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MAYOR & COMMON COUNCIL AND
COMMUNITY DEVELOPMENT COMMISSION
MEETING BACKUP
MEETING DATE: 12/18/06
DEPUTY: Linda Hartzel
ITEM NO. STATUS
]9 Continued to January 8, 2007
R27 Continued to January 22,2007
32 Ordinance laid oyer to January 8, 2007
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CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION
Date: December 5, 2006
Subject: RESOLUTION OF THE MAYOR
AND COMMON COUNCIL OF THE CITY
OF SAN BERNARDINO AUTHORIZING
THE MAYOR TO EXECUTE A
MANAGEMENT SERVICES AGREEMENT
BETWEEN THE CITY OF SAN BERNARDINO
AND FOR THE GAME, LLC TO PROVIDE
MANAGEMENT SERVICES AT THE SAN
BERNARDINO SOCCER COMPLEX FOR
THE PERIOD OF JANUARY I, 2007
THROUGH DECEMBER 31, 2012.
From: Lemuel P. Randolph, Director
Dept: Parks, Recreation &
Community Services Dep!.
MICC Meeting Date: December 18, 2006
Synopsis of Previous Council Action:
May 17,2004 - Resolution 2004-131, Approval of consultant agreement with Bruce C. Daniels
for management of Soccer Complex.
June 19,2006 - Resolution 2006-229, Approval of services agreement with Coast Soccer League
for management of Soccer Complex through September 18, 2006.
September 5, 2006 - Resolution 2006-318, Approval of services agreement with Coast Soccer
League for management of Soccer Complex through December 31, 2006.
Adopt Resolution.
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Recommended Motion:
Lemuel P. Randolph
Phone: 5030
Contact person:
Supporting data attached: Staff Report Reso & Cootract Ward: 7
FUNDING REQUIREMENTS: Amount: None
Source: (Ace!. No.) NIA
(Ace!. Description) NIA
Finance:
Council Notes:
Agenda Item No.
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CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION
Staff Report
Subject:
Resolution of the Mayor and Common Council of the City of San Bernardino authorizing the
Mayor to execute a Management Services Agreement between the City of San Bernardino and
For The Game, LLC to provide management services at the San Bernardino Soccer Complex for
the period of January 1,2007 through December 31, 2012.
Background:
A management services agreement with Coast Soccer League (CSL) for the management of the
San Bernardino Soccer Complex ends on December 31, 2006. A Request For Proposal for
professional management of the San Bernardino Soccer Complex was distributed to a list of
prospective sports venue management companies. Listed companies included:
U.S. Youth Soccer
Los Angeles Memorial Sports Arena
Coast Soccer League
San Bernardino ChamberofComtnerce
Cal South Los Angeles Galaxy
NOS Events Center Oregon Adult Soccer
For the Game, LLC NeugeOOw"& A;mciates
SB. Cmvention& VJSitDrs Bureau
For The Game, LLC was the only company to submit a proposal that met the RFP requirements.
An initial interview was conducted by Department Staff on November 14, 2006, followed by an
interview on November 30, 2006, with the City Manager and Director of Parks, Recreation and
Community Services.
Since the opening of the Complex in 1996, the City has attempted different management
strategies for the Complex. During the first 6-years of operation the CYSA - South San
Bernardino Soccer Foundation was responsible for the facility's management. As a result of
poor performance of this operator, a lawsuit was filed resulting in the City assuming
management authority. Over the last 5 years the City has provided management oversight
through various combinations of direct and contracted services. These services have included (2)
management contractors. The current management operator, CSL is also a major facility user
through its hundreds of affiliated soccer teams. This puts CSL in a competitive advantage when
competing youth soccer organizations are negotiating for event venues during specific weekends.
For The Game, LLC has provided a proposal to manage the Complex as an independent, private
management team unaffiliated with current users of the complex.
For The Game, LLC proposes a 5-year management plan for the Soccer Complex that involves
comprehensive management services of all operations, including turf and well maintenance, field
reservation and preparation, parking concessions, food concessions, non-food concesssions
marketing, sponsorship, community relations, and building maintenance. The company has
assembled a professional team of consultants and partners that collectively bring a host of
experience in the areas of venue and event management; profitable food and beverage facility
operations; sports field turf management and maintenance; soccer specialty retail sales;
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professional, amateur, and youth soccer and other sport marketing; soccer and other sport league
and tournament operations and sponsorship management.
They propose providing a first year operating budget of $847,0.0.0. growing to a fifth year budget
of $1,0.28,0.0.0., with immediate capital investment improvements to the infrastructure of
$30.0.,0.0.0.. For the Game will be responsible for the creation and funding of the entire operating
budget which will be funded through revenue streams listed in the agreement including
concessions, field use, parking, sponsorships etc. They also guarantee the City a monthly
payment of $5,0.0.0. and a 50.% share of net revenue. In addition they have agreed to assure their
performance obligation by opening an irrevocable $250.,0.0.0. letter of credit.
Financial Impact:
Upon approval of this agreement starting January 1,20.0.7, 10.0.% of the soccer complex operating
cost will be the responsibility of For the Game LLC. For the Game will also be required to make
a monthly payment of$5o.o.o. to the City. This payment will be used as an offset if there is a fund
balance deficit in the FY 0.6/0.7 Soccer Fund due to any outstanding costs incurred by the City
through December 31, 20.0.6. Any remaining revenue from the monthly payments will be held in
the Soccer Fields capital account.
Recommendation:
Adopt Resolution.