SPECIAL CITY COUNCIL
Meeting Agenda
Friday, October 14, 2022
2:30 PM
City Hall Council Chamber
44950 Eldorado Drive, Indian Wells, CA 92210
Welcome to a meeting of the Indian Wells City Council.
Public Comments: Members of the Public who wish to speak should fill out a blue slip and submit it to the City Clerk, comments are limited to 3 minutes. In accordance with State Law, remarks during public comment are to be limited to subjects within the City's jurisdiction.
Notification: If you are an individual with a disability and need a reasonable modification or accommodation pursuant to the Americans with Disabilities Act (ADA) please contact the City Clerk at 760-346-2489, 48 hours prior to the meeting.
Please turn off all communication devices (phones) or put them on non-audible mode (vibrate) during Council proceedings. All documents for public review are available for public inspection at City Hall reception, 44-950 Eldorado Drive, Indian Wells during normal business hours.
Pages
A.CONVENE THE INDIAN WELLS CITY COUNCIL, PLEDGE OF
ALLEGIANCE AND ROLL CALL
MAYOR DANA REED
MAYOR PRO TEM DONNA GRIFFITH
COUNCIL MEMBER GREG SANDERS
COUNCIL MEMBER RICHARD BALOCCO
COUNCIL MEMBER ROB BERNHEIMER
B.APPROVAL OF THE FINAL AGENDA
C.PUBLIC COMMENTS
Members of the Public who wish to speak on an item on listed on the special-agenda may do so at this time. Public comments are limited to 3 minutes. Speakers will be alerted when their time is up and no further comments will be permitted.
D.CITY ATTORNEY REPORTS AND COMMENTS
E.GENERAL BUSINESS
The Mayor will call upon the members of the public to address the Council regarding the agenda item being considered. After the public has provided comment, the item is closed to further comment and brought to the Council for discussion and action.
E.1.Sponsorship Request for City of Indian Wells as an Official Partner City for Acrisure Arena
4 RECOMMENDED ACTION:
Council CONSIDERS the Official Acrisure Arena Partner City sponsorship request for $150,000 and if Council desires; AUTHORIZES City Manager to negotiate and execute a five-year sponsorship agreement with Acrisure Arena; and
APPROVES the use of $150,000 for Fiscal Year 2022-23 and $156,000 for 2023-24 with an option to opt out after the second year.
Special Council Meeting Agenda October 14, 2022
F. ADJOURNMENT
To a regularly scheduled meeting of the City Council to be held at 1:30 P.M. on November 3, 2022 in the City Hall Council Chamber.
Affidavit of Posting,
I, Angelica Avila, certify that on October 12, 2022 I caused to be posted a notice of a Special Council Meeting to be held on October 14, 2022 at 2:30 P.M. in the City Hall Council Chamber.
Notices were posted at Indian Wells Civic Center and City's Website [ www.cityofindianwells.org]
________________________
Angelica Avila, City Clerk
Special Council Meeting Agenda October 14, 2022
INDIAN WELLS CITY COUNCIL
October 14, 2022
To: City Council
From: City Manager Department
Prepared by: Micaela Wilkey, Senior Management Analyst
Subject: Sponsorship Request for City of Indian Wells as an Official Partner City for Acrisure Arena
RECOMMENDED ACTION:
Council CONSIDERS the Official Acrisure Arena Partner City sponsorship request for $150,000 and if Council desires;
AUTHORIZES City Manager to negotiate and execute a five-year sponsorship agreement with Acrisure Arena; and
APPROVES the use of $150,000 for Fiscal Year 2022-23 and $156,000 for 2023-24 with an option to opt out after the second year.
DISCUSSION:
On October 6, 2022, the Council discussed the sponsorship opportunity to be the Official Partner City for Acrisure Arena (Arena). Staff brought forth this sponsorship proposal to further enhance tourism to Indian Wells and at the Indian Wells Golf Resort to the local drive and Seattle markets.
Before making any determination, Council appointed an Ad Hoc Committee of Mayor Pro Tem Griffith and Councilmember Bernheimer to review the proposal details, discuss the merits with Visit Greater Palm Springs (Visit GPS), and obtain values for the various sponsorship items. In addition, the Ad Hoc Committee met with representatives from the Arena to obtain clarification of sponsorship benefits and to seek added benefits for the City’s participation.
The brand-new arena in the Coachella Valley, is looking to develop a long-term exclusive partnership with a City. The City of Indian Wells has been given first chance to negotiate a partnership with the Arena and become the exclusive Official Partner City. The Arena will be home to the only professional sports team in the Coachella Valley, the Coachella Valley Firebirds, an AHL affiliate of the Seattle Kraken. With the Arena’s strategic
partnership with Live Nation, it will also be home to numerous family and music industry acts. Annually, the Arena is expecting to host 110 events (e.g., 35 Firebirds games, 35 family shows and 40 concerts) and growing to more in the future. The venue is owned and operated by Oak View Group who owns and operates four other arenas (Seattle- Climate Pledge Arena; New York-USB Arena; Savanah-Enmarket Arena; and Austin- Moody Center).
Visit GPS' marketing consultant, JNS Next Creative & Media Hub, provided a valuation of the diverse benefits being offered by the Arena as the Official Partner City. The conservative total valuation is $570,000 per year, not including added benefit of social media and press release impressions. JNS’ valuation of the sponsorship deal points is attached. The sponsorship proposal is also attached and provides the minimum benefits to be provided.
Highlights of the Sponsorship Opportunity
Advertising at four Firebird games in Seattle at the Climate Pledge Arena to Visit Indian Wells in 2022 (Value $65,900)
o Presented by Sponsor–Four games will be known as the Seattle Series Presented by the City of Indian Wells. This includes Indian Wells logo and graphics for game day that are displayed on the lower corner of the main video screen of the Arena and Dasher Boards (Monitors) located around the hockey playing surface.
o Live radio reads three to four times a game for radio broadcasts. o Ability to do giveaway partnerships with hotel, Indian Wells Golf Resort, and airlines to visit Indian Wells.
o Potential marketing opportunities at Seattle Kraken Suite ticket holders’ charity fundraisers.
Advertising in Seattle at the Climate Pledge Arena to Visit Indian Wells beyond 2022 (Value to be determined)
o The Firebirds’ season in Seattle begins next week. It is currently unknown how many Firebirds games will be played in Seattle in future years and the Climate Pledge Arena is unable to negotiate future benefits at this time.
Prior to the City Manager signing the final contract, some additional benefits will be specified in the agreement, with the target of receiving similar market value. We have discussed the following (although nothing can be confirmed at this time):
Direct email marketing opportunities to Kraken ticket holders. Special give aways at Kraken games promoting Visit Indian Wells. Other advertising opportunities at the Climate Pledge Arena.
Marketing of Indian Wells inside and outside the Acrisure Arena for all events. (Value $329,900)
o Advertisement of the City on the three (3) double-sided arena digital marquees (electronic billboards) along Interstate 10 for 15 minutes per
day1. One marquee display is 40 feet by 70 feet in size and the other two marquee displays are 26 feet by 45 feet in size. This will generate over 21 million impressions per year.
o Significant coverage on all digital signage inside and around the Arena similar to other corporate sponsors, including on the scoreboard, dasher boards (at the ice level), arena LED digital ring (display that surrounds the inside of the entire arena below the suites), and other digital message boards within the seating bowl and the entire facility. o Indian Wells branding on arena stage located in the Arena Plaza. o Recognition as the sponsor of the “Three Stars of the Game,” most valuable players.
o Designation as “Official Partner City of the Coachella Valley Firebirds and Acrisure Arena.”
Indian Wells coverage on the Acrisure Arena/Firebirds website. (Value $13,000) Resident Benefit Program (Value $33,000)
o 5 Coachella Valley Firebird games with 50-100 tickets to each game for resident benefit card holders and the ability to purchase extra tickets at 50% off. One game designated as Indian Wells Night with 200 tickets.
o Minimum of one event per quarter for “Pre-Sale” ticket opportunities for Indian Wells Residents, with unique Pre-Sale code.
Creation of a City Mural to be on display at the arena with the other Coachella Valley cities (Desert 9). (Value $11,700)
Ability to use the Acrisure Arena floor and other facilities up to three times a year. (Value $32,000)
Additional benefits included in the attached proposal.
Acrisure Arena partners have agreed to provide the City of Indian Wells with in -kind marketing and exposure during the Firebirds game in Seattle next week as the City considers this updated proposal.
The Ad Hoc Committee, Visit GPS, and staff met this week to review the sponsorship proposal. Visit GPS, who serves as the City’s tourism partner and a dvisor, is supportive of the City of Indian Wells partnering with the Arena, believes the benefits are of significant value to Indian Wells, and will complement Visit GPS efforts to market Indian Wells as a tourist destination, especially in the Seattle market. Visit GPS already invests $250,000 to market the Coachella Valley in Seattle and they can use their existing budget to complement the City’s sponsorship. In addition, the local resort General Managers are also supportive of the sponsorship opportunity.
The revised proposal with the added benefits in the Seattle Market are now presented in a five-year agreement. However, the City may still terminate the agreement after two
1 According to CalTrans – Approximately 121,000 cars drive by the arena per day.
years if the City does not believe it is receiving sufficient value . Additionally, the Arena will meet with the City at least twice per year to review the actual benefits the City receives and adjust as may be needed. Updates on the Arena partnership will be provided to the Marketing Committee and the City Council. In addition, the Arena has provided the City some flexibility to promote not just Visit Indian Wells but the Indian Wells Golf Resort, including Shots in the Night, and other City approved advertising, including the tennis tournament.
FISCAL IMPACT:
Acrisure Arena sponsorship of $150,000 for Fiscal Year 2022 -23 is recommended to be paid using the following funding sources:
$115,000 from the existing City’s Tourism Budget.
$25,000 from the existing Indian Wells Golf Resort marketing budget; and $10,000 from the Art in Public Places Fund (Allocated for the Mural).
No supplemental appropriation is being requested. Funding for Fiscal Year 2023-24 ($156,000) will be added to the Fiscal Year 2023-24 Operating Budget but may also include re-allocating existing marketing expenses.
ATTACHMENTS:
1. Sponsorship Proposal
2. Acrisure Media Valuation
1 10/12/22
ACRISURE ARENA – OVERVIEW AND VISION
OVERVIEW
This brand-new arena in the Coachella Valley will finally give the residents and guests of the Valley the world- class entertainment venue that it deserves. Anchored in Southern California, Acrisure Arena, when completed in Q4, 2022, will instantly become one of the world’s most important music venues and home to the only professional sports team in the Coachella Valley; the AHL affiliate of the Seattle Kraken, the Coachella Valley Firebirds.
Sitting within 90 miles to over 8.5 million people, the Coachella Valley occupies an important place in the world of sports and entertainment. Long known as the entertainment playground for Hollywood’s elite, the Coachella Valley has expanded its importance and notoriety past just a home of first-class hospitality and is now a cultural destination for music, food, sports and adventure. Benefitting from a population that swells to over 2 million residents during three quarters of every year from cities like Los Angeles, Chicago, Seattle, Denver and New York City, this venue will host approximately 1 million people every year and over one hundred (100) nights of world- class live events annually. Sports, Music and Family Entertainment fans will be given a differentiated experience by watching their favorite team and bands play and perform in a very intimate setting.
Through our strategic partnership with Live Nation, this new Arena will be critical to the music industry for three distinct reasons: Rehearsals, Routing and Residencies. First, it will give Live Nation the world-class venue it needs to help its bands rehearse and launch their global tours. Bands will then be easily routed to LA and then up the west coast before moving east. Finally, this venue will also provide the music industry a new home for artist residencies and compete head-to-head with Las Vegas as the primary destination for these types of shows. In addition, this arena was designed to make and save bands money with a large lower bowl and building the necessary infrastructure to speed both load-in and load-out.
This venue will be the 5th arena owned and operated by Oak View Group (OVG) in the U.S. to open and benefit from the operational efficiencies and technological innovations from OVG’s first four (4) arenas recently completed (Seattle – Climate Pledge Arena; New York – UBS Arena; Savanah – Enmarket Arena; Austin – Moody Center). Like OVG’s other venues, it will be built with the fan first and will forever change the way people attend and experience live events.
PARTNERSHIP VISION
The following proposal is an outline of the potential partnership benefits for the City of Indian Wells as an Arena Partner. The following marketing assets included in this initial term sheet are designed to be amended as we work collaboratively towards a mutually beneficial partnership.
CITY OF INDIAN WELLS PARTNERSHIP
Sponsorship Benefits
Designations: “Official Arena Partner of Acrisure Arena and the Coachella Valley Firebirds” ●Official category designation(s) to be mutually agreed upon o Partner City Sponsor
●Other mutually agreed upon designation(s)
●IP rights for Acrisure Arena and Coachella Valley Firebirds ATTACHMENT #1
2 10/12/22
ACRISURE ARENA ASSETS
Annual Marketing Assets:
● 156 Ad Plays Per Day Holding for 6 Seconds Each
o Total of 15 Minutes of Ad Play per Day
● 56,940 Ad Plays Annually Holding for 6 Seconds Each
o Total of 99 Hours of Ad Play per Year
● Hours of Operation per Sign Program for Freeway Area
o Digital: 5a – 1a (20 hours per day)
o Special Event: 5a – 2 Hours After Event End if Later Than 1a ● Arena LED & TV Display Exposure (Interior & Exterior):
o The City of Indian Wells share of voice on integrated interior digital signage to be equal to all other Arena Partners
● The City of Indian Wells share of voice on integrated exterior digital signage to be equal to all other Arena Partners
● Minimum of one (1) minute of LED ring exposure within the seating bowl for all non-sporting events (approx. 60-70 events annually)
● Facility (Club Space/Main Floor) Usage
o Usage of Acrisure Arena Club spaces three (3) days per year, dates based on availability o Hard costs to be responsibility of the City of Indian Wells (Security, F&B, etc.) ● Acrisure Arena Website Integration
o ROS banner ads equal to or greater than other Arena Partners on Arena website o Social Media integrations (TBD)
● Resident Benefits for Residents of Indian Wells
o Minimum 1 event per quarter “Pre-Sale” ticket opportunities (events TBD) ● Outdoor branded stage (number of events TBD)
COACHELLA VALLEY FIREBIRDS ASSETS
Annual Marketing Assets:
● LED Rotational Dasher Board
o 3 minutes per game for Coachella Valley Firebirds
● Minimum of one (1) minute of LED ring within the seating bowl for all AHL Coachella Valley Hockey events (approx. 35 events annually)
o Includes potential NHL exhibitions to be played at Acrisure Arena ● “Three Stars” of the game partner (Arena/Digital)
● Firebirds Website
o ROS banner ads equal to or greater than other Arena Partners on AHL website o Social Media integrations (TBD)
● One (1) game entitlement….”Tonight’s game brought to you by the City of Indian Wells” ● Game entitlement for four Firebirds games in Seattle 10/21. 10/23, 10/28, and 10/29 o Will be known as “Seattle Series presented by City of Indian Wells” o Includes all promotion for games as well as associated media o Live mentions (four per game) in all radio broadcasts on 106.9 The Eagle o Logo on the game day graphics.
o Social media hashtags/links
▪ https://www.facebook.com/CityofIndianWells/
▪ https://twitter.com/indian_wells
▪ https://www.youtube.com/user/CityofIndianWells
o :05 to :10 video pre-roll on our Seattle game video highlights (Sam please make sure this doesn’t conflict with any other sponsorship commitments)
3 10/12/22
● Two LED dasherboards for game at Climate Pledge Arena 10/23 (will rotate with Firebirds logo) o Both LED dasherboards are opposite TV cameras
CITY OF INDIAN WELLS GAME NIGHT
Annual Assets:
● Tickets to 5 games, 1 game promoted as Indian Wells Night o 200 for Indian Wells Night and 100 for (4) other games o Ability to purchase additional seats at 50% off
COACHELLA VALLEY FIREBIRDS TRAINING FACILITY
Annual Marketing Assets:
● Inclusion in the Desert 9
o Curation and creation of all artwork
o Installation and insurance requirements (provided by Flat Black Art Supply) o Artist recognition plaques and large format signage highlighting the collection and each desert city
o 1,000 oversized postcards representing each mural
o Invitations for up to 12 guests to attend #TheDesertNine Reveal party o Website highlight, minimum one post and story via social channels @AcrisureArena, and feature in Arena e-newsletter
o Inclusion in Arena opening PR campaign, distributed nationally.
TERM & INVESTMENT
Acrisure Arena
● Five (5) year term: December 2022 - September 2027
o Option to opt out after second year, with notice
● Investment: $150,000
o 4% escalator for each subsequent contract year during term ● Playoffs Per Home Game (Year 1): $2,250
o Assets include: All available AHL Coachella Valley Firebirds Assets included in term sheet o 4% escalator for each subsequent contract year during term ● First right to purchase season ticket seats for AHL Playoffs, at prevailing season ticket holder rates
Asset Recalibration
● At the City of Indian Well’s request, during the Term, parties agree to discuss potential changes to asset mix and/or terms in good faith on an annual basis
Pass Through
o Rights can be passed through to City of Indian Well’s partners, with prior approval by OVG
78080 Calle Estado, Suite 201, La Quinta CA 92252 | 760.775.0000 | www.jnsnext.com City of Indian Wells
Acrisure Arena
Acrisure Arena Assets Value:
1.156 Ad Plays Per Day Holding for 6 Seconds Each $22,250x3= $66,750 Total of 15 Minutes of Ad Play per Day on 3 billboards
2.56,940 Ad Plays Annually Holding for 6 Seconds Each $34,550 Total of 99 Hours of Ad Play per Year
3.Hours of Operation per Sign Program for Freeway Area $41,000x3= $123,000 Digital: 5a – 1a (20 hours per day)
Special Event: 5a – 2 Hours After Event End if Later Than 1a
4.Arena LED & TV Display Exposure (Interior & Exterior):$33,100 The City of Indian Wells share of voice on integrated interior digital signage to be equal to all other Arena Partners
5.The City of Indian Wells share of voice on integrated exterior digital signage $19,650 to be equal to all other Arena Partners
6.Minimum of one (1) minute of LED ring exposure within the seating bowl for $32,850 all non-sporting events (approx. 60-70 events annually)
7.Facility (Club Space/Main Floor) Usage $32,000
Usage of Acrisure Arena Club spaces three (3) days per year, dates based on availability Hard costs to be responsibility of the City of Indian Wells (Security, F&B, etc.)
8.Acrisure Arena Website Integration $9,000
ROS banner ads equal to or greater than other Arena Partners on Arena website
9.Resident Benefits for Residents of Indian Wells $10,000 Minimum 1 event per quarter “Pre-Sale” ticket opportunities (events TBD)
10.Outdoor branded stage (number of events TBD)$10,000
Coachella Valley Firebirds Assets
1. LED Rotational Dasher Board $17,500
3 minutes per game for Coachella Valley Firebirds
2.Minimum of one (1) minute of LED ring within the seating bowl for $24,500 all AHL Coachella Valley Hockey events (approx. 35 events annually) Includes potential NHL exhibitions to be played at Acrisure Arena
3.“Three Stars” of the game partner (Arena/Digital)$15,000
4.Firebirds Website $6,000
ROS banner ads equal to or greater than other Arena Partners on AHL website
5. One (1) game entitlement….”Tonight’s game brought to you by the $7,500 City of Indian Wells”
6.Game entitlement for Firebirds game at Climate Pledge Arena in Seattle $18,000 Includes all promotion for game as well as associated media City of Indian Wells Game Night
1.Tickets to 5 games, 1 game promoted as Indian Wells Night $33,000 200 for Indian Wells Night and 100 for (4) other games
Ability to purchase additional seats at 50% off
ATTACHMENT #2
78080 Calle Estado, Suite 201, La Quinta CA 92252 | 760.775.0000 | www.jnsnext.com
Coachella Valley Firebirds Training Facility
1. Inclusion in the Desert 9 $11,700
Curation and creation of all artwork
Installation and insurance requirements (provided by Flat Black Art Supply) Artist recognition plaques and large format signage highlighting the collection and each desert city 1,000 oversized postcards representing each mural
Invitations for up to 12 guests to attend #TheDesertNine Reveal party Website highlight, minimum one post and story via social channels @AcrisureArena, and feature in Arena e-newsletter
Inclusion in Arena opening PR campaign, distributed nationally.
Seattle Kraken: Here’s what this four-game sponsorship entails (In Seattle):
1. The four games will be known as the Seattle Series Presented by the $30,000 City of Indian Wells
2. We will need to incorporate the city’s logo into our Game Day graphics $12,400 for the 4 games.
3. We will need the city’s logo displayed on the digital dasher board for the $7,500 game being played at Climate Pledge Arena 10/23.
4. We will have a :05 video pre-roll before our video highlights packages for $12,000 these four games as well as a “logo bug” in the lower corner of the screen during the video highlights.
5. We should do some live radio reads (:05 to :10) 3-4 times a game for the $4,000 radio broadcasts for these four games.
Total Value per year $570,000