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CC - (1) Consideration of Direct Financial Assistance in the Amount of $30,000; Fire, Police, Public Works, and Transportation Department In-Kind Staff Support; and Waiver of the Banner Application Fee for the 51st 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 51st Annual 4th of July Fireworks Show as a City-Sponsored Event; and (3) Approval of a Related Memorandum of Understanding.
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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) John Cohn/Exchange Club; Meetings and Agendas - City Council (06/07/17);
Department Approval: John M. Nachbar (06/06/17)
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RECOMMENDATION
Staff recommends the City Council consider (1) approving direct financial assistance in the amount of $30,000; Fire, Police, Public Works, and Transportation Department in-kind staff support; and waiver of the Banner Application fee for the 51st Annual 4th of July Fireworks Show charitable fundraising event (2017 Event) produced by the Exchange Club of Culver City (Exchange Club), a Non-Profit Organization, to be held on the Campus of West Los Angeles College (WLAC); (2) designating the 2017 Event as a City-sponsored event; and (3) approving a related memorandum of understanding (MOU).
BACKGROUND
On June 13, 2016, the City Council took the following action:
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
6. Determine whether to appropriate $30,000 in the proposed Fiscal Year 2016/2017 Budget toward the 2017 4th of July Fireworks Show.
Subsequently, on July 4, 2016, the Exchange Club conducted a Fireworks Show at West Los Angeles College (WLAC). City staffing services were provided at the event. The City also purchased special event liability insurance coverage in the amount of $2,717.
DISCUSSION
In the attached letter and accompanying budget, the Exchange Club requests the City Council consider its request for sponsorship of the 2017 Event (Attachment) to be held once again at WLAC. The City has traditionally provided a $24,000 cash, and last year the Exchange Club requested the City Council increase the sponsorship amount to $30,000 for the 2017 Fireworks Show. The Exchange Club states that it is planning to produce a more spectacular fireworks display in honor of the City’s Centennial Celebration period. Because last year’s item was on the consent calendar, there was no specifically identifiable Council action regarding the $30,000. Therefore, the same $24,000 figure is what ended up in the FY 2016-17 budget. However, the Exchange Club understood approval of that item to mean approval of the $30,000.
Unless the City Council should provide alternative direction, staff is prepared to release the amount of $30,000 to the Exchange Club. Providing this amount to the Exchange Club for the 2017 Event would meet the $1,000 minimum amount required for City-sponsorship (as outlined in more detail below).
The Fire, Police, Public Works, and Transportation Departments have indicated their availability to staff the 2017 Event. In kind City costs for staffing, the banner permit application fee, and temporary bus stop and routing modifications total $15,637. Additionally, staff estimates a cost of approximately $2,717 for special event liability coverage for the 2017 Event.
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 $30,000 in funds for the fireworks display, $16,183 for the special event insurance and in-kind staff support for the 2016 Event.
Should the 2017 Event receive City-sponsorship, the Exchange Club will be required to list the City as a sponsor of the 2017 Event in all promotional materials.
Sponsorship MOU
If financial assistance is approved and the 2017 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 2017 Event insurance policies.
FISCAL ANALYSIS
A $24,000 City contribution is currently appropriated in the City Council Adopted Budget for Fiscal Year 2016/2017. There are sufficient available appropriations to increase that amount by $6,000. The City Council is being requested to approve the payment of $30,000 in direct financial assistance for the fireworks for the 4th of July event for 2017.
ATTACHMENT
1. 2017-06-12 - ATT Letter dated May 18, 2017 from the Exchange Club and Budget
RECOMMENDED MOTIONS
That the City Council:
1. Determine whether to provide $30,000 in direct financial assistance and in-kind staff support and other City costs in the amount of $16,183 to the Exchange Club of Culver City Charitable Foundation, Inc. for its 4th of July event on July 4, 2017 at WLAC; and,
2. (If at least $1,000 in support is provided) designate the 51st 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.