Item No.
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: OFFICE OF THE CITY MANAGER
BY: MARLON RAMIREZ, ASSISTANT TO THE CITY MANAGER
DATE: JULY 23, 2024
SUBJECT: ADOPTION OF A FEE WAIVER, TABLE SPONSORSHIP, FOURSOME
GOLF VOUCHER DONATION, AND SHOWMOBILE USE POLICY FOR
NON-PROFIT ORGANIZATIONS
EXECUTIVE SUMMARY
The City Council will consider the adoption of a Fee Waiver, Table Sponsorship, Golf Voucher Donation, and Showmobile Use Policy for non-profit organizations applying for special event/street closure permits, requests for donations of foursome golf vouchers, and table sponsorships for fundraising efforts.
RECOMMENDATION
That the City Council:
Adopt a Fee Waiver, Table Sponsorship, Golf Voucher Donation, and Showmobile Use Policy for non-profit organizations.
BACKGROUND
The City of Downey has a history of supporting nonprofit organizations as they provide much needed services to the community.
On April 9, 2024, the City Council requested that staff research and present options for a policy addressing fee waivers, donations, and table sponsorships for non-profit organizations due to the increase in the number of requests for fee waivers and table sponsorships that the City receives.
On June 11, 2024, staff presented several options for the Council's discussion . During the meeting, the City Council requested staff proceed with a proposed final policy for adoption. Below is a recap of the proposed policy:
1.Waiver of City Fees for Special Events and Parade/Street Closures : Allow fee waivers of 50 percent, with a not to exceed maximum amount of $4,750 per request.
APPROVED BY
CITY MANAGER
NON-PROFIT FEE WAIVER AND TABLE SPONSORSHIP POLICY
JUNE 11, 2024
PAGE 2
2. Table Sponsorships: Provide table sponsorships up to $3,500, one per year per organization.
3. Golf Foursome Voucher Donations: Maintain the status quo in how requests come in, but allow the City Manager to authorize approval and limit one per non- profit organization per year.
4. Showmobile Use: Formalize existing practice in the policy, and limit use to Downey based non-profits
ANALYSIS
City staff has prepared a comprehensive policy to support non-profit organizations by outlining procedures for fee waivers, table sponsorships, golf voucher donations, and the use of the City's showmobile. The policy aims to assist non-profits that provide community services, ensuring they can access necessary resources to host special events and activities in public places. The development of the policy will provide an administrative process for staff to follow to help ensure a transparent and equitable process, and to effectively review and manage the volume of requests, without the need for numerous reports to Council for discussion and consideration . The policy key terms such as City Facilities, Departmental service charges, Non-Profit Organization, Downey-based non- profit organizations, and City Fees are clearly defined to avoid ambiguity.
Fee waivers are available for special events, parades, and street closures, covering permit application fees, department service charges, showmobile use fees, and other city costs. Non-profits must be local, provide community services, and meet specific eligibility criteria, ensuring the event benefits the public. Fee waivers can cover up to 50 percent of eligible fees, not exceeding $4,750 annually per organization, and are limited to one event per year. The amount stems from the average of the events in the last year, removing the outlier event where the City Council waived $8,951 in fees due to the extra staff resources to assist with planning and day of closures.
Table sponsorships are capped at one per year per organization, with a maximum amount of $3,500. The policy also includes provisions for donating foursome golf vouchers for fundraising events. Eligible non-profits must meet defined criteria and submit written requests 30 days prior to the event. Each organization is limited to one voucher donation per year.
The use of the city’s showmobile is restricted to Downey-based non-profits, requiring application as part of their event permit or street closure/parade application. Each non - profit can use the showmobile once per year, with all applicable fees to be paid unless waived under the fee waiver section.
The Administration Department will review and track all request for compliance with the policy. This policy enhances efficiency by providing streamlined procedures for non - profits to apply for assistance, while maintaining transparency through clear criteria, limits, and regular reporting. Non-profit organizations must be in good standing with the City,
NON-PROFIT FEE WAIVER AND TABLE SPONSORSHIP POLICY
JUNE 11, 2024
PAGE 3
including having an active City business license, active registration with the California Franchise Tax Board, and have an active non-profit exempt status with the Internal Revenue Service.
The Policy also authorizes the City to deny the request for non -profit organizations seeking a fee waiver if it is determined that false information, statements, or reports have been provided. Additionally, if the City determines that an event for which a non -profit organization received a fee waiver had excessive law enforcement incidents, public disturbances, criminal acts, excess trash, noise violations, or any other breaches of City regulations, the City reserves the right to refuse future fee waivers to that organization.
CITY COUNCIL PRIORITIES
Fiscal Responsibility
Economic Vibrancy
Quality of Life, Safety & Infrastructure
FISCAL IMPACT
Approval of a policy will result in a reduction of City revenues.
ATTACHMENTS
Attachment A: Fee Waiver, Table Sponsorship, Foursome Golf Voucher Donation, and Showmobile Use Policy For Non-Profit Organizations
CITY OF DOWNEY
POLICY REGARDING FEE WAIVERS, TABLE SPONSORSHIPS, FOURSOME GOLF
VOUCHER DONATIONS, AND SHOWMOBILE USE FOR NON-PROFIT
ORGANIZATIONS
1.PURPOSE
To provide policies and procedures for assisting non-profit organizations including requests and approvals of fee waivers related to special events and activities in public places, table sponsorships, donation of golf foursome vouchers, and the use of the City’s showmobile.
Policy. The City of Downey ("City") recognizes the value of assisting non-profit organizations to provide services beneficial to the community. In an effort to provide support to these organizations that provide a community benefit, the following procedures have been established for determining the following types of assistance for non-profit organizations:
1.Fee Waivers related to special events, parades, and street closures
2.Table Sponsorships
3.Foursome Golf Voucher Donations
4.Showmobile Use by Non-Profit Organizations
Definitions
City Facilities: Are all City owned facilities, including but not limited to streets, alleys, sidewalks, public places, public property or public right of ways.
Departmental service charges: Are the actual costs which a department of the City incurs in connection with activities for which a permit is required including, but not limited to, costs associated with fire safety, traffic, and/or pedestrian control, water safety, the closure of streets or intersection(s) for the diverting of traffic, the salaries of City personnel involved in the administration or coordination of City services for the event, the cost to the City to provide support personnel, equipment, materials and supplies, and related City costs such as fringe benefits or employee overtime.
Non-Profit Organization: Is an organization providing services to community, and is registered with a Federal non-profit exempt status (i.e. 501 (c)(3)) that is organized primarily for community, veteran, youth, patriotic, welfare, civic betterment, or charitable purposes; the non-profit organization has an active City business license, active status with the California Franchise Tax Board, and active status with Internal Revenue Service; and each non-profit organization, regardless of the number of branches or affiliations, shall be considered one entity/organization and be subject to the all applicable benefit limits in this policy.
ATTACHMENT A
2 Downey-Based Non-Profit Organization: A non-profit organization that is primarily located or based in Downey and provides services to the community. It shall meet all the requirements of the Non-Profit Organization definition except for the location, which must be in Downey.
City Fees: Are fees, costs and charges established by the City of Downey including permit application fees, departmental service charges, and equipment rental fees.
2. FEE-WAIVER FOR SPECIAL EVENTS, PARADES, AND STREET CLOSURES Fees related to special events may be waived pursuant to this Section 2.C of this Policy, if the applicant is eligible for a fee waiver under Section 2.D of this Policy.
Fees Eligible for Consideration. Fees and charges eligible for waiver under this policy are:
1. Permit application fees
2. Department service charges
3. Showmobile use fee and labor cost
Authority
1. The City Manager may waive City fees if the appropriate criteria and requirements are met.
2. All fee waiver requests must first be presented to the Administration Department for review and approval or denial.
Eligibility for Fee Waiver. The City Manager may waive fees and charges, pursuant to Sections 2.A and 2.B of this policy, for a non-profit organization if it determines that the non-profit organization, as defined by Section 1.C, is providing services to the community; and
1. The proposed event or program shall have no detrimental impacts on the existing City facilities or department activities; and
2. The Fee Waiver request is submitted prior to the date of the event along with the Special Event Permit or Parade Permit/Street Closure Application.
Please refer to Section 2.E for specific guidelines; and
3. If the event requested for fee waiver is a fundraiser, the organization must use funds raised for the general benefit to the Downey community; and
4. Fee waiver requests shall be limited to community events, and such events must be advertised, open to the public and no entrance fee shall be charged for the event; and
5. Non-profit organizations which receive fee waivers are not associating political activities or supporting or endorsing any candidate for office, ballot measure or other political measure with the event/activities for which they receive such waivers; and
6. In no event shall the City approve a fee waiver for any for-profit individual, group or organization; and
7. In no event shall the City approve any non-profit organization having an outstanding balance with the City for unpaid fees, including fees
3 associated with special events and activities, business license, or any other City fees or charges; and
8. Non-profit organizations currently receiving funding under the City’s Community Benefit Organization (CBO), HOME, or CDBG program shall not be eligible for a fee waiver.
Procedure
1. Fee Waiver request must be submitted along with a Special Event Permit and Parade/Street Closure Application to be considered by the City.
2. Non-profit organizations must provide proof of their Federal and State tax- exempt or non-profit status at the time the Application is submitted.
3. Request is approved or denied by the City based on criteria established in this policy.
4. Within thirty (30) days after the conclusion of an event in which fees have been waived, the City may request a report from the Applicant providing details on various performance metrics related to the event, including attendance, economic impact, security incidents, community engagement, environmental impact, and post-event feedback.
5. If it is determined by the City that false information, statement or report has been provided by the non-profit organization seeking or receiving a fee waiver granted pursuant to this policy, the non-profit organization will not be eligible for a fee waiver in the future.
6. If the City determines that an event for which a non-profit organization received a fee waiver had excessive law enforcement incidents, public disturbances, criminal acts, excess trash, noise violations, or any other breaches of City regulations, the City reserves the right to refuse future fee waivers to that organization.
Fee Waiver Limit. 50 percent of the total eligible fees, as specified in Section 2.A, however, the waiver amount shall not exceed $4,750 per request.
3. TABLE SPONSORSHIPS
Authority. The City Manager may approve a table sponsorship request, submitted by an eligible non-profit organization, in an amount and level not to exceed the limitations set forth under Section 3.D.
Eligibility
1. Non-profit organizations, as defined under Section 1.C;
2. Non-profit organizations having an outstanding balance with the City f or unpaid fees, including fees associated with special events and activities, business license, or any other City fees or charges as deemed outstanding by the City Manager shall not be eligible for a table sponsorship.
4 Procedure
1. Non-profit organizations shall submit a letter addressed to the City Council requesting a table sponsorship at least thirty (30) days before the event.
2. Letter shall include the date, time, background of the organization, and level of sponsorship being requested, and number of guests per table.
3. The City may ask the non-profit organizations to provide proof of their Federal tax-exempt and State Tax-exempt non-profit status at the time the letter is submitted.
Table Sponsorship Limit
1. Eligible non-profit organizations shall be limited to one (1) table sponsorship per fiscal year at an amount not to exceed $3,500.
4. FOURSOME GOLF VOUCHER DONATIONS
The City Manager may approve a donation of a Foursome Golf Voucher for one (1) round of golf at the Rio Hondo Golf Club, submitted by an eligible non-profit organization, not to exceed the limitations set forth in this section, and under the following criteria established under Section 4.B.
Eligibility For a Foursome Golf Voucher Donation
1. Non-profit organizations shall meet all criteria as defined pursuant to Section 1.C of this policy.
2. Foursome golf voucher donations shall be limited to fundraising events only.
Procedure. Non-profit organizations shall request a foursome golf voucher donation in writing 30 days prior to fundraiser event. Written request shall include background information on the fundraising event, including the date, time and of the golf event.
Golf Foursome Donation Limit. The City Manager may grant one (1) foursome golf voucher donation to each non-profit organization once per fiscal year.
5. USE OF SHOWMOBILE BY NON-PROFIT ORGANIZATIONS
Eligibility
1. The use of the Showmobile shall only be rented to Downey Based-Non- Profit Organizations, as defined in section 1.C, that are organized and established in the City, and have their principal and permanent meeting place in the City.
5 2. Applicant shall submit a few waiver request along with their Special Event Permit or Parade Permit/Street Closure Application.
3. If it is determined that a non-profit organization causes damage the Showmobile by improper use or negligence, the City shall reserve the right to refuse the rental of the Showmobile for future events.
Procedure. Non-profit organizations shall request the use of the showmobile as part of their Special Event Permit or Parade Permit/Street Closure Application.
Showmobile Use Limit. Eligible non-profit organizations shall be allowed to use the City’s showmobile once per fiscal year for a single community event, and the organization shall pay all applicable use and labor fees in advance, unless the use is specifically waived under an approved fee waiver under Section 2 of this policy.
6. ADMINISTRATION
Review and Revision. It is the responsibility of the City Manager or his/her designee to review and update of this policy and procedure as needed.
Auditing. Staff will track all fee waivers, table sponsorships, foursome golf voucher donations, and use of the showmobile that have been approved and issued during the fiscal year, including the organizations and the amounts waived for each organization.