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Council to renew $1.5 million Lincoln Boulevard warehouse lease for Big Blue Bus

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Council moves to maintain its lobbying muscle IN THE NAME OF COMPLIANCE BLUFFING IT LOBBYING POWER

By JACQUELINE LEE Special to the Daily Press

(Editor’s note: This is part of an ongoing series that tracks the city’s expenditures which appear on the upcoming Santa Monica City Council consent agenda — items routinely passed with little or no discussion from elected officials or the public.

CITY HALL — Elected officials are expected to spend roughly $2 million tonight to lease warehouse space, bolster lobbying services and modify plans regarding improvements for the Palisades Bluffs.

City officials plan to renew a $1.5 million lease for the Lincoln Boulevard property that has served as the Big Blue Bus’ parts storage warehouse, as well as City Hall’s print shop and mail-room, since Feb. 13, 2001.

The lease will go into effect Aug. 1, with the possibility of a three-year extension in 2011, when the lease expires, according to a city staff report. Rent for the property, located at 1660 Lincoln Blvd., is expected to be $302,400 annually for five years — a decrease from the previous lease agreement. The property owner has tentatively agreed to decrease the rate per square foot from $2.12 to $2.10.

The lease expired on March 6, and City Hall has been renting on a monthly basis since that time.

Big Blue Bus storage facilities were relocated to the Lincoln space when the City Council approved a design contract for new Big Blue fueling and washing facilities in 1999 and there was no available city-owned facilities to house them, according to city staff.

The Big Blue Bus campus renovation and expansion project is expected to conclude in 2010. The city’s print shop and mailroom is expected to move to City Hall or the Civic Center in 2007. At that time, the full 12,000-square-foot space will be utilized by Big Blue Bus for storage.

In order to comply with state regulations regarding the city’s underground gasoline and diesel fuel storage tanks, city officials plan to hire Fleming Environmental, Inc. for about $409,000 to improve its storage tanks.

The cost for their services is $371,725, with a 10-percent contingency of $37,173.

The tanks store fuel for use by the Big Blue Bus, City Yards and fire stations. The city staff report lists the storage tank systems at fire stations No. 1 and No. 5 among those that must make significant upgrades in order to comply with current state and South Coast Air Quality Management District regulations.

Upgrades include replacing containment sumps, piping and monitoring equipment. The city also needs to install an emergency day tank and improve the leak detection testing by the City Yards because of its proximity to a drinking water well, according to city staff.

City Hall received four bids in March, ranging from $371,725 to $538,723. Bids were evaluated based on competitive pricing, qualifications and responsiveness to bid requirements and references.

In efforts to expedite environmental analysis and clearances for the Palisades Bluff Improvement Project, city officials may modify payment to the professional services agreement with URS Corporation not to exceed $99,000 for a total contract amount of more than $1 million for the project’s environmental program management services.

City Hall is also expected to authorize the city engineer to issue any necessary modifications to complete additional work for the project that is within budget.

The Palisades Bluffs, which rise between 30 and 150 feet above the Pacific Coast Highway, was considered one of the city’s high priority projects following the Northridge earthquake in 1994 and subsequent storms. City Hall had an agreement with URS Corp. in April 2005 to design the project, and Rincon Consultants was hired by City Hall in February to provide the environmental analysis for the project. URS currently oversees Rincon Consultants.

City staff plans to pay The Ferguson Group close to $71,000 — and not more than $4,000 in extra expenses — to continue representing the city in Washington, D.C., for federal representation and lobbying services.

The $70,885 amount reflects a 5-percent increase in the base contract over the current amount, as recommended by city staff, since the base contract amount has remained unchanged for four years.

The Ferguson Group has been providing services to the city since 1994 and has developed an in-depth knowledge of city policy objectives, the staff report read.

The group monitors federal executive proposals and developments, and advises the city when policy or program objectives may be affected. They also assist city officials in appearing before Congressional committees and administrative agencies.

The Ferguson Group has represented the city’s interest on issues such as water contamination, housing, homelessness and community and economic development. They also have worked on such projects as the Exposition Right of Way, and action by the Federal Communications Commission and the Federal Emergency Management Agency.

Originally published in the Santa Monica Daily Press print edition on July 25, 2006. Read the original PDF.

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