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CORRECTED Staff Report Ballpark ILA for TRCC Feb 4 20

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CORRECTED Staff Report Ballpark ILA for TRCC Feb 4 20 COUNCIL STAFF REPORT CITY COUNCIL of SALT LAKE CITY TO: City Council Members Item Schedule: Briefing: February 4, 2020 FROM: Allison Rowland Set Date: n/a Budget & Policy Analyst Public Hearing: n/a DATE: February 4, 2020 Potential Action: February 18, 2020 RE: RESOLUTION: INTERLOCAL AGREEMENT WITH SALT LAKE COUNTY FOR THE SMITH’S BALLPARK PLAYING SURFACE REPLACEMENT CORRECTION (February 3, 2020): See Policy Question #2 below. ISSUE AT-A-GLANCE The Council will receive a briefing and consider adopting a resolution authorizing approval of an interlocal agreement with Salt Lake County to partially fund the complete replacement of the playing surface at Smith’s Ballpark, which is owned by the City. Under the agreement, the County would provide reimbursement for up to $900,000 for the project from its Tourism, Recreation, Cultural, and Convention (TRCC) funds, and this amount has been approved as part of the County’s 2020 budget. The City would provide the remaining $285,000 to complete the project, which is scheduled to be ready in time for the 2021 season. According to the transmittal, “This replacement would be a visible upgrade to the facility and remove player safety concerns that the Salt Lake Bees and the affiliated Los Angeles Angels have expressed.” The City’s management agreement with the Bees will help ensure that the project is completed on time, and to the standards required by the team. With the field replacement funded, the City then will be able to focus on the ongoing capital renewal schedule, while the Bees will make improvements to enhance the fan experience and overall entertainment value of the Ballpark. Budget. In response to a question about the difference between the request from the TRCC fund, $985,000, and the $900,000 ultimately approved, the Public Services Department stated that there are several options for making up the shortfall: “These include project cost savings, deferring the replacement of some of the fencing components, allocating additional naming rights maintenance funds, in-kind contributions from the SL Bees, or CITY COUNCIL OF SALT LAKE CITY 451 SOUTH STATE STREET, ROOM 304 SLCCOUNCIL.COM P.O. BOX 145476, SALT LAKE CITY, UTAH 84114-5476 TEL 801-535-7600 FAX 801-535-7651 requesting a general fund budget amendment. Preliminary condition assessments to the existing drainage system have provided better than expected results and yet another avenue to realize some cost savings on this unique and fluid project. The interlocal agreement doesn’t require the city to allocate or expend this $85,000 estimated shortfall, but also doesn’t limit it either.” For the $285,000 City match, the Department stated, “A budget amendment has been (or will soon be) submitted to the City Council that includes the $285,000 funding as a combination of naming rights funds and general fund dollars.” Goal of the briefing: Review and consider adopting a resolution authorizing approval of an interlocal agreement with Salt Lake County to partially fund the replacement of the Smith’s Ballpark playing surface. POLICY QUESTIONS A. The Council may be interested in requesting a full briefing about the Administration’s broader plans for Ballpark improvements, including the potential of creating a new RDA project area that includes this facility. B. Would the Council like to request more detailed information about the Administration’s work with the Salt Lake Bees organization to find additional sources of revenue for ongoing maintenance? 1. The Facilities Maintenance Plan lists additional Ballpark assets that need replacement within the next ten years, including the fire sprinkler and systems, as well as the hot water pump and coil. Concrete repair is also necessary. The cost for these projects is estimated at around $1 million per year over the decade. 2. The City’s Facilities Division receives capital asset project (CAP) and capital improvement project (CIP) funds for major Ballpark projects. As part of their contract, the Salt Lake Bees spend approximately $400,000 per year on operations and maintenance. Page | 2.
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