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Staff Report1pW N OF ��otOS� DATE: TO: FROM: SUBJECT: MEETING DATE: 05/19/15 ITEM NO: H COUNCIL AGENDA REPORT MAY 13, 2015 MAYOR AND TOWN COUNCIL LES WHITE, INTERIM TOWN MANAG LOS GATOS MUSIC & ARTS A. AUTHORIZE THE TOWN MANAGER TO EXECUTE AN AMENDMENT TO THE AGREEMENT FOR SERVICES WITH LOS GATOS MUSIC & ARTS CONCERNING THE FUNDING AND ADMINISTRATION OF THE MUSIC IN THE PARK PROGRAM THROUGH SEPTEMBER 30, 2015. B. DIRECT STAFF TO COMPLETE NEGOTIATIONS FOR A NEW MULTI- YEAR AGREEMENT FOR SERVICES WITH LOS GATOS MUSIC & ARTS CONCERNING THE FUNDING AND ADMINISTRATION OF THE MUSIC IN THE PARK PROGRAM BY OCTOBER 15, 2015. C. AUTHORIZE AN EXPENDITURE BUDGET ADJUSTMENT IN THE AMOUNT OF $6,400 FOR THE ANNUAL REIMBURSEMENT OF $5,000 TO LGM &A AND THE TOWN'S HALF OF THE MUSIC LICENSE FEES OF APPROXIMATELY $1,400. THIS WILL BE FUNDED FROM THE MUSIC IN THE PARK DEFERRED REVENUE BALANCE OF APPROXIMATELY $12,810. RECOMMENDATION: 1. Authorize the Town Manager to execute an amendment to the agreement for services with Los Gatos Music & Arts concerning the funding and administration of the Music in the Park program through September 30, 2015. 2. Direct staff to complete negotiations for a new multi -year agreement for services with Los Gatos Music & Arts concerning the funding and administration of the Music in the Park program by October 15, 2015. 3. Authorize an expenditure budget adjustment in the amount of $6,400 for the annual reimbursement of $5,000 to LGM &A and the Town's half of the music license fees of approximately $1,400. This will be funded from the Music in the Park deferred revenue balance of approximately S 12,8 10. PREPARED BY: CHRISTINA GILMORE Assistant to the Town Manager Reviewed by: JIT f Assistant Town Manager i) own Attorney N:AMGRVAdmin WorkFflesA2015 Council ReponsVMay 19ALOS GATOS MUSIC AND ARTS AMENDMF,NT May 19 2015.docx PAGE MAYOR AND TOWN COUNCIL SUBJECT: LOS GATOS MUSIC & ARTS MAY 13, 2015 BACKGROUND: Music in the Park (MIP) is a series of free -to -the public concerts, which are held on Sunday afternoons from June through August on the Los Gatos Civic Center lawn. In 2009, the Town Council approved a five year agreement for the management and coordination of MIP be contracted to Los Gatos Music and Arts (LGM &A) (Exhibit A to Attachment 1). The existing agreement expired September 30, 2014. Staff met with representatives from LGM &A prior to the agreement expiration but was unable to finalize terns for a new agreement at that time. The amendment to the existing agreement is for the funding and administration of the Music in the Park program for the remainder of the calendar year, through September 30, 2015. DISCUSSION: Staff is in the process of negotiating a new multi -year agreement with LGM &A to continue the administration of the MIP concert series. The existing agreement between the Town and LGM &A expired on September 30, 2014. Staff met with representatives from LGM &A prior to the agreement expiration but was unable to finalize terms for a new agreement at that time. LGM &A has committed to administering the concert series in 2015, in addition to providing proposed terms for a new agreement prior to the conclusion of the 2015 concert series. Staff recommends that negotiations for a new multi -year contract for the funding and administration of the Music in the Park Program be completed by October 15, 2015 for Council review and consideration in November 2015. An amendment to the agreement for services between the Town and LGM &A through September 30, 2015 will enable LGM &A to continue the funding and administration of the concert series. Key provisions of the amendment (Attachment 1) are as follows: • The Town is amending the agreement to extend the tern of agreement to September 30, 2015. • The Town Manager or his /her designee, shall be the Contract Manager and shall render overall supervision of the progress and performance of this Agreement by the Town. • LGM &A will provide one annual report to the Town for the current term of this agreement. This report shall be due on October 30, 2015, or the first working day thereafter. • LGM &A must work with the Town to determine the locations of the porta- potties and recycling/trash containers and for the amount of time these facilities may remain on Town property. • The Town will hang banners advertising the MIP concert series, if and where banners are permitted, to be approved by the Contract Manager, at the Civic Center. PAGE MAYOR AND TOWN COUNCIL SUBJECT: LOS GATOS MUSIC & ARTS MAY 13, 2015 DISCUSSION (cont'd): LGM &A produces approximately 8 to 10 concerts each summer and is responsible for all fiscal accounting and management, fundraising, marketing, contract negotiations, administrative and logistical responsibilities for the summer concert series. In addition to providing the Civic Center Park for the concerts, the stage, some related equipment and Town staff costs, the Town reimburses LGM &A up to $5,000 annually from the funds that the Arts and Culture Commission raised for MIP prior to the 2009 agreement, and pays half of the music license fees for the concert series. CONCLUSION: It is recommended that the Town Manager execute an amendment to the agreement for services with Los Gatos Music & Arts concerning the funding and administration of the Music in the Park program through September 30, 2015. Staff also recommends that the Council direct staff to complete negotiations for a new multi -year agreement for services with Los Gatos Music & Arts concerning the funding and administration of the Music in the Park program by October 15, 2015. ALTERNATIVES: There are no viable alternatives to the recommended action listed above. COORDINATION: The content of this staff report was drafted in collaboration with the Finance Department and the Town Attorney's Office. FISCAL IMPACT: The annual reimbursement of $5,000 to LGM &A and the payment of the Town's half of the music license fees of approximately $1,400 will be funded from the Music in the Park deferred revenue balance of approximately $12,810. ENVIRONMENTAL ASSESSMENT: This is not a project defined under CEQA, and no further action is required. Attachments: Amendment to Agreement for the Funding and Administration of the Music in the Park Program (with Exhibit A)