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REQUEST FOR <br />COUNCIL ACTION <br />CITY COUNCIL_ MEETING DATE: <br />MAY 6, 2014 <br />TITLE: <br />AUTHORIZE CITY MANAGER TO <br />ACQUIRE KIOSKS FOR ARTISTS <br />VILLAGE FROM THE IRVINE <br />COMPANY <br />r� <br />CITY MANAGE <br />RECOMMENDED ACTION <br />CLERK OF COUNCIL USE ONLY: <br />13-10-T071-9-61 <br />❑ As Recommended <br />❑ As Amended <br />❑ Ordinance on 18' Reading <br />❑ Ordinance on 2ntl Reading <br />❑ Implementing Resolution <br />❑ Set Public Hearing For <br />CONTINUED TO <br />FILE NUMBER <br />Award contract to the Irvine Company for the purchase of four retail kiosks for the Artists Village <br />in the amount not to exceed $50,000, subject to non - substantive changes approved by the City <br />Manager and City Attorney. <br />DISCUSSION <br />Activating the promenade in the Artist Village with pedestrians is a high priority and staff are <br />seeking to introduce live music, improved outdoor dining and upgraded lighting. At this time, staff <br />is also preparing to develop operating and design guidelines to introduce retail kiosks to the <br />promenade. This work is consistent with Santa Ana's Strategic Plan which emphasizes our <br />Downtown as a thriving, culturally diverse, shopping, dining and entertainment destination. <br />This past month, staff became aware of a unique opportunity to purchase discounted, pre -owned <br />retail kiosks formerly utilized at the Irvine Spectrum by the Irvine Company. These kiosks are in <br />excellent condition and meet the city's specifications. The Irvine Company has offered four <br />kiosks for purchase at $12,000 each, which includes delivery to the Downtown Artists Village <br />area. The purchase of these pre -owned kiosks is time sensitive and when compared to the <br />purchase of new kiosks, will result in significant upfront savings to the City. Further, given <br />estimates of rental rates of $1,000 per month for the kiosks, it is anticipated that the cost of <br />acquisition can be amortized over a year's time. <br />The proposed locations for the four kiosks are illustrated in Exhibit 1. Staff is confident that these <br />kiosks can also serve as retail incubators for small businesses. It is also anticipated that one <br />kiosk will be used as an information hub, providing news and events of interest to Santa Ana's <br />various community and business groups. <br />Once the kiosks are acquired and through an interactive website that will be launched, residents <br />and visitors to the promenade will be invited to provide input on the types of businesses they <br />25E -1 <br />