Title
Chief Administrative Office, Economic Development Division, recommending the Board approve and authorize the Chair to sign Amendments to the following Promotions Contracts, extending the terms and increasing the funding amounts:
1) Agreement No. 526-F1211, Amendment II - American River Music, Inc. $47,776.26;
2) Agreement No. 305-F1111, Amendment III - El Dorado Arts Council $152,196.70;
3) Agreement No. 245-F1111, Amendment III - El Dorado County Chamber of Commerce, Visitors Authority $254,380.44;
4) Agreement No. 247-F1111, Amendment IV - El Dorado Hills Chamber of Commerce $141,438.09;
5) Agreement No. 246-F1111, Amendment V - El Dorado County Chamber of Commerce, El Dorado Lake Tahoe Film and Media Office $155,050.16; and
6) Agreement No. 527-F1211, Amendment III - Lake Tahoe South Shore Chamber of Commerce $92,708.59.
FUNDING: General Fund/Transient Occupancy Tax (TOT).
Body
BUDGET SUMMARY: |
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Total Estimated Cost
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$843,550.24 |
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Budget - Current FY 14-15
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$632,662.68 |
Fiscal Year 15-16 |
$210,887.56 |
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|
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Total Funding Available
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$843,550.24 |
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Change To Net County Cost
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$ 0.00 |
Fiscal Impact/Change to Net County Cost
No change to Net County Cost. Funding for payments for October 2014 through June 2015 is included in the FY 2014-15 Adopted Budget. Funding for payments for July 2015 through September 2015 will be included in the FY 2015-16 Recommended Budget.
Background
At the October 22, 2013 Board of Supervisors meeting, the Board approved Promotions contracts and amounts for each of the entities listed below:
1) Agreement No. 524-F1211, Amendment I - American River Music, Inc. $47,776.26;
2) Agreement No. 305-F1111, Amendment II - El Dorado Arts Council $140,909.82;
3) Agreement No. 245-F1111, Amendment II - El Dorado County Chamber of Commerce, Visitors Authority $235,515.64;
4) Agreement No. 247-F1111, Amendment II - El Dorado Hills Chamber of Commerce $130,949.07;
5) Agreement No. 246-F1111, Amendment IV - El Dorado County Chamber of Commerce, El Dorado Lake Tahoe Film and Media Office $143,551.67; and
6) Agreement No. 527-F1211, Amendment I - Lake Tahoe South Shore Chamber of Commerce $85,833.34
Economic Development Division is recommending an increase in the above contracts, as well as an extension in order to develop an effective policy document for Promotions funding.
The rationale for the recommended increase is based on language in Section III in each of the Promotions contracts which reads that contract amounts "shall be adjusted up or down annually at a rate equal to the percentage change in the amount allocated by the Board of Supervisors for Promotions grants within the County Promotions Budget."
The formula utilized to compute the increase is based on the increase in the amount of Transient Occupancy Tax (TOT) available for Promotions and the Economic Development program. This data was calculated by the County Chief Budget Officer and Chief Financial Officer. According to this data, the amount of TOT received during FY12-13 and made available for Economic Development, at the 75% threshold, was $1,475,696. For FY13-14, that amount was $1,593,902, reflecting an increase of 8.0%. The recommended increase in these contracts below is exactly commensurate with that percentate change, quantified below:
Agreement No. 524-F1211
American River Music, Inc.
Fiscal year 13-14 Funding: $ 44,237.28
Fiscal year 14-15 Funding (Recmd): $ 47,776.26
Agreement No. 305-F1111
El Dorado Arts Council
Fiscal year 13-14 Funding: $140,909.82
Fiscal year 14-15 Funding (Recmd): $152,196.70
Agreement No. 245-F1111
El Dorado County Chamber of Commerce, Visitors Authority
Fiscal year 13-14 Funding: $235,515.64
Fiscal year 14-15 Funding (Recmd): $254,380.44
Agreement No. 247-F1111
El Dorado Hills Chamber of Commerce
Fiscal year 13-14 Funding: $130,949.07
Fiscal year 14-15 Funding (Recmd): $141,438.09
Agreement No. 246-F1111
El Dorado County Chamber of Commerce, El Dorado Lake Tahoe Film and Media Office
Fiscal year 13-14 Funding: $143,551.67
Fiscal year 14-15 Funding (Recmd): $155,050.16
Agreement No. 527-F1211
Lake Tahoe South Shore Chamber of Commerce
Fiscal year 13-14 Funding: $ 85,833.34
Fiscal year 14-15 Funding (Recmd): $ 92,708.59
Economic Development Division staff was tasked with drafting a policy regarding Promotions contracts to define their purpose and application, and is therefore requesting this extension of existing contracts in order to properly construct a policy that will effectively meet County objectives while providing direction and resources to Promotions contractors. Additionally, staff will work with American River Music, Inc., to identify additional, sustainable private funding sources for future use.
Reason for Recommendation
Lake Tahoe South Shore Chamber of Commerce - supports the Encounter El Dorado Program designed to expand on current promotional and attraction strategies by developing a multi-faceted approach to leverage the initiatives already undertaken by multiple entities. Encounter El Dorado encourages collaboration between South Shore and West Slope projects.
El Dorado Arts Council - supports the Incubating Arts Excellence in El Dorado County strategy of building upon previous success in establishing El Dorado County as an arts and entertainment destination. The programs supported by the Arts Council augment general tourism and winery-related tourism activities, while benefitting people who live in El Dorado County.
El Dorado Hills Chamber of Commerce - supports a series of tourism promotional events (The Art Affair, Live on the Boulevard, Fireworks Jubilee, and Highway 50 Co-operative Marketing Council) and the El Dorado Hills-based California Welcome Center. The State of California established California Welcome Center is the most visited tourist information center between Nevada and San Francisco along the Highway 50 corridor, providing El Dorado County businesses a sizeable platform from which to promote themselves both to the recreational tourist but also international visitor.
El Dorado Lake Tahoe Film and Media Office (El Dorado County Chamber of Commerce) - supports the economic growth of El Dorado County by promoting the natural, historical, cultural, recreational and human resources of the County to the film industry, serving as the liaison between film companies and local businesses, governments, individual community members and philanthropic organizations. Since the Film Office opened in 1993, El Dorado County has been able to attract film companies by creating the necessary conditions for the ease of filming on location, advertising the County's amenities and tailoring its marketing program to target those producers and projects that are most suitable to the county.
El Dorado County Visitor's Authority Council (El Dorado County Chamber of Commerce) - supports the countywide marketing program that positions El Dorado County as a year-round travel destination. The Visitors Authority Council, consists of 30 trade and industry representatives who help to coordinate and promote El Dorado County as the Sierra Nevada all season recreation and destination tourism location.
America River Music, Inc. - supports the mission to teach, inspire and enjoy music in Northern California, and to provide musical workshops at various times and locations; and to organize and assist in music camps throughout El Dorado County and Northern California. Revenues from the annual American River Music Festival will be used to support music education programs while promoting tourism in El Dorado County.
Clerk of the Board Follow Up Actions
Clerk of the Board to obtain the Chair's signature and forward the amendments to the CAO Procurement & Contract Division for processing.
Contact
Jim Claybaugh, Economic & Business Relations Manager, ext. 7539