Long Beach, CA
File #: 14-0295    Version: 1 Name: CM - Agrmnt w/Grand Prix Assoc. D2
Type: Contract Status: CCIS
File created: 4/4/2014 In control: City Council
On agenda: 4/22/2014 Final action: 4/22/2014
Title: Recommendation to authorize City Manager to execute the First Amendment to Agreement No. 30691 with the Grand Prix Association of Long Beach, LLC, a Delaware limited liability company. (District 2)
Sponsors: City Manager
Attachments: 1. 042214-R-6sr.pdf
Related files: 30691_001, 30691_002, 17-1098
TITLE
Recommendation to authorize City Manager to execute the First Amendment to Agreement No. 30691 with the Grand Prix Association of Long Beach, LLC, a Delaware limited liability company. (District 2)

DISCUSSION
On April 15, 1975, the City and the Grand Prix Association of Long Beach (Association) executed Agreement No. 16278 (Agreement) granting permission to the Association to conduct championship Grand Prix automobile races in the City of Long Beach. The term of the Agreement, as amended, expired June 30, 1990. On April 30, 1990, the City extended the term of the Agreement to June 30, 2000. On April 18, 1995, the City amended and restated the Agreement, which included a termination date of June 30, 2010. On March 18, 2008, the City again amended and restated the Agreement and extended the term of the Agreement to June 30, 2015, with an option to extend the term for an additional five years, expiring June 30, 2020.

The City has had a long and mutually advantageous relationship with the Association. The races have drawn large crowds, national and international exposure for the City, and generated substantial positive economic benefits. In an effort to continue this relationship, staff recommends that the City extend the term of the current Agreement to June 30, 2018, and provide two options to thereafter extend the term for a period of one-year each. This request provides an opportunity for the City to revise and refine other aspects of the Agreement and sufficient time to prepare and issue a Request for Proposals to the Association and to Formula 1.

As a result of the last contract negotiations, the Association has significantly modified its Construction Period in an attempt to accommodate the restaurants along Pine Circle, in the Pike, and at the Aquarium of the Pacific; expanded the Race Period to include a half-day event on Thursday afternoon; and, very recently, agreed to allow limited pedestrian and bicycle access to the Circuit between the hours...

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