AgdaPkt 2014-06-23 Closed and Joint SA

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7.1.D. - Page 1 REPORT To the Honorable Mayor and City Council From the City Manager June 23, 2014 SUBJECT Live Performance Agreement between the City of Redwood City and Zoppe Circus RECOMMENDATION Approve by motion the Live Performance Agreement between the City of Redwood City and Zoppe Circus; and confirm determination that the agreement is exempt from CEQA. BACKGROUND Since 2008, the City of Redwood City has presented Zoppe Circus. The addition of a family friendly program at the end of October helped to extend the season of events, and provided an incredible draw to Redwood City. The Parks, Recreation and Community Services (PRCS) staff worked alongside a consultant (Labadie Productions) to host and coordinate the operations for Zoppe Circus. The inaugural year of the Circus realized a net loss of $35,927 for one week of performances. However, we received rave reviews, sold over 3,000 tickets and knew that with some modifications, we could eventually turn a profit. In 2010, with two weeks of performances and almost 7,000 tickets sold, PRCS staff was able to take over management of the Circus and cover the entire costs of the circus. Since that time, PRCS has been able to realize a profit each year, and in 2013 had a net profit of over $25,000. Also in 2013, the Circus was relocated to Red Morton Park due to the construction occurring in Downtown. Reviews from attendees and neighbors were positive with the new location being loved by all for its ease to walk to and the ambiance of the park. ANALYSIS Staff is recommending to continue the circus at Red Morton Park, and to enter into a Live Performance Agreement between the City and Zoppe for $115,183. The Circus is proposed to be held for 3 weekends this year, reflecting the success of the performances as increasing ticket sales are leaving little room in capacity. With the continued use of the ticket pricing structure, with lower rates for midweek performances and higher rates for traditionally filled weekend performances, we expect to maximize revenue to ensure that all costs are covered. Staff has analyzed the parks proposed sporting events during this time period and finds no conflicts. The realization of profit from ticket sales is one of several revenue streams identified through our Downtown Events Sustainability Plan.