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SR-111307-1B~~ City Council Report City of Santa Monica City Council Meeting: November 13, 2007 Agenda Item: ~ .» g To: Mayor and City Council From: Andy Agle, Director of Housing and Economic Development Subject: Addendum to Services Agreement between the City of Santa Monica and Santa Monica Pier Restoration Corporation to Promote, Book and Monitor Special Events at the Santa Monica Carousel and Carousel Deck Recommended Action Staff recommends that the City Council authorize the City Manager to execute an addendum to the Services Agreement between the City of Santa Monica and the Santa Monica Pier Restoration Corporation, to promote, book and supervise special events and filming at the Santa Monica Pier Carousel and Carousel Deck. Executive Summary Kid's Play, a private operator, has been the City's booking agent for special events at the Carousel since 2001. Its current one-year agreement with the City expires on January 9, 2008. Staff proposes that the Santa Monica Pier Restoration Corporation (SMPRC) assume booking agent responsibilities at the Carousel and Carousel Deck, pursuant to the SMPRC Services Agreement. Given SMPRC's expertise and capacity for promoting, marketing and booking special events and activities at the Pier, the assumption of bookings at the Carousel and Carousel Deck will enhance the overall 1 experience at the Pier. Transferring of the duties from the current contractor to SMPRC should be revenue neutral to the General Fund. Discussion The Pier Carousel and Carousel deck are open to the public and used for semi-private and private parties. During Fiscal Year 2006/2007, the Carousel hosted 182 children's birthday parties, seven film shoots and 11 private parties, which generated net revenues to the City of $56,000. Children's birthday parties and semi-private parties may occur when the Carousel is open to the public. Private parties may only occur after the Carousel is closed to the public. Since 2001, the City has had an agreement with Kid's Play to book and manage semi-private and private events at the Carousel. Compensation to Kid's Play was 50% of the rental fee. Kid's Play agreement expires on January 9, 2008. SMPRC staff now has the capability to include Carousel special event management into its event management program. Assuming booking agent responsibilities for the Carousel and Carousel deck will leverage SMPRC's expertise and demonstrated capacity for promoting, marketing and booking special events and activities at the Pier. The types of events to be held at the Carousel will remain the same. In accordance with Section 3:1 Q) of the Services Agreement, executed April 21, 2004, the SMPRC may provide additional services as the parties may agree. The Santa Monica Pier Budget and Work Plan for Fiscal Year 2007/08 approved by the Council on 2 June 26, 2007, included Carousel booking services as one of SMPRC's new program goals Terms and Conditions As booking agent, SMPRC will promote, manage, coordinate, book and monitor birthday parties, filming and special events at the Santa Monica Pier Carousel and Carousel Deck. In addition, commercial filming could occur in the Carousel during working hours, provided that it does not interfere with the Carousel operation and closing the Carousel during operating hours for private parties would be subject to City approval. Further, SMPRC will be responsible for the performance of administrative tasks such as answering public inquires, marketing to potential clients, event scheduling, providing tours of the facility, reporting to the City and informing the public of policies and procedures. As was the agreement with Kid's Play, the City will compensate SMPRC one-half of the rental fees it collects. The rental fees and hours of Carousel operation were last approved by Council in September 2002, by Resolution 9789, and any change will require prior Council approval. The Agreement will allow SMPRC to charge and retain fees for other special services. Board Action The SMPRC Board of Directors approved the proposed terms at its meeting on October 3, 2007. 3 BudgeUFinancial Impact The transfer of duties from Kid's Play to the SMPRC should be revenue neutral for FY 2007/08. Prepared by: Donna Rickman Senior Administrative Analyst Approved: Andy Agle, Director Housing and Econo Forwarded to Council: 4 nnanager Reference Amendment to Contract No. 8333 (ccs)