SR-07-23-2013-8Admm a City Council Report
City Santa Monica'
City Council Meeting: July 23, 2013
Agenda Item: 8 -A
To: Mayor and City Council
From: Rod Merl, Pier Manager
Subject: Update Report on Santa Monica Pier and Proposed Extension of
Corporation Services Agreement
Recommended Action
Staff recommends that the City Council:
1. Receive and file the Pier Update report
2. Authorize the City Manager to negotiate and execute an amendment to the
current Santa Monica Pier Corporation Services Agreement to extend the term to
June 30, 2015
3. Set February 11, 2014 for Consideration of Board Appointments for a term
ending June 30, 2015
4. Receive and File the Santa Monica Pier Corporation FY 2013/14 Budget and
Work Plan
Executive Summary
This report provides an update on the activities of the Office of Pier Management (OPM)
and the Santa Monica Pier Corporation (SMPC) since Council action in the fall of 2011,
which authorized a new governance structure for the Pier.
On February 28 2012 the City Council approved a two year Service Agreement with the
Santa Monica Pier Corporation and appointed the current SMPC interim Board for a
two -year term. The SMPC has been expanding Pier events and activities programming,
advancing marketing efforts, and assisting the City with the development of operational
guidelines, vision statements and planning documents to guide the Pier's development.
Extension of the current service agreement would allow the SMPC to enter into
multiyear sponsorships and event programing arrangements, maintain Pier Corporation
staffing commitments and continue to provide public outreach for Pier related projects.
Staff recommends that Council extend the Santa Monica Pier Corporation Services
Agreement to June 30, 2015; set February 11, 2014 to appoint Board members for the
new extended term; and receive and file the Pier update report and the SMPC FY2013-
14 budget and work plan.
Background
At its November 22, 2011, December 6, 2011, and February 28, 2012, meetings, the
Council approved a series of changes to the governance and management of the Santa
Monica Pier. The Pier Restoration Corporation (PRC) board was dissolved in favor of an
interim board renamed the Santa Monica Pier Corporation which was refocused to a
core mission of Pier events, marketing and fundraising.
Council also set out several specific tasks for the new board to accomplish within the
interim two -year term: the development for City Council consideration of Pier Marketing,
Sponsorship, Events and Leasing Guidelines; a vision (guiding principles) statement;
recommendations on Pier governance; and assisting the City with a Pier planning
process and public outreach.
The SMPC Board is working on the development of a Pier Enhancement Plan which will
be presented to Council along with the above mentioned guidelines prior to February
2014. The SMPC has also provided the forum for public outreach and discussion on
large Pier related public works projects.
Discussion
As part of its December 6, 2011 discussion, Council requested staff return during the
term of the interim board to provide a Pier update report and assessment of the new
governance structure, activities and operations
Office of Pier Management Activities since January 2012
The Office of Pier Management was established in January 2012 and serves as the
City's on -site coordinator of Pier services and programs as well as being responsible for
community, tenant and visitor relations. Primary focus areas for OPM coordination and
support are Pier maintenance, facilities, capital improvements, policing and safety,
planning, and outreach. OPM has also taken over the responsibility for leasing and
PAI
licenses on the Pier as well as all contract services, such as the Carousel. OPM
additionally administers the Service Agreement with the SMPC and works in partnership
with the SMPC Pier Administrator who is staff to the SMPC Board.
The presence of OPM on the Pier allows for frequent interaction with the public and
tenants, regular inspections, and consistent monitoring of operations and activities on
the Pier.
During the past 15 months the following activities or projects have occurred at the Pier:
• Establishment of the OPM website, Pier newsletter. Additionally, since March of
2013 a team lead by OPM in concert with Engineering and Pier Corporation staff
has met with neighborhood and service organizations, business districts and City
Boards and Commissions providing information about the Pier operations,
programs and events as well as requesting comments regarding the Pier and
possible improvements. More than 20 such meetings have already occurred and
will be on- going.
• Installation of an energy saving LED light system for the Pier, including
"necklace" lighting around the Pier perimeter.
• Enhanced maintenance program including increased deck board replacement,
replacement of western wall under the bikeway, increased benches and bicycle
parking and the removal of unnecessary obstructions.
• Enhanced Pier bridge safety through the removal of curbs and creation of a
protected pedestrian lane; coordination of Pier Bridge Design effort for the
replacement of the existing Pier Bridge through federal and state grants in 2016.
• Negotiated and executed licenses for 9 vending carts, the trolley kiosk, and new
coin operated telescopes and binoculars.
• Planning coordination with Downtown Specific Plan, Esplanade, the Expo Light
Rail and Santa Monica State Beach.
• Outreach and support for Phase IV Pier Infrastructure Reconstruction. This
project replaces 360 feet of the middle section of the Municipal Pier (the portion
K,
currently covered with metal plates and asphalt). The project replaces the 93
year old wood pilings and substructure with concrete matching the west end of
the Pier and restores the deck surface to a wooden boardwalk.
® Staff support for the SMPC operation guidelines development and enhancement
planning.
Santa Monica Pier Corporation Accomplishments since March 2012
The new Pier Corporation Board took office in March 2012. It meets twice each month.
Over the last year the Pier Corporation has renamed itself, hired an administrator who is
an expert in marketing, and has worked to establish a strong program of community
outreach. The outreach program works to advise the community of projects and events
on the Pier; gets input on what works and what needs improvement at the Pier; and
defines the unique character and role of the Pier. The outreach and community forum
function has become very important with the advent of Phase IV Pier Reconstruction
Project, the Pier Bridge pedestrian safety enhancements, and the start of the Pier
Bridge Replacement design effort.
The Board held two working sessions with Daniel Icafano of MIG, Inc. to develop a
sense of the Pier, its opportunities and challenges and to define guiding principles and
goals. The Board has established a number of study groups within its membership to
work with OPM and Pier Corporation staff on the development of the specified
deliverables before February of next year.
The Board and its staff have greatly increased both the number and range of events
and activities and have begun to install on -going mechanisms to ensure the long term
provision of diverse year round programing for the Pier. The Pier Corporation has
defined five strategic categories for its events and activities programing and has
established curators for each. They are music, film, arts, education and active lifestyle.
A variety of projects in each of these categories is currently being developed. Among
the additions are a spring concert program which is intended to complement the Twilight
11
Concert Series and the Newport Folk Festival which has been added to the October
schedule. A Saturday morning program of yoga and running is already in place as well
as a December craft and gift fair. Additionally, the Pier Corporation has opened its
visitor center and store in the Carousel building, providing visitor information, historical
presentations, a gift shop and a place to book Carousel parties.
Allied with the above efforts has been the substantial improvement in marketing and
fundraising. For example, for the first time the 2012 Twilight Concert Series raised
enough money and donated services through sponsorships to cover its costs. The
SMPC has greatly increased the frequency and quality of its outreach. This includes
creative use of social media. Last year the Pier Corporation increased it Facebook
regular friends from 15,000 to over 85,000, a number that continues to grow.
The SMPC Board at its April 3, 2013 meeting approved a Working Draft Vision
Statement, Operating Guidelines, Goals and Strategies (Attachment C.) which provide
the core values, criteria and operating framework for its development of the marketing,
sponsorship, event and leasing guidelines, the enhancement plan as well as an
evaluative tool for Board reviews and actions.
Extension of Services Agreement
The stability and long -term operations of the Pier Corporation are challenged by the
term limit in the current Services Agreement. The current Agreement expires on June
28, 2014. The Corporation is constrained in making commitments in developing its
schedule beyond next winter, including for the 2014 Twilight Concert Series and in
much of five curated areas events. This situation prevents multiyear agreements for
other events and activities or for any contractual services or programs and has become
a fundamental problem for carrying forward a key mandated focus areas. Staff
recommends extending the term of the Services agreement to June 30, 2015 to allow
the SMPC to enter into multiyear sponsorships and event programing arrangements.
5
The Pier Board has become a valuable public outreach mechanism for the City on
planning issues and major capital improvement projects related to the Pier. The Board
is now primarily providing a public forum for the City on the associated issues of the
next five years — which span the Phase IV Pier Reconstruction project to the Pier Bridge
Replacement. The extension of the Services Agreement would allow the Board to
continue to provide recommendations with a longer term perspective.
Staff also recommends the extension in order to better correspond with the City's
existing two year budget cycle. As it stands, the Service Agreement will expire on June
28, 2014, which is two thirds of the way through a fiscal year. The services provided by
the Pier Corporation will need to continue through at least that year and ideally through
the end of the City's biennial budget cycle. The Pier Board has found that the assigned
roles, responsibilities and coordination between OPM and the Pier Corporation are
working well and recommends continuance of the agreement through the proposed
extension period.
New Board Appointments
The SMPC Service Agreement approved in February 2012 provides a two year term
appointment to the Pier Board. Board terms will end on February 25, 2014. If the
Service Agreement extension to June 30, 2015 is approved, Council would need to
appoint new members or reappoint existing Board members. An extensive recruitment
and review process was undertaken for the original appointments prioritizing candidate
expertise and experience. Staff recommends that consistent with the provisions of the
Bylaws Council approve posting the vacancies this fall with the same criteria and
inviting the current Board to reapply. Appointment of Board members for the new term
of March 2014 to June 30, 2015 should be set for the first City Council meeting of
February 11, 2014.
C
SMPC Proposed Work Plan for FY 2013/14
Subject to Council approval, the attached Work Plan describes in detail the activities
SMPC will perform in the upcoming fiscal year (Attachment A). The Work Plan is
consistent with the focus of the Pier Corporation on the expansion and diversification of
events and activities, marketing, sponsorships and outreach.
SMPC Proposed Budget for FY2013/14
SMPC presents a FY 2013/14 budget with total revenues in the amount of $ 1,502,983
and expenditures in the amount of $1,500,500 (Attachment B)
Budgeted revenues of $1,502,983 include City's base grant funding of $481,983. Non -
City funded revenue includes $451,000 in anticipated revenue generated from event
deck rental, film permits, carousel rental, corporate promotions, the new visitor center
and merchandise sales. An additional $570,000 is anticipated to be generated from
program sponsorships including $400,000 from music events such as the Twilight
Concert Series.
The base grant from the City has decreased by 5 percent from the previous year while
revenue from non -City sources is projected to increase by $193,060 or 23 percent from
the previous year's budget primarily as a result of enhanced marketing, sponsorships
and the new visitor center.
Staff recommends that in future years the SMPC proposed budget be submitted to be
reviewed and considered within the same time frame and manner as City departments
and agencies.
SMPC Board Action
The SMPC FY 2013/14 work plan and budget were approved by the SMPC Board on
April 3, 2013. The Board also approved a motion noting the success of the current
governance structure at the Pier and supporting the extension of the current service
7
agreement until June 30, 2015 to ensure on -going planning, programming marketing
and multi -year sponsorship commitments.
Financial Impacts & Budget Actions
Fiscal year 2013 -14 City funding for the Santa Monica Pier Corporation is included in
the FY 2013 -15 proposed biennial budget in the amount of $482,000. Approval of the
work plan and budget for FY 2013 -14 has no additional budget or financial impact on
the City.
Prepared by: Rod Merl, Pier Manager
Approved:
Rod Merl, /
Pier Manager
Attachment:
Forwarded to Council:
u
Rod Gould
City Manager
A. SMPC Proposed Work Plan FY 2013/14
B. SMPC Proposed Budget FY 2013/14
C. Pier Corporation Working Vision Statement, Guiding Principles, Goals and
Strategies
D. Pier Corporation Board Letter to Council
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Attachment A: SMPC Workplan
Santa Monica Pier Corporation
2013 -2014 Work Plan
Goal of the SMPC
To elevate the visitor experience of the Pier for all audiences
Goal of the 2013 -2014 Work Plan
To continue the momentum of 2012 -13 in starting to elevate the Pier experience through
expansion of programming, updating of Pier branding and communications, and working
with the Office of Pier Management (OPM) in communicating key capital improvement
projects to the public,
SMPC Areas of Focus
1. Branding & Communications
2. Pier Shop & Visitor Center
3. Cultural Events & Programming
SMPC + OPM Areas of Focus
1. Communicating Capital Improvement Projects
2. Facilitating Board deliverables & Enhancement Planning
SMPC Areas of Focus
Branding & Communications
Why: With the redesign of the website, email and social media platforms, people are starting
to look at the Pier in a new way. We need to continue the momentum by moving to the next
phase of digital and physical communications upgrades.
How: On -site design upgrades and mobile development. Target date of Spring '14 for launch
of phase 2 redesigns.
1. Mobile Development: The next phase of the digital communications redesign is
the development of a mobile app, used for way- finding, self- guided historic tours,
programs and promotions.
2. Pier Map, Brochure & Kiosk Signage: With new businesses joining the Pier, and a
fresh new look, the fundamental information pieces need to be updated since they
haven't been redesigned for 12 years.
3. Audience Growth: To create a relationship with a broader community, we hope to
grow the Facebook audience to 100,000 and the email subscribers to 25,000 by the
end of the year.
Attachment A: SMPC Workplan
4. Promoting Pier -wide Upgrades: Leverage the marketing channels of the Pier to
help encourage and promote upgrades by Pier businesses that enhance the Pier
brand and visitor experience.
Pier Shop & Visitor Center
Wh y: As the first point -of- contact for many visitors walking down the ramp, the Pier Shop &
Visitor Center should embody the Pier brand as a welcoming blend of contemporary design
and celebrated history.
How: Historic displays, walking tours, contemporary merchandise & well - informed staff.
Target date of Sept '13 to test viability of Docent program.
1. Merchandise & Systems Testing: The first six months of operations will serve as
testing grounds for both merchandise assortment, POS systems and inventory
management.
2. Docent Tours & Concierge Services: The Pier Shop & Visitor Center can also serve
as a hub for both docent -led historic tours and concierge services like surf lessons,
tour booking, and event tickets.
3. Well- informed staff: As brand ambassadors of the Pier, staff needs to be not only
knowledgeable of Pier history and products, but all of its offerings.
4. Unique offerings: As part of positioning the Pier as a unique cultural experience,
the merchandise and offerings shouldn't be run -of- the -mill.
Cultural Events & Programming
Why: Creating diverse and year -round traditions at the Pier is the start of making it relevant
to the broadest audience possible.
How: Harnessing programming talent and fine- tuning for the environment
1. Curators Program: In 2013, we started the Curators Program, drawing regional
programming experts to develop and enhance programs across 5 categories: Music,
Film, Arts, Education and Active Lifestyle.
a. Music - Music has a long tradition at the Pier, and can serve an even broader
audience through supplemental off - season programming.
b. Film - Film also has historical roots and can be enhanced through leveraging
key talent in the Los Angeles region.
c. Arts - Developing Arts programming will help reframe the Pier as a cultural
destination as well as a tourist destination.
d. Education - For both children and adults, the Pier should combine learning
and wonder.
e. Active Lifestyle - Santa Monica is a haven for health, fitness and sport, and
the Pier should be part of that tradition as well.
Attachment A: SMPC Workplan
2. Program Development and Fine- Tuning: This year will start the experiment in
year -round programming, which will then be fine -tuned to an annual programming
calendar of successful traditions.
SMPC + OPM Areas of Focus
1. Communicating Capital Improvement Projects: Work with the OPM to develop
messaging and facilitate awareness of planned capital improvement projects around
the Pier to minimize impact to the visitor experience.
2. Facilitating Board Deliverables & Enhancement Planning: Work with Board,
OPM and relevant entities to facilitate Board Deliverables that meet the current and
future conditions of the Pier. These include, but are not limited to, the
marketing /events /sponsorships guidelines and policies that reduce hurdles to
programming the pier and adjacent areas.
SANTA MONICA PIER CORP
FY 2013/2014
Income
Expenses
ATTACHMENT B.
Approved Budget
Actual Budget as
Forecast End of
Proposed FY 13/14
FY 12/13
of 2.18.13
Year 6.30.13
City Funding
$507,350
$507,350
$507,350
$481,983
Facilities - Merchandise
$10,000
$4,005
$5,000
$0
Facilities - Event Deck Rental
$100,000
$90,859
$170,000
$160,000
Facilities - Film Permits
$110,000
$95,340
$120,000
$125,000
Facilities - Carousel Rental
$100,000
$58,388
$78,000
$90,000
Facilities - Corporate Promotions
$75,000
$83,600
$90,000
$40,000
Facilities - Pier Shop &Visitor Center
$60,000
$0
$10,000
$36,000
Programming - Music
$300,000
$313,049
$320,000
$400,000
Programming - Film
$5,000
$59,948
$75,000
$75,000
Programming - Active Lifestyle
$60,000
$1,500
$65,000
$75,000
Programming - Arts
$0
$0
$10,000
$10,000
Programming - Education
$8,000
$0
$10,000
$10,000
Total Income
$1,335,350
$1,214,039
$1,460,350
$1,502,983
Facilities - City Refund - Carousel
$38,000
$20,413
$32,000
$40,000
Facilities -City Refund - Pier Deck
$45,000
$42,514
$85,000
$85,000
Facilities- staffing, security, & supplies
$17,500
$12,820
$16,000
$17,500
Facilities - Visitor Centerset -up costs
$30,000
$18,232
$32,000
$0
Facilities - Vistitor Center on -going costs
$60,000
$0
$10,000
$36,000
People - Wages &Salaries
$490,000
$325,867
$485,000
$500,000
People - Benefits
$92,000
$73,931
$102,000
$100,000
People - Office Supplies, Services, Audit, Insurance
$83,000
$55,182
$80,000
$90,000
Marketing - Media Kit &B -to -B outreach
$15,000
$3,873
$12,000
$12,000
Marketing - Web& Communications Update
$30,000
$2,207
$4,000
$20,000
Marketing - General PR & Advertising
$10,000
$91
$5,000
$10,000
Programming -Music
$320,000
$313,487
$320,000
$400,000
Programming -Film
$5,000
$59,433
$75,000
$75,000
Programming - Active Lifestyle
$60,000
$2,000
$65,000
$75,000
Programming - Arts
$0
$3,996
$13,996
$20,000
Programming - Education
$0
$9,753
$19,753
$20,000
Total Expense
$1,295,500
$943,799
$1,356,749
$1,500,500
Net Income
$2,483
Attachment C
A WORKING DRAFT:
PIER VISON, GUIDING PRINCIPLES, GOALS AND STRATEGIES
Vision:
A Santa Monica Pier that provides an historic platform and a legacy of colorful visitor
experience to showcase contemporary events. A community asset that attracts,
welcomes and entertains local, regional, national and international visitors of all
incomes and abilities. A beloved landmark that offers an enticing and changing array of
site - appropriate active and passive experiences and attractions.
Guiding Principles:
➢ The Pier will be a signature attraction of the City of Santa Monica, known and recognized
world -wide and enjoying a broad base of local community support.
➢ The Pier will bean easily accessible and visually prominent destination within the City.
➢ The Pier will provide enticing year -round experiences and attractions for visitors.
➢ The Pier will attract and engage visitors of all ages and incomes.
➢ The historic fabric and character, as well as the environmental sustainability and
structural integrity of the Pier will be documented, celebrated, maintained and improved.
➢ Pier programming will include both traditional and cutting edge entertainment, athletic
and educational experiences.
➢ Promotions, sponsorships and private and public revenue - producing events, will largely
off -set the cost of popular and free public programming.
Guiding Principles with Goals and Strategies
➢ The Pier will be a signature attraction of the City
of Santa Monica, known and recognized world -
ii�>ag
Attachment C
ITIOU—M • I •' • I . I • F • MIN
community support.
Goal: of the Pier • •i.
brand identity
o Strategies:
• Maintain and enforce copyright protections of the Pier sign and
evaluate other available protections.
• Sustain a compelling web and social media presence.
• Cross - promote actively with Santa Monica, Los Angeles and
California tourism bureaus.
• Make brand identity a factor in every programming and design
decision.
• Encourage tenant upgrades and improvements that enhance the
Pier identity.
• Implement public improvements that enhance the Pier and its
surroundings.
• Goal: Enhance the local community's awareness
of and attendance at Pier programs.
o Strategies:
• Program the Pier with both the local community and wider
audiences in mind, in ways that support and promote pier tenants and
attractions.
2 1Pago
Attachment C
. Routinely inform local leaders of Pier events and promotions and invite
them to attend a Board meeting
Ensure that local media are included in Pier promotions and
sponsorships.
The Pier will be easily •' and visually
prominent destination within the
• Goal: Retain, preserve and enhance the historic
character and eclectic, thematic appearance of the
Pier and its aesthetic elements.
o Strategy
Employ the 1987 Pier Design Guidelines as an architectural criteria
standard for the Pier. Review all public and private improvements for
consistency with the goals and intent of the Design Guidelines
• Goal: Provide and maintain pedestrian -and bicycle-
friendly access to the Pier, making the public
boardwalk of the municipal Pier the primary
pedestrian corridor for visitors.
o Strategies:
- Work closely with Pier bridge design firm and City engineering to
ensure that practical access solutions are prioritized and that access is
preserved throughout construction.
Repair and /or add stairways to the Pier and sign them effectively at the
beach and beach parking lot level so that visitors are aware of the
easiest route to the Pier deck.
3111 agc,
Attachment C
® Add signage that assists in locating Pier services and attractions from
the 1550 lot and the Pier deck.
o Strategies:
® Evaluate limiting Pier deck parking to service vehicles and the
disabled.
® Evaluate alternative access strategies for the disabled including
shuttles, elevators and other people moving technologies.
• Goal: Reduce reliance on individual automobiles
to reach the Pier.
o Strategies:
® Use the web -site and social media to encourage the use of transit
and bicycles.
Include such advice in publicity for events on the Pier and require
that event producers do the same.
® Facilitate arrangements for group tour operators, including bus
drop -off and pick -up zones
• Goal: Maintain clear sightlines and pathways to
the Pier sign and Pier entrance from Colorado
Boulevard, the Esplanade, the Metro station and
Tongva Park lookout.
41Po-age
Attachment C
o Strategies:
. Ensure Pier Board and staff participation in design processes
and construction decisions for these major projects.
® Encourage way- finding solutions that effectively direct visitors to
the Pier and throughout the Pier area.
Ed
• Goal: Develop and publicize off - season programs
and promotions to attract visitors.
o Strategies:
Update web presence and social media frequently to encourage
followers /friends to visit repeatedly throughout the year.
Actively entertain appealing off - season promotions which should
also support/strengthen pier tenants and attractions.
Make off - season program success a criteria in the evaluation of
"curators"
Host civic meetings, workshops and events on the Pier to
encourage local workers and residents to spend more time on the
Pier.
Encourage tenants to offer a local shopper /diner incentive program
similar to that provided by Downtown Santa Monica and publicize
the program.
• Goal: Develop strategies for adding multi-
purpose, flexible use space to the Pier to
accommodate events and programs and provide
5 IPage
Attachment C
additional visitor opportunities for active and
passive enjoyment.
o Strategies:
® Evaluate alternatives to providing parking on the Pier deck and
include recommendations in Pier visioning report.
® Determine market requirements for meeting and event space and
incorporate findings in planning and design of such spaces.
The Pier will attract and engage Visitors of all
ages and incomes.
• Goal: Pier restaurants, food services and retail
merchants will provide high - quality, site - appropriate
offerings at a wide range of price points.
o Strategies:
® Develop and adhere to leasing guidelines that encourage quality
competitors for leaseholds and include quality and pricing
standards and metrics. (without losing sight of the business
need to have Quality match needs of existing pier
demographics)
® Evaluate opportunities for changes in short -term leaseholds and
cart contracts to expand and improve food and merchandise
choices.
6 1Pagc
Attachment C
Goal: Develop programming which appeals to
diverse age and income groups, arriving at a mix
that encourages • - c • . • appeal and
o Strategies:
o Monitor demographic and social trends and adjust programming to
respond.
o Work with Pier tenants to encourage similar awareness and response.
➢ The historic fabric and character, as well as the
environmental sustainability and structural
integrity of the Pier will be documented,
celebrated, maintained and improved.
• Goal: Ensure that visitors have attractive and easy
access to information on the significance of the Pier
and its history.
o Strategies:
Create a Pier Visitor Center offering information and tours that highlight
the history of the Pier.
Develop merchandise for the Visitor Center that celebrates the unique
Pier history and experience.
Encourage Pier lessees to provide training and information to
employees so that they can become ambassadors for the Pier and the
City.
7113aSe,
Attachment C
Appreciate, promote and preserve elements of the historic significance
of the pier and surrounding beachfront.
attractions and businesses.
o Strategies:
Ensure that construction management understands the needs of
Pier tenants and works to accommodate them without unduly
jeopardizing project timeliness and cost.
- Balance the preservation of historic fabric with the need to enhance
sustainability and structural integrity.
® Achieve LEED ratings for new construction and ensure that
maintenance and operations achieve a high standard of
sustainability.
➢ Pier programming will include both traditional
and cutting edge entertainment, athletic and
educational experiences.
® Goal: Maintain and refresh the appeal of popular
programs of long- standing to audiences and
sponsors, "tweaking" them as appropriate to ensure
their continued viability.
81Pago,
Attachment C
o Strategies:
® Collect and evaluate visitor and sponsor feedback to inform programming
decisions.
® Stay closely attuned to demographic trends, consumer tastes and
entertainment appeal.
® Consider the effect on pier businesses
• Goal: Encourage experimentation with new
programming ideas.
o Strategies:
o Evaluate success of the use of curators and refine that program as
necessary to drive programming excellence.
o Identify barriers to program innovation and work to eliminate or modify
them.
• Goal: Establish the Pier as a model venue for well-
executed, revenue producing events and filming
o Strategies:
- Establish a one -stop filming permit administered on -site at the Pier.
91Pag0,
Attachment C
• Provide web information on the Pier as a venue and encourage
personal contact.
® Maintain presence /membership in appropriate organizations and
groups that can help with the promotion of the Pier.
• • • •
o Strategies:
• Facilitate multi -year contracts with sponsors.
• Encourage designation of a new Pier and Beach Promotional and
Recreational Zone with its own modified event and promotion
regulations.
• Develop sponsorship guidelines that reflect contemporary industry
practice while respecting community standards and complementing
Pier businesses.
101page
N
F g
ys
July 23, 2013
Mayor O'Connor and City Council Members
1685 Main Street
PO Box 2200
Santa Monica, CA 90407 -2200
Dear Mayor and Council Members:
The Interim Pier Corporation Board has developed a working draft of Guiding Principles,
Goals and Strategies (attached to the City's staff report) to inform the leasing,
sponsorship and promotional guidelines we will submit for your consideration this fall.
While we continue to seek community input on this draft, it represents our current
thinking on the best approach to the challenges ahead and we welcome your feedback.
In reviewing the draft, you will note that we are determined to secure a vibrant,
sustainable future for the Santa Monica Pier. This necessitates development of a funding
model that will support year -round activities on the Pier, including free public
programming, traditional events and activities that draw new audiences.
Two key recommendations of the Board require your timely action:
1) We recommend that you extend the service agreement with the Pier Corporation and
the tern of office of Board members through June 30, 2015 to facilitate multi-year
programming and sponsorships.
This action will enhance both staff efficiency and revenue generation. In a short time, the
Pier Corporation has been able to attract new program partners and sponsors but
uncertainty about Pier governance in the near future limits our outreach and leverage.
Continuity of leadership at least through adoption of the next budget will benefit ongoing
negotiations with potential partners and hence the City's bottom line. Your action will
bring the term of the service agreement in line with the City's two year budget cycle and
allow an experienced board to assist in mitigating the effects of capital improvement
projects on Pier operations and visitors.
2) We recommend that you direct staff to designate a special Pier and Beach Recreation
and Entertainment Promotional Zone to facilitate revenue generation.
Designation of the zone would retain protections for the Pier's Landmark status while
carving out exceptions to regulations that restrict event and promotional activity on the
Pier and immediately adjacent beach. The strategic and limited area of the proposed zone
maximizes revenue generating potential while leaving the vast majority of the beach with
current restrictions in place. Zone - specific guidelines for ticketed events and for the use
of banners, signage, displays and other promotional measures encourage sponsorships
and facilitate production of a limited number of high visibility, zone - appropriate, revenue
generating events. Operation of the zone would be a cooperative effort of Pier and Beach
management. The Pier and Beach funds would continue to be administered separately,
with revenues and expenditures allocated in accordance with governing regulations and
policy. With your direction, the City's management and legal staff can proceed
expeditiously to craft measures necessary to realize the considerable benefits of the zone.
We note that The Little Hoover Commission, in recent criticism of the State's
management of its parks and beaches, expressed confidence that local jurisdictions are
more able and likely to employ creative management and revenue generation techniques
than the State of California. Your actions on these recommendations can help prove the
Commission correct.
In our work to -date the Board of the Pier Corporation has benefited from the creative
energy of our staff, the responsiveness of the Office of Pier Management, the
Engineering Division and the Community and Cultural Services Department, the active
interest of the Pier lessees and the willingness of many community organizations to give
input. We thank all who have participated thus far and can assure you that outreach will
continue as we proceed.
Sincerely,
Judy Abdo
Chair
Reference:
Contract No. 9566 (CCS)