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HomeMy WebLinkAbout2011/07/12 Item 04CITY COUNCIL AGENDA STATEMENT ~~° CITY OF CHUTA VISTA July 12, 2011-Item No. 4 ITEM TITLE: REPORT ABOUT THE CREATION OF THE CHULA VISTA SPORTS ALLIANCE SUBMITTED BY: DIRECTOR OF RECREATION ®aeP`' B h REVIEWED BY: CITY MANAGER ~T ~ 3 S ASSISTANT CITY MANAGER cj 4/STHS VOTE: YES ~ NO SUMMARY The Recreation Department in collaboration with the City Manager's office has put together the, "Chula Vista Sports Alliance (CVSA)", a public partnership to help promote our city through youth and amateur sports, special events and competitions in Chula Vista. The City has an inventory of sports facilities, which include a wonderful park system, the United States Olympic Training Center (OTC), Southwestern Community College (SWCC) and the Sweetwater Union High School District (SUHSD) that could be used to attract regional and national sports tournaments and special events to our community. Our community also has an abundance of truly successful amateur sports teams. With the CVSA in place, it will assist in generating additional monies to help increase the sustainability of our Parks and Recreation system, promote local business and enhance the image of our city. ENVIRONMENTAL REVIEW The Director of Development Services has reviewed the proposed project for compliance with the California Environmental Quality Act (CEQA) and has determined that the project qualifies for a Class 1 (c) categorical exemption pursuant to Section 15301 [Existing Facilities] of the State CEQA Guidelines because the proposal involves negligible or no expansion of an existing use. Thus, no further environmental review is necessary RECOMMENDATION Council accept staff's report. BOARDS/COMMISSION RECOMMENDATION 4-1 ,r~-em `~ Yage 2 0~ 5 Not Applicable DISCUSSION In June of 2010 the Recreation Department was given direction to explore the possibility of creating a sports commission. Understanding our fiscal challenges at the time and wanting to maximize our physical resources, we looked at what other jurisdictions have done to create sports commissions. Our research discovered that to start up a sports commission, a fiscal undertaking was required from $250,000 to $500,000 annually for the infrastructure, administration overhead, travel and professional memberships. The City of San Diego has a regional resource with the San Diego Sports Commission (SDSC). The SDSC model has a proven record of bringing in large special events to the San Diego region. The President and CEO of the SDSC, Alan Kidd was contacted and he agreed to provide us with information about creating a sports commission. SDSC informed and educated us about the very long process of establishing all of the infrastructure and relationships in sports and special events industries. Staff recognized that we had an opportunity to form a partnership because of all the sports facilities in Chula Vista, and the relationships the SDSC has in the sports and special events industry. SDSC developed a proposal that would identify cost effectiveness of creating a partnership with them. The proposal identifies key components about measuring the increased economic impacts to the City, the associated cost of acquiring their services, and how we could justify the expenditure given these fiscally challenging times. Staff met with SDSC and discussed how the City could structure some type of governance or board with the stakeholders from our community. The stakeholder's involvement would either be in supplying resources such as sports facilities, or in the form of local business support (as the Chamber of Commerce, Hotel/Motel board, Restaurant Association). We also discussed our short-term goals, and not overextending ourselves with too many events. It was suggested by SDSC that we consider five to six co-sponsored events through the SDSC in calendar year 2011. What was developed from a series of meetings is the following: The structure of the Chula Vista Sports Alliance (CVSA) was created as a board made up of the following entities: • Recreation Department, City of Chula Vista, Director Buck Martin (chair) • The United States Olympic Training Center in Chula Vista, Director Tracy Lamb • Southwestern Community College, Dean/Athletics Director, Tetty Davis • Sweetwater Union High School District, Coordinator of Athletics, Jerry Schnieep The local business support would be recognized as the Chula Vista Sports Advisory Group (CVSAG). This group would be made up of the following organizations: • Chamber of Commerce, CEO, Lisa Cohen • Chula Vista Visitors Convention Bureau 4-2 r~.~ Page 3 of 5 • Hotel/Motel Association • Retail Representative (restaurants, big box stores and local retail) The CVSAG would represent the stakeholders within the business community that would help support the efforts of the SDSC in promoting events here in Chula Vista. This would help to create and/or increase positive economic impacts to our community. The CVSA responsibility would be to help expedite the process of ensuring accessibility to resources such as sports fields, gymnasiums and other athletic facilities to help bring premier youth and amateur sports to the Chula Vista Community. A CVSA website has been developed to be used as a tool for the SDSC to use when advertising the region to sports organizations. Here, SDSC staff members have the ability to browse the sport facility inventory of all CVSA members and determine if a specific facility will be available on a given date. The website will be particularly useful when SDSC staff members are attending sports conventions to advertise the region to potential customers; they will have the immediate ability to view Chula Vista's sport facility inventory availability, as long as Internet access is available. As part of our agreement with the SDSC, the CVSA and the CVSAG would be represented by an ex-officio member (Recreation Director) to the main board of the San Diego Sports Commission Board of Trustees. The Recreation Director, on behalf of the CVSC/CVSAG would attend the SDSC Board of Trustees meetings and report back to the CVSC/CVSAG on potential sporting events coming to Chula Vista. The management and support of the CVSA would be provided by the Recreation Department, which consists of the Recreation Director serving as the Chair of the CVSA, and Recreation's Administrative Secretary serving as recording secretazy for the CVSA board meetings. The CVSA boazd would meet quarterly, or if necessary monthly to discuss event opportunities for our community. In the original proposal from the SDSC, the SDSC requested fiscal support in the amount of $75,000.00 annually. These monies were to pay for support staff to work directly on events exclusively for the City of Chula Vista. Due to the City's current fiscal situation, the City Manager's office knew this was a challenge. The President and CEO of the SDSC, agreed to waive the fees for the first year of our contract, with the understanding that we wouldn't have someone exclusively designated to City of Chula Vista. The SDSC would still represent us at all of their national conferences and push our mazketing materials from the Chamber for local businesses when developing opportunities for capturing events. Below is a list of services provided by the SDSC to the CVSA: • Regional, National and International Marketing • Program Development • Social Media Integration and Execution • Event Right's Holder Relationship 4-3 T~zm `~ Page 4 of 5 • Event Development and Logistics • Public Relations Management • Event Management • Sponsorship Acquisition and Activation • Creative Development and Support • Access to their Board Membership resources • Create/add programming for City youth • Engage City Based Businesses and Stakeholders • Attend industry conferences, symposiums and networking events • Provide City with an Ex-Officio position on the Sand Diego Sports Commission's Board of Trustees The SDSC would attend quarterly meetings with the City Manager, or his designees, Director of Finance and the Recreation Director and provide fiscal and marketing reports when requested. City staff began working with the SDSC informally in January of 2011. To date seven events have been completed, bringing approximately 26,000 visitors to Chula Vista. This surpasses the original estimate of six events for the calendar year. We estimate bringing an additional five events in 2011, with a forecasted attendance of approximately 32,000 additional visitors (please see attachment "A" for past and upcoming events). The twelve to thirteen events that will occur will bring approximately 53,000 visitors to the City of Chula Vista. This does not include our local Youth Sports Council and Recreation Department tournaments. As an estimate, if 10% of our visitors stay in our hotels two nights at an average room rate of $79, there would be a fiscal impact of approximately $880,000 for this calendar year for hotel stays. If each of the visitors spends a total of $20 during their two-day stay at local businesses, (food & beverage, gas/parking, attractions/entertainment or transportation) there will be an additional net fiscal impact of $1,060,000 to the local economy. As a conservative estimate, an influx of almost $2,000,000 could be realized in the first year of operation of the Chula Vista Sports Alliance. We have a contract in place with the SDSC, (please refer to attachment "B") which was signed on April 19, 2011 by our City Manager Jim Sandoval, with the caveat that there is no fiscal obligation from the general fund for the duration of one year. At the end of the contract year we will jointly evaluate the process with our partners, SDSC, and see what we need to do to ensure we capture as much business/revenues as we can manage effectively. DECISION MAKER CONFLICT None CURRENT YEAR FISCAL IMPACT Anticipated revenue to the general fund through TOT and sales tax. 4-4 ~~ ~ Page 5 of 5 ONGOING FISCAL IMPACT To be evaluated at the end of the contractual year, April 19, 2012. ATTACHMENTS Attachment A -list of events and attendance for 2011 Attachment B -contract with the SDSC and the City of Chula Vista. Prepared by.' Buck Martin, Director ofRecreation, Recreation Department 4-5 _~`~~~ Attachment A /~r '~'~ cln~ of .Recreation Department CHULAVISTA , Chula Vista Sports Alliance Amateur Sporting Events Chula Vista 2011 San Diego Regional 7's February 26 2,500 Attendees Youth Rugby Tournament USA Women's Rugby Mazch 5 and 6 2,000 Attendees Tournament US Cycling BMX April 16 and 17 5,000 Attendees Nationals ABA Nationals BMX April 16 and 16 1,500 Attendees Development Track USA Canoe Kayak Apri122, 23 & 24 4,500 Attendees Sprint Team Trails Chula Vista Community May 21 2,000 Est Attendees Fun Run USA National Division I May 21 & 22 4,500 Est Attendees Rugby Club Championships USA Women's All-Staz May 27, 28, 29 3,500 Est Attendees Rugby Weekend State Games of America August 5, 6 & 7 12,000 Est Attendees USA Youth Triathlon August 6 & 7 6,000 E'st Attendees USA Archery So Cal August 12, 13 & 14 5,000 Est Attendees Showdown Thorpe Cup Track Meet August 13, 14 & 15 4,500 Est Attendees UCI Super Cross Finals Sept/Oct 4,000 Est Attendees BMX 4-6 ATTACHMENT B MARKETING SERVICES AND SUPPORT AGREEMENT This Mazketing Services and Support Agreement ("Agreement") is made and entered into effective as of April 1, 2011 (the "Effective Date"), by and between the San Diego Sports Commission, a California nonprofit corporation (the "SDSC"), and the City of Chula Vista ("City"). RECITALS WHEREAS, the SDSC and City have agreed to collaborate on sports related activities in an effort to (i) expand utilization of City facilities to attract tournaments, competitions and sports events, and (ii) enhance regional, national and international awazeness of the capacity of City to host such tournaments, competitions and events; WHEREAS, an increase of the number of tournaments, competitions and sports events is expected to have a positive impact on the businesses in City such as hotels, motels, restaurants, etc; WHEREAS, City has requested the assistance of the SDSC to develop and mazket City's sports facilities; WHEREAS, the SDSC has agreed to provide certain services and support under the terms and conditions set forth herein including, without limitation, encouraging attendees to utilize local hotels, restaurants and other amenities. NOW, THEREFORE, in consideration of the covenants and conditions set forth in this Agreement, and for other good and valuable consideration, the receipt and sufficiency of which aze hereby acknowledged, the parties to this Agreement agree as follows: AGREEMENT 1. Ensa¢ement. City hereby engages the SDSC to provide the mazketing services and support under the terms and conditions set forth in this Agreement. 2. Services To Be Provided. The SDSC will use its development team and other existing resources to assist City in mazketing the city as a premier youth and amateur sports destination in San Diego County and to increase as much as possible sports tourism and sports activity in City . The SDSC development team will provide the mazketing services and support by engaging in the activities more particularly described on the attached Exhibit A incorporated herein by this reference. 3. Cooperation from Citv. In order to facilitate SDSC's provision of services hereunder, City will provide the SDSC with information and materials regazding city's assets, facilities and required approvals for events as well as a description of city resources and WES71222 8 6 1 73 9.1 4_7 assistance that could be made available to make events more successful. As necessary and appropriate for the implementation of this Agreement, during the term hereof City shall include the SDSC in City sports tourism related meetings and planningsessions. 4. Comuensation. SDSC shall not be owed and City will not be obligated to pay any fee for services provided by SDSC under the terms of this Agreement at this time. However, in the event that City is successful in obtaining funds that are dedicated for this purpose, the parties agree to meet and confer to negotiate an amendment to this Agreement to provide compensation on reasonable terms not to exceed the amount of such dedicated funding.. If after good faith efforts the parties aze not able to reach an Agreement on compensation, either party may terminate this Agreement upon thirty (30) days written notice as provided in Section 7, below. 5. Event Aereements. In the event that SDSC identifies a sports event for City it shall present a written summary of the event to City for its consideration and approval. If City approves an SDSC event proposal the parties shall meet and confer in order to develop the terms and conditions for its implementation. As appropriate, these terms and conditions shall be memorialized in a written "Event Implementation Agreement" between the City, SDSC and/or the event sponsor. Each Event Implementation Agreement shall include provisions that allocate responsibilities, revenues, risks and insurance requirements among the pazties, and shall contain such other mutually agreed provisions as may be necessary or appropriate. 6. Insurance. SDSC shall maintain throughout the term of this Agreement comprehensive general liability ("CGL") insurance and workers compensation insurance in amounts and forms reasonably approved by City. City shall be named an additional insured on SDSC's CGL policy and SDCS shall provide a certificate of insurance and endorsement indicating same. 7. Term. The initial term of this Agreement shall commence on April 1, 2011 and shall continue until December 31, 2011. After the initial term, unless amended, the Agreement shall continue on a month to month basis such that either party may terrinate the Agreement "without cause" upon thirty (30) days prior written notice to the other party. During the term, in the event of a default by the other party, either party may terminate the Agreement "for cause" upon five (5) days written notice to the defaulting party. In either event to the extent this Agreement, as amended, provides for compensation. SDSC shall be entitled to receive its pro- rata shaze of such compensation for services rendered through the date of termination. 8. Amendment. No modification, vaziation or amendment to this Agreement shall be effective without the written consent of all the parties to this Agreement at the time of such modification, variation or amendment. 9. Entire Agreement. This Agreement constitutes the entire Agreement between the pazties with respect to the subject matter hereof, superseding all previous oral or written communications, representations, understandings or agreements relating to this subject. 10. Notices. All notices and demands of any kind which either party hereto may be required to serve upon the other party under the terms of this Agreement shall be in writing and shall be served upon the other parry by personal service or by certified mail. -2- WEST~222861739.1 4-a 11. Choice of Law and Compliance with Law. This Agreement shall be governed by and construed in accordance with the laws of the State of California. Each party agrees to comply with all applicable federal, state and local laws in performing its duties hereunder. 12. Due Authorization. Each of the parties represents and warrants that (i) it has the power and authority to execute and deliver this Agreement and to perform its obligations hereunder, and (ii) this Agreement has been duly executed and delivered and constitutes the legal, valid and binding obligation of such party enforceable in accordance with its terms. 13. Waiver. No waiver by a party of a breach of any of the terms, covenants or conditions of this Agreement by the other shall be construed or held to be a waiver of any succeeding or preceding breach of the same or any other term, covenant or condition contained herein. 14. Independent Contractor. 14.1 In General. SDSC and any of SDSC's agents, employees or representatives aze, for all purposes under this Agreement, independent contractors and shall not be deemed to be employees of City, and none of them shall be entitled to any benefits to which City employees are entitled including but not limited to, overtime, retirement benefits, worker's compensation benefits, injury leave or other leave benefits. City is interested only in the results obtained and SDSC shall perform as an independent contractor with sole control of the manner and means of performing the services required under this Agreement. 14.2 Actions on Behalf of Citv. Except as City may specify in writing, SDSC shall have no authority, express or implied, to act on behalf of City in any capacity whatsoever, as an agent or otherwise. SDSC shall have no authority, express or implied, to bind City or its members, agents, or employees, to any obligation whatsoever, unless expressly provided in this Agreement. 14.3 No Oblieations to Third Parties. In connection with the Project, SDSC agrees and shall require that its agents, employees, subcontractors agree that City shall not be responsible for any obligations or liabilities to any third party, including its agents, employees, subcontractors, or other person or entity that is not a party to this Agreement. Notwithstanding that City may have concurred in or approved any solicitation, sub-agreement, or third party contract at any tier, City shall have no obligation or liability to any person or entity not a party to this Agreement unless and until City enters into a direct written agreement with such party. 15. Administrative Claims Requirement and Procedures. No suit shall be brought arising out of this agreement, against the City, unless a claim has first been presented in writing and filed with the City and acted upon by the City in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal Code, the provisions of which are incorporated by this reference as if set fully set forth herein. 16. Indemnity. SDSC shall defend, indemnify, protect and hold harmless the City, its elected and appointed officers, agents and employees, from and against any and all claims, demands, causes of action, costs (including attorney's fees), expenses, liability, loss, damage or injury, in law or equity, to property or persons, including wrongful death, in any manner arising -3- WEST12 22 8 6 173 9.1 4 _ 9 out of or incident to any alleged acts, omissions, negligence, or willful misconduct of SDSC, its officials, officers, employees, agents, and contractors, arising out of or in connection with the performance of services under this Agreement. This indemnity provision does not include any claims, damages, liability, costs and expenses (including without limitations, attorneys fees) arising from the sole negligence, active negligence or willful misconduct of the City, its officers, employees. SDSC's obligation to indemnify shall not be restricted to insurance proceeds, if any, received by the City, its directors, officials, officers, employees, agents, and/or volunteers. This indemnity obligation shall survive the termination of this Agreement. [Remainder of page intentionally left blank.] -4- WEST~222861739.1 4-~ Q IN WITNESS WHEREOF, the parties hereto have entered into this Agreement as of the Effective Date. SAN DIEGO SPORTS COMMISSION, a California Nonprofit Corporation By: /,L/ ~ ~ K/~ /J Its: / ~/,~i CITY OF CHULA VISTA, a chartered municipal corporation APPROVED AS TO FORM G n R. Go gins , Ci Atto y -5- WES71222 8 6 1 73 9.I 4-~ Exhibit A - Utilize available SDSC resources, expertise and relationships to mazket the City as a premiere youth and amateur sports destination in San Diego County - Attend City meetings to ensure high level of communication o Parks and Recreation, Youth Sports Council, Chamber of Commerce, CVB and Hotel Association - Attend industry conferences, symposiums and networking events o NASC, TEAMS and Sports Link - Create/ add programming for City youth o Camps and Clinics o Tickets for Kids o Education and Leadership - Engage City based Businesses and Stakeholders o Sponsorship and Development o Community outreach o Regional inclusion - Provide quarterly reporting based on agreed upon metrics o Stay to Save utilization o Hotel pick up reports - Provide City with an Ex-Officio position on the San Diego Sports Commission's Boazd of Trustees -6- wES7122286I939.1 4-~ 2