TO: Board of Supervisors
FROM: Steven Lederer, Director of Public Works
REPORT BY: Leigh Sharp, Deputy Dir of PW, General Services
SUBJECT: Assignment and Amendment No. 2 to Space License Agreement with Silver Rose for use of space at the Calistoga Fairgrounds for employee parking
RECOMMENDATION
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Director of Public Works requests approval of and authorization for the Chair to sign Assignment and Amendment No. 2 to Space License Agreement 210198B with Silver Rose Property Owner to assign the agreement to Calistoga Vines Lessee, Inc., dba Four Seasons Resort and Residences Napa Valley, and to amend the agreement to extend the term, increase the monthly license fee from $1,500 to $3,000, and add employee parking to support operations of the Four Seasons as an allowable use.
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EXECUTIVE SUMMARY
Silver Rose Property Owner (Silver Rose) has had a space license to use space at the Calistoga Fairgrounds for parking of employees during construction of Four Seasons Resort and Residences Napa Valley (Four Seasons) since January 1, 2020. With construction complete and operations of Four Seasons initiated, employee parking continues to be needed to support operations and to avoid employee parking on public streets in the City of Calistoga. Silver Rose sold the property to Calistoga Vines Lessee, Inc. and wishes to assign the Space License Agreement to them and to extend the term of the Agreement while a longer-term lease for space at the Calistoga Fairgrounds is negotiated between the County and the new owner.
If approved, Assignment and Amendment No. 2 to Space License Agreement 210198B will assign all rights and obligations of the Agreement to Calistoga Vines Lessee, Inc. and will amend the agreement to allow employee parking to support operation of Four Seasons, extend the term of the space license on a month-to-month basis until a longer term lease can be agreed upon, and increase monthly compensation from $1,500 to $3,000. Staff anticipates returning to the Board in the near future with a five-year lease that will provide longer-term parking for employees of the Four Seasons.
FISCAL & STRATEGIC PLAN IMPACT
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Is there a Fiscal Impact? |
Yes |
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Is it currently budgeted? |
No |
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Where is it budgeted? |
Revenue will be received by Calistoga Fairgrounds (Subdivision 5070000) |
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Is it Mandatory or Discretionary? |
Discretionary |
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Discretionary Justification: |
Space is available at the Calistoga Fairgrounds for parking and approval of this amendment will provide needed space and reduce parking impacts to the adjacent community. |
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Is the general fund affected? |
No |
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Future fiscal impact: |
No future fiscal impact expected from this amendment. Staff anticipates that this amendment will be terminated within the current fiscal year and be replaced with a longer term lease. |
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Consequences if not approved: |
Employees of Four Seasons would need to find alternative parking, which is very limited in the vicinity, and would likely impact the community adjacent to Four Seasons. |
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County Strategic Plan pillar addressed: |
Effective and Open Government |
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ENVIRONMENTAL IMPACT
ENVIRONMENTAL DETERMINATION: It has been determined that this type of project does not have a significant effect on the environment and is exempt from the California Environmental Quality Act. [See Class 1 (“Existing Facilities”) which may be found in the guidelines for the implementation of the California Environmental Quality Act at 14 CCR §15301; see also Napa County’s Local Procedures for Implementing the California Environmental Quality Act, Appendix B.]
BACKGROUND AND DISCUSSION
On January 1, 2020, Napa County entered into Space License Agreement No. 20-008D with Silver Rose to use the Golf Course Parking Lot at the Calistoga Fairgrounds as a space for employee parking during construction of Four Seasons Resort and Residences Napa Valley. Agreement 20-008D was scheduled to end on December 31, 2020. On December 8, 2020, Agreement No. 20-008 was amended and reinstated to allow Silver Rose continued use of the Golf Course Parking Lot by extending the term to December 31, 2021. At this time, the Agreement was assigned a new number, No. 210198B.
Amendment No. 1 to Agreement 210198B allowed Silver Rose to expand their use of space beyond the Golf Course Parking Lot and into the RV Parking area between June 7 and June 30, 2021 to provide for additional employee parking during construction of road improvements associated with construction of Four Seasons.
Construction of Four Seasons is now complete and operations have begun. Silver Rose has sold the property to Calistoga Vines Lessee, Inc. and wishes to assign the Space License Agreement to them and further wishes to extend the term of the Agreement while a longer-term lease for space at the Calistoga Fairgrounds is negotiated between the County and the new owner. Calistoga Vines Lessee is currently working with management of Four Seasons to determine how much space is needed and what improvements may be required.
If approved, Assignment and Amendment No. 2 to Space License Agreement 210198B will assign all rights and obligations of the Agreement to Calistoga Vines Lessee, Inc. and will amend the agreement to allow employee parking to support operation of Four Seasons, extend the term of the space license on a month-to-month basis until a longer term lease can be agreed upon (not to exceed 12-months), and increase monthly compensation from $1,500 to $3,000. Staff anticipates returning to the Board in the near future with a five-year lease that will provide a longer-term parking solution for employees of Four Seasons. The City of Calistoga supports this arrangement and has encouraged the County to continue to work with Four Seasons to reduce parking impacts in the City limits.
Although the Calistoga Fairgrounds remains closed to most uses, parking is a use that provides revenue and requires minimal utility use and relatively little staff management and oversight.