City Council
MEETING DATE: 9/11/2018
TITLE:
Title
Contract Extension for Eric Davis, Special Events Sponsorship Specialist
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FROM:
Chris Parman, Communications and Events Manager
RECOMMENDATION:
Recommendation
Staff recommends a contract extension with Samuel Eric Davis for Special Event fundraising.
Body
BACKGROUND:
Since 2015, the City Council has approved a contract for services with Samuel Eric Davis to research, contact, and foster sponsorship revenue and in-kind revenue for Special Events coordinated, designed, and/or produced by the City of Cathedral City. Mr. Davis has done a fantastic job securing tens of thousands of dollars in sponsorship revenue for the City's three signature events (Cathedral City Hot Air Balloon Festival, Taste of Jalisco, and Cathedral City LGBT Days) as well as some of the smaller events like Halloween Spooktacular; East Palm Canyon Banner Program; Snow Fest; and Easter Kidapalooza.
DISCUSSION:
Mr. Davis’ most recent contract extension changed his compensation from $500 per month stipend and 20% of revenue raised for special events to no monthly stipend, but an increase of 30% of revenue raised. Although this has been beneficial to both parties for City produced events as costs only incur upon monies raised, it has been challenging for Mr. Davis on City events managed by third party producers. Mr. Davis has incurred additional time and expenses meeting with each third-party producer to generate a sponsorship contract, develop sponsorship packages, and collecting sponsorship revenue with local businesses. Mr. Davis has also incurred additional time and expenses for the implementation of sponsors’ requirements at City events.
The additional time and expenses incurred by Mr. Davis with the transition from the City producing all special events to the City contracting out the major special events to third party producers has made it less economical.
Mr. Davis has requested that his contract revert back to his previous contract with the City that compensates him with a $500 per month stipend and 20% of revenue raised for special events produced by the City. This contract is more equitable for the additional time and expenses incurred with four or more different producers. It also extends his contract through June 30, 2020.
FISCAL IMPACT:
The fiscal impact to the City would be no different than from previous years. The monthly stipend is offset by the lower percentage of fee charged. The benefit of Mr. Davis’ sponsorship fundraising over the past three years has allowed the City to provide a higher level of quality entertainment to its residents and visitors for the special events. This has lead to a higher level of guest satisfaction, City branding, interest from developers in our downtown, and additional revenue in the forms Transient Occupancy Tax from our hotels and short term vacation rentals as well as increased sales tax.
ATTACHMENTS:
Contract Extension for Eric Davis - Special Events