Delegate To The RBOC Board The Making Of Findings To
Temporarily Increase The Number Of
Displacement Events
Review of RBOC and EdTech Recommendations
to City Council
August 19, 2024
Displacement Event Background
Number of Displacement Events: Arroyo Seco
Ordinance allows 15, any more required findings by
Council; request that Council direct the City Attorney
to return with an Ordinance delegating the findings
to the RBOC for the next 10 years
Provides direct support to RBOC’s ability to pay bond debt, preform preventative maintenance and
undertake capital improvement projects
Allows for certainty in next iteration of music
festival and soccer agreements, and allows the
RBOC to further relationships with event promoters
2 Ed Tech Recommendation
Recommended changes were moved forward by
the EdTech Committee on 3.19.24
Recommendation is to
“Direct the City Attorney to prepare and return with
an ordinance within 60 days to amend PMC
3.32.270.A to delegate to the RBOC Board the
making of findings required for the RBOC to host up
to 25 displacement events per calendar year until
December 31, 2033 (ten-year period).”
3 Why 25 Displacement Events
City opportunity to provide certainty regarding revenue streams:
Ensure RBOC will be able to pay the City’s bond debt
on the 2012 renovation project and undertake capital
improvements
25 events is the best way to ensure the financial
stability of the complex and allow focus to shift to
capital investment on the campus
18 of these Events are currently long-term contracts between the RBOC and Tenants
4 Increasing Expenses
2017
-
2025
5 Significant Annual Overhead Expense increases
Fiscal year 2017 to 2025 Increase
Annual Debt Svc (Net) $9.9M to $13.4M $3.50M Increasing $400K/Year thru 2032 (then down approx. 50%) Insurance $160K to $1.3M $1.17M
Professional Services $680K to $1.5M $820K Utilities $1.2M to $1.8M $600K
Significant Event Expense Increases
Security Staffing rates increased 18% over 2 years
Specialty Services increased 45% over the past 3 years Elevator services, HVAC, plumbers, electricians, etc.
Financial Support for 25 Displacement Events
RBOC Finances have been strengthened since the
Pandemic in part due to increased event activity
FY‘23 audited financial statements document impact of 24 displacement events
FY‘24 budget was based on 19 displacement events
RBOC is expected to beat budget by $4 million in
FY’24 resulting in the first balanced RBOC budget
since 2019.
6 Financial Support for 25 Displacement Events (
Fiscal Year
)
7 FY23 to FY24 Pro
-
Forma Assumption Changes
8 Other Actions of RBOC to Increase Revenue
9 RBOC Recommendations
1. Find that the recommended action is exempt from the
California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3)(Common Sense Exemption) of the State CEQA
Guidelines, that CEQA only applies to projects that may have an effect on the environment; and
2. Direct the City Attorney to prepare and return with an ordinance within 60 days to amend PMC 3.32.270.A to delegate to the RBOC Board the making of findings required for the RBOC to host up to 25 displacement events per calendar year until December 31, 2033 (ten-year period).
10 THANK YOU!
11 Financial Support for 25 Displacement Events (Calendar Year) 12 ROSE BOWL DISPLACEMENT EVENTS
HISTORICAL SUMMARY
YEAR DISPLACEMENT MUSIC FESTIVAL TOTAL
2023 15 7 22
2022 14 8 22
2021 9 2 11
2020 COVID YEAR
2019 13 1 14
2018 16 2 18
2017 14 2 16
2016 16 0 16
Pro Forma Event Count Statistics
13 RBOC Football Event Expenses 2017
-
2023
14 RBOC Football Event Expenses 2017
-
2023
15 Pro Forma Event Count and Net Event
16 Pro Forma Operating Net Income/Loss
17 RBOC Revenues
–
FTE Count 2017
-
2023
18