March 28, 2006

SUBJECT: Explore Community Support for Community Events (Study Issues)

REPORT IN BRIEF

In December 2004, Council identified Explore Community Support for Community Events, as the Office of the City Manager’s (OCM) highest-ranked 2005 study issue. The issue was initiated by the city manager in response to Council’s continued interest in developing Sunnyvale’s sense of community. 

Sunnyvale has a long-standing practice and commitment to community events, but in recent years constrained City budgets have challenged event financing, resulting in a fiscally conservative approach to community events.  At the same time, the City has taken a variety of steps to make it easier for local organizations to hold events in Sunnyvale. 

The 2005 study issue paper identified two goals for this study issue:

1) Explore how cost-sharing models of community-wide events might work in Sunnyvale, and the interest level of and commitment of community agencies, local businesses, neighborhood associations and community members in participating.

2) Explore low-cost support options the City could utilize to broaden neighborhood-based events.

Staff is recommending that Council approve the attached draft Council policy on special events, which:

1. Approve the attached (Attachment A) draft Council policy on Special Events which:

a. Consolidates and clarifies the City’s special event policies;

b. Encourages private sponsorship of events in alignment with Council policy from organizations inside and outside the community; 

 

c. Identifies the manner in which the City supports events conducted by other organizations;

 

d. Enables private sector support for City-owned events through increased use of sponsorships;

 

e. Encourages the City to explore participating in the formation of community associations, or other non profit entities, to support or manage community events.

BACKGROUND

In December 2004, Council identified Explore Community Support for Community Events, as the Office of the City Manager’s (OCM) highest-ranked 2005 study issue. The issue was initiated by the City Manager in response to Council’s continued interest in developing Sunnyvale’s sense of community.  Due to staff turnover in OCM, presentation of the issue to Council was deferred to March 2006. As noted in the attached Study Issue Paper (Attachment B, Explore Community Support for Community Events), community events can play a role in building a city’s sense of community. Sunnyvale has a long-standing practice and commitment to community events, but in recent years constrained City budgets have challenged event financing, resulting in a fiscally conservative approach to community events.

Two primary goals were identified for this study issue:

1) Explore how cost-sharing models of community-wide events might work in Sunnyvale, and the interest level of and commitment to community agencies, local businesses, neighborhood associations and community members in participating.

2) Explore low-cost support options the City could utilize to broaden neighborhood-based events.

This report also reviews municipal government’s role in special events, discusses the four most common types of special events, reviews the City’s current practices and policies, and suggests cost sharing options that may enable the City to move forward in achieving its community event goals without significantly increasing the cost burden to City government.  This report does not address the City supporting community events through the increased allocation of resources (in-kind services, fee reductions, or cash subsidy) to community organizations for their events.

EXISTING POLICY

Community Participation Sub-Element

·         Goal 7.2E Create a strong, positive community identity. 

o       Policy 7.2E.2 Encourage celebrations of community and projects which focus on the character, diversity and quality of Sunnyvale.

Action Statement:

7.2E.2a  Sponsor and support community special events which strengthen a positive community identity.

·         Goal 7.2B   Achieve a community in which citizens and businesses are actively involved in shaping the quality of life and participate in local community and government activities.

·         Policy 7.2B.1 Plan for and encourage citizen involvement in the development and implementation of City and community programs and services.

·         Policy 7.2B.6  Encourage citizen contributions and business volunteerism, involvement and philanthropy to support community programs and activities.

Action Statements:

72B.6a. Seek opportunities for the City to be a catalyst to increase the frequency, amount and impact of contributions from citizens, community organizations and businesses.

7.2B.6b. Facilitate the ability of businesses to support or supplement public resources to achieve community goals.

7.2B.6c. Publicly recognize business community involvement, contributions and achievements.

Socio Economic Sub-Element

·        Policy 5.1B.3  Monitor the effect of City policies on business development and consider the effects on the overall health of business within the City.

·        Policy 5.1C.1 Support efforts to establish Sunnyvale’s downtown area as a strong commercial center for the City.

·         Policy 5.1C.4  Promote business opportunities and business retention in Sunnyvale.

DISCUSSION

This report is in four parts: part one discusses the four most commonly held types of community events, the role of municipal governments in hosting events in their communities, and the reasons cities invest resources in events. Part one also provides a historical perspective, reviewing Sunnyvale Council direction on special events over the past several years. Part two identifies the City’s current special events, community participation levels, and the City’s current practices and policies. Part three identifies cost-sharing models that could be further explored for Sunnyvale; and part four discusses additional, low-cost actions the City is taking to facilitate and strengthen community events.

Part One Types of community events and city government’s role

Events cover a broad territory, ranging from community-wide 4th of July celebrations, to large fund-raising events, to neighborhood block parties.  Successful events of all types contribute to the quality of life of a community, but different types of events will also achieve some fairly different goals.  As cities formulate policy on special events, it is useful to keep these categories in mind. There are basically four types of community events, categorized by the event’s primary purpose:

• Citywide community-building events, broadly defined as “a program or set of activities that is unique or out-of-the norm in nature, appeals to a wide segment of the community, and requires significant effort to plan and implement.”  The target audience for Citywide community-building events is community members (residents, business owners, not for profit organizations, and other community stakeholders).  The purpose of community building events is to contribute to the quality of life, increase community pride and place, and strengthen the sense of community.
• Small community-building events also strengthen a City’s sense of community and contribute to a community’s quality of life.  They generally are not open to the whole community (i.e. a block party or neighborhood association potluck). Since small community-building events have a narrow focus, the target audience is also smaller: residents of a neighborhood association or residents of a single block (for a block party). 
• Fund raising events are held to generate funds for nonprofit organizations.  They often involve selling goods or services (i.e. an arts and crafts fair held to raise money for community service organizations), or may be in the form of an athletic event (such as a marathon or dance-a-thon). While fund raising events are focused on fund raising, they also contribute to a community’s quality of life through support for needed community services, increased sales tax revenue, or just something fun to do. These events may also elicit a sense of pride in a community’s good works, and strengthen a City’s sense of community.  Fund raising events vary in size and may be quite large or quite small.  While attendees may be primarily local, the target audience is typically much broader, and not restricted geographically.
• Marketing events are designed to increase revenues for local merchants and strengthen the economic well-being of a downtown, or other business district. Marketing events may include sidewalk sales, concerts in a business district, or similar event. While revenue generation is the primary focus, they also contribute to the quality of life in a community by maintaining a healthy business presence, celebrating a community’s unique sense of place, and often also contribute to building a sense of community.  The target audience for marketing events varies by event, and can be quite broad. While businesses are eager to serve the local community, revenue generation from a broad geographical base is also welcome. 

When cities invest resources in events, they do so to address the needs and goals of their particular City. The reasons vary by city and reflect a community’s particular place, economy, special interest, community character, and need.  Over time, successful events can bring such benefits as local, regional or national recognition, a heightened sense of place, increased revenue, and increased community involvement and pride.

Over the past 10 years, Sunnyvale’s City Council has had a continuing conversation about community special events (see Attachment C, Summary of Recent Council Direction). A review of the City’s General Plan and Council reports on special events over the past ten years yields the following themes:

• Citywide special events play an important role in the balanced delivery of leisure and cultural services;
• The City is committed to assuming a leadership role in the funding, planning and implementing of Citywide special events;
• Community service organizations serve as valuable resources in planning, organizing and implementing special events;
• Since the 2003/04 budget crisis, event costs have needed to be constrained;
• The City’s role and involvement should be clearly defined for each special event.

These themes are consistent with the following actions the City has taken over the past five years to control event costs while facilitating the process for organizations seeking to hold events: 

• 2001: Council directed staff to develop a grant funding program for special events, and allowed other organizations to use the City’s banner spaces, if available, to promote their events.  The banner program continues in place today.  The grant funding program, which provided a total of $25,000 annually for community events to external organizations, was eliminated with the budget cutbacks in FY2003/04.
• 2004: Staff streamlined the event application process with the introduction of a “One Stop” Community Events Coordinator and a comprehensive, online event application form. The new event application  remains in place today, and a recent survey of 2005 special event applicants indicates a high level of customer satisfaction with the current process (see Attachment D,  Results of City Events Application Process Survey).
• 2006:  Staff developed an online “Block Party Kit” to make it easier for residents to plan and implement block parties.
• 2005:  Council approved a neighborhood grant program which can be used by neighborhood groups on community building activities ($2,500 total funds, for individual grants up to $500).  This program will be reviewed by Council for possible expansion and increased funding in the context of the City Manager’s budget transmittal for FY06/607.

Part Two Review of 2005 community events, community participation levels, and City practices/policies

In calendar year 2005 the City processed 12 applications for large special events. A breakdown of the events by sponsor is presented below.  All data is taken from the City’s database of 2005 event applications.

The City of Sunnyvale sponsors several community-wide special events, as noted in Table 1. Asterisked (*) events are held annually.

Table of 1:  2005 City-sponsored Community Events

Additionally, community organizations may sponsor events. Some have become annual events.  The Sunnyvale Chamber of Commerce and the Downtown Business Association are particularly active event sponsors, as indicated in Table 2.

Table 2:  2005 Chamber of Commerce/Downtown Business Association Events

Other community associations also sponsor special events in Sunnyvale. Table 3 notes those that are open to the community.

Table 3:  2005 Events sponsored by other community organizations in Sunnyvale

Organizations outside Sunnyvale also come to Sunnyvale to hold their events. Table 4 identifies the two organizations that chose Sunnyvale in 2005.

Table 4:  2005 Events sponsored by organizations not located in Sunnyvale

Event Participation

Events sponsored by the City and community tend to attract Sunnyvale residents. Exceptions include the Art and Wine Festival and the Children’s Kite Flying Competition.  The Art and Wine Festival is by far the largest event in terms of attendance.  Of the other 19 events (includes nine individual Summer Music Concerts), the average estimated number of attendees was 872.  Interviewed event sponsors and association leaders indicate that their constituents appreciate and welcome community events.

Attendees are not the only measure of participation.  All events sponsored by community organizations or the City rely on volunteer assistance and/or sponsorships. Fortunately, past practice indicates that for many events, community members are willing and enthusiastic event volunteers. Additionally, Sunnyvale businesses consistently help to sponsor community events through volunteer time, financial donations and in-kind services.

City Practices and Policies

Currently, there is no single comprehensive City policy (Council or administrative) focused on City events. Permit requirements and other requirements are embedded in City ordinances and Council policies. City practices have evolved from broad Council policy or related Council direction.  The following practices and policies are in place:

1. City Policy:  To the extent that economic conditions and the City’s resources allow, Sunnyvale sponsors the following annual, community-wide special events:  State of the City Celebration, Hands on the Arts, Health and Safety Fair, 4^th of July Celebration, and National Night Out. 

(Policy source is Council-approved budget.)

Note:  Beginning in 2003 the State of the City Celebration has been held on July 4^th, and the budgets for both events, the State of the City and 4^th of July Celebrations, have been used for the combined, single event. The date for the State of the City event is determined by the mayor and may be combined with the Fourth of July event at his/her discretion.) 

2. City Policy:  The City does not provide in-kind services for events sponsored by other organizations. All event costs, including City services, facilities rentals and permitting fees, must be paid by the sponsoring agency.  Costs for in-kind services include traffic control, crowd control, security, blocking off streets, trash pick up, recycling and fire safety/site inspections.  Facilities costs include rental fees for facilities, and facilities set-up charges.  Permits include the miscellaneous use permit.

(Policy source is 2003 Council action eliminating the Community Event Grant program which in part defined the value of in-kind services.)

Note:  This practice is relatively recent. In a 2000 Report to Council the City estimated that it provided more than $38,000 annually in in-kind services to external organizations for their events.

3. City Policy:  Fees for City services are set at cost-recovery rates in compliance with the City’s current fee schedule.  (Policy source is the Fiscal Sub Element.)

4. City Practice Supported by Policy:  If invited, and as resources permit, the City may participate in an event at no charge to the sponsoring organization (i.e. providing a fire engine or a booth about City services).  (Policy source is the Community Participation Sub Element.)

5. City Policy:  Non profit organizations may utilize the City’s banner display sites at Wolfe Rd./El Camino Real  and at the Community Center. They may also use street poles along El Camino Real and Mathilda Avenue for banner display.  Fees are charged accordingly. See Attachment E, Council Policy 2.5.2, Banners.

6. City Policy:  Facilities rental rates are charged according to the City’s rental rate schedule, which is managed by the Department of Parks and Recreation. (Policy source is the Fiscal Sub Element.)

7. City Practice Supported by Policy: For City-sponsored events, volunteer support and sponsorships by other organizations are used to encourage community participation and lower event costs. Event sponsors receive recognition/publicity in return for in-kind service contributions or donations which defer the cost of the event.  The City’s Hands on the Arts event, Health and Safety Fair and National Night Out all rely on community volunteers and sponsorships to increase participation and offset costs.  (Policy source is the Community Participation Sub Element.)

Part Three Cost-sharing models that could be explored for community events in Sunnyvale   

While many cities sponsor their own special events, many partner with other organizations, or rely on community agencies and external organizations to sponsor local events. There are several cost-sharing models for community events. To varying degrees, most are already in use in Sunnyvale