost public prograyn .
Recommendation 5B: that any resident arts organization which does not
fulfill the mission, established in 5A (above) be replaced via
competitive RFP process with an arts organization that will fulfill
the AAC mission.
Pro Ig
New resident art organizations could he housed at AAC.
Con',A
It may be difficult to identify new resident art organizations with
the financial resources to meet City's requirements.
Recommendation 6A: that the AAC be given a facility maintenance
appropriation as part of the City's municipal buildings system.
New resident art organizations could be housed at AAC.
Can's
It may be difficult to identify new resident art organizations with
the financial resources to meet City's requirements.
Recommendation GB: that consideration of adding a part-time
stationary engineer position be made a priority and implemented
during FY99-02.
iii
Kofi S. Bonner September 16, 1997
P-01@
Improved facility maintenance could enhance the marketability of the
facility and attract arts organizations wth greater financial
stability.
Con's
An additional appropriation would be required to fund this new
position.
Recommendation 7A: that staff continue to seek a community consensus
regarding therenovation versus replacement of Studio one in its
current location.
Pro Is
Community consensus is required to resolve Studio one issues.
Recommendation 7B: that staff continue to work to identify funding
sources for the renovation or replacement of Studio one.
Con's
Fundi-ng for Studio one must be identified as part of consensus
builcLing.
Recommendation SA: that Studio One be incorporated into the
Enterprise Fund by June 30, 1-998.
Pro's
Establishment of Enterprise Fund has been substantially completed.
COTI I S
Implementation of the Enterprise Fund will have a. significant impact
an long standing City practices.
Recommendation 9Az that staff encourage the formation and operation
of a Friends of Studio one (FSO) group, with the mission of the FSO
to be two-fold: broadening the marketing of Studio one to encompass
all of Oakland, and to increase revenues at Studio One.
Pro V q
Numerous benefits would be derived from the establishment of a
Friends of Studio one organization.
Reco=endatiou 10A: that separate golf enterprise funds be re-
established for Lake Chabot, Montclair, and Galbraith Golf Courses,
with current fund ba-lances transferred into the Lake Chabot Golf
Enterprise Fund.
pro I q
Each golf enterprise fund would operate based upon its revenues and
expenses.
iv
Kofi S. Bonner September 16, 1997
con's
separate enterprise funds would not allow for deficit spending if one
course did not have funds for emergency or unexpected expenses.
Recommendation IIA: that staff seek proposals from qualified golf
business consultants for the LCGC analysis described herein, and
return to the City Council with recommendations for a consulting
contract not to exceed $50,000, to he funded from the Golf Enterprise
Fund (Lake Chabot Golf Enterprise Fund).
praIg
Consultant would provide impartial analysis of golf course needs.
con's
The $50K could be used to purchase equipment (e.g- greens mowers) for
on-going golf course maintenance.
Recommendation 12A: that staff be directed to prepare a Lake Chabot
Golf Course Consolidated operations report for the City Council that
includes a recommended implementation plan, a schedule and a. process
for transistioning employees currently assigned to golf course
operations to equivalent positions within PRCS.
Pro's
Consolidated cperations@wculd provide improved golf services.
concessionaire would have full control of all operations.
Con's
City would relinquish maintenance and control for its only 18 hole
golf course.
ZIACAL-IMPACT
This report presents historical revenue and expenditure information
for the facilities noted above and therefore, does not create any
immediate fiscal impact. However, discussion of the information
provided herein may lead to policy decisions which could have
significant future fiscal impacts. Examples of such policy decisions
include, but are not limited to, infrastructure (capital) needs, fee
waiver/event co-sponsorship policies, community access policies,
marketing policies, and alternative means of providing maintenance
services at each facility.
PROPOS = sa-IMPRA C
Staff is aware that council adoption of the recommendations contained
in this report could maximize revenues at the =CC, but an the other
hand they could also significantly impact the users of the facility,
e.g., non-profit groups, community based organizations, Oakland
Unified School District, local churches, etc., who use the HJKCC on a
regular basis. There is a need for a Council policy which effective
v
Kati S. Banner September 16, 1997
blends the business need to operate within budget and the service
philosophy of providing a full range of programs and services,
particularly services upon which the community has come to depend.
This need was validated by the City Auditor in her June 5, 1997
Performance Audit of Parks, Recreation and Cultural Services (PRCS).
The Auditor's report also stated that there is a need for the public
to validate the pricritization for recreation/cultural program ing
and park services. In keeping with the City Auditor Is f indings,
staff should conduct an assessment of needs, available services,
resources, and population demographics to determine the top
priorities of Oakland Residents who use the HJKCC, ARC, Studio One
and Lake Chabot Golf Course.
Hence, staff is recommending- that public input and comments be
solicited from those users of the aforementioned facilities who would
be impacted by these recommendations. These meetings would take
place over the next six months with results reported back to the
council in late spring or early summer of 1998. The re-part would
also include information related to the cost per unit of service at
each at the facilities, i-e., the actual costs required to deliver
the services and the extent of City subsidy including the.
identification of intangible- benefits derived from the use of the
facility.
Respectfully submitted,
@'SHIRLEY A,,/-.STUBBLEF1MLD-
DIRECTOR, LIFE ENRICHKENT AGENCY
Approved for forwarding to
City Council Finance and
Legislation committee:
OFFICE OF THE CITY MANAGER
16. c@ 9 C.
ONCOUNCIL
JJL 1 6 2003
Vi LIFE ENR ENT CMTj-