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HomeMy WebLinkAbout11 - La Strada dell' Arte Request for Waiver of Special Event FeesCITY OF NEWPORT BEACH CITY COUNCIL STAFF REPORT Agenda Item No. 11 (September 9, 2003) TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: Recreation and Senior Services Marie Knight, Director 644 -3157 mknight@city.newport-beach.ca.us SUBJECT: Request for waiver of Special Event Fees for the La Strada dell' Arte APPLICANT NAME: Ralph Rodheim, Rodheim Marketing Group ISSUE Should the City waive and /or lower fees and policies associated with the La Strada dell' Arte special event to be held on Saturday and Sunday October 4 -5, 2003 in Balboa Village on the Peninsula? RECOMMENDATION: Staff recommends denial of the request to waive any fees or policies associated with this event. DISCUSSION: Ralph Rodheim, Rodheim Marketing Group has submitted an application for a special event to be held in early October on the Penninsula, the La Strada dell' Arte. (Attachment A). This event is similar to others held throughout California at which artists "paint" in the street using chalk. The two -day festival is designed as a family friendly festival to bring people to the area to view the artists as they paint, as well as view the final product. The event also involves food, music and displays of other types of art. The event request calls for the closure of Washington Avenue for the actual painting, the use of Main Street for displays of other art, the use of the public parking area for vendor parking and events such as a children's stage and painting area, and the use of Peninsula Park for a mini "Taste of Newport" type event where script is sold for tastes of food and beverages, including alcoholic beverages. (Attachment B is a preliminary event plan) Although the application was submitted on July 7, 2003, staff has been unable to finalize and approve the permit for this special event, as we are still waiting for the necessary documentation such as the Certificate of Insurance, and Park Reservation Request, all of which have been requested on. numerous occasions. However, since Mr. Rodheim began requesting a waiver of fees prior to approval of his application, staff made a preliminary review of the application and apprised Mr. Rodheim of the various fees potentially related to the production of a special event such as he is proposing. On July 30, 2003 staff received a request from Mr. Rodheim to waive all of the fees related to this event as well as some of our existing City policies that govern the use of our parks. (Attachment C) Request for waiver of Special Event Fees for the La Strada dell' Arte (September 9, 2003) Page 2 Although we are enthusiastic about the potential for such a wonderful event in our community, staff feels that the City is not in a position financially to support the event with the numerous fee waivers and free services that have been requested. Each year there are hundreds of special events held in our community and the impact of these events places a great fiscal burden upon City resources. It has been the policy of the City Council to ensure that the numerous special events permitted by the City do not negatively affect the community, that the City's liability is eliminated, and that all costs for municipal services are recovered from the event sponsors. Before responding to Mr. Rodheim's request, the information regarding his special event was routed to all affected City Departments in order to gather information on any concerns or issues that may arise from the event as well as event related fees. Staff responded to Mr. Rodheim on August 18, 2003 (Attachment D) denying his request to waive fees or policies. Mr. Rodheim has since submitted a letter on August 29, 2003 appealing staffs decision and again requesting that City Council waive event related fees and polices. (Attachment E) BACKGROUND In the past year there have been a total of 331 special event permits pulled for various events and activities held in this City. Of those, 87 were for non - profit organizations. Many of these events, such as the Taste of Newport and the Spirit Run are hosted by or in benefit of non- profit organizations operating in or serving Newport Beach. In reviewing the request made by Mr. Rodheim, staff finds no element of this event that sets it apart from the many others held in our community thereby justifying special consideration and taxpayer subsidy in the waiving of the cost for City related services. If the fees for this event were to be waived, then the other event - holders could reasonably expect the same consideration. This could cost the City in excess of $50,000 a year in City related services. With respect to the City policies Mr. Rodheim is requesting to have waived: 1. Mr. Rodheim is requesting that the fees be set at the rate given for a non - profit organization, as "the Newport Harbor Nautical Museum is the new entity spearheading the event." This is the third non - profit organization that Mr. Rodheim has indicated to staff that will be the main beneficiary of the event. In the August 29th letter he lists two others: the Balboa Performing Arts Theater Foundation and the Balboa Business Improvement District who will also be receiving some of the proceeds. Staff has been unable to ascertain just what percentage of the proceeds will be going to these charities, however, we do know that Rodheim Marketing Group will be paid for their services as Event Manager. Staff feels, in light of the fact that the benefactors of the event continue to change, that this is simply an attempt to "shop" for a sponsoring non - profit in order to have the fees lowered and recommends that the fees charged continue to reflect that of the Commercial Rate, as the original permit applicant was Rodheim Marketing Group. 2. Mr. Rodheim is requesting that the requirement for notification of the surrounding neighbors and businesses be waived. The nature of this event, including potential road closures, music, the service of alcohol, parking impact, etc. justifies the need to be sure that those businesses and residents in the area are notified of potential inconveniences or even loss of Request for waiver of Special Event Fees for the La Strada dell' Arte (September 9, 2003) Page 3 business due to this event. Again, we need to be sure all is done to lessen the impact of such events on the community. There are many businesses in the area that., although this is not during the busier summer season, still depend on available parking and access to conduct their business. Staff recommends that this policy not be waived, and, as always in the past, the burden and cost of such notification lies with the event sponsor. Mr. Rodheim has been given a list of the property owners within a three -block radius of the event and has also been asked to notify all businesses in the area and provide proof of such notification. 3. Mr. Rodheim has requested approval to fence in a portion of Peninsula Park for the service of alcohol. Staff has denied this request as the service of alcohol in public parks is prohibited by City Ordinance 10.04.010. A chalk art event appears to be a family event, and as such, staff feels that the City's policy on prohibition of alcohol in the parks should stand. In addition, in discussing the event with the Police Department, they are also in support of denying this request. The event related area is largely residential, which will immediately make it a very different event from the Taste of Newport or other similar events. Although the consumption of alcohol has been proposed in a designated area, persons who have consumed it are free, in fact encouraged, to roam around the neighborhoods and adjoining areas. The area of the proposed event requires attendees to cross Balboa Boulevard, presumably, several times during the event. To do so after the consumption of alcohol creates a safety concern. It is also proposed that alcohol be for sale at the event, as opposed to simply "tastes" as is intimated in the letter of August 29`h. According to Mr. Rodheim, beer, wine and shots of Vodka will be sold at the event. Three of the events main sponsors are alcoholic beverage companies. Staff is again recommending the denial of the request to fence in Peninsula Park for the consumption of alcohol, and recommends that the sale of alcohol be removed from public property and relocated to another location within the event area. In addition, we have not yet received detailed site plans for the proposed use of the park area. Whether or not alcohol is approved for service in the Park, the event holder still plans to use the park for service of food and entertainment and would like to fence in the food area. Staff recommends that this not be approved until detailed site plans are submitted that would tell us how much of the park will be closed to the public during this event, and we have had the ability to review fencing construction plans as well as access from a public safety perspective. Staff continues to have concerns regarding this event, as each time we hear from Mr. Rodheim there are new aspects to the event that are unveiled. For example, in a meeting with staff last week, Mr. Rodheim mentioned that he will need certain areas available on Thursday October 2 "d. This had never been discussed in prior conversations; in another meeting attended by staff, it was mentioned that the event will include cars parked on the park, again, something that has not been requested. At this time it remains difficult for staff to determine if this event should be approved as we continue to await critical pieces of information from the event planners. Request for waiver of Special Event Fees for the La Strada dell' Arte (September 9, 2003) Page 4 Environmental Review: None. Prepared & Submitted by: Mari Knight, Recr ation Senior Services Director Attachments: A. Special Event Permit for La Strada dell'Arte submitted by Rodheim Marketing Group B. Preliminary Event Plan C. Letter from Ralph Rodheim, Rodheim Marketing Group dated July 30, 2003 D. Letter to Ralph Rodheim, Rodheim Marketing Group dated August 18, 2003 E. Letter from Ralph Rodheim, Rodheim Marketing Group dated August 29, 2003 MRY -15 -2003 12:16 �C Cityrof Newport Beach COMMUNITY SERVICES COMMUNITY SERVICES 949 At+ach rne-rft P.O. IOX 1761, 0000 NEWPOLT ILVP NIWPO)T )EACH, CA 07660.8015 ❑ Casino ❑ Tournament ❑ Surf Contest 41Q Festival OPFlC _ _ .. rr/C ❑ Roce /Walk �N�� EVENT NUMBER: lis lM Live Music ❑Sales/Expo n 7 APPLICATION FEE: ❑ Parade /Processions ❑ Concert /Performance ❑ Other jMt,11 -9tJ ST�cCLI C1�I ti,iit: DATE PAID: Event Title: /.P S7RI! ()A WLL 1(L[C Event Date: ACT yd ti Estimated attendance per day:,- eY>o Participants: _50�J Spectators: 7 7p Admission fee? g<0 ❑Yes- Describe: Actual event hours: i (i - Set up/assembly Dote :p^ "( -j Start Hme• Break down /dismantle Dale: e� T 5 Completion time: Q3 PM Location (exact address): K (7w7 - (,,.A< t,1 io! P) 0 W Total number of days: -r(a J L) Site Plan attached: List any streets that require closure for this event: 6,)45-N( /V G T(5 io - %{ (%AU/1n 5T cjspj<4 0(' (� j Hosl Sponsoring orponization(s): POj)(-f(= (I?Z �i n �p ' Contact person PA( -PH ( r ('t l /? Address: f (�l3kl ��2CE, City'r1 -rn `rf sA Zip' 9-�62X Phone %(y)`)Li7- 5(CYJh! Fox:Wq) L %-@O'? e- mail: 0:Fftc7 COO, Please list name, address, phone and e-mail of any professional organizer or event planner hired by you to produce this event: e -mail: If professional event organizer is opplying for this permit, o letter from the Chief Officer of the organization which authorizes the applicant to apply for this permit is required. Responsible person 'on site' day of event: Poger /tell phone: This person must be in attendance for the duration of the event and immediately available to City officials. MWE Phone number for public event information: (71'-I) Traffic safety equipment required: ❑No LN as- Describe• Provide a detailed traffic plan for road closures: 5`d5' tQ- 17`,Cr Describe entertainment and related activities: l' O tt 1�(Yi? K - SgncL'( Lf TLQ t/l L t2` 1GL TNt Vi ICGX Will Food be prepared at the event site? ❑No DYes- Describe• R 5 & C t j wr (/ APPLICANTS MUST COMPLETE BOTH SIDES OF THIS DOCUMENT MRY -15 -2003 12:17 COMMUNITY SERVICES 949 644 3155 P.03i09 Are there plans for signs /inflotable displays? ❑No O'Yes- Describe /j (t,L k5 - Will there be a droving, raffle, or casino? RN' J✓ NO DYes- Contact person: Phone: Will there be sound omplification? ONo Mes- indoors or tdoor li(J(f TO Nlip to //- Hours and Describe sound equipment: LIV' �i I )11�rs1� Amplified sound requires an on site contact person. Name: lit / H liD hl!•'I ^^ Pager /cell phone>T'e -d el -eij/(3 �{ - _ (PERMIT REQUIRED FOR EACH TENT OVER 200 sa.FT. Will there be canopies or tents? ❑No I_1Tes -Size & number• /j 10 (o AND/OR CANOPIES oyEF ADD sa.FT.I Date installed: /fir 3 Date removed: 6G7 5 Supplier: Will booths, bleachers, stages or structures be erected? ,,�,,// PMf 51' ft(/ xis cDi C"I"Ok Will signs or banners be used? ❑No Lr3Yes- Describe size and location: Will there be generators, vehicles, boats or other equipment? ONo OYes- Descri6e: A, �.4 �_ •� of s i I, THE UNDERSIGNED, ACKNOWLEDGE AND UNDERSTAND THAT I AM RESPONSIBLE TO COMPLY WITH THE INFORMATION, RESTRICTIONS AND CONDITIONS OF THE PERMIT WHEN ISSUED. I NEARBY ACKNOWLEDGE RESPONSIBILITY FO EN /AJ�p�ES ASSOCIATED WITH NON - COMPLIANCE WITH THE PERMIT CONDITIONS, WHETHER OR NOT 1 AM PRESENT AT THE TIME OF THE VIOLATION-' xnaa I hereby certify the foregoing statements to be true and correct, and agree to defend, indemnify and hold harmless the City of Newport Beach, its City Council, officers, agents and employees from and against any and all loss, claims, damages, liobillty, such claim or suit arising from or in any manner connected to the requested activity. I also agree, if approved, to comply "Is all permit conditions, and understand that failure to comply With any condition, or any violation of law may rp It in t "min eta cancellotion of the event, denial of future events and or criminal prosecution. / / ��/ 6 TO AVOID LATE FEES. PERMIT APPLICATION MUST BE RECEIVED 10 FULL BUSINESS DAYS IN ADVANCE OF EVENT. Attachments received: ❑Insurance OTraffic control /plot plan OBOnner permit Mite plan OTent permit application R NR R NR R NR LEVEL I— Permits routed to other departments: $ PD $115 $175 $200 $290 S3)0 (APPEAL FEE $60) LEVEL 2— Permits for Complex events requiring road closures, attachments or permits required by other departments: (APPEAL PEE S901 LEVEL 3— Permits for major events requiring rood closures, $28S attachments, permits required by other departments and one pre -event meeting: (APPEAL FEE $200) $230 $270 $340 $375 5570 $655 `Any application submitted less than ten business days prior to the anal is considered late and will he charged accordingly. "Any application •abinieed less than rhrce 6 inAvt days prior to The event is considered a rash and will be charged accordingly. R•RESIDENT, NIL•NON- RESIDENT la Strada dell' Me October 4 -5r 2003 Event Plan Balboa Village •` Tis) Piazza de cambini a -. Children's Area if !�ml Art tll C it 1�1 t rt t LEGEND Children's Art Area with 9mge ImLgpairmnas Road Clasures eeeee� Art Exhibits 3ales laud Area Music PavFFFion Catalina Flyer Balboa Boulevard oo �� Oi/ s Roots ?ill eM Vn S,`. ; 1 = Liu _ ij — }Y•- 'i �. _ Il'''''l •J'►' ._ . _. �r...... ate. —.-a ~ _ _ _ -- - METERED- PARKING �7 Long Term Long PARKING Term';" PARKING. Long Term Featured At-fist Taste of halt' Fond Pavilion /- �ttc>`chrner`t C, 30 July 2003 Marie Knight Director City of Newport Beach Recreation and Senior Services P.O. Box 1768 Newport Beach, CA 92658 -8915 RE: Fee Waiver for La Strada dell' Arte Festival, Balboa Village, October 4 -5, 2003 Dear Ms. Knight: I am writing regarding the application for a Special Event Permit from the City of Newport Beach for the La Strada dell' Arte street festival, which will take place on Saturday and Sunday October 4 -5, 2003 from 10 a.m. -6 p.m. We are excited to offer a public event that will celebrate the results of the City's investment in the Renaissance of the Balboa Village! La Strada dell' Arte is an Italian -style street - painting festival, and will feature approximately 100 juried artists creating chalk murals on the streets of Balboa Village, a street painting area for children, strolling street entertainers (musicians, mimes, dancers, etc.), and a "Taste of Italy" food pavilion provided by The Olive Garden, the presenting sponsor, and featuring a variety of fine food from local restaurants (the City of Newport Beach will receive a list of participating restaurants approximately one month before the Festival). La Strada will be a fun family- oriented event, and our marketing and public relations efforts will be aimed at encouraging residents of Newport Beach, as well as tourists, to enjoy the newly renovated Balboa Village. We anticipate that Balboa Village businesses, hotels, restaurants, etc. will benefit from the influx of local residents and tourists that will occur during the festival. We further anticipate that the event will generate revenue for the City via sales tax on items /food sold at the event. We are committed to the continuing improvement of Balboa Village. It is our hope to make La Strada an annual public event that will draw an increasing number of residents and tourists to the Balboa Village area. Additionally, a portion of the revenue from this event will be donated to the Balboa Performing Arts Theater Foundation. We are very great full that the City to date has shown significant support for our efforts with this festival: beginning with our initial planning for this event, we met with members of the city who gave us suggestions and proposed a site plan for the festival (attached as a preliminary site plan). Fee Waiver Request for La Strada dell' Arte Page 2 However, we need to request the city's help once again with our efforts to make this festival a success. With the understanding that our resources are limited and time is short, there are a number of fees and procedures that we need to have modified or waived in order for us to ensure that the event moves forward in a timely and efficient manner. Therefore, we are respectfully requesting that the city waive the following fees and procedures associated with this event: FEES Special Event License Park Reservation Fee $370 Deposit $110 Rental of Peninsula Park Gazebo (9 a.m. Oct. 3 -10 p.m. Oct. 5) $340 /hr Park area of Peninsula Park (9 a.m. Oct. 3 -10 p.m. Oct. 5) $340 /hr Road Closure Fee Areas of Washington Street indicated in yellow, with barriers indicated in red on the enclosed map (9 a.m. Oct. 3 -10 p.m. Oct. 5) Metered parking area at the corner of Bay and Palm as indicated in green on the enclosed map (9 a.m. Oct. 3 -10 p.m. Oct. 5) Parking area at the corner of Washington as indicated by the yellow box on the enclosed map (9 a.m. Oct. 2 -10 p.m. Oct. 5) Traffic Control Equipment Fee Traffic barriers on Washington Street at Bay Avenue, Balboa Boulevard, in between Balboa Boulevard and the boardwalk, and up to the parking lot, as indicated in red on the enclosed map (9 a.m. Oct. 3 -10 p.m. Oct. 5) Traffic re- routing signs directing traffic to alternatives to Washington Street (9 a.m. Oct. 3 -10 p.m. Oct. 5) We anticipate no need for other assistance with traffic control; however, we accede to the City's greater experience in this area. Fire Permit 7 We would like to request a waiver of any fees associated with, but not limited to: 1) Having tents /canopies at the food area of the event (inside the pink box on the enclosed map) from (9 a.m. Oct. 3 -10 p.nn. Oct. 5) 2) Having fniel tanks at the food area of the event (inside the pink box on the enclosed map) from 4 p.nn. Oct. 3 through 8 p.m. Oct. 5 3) Having heat producing devices in the food area of the event (inside the pink box on the enclosed map) from 4 p.m. Oct. 3 through 8 p.m. Oct. 5 4) An inspection by the Fire Department of the food area (inside the pink box on the enclosed map) at 9 a.m. on Oct. 4. Fee Waiver Request for La Strada dell' Arte Page 3 Police Presence We anticipate no need for a police presence from the city for the following reasons: 1) This is a daytime, family event. 2) We are retaining our own private security to monitor the artwork, booths and chairs, paintings, food area, etc. for the duration of the event, from set -up until tear -down (i.e. from 9 a. in. Oct. 2 -10 p.m. Oct. 5). However, we again accede to the Chy s expertise in this area. If the City deems a police presence at the event necessary, we request a waiver of the fees associated with this police presence. PROCEDURES Restriction on alcohol in city parks It is our understanding that alcohol is not generally permitted at city parks. However, two of the sponsors of this event are alcoholic companies who have agreed to provide product at the event. The Festival will comply with all Alcoholic Beverage Control regulations in the dispensing of alcoholic beverages at the event (including naming the City of Newport Beach as an "additionally insured" on our insurance policy for the event). (The City of Newport Beach will receive a copy of the Festival's permit from the ABC once the Festival has received it.) We therefore request that the consumption of alcohol be permitted ONLY WITHIN FENCED IN AREA OF THE PENINSULA PARK FOOD AREA (inside the pink box on the enclosed map) at the Festival between the hours of 10 a.m. and 6 p.m. Oct. 4 and 5. (Storage of alcohol for the event will include a refrigerated truck parked behind the food area from 4 p.m. Oct. 3 to 8 p.m. Oct. 5.) Restriction on fencing -in a city park It is our understanding that city parks are not generally permitted to be fenced in. However, to comply with Alcoholic Beverage Control regulations regarding serving alcohol, we must serve the alcoholic beverages at our event within a contained area. We therefore request that we be permitted to fence in (with a chain -link fence) the grassy area of Peninsula Park (including the gazebo, as indicated by the pink box on the enclosed map) from 9 a.m. Oct. 3 -10 p.m. Oct. 5 at no cost to the city (we have secured a sponsor willing to fence in the area). TIVe further request that we be permitted to portion off (using a white picket fence) a section of the food area inside the chain -link fence for a special reception area for event sponsors (again, at no cost to the city —a sponsor is providing the picket fence materials). Notification of residents in area It is our understanding that an event of this sort would typically require proof that we have contacted all residents /business owners surrounding /immediately affected by the event, and that all residents business owners are in favor of the event. We have notified Fee Waiver Request for La Strada dell' Arte Page 4 the Balboa Merchants and Owners Association as well as having met with the Peninsula Point Residence Association both are supportive. Now given our limited resources, the short time frame until the event, and the nature of the event (daytime, family- oriented, with all music at a moderate noise level and using traditional Italian instruments), we would like to request that the city waive this requirement. If the city deems it necessary that we notify all residents/business owners in the immediate area of the event, we request the city's assistance in compiling a list of names and addresses for those we would need to contact. SPECIAL REQUIREMENTS Reslurrying Streets Pending the condition of the pavement on Washington Street as outlined in the areas of the enclosed map that are highlighted in yellow or enclosed in green, we may need to re- slurry to provide an adequate "canvas "for the street artist. Councilman Ridgeway volunteered that this would be something the city could do if needed. We have tried to be comprehensive in our list of fees and requirements that we need to have waived or modified in order for this event to be a success. However, if there are other fees or procedures not on any of the above lists that the City believes to be necessary to our event, we would greatly appreciate feedback from the City on those items as quickly as possible. Once again, we are very much looking forward to providing the residents and businesses of Newport Beach a unique opportunity to participate in a community festival celebrating the revitalization of the streets of Balboa Village, and look forward to the City's cooperation in helping us make this event possible. Sincerely, ` Ralph Rodheim President Rodheim Marketing Group 125 E Baker Street Suite 266 Costa Mesa, CA 92626 714.557.5100 x13 Ralphrcyrodheim- marketing. com www.rodlieim- niarketing.com Fee Waiver Request for La Strada dell' Arte Page 5 Attachment: Event Plan AitUCh nit It Jb CITY OF NEWPORT BEACH RECREATION & SENIOR SERVICES Marie Knight, Director August 18, 2003 Ralph Rodheim Rodheim Marketing Group 125 East Baker Street, #266 Costa Mesa, CA 92626 Dear Mr. Rodheim: Thank you for the information you submitted regarding the La Strada dell' Arte event and your recent inquiry into possibly waiving event related fees. Although we are enthusiastic about your bringing such a wonderful event to our community, the City is not in a position financially to support the event with the numerous fee waivers and free services you have requested. Each year there are hundreds of special events held in Newport Beach and the impact of these events p laces a g reat f iscal b urden u pon C ity resources. I t is t he p olicy of t he C ity Council to ensure that the numerous special events permitted by the City do not negatively affect the community, that the City liability is eliminated, and that all costs for municipal services are recovered from the event sponsors. Rare exceptions are made only when the events are sponsored by and support a non - profit cause. Upon review of your requests, and discussions with the City Manager, staff has reached the following decisions: A. The Special Event Permit application fee of $370 will not be waived. This fee covers the staff time necessary to administer the initial application and work with you throughout the application process. B. Your request to waive the requirement of notification to the neighbors will not be granted, and as with all other similar applications, the burden of notification lies with the applicant. This event will have a great impact on both the businesses and residents in the Balboa Peninsula area and, although you have done some outreach to the formal associations operating in that area, they are not totally representative of all those who will be impacted. Therefore, C. Regarding your request to serve alcohol in the park, currently this is prohibited by section 10.04.010 of the City Municipal Code, therefore, at the staff level, your request to serve alcohol in Peninsula Park is denied. Your recourse would be to appeal this staff decision to the City Council, as only the Council can waive its policy regarding the use of alcohol in a City park. D. Subsequently, your request to fence off Peninsula Park to facilitate serving alcohol is denied. Again, only the City Council could grant this request. 3300 Newport Boulevard - Post Office Box 1768 - Newport Beach, California 92658 -8915 Telephone: (949) 644 -3151 - Fax: (949) 644 -3155 - www.city.newport- beach.ca.us Letter to Ralph Rodheim Page 2 E. If you were still interested in utilizing the park and field area for an activity other than the service of alcohol, then some fee relief will be given on the rate for reserving the park. Normal commercial rate is $884 per hour for a commercial event. Staff's recommendation at this time is to charge a rate in the Non - resident Private event classification that is $88 an hour. This will include your set up and clean up time frame. F. If you need the streets to be slurry sealed prior to the event, it will be at your expense. G. The City will be charging for any other indirect expenses related to the event such as road closures, police and fire and additional trash pickup as required. H. Staff will need a detailed plan regarding cleaning up the streets after the event. If City staff is needed to wash chalk off streets, there will be an extra charge. If you are going to handle this aspect of the clean up you will need to submit to us a clean up plan so that we can be sure it meets current codes and street cleaning procedures. I. Permit fees will be waived for on site banners that do not relate to alcohol service. Any alcohol banners will require banner permits. J. In order to assist you in your event planning and budgeting, here is a summary of the potential fees for which you will be responsible based on the information you have submitted to date: a. Permit application fee $370 b. Banner fees (alcohol related) $38 per banner c. Park Rental fee $88 per hour d. Park cleaning deposit $150 (Refunded after event if proper cleanup of the park is done and there no damage) e. Tent permit $56 f. Propane permit (if propane is used) $56 g. Fire Inspection $220 minimum h. Street closure permit $56 i. Parking Meters $290 j. Police (8 officers and 1 sergeant) $9,792 estimate k. Street closure staff $415 I. Street Clean up /refuse pick up if performed by the City Unknown m. Slurry seal streets $4000 -$6000 estimate I know that you have begun to advertise this event and I need to caution you that at this time that you still do not have an approved Special Event Permit for this event. It is critical that your application is finalized as soon as possible so that we can route it to the necessary City Departments, receive their input and issue your permit. Before we can do that you must pay the application fee, the park rental fees and cleaning deposit if you are utilizing the park. Once we have received the input from the City Departments, Matt Dingwall Recreation Services Coordinator who handles the processing of Special Event Permits, will contact you to set up a pre -event meeting. This is part of our approval process for all Level 3 permits, and gives the appropriate City staff an opportunity to meet with you, ask questions about the event and clarify any issues or concerns they may have. Letter to Ralph Rodheim Page 3 Again, I would be happy to answer any questions you may have or provide any additional information you need as you move forward in your planning. I can be reached at 949 -644- 3157. Sincerely, "nht,. ervices Department cc: Homer Bludau, City Manager Cathlyn Harris, Event Coordinator, Rodheim Marketing Group Ri-t-au� me�1-t August 29, 2003 Homer Bludau City Manager City of Newport Beach 3300 Newport Boulevard Newport Beach, CA 92663 Dear Mr. Bludau: I am writing regarding the La Strada dell' Arte application for a Special Event Permit, and request for a waiver of fees for this event, from the City of Newport Beach. The event is scheduled to take place on Saturday and Sunday October 4 -5, 2003 from 10 a.m. -6 p.m. in Balboa Village on the Peninsula. La Strada dell' Arte is an Italian -style street - painting festival that will feature approximately 75 juried artists and local school art classes creating chalk murals along Washington Street in Balboa Village, a number of fine artists selling their paintings along Main Street, a "Piazza de Bambini" where children can create their own street paintings, gondola rides to the Pavilion, strolling street entertainers (musicians, mimes, dancers, Renaissance baffle reenactments, etc.), and a "Taste of Italy" food pavilion in Peninsula Park that will be provided by The Olive Garden (the presenting sponsor) and will feature a variety of fine food from local restaurants. Due to the short time frame of the planning of the event, Ralph Rodheim, a Newport Beach resident, and his company, Rodheim Marketing Group, originally took the lead in the management of and permitting process for this event, primarily because they were convinced, due to their past involvement in a similar festival in Valencia, California, that the event had the potential to bring a significant amount of business and create a significant amount of positive publicity for Balboa Village, as well as, generate revenues for the Newport Nautical Museum and other charities. The reason for this letter and request is that the Newport Harbor Nautical Museum will now be the beneficiary of the event and Rodheim Marketing Group will act as the events manager. We are excited to offer a public event that will celebrate the results of the City's significant investment in the Renaissance of the Balboa Village and are especially grateful that the City, to date has shown significant support for our efforts with this festival. However, we need to request the city's help once again with our efforts to make this festival a success. With the understanding that our resources are limited and time is short, there are a number of fees and procedures that we are asking to be waived and or modified to ensure that the event moves forward in a timely and efficient manner. When Rodheim Marketing Group was the lead agency, it is understandable why the staff had to deny certain request's. However, now that the Newport Nautical Museum is the beneficiary, we would like to address some issues raised by the City's staff for a waiver of fees for this event. Below are the City's responses to Rodheim Marketing Group's initial request for a waiver of fees, followed by our appeals to these responses (in bold type). A. The Special Event Permit application fee of $370 will not be waived. This fee covers the staff time necessary to administer the initial application and work with you throughout the application process. Given that the Newport Harbor Nautical Museum, a non - profit organization, is the new entity spearheading the event, we would like to request that the City charge the Special Event Permit application fee that would apply to a non - profit entity. Follow up on Fee Waiver Request Letter to City of Newport Beach Page 2 B. The burden of notification of surrounding businesses and residents lies with the applicant. This event will have a great impact on both the businesses and residents in the Balboa Peninsula area and, although you have done some outreach to the formal associations operating in that area, they are not totally representative of all those who will be impacted. Therefore, [sic] As stated in the Rodheim Marketing Group's initial request to the City: "given our limited resources, the short time frame until the event, and the nature of the event (daytime, family- oriented, with all music at a low noise level and using traditional Italian instruments), we would like to request that the city waive this requirement. We recognize the importance of notifying all residents and business owners about the event, and in fact have met in person with all of the businesses in Balboa and have met with the Peninsula Point Home owners association board of directors as well as with BMOA. Additionally, we will be sending all residents of Balboa Island and Balboa via the Balboa Beacon and the Island News flyers regarding the event. We will also be taking out approximately $5,000 (In -kind) ads with the Daily Pilot, as well as notifing residents via a LA Times topper the Wednesday prior to the event. If the City still deems it necessary for us to notify residents and businesses in the area, we would request further information about this process, the type of notification required. We again state that we would appreciate the City's assistance to compile a list of parties needing to be notified. C. Regarding your request to serve alcohol in the park, currently this is prohibited by section 10.04.010 of the City Municipal Code, therefore, at the staff level, your request to serve alcohol in Peninsula Park is denied. Your recourse would be to appeal this staff decision to the City Council, as only the Council can waive its policy regarding the use of alcohol in a City park. We would like to appeal to City Council to request their approval to serve alcohol in Peninsula Park. We anticipate that our "Taste of Italy" food pavilion would operate somewhat like a mini "Taste of Newport," where the alcohol served will more closely resemble a "sample" than a full portion. We again remind the City that alcohol will only be served to properly identified wristband - wearing adults, and that alcohol will only be served within the confines of the food pavilion. None of the participating restaurants will serve alcohol. Alcohol will be served by trained volunteer event staff in the same manner as at the "Taste of Newport". Furthermore, the alcohol being served is the result of several key sponsorship relationships that are critical to making this event possible. We request the City's assistance in receiving the guidance necessary to ensure that our service of alcohol meets all required guidelines. Follow up on Fee Waiver Request Letter to City of Newport Beach Page 3 D. Subsequently, your request to fence off Peninsula Park to facilitate serving alcohol is denied. Again, only the City Council could grant this request. To comply with ABC regulations, alcohol at events like La Strada dell' Arte must be served within a confined location. Quoting from the application for a special one -day ABC license: "The Department's policy regarding the issuance of one -day licenses for public events is to require a 'Beer Garden.' The sale, service, and consumption of alcoholic beverages will be restricted to specific zones within the event site. Such zones will be clearly defined and capable of being closely regulated and monitored." Since Peninsula Park is an open area, we request permission to at least enclose the "beer garden" to create the "clearly defined and specific zone" required by the ABC, and to minimize security requirements for the event. The alcohol will be served within the enclosed area of Peninsula Park. We would like to appeal the above to City Council. E. If you were still interested in utilizing the park and field area for an activity other than the service of alcohol, then some fee relief will be given on the rate for reserving the park. Normal commercial rate is $884 per hour for a commercial event. Staffs recommendation at this time is to charge a rate in the Non - resident Private event classification that is $88 an hour. This will include your set up and clean up time frame. We appreciate the Staff's recommendation for lowering the cost of renting Peninsula Park, and would like to request that the fee charged for the rental of Peninsula and the gazebo in Peninsula Park reflect the event's new 501(c)(3) status. F. If you need the streets to be slurry sealed prior to the event, it will be at your expense. The event was initially promised by councilman Ridgeway that this is something the city could do, however in further discussions it was questioned if this is financially feasible. Possibly we could split the cost of slurrying the streets, should slurrying be necessary to provide the chalk artists with a suitable "canvas" for their murals. G. The City will be charging for any other indirect expenses related to the event such as road closures, police and fire and additional trash pickup as required. We again request that these fees be reconsidered in light of the new 501(c)(3) status of the event. We would like to discuss with the City ways in which private companies who are currently acting as sponsors to the event may mitigate the costs of the event by assuming some of the City's duties (i.e. the event's waste removal, street cleaning, security, etc.). Follow up on Fee Waiver Request Letter to City of Newport Beach Page 4 H. Staff will need a detailed plan regarding cleaning up the streets after the event. If City staff is needed to wash chalk off streets, there will be an extra charge. If you are going to handle this aspect of the clean up you will need to submit to us a clean up plan so that we can be sure it meets current codes and street cleaning procedures. The Event Manager will present the City with documentation regarding the clean up plan and clean up procedures currently in place with the sponsor (PressurePro) currently engaged to handle the cleaning of the streets both prior to and following the event during the Event Manager's meeting with the City on Tuesday, September 2, 2003. I. Permit fees will be waived for on site banners that do not relate to alcohol service. Any alcohol banners will require banner permits. We appreciate the City's waiver of non - alcohol - related banner fees. However, as a few of our sponsors are alcoholic beverage companies, and as our sponsorship agreement with them encompasses including their logos on advertising for this event, all of our banners will include their logos, they are not individual banners promoting their product just overall event banners. J. In order to assist you in your event planning and budgeting, here is a summary of the potential fees for which you will be responsible based on the information you have submitted to date: a. Permit application fee $370 b. Banner fees (alcohol related) $38 per banner c. Park Rental fee $88 per hour d. Park cleaning deposit $150 (Refunded after event if proper cleanup of the park is done and there no damage) e. Tent permit $56 f. Propane permit (if propane is used) $56 g. Fire Inspection $220 minimum h. Street closure permit $56 i. Parking Meters $290 j. Police (8 officers and 1 sergeant) $9,792 estimate k. Street closure staff $415 I. Street Clean up /refuse pick up if performed by the City Unknown m. Slurry seal streets $4000 -$6000 estimate We appreciate the City's assistance in helping us budget for this event, and again request that the fees be re- reviewed in light of the event's new non - profit status. Follow up on Fee Waiver Request Letter to City of Newport Beach Page 5 La Strada will be a fun family- oriented event, and our marketing and public relations efforts will be aimed at encouraging residents of Newport Beach, as well as tourists, to enjoy the newly renovated Balboa Village. Major publicity and event promotion has already been secured through the LA Times, the Daily Pilot, Where magazine, and local radio stations. We anticipate that Balboa Village businesses, hotels, restaurants, etc. will benefit from the influx of local residents and tourists that will occur during the festival. We further anticipate that the event will generate revenue for the City via the TOT and sales tax on items /food sold at the event. Thus far, local businesses are currently participating in four primary ways: 1) local businesses have been invited to underwrite or sponsor portions of the event (waste management, cost of art materials, etc.) in return for publicity on materials about the event; 2) local businesses have been invited to sponsor chalk murals stenciled with their company names; 3) local restaurants have been invited to participate in the "Taste of Italy" Food Pavilion; and 4) local hotels have been invited to offer special rates for the event. We have had a very positive response from business owners in Balboa Village regarding their support of this event, and organizations such as the Newport Beach Conference and Visitors Bureau and The Balboa Merchants and Owners Association have also expressed their enthusiasm and support. We are committed to the continuing improvement of Balboa Village. We anticipate that the event will generate donations not only for the Newport Harbor Nautical Museum, but also for the Balboa Performing Arts Theater Foundation and the Balboa BID. It is our hope to make La Strada an annual public event that will draw quality family oriented individuals to the Balboa Village area. As the events producer please feel free to call me at 714.557.5100 x13 if you need more information Again, our very warmest thanks, el2k �_ Ralph Rodheim