TITLE
Recommendation to authorize City Manager, or designee, to approve a visiting vessel permit fee for race participants at a discounted rate of $0.65 per linear foot for their use of the Pine Avenue Pier dock for the 2017 Transpacific Yacht Race, during the period of June 19, 2017 through July 7, 2017. (District 2)
DISCUSSION
The Transpacific Yacht Club (TPYC) will host the 49th Transpacific Yacht Race (Transpac Race) from Long Beach, California to Honolulu, Hawaii in July 2017. The first biennial 2,225 nautical mile race was held in 1906; it included three yachts with the winner crossing the finish line 12 days, 9 hours, and 59 minutes after the start of the race. The Transpac Race is one of the sport of sailing’s premier offshore races, attracting entrants from all over the world. International home ports for the 2017 Transpac Race include Aasgaardstrand, Norway; Yokosuka, Japan; North Vancouver, Canada; Melbourne, Australia; Milano, Italy; Krasnoyarsk, Russia; and Dolphin Square, Great Britain.
The 2017 Transpac Race anticipates 60 entries, with three separate start dates on July 3, 5, and 6. Participating vessels will be moored in Rainbow Harbor prior to their start date to prepare for the journey. Aloha sendoff events will be held at local restaurants and yacht clubs the weekend of July 1, 2017. Some of the vessels are likely to arrive at the Diamond Head finish line as soon as July 14, 2017, where they will be met with various celebratory events.
In the interest of promoting the City of Long Beach (City) as the Aquatics Capital of America, and the promotion of the City as a destination for visitors seeking to participate in a wide range of aquatic activities, TPYC proposes to rent the dock located on the west side of Pine Avenue Pier, which consists of 181 linear feet of dock space, to race participants, at a temporary discounted rate of $0.65 per linear foot, per day, from June 19, 2017 through July 7, 2017. The total dock revenue to the City for 19 days at the discounted rate is $2,235, roughly a discount of 54 percent. The City Council previously adopted a mooring fee for a visiting vessel of $1.20 per linear foot, per day.
Should the number of entrants exceed the capacity allowable on the west side of Pine Avenue Pier, this discounted rate shall also be applied to dock space within Rainbow Harbor for the purposes of the Transpac Race. Unlike the Pine Avenue Pier, which will be reserved for the Transpac Race, all other dock space will be allocated on a first come, first served basis, for a period of no less or no more than three days per vessel.
This sailing event attracts nationwide and worldwide media attention for the City, along with the additional revenue to local businesses such as hotels, restaurants, grocery and boating supply stores, as well as other retail establishments. These benefits outweigh the revenue loss resulting from the discounted visiting vessel permit fee.
This matter was reviewed by Deputy City Attorney Linda T. Vu on April 21, 2017 and by Budget Management Officer Rhutu Amin Gharib on April 24, 2017.
TIMING CONSIDERATIONS
City Council action is requested on May 23, 2017, to allow ample time to reserve the required dock space by the entry deadline of May 30, 2017.
FISCAL IMPACT
Anticipated revenue from dock rent in the amount of $2,235 will be deposited in the Rainbow Harbor Fund (TF 411) in the Parks, Recreation and Marine Department (PR). There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
MARIE KNIGHT
DIRECTOR OF PARKS, RECREATION AND MARINE
APPROVED:
PATRICK H. WEST
CITY MANAGER