SM's Outdoor-Dining License Fees Poised to Be Raised

A tentative design for the long-awaited Pico Branch Library was unanimously approved by the  on Tuesday night.

Sought for decades, the branch library was part of the original Pico neighborhood community plan in 1983. Such a library would serve a community that is often isolated from the rest of the city, in terms of geography and socio-economic status.

“It's exciting to be here on the council when we finally get to move this forward,” Councilman Kevin McKeown said.

The single-floor design, universally lauded by neighborhood groups and council members alike, would integrate into 's environment without encroaching upon green park space. It would also preserve access to the park's recreational programs and the without requiring the construction of additional parking. Lastly, the design would add a new seating area on the west side of the park, as well as a separate community room.

The council is poised to review a complete design schematic as early as the fall of this year.

While multiple council members expressed excitement over the potential community benefits, Councilman Bobby Shriver posed a sobering question: “What happens if the governor wins on the [battle to eliminate redevelopment agencies], and we don't have the money to complete this?”

Gov. Jerry Brown has proposed a budget that would eliminate all of the state's redevelopment agencies and wrest more than $1.7 billion from the hands of municipal governments to shore up the state budget. A recent survey by the Public Policy Institute of California found that a majority of Californians were satisfied with the proposed budget.

City Manager Rod Gould gave a blunt response to Shriver's question: “A great number of projects that we have planned and discussed for many years in Santa Monica will not be built. No one knows how it will work out yet. I don't know where to begin [with alternative funding], given all the projects that would also be in jeopardy.”

Still, Gould said that the city will have no problem fulfilling its contractual obligations until the legislation is passed, because the city does not begin capital-improvement projects until it has the money to pay for them.

The threat of budget shortfalls also loomed over a discussion of a potential increase to outdoor-dining license fees in Santa Monica.

Santa Monica's restaurants currently pay $1.90 per square foot of sidewalk used for outdoor dining space, but the city staff found that was significantly less than the market rate. The proposed increase would generate an estimated $200,000 in revenue but would also increase restaurant's monthly costs by hundreds—and in a few cases, thousands—of dollars.

Mayor Pro Tempore suggested that it would be unwise to burden already-struggling restaurants with extra costs in light of the economic downturn, which has put a damper on a typically bustling business.

“We may get empty restaurants on the , and empty is not good.” said Davis, referring to the fact that restaurants there cannot be replaced with retail space.

However, the council voted 4-2 in favor of the proposal, with Councilmen Bob Holbrook and McKeown voting against it. Delaying the increase would allow many restaurants whose licenses are up for renewal to reapply for a new, five-year license under the old rate, precluding the possibility of raising license fees as a revenue source of any amount.

McKeown said the staff recommendation is still too low and that the raise should be implemented within a year.

“We have examined raising the rates for bus fares, recreation programs—even children's rides on the ,” he said. “We've been giving away our public sidewalk space ... I think it's only fair after having gone to our residents [for money].”

The proposed increase would be effective in fiscal year 2013-14, but multiple council members said that it will be necessary to reasses the economic situation and the size of the increase before that time.