City Council/Financing Authority Meeting


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  AGENDA ITEM NO. I.7.       
Meeting Date: 09/21/2021  

SUBJECT:
Approve a License Agreement with Juan Morales for a food stand located at the City's Corporate Yard, 1270 W. Park Avenue, and determination that approval of the agreement is exempt from environmental review pursuant to Section 15301 of the State's guidelines implementing the California Environmental Quality Act (Facilities and Community Services Director Boatman)
MOTION(S):

If the City Council determines that staff’s recommendation is appropriate, the following motions are provided:
  1. "I move to determine that approval of the License Agreement with Juan Morales is exempt from environmental review pursuant to Section 15301 of the California Environmental Quality Act Guidelines; and
     
  2.  I move to approve the License Agreement with Juan Morales for a food stand at the City's Corporate Yard, 1270 W. Park Avenue."
RECOMMENDATION:

Staff recommends that the City Council approve the License Agreement with Juan Morales for an outdoor dining area located at the City's Corporate Yard, 1270 W. Park Avenue, and determine that approval of the project is categorically exempt from further environmental review pursuant to Section 15301 of the California Environmental Quality Act Guidelines.
DISCUSSION:

The City of Redlands Corporate Yard provides alternative fuel to customers seven days a week. It is also a significant revenue source for the City, generating approximately $1.1 Million in sales annually. As part of the City's ongoing efforts to retain existing and attract new fuel sale customers, multiple projects have been undertaken to enhance the area's curb appeal, create a pedestrian-friendly environment, and provide additional revenue-generating opportunities. 

Juan Morales, the owner of The Dog House, has leased a portion of the City's Corporate Yard at 1270 W. Park Avenue since September 1, 2020.  His current lease has expired, and Mr. Morales has requested to enter into a new License Agreement (Agreement) in order to continue his services.  The proposed agreement includes a term of one year and use of 324 square feet as an outdoor dining area within the City's Corporate Yard. Per the agreement, the lessee will maintain this area and ensure compliance with the Agreement and to all applicable laws. The License Agreement outlines monthly rent of $400 per month and is based on appraisals conducted for outdoor areas around town, which were also licensed for outdoor dining purposes.  

Staff recommends that the License Agreement is categorically exempt from requirements of the California Environmental Quality Act guidelines pursuant to Section 15301. This section pertains to existing facilities and applies when there is no resulting expansion of use. The project is consistent with this exemption as it is within a developed portion of the corporate yard and will primarily service existing customers of the fuel island. 
ALTERNATIVES:

The City Council may decline the approval of the License Agreement or provide alternative direction to staff.
STRATEGIC PLAN:

Objective B-2: Increase tourism by marketing Redlands as a destination.
SUBMITTED BY:
Chris Boatman, Facilities and Community Services Director

RECOMMENDED BY: 
Charles M. Duggan Jr., City Manager

REVIEWED BY:
Daniel J. McHugh, City Attorney
Janice McConnell, Assistant City Manager
Danielle Garcia, Management Services/Finance Director

PREPARED BY:
Monica Duran, Senior Administrative Assistant
 
  

Fiscal Impact
Fiscal Year: FY 2021-22
Revenue Generating: Yes
Amount: $4,800.00
Account No.: 101303
Discussion:
Entering into the License Agreement with Juan Morales will provide monthly revenue in the amount of $400.00 per month or $4,800.00 annually, which will be deposited into the General Fund.
Attachments
License Agreement with Dog House


    

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