Item Coversheet

New Business and Commission Requests - R9  K




COMMISSION MEMORANDUM

TO:Honorable Mayor and Members of the City Commission 
FROM:Raul J. Aguila, Interim City Manager 
DATE:February  10, 2021
 



SUBJECT:DISCUSS, AND TAKE ACTION IF NECESSARY, REGARDING THE SPONSORSHIP OF THE 2021 PRO FOOTVOLLEY TOURNAMENT IN NORTH BEACH.

RECOMMENDATION

This item was referred by the December 18, 2020 Finance and Economic Resiliency Committee meeting to the February 10, 2021 City Commission meeting with an unfavorable recommendation. After thorough due diligence, including internal and external level inquiries on the event and receiving unfavorable recommendations, the Administration does not recommend sponsoring the 2021 Pro Footvolley Tournament.

BACKGROUND/HISTORY

At the December 9, 2020 City Commission Meeting, Vice-Mayor Meiner submitted a discussion item regarding the sponsorship of 2021 Pro Footvolley Tournament  on North Beach.

 

The initial request by the event producer included:

1) a cash sponsorship not to exceed $25,000,

2) a waiver of City special event permit fees in an amount not to exceed $15,000, and

3) a City contribution for event-related public services (Police, Fire, and Sanitation), in an amount not to exceed $15,000.

 

As part of the discussion, the Pro Footvolley Tour event, retracted their initial request for cash sponsorship, and confirmed their request to be solely for the waiver of City special event permit fees, and a City contribution for event-related public services (Police, Fire, and Sanitation), in an amount not to exceed $15,000 for the entire Footvolley season.

 

Miami Beach previously hosted the 2018 World Footvolley Classic in North Beach. The event two (2) day event was held April 6th through 8th, 2018. The event organizers requested and received a waiver of $7,546.00 in special event fees (including applications fee, permit fee, vehicle access passes, square footage fees, sales tax on square footage fees, and Police administrative fees).

 

The Finance and Economic Resiliency Committee met on December 18th, 2020, and discussed the sponsorship of the waiver request by The Pro Footvolley Tour.

 

The Administration shared that the event's amount of the City services waiver summed up to form each department's submittal of projected fees for the complete event timeline of 26 weeks, from March through October 2021, 4 days a week every Thursday, Friday, Saturday, and Sunday at 4 hours a day.

 

In gathering past information from the event, the previous event partner, the City of Hollywood CRA, was contacted for a reference. The City of Hollywood CRA did not recommend partnering with the Pro Footvolley Tournament due to no return on investment (ROI). Upon receiving this information, the FERC directed the Administration to conduct further investigation and provide the following information at the January 13th City Commission meeting:

 

  1. Provide an economic analysis of past Pro Footvolley events sponsored by the City of Miami Beach and identify potential economic benefits; and
  2. Contact past City of Miami Beach staff who oversaw or worked on past Pro Footvolley events for references.

ANALYSIS

Following the directive from the December 18th, 2020 FERC meeting, the Administration conducted further due diligence on the previous Pro Footvolley Tournament, held in the City of Miami Beach in 2018. Previous staff that directly worked on this event did not recommend partnering with the event organizer. Staff reported that issues arose with the event organizer's inability to manage the event, which placed burden on City staff and resources. City staff found the event organizer did not adhere to the City's policies and regulations when coordinating the tournament. This resulted in the event organizer receiving Code violations. The case is under ‘Fine Owed’ status, and the fine of $1,000 is still owed. FERC directed this item be referred to the February 10, 2021 Commission meeting with  an unfavorable recommendation.

SUPPORTING SURVEY DATA

N/A

FINANCIAL INFORMATION

Special events taking place in Miami Beach which seek funding typically apply through the Miami Beach Visitor and Convention Authority (“MBVCA”), a public-private entity that offers reimbursable grants from Resort Tax collections. The approval and value of these grants is based on target criteria. The event must demonstrate, including Miami Beach hotel room nights and media impressions. The minimum number of Miami Beach hotel room nights for MBVCA grant consideration is 350, unless the event occurs in North Beach, where the minimum requirement is 75 Miami Beach hotel room nights. Accordingly, the event needs to work with the VCA to establish the impact the event will have on hotel room nights in Miami Beach.

Amount(s)/Account(s):

The following is the approximate cost of City Services to cover the Pro Footvolley Tournament for twenty-six (26) weeks, four (4) days a week, at four (4) hours a day. The proposed location would be directly on the beach, in the North Beach area of Miami Beach, between 71st Street and 72nd Street.  The 2021 Pro Footvolley season would be held from March through October 2021, includes matches scheduled every Thursday, Friday, Saturday, and Sunday from 12-4 pm.

 

FINANCIAL INFORMATION

City Services Waivers include:

Miami Beach Police                         $22,800

Miami Beach Fire                            $29,120

Miami Beach Sanitation                   $7,760

Miami Beach Special Event            $3,016

Miami Beach Parks                         $11,796

Total City Service Fee Waivers    $74,492

CONCLUSION

After thorough due diligence, the Administration could not find any City documentation providing an economic analysis of the 2018 Pro Footvolley Tournament. The 2018 City-sponsored Tournament was a two (2) day event and would not give an accurate forecast of the event's financial impact to the City, compared to the proposed 2021 event schedule of twenty-six (26) weeks, four (4) days a week, four (4) hours a day.  Internal inquiries performed on the 2018 event reported an unfavorable recommendation regarding future sponsorships of the event. As of January 26th, 2021, the event has a current Code violation obtained during the 2018 event and a "Fine Owed" status with an amount still owed of $1,000.00. Based on the aforementioned, the Administration does not recommend the sponsorship of the 2021 Pro Footvolley Tournament.

Applicable Area

North Beach
Is this a "Residents Right to Know" item, pursuant to City Code Section 2-14? Does this item utilize G.O. Bond Funds?
No No 
Legislative Tracking
Tourism and Culture
Sponsor
Sponsored by Vice-Mayor Meiner

ATTACHMENTS:
Description
2021 Pro Footvolley Tour
ProFootvolleyCitation
ProFootvolleyCitationInvoice