Report Prepared by: Christopher Jensen, Director, Parks & Community Services
Title
SUBJECT: Consider the Recreation & Parks Commission Recommendation to Award the Use of Stephen Leonard Youth Center to Merced Community College Through a Five-Year Lease Agreement
REPORT IN BRIEF
Considers the Recreation & Parks Commission recommendation to lease Stephen Leonard Youth Center to Merced Community College through a five-year agreement with a potential to extend another five years.
RECOMMENDATION
City Council - Adopt a motion:
A. Approving a five year Lease Agreement with Merced Community College for use of Stephen Leonard Youth Center with the option to extend an additional five years; and,
B. Authorizing the City Manager to execute necessary documents.
Body
ALTERNATIVES
1. Approve, as recommend by Staff; or,
2. Approve, subject to other than recommended by Staff; or,
3. Deny; or,
4. Refer to Staff for reconsideration of specific items; or,
5. Continue to a future meeting.
AUTHORITY
Section 200 of the City of Merced Charter.
CITY COUNCIL PRIORITIES
As provided for in the 2025-2026- FISCAL STABILITY, consider options to add new revenue sources and cost recovery strategies. Leasing City owned properties while expanding community services across Merced.
DISCUSSION
Background
The City of Merced Parks & Community Services Department invited qualified organizations, service providers, and community-focused partners to submit a Request for Interest (RFI) to lease and operate programs and services at the Stephen Leonard Youth Center for youth and their families.
The RFI was open for approximately 1 month. The City was particularly interested in youth development, educational support, family services, workforce development, health and wellness programs, cultural programming, and other community-serving uses that enhance access and promote positive outcomes.
Subcommittee Recommendation
The Recreation and Parks Commission appointed a subcommittee of three members to review the proposals in detail with staff, ranking them through a forced ranking model leading to a top 3 for consideration by the Recreation and Parks Commission in March. At the March 23rd Commission meeting the Subcommittee presented the following Ranking for their consideration:
1. Merced Community College- teen and adult education, workforce development, family supports and College for Kids for children.
a. Strengths- Vision for use of center, financial sustainability, organizational experience, capacity to activate entire park, College for Kids summer classes.
b. Concerns- potential financial barriers for some in community to participate.
2. Youth Leadership Institute- History of successful teen center operation in Merced, teen healing, navigation, linkages, and civic engagement & leadership.
a. Strengths- History and relationship with teens in the area, focus on quality of life through parks, reconnecting youth to community and giving opportunities to change environment.
b. Concerns- limited to teen and transitional age groups.
3. Dr. Jennifer M Jones Foundation- tutoring, housing stability, mentorship, career readiness and workshops.
a. Strengths- history of working with individuals and families in high stress situations, afterschool support focused on financial and educational literacy, housing stability, family support workshops.
b. Concern- May not have direct link currently with immediate community, need to divert funding from other sources to cover operations.
4. Community Commons Collaborative- Resource hub of seven organizations, multilingual programs, arts and crafts, safety education, sobriety support, legal assistance, opioid education.
a. Strengths- Resident focus, wide range of unique services/programs, multilingual.
b. Concern- Collaborative not actively established, programs may be so unique they could limit who uses services.
5. Gods Love Outreach Ministries (GLOM)- after school activities, workforce readiness, life skill training, family engagement, culturally responsive enrichment.
a. Strength- hours of operation (afternoon and evening), experience operating programs in south Merced, good neighbor practices to reduce any conflict with general community.
b. Concerns- age limitations for participation (older teens).
6. CalLinks- community hub, afterschool youth center, community anchor events.
a. Strengths- understanding of school/neighborhood conditions, monthly family nights, youth showcases and afterschool programming.
b. Concerns- limited scope of youth (justice involved, transitional age, young parents).
After public comment from various proposers the Recreation Commission declined to move forward with the Sub Committee ranking and instead made a motion to extend their decision for another month and allow all applicants to present their proposals to the entire Commission in April.
Recreation and Parks Commission Recommendation
Applicants were allowed to submit presentations to be shared with the Commissioners on April 27th. All but one applicant submitted materials for Commissioners review and were given the opportunity to present to the Commission in person at the Commission meeting on April 27th. The one proposer who withdrew from the process was Dr. Jennifer Jones Foundation whose representative expressed support for all other applicants and shared their interest in collaborating with whomever was awardee the lease.
Each proposer presented their materials to the Commission and the Commission asked some clarifying information from various proposers before making their recommendations.
After initial deliberation Commissioners made suggestions for their top candidates. The initial top choices included:
• Commissioner Halloway- CalLINKS
• Commissioner Smith- GLOM
• Commissioner Bauer- Merced Community College
• Commissioner Lewis- Merced Community College
• Commissioner Abong- CalLINKS
In order to break the tie between CalLINKS and Merced Community College as the top ranked applicant, Commissioners were asked who they would like to move forward with as the top applicant.
Commissioners voted 3-2 to advance Merced Community College as the top ranked applicant.
CalLINKS and GLOM were mentioned as recommended alternates should the Lease Agreement with Merced Community College not be awarded.
A motion was made by Commissioner Abong and seconded by Commissioner Lewis to advance Merced Community College as the Lessee for Stephen Leonard Youth Center with CalLINKS and GLOM as alternates. The motion was adopted by Commission through a unanimous vote of 5-0.
Lease Agreement Terms and Conditions
The proposed Lease Agreement would begin once signatures are secured and remain in place until June 30th 2031. The Lessee will report to the Recreation and Parks Commission on a quarterly basis to ensure that use of the facility is maintained in alignment with the scope of work proposed by the applicant. Services will include a variety of offerings including children’s activities in the summer, adult education and linkages to workforce development and community events. The proposed Lessee has submitted a request for several building improvements to expand on the work carried out by the City of Merced to ensure the facility is in working order.
At the conclusion of the initial 5- year agreement the Lessee will have the ability to request an extension of up to an additional 5 years. If requested, the proposal will be revisited with the Recreation and Parks Commission as well as City Council to ensure the extension is in alignment with goals and priorities at that time.
The Lessee will cover all operating costs including utilities for the facility and the cost of any tenant improvements. Exterior damage or City supplied furnishings that require replacement will be repaired or replaced at the City’s expense unless determined to be as a result of the Lessee.
In lieu of rent for the facility Merced Community College agrees to provide low cost and accessible services to the community through their services at Stephen Leonard Youth Center. Merced Community College will employ a community survey to residents to ensure services offered align with community goals, needs and expectations. These in-kind services will provide a public benefit through youth services, education, and workforce development in a variety of programs.
IMPACT ON CITY RESOURCES
No impact on City resources at this time.
ATTACHMENTS
1. Request For Interest for Stephen Leonard Youth Center
2. Forced Ranking Tool provided to Subcommittee
3. Proposal by Merced Community College
4. City of Merced Lease Agreement with Merced Community College
5. Proof of Insurance