TITLE
Recommendation to authorize City Manager to execute any and all documents necessary for a supplemental agreement to Management Agreement No. 21667 with SMG, formerly known as Spectacor Management Group, for the completion of certain capital improvement projects at the Long Beach Convention and Entertainment Center located at 300 East Ocean Boulevard. (District 2)
DISCUSSION
The City is the owner in trust of the Long Beach Convention & Entertainment Center (Center), which is comprised of the Arena, Terrace Theater, Center Theater, and Exhibition Halls.
The City contracts with SMG to operate the Center under Management Agreement No. 21667. Under its agreement with the City, SMG is required to manage, operate, and maintain the Center in good condition, as well as to repair and replace damaged or defective Center improvements. Annually, the City allocates Tidelands Operating Funds to SMG to make those repairs and improvements.
The Long Beach Area Convention and Visitors Bureau (Bureau) is responsible for attracting convention business to the Center. It has negotiated a contract with The Sapling Foundation, a non-profit foundation, to host the Technology Entertainment Design (TED) Conference at the Center in February 2009. "The goal of the foundation is to foster the spread of great ideas; it aims to provide a platform for the world's smartest thinkers, greatest visionaries and most inspiring teachers, so that millions of people can gain a better understanding of the biggest issues faced by the world and a desire to help create a better future." This first-time event in Long Beach will provide an excellent opportunity to showcase the Center, as well as the City.
Minimal funds have been invested into the Center for maintenance and refurbishment and as a result, key features are in disrepair or out of date. As a result of oil revenues in the Tidelands fund, the opportunity now exists to invest in the Center.
The City and SMG have a five-year Capital Improv...
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