HomeMy WebLinkAbout12 - NBTV Video Production and Government Access Channel ManagementTO:
FROM:
CITY OF
NEWPORT BEACH
City Council Staff Report
January 8, 2019
Agenda Item No. 12
HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
Grace K. Leung, City Manager - 949-644-3001,
gleung@newportbeachca.gov
PREPARED BY: Mary Locey, Administrative Analyst,
mlocey@newportbeachca.gov
PHONE: 949-644-3031
TITLE: Professional Services Agreement with Red 88 Media for NBTV Video
Production and Government Access Channel Management
ABSTRACT:
Staff is recommending approval of a professional services agreement with Red 88 Media
to provide video production and government access channel management for the City's
Newport Beach Television (NBTV) channel.
RECOMMENDATION:
a) Determine this action is exempt from the California Environmental Quality Act (CEQA)
pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines, because
this action will not result in a physical change to the environment, directly or indirectly;
and
b) Authorize the City Manager to execute a Professional Services Agreement with
Red 88 Media for NBTV's Video Production and Government Access Channel
Management. The agreement would be subject to approval by the City Attorney and
would: (1) provide a one-year term with the City's right to extend for up to two,
additional one-year terms (to expire December 31, 2021); (2) provide for services at
an annual amount of $116,680 with a three -percent increase each year; and
(3) include a less than seven -percent contingency per year for a total not -to -exceed
amount of $386,362.50.
FUNDING REQUIREMENTS:
The current adopted budget includes sufficient funding for this agreement. It will be
expensed to the NBTV Operations account in the Public Information Office budget,
01020201-87104.
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Professional Services Agreement with Red 88 Media for NBTV Video Production and
Government Access Channel Management
January 8, 2019
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DISCUSSION:
The City of Newport Beach (City) operates a government channel called Newport Beach
Television (NBTV). City staff managed NBTV station operations, production and
programming for a number of years until outsourcing the services in March 2014. The
current agreement for the management of NBTV programming and operations expires on
January 31, 2019.
In keeping with the City's procurement procedures, the City issued a Request for
Proposals for Video Production and Government Access Channel Management (RFP
No. 19-01) in July 2018. The City received qualified proposals from two firms: Newport
Beach & Company, Inc., and Red 88 Media. Both firms submitted information regarding
their experience and qualifications relative to video production and management of
operations similar to NBTV. The firms also submitted their proposed costs to perform
these services. Staff held interviews with the firms in August 2018 and as part of due
diligence, performed reference checks and researched the project history cited by both
firms.
Initially, the cost proposals required further review and follow-up discussions with the
consulting firms. Staff prepared and requested a cost -per -service and an annual cost
worksheet to ensure each firm was clearly costing out the intended scope of services.
This worksheet assumes the filming and production of 24 annual City Council and 24,
Planning Commission meetings, a fixed monthly fee for the administration of NBTV and
1,300 annual production hours needed to film and produce programs such as NB Talk,
The Village Green, Wake Up Newport, Speak Up Newport, and programs on Newport
Beach Public Library and community events, and City projects. The worksheets enabled
staff to effectively compare costs from both firms on an even basis. The firms submitted
their fee breakdown for the following services:
Cost Per Service
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Newport Beach &
Red 88 Media
Company, Inc.
City Council Meeting
$455 per meeting
$860 per meeting
Filming/Production
Planning Commission
$210 per meeting
$325 per meeting
Meeting Filming/Production
Video Production Blended
$35 per hour
$46 per hour
Rate
NBTV Administration
$5,140 per month
$2,370 per month
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Professional Services Agreement with Red 88 Media for NBTV Video Production and
Government Access Channel Management
January 8, 2019
Page 3
In addition to the services listed above, Newport Beach & Company, Inc. also proposed
other costs to the City required for their engagement: an annual Management Fee and
the City's contribution toward use of their studio space to film productions and provide the
Executive Producer with a base of operations. The local, professional studio space is a
convenient, but not essential, option for NBTV. It is currently used to film NB Talk and
staff believes that program could be filmed in a City facility.
To accurately and fairly compare the total annual costs from both firms, the costs per
service were applied against historical, average usage, represented in the following table:
Annual Costs
Service Description
Annual
Assumption
Newport Beach
& Company, Inc.
Red 88 Media
City Council Meeting
Filming/Production
24 Meetings
$10,920
$20,640
Planning Commission
Meeting Filming/Production
24 Meetings
$5,040
$7,800
Video Production Blended
Rate
1,300 Hours
$45,500
$59,800
NBTV Administration
12 Months
$61,680
$28,440
Annual Management Fee
Fixed Fee
$14,000
$0
Studio Space Contribution
Fixed Fee
$5,000
$0
Annual Contract Rate
Increase
Fixed Rate
4%
3%
TOTAL ANNUAL COST
$142,140
$116,680
While Newport Beach and Company, Inc. proposed lower costs for filming and producing
the City Council and Planning Commission meetings, as well as the lower blended rate
for video production services, costs were higher with regard to administration and
management. When the proposed service costs are viewed within an annual usage
context, Red 88 Media presented the lowest overall costs, including a lower annual
contract rate increase (3% compared to 4%).
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Professional Services Agreement with Red 88 Media for NBTV Video Production and
Government Access Channel Management
January 8, 2019
Page 4
Further, while reviewing the proposals, it was suggested that City staff reach out to
another Orange County city that is seeking to change its government channel operation
to inquire about potentially sharing video production services. The proposer firms were
notified that staff was pausing the RFQ process while these discussions took place.
Newport Beach staff met with representatives of the other city and there is interest in the
idea of shared services; however, the timing for a potential partnership does not align with
the City's current need for providing services. Both cities intend to continue these
discussions with the intention of perhaps sharing some programming, and perhaps
sharing services at some time in the future.
Award of Contract
Staff is ready to proceed with recommending a consultant and agreement for the City
Council's consideration. Each proposer was once again contacted to confirm they are still
interested in providing the services and to ensure the cost for services as proposed is
final.
Both firms - Red 88 Media and Newport Beach & Company - have experience performing
the services required for video production and the programming and operations of NBTV.
Newport Beach & Company is the current firm managing NBTV for the City. They have
provided quality programming and services to the City since 2014. Red 88 Media has
extensive experience in Public, Education and Government production and programming
for other municipal and public sector organizations, including the broadcasting of city
council and planning commission meetings.
Staff believes both firms are well qualified to provide the services required. However,
there is a notable difference in the cost proposals provided. Red 88 Media's proposal - at
$116,680 per year - is nearly 20 percent less per year than the annual cost for services
proposed by Newport Beach & Company. In the past, the City has expended $150,000
annually for NBTV's management and programming.
It should be noted that staff is proposing the inclusion of a small contingency in Red 88
Media's annual fee. In year one of the agreement, the contingency would be $8,320. It
would increase, along with the annual cost per services, three percent (3%) each time the
agreement is renewed. Staff is recommending the contingency, and would have
recommended a similar contingency if Newport Beach & Company were to be the
selected consultant, to accommodate any new programming ideas or suggestions on how
to increase production value. Staff believes both proposers would have suggestions on
how to further enhance NBTV programming and operations.
Thus, staff is requesting the approval of a professional services agreement with Red 88
Media for one year with the right to renew for two, additional one-year terms for a total,
not -to -exceed amount of $386,362.50.
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Professional Services Agreement with Red 88 Media for NBTV Video Production and
Government Access Channel Management
January 8, 2019
Page 5
ENVIRONMENTAL REVIEW:
Staff recommends the City Council find this action exempt from the California
Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) (the activity will not
result in a direct or reasonably foreseeable indirect physical change in the environment)
and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA
Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no
potential for resulting in physical change to the environment, directly or indirectly.
NOTICING:
The agenda item has been noticed according to the Brown Act (72 hours in advance of
the meeting at which the City Council considers the item).
ATTACHMENTS:
None
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