04/01/2019 - SpecialMonday, April 1, 2019
2:00 PM
City of Clearwater
Main Library - Council Chambers
100 N. Osceola Avenue
Clearwater, FL 33755
Council Chambers - Main LIbrary
Council Work Session
Special Work Session
Special Work Session re Imagine Clearwater
April 1, 2019Council Work Session Special Work Session
1. Call to Order
2. Presentations
Presentation of financial feasibility model by Webb Management Services,
Inc.
2.1
3. Adjourn
Page 2 City of Clearwater Printed on 4/1/2019
Cover Memo
City of Clearwater Main Library - Council
Chambers
100 N. Osceola Avenue
Clearwater, FL 33755
File Number: ID#19-6012
Agenda Date: 4/1/2019 Status: Agenda ReadyVersion: 1
File Type: Action ItemIn Control: Council Work Session
Agenda Number: 2.1
SUBJECT/RECOMMENDATION:
Presentation of financial feasibility model by Webb Management Services, Inc.
SUMMARY:
This meeting is intended to provide information to council so that staff can help council make a
decision on the final size and scope of the bandshell at the April 4th council meeting. No
decisions are expected at this meeting.
In January of 2019, the City engaged Webb Management Services, Inc. to provide a study to
assess the feasibility of developing and operating a bandshell in “The Green” portion of the
Imagine Clearwater Master Plan.
The study was intended to be done in two parts, with this first part focusing on the viability of a
bandshell in terms of supply and demand issues in the operating environment. This portion of
the study included a review of project related materials and studies, a look at the arts and
entertainment sector as a whole, an assessment of the market, a competitive analysis,
interviews with potential users, research on touring product potential for the region,
identification of potential operating, programming, and development partners, determination of
community benefits and impacts, and research of comparable facilities.
In the initial phase of the work, the consultant provided a set of conclusions and
recommendations on the potential development of the facility and Council provided direction to
the consultant to inform his financial and operating model.
At this meeting, Mr. Webb will go recap the work he provided last month, and then work through
his conclusions with a focus on a recommended operating model, programming plan, staffing
requirements, facility management plan, pro-forma operating budget, and a critical path from
planning through the start of operations.
Additionally, Stantec will speak to some of the temporary roofing options that exist and provide
information that is intended to help council understand the effect of both a temporary and fixed
roofing system. This will be followed by Chris Sprague from Schuler Shook, our theatre
planning consultant, talking about some of the seating options and their effects.
Finally, staff will provide a picture of the overall financial effect, capital and operating, of the
proposed amphitheater and identify some pressure points that should be considered.
Again, staff is not asking for final decisions this afternoon, however we would like to prepare
you for some decision points Thursday night to include:
·Whether or not council is comfortable moving forward based on the financial
Page 1 City of Clearwater Printed on 4/1/2019
File Number: ID#19-6012
information
·Whether or not the council wishes to further pursue the retractable and/or structural
covering options for the primary audience
·Whether or not council is comfortable with a rake generally consistent with what is
shown in the plan
·Whether or not council is comfortable with moving forward with design based on the
entire site plan
APPROPRIATION CODE AND AMOUNT:
N/A
USE OF RESERVE FUNDS:
N/A
Page 2 City of Clearwater Printed on 4/1/2019
1
2
3
4
5
6
7
A programming mix that offers access to various stakeholders from around the
community.
Presenting activity can be musical acts booked by the City, or Co-Presented with a
Regional or National Partner (ie. Ruth Eckerd Hall, Live Nation, or AEG). Presenting
acts can also include smaller, informal, and free events that draw people to the park
on off-peak times.
EX: Mizner Park Amp budgets for 5 to 10 free events per year to attract
people into the downtown during the off-season. These events including presenting a
concert by the Florida Youth Orchestra and other small, informal events.
At the Bessant Amp in Panama City Beach, 12 free summer concerts are
presented each year. Talent is all local/regional and paid on average $2K for
performance. Style of music ranges from Country, rock, blues, and cover bands. The
City books 3 of the acts and contracts an entertainment company to book the other 9
Festival activity will continue in a similar capacity to how Coachman Park has already
been operating. Events such as Jazz Holiday, WILD Splash, Sea-Blues, and the Hispanic
Heritage Concert are all examples of successful festivals that are presented by City
with partnerships from local groups/nonprofits.
EX: Bessant Amp hosts 12-15 events each year, ranging from a Jazz Festival,
Car Festival, Wine Tasting, and Country Music Festival. These events draw maximum
audience capacity of 7500
8
Nonprofit Rentals offer local arts organizations an opportunity to rent the facility for
an event. Interest from Ruth Eckerd Hall and the Florida Orchestra already
demonstrates a demand for a space such as this for renting.
EX: The Capital City Amphitheater is used throughout the year for nonprofit
events, fundraisers, and smaller events. This type of events make up the majority of
the amphitheater’s annual activity.
Commercial Rentals offer regional and national presenters an opportunity to rent the
venue for their concert or event. These handful of events will attract national touring
acts.
EX: Pompano Beach Amp is now an “open venue,” where any local/national
promoter can rent the venue for an event. Previous attempts to partner exclusively
with AEG and Live Nation have not proved to be financially sensible deals
Community Events provide a wide range of community organizations. K-12 schools,
holiday/festive celebrations, etc. to take place at the facility. Current events like PB&J
Run and Fourth of July Festival will attract large numbers of people to events at the
park.
EX: St. Augustine Amp is used throughout the year as a community gathering
spot. Whether it is the weekly farmers market, evening flea markets, and art shows,
there are a number of reasons why people visit the Amphitheater besides live
entertainment. This is a key factor in the St. Augustine Amp’s success, because it
builds good will within the community.
8
Exclusive
9
The executive director is supported by a Programming and Marketing Director,
Technical Director, Ticketing and IT Manager, Operations Manager, and an
Administrative Assistant.
The Programming and Marketing Director’s primary responsibility is to publicize,
promote, and manage the scheduling/booking of events alongside the Executive
Director.
The Technical Director oversees a group of in-house and contract technical staff,
including lighting, sound, visual, and stage hand techs.
The Ticketing and IT Manager handles all online and in-person box offices logistics
and coordinates with the Programming and Marketing Director on all ticket related
marketing efforts.
The Operations Manager is responsible for day-to-day venue management and the
advancing of each event alongside the Technical Director.
The Administrative Assistant supports the Executive Director and assists in the
scheduling and coordination of community events.
Staffing for security, food and beverage, and event-specific needs will be procured
through an RFP process
10
The Amphitheater executive director will report directly to the Parks and Rec Deputy
Director
11
An Advisory Board is a necessary component to help build community support, trust,
and buy-in for the facility. With a number of special interest groups expressing their
displeasure with the facility plan, an Advisory Board can be the first step towards
alleviating those concerns. This group will be made up of community members and
provide local residents with a channel to communicate to the City.
EX: St. Augustine Amp executive director is a member of a number of local
neighborhood associations and groups that represent various special interests. Over
his 10-years managing the facility, these relationships and conversations have been
instrumental in generating good will and understanding the complaints/needs of the
community.
In all other comparable facilities, City Council is a sounding board for
operations, financing, and concerns regarding the amphitheater.
12
Booking and scheduling policies should reflect the community input outlined in the
Imagine Clearwater visioning process. With an emphasis on community access, local
groups will receive first priority to book the facility. Additionally, once a date is
booked by a local nonprofit/charity/festival, that group has the rights to that date for
each subsequent year.
EX: Capital City Amp manages the scheduling exactly like this, allowing
community groups to annually access the venue in a reliable and consistent manner
St. Augustine Amp priorities local events, graduations, and camps before
opening up their calendar to national promoters. This has not prevented them from
booking top-end talent because they believe artists have a strong desire to play there.
In their experience, that trumps booking priorities. By creating a great user
experience for artists, they are able to work around booking/routing conflicts
effectively.
13
A rate sheet detailing fees for community/nonprofit groups and commercial
organizations should include:
•Facility Access
•Staffing Costs
•Technical Costs (lighting, sounds, audio/video, additional equipment)
•Ticketing Fees
•Merchandise
•Food and Beverage
•Cleaning
Ex. Mizner Amphitheater’s Commercial Weekend Facility Access Fee-$4,300,
Nonprofit Weekend Facility Access Fee-$2,900. Facility Access fees vary based on use
of the space. Renters can access just the lawn for a significantly lower cost.
St. Augustine Amp Commercial Ticketed Event Facility Access Fee-$4,500 vs.. 12%
cap $10,000 day. Nonprofit/Government Ticketed Event Facility Access Fee-$1,500.
Commercial Ticketing Fee: $8.50/ticket, Nonprofit/Gov’t Ticketing Fee: $4.25. For
non-ticketed event, the base rent is the same for commercial events and $3,500 for
nonprofit/ government events
14
St. Augustine Amphitheater, Pompano Beach, and Mizner Park Amphitheater each
have open booking policies. Each believe this is in their best interest and allows them
to maximize the activity in the venue.
Previous exclusive relationships with Live Nation and AEG led to poor activity levels
and contract issues for both Mizner and Pompano Beach.
Successful exclusive relationships, like the Red Hat Amp in Raleigh and the Ascend
Amp in Nashville, require the City to seed all control over to the presenter. Both of
those examples are very successfully, but the City has had to sacrifice control and
access to Live Nation in exchange for their exclusive rights. Each of those venues are
treated like a venue first, and a park/community place second.
15
The importance of food and beverage is growing every year as deals with promotors
for talent is becoming more expensive. With the proper amount of food and beverage
and VIP experiences, Operators can diversify their revenue streams while ensuring
attendees have a high quality experience that encourages them to return.
Ex: St. Augustine Amp’s presenting fees and revenues cancel each other out, requiring
food and beverage, parking, VIP experiences, and sponsorships to generate enough
revenue so the venue nets a profit. In FY17, the venue earned $1.1M in concession
sales. The concessions vendor at the Amp distributes 25% of net Food revenue to the
Amp and 50% net Beverage revenue to the Amp.
16
17
18
19
Atlanta Chastain Park and Raleigh’s Red Hat Amphitheater used Acentech to help
solve their sound issues. Complaints due to sound drastically reduced.
Ascend Amp in Nashville used 10 EAZY to design a system that mitigates sound
issues. It too drastically reduced their issues from 40+ per year to a handful.
20
21
22
23
24
25
26