Support your favorite $4,500 parklets

The chickens have come home to roost on fees for parklets as we noted last month here.  The council went with a $250 per month cleaning fee in addition to the $1,500 annual rental fee.  Per the Daily Journal article there was some discussion along the lines of what we noted last month about Broadway perhaps being a lower fee than the Avenue, but that did not come to pass.  It was unanimous.  I was in contact with John Kevranian who heads the Broadway Business Improvement District ("the BID") and I asked if I could publish his whole letter to the Council since I believe it explains very well the state of small businesses on B'way and more generally.  Here's the full letter:

Dear Mr. Mayor, Vice Mayor and City Council members,

I have been asked by my Broadway BID members to convey our position in regards to the parklet owners sidewalk cleaning fee. We on Broadway are Not in support of the recommended city staff report on sidewalk cleaning fee of $250 per month.

Some of you may perceive and have the impression that our restaurants are doing very well. Well, the bottom line is, they are not doing the business they had pre-Covid. The staffing shortages, increased cost of products, and supply chain issues have taken a toll to their bottom-line profit. Also, I would like to remind all of you that the majority of the business landlords did not discount rent the past 22 months during the pandemic.

This year, the increase in minimum wage, sewer rate increases, extra cost of composting, new food-to-go container mandates in March 2022 and other cost increases in the food industry will take a chunk of profit away from our restaurants. Also, not to mention Covid issues and less indoor dining.

The cleaning fee of $250 has to come from somewhere such as reducing the hours of workers or increasing prices on customers. The cost of chicken has tripled and the cost of beef and other products have skyrocketed. How much can you increase on a customer? 

Over the past 2 years, I have convinced my Broadway BID board of directors to waive our assessments (2 years' worth $54,000) to help save our businesses. I approached San Mateo County Supervisor Dave Pine to have the county waive the Environmental Health Department fees county wide for 1 year totaling $5.8 million, and I was successful with my request. I have done everything possible to save these merchants expenses, so they can survive during the pandemic and after. 

Businesses who have Parklets and outside seating are being targeted with federal lawsuits for ADA noncompliance. So far, I have 3 Broadway BID members who have received the lawsuit. The plaintiff's attorney will not settle for less than $10.000 and also the cost to remediate the violation.

I respectfully ask the entire council Not to adopt this program.

Best Regards,

John Kevranian

President

Broadway Burlingame Business Improvement District

John also researched the Covid relief funding that the City has received and reports that it was $371,871 from the CARES Act and is estimated to be $5,814,178 from the American Rescue Plan allocation.  As I noted in the comments to the December post, my surveying of restauranteurs about the additional fees has yielded split views.  Some will pay thinking they have little choice and others will give up the parklet.  John asked that I also publish the joint email address for the Council in case you want to weigh in even after the vote.  It is [email protected].

Comments

[Dan Lyons]

So sad that our city wants to raise the fees on restaurants struggling to survive. As if the rents are not high enough on top of the inflation driving up the costs of product on every business in town. I wonder if we deducted $4500 dollars on top of forcing a pay decrease (comparable to our decrease in business due to Omicron) how that would go over with the Council!…….wish the council would come work a few days in the local restaurants and go home with the pay we have been getting the last few years. Those of us that survived have been working for peanuts or for the love of the business. Probably getting below minimum wage if we were getting paid hourly. Hope someone actually reads these responses and the message gets to City Hall.

[JB]

Trying to squeeze blood from a beautifully roasted turnip.....

Gonna be tough getting a reservation in town, Councilmembers....

I'm glad my restaurant days are behind me. Imagine the pain dealing with Covid, the openings, the closings, supply issues, insane cost increases, critical employees suddenly being out for two weeks or forcing the shutdown of an entire restaurant, the risk to servers, trying to convince diners it is safe to return, perhaps outside in the cold and rain. Restaurant owners/staff can just work from home, right?

We can help you - check out our menu - increased sewer fees, a new minimum wage - forget the tipping wage, a new special today - parklet fees and we won't help you with ADA lawsuits on approved parklets. Oh wait, Monday night special when your restaurant is closed - we've got a new cleaning fee. Do you want the quarterly cleaning or "regular" cleaning billed by staff making $173,000 and $155,00 a year? Doesn't matter where you are, how big your space, whether you keep it clean, you are paying. Councilmember Brownrigg was on a good track when he began to talk about a split fee. Take it a step further - no fee, unless you leave a mess. We all know those four or five restaurants. Keep your stuff clean, or you can hire a private cleaner for $100 a month....or maybe a little community service from our residents to help you out. None of that is working and need a last resort - well, that is what code enforcement is for?

Let's take a different look - restaurants bring in sales tax, keep our workers and residents fed, and keep those shoppers energized to spend in our town. Discourage the parklets, restaurants close and sales tax goes down? Shocker. What happened to good old-fashioned economic development and saving much of what makes Broadway Broadway and the Ave, the world-class experience it should be...and don't forget we've got over 100 restaurants in town. Help them all. Don't look down on the Ave, well, if you do, you'll realize that a good, thorough cleaning hasn't happened for a longggg time - perhaps that is "regular". Remove services and then charge for them - economic development for 2022. Boooo.

The response from Council?

Mayor Ortiz (also on the Economic Development subcommittee) after being told that some Broadway restaurants experienced a 50% cancellation rate from Omicron and food costs have shot through the roof - some 200-300% increases, "I was at Saltyard on New Years Eve and it was packed to the gills, so, and then when I walked around there was a few others that seemed to be doing pretty good business." Seemed to be. Restaurants always seem fine the day before they close for good. Imagine that 3% profit margin during Covid, if you are lucky. Well, time for you to sell another $100k in sides of turnips this year to cover that fee. Good luck, sucker.

Councilmember O'Brien Keighran "You can take your parklet down and you don't have to worry about that expense."

How about we take all parklets down and everyone open up a sidewalk cleaning service instead - I hear there is good money in that, especially in bad times.

[Mom]

That is a lot of Federal money coming in. What are they planning to do with all of it?

[HMB]

Why should they be charged a cleaning fee? If they can't keep their parklets clean themselves they are going to lose customers in disgust and/or have the health dept go after them. They should already be cleaning themselves without an additional fee. And if they don't, then they should face consequences. Or what am I missing?

[resident]

One of the reasons given was the cost to remove graffiti from the parklets. The city has been ignoring the graffiti problem for years all over town. What's changed? How about catching the damn taggers in the first place. Or are we waiting for sea level rise to wash it all away.

[Covidia the Tattoo Lady]

Close the Parklets but only after all Covid restrictions are ended. And they should be ended now. Businesses have no effect on the transmission of the virus (go to a sporting event if you don't believe it). The UK has done it and Europe is following. Only hyper-hysterical pols and marxists are promoting this never ending crisis.

[Phinancier]

John Kevranian's last point about ADA lawsuits highlights something that is a disgrace. Some ambulance chaser is driving honest businesses into the ground all over the state. That lawyer needs to be stopped. Where is Ricardo Ortiz and our wannabe Congresswoman on this? What about our wannabe state senator? Why are they sitting around while highway robberies take place all over town? Well?

[For Sale Cheap]

For Sale One nice parklet real cheap. Bring your own muscle to move it. Must be out by April 1. Call 650-558-7200

[[email protected]]

Sad but True.
Broadway Business.
If you folks feel this assessment is unfair, there are @ 100 people that will take your shops/place the minute you "sell".
The Days of "Family Friendly"-Norman Rockwell esq. are long gone. Way long gone.
Take what you can get and retire.
Once Earthbeam "Sold Out" you should have had a "Fire Sale."

[East Side Pride]

When I first read this I, unfortunately, wasn't surprised. But before I go further, I must admit guilt in not being involved in local politics (except voting). I first moved to Burlingame in 1987 (until 1989), then returned in 1994. I am in year 29 in the house I love. Burlingame has been a wonderful place to live. That being said, the reality is that the city leadership does not appear to have local businesses or current residents as a priority. State Government and Development are the focus. Unless I am totally blind, there has been no push back (other than design changes) to anything new or big or mandated. I realize we are hamstrung regarding state policy/law, but not even a little pushback on redistricting, expanded housing or massive projects? The editor of The Voice has covered all the major projects, including the impact on infrastructure, water, etc. yet they continue. The office buildings are mostly empty, but keep building. New ways of working mean not everyone has to live here, but keep building. Looking into my crystal ball (half tongue in cheek), San Mateo/Burlingame/Millbrae will become the mega-city called San Millgame, while Hillsborough will find a way to designate itself as a "Tesla Habitat". And as Holy Roller and the Amityville Horror movie said, "get out!".

[Joe]

It's good to hear from some Old Timers. Here is another from yesterday's DJ:

I tend to agree with Mr. Kevranian’s position on repealing the recently passed parklet fee charge as well as the idea that residents should contact councilmembers and let them know that they are also in favor of repealing the parklet fee (letter to the editor, “Burlingame parklets,” in the Jan. 29-30 edition of the Daily Journal).

The councilmembers do not have a “stake” in their decision or have to deal with the monitory ramifications the merchants will have to deal with to keep their doors open. We cannot forget it wasn’t the merchants, who restricted the number of patrons in a given business establishment or the plethora of other regulations placed upon the merchants; it was the politicians. In my letter to the council I asked them: If you are not willing to resend the parklet fee, as an act of solidarity for the merchants, would they reduce their own salary/expense account by the same amount merchants will be subjected to for their respective parklet?

Rich Grogan

Burlingame

https://www.smdailyjournal.com/opinion/letters_to_editor/burlingame-parklets/article_60b9d054-84ad-11ec-9c77-5b16706ca338.html

[Paloma Ave]

East Side Pride - Your contribution was right on target.

[Pythagoras]

As far as we see in our neighborhood eating establishments on Broadway, we see nobody using them anyway so remove them.

Our family drives up and down Broadway numerous times per day and have not yet seen more than two or three people eating at a Parklet in the last year.

So what is the big deal?

[Joe]

Here is the latest pushback from a local establishment that went out to customers:

So, I've been fielding a lot of questions about the parklet lately and the future of it since the city has now imposed a rather hefty fee associated with keeping it. If you haven't heard, on January 3rd the City Council voted to adopt a $1500/year rent for parklets as a way to make up for lost meter revenue. That's $125/month which seemed reasonable, given the additional outdoor seating it allows us.

Then on January 18th, they voted to adopt an additional $250/month cleaning fee...! They claimed that the parklets cost that much in sidewalk and barrier cleaning. This is where they lost me - our parklet does not dirty the sidewalk in any way (I'm looking at you coffee/boba tea/ice cream places) and for the cleaning fee to be TWICE the rent seems absurd. So, when folks ask me about the future of the parklet, my honest answer is...

I'm not sure.

It already costs us in additional labor, supplies, maintenance, etc. So, the $375/month might be the straw. When I called to ask about it (and register a complaint) someone took my name and number and said the supervisor would call me back. Never got that call. The pandemic has been a struggle (putting it mildly) and now it seems like a slap in the face by our own city.

If you feel inspired to let them know how you feel (and maybe save your favorite outdoor wine destination), here's the number:

Burlingame Public Works Dept.
650-558-7230
[email protected]