CC - Item 6A - Lunar New Year Family Festival 2014 Budget AdjustmentROSEMEAD CITY COUNCIL
STAFF REPORT
TO: THE HONORABLE MAYOR AND CITY COUNCIL
FROM: JEFFRY ALLRED, CITY MANAGER }'f
DATE: DECEMBER 10, 2013
SUBJECT: LUNAR NEW YEAR FAMILY FESTIVAL 2014 BUDGET ADJUSTMENT
SUMMARY
In 2009, City Council approved creation of the City of Rosemead's Lunar New Year Family
Festival in partnership with EDI Media. EDI has been largely responsible for event operations
since the first event in 2010. While EDI was tentatively scheduled to run the 2014 event, they
recently informed the City that they can no longer do so. Given time and budget limitations, the
Parks and Recreation Department will assume all event responsibilities, though the City will
seek assistance from other agencies with some aspects of the event.
The 2014 event is scheduled for Saturday, February 15, from 10:00 a.m. to 5:00 p.m., and will
consist of stage entertainment, gourmet food trucks, merchandise booths, and youth activities.
As in 2010, it will be located on Mission Drive. In assuming operations, the City will also take on
all financial responsibility. The City will no longer share expenditures, but will also retain all
event revenues towards offsetting costs.
Staff Recommendation
City Council direction is requested regarding a proposed increase of $4,000 for the 2014 Lunar
New Year Family Festival special event budget to offset anticipated cost increases.
ANALYSIS
As noted above, EDI Media, the City's contracted event vendor for the past four years, cannot
partner for this year's event. The City will, therefore, assume all responsibility for operations. In
previous years, the City paid a lump sum ($8,000 in 2013) to the contractor to offset a small
portion of event costs and shared responsibilities for event promotion. EDI was responsible for
all other associated costs and received all revenues generated by the event.
Assuming responsibility will result in some costs increases, but will also provide revenues to
offset some of those costs. To limit event costs, the scale of the event will be reduced to be
consistent with other City special events. The City will contract with a vendor to provide gourmet
food trucks, primarily engage local talent (at no cost), seek volunteers and ask City staff to flex
their time to work the event, and will absorb LASD personnel costs for event security in the
current contract. Additionally, to offset costs, the City will charge merchandise vendors a fee to
operate a booth, require food trucks to remit 10% of all event - related sales to the City, and, as
with other events, sell wristbands for youth activities.
APPROVED FOR CITY COUNCIL AGENDA: ITEMNUMBER: WN
City Council Meeting
December 10, 2013
Page 2 of 2
Event costs are estimated to be as follows:
It em/Activity
Rentals (portalets, sinks, 3- compartment
sinks, chairs /tables)
Estimated Cost
$4,500
Boulevard Banners (2)
$2,000
Attractions
$2,100
Game /craft booths supplies
$ 700
Stage sound
$1,000
Professional Entertainment (3 acts)
$1,200
Miscellaneous supplies
$ 500
Total
$12,000
The above costs account for stage entertainment throughout the day, food provided by food
trucks, and 30 merchandise booths (which may include snack foods provided by professional
vendors), and children's activities including 10 game and craft booths and six attractions. These
costs are consistent with expenditures related to the City's Fall Fiesta, which is similar in size
and scale to what is being proposed for Lunar New Year 2014.
Event revenues are estimated as follows:
In addition to the revenues detailed above, we will pursue event sponsorships through local and
regional businesses. However, there is no way to determine the success of such an effort. Any
sponsorship monies received would further offset actual event expenditures.
PUBLIC NOTICE PROCESS
This item has been noticed through the regular agenda notification process.
FISCAL IMPACT
The fiscal year 2013 -14 budget includes $8,000 for the Lunar New Year Family Festival. An
additional $4,000 from unreserved fund balance will be needed to cover additional event costs.
Further, costs for Sheriff's Department personnel can be absorbed in the current fiscal year
contract and staff will flex time so as not to incur added staff costs. Finally, event revenues
should offset most of the added costs.
Director