SR 02-26-2019 3H
City Council
Report
City Council Meeting: February 26, 2019
Agenda Item: 3.H
1 of 3
To: Mayor and City Council
From: Andy Agle, Director, Housing and Economic Development, Economic
Development Division
Subject: Memorandum Of Understanding for 2019 Soulstice Festival
Recommended Action
Staff recommends that the City Council authorize the City Manager to negotiate and
execute a Memorandum of Understanding with the Main Street Business Improvement
Association to co-produce the 2019 Summer Soulstice festival.
Summary
The Summer Soulstice festival (Soulstice) is an annual community event th at the Main
Street Business Improvement Association (MSBIA) launched in 2001 to showcase the
local businesses in the Main Street commercial district. For the second year in a row,
Main Street will be closed to vehicles for the Soulstice festival. Staff recommends
entering into a Memorandum of Understanding (MOU) with MSBIA to co -produce the
2019 Soulstice festival and define the roles, responsibilities , and financial contributions
of each party.
Discussion
The MSBIA has produced the Soulstice festival, an annual, free, one-day, live-music
event, since 2001. The summer event was organized to celebrate Main Street’s
businesses, attract residents and visitors to the area, and expand the entertainment
offerings provided at the Sunday Main Street Farmers Marke t. The event brings vitality
to the street, offers the community an opportunity to enjoy free, live musical
entertainment in an outdoor setting, and provides an economic boost to the retailers and
restaurants on Main Street. The 2019 Soulstice will feature live bands, a sidewalk sale
by Main Street merchants, 150 vendor booths in the street, and beer and wine gardens
in private parking lots.
2 of 3
For the first time in its history, the 2018 Soulstice festival included the closure of a
portion of Main Street to vehicular traffic, from Pico Boulevard to Ocean Park Boulevard.
The street closure expanded the capacity for public participation in the event and
allowed for additional activation of the area. The street closure was a success and
MSBIA proposes for the 2019 Soulstice festival to extend the closure of Main Street
from Pico Boulevard to Pier Avenue, from 9:00 AM to 9:00 PM on June 23, 2019 to
provide an expanded closed street environment, increase the number of exhibitors and
activity areas, and better integrate the north and south sections of the commercial
district. The Ocean Park Association has expressed its support of the extended street
closure.
Staff recommends that the City enter into an MOU with MSBIA to co-produce the 2019
Soulstice festival, proposed to be held on June 23, 2019. Under the terms of the
proposed MOU, MSBIA would assume responsibility for organizing and managing the
event, as well as obtaining all appropriate permits. MSBIA would also be responsible for
contracting with an event promoter and musical acts, securing the event space on
private property, contracting with vendors and sponsors, and raising all the funds
necessary to support the event, which is estimated to cost approximately $110,000.
The City would be responsible for providing oversight and coordination of the City’s
permitting process, granting access to the street banner on Main Street, coordinating
the City’s social media promotion of the event, and fee waivers and reductions. Staff
anticipates that the amount of indirect City support for the 2019 Soulstice will be higher
than in 2018 due to the increased expenses associated with the extended street
closure. In addition to indirect support, the City is expected to provide $26,000 in direct
financial assistance to support the event costs, including $1,000 from the Buy Local
program budget and $25,000 from Council Discretionary Funds ($8,000 appropriated
June 12, 2018 and $17,000 appropriated January 22, 2019).
Past Council Actions
3 of 3
Meeting Date Description
02/28/17
(attachment A)
Authorization to enter into a MOU with MSBIA to co-produce
the 2017 Soulstice festival
05/08/18
(attachment B)
Authorization to enter into a MOU with MSBIA to co-produce
the 2018 Soulstice festival
Financial Impacts and Budget Actions
Staff seeks authority to enter into an MOU with MSBIA to co-produce the 2019 Soulstice
festival. The indirect costs associated with the event, including fee waivers, fee
reductions, and in-kind staff time, are funded from various City department budgets,
including Housing and Economic Development, Community and Cultural Services,
Police, and Fire. The City’s direct financial contribution is $26,000.
MOU Request
Request Amount FY 2018-19 Department / Account # Total MOU Amount
$17,000 Council / 01100001.532330.12012 $17,000
$ 8,000 Council / 01100001.532330.12002 $ 8,000
$ 1,000 HED / 01160004.537040 $ 1,000
Total $26,000
Prepared By: Erika Cavicante, Senior Development Analyst
Approved
Forwarded to Council
Attachments:
A. Council Rpt 02.28.2017 - Staff Report
B. Council Rpt 05.08.2018 - Staff Report
City Council
Report
City Council Meeting: February 28, 2017
Agenda Item: 3.E
1 of 4
To: Mayor and City Council
From: Andy Agle, Director, Housing and Economic Development, Economic
Development Division
Subject: Memorandum of Understanding with Main Street Business Improvement
Association
Recommended Action
Staff recommends that the City Council authorize the City Manager to negotiate and
execute a one-year Memorandum of Understanding with the Main Street Business
Improvement Association to co-produce the 2017 Summer SOULstice event.
Executive Summary
Staff requests Council authorization to enter into a Memorandum of Understanding
(MOU) with the Main Street Business Improvement Association (MSBIA) to co-produce
the organization’s 2017 annual Summer SOULstice festival, to be held on
June 25, 2017. Beginning in 2011, the City has provided funding and staffing
assistance to MSBIA for the event’s production. An MOU is recommended to formalize
the co-production relationship and to outline a clear understanding of responsibilities
and expectations between MSBIA and the City.
Background
The Main Street Business Improvement Association (MSBIA) has held the Summer
SOULstice festival (SOULstice), an annual, free, one-day, live-music-based event,
since 2001. The event features bands on stages located on several closed streets
along Main Street’s commercial district, as well as an accompanying sidewalk sale by
Main Street merchants, and, in some years, an entertainment area for children. The
summer event began as a way to celebrate Main Street’s businesses, attract residents
and visitors to the area, and provide entertainment to visitors of the Sunday Main Street
Farmers Market. The one-day event brings vitality to the street, offers the community
an opportunity to enjoy a diversity of live bands in an outdoor setting, and provides an
economic boost to the retailers and restaurants on Main Street. The Main Street
commercial district begins at Pico Boulevard to the north and extends to the southern
city boundary, just south of Marine Street.
2 of 4
For many years, the MSBIA’s Executive Director and the organization’s board members
have solely produced and financed the one -day Summer SOULstice event.
As production costs and administrative responsibilities have risen over time, MSBIA has
sought board members to help with the administrative duties and spon sors to help offset
the expenses.
Beginning in FY 2011-12 and annually thereafter, Council has allocated discretionary
funds to support events organized by the business improvement districts (BIDs) that
include MSBIA, as well as the Pico Boulevard Business Improvement District and the
Montana Avenue Business Improvement District. The Downtown Santa Monica Inc. BID
does not participate in the discretionary funding allocation since they are also organized
as a property-based assessment district. MSBIA has used the discretionary funds to
cover the City’s fees related to the production of the SOULstice event. The amount of
Council discretionary funds allocated to MSBIA has varied each year. The City
provided $2,500 in FY 2011-2012, $3,750 in FY 2012-13, and $7,000 in FY 2013-14.
In FY 2014-15, the amount of discretionary funding was reduced to $4,000 because the
City was able to reduce Police and Fire staffing costs associated with the event.
In FY 2015-16, the City provided $7,000 to MSBIA in Council discretionary funds and
committed to provide $7,000 to MSBIA and each of the other BIDs in FY 2016-17.
In 2011, the City’s Buy Local program began providing partnership grant funds to the
three BIDs of up to $1,500 annually. MSBIA has primarily used the Buy Local grant to
help fund some of the Summer SOULstice marketing and promotion costs, as the event
helps promote the Buy Local program.
Additionally, the City established an Event Partnerships Administrative Instruction (AI)
in 2015 that specified conditions and requirements for City sponsorship and co-
production of community events. The AI authorizes the City to partner with
organizations to provide funds, fee waivers, and use of City staff time for planning and
implementation of qualified events. The value of the sponsorship or co-production
varies. The City co-produced the 2015 SOULstice, and MSBIA received approximately
3 of 4
$13,604 in City support comprised of the Council discretionary funds, Buy Local funds,
fee waivers, fee reductions, and in-kind staff time. The City also co-produced the 2016
SOULstice, and MSBIA received $16,823 in City support which included allowing for an
over-the-street banner, promotion of the event via the City’s social media outlets, fee
waivers, fee reductions, and additional City fees associated with public safety staffing
requirements. The value of the City resources provided to MSBIA is based on the actual
cost of City fees and staff time. While the City was considered a co -producer for both
the 2015 and 2016 SOULstice events, both events were processed by the Community
and Cultural Service events program and there was no MOU in place.
Discussion
MSBIA requests that the City co-produce its Summer SOULstice for June 25, 2017, as
well as allow for the closure of Main Street to support the event. Staff seeks to
formalize the co-producing relationship with MSBIA for the 2017 SOULstice by entering
into a MOU that would outline the scope of the event, responsibilities of each party, and
the City support. Staff anticipates the amount of City support for the 2017 SOULstice to
be approximately the same as what was provided in 2016. The MOU would assign
MSBIA with the responsibility for obtaining all appropriate permits, as well as organizing
and managing the event. The City would be responsible for providing oversight and co-
ordination of the City’s permitting process, access to the street banner, access to the
City’s social media outlets for promotion of the event, fee waivers, fee reductions , and
$8,500 in direct financial assistance to support the event.
MSBIA has been interested in closing Main Street in conjunction with SOULstice for
some time. Due to the success of last year’s open-street events, Coast, MSBIA
requested the City permit the closure of Main Street for 2017 SOULstice. Staff
determined that a variety of internal policies and requirements would need to be
addressed in order to permit the closure of Main Street and that there was insufficient
time to do so prior to the 2017 event. The closure of Main Street would be expected to
expand the capacity for public attendance to the event, which could increase
sponsorships, marketing exposure for the Main Street commercial district, and
4 of 4
activation of the area. However, the closure of Main Street also increases the costs of
staging the event including public safety and traffic control requirements. MSBIA would
be required to address the street closure requirements for Main Street in order to
facilitate the street closure; however, staff is committed to working with MSBIA to plan
for and address issues that would allow for the closure of Main Street for the 2018
SOULstice.
Financial Impacts and Budget Actions
Funds in the amount of $8,500 to support the event are available in the FY 2016-17
budget in the City Council and Housing and Economic Development Departments at
accounts 01201.57900C and 012681.522340, respectively. Indirect costs associated
with fee waivers, fee reductions and in-kind staff time are included and funded from
various budgets, including Housing and Econom ic Development, Community and
Cultural Services, Police, and Fire.
Prepared By: Erika Cavicante, Senior Development Analyst
Approved
Forwarded to Council
City Council
Report
City Council Meeting: May 8, 2018
Agenda Item: 3.F
1 of 6
To: Mayor and City Council
From: Andy Agle, Director, Housing and Economic Development, Economic
Development Division
Subject: Memorandum of Understanding for 2018 Soulstice Event
Recommended Action
Staff recommends that the City Council authorize the City Manager to negotiate and
execute a Memorandum of Understanding with the Main Street Business Improvement
Association to co-produce the 2018 Summer Soulstice event.
Executive Summary
The Summer Soulstice festival is an annual community event that the Main Street
Business Improvement Association (MSBIA) has held since 2001 to showcase the Main
Street commercial district. The event attracts approximately 7,000 to 10,000 local and
regional attendees to hear live music and to experience the businesses along the one-
mile business corridor. Beginning in 2011, the City has provided funding and staffing
assistance to MSBIA for the event’s production. Staff recommends a memorandum of
understanding to define the roles, responsibilities, and contributions of each party.
For the first time in its history, the 2018 Soulstice festival proposes to close a portion of
Main Street to vehicle traffic. Starting at Pico Boulevard and extending south to Ocean
Park Boulevard, the street would be closed from 10:00 AM to 9 :00 PM. The street
closure would not only expand the capacity for public participation in the event, it would
also allow for additional activation of the area. The proposed street closure also
increases the costs for staging the event, especially in the areas of public safety and
traffic control. While MSBIA is working to raise additional funding for the event through
increased sponsorships and vendors, a funding gap is anticipated. At its April 10, 2018
meeting, Council allocated an additional $14,000 of its discretionary funds to MSBIA to
help offset the additional public safety expense.
2 of 6
Background
The Main Street Business Improvement Association (MSBIA) has produced the
Summer Soulstice festival (Soulstice), an annual, free , one-day, live-music event,
since 2001. The event features bands on stages located on several closed side streets
along Main Street, as well as an accompanying sidewalk sale by Main Street
merchants, and, in some years, an entertainment area for children. The summer event
was organized to celebrate Main Street’s businesses, attract residents and visitors to
the area, and expand the entertainment offerings provided at the Sunday Main Street
Farmers Market. The event brings vitality to the street, offers the community an
opportunity to enjoy free, live musical entertainment in an outdoor setting, and provides
an economic boost to the retailers and restaurants on Main Street. The Main Street
commercial district begins at Pico Boulevard to the north and extends to the southern
City boundary, just south of Marine Street.
For many years, MSBIA’s Executive Director and the organization’s board members
solely produced and financed the one-day Summer Soulstice event. As production
costs and administrative responsibilities have risen over time, MSBIA has sought
participants to help with the administrative duties, as well as sponsors and vendors to
help offset the expense.
Beginning in FY 2011-12 and annually thereafter, Council has allocated discretionary
funds to support events organized by the business improvement districts (BIDs) that
include MSBIA, as well as the Pico Boulevard and Montana Avenue districts.
Downtown Santa Monica, Inc. does not participate in the discretionary funding allocation
since it is primarily organized as a property-based assessment district. MSBIA has
used the discretionary funds to cover the City’s fees related to the production of the
Soulstice event. The amount of Council discretionary funds allocated to MSBIA has
varied each year. The City provided $2,500 in FY 2011-12; $3,750 in FY 2012-13, and
$7,000 in FY 2013-14. In FY 2014-15, the amount of discretionary funding was reduced
to $4,000 because the City was able to reduce Police and Fire staffing costs associated
with the event. In FY 2015-16 and FY 2016-17, Council provided $7,000 in
3 of 6
discretionary funds to MSBIA and to each of the other BIDs. For FY 2017-18, the City
has increased the amount each of the three BIDs receives to $8,000.
In 2011, the City’s Buy Local program began providing partnership grant funds to the
three BIDs of up to $1,500 annually. MSBIA has primarily used the Buy Local grant to
help fund some of the Summer Soulstice marketing and promotion costs, as the event
helps promote the Buy Local program.
In 2015, the City established an Event Partnership Administrative Instruction (AI) that
specified conditions and requirements for City sponsorship and co -production of
community events. The AI authorizes the City to partner with organizations to provide
funds, fee waivers, and use of City staff time for planning and implementation of
qualified events. The value of the sponsorship or co-production varies. The City co-
produced the 2015 Summer Soulstice event and MSBIA received approximately
$13,604 in City support, comprised of Council discretionary funds, Buy Local funds, fee
waivers, fee reductions, and in-kind staff time to contribute to the event’s total expense
of approximately $32,000. The City also co-produced the 2016 Soulstice festival, and
MSBIA received $16,823 in City support, which included allowing for an over-the-street
banner, promotion of the event via the City’s social media outlets, fee waivers, fee
reductions, and additional City fees associated with public safety staffing requirements ,
to help offset the total event expense of approximately $40,000. The value of the City
resources provided to MSBIA is based on the actual cost of City fees, as well as staff
time. While the City was considered a co-producer for both the 2015 and 2016 Soulstice
events, both events were processed by the Community and Cultural Service events
program and no MOU was executed.
At its February 28, 2017 meeting, Council authorized staff to enter into a MOU with
MSBIA to co-produce the 2017 Soulstice festival (Attachment A). MSBIA received
$19,313 of City support in the form of expense reimbursement, in -kind staff assistance,
and some fee waivers to contribute towards the total event expense of approximately
$66,000. The City’s increased support in 2017 was primarily due to a change in the
City’s parking-rate structure for reserving spaces in the City parking lots.
4 of 6
The Soulstice festival is a signature event for MSBIA and the Main Street commercial
district. The City has historically welcomed the opportunity to co-produce the event
because it aligns with several City’s goals. For example, the event draws a broad
audience that includes both locals and regional visitors of all ages. The festival also
brings the community together and creates a sense of connection where attendees can
gather and socialize. In addition, the event allows attendees to explore Main Street
stores and restaurants, and encourages spending locally, thereby supporting Economic
Opportunity.
Discussion
For several years, MSBIA has been interested in the closure of Main Street in
conjunction with Soulstice in order to expand the event program area and increase
pedestrian circulation. Due to the success of COAST, the open -streets event the City
produced in 2016 and 2017, MSBIA requested the closure of Main Street for the 2017
Soulstice. Staff determined that a variety of internal policies and requirements would
need to be addressed in order to permit the closure of Main Street and that there was
insufficient time to do so prior to the 2017 event. While evaluating the clo sure of Main
Street from Pico Boulevard to the southern City boundary for the 2018 Soulstice,
a closure of Main Street from Pico to Ocean Park Boulevard was agreed upon between
staff and MSBIA. The 2018 Soulstice festival will be held on June 24, 2018. Main
Street will be closed to vehicle traffic beginning at Pico Boulevard, and extending south
to Ocean Park Boulevard from 10:00AM to 9:00PM. The street closure allows for
additional activations, and it will provide attendees a new way to interact and exp erience
the businesses along Main Street. The Ocean Park Association expressed their
support for the closure of Main Street as part of the 2018 Soulstice.
The street closure also increases the costs for staging the event because of the
increased requirements for public safety and traffic control. For 2018’s Soulstice, water
barricades will be required at a cost of approximately $15,000; the costs for fire and
medical personnel is estimated at $7,800, an increase of $6,500 from the 2017
Soulstice; and additional traffic control and police cost is estimated at $5,100, an
5 of 6
increase of $2,200 from 2017. The public safety expenses add up to a total of $27,900
in production costs, an increase of $23,700 over 2017’s costs.
While MSBIA has been working to offset the increased costs by increasing the number
of sponsors and vendors, at its April 10, 2018 meeting, Council allocated an additional
$14,000 in discretionary funds to help with the additional public safety and traffic control
expenses. For FY 2017-18, MSBIA will receive a total of $22,000 in Council
discretionary funds, reflecting $14,000 allocated on April 10, 2018 and $8,000 allocated
for FY 2017-18.
Staff recommends that the City enter into a memorandum of understanding (MOU) with
MSBIA to co-produce the 2018 Soulstice festival being held on June 24, 2018. This is
the second year the City will formalize its co-production of the event by entering into an
MOU with MSBIA that would outline the scope of the event, responsibilities of each
party, and City support. Staff anticipates that the amount of City support for the 2018
Soulstice will be higher than what was provided in 2017 due to the increased expenses
associated with the street closure. The MOU would assign MSBIA with the
responsibility for obtaining all appropriate permits, as well as organizing and managing
the event. The City would be responsible for providing oversight and coordination of the
City’s permitting process, access to the street banner on Main Street, coordination of
the City’s social media promotion of the event, fee waivers, fee reductions, and $23,500
in direct financial assistance to support the event. MSBIA would be responsible for
contracting with an event promoter, musical acts, securing the event space on private
property, contracting with vendors and sponsors, and managing the event expenses,
which are estimated at $71,500.
Financial Impacts and Budget Actions
Funds in the amount of $23,500 to support the event are available in the FY 2017 -18
budget in the City Council and Housing and Economic Development Departments at
accounts 01201.579002 ($22,000) and 012681.522340 ($1,500), respectively. The
indirect costs associated with the event, including fee waivers, fee reductions , and in-
kind staff time, are funded from the various City department budgets, including Housing
6 of 6
and Economic Development, Community and Cultural Services, Police , and Fire.
Prepared By: Erika Cavicante, Senior Development Analyst
Approved
Forwarded to Council
Attachments:
A. MSBIA MOU for Soulstice 2017 Council Meeting 02.28.2017 - Staff Report
B. MSBIA Oaks Initiative 05. 2017
REFERENCE:
MOU No. 10810
(CCS)