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CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION
Dept: City Administrator's Office
Subject: Resolution authorizing the
execution of an agreement with Big Red
Apple for the marketing and management of
the San Bernardino Stadium
From: Fred Wilson, City Administrator
Date: January 29, 2000
Synopsis of Previous Council Action:
December 22, 1998 -
Council approves a one-year agreement with Big Red Apple for
marketing and management of the San Bernardino Stadium
February 7, 2000 -
Council adopts a resolution authorizing a one-year agreement with
Big Red Apple for the marketing and management of the San
Bernardino Stadium
January 24, 2001 -
Ways and Means Committee recommends approval of a one-year
agreement with Big Red Apple
Recommended motion:
Adopt resolution
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Signature
Contact person:
Fred Wilson! Lori Sassoon
Phone: 384-5122
Supporting data attached: Staff report
Ward: 3
FUNDING REQUIREMENTS: Amount: Estimated $30,400 for the remainder ofFY
2000-01; estimated $67,800 for the contract term
Source: (Ace!, No.) 133-461-5505
Council Notes: 6A1/J.~./1
f- rYt1?J-t11.
(Ace!. Description) Stadium Fund - Other
Professional Services
Finaltce: ~~~
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Agenda Item No, J f
STAFF REPORT
Subiect:
Resolution authorizing the execution of a one (1) year agreement with Big Red Apple for the
marketing and management of the San Bernardino Stadium, This agreement was recommended
by the Ways and Means Committee on January 24, 2001,
Ristorv of Bit! Red ADDie At!reements
During the summer and fall months of 1998, the Ways and Means Committee and the Mayor and
Council had a number of meetings to evaluate the benefits and costs of a stadium management
contractor, and the most appropriate mechanism to promote the use of the facility and provide
additional revenue to the Stadium Fund.
On June I, 1998, the Mayor and Council approved the recommendation of the Ways and Means
Committee to issue a Request for Qualifications for a stadium marketing and/or facility
operations manager. The RFQ stated that the City was seeking to contract with an experienced
facility manager to develop and implement a marketing plan.
On June 15, 1998, the RFQ was sent out to nine (9) individuals and firms, including respondents
to the previous RFQ. Four (4) responses were received by the due date, A committee was
formed with representatives from the Mayor's Office, City Administrator's Office, Finance, and
Parks, Recreation, and Community Services, As a result of this process, on October 5, 1998, the
Mayor and Council directed staff to negotiate with Big Red Apple.
In December of 1998, the Mayor and Common Council approved an agreement with Big Red
Apple to market and manage the San Bernardino Stadium. The approved agreement was for a
term of one year, with two one-year extensions upon the approval of both parties. Big Red
Apple was paid $5,000 per month ($60,000 annually), plus 20% of gross rent and other income,
Big Red Apple assumed responsibility for marketing the stadium and facilitating special events,
while Parks, Recreation, and Community Services has continued to handle maintenance and
grounds-keeping,
At the recommendation of the Ways and Means Committee, the agreement required that Big Red
Apple guarantee to generate at lease $60,000 in gross revenue over the term of the Agreement,
excluding revenue paid to the City by the Stampede and any events already scheduled at the time
of execution of the agreement. The City also provided funding of up to $15,000 for the
development of a marketing plan for the Stadium,
In November 1999, with the agreement set to expire, staff recommended to the Ways and Means
Committee that negotiations begin concerning a new, one (I) year agreement with Big Red
Apple, It was recommended that the new agreement lower the monthly payment, increase the
commission percentage, and preserve the revenue guarantee, thereby creating a more
commissioned-based agreement. After considerable discussion at several meetings, on January
27, 2000, the Committee voted to recommend approval of the proposed Agreement. This
agreement was approved by the Mayor and Council on February 7, 2000,
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Functions of the Stadium Marketinl!!Manal!ement Firm:
Big Red Apple provides a number of key services to the City through the current agreement.
The more apparent services include interfacing with potential tenants, negotiating facility use
agreements, scheduling special events, and completing the paperwork required for facility use.
Big Red Apple also places advertising for the Stadium, and makes other proactive marketing
efforts,
In addition to this sales and marketing function, the firm is responsible for handling the various
details involved with the conduct of special events in the Stadium. These functions include:
. Coordinating logistics such as staging, lighting, and sound systems
. Negotiating with the Stampede for the use and staffing of the scoreboard (which is controlled
by the Team), concessions, and other team-related issues
. Assisting tenants with obtaining various permits required by the City (such as filming
permits)
. Providing staff on-site before, during, and after all events at the Stadium
. Providing advice regarding ticketing and/or advertising for the event
. Organizing and staffing parking services
Thus, the agreement allows the City to make use of a professional firm with expertise in
conducting special events.
Review of2000 Stadium Marketinl!!Manal!ement Al!reement:
Big Red Apple has been able to generate over $103,300 in stadium and parking lot rental
revenues through December 31, 2000. This exceeds the $60,000 in minimum revenue required
under the terms of the agreement.
Big Red Apple has also worked closely with June Durr of the Mayor's Office to continue
marketing efforts at the Stadium. As a result of the firm's efforts, the number of events on the
Stadium property has increased slightly over the previous year, Big Red Apple estimates that
48,600 people attended events at the stadium that were booked by the firm, Attachment A
(Stadium Revenue Analysis 2000) lists the stadium events for calendar year 2000 by category
and their associated revenues. For comparison purposes, Attachment B gives this same
information for 1999,
In accordance with the terms of the agreement, in the first year Big Red Apple will have been
compensated as follows:
Base payments (draws):
Commission:
Total estimated compensation:
$42,000
$23.839
$65,839
In order to determine the true net impact to the Stadium Fund of the most recent agreement with
Big Red Apple, staff has used the same analysis format as was provided to the Committee and
Council in 1999 (Attachment C - Estimated Net Revenues). This analysis accounts for two
additional issues:
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. The City will receive additional, indirect revenue resulting from the efforts of the firm, Since
the City's share of concession profits is paid in late January each year by the Stampede, this
additional amount can only be estimated, It is not included in the $103,300 estimated rental
revenue given above.
. The City incurs utility, maintenance, and custodial costs associated with each stadium event.
As this analysis indicates, given all these factors it is estimated that the net revenue to the
Stadium Fund in calendar year 2000 resulting from the agreement is $26,767. For comparison
purposes, the 1999 analysis is also attached (Attachment D),
For the past several years, Parks, Recreation, and Community Services has been responsible for
oversight and maintenance of the Stadium. Throughout the year, department staff has worked
closely with Bob Lewis of Big Red Apple to approve events and coordinate logistical details,
Director Annie Ramos has only positive comments concerning Mr, Lewis' work and the progress
that the firm has made in bringing events into the Stadium.
Pro Dosed 2001 Ae:reement
On January 24, 2001, the Ways and Means Committee recommended approval of an agreement
with Big Red Apple for one (I) additional year. The new agreement includes the following key
terms, which are the same terms found in the previous agreement:
. Monthly "draw" payment of$3,500
. Commission rate of25%
. Minimum revenue guarantee will remain $60,000. Related provlSlons remain In the
agreement concerning ramifications if the minimum is not met.
. One year term, with up to 3 extensions of one month each, upon mutual consent, if additional
time is needed to prepare a new agreement or explore other alternatives.
Furthermore, the Committee directed staff to bring information to a future Committee meeting
concerning the impact of the Stampede's stadium lease on the ability of the City to generate
additional revenue for the Stadium Fund. During the discussion, the Committee members
present expressed concern that the current lease terms have a negative impact upon the
effectiveness of any marketing efforts, and that this matter should be proactively addressed in
order to facilitate expanded stadium use opportunities. This matter will be brought back to the
Committee in February,
Financial ImDact:
The contractual cost for the remainder ofFY 2000-01 is estimated as follows:
Monthly payments:
Incentive payments:
Total payments:
$17,500 (five months of payments)
12.900
30,400
Funds for these expenses have already been budgeted for FY 2000-2001 in the Stadium Fund
budget.
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The estimate above assumes that Big Red Apple generates anticipated revenues of $51,600 for
the remainder of the fiscal year. Over the one-vear term of the Agreement, the contract cost is as
follows:
Monthly payments:
Incentive payments:
Total payments:
$42,000
25.800
67,800
This estimate assumes that Big Red Apple generates the same amount of revenue as was
generated during calendar year 2000 ($103,300), Big Red Apple has projected that the firm will
be able to generate $129,000 over the term of the new agreement, which would constitute a 20%
increase in gross revenue. If that occurs, than incentive payments would total $32,250 for the
contract term,
In addition to the contract costs, funds for marketing of the Stadium continue be necessary so
that advertising can be placed in trade publications. Rather than include this as an Agreement
provision, marketing funds are already included in the Stadium budget, and Big Red Apple will
continue to recommend expenditures of these funds,
Recommendation:
It is recommended that the Mayor and Common Council adopt the resolution,
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Attachment A
Stadium Revenue Analysis - 2000
Parking lot rental revenues:
01/10/2000 Masterdome - Januarv Parkina lot use $ 8,000
02/10/2000 Masterdome - Februarv Parkino lot use $ 8,000
03/06/2000 Masterdome - March Parkinalot use $ 9,000
04/03/2000 Masterdome - ADril Parkina lot use $ 9,000
04/10/2000 RG Cannina Entemrises SwaD Meet and Auction $ 2,000
05/04/2000 Masterdome . Mav Parkina lot use $ 3,000
07/05/2000 Pro Vantage Auto Used car tent sale $ 5,000
Subtotal: $ 44,000
Stadium rental revenues:
03/24/2000 Vida Abundante Communitv crusade $ 1,000
06/20/2000 Masterdome Rock concert $ 3,500
06/30/2000 Vida Abundante Communitv crusade $ 2,500
07/10/2000 Baseball Factorv Baseball clinic $ 1,500
08/08/2000 SB Communitv Aaainst Druas Red Ribbon Parade $ 500
08/16/2000 Rialto Hkih Schaal Football aames $ 10,000
08/23/2000 Fat Freddies/Princess Promotions Concert $ 3,500
09/15/2000 VictorY Outreach Concert/drama/car show $ 4,000
11/15/2000 Chino Promotions Concert $ 3,500
10/26/2000 Set Free Fellowship Crusade $ 3,500
11/1712000 HSI Productions Commercial Filmino $ 14,072
12/12/2000 SB Padres Baseball tournament $ 1,500
Subtotal: $ 49,072
Parkinn revenues:
07/25/2000 Bia Red Aaale Parkina Droceeds $ 738
08/28/2000 Fat Freddies/Princess Promotions Parkina aroceeds $ 132
9/26/200 VictiiiV Outreach -Darkinaoroceeds Parkina Droceeds $ 1,370
10/102000 Rialto football - aarkina Parkinci- Droceeds $ 1,015
10/18/2000 Rialto HIS Parkina Droceeds $ 1,172
10/23/2000 Rialto H/S Parkina Droceeds $ 757
11/15/2000 Rialto H/S 11/3 & 11/5 Parkina $ 2,128
11/22/2000 Parking for 11/18 concert $ 1,960
Subtotal: $ 9,272
Concession revenues:
07/25/2000 Vida Abundante Concession Commission $ 295
I c.;oncesslon sales on 11/11:1
12/11/2000 Robin Hood Pizza event $ 715
Subtotal: $ 1,010
Total commissionable revenues: $ 103,354
.. . .
Other payments:
Parks labor costs for
VictorY Outreach I aroundskeeDina $ 265
Attachment B
Stadium Revenue Analysis - 1999
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Parking lot rental revenues:
03/22/1999 Masterdome Parkina lot rental $ 1,500
03/26/1999 Masterdome Parking lot rental $ 1,500
04/05/1999 Masterdome Parkina lot rental - $ 6,500
06/07/1999 Masterdome Parking lot rental $ 4,000
07/02/1999 Masterdome Parkina lot rental $ 4,000
Masterdome Parkina lot rental $ 1,000
08/04/1999 Masterdome Parking lot rental $ 1,000
08/04/1999 Masterdome Parkina lot rental $ 5,000
08/20/1999 Masterdome Parking lot rental $ 2,250
f- 08/27/1999 Masterdome Parking lot rental $ 5,000
f-. 10/01/1999 Masterdome Parkina lot rental $ 750
10/04/1999 Masterdome Parking lot rental $ 5,000
10/14/1999 Masterdome Parkina lot rental $ 3,750
10/27/1999 K & M Productions (Circus Vargas) Circus Vargas $ 3,000
11/08/1999 Masterdome Parkina lot rental $ 7,000
12/01/1999 Masterdome Parking lot rental $ 6,250
-- $
Subtotal: 57,500
Stadium rental revenues:
05/07/1999 Soort Foundation All Star Football aame $ 3,500
06/23/1999 Baseball Factory Inc. Kids Baseball Clinic i$ 1,500
KeyzoneEntenorises ---.--..--..--..
07/13/1999 Film shoot $ 1,000
07/14/1999 HSI Productions Film shoot $ 5,000
07/19/1999 Vida Abundante Crusade event $ 7,500
09/30/1999 Inland Empire Svmphonv Ass Yabba Daba Do Dav $ 2,500
~~-". Charity Softball game
10/05/1999 Thomas & Kobler Inc $ 2,500
10/15/1999 Notre Dame Hiah School Football aame $ 2,000
---- Baseball Factory Inc,
10/18/1999 Kids Baseball Clinic $ 1,500
10/20/1999 SB Communities Against Drugs Red Ribbon Parade $ 2,500
10/27/1999 Set -Free Riverside Crusade event $ 2,500
Subtotal: $ 32,000
Parking revenues:
07/22/1999 Bia Red Apple Parkina lot revenue $ 880
09/30/1999 Big Red Apple Yabba Dabba Do Day ,$ 693
10/12/1999 Big Red Apple Parking lot revenue $ 95
11/12/1999 Big Red Apple Circus Vargas parking revenue $ 1,145
Subtotal: $ 2,813
---------
Concession revenues:
07/26/1999 Vida Abundante Concession commission $ 379
--
Dep()slts: i
08/09/1999 Video Visions (Genesis 2000) ------joepoSit for 12/31 '$ 2,000
------
j
Tota/ commissionab/e revenues: $ 94,692
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Other payments:
Parks labor/custodial for dressing
Notre Dame High football rooms $ 500
H,S,I. Productions Parks labor/rentals for sod replaceme $ 865
Attachment C
Estimated Net Revenues - San Bernardino Stadium
January - December 2000
Based on actual rental revenues received and other projected revenues
Facility Rentals
Gross Net benefit
Number of Maintenance/custa- Utilities cost per Total rental (cost) to
Type of Event events dial cost per event event costs revenue Cost reimb. City
Parking lot rentals 42 . . . 44,000 . 44.000
Stadium events 18 900 264 20.952 49.072 28.120
Deposits . . . . . .
Total 60 900 264 20,962 93,072 . 72,120
Other Revenue
Total Net benefit
estimated (cost) to
Type of Revenue sales Basis of estimate City's revenue City
Food and beverage. net
actual received to date nla nla 1.010 1.01C
$3 per capita;
48.584 event
Food and beverage. attendees; 7% to
estimated 145.752 City 10.203 10.203
Parking. net actual
received to date 9.272 nla 9.272 9.272
Total 20,485
Big Red Apple Contract Costs
Type of expenditure I I Cost to City
Monthly payments I I 42.000
Incentive payments. 25% of gross rental revenues. 21.268
Incentive payments. 25% direct parking/concessions 2.571
Total I I 65,839
Net estimated revenue to the Stadium Fund
Net facility rentals 72.120
Net other revenues 20.485
Subtotal 92,605
Minus total Big Red Apple
costs (65.839)
Net estimated revenue 26,767
.Exc/udes $8.000 from gross rental revenues for incentive payment calculation purposes; this revenue was received
when Big Red Apple was between contracts, so therefore no commission was peid.
Attachment 0
Estimated Net Revenues - San Bernardino Stadium
January - December 1999
Based on actual rental revenues received and other projected revenues
Facility Rentals
Gross Net benefit
Number of Maintenance/custo- Utilities cost per Total rental (cost) to
Type of Event events dial cost per event event costs revenue Cost reimb. City
Parking lot rentals 57 . . . 57.500 . 57.500
Stadium events 14 900 240 15.960 32.000 1.365 17 ,405
Deposits 1 . . . 2.000 2,000
Total 71 900 240 15,960 91,500 1,365 76,905
01her Revenue
Total Net benefit
estimated City's estimated (cost) to
Type of Revenue sales Basis of estimate revenue City
Food and beverage. net
actual received to date nla nla 379 37S
$3 per capita;
44.575 event
Food and beverage. attendees; 7% to
estimated 133.725 Cijy 9.361 9.361
Parking. net actual
received to date 2,813 nla 2.813 2.813
Total 12,553
Big Red Apple Contract Costs
Type of expenditure I I Cost to City
Monthly payments I I 60.000
Incentive payments. 20% of aross rental revenues 18.300
Incentive payments - 20% direct parking/concessions 638
Total I I 78,938
Net estimated revenue to the Stadium Fund
Net facility rentals 76.905
Net other revenues 12.553
Subtotal 89,458
Minus total Big Red Apple
costs (78.938)
Net estimated revenue 10,520
~Q)[pJW
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RESOLUTION NO.
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY
OF SAN BERNARDINO AUTHORIZING THE MAYOR TO EXECUTE A SERVICE
AGREEMENT WITH BIG RED APPLE, REGARDING THE MARKETING AND
MANAGEMENT OF THE SAN BERNARDINO STADIUM.
BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE
CITY OF SAN BERNARDINO AS FOLLOWS:
SECTION 1. The Mayor of the City of San Bernardino is hereby authorized and
directed to execute on behalf of said City a Service Agreement with Big Red Apple, regarding
the Marketing and Management of the San Bernardino Stadiwn, a copy of which is attached
hereto, marked Exhibit "A" and incorporated herein by reference as fully as though set forth at
length,
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III
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY
OF SAN BERNARDINO AUTHORIZING THE MAYOR TO EXECUTE A SERVICE
AGREEMENT WITH BIG RED APPLE, REGARDING THE MARKETING AND
MANAGEMENT OF THE SAN BERNARDINO STADIUM.
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20 2001.
I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor
and Common Council of the City of San Bernardino at a
meeting thereof, held on the
_ day of
,2001, by the following vote, to wit:
Council Members:
AYES
NAYS
ABSTAIN ABSENT
ESTRADA
LIEN
MC GINNIS
SCHNETZ
SUAREZ
ANDERSON
MC CAMMACK
City Clerk
The foregoing ordinance is hereby approved this
day of
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Approved as to
25 Form and legal content:
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Judith Valles, Mayor
City of San Bernardino
JAMES F, PENMAN,
City Attorney
By:
SERVICES AGREEMENT
THIS AGREEMENT is entered into this day of February 2001, by
and between BIG RED APPLE, A California corporation ("CONTRACTOR") and the CITY
OF SAN BERNARDINO ("CITY").
WITNESSETH:
WHEREAS, CITY desires to promote and maximize the use and availability of the San
Bernardino Stadium (the "Stadium") as a focal point for community events which will be
financially self-sustaining and which will have the potential of providing a revenue source for the
CITY and maximizing the enjoyment of the Stadium for all San Bernardino residents; and
WHEREAS, CONTRACTOR has the professional skill, experience and ability to
provide management, booking and marketing of the San Bernardino Stadium;
NOW, THEREFORE, the parties hereto agree as follows:
1, During the term of this Agreement, and any extension thereof pursuant to
Sections 5 and 6 herein, CONTRACTOR shall furnish professional management, booking and
marketing services to the CITY, and CITY shall furnish maintenance review, office space, and
facilities, consistent with the Scope of Work which is attached hereto as Exhibit "A" and
incorporated herein in full by this reference (the "Scope of Work"),
2. CONTRACTOR shall be paid monthly for such services in the amounts and as set
forth in this Agreement.
3, In addition, CONTRACTOR shall provide the City Administrator's Office with
invoices, cost projections, and receipts evidencing actual and anticipated revenues and
expenditures consistent with the Scope of Work. No expenditures made by CONTRACTOR
shall be reimbursed by CITY without the prior written approval of the City Administrator or
his/her designee,
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4, CONTRACTOR shall be paid $42,000 for the term of the Agreement, and for any
extensions thereof as provided in Section 6 herein, payable in twelve (12) monthly installments
of $3,500, CONTRACTOR shall also be paid a performance incentive payment of 25% of all
gross rental income and income from other sources generated through the efforts of
CONTRACTOR resulting in events held at the Stadium. Gross income included in the basis of
calculation of the incentive payment shall not include revenues paid to CITY by the San
Bernardino Stampede in accordance with the terms of the Stadium lease; or fees paid to CITY
for skybox rentals, Incentive payments shall be made by the CITY on a monthly basis after
payment has been made to the CITY by the facility users for these events.
5, CONTRACTOR hereby guarantees that the CITY shall receive a minimum of
$60,000 in gross revenue generated over the term of this Agreement, excluding revenues paid to
CITY by the San Bernardino Stampede in accordance with the terms of the Stadium lease and
fees paid to CITY for skybox rentals, This minimum revenue shall not include events already
scheduled for the Stadium prior to the execution of this Agreement. If the guaranteed amount of
gross revenue has not been received by CITY at the end of the first year as provided for herein,
then CONTRACTOR shall continue to provide marketing and management services for the
Stadium at no cost to CITY, but at a monthly value deemed to be $3,500, until the amount of
revenue received by CITY from such gross revenue and services provided totals $60,000; or, if
CONTRACTOR refuse to provide such services under such conditions or if this provision is
challenged by anyone other than CITY and is deemed unenforceable in a court of law, then
CONTRACTOR shall pay to CITY the difference between the amount of gross revenue
generated during the first year of this Agreement and $60,000. For the purposes of determining
whether or not CONTRACTOR has met the guaranteed amount of revenue in accordance with
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this section, the CITY will take into account any booked events scheduled for the six months
following the termination date,
6. The term of this Agreement shall be for one (1) year from the date above, The
CONTRACTOR and CITY agree to begin negotiations no later than 60 days before the
expiration of this Agreement concerning the terms of any subsequent Agreement. If this
negotiating process cannot be concluded prior to the expiration of this Agreement, this
Agreement may be continued for up to three (3) months on a month-to-month basis upon mutual
written consent of CONTRACTOR and CITY, This Agreement may be terminated at any time
by thirty (30) days written notice by either party. If the Agreement is terminated,
CONTRACTOR shall be entitled to receive performance incentive payments for future events
that have been booked by CONTRACTOR prior to termination of the Agreement, in accordance
with Section 4 herein, These incentive payments shall be made by the CITY after payment has
been made to the CITY by the facility users for these events, If this Agreement is terminated by
CITY pursuant hereto, CONTRACTOR shall be relieved of further performance or repayment
obligations set forth in Section 5 herein, If at any time during the term of this Agreement
CONTRACTOR dies, becomes disabled, or for any reason outside CONTRACTOR'S control
becomes unable to perform the services required under this Agreement, CONTRACTOR'S
obligations shall be terminated without further obligation of CITY or CONTRACTOR,
7, CONTRACTOR shall indemnify, defend and hold harmless the CITY, its
officers, employees and agents (including, without limitation, reasonable costs of defense and
reasonable attorneys' fees) arising out of or related to CONTRACTOR's performance of this
Agreement, except that such duty to indemnify, defend and hold harmless shall not apply where
injury to person or property is caused by CITY's willful misconduct or negligence, CITY shall
indemnify, defend and hold harmless the CONTRACTOR, its officers, employees and agents
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(including, without limitation, reasonable costs of defense and reasonable attorney's fees) arising
out of or related to CONTRACTOR's performance of this Agreement, except that such duty to
indemnify, defend and hold harmless shall not apply where injury to person or property is caused
by CONTRACTOR's willful misconduct or negligence, The costs, salary and expenses of the
City Attorney and members of his office in enforcing this Agreement on behalf of CITY shall be
considered as "attorneys' fees" for the purposes of this paragraph.
g, While not restricting or limiting the foregoing, during the term of this Agreement,
CONTRACTOR shall maintain in effect policies of comprehensive public, general and
automobile liability insurance, in the amount of $1,000,000,00 combined single limit, and
statutory Worker's compensation coverage, and shall file copies of said policies with the CITY's
Risk Manager prior to undertaking any work under this Agreement. CITY shall be set forth as
an additional named insured in each policy of insurance provided hereunder, The Certificate of
Insurance furnished to the City shall require the insurer to notify CITY of any change or
termination in the policy.
9, CONTRACTOR shall perform work tasks provided by this Agreement; but for all
intents and purposes CONTRACTOR shall be an independent contractor and not an agent or
employee of the CITY,
10, CONTRACTOR shall be permitted to produce, promote, co-produce, or co-
promote events at the Stadium as an independent agent, and not as the representative of the
CITY, only upon the express written consent of the CITY for each such event. Big Red Apple
shall pay the established rental rate and all other costs that would normally apply to any other
renter for such events at the Stadium. Any financial risk assumed by CONTRACTOR as a
producer, promoter, co-producer, or co-promoter of events at the Stadium shall be the sole
responsibility of Big Red Apple and not the CITY,
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II. In the performance of this Agreement and in the hiring and recruitment of
employees and independent contractors, CONTRACTOR shall comply with all State and federal
tax laws, shall not discriminate on the basis of race, religion, color, ethnic group identification,
sex, age, physical or mental disability, and shall not discriminate unlawfully against any
employee or independent contractor for employment because of race, religion, color, ethnic
group identification, sex, age, physical or mental disability,
12, In the performance of this Agreement, all payments made by CONTRACTOR to
the City of San Bernardino shall be by check, cashier's check or money order, In the performance
of this Agreement, all payments made to CONTRACTOR (except parking fees paid by
individual car drivers) shall be by check, cashier's check or money order. In the performance of
this Agreement, all payments made by CONTRACTOR to its employees, independent
contractors, and other so due and owing money from CONTRACTOR shall be by check,
cashier's check or money order,
13. Any notice to be given pursuant to this Agreement shall be deposited with the
United Postal Services, postage prepaid and addressed as follows:
TO THE CITY:
City Administrator's Office
300 North "D" street
San Bernardino, CA 92418
Facsimile (909) 384-5138
TO THE CONTRACTOR:
Big Red Apple
P,O, Box 5742
San Bernardino, CA 92412-5742
Facsimile (909) 885-6064
Notice may also be given by facsimile ("fax") during regular business hours to the numbers
listed above, and such notice shall be deemed given upon receipt as reflected in a transmission
verification, Nothing in this paragraph shall be construed to prevent the giving of notice by
personal service.
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IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the day
and date first above written.
Date: February
,2001
BIG RED APPLE, a California corporation
By:
Date:
CITY OF SAN BERNARDINO
By:
Judith Valles, Mayor
ATTEST:
Rachel Clark, City Clerk
APPROVED AS TO FORM AND
LEGAL CONTENT:
James F. Penman, City Attorney
By:
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EXHIBIT "A"
SCOPE OF WORK
Management of the San Bernardino Stadium
Scope of Work and Work Program
To provide professional management booking and marketing of the San Bernardino
Stadium,
Big Red Apple ("BRA") shall be responsible for:
1. Supervising all aspects of non-baseball Stadium event operations, including:
a. Recruiting and scheduling events (other than baseball) into the Stadium,
parking lots and any other ancillary facilities which are available for such use,
b, Supervising Stadium operation at all performances or use of the facility (other
than baseball). Supervision shall include all aspects of the operation,
including ticket sales, concessions, merchandise, stagehands and related
personnel, including, but not limited to ushers, security and other production
services, BRA will be physically present at all events,
c, BRA will not be responsible for supervising City events, or events for which
fees have been waived,
2, Reporting monthly to the City Administrator's Office regarding work in progress,
prior year activity and projected marketing, booking and use of the Stadium,
3, Directing the marketing plan for the Stadium and place advertising in order to
receive long-lasting exposure in reaching the specific segments of the live
entertainment and amusement industries that utilize facilities similar to the
Stadium, and/or which have previous positive experience in the Inland Empire,
Marketing will concentrate on attracting promoters, producers, personal
managers, booking agents, performers, associations and organizations that
produce trade shows, film locations and other events. The marketing plan shall be
implemented in consideration with all other city marketing plans and in
coordination with the City's Marketing and Public Affairs Officer,
4, Reporting income to City in the form required by City Administrator on a
monthly basis, and depositing funds in City account(s) as required by City
procedures,
5, Assisting the City in renegotiating the Stadium lease, upon written request and
authorization of the City,
7
6, Making recommendations to the City for facilities modifications to enhance and
expand the capabilities of the Stadium for parking lot, concert, and other events
compatible with the facility.
City shall be responsible for:
I, Maintaining the premises as required by Building Codes,
2, Reviewing and/or approving show offers on 48-hour notice.
3, Maintaining and providing for major capital facility improvements, utilities and
landscaping.
4, Providing BRA with one office, secretarial space, shared conference room
facilities, and telephone and fax service lines, BRA shall pay all costs associated
with telephone usage,
5, The City Administrator or his designee shall review with BRA and approve a
marketing plan for the Stadium within forty-five days after submission of the plan
by BRA,
6, No marketing expenditures made by BRA shall be reimbursed without the prior
written approval of the Director of Parks, Recreation, and Community Services or
his/her designee.
7, Developing a policy concerning the waiver of rental fees for non-profit
organizations. The policy shall balance the desire to make the facility available
for community events with the need to have the maximum number of days
available to book fee-paying events into the Stadium,
8
February 9, 2001
Big Red Apple
P,O. Box 5742
San Bernardino, CA 92412
Dear Sir,
At the Mayor and Common Council meeting of February 5, 2001, the City of San Bernardino
adopted Resolution 2001-33 - Resolution authorizing the Mayor to execute a service agreement
with Big Red Apple regarding the marketing and management of the San Bernardino Stadium,
Enclosed is one (1) original agreement. Please sign in the appropriate location and return the
original agreement to the City Clerk's Office, Attn: Michelle Taylor, P,O. Box 1318, San
Bernardino, CA 92402, as soon as possible.
Please retain a copy of the agreement for your files.
If you have any questions, please do not hesitate to contact me at (909)384-5002.
Sincerely,
Michelle Taylor
Senior Secretary
CITY OF SAN BERNARDINO
Interoffice Memorandum
CITY CLERK'S OFFICE
Records and Information Management (RIM) Program
DATE:
February 14, 2001
TO:
Marilyn Dixon, Executive Secretary
FROM:
Michelle Taylor, Senior Secretary
RE:
Resolution 2001-33 - Executed Agreement
CC:
Attached is a copy of the executed services agreement between the City of San Bernardino and
Big Red Apple. The original services agreement is on file in the City Clerk's Office.
If you have any questions, please call me at ext. 3206.
"
** FOR OFFICE USE ONLY - NOT A PUBLIC DOCUMENT **
RESOLUTION AGENDA ITEM TRACKING FORM
Meeting Date (Date Adopted):
Vote: Ayes / .,
2-S-() \
Item #
1<1
Resolution #
Nays
b
Abstain
E'r
'2.001 - 33
Absent FT
Change to motion to amend original documents:
Reso. # On Attaclunents: ./
Contract term: I ~ ~
NullNoid After:
-
Note on Resolution of Attaclunent stored separately: ~
Direct City Clerk to (circle I): PUBLISH, POST, RECORD W/COUNTY Date:
See Attached: .=:.
LI .
DateSentto~: '2-6~O\
Date of Mayor's Signature: ;).... ',(-() I
Date of Clerk/CDC Signature: ;)..- 'L -0 \
Reso. Log Updated: .-v
Seal Impressed: ;/
Date MemoILetter Sent for Signature: .J- - c-,\ - D \
60 Day Reminder Letter Sent on 30th day:
90 Day Reminder Letter Sent on 45th day:
See Attached: ~ Date Returned: J . 14-0 I
See Attached:
See Attached:
Request for Council Action & Staff Report Attached:
Updated Prior Resolutions (Other Than Below):
Updated CTIY Personnel Folders (6413, 6429, 6433,10584, 10585, 12634):
Updated CDC Personnel Folders (5557):
Updated Traffie Folders (3985, 8234, 655, 92.389):
Yes / No By
-
Yes No ~ By
Yes No ,/ By
-
Yes No V' By
Yes Nol By
Copies Distributed to:
City Attorney /
Parks & Rec.
Code Compliance
Dev, Services
EDA
Finance
,/
MIS
Police Public Services
Water
Others:
1\.f)11'\ ,.0
Notes:
BEFORE FILING. REVIEW FORM TO ENSURE ANY NOTATIONS MADE HERE ARE TRANSFERRED TO THE
YEARLY RESOLUTION CHRONOLOGICAL LOG FOR FUTURE REFERENCE (Contract Term. ete.)
Ready to File:_
Date: