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Agenda 05/14/2019 Item #16F 2 (Watercross Championships)05/14/2019 EXECUTIVE SUMMARY Recommendation to approve the Sponsorship Agreement between Collier County and UWP, LLC dba Pro Watercross Championship for the 2019 and 2020 Pro Watercross Championships and make a finding that the sponsorship expenditures promote tourism. OBJECTIVE: Recommend the sponsorship of the Pro Watercross Championship in Collier County for the years 2019 and 2020. CONSIDERATIONS: This request was presented to the Tourist Development County (TDC) at the March 25 TDC meeting and was continued to the April 22 meeting. Additional information related to past events was requested and is provided below. Pro Watercross has brought their Championship event to Collier County for several years. Those events have grown is size and scope each year. This event brings national attention to Collier County and attracts several hundred Watercross participants and their families to our area in late October when our hotels and area businesses are in need of increased visitation. The results of the 2016, 2017 and 2018 Pro Watercross events were as follows: 2019 Projected 2018 2017 2016 Direct Spending $381,057 $306,111 $289,611 $281,804 Economic Impact $540,398 $433,592 $409,914 $397,900 Room Nights 425 354 300 445 TDT Funding $123,025 $147,500 $147,500 $124,500 Acquisition Cost $294 $417 $492 $280 TDT Revenue $3,188 $2,655 $2,610 $3,156 The 2019 event will again include Pro Watercross, Motosurf and Hydroflight events and will feature some demonstrations of Hydroflight at Bayfront in downtown Naples as part of the Stone Crab Festival. The event is projected to attract over 1100 participants, generating 425 room nights. This Sponsorship Agreement covers the 2019 and 2020 Pro Watercross Championship. The terms and conditions are identified in Paragraph 3 A and outlines three installment payments totaling $110,000 annually. Watercross will provide Collier County with an invoice for each of the three installments. In summary, the installments are as follows: • Installment # 1 in the amount of $40,000 is payable to Watercross within 45 days of approval of an invoice and notification of the beginning of the Watercross racing circuit for the year. Documentation may include proof of onsite activation at each race site using the “#Race to Naples” theme that will be promoted to all participating race drivers and teams. • Installment # 2 in the amount of $40,000 is payable to Watercross upon approval of an invoice within 45 days from the conclusion of each year’s racing season. • Installment # 3 in the amount of $30,000 is payable to Watercross upon approval of an invoice received within 30 days from the event and evidence of the broadcast and live streaming of the Pro Watercross Championship as agreed to, and documentation of the overnight accommodations 16.F.2 Packet Pg. 1690 05/14/2019 stays and direct visitor spending by event participants and spectators. Collier County will assist Watercross in the hosting of the Pro Watercross Championship with year -round promotion of the event on the Sports Tourism website, Facebook and Twitter chann els; PR and media assistance in promoting the Championships; and assistance with permitting and hotel accommodation arrangements. The County will pay the cost of EMS and law enforcement directly to those vendors in the amount of up to $13,025. Watercross will pay the balance of the event operating costs for security, hotel rooms for event staff, Sugden Park rental and Park staff overtime. FISCAL IMPACT: The total fiscal impact is $246,050. $123,025 is available in Fund 184 in the Board approved FY 19 Tourism Division Sports Event Sponsorship budget for sports marketing, as is the cost of EMS and law enforcement in the Sports Event Support budget. $123,025 will be incorporated into the FY 20 budget. GROWTH MANAGEMENT IMPACT: There is no impact to the Growth Management Plan with this Executive Summary. ADVISORY BOARD RECOMMENDATION: The Tourist Development Council recommended approval of this item 6-3 at the April 22, 2019 meeting. LEGAL CONSIDERATIONS: This item is approved as to form and legality and requires majority vote for approval. - CMG RECOMMENDATION: Recommendation to approve the Sponsorship Agreement between Collier County and UWP, LLC dba Pro Watercross Championship for the 2019 and 2020 Pro Watercross Championships and make a finding that the sponsorship expenditures promote tourism. Prepared by: Jack Wert, Tourism Director ATTACHMENT(S) 1. CAO Stamped Agreement - Pro Watercross (PDF) 16.F.2 Packet Pg. 1691 05/14/2019 COLLIER COUNTY Board of County Commissioners Item Number: 16.F.2 Doc ID: 8733 Item Summary: Recommendation to approve the Sponsorship Agreement between Collier County and UWP, LLC dba Pro Watercross Championship for the 2019 and 2020 Pro Watercross Championships and make a finding that the sponsorship expenditures promote tourism. Meeting Date: 05/14/2019 Prepared by: Title: Tourist Development Tax Coordinator – Tourism Name: Kelly Green 04/23/2019 11:42 AM Submitted by: Title: Division Director – Tourism Name: Jack Wert 04/23/2019 11:42 AM Approved By: Review: Tourism Jack Wert Director Review Completed 04/23/2019 12:26 PM County Manager's Office Sean Callahan Executive Director- Corp Business Ops Completed 04/25/2019 7:45 AM Procurement Services Opal Vann Additional Reviewer Completed 04/25/2019 8:15 AM Procurement Services Ted Coyman Additional Reviewer Completed 04/29/2019 11:41 AM County Attorney's Office Colleen Greene Level 2 Attorney Review Completed 04/29/2019 1:55 PM County Attorney's Office Jeffrey A. Klatzkow Level 3 County Attorney's Office Review Completed 04/30/2019 7:58 AM Office of Management and Budget Valerie Fleming Level 3 OMB Gatekeeper Review Completed 04/30/2019 5:15 PM Budget and Management Office Ed Finn Additional Reviewer Completed 05/01/2019 5:13 PM County Manager's Office Nick Casalanguida Level 4 County Manager Review Completed 05/05/2019 9:09 PM Board of County Commissioners MaryJo Brock Meeting Pending 05/14/2019 9:00 AM 16.F.2 Packet Pg. 1692 16.F.2.a Packet Pg. 1693 Attachment: CAO Stamped Agreement - Pro Watercross (8733 : Pro Watercross Agreement) 16.F.2.a Packet Pg. 1694 Attachment: CAO Stamped Agreement - Pro Watercross (8733 : Pro Watercross Agreement) 16.F.2.a Packet Pg. 1695 Attachment: CAO Stamped Agreement - Pro Watercross (8733 : Pro Watercross Agreement) 16.F.2.a Packet Pg. 1696 Attachment: CAO Stamped Agreement - Pro Watercross (8733 : Pro Watercross Agreement) 16.F.2.a Packet Pg. 1697 Attachment: CAO Stamped Agreement - Pro Watercross (8733 : Pro Watercross Agreement) 16.F.2.a Packet Pg. 1698 Attachment: CAO Stamped Agreement - Pro Watercross (8733 : Pro Watercross Agreement)