SR 06-26-2018 3N
City Council
Report
City Council Meeting: June 26, 2018
Agenda Item: 3.N
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To: Mayor and City Council
From: Andy Agle, Director, Housing and Economic Development, Economic
Development Division
Subject: Santa Monica Pier Corporation Fiscal Year 2018-19 Budget and Work Plan
Recommended Action
Staff recommends that the City Council approve the Santa Monica Pier Corporation
Fiscal Year 2018-19 Budget and Work Plan.
Executive Summary
The Santa Monica Pier is an iconic local and regional landmark that draws as many as
seven million visitors a year. While Pier maintenance and leasing is directly conducted
by the City, the City contracts with the Santa Monica Pier Corporation (SMPC), through
a Services Agreement, to manage programs, services, and operations at the Pier. Staff
is presenting to Council for approval the SMPC FY 2018-19 budget and work plan
describing the activities and programs SMPC will undertake in the upcoming fiscal year.
Background
Santa Monica Pier Corporation’s (SMPC) mission is to preserve and enhance the pier
experience for people of all ages and for future generations. Originally set up by the City
with a board appointed by the City Council, under the terms of the current Services
Agreement between the City and SMPC, the SMPC is charged with the development of
programs and activities for the Santa Monica Pier including community event
production; the marketing and promotion of the Pier; the management of sponsorship
and licensing programs; the development of leasing, events, and marketing guidelines
for approval by Council; and the preparation of an annual budget and work plan setting
forth the goals and objectives of the SMPC for each fiscal year.
Discussion
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In accordance with the Services Agreement, the SMPC has submitted for Council
approval an operating budget and work plan for FY 2018-19.
Budget: SMPC presents its FY 2018-19 Budget (Attachment A) with estimated total
revenues in the amount of $2,623,402 and estimated total expenditures in the amount
of $2,586,000. Projected revenues include: funding from the City in the amount of
$746,402; facility rentals revenues in the amount of $877,000; partnership revenues in
the amount of $900,000, and other miscellaneous revenues in the amount of $100,000.
Projected expenditures include: $1,111,000 for SMPC-produced programming and
marketing for the reimagined ‘Twilight on the Pier’ concert series, Front Porch Cinemas,
Pier 360 (formerly Paddleboard & Ocean Festival) and other free public programs;
$970,000 for personnel expenses comprised of salaries, benefits, and related supplies
and services; $300,000 for expenses related to facility rentals including city permits and
revenue share payments to the City; $80,000 for holiday installations; $70,000 for
marketing and public relations costs; and $125,000 for contingencies.
Work Plan: The attached FY 2018-19 Work Plan (Attachment B) describes in detail the
activities and strategies SMPC plans to perform during the fiscal year. The work plan
concentrates on six strategic priorities and goals: programming development, guest
experience, community relations, organizational development, sustainability and
advocacy, and long-term strategic development.
Commission Action
The SMPC Board of Directors approved the FY 2018-19 budget on April 16, 2018 and
the work plan on May 21, 2018.
Financial Impacts and Budget Actions
Funds of $746,402 for the Services Agreement with the Santa Monica Pier Corporation
are included in the proposed FY 2018-19 budget in the Housing and Economic
Development Department at account 30626.577300/53160001.540150. There is no
additional financial impact or budget action necessary as a result of the recommended
action.
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Prepared By: Elana Buegoff, Pier Administrator
Approved
Forwarded to Council
Attachments:
A. SMPC FY 2018-19 Budget
B. SMPC FY 2018-19 Work Plan
Santa Monica Pier Corporation Annual Budget
FY2018/2019
Approved Budget Proposed
FY2017/2018 FY2018/2019
Expenses
Facilities ‐ City Refund ‐ Merry Go‐Round $45,000 $50,000
Facilities ‐ City Refund ‐ Pier Deck $150,000 $175,000
Facilities ‐ Staffing, Security & Supplies $50,000 $45,000
Facilities ‐ Pier Shop Ongoing Expenses $24,000 $30,000
People ‐ Wages & Salaries $625,000 $785,000
People ‐ Benefits $150,000 $110,000
People ‐ Office Supplies, Services, Audit, Insurance, Legal $90,000 $75,000
Marketing ‐ Outreach, PR, Advertising $50,000 $70,000
Pier Produced Programming (8 programs) TCS,
Pier 360, Front Porch Cinema, STEAM, ROGA, Sea‐Saw, Save the Pier Play, Pro/Con $1,210,000 $1,041,000
Holiday Installation $80,000
Planning Contingency $85,000 $125,000
Total Expense $2,479,000 $2,586,000
Income
City Funding $728,908 $746,402
Facilities ‐ Event Deck Rental $375,000 $450,000
Facilities ‐ Film Permits $150,000 $175,000
Facilities ‐ Merry Go‐Round Rental $100,000 $110,000
Facilities ‐ Corporate Promotions $100,000 $100,000
Facilities ‐ Pier Shop and Merchandising $24,000 $42,000
Partnerships $1,008,000 $900,000
Food and Beverage Sales $40,000
Licensing and New Revenue $30,000
Registration Fees $15,000
Donations and Grants $10,000
Misc Rentals $5,000
Total Income $2,485,908 $2,623,402
Net Income $6,908 $37,402
2018/2019 Work Plan
This document lays out our strategic work plan for Fiscal Year 2018-2019, the results of which
will not only continue the Santa Monica Pier’s reputation as an iconic public destination in
Southern California, but also creates world-class programming, strengthens our relationship
with key community stakeholders and builds a thriving organization that can take proactive
steps to ensuring a bright future for the Santa Monica Pier.
Though the Pier is approximately the size of a 3 block city street, it houses a theme park, an
aquarium, a trapeze school, an arcade, 8 restaurants, 6 stores, 13 vendor carts, fishing, a 98
year old merry-go-round and 20+ street performers that rotate four times a day. Add to this
year-round free-and-open-to-the-public programming, major branded activations, art
installations and more, and It’s easy to see why the Pier is home to approximately nine million
tourists a year, and why it’s needs are unique and specialized.
To successfully serve all of the above, we’ll be focused on the following strategic priorities:
1.Programming Development
2.Guest Experience
3.Community Relations
4.Organizational Development
5.Sustainability and Advocacy
6.Long Term Strategic Development
The next few pages will break down each item and the specific approaches we will take to
ensure that each is met with the attention it deserves.
We will use 2018-2019 to continue building on the foundation that’s been built over the last 30
years. We understand that 2017-2018 was marked by major transitions for the corporation (a
change in leadership, new board, new staff members, a complete reimagining of not only the
Twilight Concert Series, but of all of our programming), and we know that 2018-2019 needs to
be the year where we start to see the benefits of the changes and investments made.
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Because of this, we are taking additional strides to document and share our progress via a
robust content capturing and sharing, consistent newsletter updates, participation in community
events like Celebrate America and COAST and more.
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Board Members
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SMPC Organization Chart
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STRATEGIC PRIORITIES
1.Programming Development
GOAL: To provide impactful, location-specific programming year round, upholding the pier as a
relevant world-class destination that is free and open to all.
This will be achieved by:
a.Pier-Produced Events: events and experiences that share Santa Monica’s values with
the larger community, showcasing who we are to the world. The events will emphasize
art, education, sustainability, diversity and the importance of an active lifestyle. A full list
of programming can be found at the end of this packet.
b.Co-Produced Events: Where Pier-produced events showcase who we are to the world,
co-produced programming shows our local community what’s happening in the rest of
the world. In doing so, we invite westsiders to engage with culturally-rich experiences
and connect with new communities. Examples of our co-produced programming include:
i.L.A. Opera: A simulcast on our Pier Deck of LA Opera’s season opener.
ii.Smorgasburg: A popular food fair that showcases the best of L.A. cuisine.
iii.Unique LA: A top-tier holiday market featuring hundreds of artisans and artists
from around the world.
iv.Jacob Jonas Dance Company: a weekend of professionally choreographed
dance pieces performed by a diverse group of dancers.
v.DayBreaker: an early morning social gathering for a sober celebration of music,
yoga, dancing and more.
c.Experiential Programming: Events are not the only way we’re bringing people together at
the Pier. We’re also working on experiential programming, including art installations,
Augmented Reality, Virtual Reality, and Mixed Reality experiences, holiday installations,
and more, creating unique and memorable ways to immerse and engage our guests. We
believe this type of programming can foster deeper connections with the Pier’s history,
attracting more locals and set us apart from other tourist destinations.
d. Partnership Development: To continue creating amazing free-and-open-to-the-public
experiences on the Pier, we will foster relationships with new and existing brand partners.
We’ve had success in tapping local and national sponsors to bring to life key event elements,
and in the coming year we’ll look to not only generate increased revenues, but also establish
deeper relationships with key partners (multi- year partners, strategic partners, etc.)
2. Guest Experience
GOAL: To create deeper, meaningful interactions with our guests, cultivating a small-community
feel in a big-community setting.
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This will be achieved by:
a.Pier Shop: Our newly revamped Pier Shop will provide guests with an interactive
shopping experience that will surprise and delight. Our guests will be able to leave with a
fun, stylish, artist-made souvenir package for less than $12 dollars.
b.Expanded Docent Tours: We are training new docents in order to bolster our numbers
and expand our free historical walking tours program to include weekday tours during
our peak summer and holiday seasons.
c.Unique Branded Activations: Our team is working with brands to bring highly-visual and
interactive activations to the Pier central plaza. Using the April 2018 Werther’s
Candyland activation as a template, we’re looking to leverage that success and recreate
the memorable experience with brands like Discovery Channel, Netflix, and more.
d.Merry-Go Round Packages: The fact that you can rent the carousel for parties at a
reasonable price is one of the pier’s best kept secrets, and we are working to expand our
offerings to create a more robust experience (gift packages, storytime, etc.) and market
our efforts.
e.Wayfinding/Beautification projects: Signage on the Pier is due for an update, and we’ll
be working with Office of Pier Management to create clear, aesthetically pleasing,
informative signage, especially during the ever-changing and ongoing construction
efforts.
3. Community Relations
GOAL: To cultivate a supportive, engaging and collaborative presence in the Santa Monica -
and larger Los Angeles - community.
This will be achieved by:
a.Tenant Relations: We will continue to take an active role in all SMPLA meetings and
integrate our tenants in deeper and more meaningful ways throughout all of our
programming. For example: The Twilight Concert series will see major collaborations
with all of our tenants as we create an art-walk style experience for attendees. We will
also support our tenants efforts at tourism conventions, such as IPW.
b.Community Partnerships: We’re sponsoring and participating in events like Celebrate
America and Buy Local’s Most Loved initiative, where we can speak directly to Santa
Monica residents about what’s happening on the pier and support local efforts to bring
the community together.
c.City partnerships: We’ll be partnering on city events like COAST (in tandem with TCS) to
bring added programming and visibility to city-wide activities. We’re also expanding our
overall relationship with the Department of Cultural Affairs, Downtown Santa Monica,
and other local organizations, to increase our cultural impact leveraging shared
resources and knowledge.
d.Newsletters and Social Media: We will continue to send monthly newsletters to our key
stakeholders and interested parties, giving them a behind-the-scenes look at what’s
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happening on the pier and welcome feedback and participation in our programming
when possible. In an effort to add personality and authenticity to our social media
channels, we’ll also be growing three initiatives started spring 2018:
i.#PierPeeps: a weekly photo + caption telling a quick, personal story about a Pier
regular.
ii.#PierPets: a weekly photo + caption of animals seen on the pier and at the
aquarium, in an effort to bring attention to the amazing efforts of long-time Pier
Tenant, Heal the Bay.
iii.#WishYouWerePier: a weekly post that aggregates the best photos taken that
week on the pier, which has proven to increase followers and engagement on our
channels.
4. Organizational Development
GOAL: Optimize a strong team of passionate employees working in a professional,
collaborative and inspiring environment.
This will be achieved by:
a.Employee Handbook Implementation: We updated our Employee Handbook for the first
time in 20+ years in Spring 2018, with many of the policies going into effect in the new
fiscal year, such as employee reviews, clearer policies for sick, vacation and
work-from-home days, and more. 2018-2019 will see a complete implementation of
these policies, further empowering our employees to do great work.
b.Board Development: We’ll be working with a Board Development Coach to give clarity
and direction to our current Board, while simultaneously activating Board/Staff study
groups that will meet year-round on four different focus areas: New Revenue Streams,
Programming and Development, Policies and Operations and Leasing and Long Term
Activations.
c.Internship Opportunities: We’ll be offering an array of new internship opportunities that
will benefit the pier during peak season and give invaluable knowledge to early-career
professionals and students.
d.Office Improvements: Early 2018 saw a major update to our office environment in decor,
working desks and working computers. In the 2018/2019 fiscal year, we’ll tackle stronger
IT management with a new contractor and create an archiving system for memorabilia,
documents, and more.
e.Regular Team-Wide Budget Meetings: Each team members is responsible for a specific
portion of the budget. At least once a month, all team members will gather to share their
numbers, analyze it against our budget goals, and as a team, prioritize our focus so as to
keep pace and increase our revenue.
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5. Sustainability and Advocacy
GOAL: Ensure that the Santa Monica Pier remains on the forefront of current sustainability
efforts and use the Pier platform to inform guests on ways they can make an impact.
This will be achieved by:
a.Experiential Sustainability: Many of our tenants are passionate about becoming green
businesses, and through interactive installations, volunteer opportunities and social
media we can tell this story in interactive, inspiring ways that can increase participation
in these efforts. Examples:
i.Working with the Albright to create a visual installation of all the straws we
DIDN’T use in 2018-2019 and the positive impact that has on our environment.
ii.Hosting a 24 hour “Shark Watch” camera on our website during Shark Week to
bring attention to the amazing conservation efforts by Heal the Bay.
b.Community Collaborations: We will reach out to other Santa Monica based organizations
and initiatives like the Santa Monica Library to see how we can align with their efforts
and create a bigger impact for our community.
c.Voter Registration: With the 2018 midterm elections coming up, we’ll be working with
organizations to provide voter registration sites on the Pier during major events like
Pro/Con, Front Porch Cinema and more.
d.Transportation initiatives: Working with new partners and city partners to develop
strategic plans around more effective transportation solutions in and around the pier:
rideshare, microtransit, etc.
6. Long Term Strategic Development
GOAL: To engage in important discussions and make concrete plans for how we’ll be
approaching future challenges and opportunities.
a.Pier Bridge Development: As the Pier Bridge project continues, we want to ensure we’re
capitalizing on this transition by proposing new ways we can make use of our Pier Deck
incorporate rideshare pick-up and drop-offs, and more.
b.Illegal Vending and Street Performers: We’ll work with City Management’s office to
explore options pertaining to two of our biggest everyday challenges: illegal vending and
how it effects the guest and tenant experience, and how street performers are chosen
and properly managed (ie: Noise levels)
c.Updating Marketing and Event Guidelines: These guidelines need to be reviewed,
revised and resubmitted to the City for adoption.
d.Updating Leasing Guidelines: City Staff recently delegated lease approvals to the Pier
Corporation, triggering the need to revise and resubmit the existing Leasing Guidelines
to reflect that change.
e.Trademark Management: Create and implement up-to-date licensing guidelines.
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SMPC PRODUCED EVENT DESCRIPTIONS:
Pier 360: The world-famous Santa Monica Pier presents Pier 360 Ocean Sport and Beach Festival, the
ultimate celebration of SoCal beach life. Formerly known as the Paddleboard Race & Ocean Festival, Pier
360 will continue the tradition of the elite paddleboard races, ocean swim and Waterman’s museum, and
infuse it with beach volleyball, surfing, skating, immersive arts and more – creating a one-of-a-kind festival
for the whole family. It’s the ultimate party to kick-off summers in Santa Monica!
●June 23 & June 24
ROGA: Run + Yoga = ROGA. ROGA is the free Saturday morning series that just won’t quit. What started as
an experiment to see if Santa Monica wanted free workouts, is now one of our most beloved event! ROGA
is a great community touchpoint that encourages healthy living for people of all levels in a no frills, no
judgment environment. ROGA starts under the iconic Santa Monica Pier sign and ends on the west end of
the Pier with endless views of the Pacific coast. Come get stretchy!
●Saturdays July 14 - August 18 & November 3 - December 8
SEA-SAW: Sea-Saw, an all-new micro event series, will premiere Summer 2018 at the west end of the pier,
in the famous Observation Deck. This recurring series will showcase and celebrate the artists whose work
doesn’t fall neatly in any single category. In this intimate setting, audiences can expect eclectic, bold and
interactive work from new and veteran artists alike.
●Tuesday and Wednesdays July 24 - August 29
PRO/CON at the Pier: 2018 is a big year for politics, and as we head into the Midterm Elections, civil
discourse and informed decision-making are crucial. Whether you’re on the left or right, PRO/CON is for
you. The non-partisan debate series is designed to better inform the public on ballot measures and current
issues impact Santa Monica, Los Angeles, California and the United States. ProCon.org enlists experts from
both sides of the issue and a neutral moderator to facilitate discussion and reinvigorate the art of critical
thinking. PRO/CON will also provide voter registration on-site, so there’s no excuse to not engage!
●August TBD
Twilight Concert Series: A weekly festival as iconic as the Pier itself. The beloved Twilight Concert Series
is back for the 34th consecutive year in a new season - fall! High summer extends to Wednesday nights in
September and October, continuing the long-standing tradition of celebrating classic and contemporary
artists in Santa Monica. This year, TCS will spotlight the best and brightest SoCal has to offer and the
unique artists from around the world - a truly "Local Meets Global" event. The premier, free outdoor concert
series in SoCal is like a festival every week - complete with immersive art, notable food offerings, a wine
and beer garden, games and interactive activations.
●Wednesdays, September 5 - October 3
●FINALE Sunday October 7
Front Porch Cinema: Grab a chair, your favorite theater candy and a movie-inspired costume for Front
Porch Cinema, LA’s premier free outdoor movie series. We’re getting into the Halloween spirit with
costume week on the Pier, including 5 nights of flicks under the Santa Monica stars. Front Porch Cinema
features a mix of high-brow, low-brow and family friendly titles (all with costume-ready characters), ensuring
a healthy audience with a touch of cultural elevation. Culinary offerings, pre-show DJ’s, a wine lounge,
giveaways and on-site experiences make FPC nights unforgettable.
●October 17 - 21
Holiday at the Pier: For some the holidays mean snowflakes and hot chocolate, but in Santa Monica it
means surfboards, flip flops and strolls along the Pier! This year we’re getting extra festive with immersive
art installations and photo-ready experiences to make Holidays in Santa Monica a wonderland of its own.
●Thanksgiving weekend-January 2nd
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Santa Monica Public Theater: Santa Monica Public Theatre, founded by Tony Award-winning actor and
long-time Santa Monica resident Paul Sand, brings a unique theatrical experience to an extraordinary
venue. The iconic Pier boasts the perfect backdrop for bringing to life compelling and little-known stories
about the Santa Monica community and its members. The Santa Monica Public Theater exposes stories
about the neighborhoods rich past and ensures the future of the community shines bright for years to
come. Past performances have included Save the Pier and Illegal Start.
●Save the Pier: Weekends Feb 10 - March 31
●An Illegal Start: April 20, 21 & 22
STEAM Machines/Innovation Festival: S.T.E.A.M. stands for Science, Technology, Engineering, Arts and
Mathematics and is part of a larger White House-backed education initiative to bridge the gap between
educational practices and the real world needs of the business community today. Focusing on students,
parents, educators and organizations, S.T.E.A.M. Machines is an innovation festival of workshops,
exhibitions, rube goldberg machines, new robotics demos, hackathons, and more connecting education
and the power of exploration, observation and creativity to real world careers.
●TBD
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