Agenda Report
TO:
FROM:
Honorable Mayor and City Council
Rose Bowl Operating Company
March, 21, 2022
SUBJECT: FINALIZE NEGOTIATIONS ON A LICENSE AGREEMENT WITH KAMP GLOBAL INC. FOR THE PRESENTATION OF UP TO TWO STADIUM
CONCERTS IN JUNE OF 2022
RECOMMENDATION:
It is recommended that the City Council:
1. Find that the license agreement proposed herein is categorically exempt under California Environmental Quality Act (CEQA) Guidelines Section 15323 (Normal Operations of Facilities for Public Gatherings); and
2. Make the findings set forth herein and required by Pasadena Municipal Code (PMC) Section 3.32.270.A to authorize the RBOC to host displacement event nos. 21 and 22 for the year 2022.
BACKGROUND:
The RBOC has an opportunity to host two major stadium concerts in June of 2022 with KAMP Global Inc. as the promoter.
The framework for the key deal points with KAMP Global Inc. are consistent with other concerts in recent history.
They are as follows:
- Flat License Fee
- Admission tax
Both the license fee and admission tax are RBOC revenue streams.
Developing revenue shares of ancillary income has proven to be very effective with the promoters in certain categories:
MEETING OF __ 03_/_2_1_/_2_0_2_2_ AGENDA ITEM NO. _13 ___ _ Finalize Negotiations on a License Agreement with KAMP Global Inc.
March 21, 2022
o Net concession income
o Net parking income (and traffic)
o Novelty income
o Ticketing rebate
o Pavilion seating
o Pre event fan fest (a pre-event in area H or on the golf course that is designed to get fans to the stadium sooner in the day in order to help mitigate traffic closer to show time).
In addition, the below are expenses for which the promoter would assume full cost responsibility:
- Facility damages, including Field Damage up to $240K
- VIP special requests related expenses
- Stagehands expenses
- Permit expenses
- Pre-coverage, move-in, move out & production expenses The event(s) will have a stage that is expected to be located in the south end of the stadium, similar to past concerts at the stadium. This configuration will provide a capacity of approximately 60,000 spectators. The events are anticipated to begin at approximately 3 p.m. and end no later than 11 :OO p.m. each day (specific times have not been defined as of yet but will be within this timeframe). As traditionally occurs for a major concert at the Rose Bowl, amplified noise will exceed non-event day sound levels originating from the stadium. A sound permit exempting each event from the general standards of the noise ordinance and allowing noise levels up to the limits specified in the Noise Element of the City's General Plan will be issued pursuant to Section 9.36.170 of the Pasadena Municipal Code. The RBOC shall have its sound consultant work with the promoter in the weeks leading up to the show, and during the show, as it relates to speaker placement, sound levels , and direction of sound. The Rose Bowl shall also place noise monitors at various locations throughout the area during the sound amplification.
At this time, the promoter has requested the artists not be named, which is customary , as the tour has nationwide marketing strategies and the timing of the announcement of the show is very important to the promoter and artists .
A pre-event will be planned in order to attract fans to come to the stadium early, and other traffic mitigation measures will be put into place. Communication between stadium, police and neighborhood associations will occur regularly leading up to the concerts.
The current schedule of displacement events for 2022 are as follows:
Rose Bowl Game
UCLA Season
1 8
Finalize Negotiations on a License Agreement with KAMP Global Inc.
March 21, 2022
Music & Arts Festival
September Soccer Match
10 1
These events would be the 21 st and 22nd displacement events for the year. As a reminder, the Arroyo Seco Ordinance permits up to 15 displacement events before the City Council would need to make findings in order to permit more than 15 displacement events. It should be recognized that the July 4th AmericaFest event is not within the current approved displacement events, although it is likely that it will occur provided the appropriate governing bodies ' approvals occur.
DISPLACEMENT EVENTS
The Arroyo Public Lands Ordinance (Pasadena Municipal Code Section 3.32.270) establishes guidelines and policies related to the administration of the Arroyo Seco, including the Rose Bowl. The ordinance states that the City seeks to achieve a balance between the use of the Rose Bowl and impact of such use on surrounding residential areas. To achieve that balance, Section 3.32.370 of the ordinance limits the number of displacement events to no more than 15 in any calendar year except with the permission of the City Council. In order to exceed 15 displacement events, the City Council and the RBOC must make certain findings.
These concerts would be the 21st and 22nd displacement events in 2022. The first 15 displacement events are outline above in this report.
Below are the findings and the rationale for making such findings for the potential concert dates:
1. "The additional events represent a unique opportunity that will enhance the stature of the Rose Bowl." The concert(s) would be similar in terms of artists and appeal as previous concerts at the Stadium. The events would garnish significant publicity for the Rose Bowl and Pasadena leading up to the event(s).
2. "The revenue generating potential from each additional event justifies its consideration." It is estimated that each event date will directly generate approximately $300,000 for the RBOC. In addition, the City of Pasadena would receive the economic impact as a result of the portion of sales tax and bed tax that will revert to the City and to businesses in the City.
3. "It is anticipated that these events will not create undue conflicts with Arroyo Seco activities taking place at the same time." Staff will work closely with the Parks and Natural Resources Division of the City of Pasadena, as well as the Pasadena Police Department to best control the displacement of other activities in the Arroyo Seco.
Finalize Negotiations on a License Agreement with KAMP Global Inc.
March 21, 2022
4. "The events do not impose undue adverse impacts on the surrounding residential area." Planning and preparation will be implemented to minimize impact of the event to the surrounding neighborhoods. The Police Department and staff have been successful recently in hosting displacement events with minimal disruption.
ENVIRONMENTAL:
State CEQA Guidelines Section 15323 exempts from CEQA review the "normal operations of facilities for public gatherings for which the facilities were designed, where there is a past history of the facility being used for the same or similar kind of purpose." Stadiums are specifically enumerated as one of the types of activities covered by this exemption. The Rose Bowl Stadium has hosted numerous concerts over its history.
There is no indication that these concerts will be any different in terms of noise than any other concert hosted in the Bowl in the past, and any noise generated from the concerts is expected to be within the parameters allowed by the Nosie Element of the General Plan.
FISCAL IMPACT:
It is anticipated that the RBOC will generate in excess of $300,000 from each event night.
Respectfully submitted,
Darryl Dunn
General Manager
Rose Bowl Operating Company