HomeMy WebLinkAbout130521 Contribution Disc Revised per Council
TO: Vail Town Council
FROM: Economic Development and Finance Departments
DATE: May 21, 2013
SUBJECT: Contribution and Event Funding
I. SUMMARY
Council contributions and special event funding was a significant topic of discussion during the
Council retreat held earlier this year. The purpose of this discussion is to highlight the concepts
brought about during the retreat and ask for feedback from Council on any changes to funding
policy or procedure prior to the 2014 budget season. This memo incorporates input from Council
at the May 7 work session.
II. DISCUSSION
Currently, Council contribution funding applications are accepted once per year, so that Council
can review the requests in conjunction with the annual operating budget. The Commission on
Special Events (CSE) is funded annually as a part of the General Fund operating budget, then
seeks proposals from event producers and has an extensive review process to determine
funding allocations. In addition, several large events have been funded by General Fund
reserves because the funding commitment is outside of annual operating budget parameters.
During the retreat, Council discussed the possibility of utilizing categories of events or
services to group organizations requesting funding. These categories or “tiers” would
receive funding allocations during the annual budget process by way of staff approval of
annual applications. The purpose of creating categories is to simplify the funding
process and establish parameters around the protection of certain events. Funding
allocations for Tiers I and III are recommended for a two year cycle. Other Tiers are
recommended annually.
Council would like to see each request for funding address how the contribution or event
fits into the overall Council Goals listed below:
• Improve economic vitality
• Grow a balanced community
• Improve the quality of the experience
• Develop future leadership
The following categories were discussed with Council on May 7:
Town of Vail Page 2
Tier I – Vail Brand Events: 2013 Budget of $335,600
Events and programs which have been built by solid organizations over a period of time and
enjoy - national and international recognition for excellence. These events represent the Vail
brand at the highest level and the loss of any one of them would have a negative effect. Staff
suggests we are at a sustainable level of funding for these events. The customer base includes
a significant portion of destination guests and economic impact to the town is profound.
Example of these events and programs would include Bravo!, Summer Mountain Games, Vail
International Dance Festival and Vail Jazz Festival. Funding of this category would be allocated
outside of the CSE annual budget; however the results would be reported to the Commission on
Special Events as part of the standard recap process and would also be presented to Town
Council. The funding for Tier I is in addition to the CSE budget.
Tier II - Extraordinary Events: 2013 Budget of $1,200,000
This category would represent events and programs that would provide the town an opportunity
for new or one-time events such as the US Pro Challenge, Burton US Open Snowboarding
Championships and the 2015 World Alpine Ski Championships. Funding of this category would
be allocated outside of the CSE annual budget due to the size of funding request and potential
for one-year only type of events; however the results would be reported to the Commission on
Special Events as part of the standard recap process and would also be presented to Town
Council. The funding for this category would not be automatic each year, but major events
and/or programs with the potential to build the Vail brand even further and have a significant
impact on the town’s economy would be considered on an individual basis
Tier I events would be able to apply for funding from this category with a new opportunity that
fits this criteria. The funding for Tier II is in addition to the CSE budget and normally funded
from reserves.
Tier III – Services/Expertise: 2013 Budget of $294,620
This category would fund an aspect of services/expertise that the town does not already
provide, supports the TOV physical plant and is appropriate for governmental support.
Examples of this category would include support of TV5, Colorado Ski and Snowboard
Museum, Betty Ford Alpine Gardens and the Eagle Valley Childcare. The town would no longer
require an annual application to be filled out for ongoing operating support, which would be
included in the annual budget at a set level each year. This process is intended to cover
operating expenses only. Additional opportunities would also be considered.
Tier IV – Life-Long Learning / New Program Development / Education: Potential:$75,000
This category is proposed for life-long learning type of events or programs. Examples of this
category might include Vail Symposium, Vail Living Well and Vail Global Energy Forum, in
addition to new events that meet the criteria. Each year these new events or programs would be
evaluated during the budget process. After the initial 3 year period of funding this category of
events, staff and Council will review the merit of continuing with the category.
In-kind Funding: Estimated 2013 Budget of $300,000
Regarding annual in-kind funding allocations such as ice time at Dobson Arena, use of Donovan
Pavilion/Grand View and public works or police department services, staff recommends a staff-
level approval. The town would no longer require an annual application to be filled out. CSE
recaps should include this funding. Additionally, sponsorship levels for the Town of Vail should
also reflect the level of funding including cash and in-kind.
Commission on Special Events 2013 Budget of $996,800
Town of Vail Page 3
II. ACTION REQUESTED OF COUNCIL
Staff requests that Council review the memo and provide direction on the following questions:
1. Does Council support simplifying and streamlining the process as outlined? In the May 7
work session Council agreed to simplify and streamline the process and asked for the
revisions outlined in this document.
2. Does Council support targeting current levels of funding or prefer a change in levels of
funding? In the May 7 work session Council agreed to use these levels as a starting
point and to make a final decision as part of the 2014 budget process.
3. Does Council support having Staff review and recommend funding annually as part of
the budget process? Council agreed in the May 7 work session to this process
understanding that Council will have the final approval during the 2014 budget process.
4. Would Council like to create a process for capital projects? Council gave direction to
have the capital projects come through the capital budget process and be reviewed in
the context of the 5 year capital plan.