Special Notice / Hearing: None__
Vote Required: Majority
To: Honorable Board of Supervisors
From: Michael P. Callagy, County Executive
Subject: Memorandum of Understanding with San Mateo County Exposition and Fair Association/Feasibility Study
RECOMMENDATION:
title
Adopt a resolution authorizing the County Executive, or designee, to execute a Memorandum of Understanding (MOU) with the San Mateo County Exposition and Fair Association to provide County funding for a feasibility study for expansion and improvement of the Event Center, for a term through June 30, 2026, in an amount not to exceed $250,000.
body
BACKGROUND:
A. The County and the Event Center
The County is the owner of the San Mateo County Event Center (Event Center), located in the City of San Mateo, which is used for conferences, conventions, expositions and other uses authorized by law. The Event Center is managed and operated by the San Mateo County Exposition and Fair Association (Association), a non-profit organization, pursuant to an agreement with the County. The current “Agreement Providing for Management and Operation of the San Mateo County Fair and San Mateo County Event Center” was entered into on October 23, 2018 (2018 Agreement), various forms of which have been in place since 1984.
The 2018 Agreement provides that the County owns and controls all Event Center property and will work jointly with the Association on major maintenance and capital improvements of all Event Center buildings and grounds, which are subject to County approval. (2018 Agreement, § 7). The Association is responsible for the administration and supervision of such projects and is required to perform general maintenance of all Event Center buildings and grounds. (Id., §§ 6, 7). The Association “retain[s] all monies received by it from conducting the Fair, the satellite wagering facility and the use and management of the Event Center.” (Id., § 3).
The Event Center serves as a critical facility and supports emergency services and disaster response in the County and has been designated as a Community Resilience Center pursuant to Assembly Bill 211, which provides that Community Resilience Centers shall serve as community emergency response facilities and aid in building long-term resilience, preparedness, and recovery operations for local communities.
B. Event Center Feasibility Study
The Association has conducted a competitive procurement process to identify and select a vendor to conduct a feasibility study for the expansion and improvement of the Event Center. The study will evaluate options for modernization and expansion that will enhance the Event Center’s ability to attract regional, national, and international events, including conferences and conventions, and a large-scale entertainment venue or performing arts center. Pursuant to this process, the Association has selected Johnson Consulting to conduct the feasibility study, in accordance with a defined scope of work and fee proposal in the amount of approximately $483,190 (“Feasibility Study”).
The County desires to share with the Association the costs of the Feasibility Study by providing funding an amount not to exceed $250,000, on a reimbursement basis, for eligible costs incurred to carry out said Feasibility Study, provided that the Association also contributes $250,000 of its funds toward such costs.
DISCUSSION:
Staff recommends that the Board authorize a Memorandum of Understanding (MOU) with the Association to provide County funding in an amount not to exceed $250,000, toward the cost of the Feasibility Study. County funds would be provided on a reimbursement basis for eligible costs, subject to the terms and conditions of the MOU, including that the Association would contribute $250,000 of its funds.
Under the terms of the proposed MOU, the Association will be responsible for contributing its own and for administration and supervision of the Feasibility Study, including the management of any agreements entered into by the Association with contractors, in accordance with their terms and conditions to ensure effective, efficient, and timely completion. The Association will be required to provide supporting documentation for costs.
The funding provided under the proposed MOU will help determine the feasibility of future improvements and expansion of the Event Center. Appropriate improvements can help ensure that the Event Center continues to serve as a critical facility for emergency services, disaster response and recovery, as well as a suitable site for local events, conferences and conventions. Such investment can enhance the Event Center’s capacity to generate revenue that can be used to maintain and improve the property.
The County Attorney’s Office has reviewed and approved the proposed resolution and MOU as to form.
COMMUNITY IMPACT:
The funding provided under the MOU will support determination of the feasibility of future improvements and expansion which may benefit vulnerable communities and the community as a whole by improving facilities for local events and gathering.
FISCAL IMPACT:
The funds committed by this proposed action total $250,000 and will be drawn from the County General Fund.