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CC - (1) Consideration of Direct Financial Assistance in the Amount of $24,000 and Fire, Police and Public Works Department In-Kind Staff Support to the 50th Annual 4th of July Fireworks Show Charitable Fundraising Event Produced by the Exchange Club of Culver City, a Non-Profit Organization, to be Held on the Campus of West Los Angeles College; (2) Consideration of Designation of the 50th Annual 4th of July Fireworks Show as a City-Sponsored Event; (3) Approval of a Related Memorandum of Understanding; and Consideration of the Exchange Club’s Request to Appropriate $30,000 in the City’s Fiscal Year 2016-2017 Budget Toward the 2017 4th of July Event.
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Contact Person/Dept: Shelly Wolfberg/City Manager’s Office
Phone Number: 310-253-6000
Fiscal Impact: Yes [X] No [] General Fund: Yes [X] No []
Public Hearing: [] Action Item: [X] Attachments: Yes [X] No []
Commission Action Required: Yes [] No [X]
Commission Name:
Public Notification: (E-Mail) Jay Shery/Exchange Club; Meetings and Agendas - City Council (06/08/16);
Department Approval: John M. Nachbar (06/07/16)
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RECOMMENDATION
Staff recommends the City Council (1) consider providing direct financial assistance in the amount of $24,000 and Fire, Police and Public Works in-kind staff support to the 50th Annual 4th of July Fireworks Show (2016 Event) produced by the Exchange Club of Culver City (Exchange Club); (2) consider designating the 2016 Event as a City-sponsored event; (3) approval of a related memorandum of understanding (MOU); and (4) consider the Exchange Club’s request to appropriate $30,000 in the City’s Fiscal Year 2016-2017 Budget toward the 2017 4th of July event.
BACKGROUND
On July 4, 2015, the Exchange Club conducted a Fireworks Show at West Los Angeles College (WLAC). City staffing services were provided at the event. The Public Works Department indicated that its costs were minimal and had no concerns if the 2016 Event was held at WLAC again this year. The Fire Department indicated that a paramedic unit was on hand last year and the expense to have it on standby was approximately $1,800. The Police Department indicates that police services totaled $9,112 last year. The City also purchased special event liability insurance coverage in the amount of $2,717.
On May 26, 2015, the City Council took the following action:
MOVED BY COUNCIL MEMBER COOPER, SECONDED BY COUNCIL MEMBER CLARKE AND UNANIMOUSLY CARRIED, THAT THE CITY COUNCIL:
1. PROVIDE $24,000 IN DIRECT FINANCIAL ASSISTANCE AND IN-KIND STAFF SUPPORT, (APPROXIMATELY $8,500), TO THE EXCHANGE CLUB OF CULVER CITY CHARITABLE FOUNDATION, INC. FOR ITS 4TH OF JULY EVENT ON FRIDAY, JULY 4, 2015 AT WLAC; AND,
2. DESIGNATE THE 4TH OF JULY FIREWORKS SHOW AS A CITY-SPONSORED EVENT.
DISCUSSION
In the attached letter, the Exchange Club requests the City Council consider its request for sponsorship of the 2016 Event (Attachment 1) to be hosted once again by WLAC (Attachment 2). The City has traditionally provided a $24,000 cash contribution to this event, and this amount is currently budgeted for the 2016 Event. The Exchange Club also requests the City Council increase the sponsorship amount to $30,000 for the 2017 Fireworks Show in the Fiscal Year 2016/2017 Budget. The Exchange Club states it wants to produce a more spectacular fireworks display in honor of the City’s Centennial Celebration period.
Unless the City Council should provide alternative direction, staff is prepared to release the budgeted amount of $24,000 to the Exchange Club. Providing this amount to the Exchange Club for the 2016 Event would meet the $1,000 minimum amount required for City-sponsorship (as outlined in more detail below).
By way of additional background, at the April 13, 2015 City Council Meeting (during consideration of a request for sponsorship) the City Council stated, “future requests for City sponsorship be accompanied by financial data from the requesting group.” In accordance with this direction, staff has provided the Exchange Club with a reminder of the above request.
The Fire, Police, Public Works have indicated their availability to staff the 2016 Event. The Police Department anticipates a cost of $9,112 for its services related to its Traffic Detail and Fireworks Enforcement Units. The Fire Department anticipates a cost of $1,800 for its Paramedic Unit. Staff estimates a cost of approximately $2,800 for special event liability coverage for the 2016 Event.
Additionally, the Exchange Club is not requesting additional Culver CityBus services for the 2016 Event. Further, Culver CityBus Lines 1, 3, and 6 all connect with Expo Stations and will be operational on July 4th. Line 3 provides direct connection with the West LA College, the Veterans Memorial Building, and Westfield Culver City. People coming from the downtown Culver City area or anywhere along Washington Boulevard can also take Line 1 to connect to Line 3 to get to the event. Similarly, people around the Sepulveda Boulevard area can take Line 6 to connect to Line 3 to get to the event.
City-Sponsored Designation
To become City-sponsored, events need to be specifically designated as a City-sponsored event by the City Council. As part of such City-sponsorship, event producers would be eligible to post banners in the public right-of-way promoting the sponsored event. To be categorized as a “sponsored” event by the City, an event must meet the criteria set forth in Culver City Municipal Code (CCMC) Section 17.330.040.B.7.b.ii., confirming that the City is (a) participating in an official capacity in the planning, preparation or promotion of the event or activity; and (b) contributing 25% of the total estimated costs of the civic event or activity or at least $1,000, whichever is less. This contribution may take the form of funds, labor, staff time, materials, a waiver of fees, or any combination thereof. The CCMC requires both (a) and (b) conditions be satisfied. Additionally, in order for an event to be considered city-sponsored, the City Council must determine, by specific action, that the above criteria have been met.
Should the City Council determine to provide the financial assistance and in-kind staff support, then the event may be designated a City-sponsored event. If the Exchange Club wishes to post banners in the public right-of-way, they will be required to include the City’s logo on the banners as a sponsor. If approved by the City Council, the City would be contributing $24,000 in funds and at least $10,912 in in-kind staff support for the 2016 Event.
Should the 2016 Event receive City-sponsorship, the Exchange Club will be required to list the City as a sponsor of the 2016 Event in all promotional material.
Sponsorship MOU
If financial assistance is approved and the 2016 Event is designated as a City-sponsored event, the City and Exchange Club will execute an MOU setting forth the terms and conditions of sponsorship, including financial assistance, in-kind staff support, use of banners, requirement to include City in promotional materials, and the requirement to name the City as an additional insured on the 2016 Event insurance policies.
FISCAL ANALYSIS
The $24,000 City contribution is already appropriated in the City Council Adopted Budget for Fiscal Year 2015/2016. Should the City Council determine to maintain the same arrangement as approved by the City Council in 2015 for the fireworks show, in-kind costs for staff would continue to be absorbed by the City. The City Council is being requested to consider $30,000 be included in the Fiscal Year 2016/2017 Budget for the 4th of July event for 2017
ATTACHMENTS
1. Letter dated March 13, 2016 from the Exchange Club
2. Letter dated June 2, 2016 from West Los Angeles College
RECOMMENDED MOTIONS
That the City Council:
1. Determine whether to provide $24,000 in direct financial assistance and Fire, Police and Public Works Department in-kind staff support in the amount of $10,912 to the Exchange Club of Culver City Charitable Foundation, Inc. for its 4th of July event on Friday, July 4, 2016 at WLAC; and,
2. (If at least $1,000 in support is provided) Designate the 50th Annual 4th of July Fireworks Show as a City-sponsored event; and
3. Approve a related Memorandum of Understanding; and
4. Authorize the City Attorney to review/prepare the necessary documents; and
5. Authorize the City Manager to execute such documents on behalf of the City; and
3. Determine whether to appropriate $30,000 in the proposed Fiscal Year 2016/2017 Budget toward the 2017 4th of July Fireworks Show.