Title:
Title
Lease Agreement with Sacramento Horsemen’s Association for Equestrian Facility in Del Paso Regional Park
End
FileID
File ID: 2019-00608
Location
Location: 3200 Longview Drive, District 2
Recommendation:
Recommendation
Pass a Motion: 1) finding that under City Code section 3.68.110 E, it is in the best interest of the City to continue to lease the equestrian facility in Del Paso Regional Park to the Foundation for Sacramento Horsemen’s Association, a non-profit corporation, without bidding; 2) approving the lease agreement for a 10 year term, with two five-year renewal options, at $0 rent in consideration of the Association’s youth equestrian programs, management of the horse stables, and maintenance of the facility and bridle trails; and 3) authorizing the City Manager, or the City Manager’s designee, to execute the lease agreement.
Contact: Barbara Smith, Administrative Officer (916) 808-5762; Youth, Parks & Community Enrichment
Body
Presenter: None
Attachments:
1-Description/Analysis
2-Del Paso Park Stables Lease with FSHA 2019
Description/Analysis
Issue Detail: Since 1959, the City of Sacramento has continuously leased the equestrian facility in Del Paso Regional Park to the Foundation of the Sacramento County Horsemen’s Association (FSHA, formerly SHA), a nonprofit organization. The prior lease expired on February 1, 2019, and the lease has continued on a month-to-month basis.
In November 2018, a Request for Proposal (RFP) was issued to offer the opportunity for interested organizations to submit proposals for the lease of the equestrian facility, focusing on operations, programs and services to maximize facility utilization and public benefit, with emphasis on youth and environmental awareness.
Three organizations submitted proposals. FSHA’s proposal was determined to be the clear choice based upon the extensive variety of programs offered, level of member support, and financial stability. In addition, their past efforts in operating and maintaining the facility were also considered. With a renewed long term lease, FSHA plans on making improvements to the facility.
Staff recommends a new ten-year lease be approved for FSHA, with an option for two, five-year extended terms with consent from the City. No rent is proposed given the costs FSHA absorbs in terms of utilities and facility maintenance. The revenues from rental of the stables helps off-set the organization’s costs for facility administration and youth programs.
Policy Considerations: This recommendation is consistent with policy contained in the Council adopted Parks and Recreation Master Plan 2005-2010 including: formalize partnership agreements with a range of public entities to improve and maintain public facilities and grounds and provide programs and activities through partnerships and collaborations to maximize facility utilization.
Economic Impacts: None
Environmental Considerations: This continued operation of the equestrian facility is exempt from environmental review under Section 15301 of the California Environmental Quality Act (CEQA) Guidelines.
Sustainability: The facility operations has been reviewed to ensure its consistency with the goals, policies, and targets of the City’s Sustainability Master Plan (SMP).
Commission/Committee Action: None.
Rationale for Recommendation: Staff recommends awarding a new lease to FSHA for ten years, with two options to renew for an additional five years each with the consent of the City. FSHA has continually leased and provided services at the 14-acre site since 1959. They maintain the horse barn and stables, arena, clubhouse building and associated structures, creek trails and overflow parking area. FSHA pays all utilities and maintenance costs. They have maintained the property and improvements well, have provided and managed a venue for novice equestrian events, provided services to law enforcement agencies utilizing horses in enforcement and ceremonial activities, provided free parking and access to Arcade Creek for horse riders, and are good stewards of Arcade Creek and the trail system within Del Paso Regional Park.
Financial Considerations: In lieu of rent, FSHA will continue to pay for all utilities, upkeep, improvements, maintenance and operations.
Local Business Enterprise (LBE): Not applicable.