The URL can be used to link to this page

Home My WebLink AboutSPONSOR - 2007 Golf Cart ParadeCITY OF PALM DESERT COMMUNITY SERVICES STAFF REPORT REQUEST: Consideration of a $35,000 request for sponsorship of the 2007 Golf Cart Parade DATE: July 13, 2006 CONTENT: Golf Cart Parade Budget and Proposal June 2006 Draft Marketing Minutes Recommendation: By Minute Motion: Option 1: Concur with the staff recommendation to provide a 20% increase in funding for marketing of the Golf Cart Parade ($12,000) for FY 2006-07 in addition to the already approved budget for in -kind services of Police, Fire, and Public Works staff ($15,000); or Option 2: Concur with the recommendation of the Marketing Committee to increase funding by 30.5% ($35,000) in addition to the already budgeted in -kind services for Police, Fire, and Public Works staff ($15,000). Executive Summary: For the past five years, the City of Palm Desert has donated $10,000 cash toward the promotion of the Golf Cart Parade, plus approximately $15,000 worth of in -kind services and resources such as police, fire, code enforcement, and street maintenance for closures and clean-up. This year, Parade Charities Inc., organizers of the Palm Desert Golf Cart Parade, is requesting $35,000 in addition to the in -kind services listed above. The Marketing Committee unanimously supported the $25,000 increase for the Parade to assist in supporting new events to coincide with the parade such as a Golf Cart show and a golf cart obstacle course competition. Parade Charities believes that these types of events will increase participation in the parade as well as increase the number of spectators. While the City of Palm Desert is proud of the Golf Cart Parade and recognizes it to be an important community event, Staff does not believe the increased donation will result in an increase in hotel sales, marketing efforts, or exposure from the event. Background: Attached please find a budget and proposal from Parade Charities lnc.,AS presented to the Marketing Committee by Parade Chairman Rob Ballew, Parade Charities hopes to bring new excitement to the event and expand both pre- and post -parade activities. As noted in the proposal, Parade Charities enlists volunteer support from throughout the community and parlays the City's $10,000 contribution into a $46,670 local media value. As in previous years, event proceeds benefit local charities. With the recent date change, from November to January, the Golf Cart Parade is now held in "high season". While Mr. Ballew mentioned that the change in date resulted in a 35 - 50% increase in attendance, no figures are available to determine how many locals versus visitors were in attendance. Staff has concerns about significantly increasing its contribution for the parade that is held during one of the busiest times of year for the entire Valley. There are numerous other events and a high number of visitors already in the area, not specifically for the parade. In addition, January is a high traffic period for El Paseo, and the majority of parade attendees are not shopping on parade day. Therefore, Staff recommends increasing its previous donation by $2,000 to cover the rising costs of media exposure, for a total cash donation of $12,000 plus in - kind services as provided in years past. Funds have been budgeted in this year's 2006/07 Marketing budget. Submitted By: Kristy Kneibing Marketing Manager Approval: M2 Carlos L. Orte City Manager * By Minute Motion, concurred with the recommendation of the Marketing Committee increase funding by 30.5Z ($35,000) in addition to the already -budgeted, in -kind services of Police, Fire, and Public Works Staff ($15,000). 4-0 Paul Gibson Director of Finance C,TTY COUNCIL AETION; to AX1AV4Ab&,0 1I DENIED R1cETy8D OTHER MOBS: 11lOn f ` A3$M4T: /�„ AHSTAIN : �«h-F VERIFIED BY:_fa,44 Original on File �04 IIII .IN(,I� I�M.�.�I �I I Jlll.l III n.i 1 IRA II III II II.! _1 .01 .. 111 1 1.- -III I IIIII i - . I II III II II I 1i City Clerkl9I, �� PALM DESERT GOLF CART PARADE OVERVIEW The January 14, 2007 parade will be the 42"d annual Palm Desert Golf Cart Parade. DATES: Originally held in July - then November - the 2006 parade was held in January to take better advantage of more seasonal residents and visitors in town. January is also is the official start of the special events whirlwind in the valley and there are no conflicting parades. ROUTE: The route has been refined over the years to eliminate crossing a major state highway (Highway 111) and to allow musical entries to not compete with one another by being on opposite sides of the same street. The current route is on the south side of El Paseo Drive from San Luis Rey to Ocotillo. ATTENDANCE: Attendance has been estimated at 25,000 for years. The 2006 parade attracted at least 35% to 50% more spectators. ENTRIES: The average number of entries each year is 85. This includes 5-8 bands, 5-8 children's marching groups, many street legal carts and several "floats." The 2006 parade had 80 entries including 6 bands, 11 children's marching groups, 10 street legal carts, 30 golf cart °float" entries and 23 miscellaneous non-profit and VIP entries. FINANCIALS: Year Income Exdense Net Notes 01 $34,490 $29,515 $4,975 Lee Iacocca, Saturday Night Street Party 02 $27,321 $35,747 ($8,426) Electric Car Mixer, Silver Circle debut 03 $35,011 $36,216 ($1,205) 04 $37,574 $40,104 ($2,530) 06 $38,452 $45,414 ($6,962) New Website ($2,080), Ebay Auction, NO Silent Auction The current balance on hand is $10,073, Page 1 PROMOTION: The City allocates $10,000 to the planning committee for parade romotion. This $10,000 parlayed to $46,670 as follows. Newspaper/Name of Station I Coverage Received I Value Actual Cost The Desert Sun 2 Quarter Page Ads + 3 feature articles $ 2,866.00 Trade/Sponsor Time Warner Cable Taped parade: rebroadcast 2 times $ 5.000.00 $ 0.00 El Informador Full Page Ad $ 1,100.00 $ 550.00 EZ 103 82 X :30 commercial + remote + web $ 16,150.00 $ 1,188.00 j Morris Desert Media j 78 X :60 commercials + remote $ 4,400.00 $ 1,033.00 R & R Radio 40 X :60 commercials + remote $ 2,000.00 $ 1,000.00 j KJJZ 13 X :60 commercials + remote $ 1,650.00 $ 500.00 j KPLM 13 X :60 commercials $ 650.00 $ 500.00 KESQ 24 X :30 commercials $ 2,000.00 $ 1,045.00 24 X :30 commercials + Production of KMIR commercial $ 2,500.00 $ 1,200.00 KVER 24 X :30 commercials + remote $ 2,500.00 $ 1,000.00 60 X :30 commercials + Production of KPAX I commercial $ 2,500.00 $ 500.00 Website I Design & hosting $ 2,504.00 $ 2,504.00 j Printed Program 5,000 copies $ 850.00 $ 850.00 (Total Cost Without Website Redesign TOTAL $9,790.00) $ 46,670.00 $11,870.00 The parade enjoys many media sponsors who go above and beyond in providing coverage for this event. OTHER MEDIA PROMOTION: The parade was also covered in the Los Angeles Times, Westways Magazine, Palm Springs Life, The Desert Guide, 92260 and a multi -page spread in a Japanese Magazine. Staff fielded inquiries from The Golf Channel and Life Magazine. CITY SUPPORT: In addition to the $10,000 allocated for parade promotion, the City provides signif icant resources for police and fire, street closures and clean-up. OTHER CONTRIBUTIONS: Waste Management of the Desert donates all of the portable toilets and dumpsters for the event. Electric Car Distributors donates over 20 golf cars for use of the committee and VIPs. The Palm Desert Citizens on Patrol have assisted the last couple of years. The Palm Desert Rotary always holds a pancake breakfast. Palm Desert Sunrise Soropitimist Club and Palm Desert Palms to Pines Rotary Club are the most recent Beer Garden hosts. VOLUNTEERS: It is estimated that volunteers spend over 585 hours putting on the parade. At a conservative $25/hour rate, the value is $14,625. (This does not include hours volunteered for the pancake breakfast or beer garden.) Chamber staff spends an estimated 458 hours on the parade. The value of Chamber staff hours (using the same conservative $25/hour rate) is $11,450. (The Chamber is paid a management fee of $4,165 .) The parade simply would not happen without the strong support of the dozens of volunteers and the Chamber staff. Page 2 CHARITIES: Charity giving is a significant element of the parade. Major charity grants have been awarded to Pegasus Riding Academy, Joslyn Senior Center, Coachella Valley Rescue Mission, Boys & Girls Club of Coachella Valley, YMCA of the Desert, Big Brothers Big Sisters, Foundation for the Retarded of the Desert, The Living Desert and the McCallum Theatre. Other non-profit organizations benefiting from the parade are the American Business Women's Association (ABWA), the Valley's Promise, 5 Club of Palm Desert High School, International Footprinters, Desert Rats, Palm Desert Kiwanis Club, Ham Radio Club, Children's Discovery Museum of the Desert, Desert Bicycle Club and the Hudson Hale Magicians. Many of these organizations provide marshals for the parade or provide entertainment in the Children's Area. STUDENT RECOGNITIONS: For the last three years the parade committee has recognized two outstanding students from Palm Desert High School. Names of finalists are submitted by the principal with the final selection made by the committee. The student achievement award winners ride in the parade and are presented with certificates at a subsequent Chamber of Commerce breakfast. CELEBRITIES: The parade has been honored by local celebrity participation. Lee Iacocca served as Honorary Grand Marshal in 2001. Merlin Olsen was Honorary Chairman in 2006. Parade participants have included Lalo Guererro, Trini Lopez, Steve Madio, Yve Evans and Herb Jeffries. FUTURE The future is bright with lots of new innovations and ideas under discussion. Parade organizers want to bring new excitement and move the event to a higher level. Newly developed features include special events before the parade to entice spectators to come early and enjoy the festivities. Parade enhancement efforts will increase the enjoyment of the parade itself - bringing more large floats, costumed characters, and celebrities. On stage entertainment will be expanded. The children's area will be enriched with more crafts and interactive games. The parade will continue to support local charities. A baseline survey will be conducted to ascertain the parade's impact on the local economy. (More details on new innovations will be presented at the Marketing Committee meeting.) REQUEST The Golf Cart Parade Planning Committee is requesting a total of $35,000 from the City of Palm Desert ($25,000 over the $10,000 traditionally budgeted for promotion). Working together, we can make the 2007 parade the best ever! Page 3 EVENT INCOME: City of Palm Desert (for promo) 10,000 10,000 Entry Fees 9,670 10,000 Ebay Auction 600 0 Silent Auction 0 4.500 Eliminate in 2007 Silver Circle Income 4,400 2,500 Sponsor Income (net) 12,200 15,000 Vendor Fees 1,475 1,500 TOTAL EVENT INCOME 38,345 43,500 MISCELLENOUS INCOME: Interest Inc 142 100 TOTAL MISCELLENOUS INCOME 142 100 TOTAL INCOME $38,487 $43,600 EXPENSES ADMINISTRATION: Fees & Taxes 10 40 Insurance 998 1,750 Management Fees 4,165 4,165 Miscellaneous 0 100 Office Supplies 1,015 1,250 Temporary Staff 500 750 TOTAL ADMINISTRATION 6,688 8,055 COMMITTEE EXPENSES: Committee Shirts 494 550 Meals & Entertainment 157 250 Post -parade breakfast TOTAL COMMITTEE EXPENSES 651 800 CONTRIBUTIONS: Banner Carrier Stipends 1,500 1.500 Chanty Grant 7,500 7,500 Sponsor& Marshal Shirts 2,343 2,150 TOTAL CONTRIBUTIONS 11,343 11,150 FESTIVAL COSTS: Children's Area Expenses 1,725 1,500 Equipment Rental 2,102 2,200 stage runway, extra walkie-talkies Music & Entertainment 2,650 3,000 Paid entertainment + sound Silver Circle Expenses 2.524 1,500 TOTAL FESTIVAL COSTS 9,001 8,200 PARADE COSTS: Awards & Trophies 943 1,000 Banners 979 1,000 TOTAL PARADE COSTS 1,9221 2,000 PROFESSIONAL FEES: Accounting 325 325 Change fiscal year TOTAL PROFESSIONAL FEES 3251 325 PUBLICITY & PROMOTION: Advertising & www 10,745 11,500 Website 3,285 300 Incl. redesign @ $2,080 Postage 750 500 Printing 1,225 750 TOTAL PUBLICITY & PROMOTION 16,0051 13,050 TOTAL EXPENSES $45,9351 $43,580 NET