ANALYSIS:
On July 25, 2018, the Host Committee requested Miami Beach, as a Host City, to enact a "Clean Zone: providing that during Super Bowl week,that within a one (1) mile radius of any NFL or Host Committee event or activities (or, in the case of activities not currently requiring a permit, would prohibit the activities without a special event permit) on either public or private property suspending permitting for the following commercial activities:
- Mobile and/or temporary vending, such as food and beverage carts and temporary merchandise stands;
- Mobile and/or temporary sampling (free distribution of products or coupons);
- Off-site commercial advertising - any advertising visible from the outside of a building (including A-frame sidewalk signs and mobile advertising) that identifies a product or service not sold or manufactured on the premises;
- Inflatables, cold air balloons, banners, flags, building wraps, projected image signs, electronic variable message signing and light emitting diode signs of a commercial nature;
- Temporary structures (e.g. party tents, stages and merchandise tents) and temporary hospitality or entertainment venues (e.g. concert areas). This should include a suspension of premises expansion permits that may be required to temporarily permit certain activities on private property (e.g. alcohol sales and amplified sound);
- parades, races and block events; and
- erection or placement of mobile wireless communications facilities.
In addition, the Host Committee requested:
- a commitment from the City to generally assist the NFL in combating ambush marketing efforts during the Super Bowl overall while in Miami;
- a carve out from the City's agreement with Coca Cola whereby the exclusive contract with Coca Cola would be lifted during the course of the Super Bowl event such that no Coke products would be sold or branding and marketing would be displayed in the MBCC, Lummus Park (5-15th Street),and the main Convention Center park. This falls within the allowance for four such annual carve outs in the City's agreement with Coca Cola, and is part of the required "Clean Zone."
- An additional $250,000 cash sponsorship to designate the City of Miami Beach as the official sponsor and home of the NFL Experience and the International Media Headquarters with an expected registered attendance of 5,000 media representatives;
- The City of Miami Beach to cover all City service costs (including police, fire, sanitation, public works and parking, for example) - estimated to be approximately $250,000; and
- waiver of the following City's special event permitting fees totaling $178,250.
Inclusive of the already approved $150,000 cash sponsorship, the grand total in cash outlay requested by the Host Committee from the City and which would have a budget impact is $650,000.
The total in fee waivers requested is $1,035,790.80, inclusive of the already approved MBCC facility rental fee waiver in the amount of $857,540.80 and the new request for fee waivers totaling $178,250.
Therefore, the total sponsorship request, including both the cash outlay and the fee waivers is $1,685,790.80.
Pursuant to the new special event funding guidelines set forth in Ordinance 2018-4171, the City Commission, on July 2, 2018, referred this discussion item for consideration to the Finance and Citywide Projects Committee ("FCWCP") to be heard at the FCWCP July 13, 2018 meeting.
Although the ordinance is not effective until October 2018, the event consideration for sponsorship would meet the guidelines in the following manner:
1. Has the event applied for CAC or VCA? In this case, the event has not yet applied for CAC or VCA sponsorship, but has communicated with the VCA leadership and fully intends to apply for the maximum amount of funding for large scale events.
2. How many years has the event been active on Miami Beach? The Super Bowl Host Committee has produced events in Miami Beach during the following years: 1989, 1995, 1999, 2007, and 2010.
3. Does the event generate significant room nights on Miami Beach? As above, attached herein is an economic impact report as provided by the Greater Miami Convention & Visitor's Bureau, and prepared by the South Florida Super Bowl Host Committee, demonstrating 27.1% increased room occupancy across Miami-Dade County and 27.3% increased RevPAR across Miami-Dade County hotel properties.
4. What is the public benefit provided by the event? The Host Committee has provided the attached document outlining the resident public benefit (attached here as Exhibit A).
During the July 25, 2018 City Commission meeting, the Commission approved the request for a "Clean Zone," including a carve out from the Coca Cola contract, and the waiver of City special event fees in the amount of $178,250, for a total waiver of City permit and facility rental fees (including previously approved waivers) of $1,035,790.80 in addition to the previously approved $150,000 cash sponsorship.
In regards to the Host Committee request for an additional $250,000 cash sponsorship and the request for the City to cover all City service costs (including police, fire, sanitation, public works and parking, for example) - estimated to be approximately $250,000, this request was referred to the Finance and Citywide Projects Committee meeting to be discussed on September 14, 2018 for review and recommendation. The Commission asked for the Host Committee to clearly articulate a full benefits package which would provide a clear public benefit to residents and the community. The attached Exhibit A was sent to the City on August 29, 2018, and details the proposed resident benefits including a Legacy Gift to the City, along with a cover letter to the City Manager (attached herein as Exhibit B).
If approved, the additional cash sponsorship would be subject to budget appropriation in fiscal year 2020, and the full sponsorship package would be formalized though a sponsorship agreement.
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