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City of Glendale Glendale, AZ 85301 City Council Workshop Agenda

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City of Glendale Glendale, AZ 85301 City Council Workshop Agenda 5850 West Glendale Avenue City of Glendale Glendale, AZ 85301 City Council Workshop Agenda Mayor Jerry Weiers Vice Mayor Lauren Tolmachoff Councilmember Jamie Aldama Councilmember Joyce Clark Councilmember Ray Malnar Councilmember Ian Hugh Councilmember Bart Turner Tuesday, September 11, 2018 12:30 PM Council Chambers Workshop One or more members of the City Council may be unable to attend the Workshop or Executive Session Meeting in person and may participate telephonically, pursuant to A.R.S. § 38-431(4). CALL TO ORDER ROLL CALL WORKSHOP SESSION 1. GILA RIVER ARENA FISCAL YEAR 2017-2018 OVERVIEW Presented by: Tom Duensing, Assistant City Manager Guest Presenter: Chuck Steedman, AEG Facilities, Chief Operating Officer Guest Presenter: Dale Adams, AEG Facilities, Gila River Arena General Manager Attachments Power Point Presentation 2. REVIEW OF FY2018-19 COMMUNITY DEVELOPMENT BLOCK GRANT UNCOMMITTED PHYSICAL IMPROVEMENT FUNDING AND 2019-20 HUD GRANT CALENDAR. Presented by: Tom Duensing, Assistant City Manager Presented by: Stephanie Small, Community Services Department, Director Attachments Original CDAC Recommendations Original O'Neil Project Application Revised O'Neil Budget Estimate Calendars Power Point Presentation 3. DISCUSSION AND DIRECTION REGARDING THE FIELD OPERATIONS COMPLEX MASTER PLAN Presented by: Michelle Woytenko, Director, Field Operations Attachments Power Point Presentation CITY MANAGER’S REPORT This report allows the City Manager to update the City Council. The City Council may only acknowledge the contents to this report and is prohibited by state law from discussing or acting on any of the items presented by the City Manager since they are not itemized on the Council Workshop Agenda. CITY ATTORNEY'S REPORT This report allows the City Attorney to update the City Council. The City Council may only acknowledge the contents to this report and is prohibited by state law from discussing or acting on any of the items presented by the City Attorney since they are not itemized on the Council Workshop Agenda. COUNCIL ITEMS OF SPECIAL INTEREST Councilmembers may indicate topic(s) they would like to have discussed by the Council at a future Workshop and the reason for their interest. The Council does not discuss the new topics at the Workshop where they are introduced. MOTION AND CALL TO ENTER INTO EXECUTIVE SESSION EXECUTIVE SESSION 4. LEGAL MATTERS A. The City Council will meet with the City Attorney for legal advice, discussion and consultation regarding the city’s position in pending or contemplated litigation, including settlement discussions conducted in order to avoid or resolve litigation (A.R.S. § 38-431.03(A)(3)(4)) B. Council will meet to discuss and consider records exempt by law from public inspection and are specifically required to be maintained as confidential by state or federal law (A.R.S. § 38-431.03(A)(4)) 5. PERSONNEL MATTERS A. Various terms have expired on boards, commissions and other bodies. The City Council will be discussing appointments involving the following boards, commissions and other bodies (A.R.S. § 38-431.03(A)(3)(4)) 1. Arts Commission 2. Aviation Advisory Commission 3. Board of Adjustment 4. Citizen Bicycle Advisory Committee 5. Citizens Transportation Oversight Commission 6. Citizens Utility Advisory Commission 7. Community Development Advisory Committee 8. Glendale Municipal Property Corporation 9. Historic Preservation Commission 10. Human Relations Commission 11. Industrial Development Authority 12. Judicial Selection Advisory Board 13. Library Advisory Board 14. Parks and Recreation Advisory Commission 15. Personnel Board 16. Planning Commission 17. Public Safety Personnel Retirement Board/Fire 18. Public Safety Personnel Retirement Board/Police 19. Risk Management/Workers Compensation Trust Fund Board ADJOURNMENT Upon a public majority vote of a quorum of the City Council, the Council may hold an executive session, which will not be open to the public, regarding any item listed on the agenda but only for the following purposes: (i) discussion or consideration of personnel matters (A.R.S. § 38-431.03(A)(1)); (ii) discussion or consideration of records exempt by law from public inspection (A.R.S. § 38-431.03(A)(2)); (iii) discussion or consultation for legal advice with the city’s attorneys (A.R.S. § 38-431.03(A)(3)); (iv) discussion or consultation with the city’s attorneys regarding the city’s position regarding contracts that are the subject of negotiations, in pending or contemplated litigation, or in settlement discussions conducted in order to avoid or resolve litigation (A.R.S. § 38-431.03(A)(4)); (v) discussion or consultation with designated representatives of the city in order to consider its position and instruct its representatives regarding negotiations with employee organizations (A.R.S. § 38-431.03(A)(5)); or (vi) discussing or consulting with designated representatives of the city in order to consider its position and instruct its representatives regarding negotiations for the purchase, sale or lease of real property (A.R.S. § 38-431.03(A)(7)). Confidentiality Arizona statute precludes any person receiving executive session information from disclosing that information except as allowed by law. A.R.S. § 38-431.03(F). Each violation of this statute is subject to a civil penalty not to exceed $500, plus court costs and attorneys’ fees. This penalty is assessed against the person who violates this statute or who knowingly aids, agrees to aid or attempts to aid another person in violating this article. The city is precluded from expending any public monies to employ or retain legal counsel to provide legal services or representation to the public body or any of its officers in any legal action commenced for violation of the statute unless the City Council takes a legal action at a properly noticed open meeting to approve of such expenditure prior to incurring any such obligation or indebtedness. A.R.S. § 38-431.07(A)(B). SPECIAL ACCOMMODATIONS For special accommodations please contact the City Clerk’s Office at 623-930-2252 extension 1 at least 3 business days prior to the meeting. POSTING VERIFICATION This agenda was posted on 8/31/18 at 2:15 p.m. by CV. CITY COUNCIL REPORT MEETING DATE: 09/11/2018 SUBMITTED FOR: Tom Duensing, Assistant City Manager DEPARTMENT: City Manager's Office Subject GILA RIVER ARENA FISCAL YEAR 2017-2018 OVERVIEW Presented by: Tom Duensing, Assistant City Manager Guest Presenter: Chuck Steedman, AEG Facilities, Chief Operating Officer Guest Presenter: Dale Adams, AEG Facilities, Gila River Arena General Manager Purpose and Recommended Action The purpose of this presentation is to provide the Fiscal Year 2017-2018 summary of activities at the Gila River Arena. Background The City of Glendale is the owner of the Gila River Arena (Arena) located at 9400 West Maryland Avenue in the heart of the Sports and Entertainment District. This state-of-the-art, multi-purpose facility and was opened for business on December 26, 2003. Gila River Arena is home to the National Hockey League’s Arizona Coyotes. Additionally, the Arena hosts concerts with some of the biggest names in the music industry and other events and has a seating capacity of approximately 18,000. Through a competitive Request for Proposal (RFP) process, AEG Facilities, operating as AEG Management Glendale, LLC, was selected to manage the Arena on the City’s behalf in April 2016. AEG Facilities is a stand-alone division of AEG that owns, operates and consults with more than 100 venues worldwide including the KeyArena in Seattle; the Staples Center in Los Angeles; the Barclays Center in Brooklyn; the Mercedes Benz Arena in Berlin, Germany; the O2 Arena in London, England; and the recently completed T-Mobile Arena in Las Vegas. Management of the Gila River Arena by AEG Facilities began on July 1, 2016 for Fiscal Year 2016-2017 with the contract approved through June 30, 2026 (Fiscal Year 2025-2026). Management responsibilities include sales, marketing, operational, managerial, and maintenance support services for the Arena and the ancillary Arena parking facilities controlled by the City. Particularly, AEG Facilities is responsible for the agreement with the Arizona Coyotes and secures other musical acts and events in order to fully utilize the facility. The terms of the agreement include annual management fee payments of $5.6 million to fund the operations of the facility. These payments are then offset by a distribution of year end operating revenue less operating expenses, or EBITDA. This “profit-sharing” arrangement was estimated to generate $837,014 payable to Glendale at the end of Fiscal Year 2017-2018, the most recently completed fiscal year. Actual profit-sharing data for Fiscal Year 2017-2018 is not yet available. Analysis Fiscal Year 2017-2018 Recap Fiscal Year 2017-2018 was AEG’s second year managing the Gila River Arena. Again, the overall activity exceeded initial estimates. The number of concerts increased, and total gross ticket sales and paid attendance were the highest since the 2009 season. Key factors in the success of last year were support from AEG Presents properties as well as the return of WWE, UFC, and new events such as Stars on Ice and ACE ComicCon. Another record breaking year from PBR and the addition of Pepe Aguilar and Gloria Trevi and Alejandra Guzman helped drive sales and attendance. Since arriving in July of 2016 AEG has booked 69 events and has steadily increased the event load each year. Currently the Arena has 21 events booked for the 2018-2019 Fiscal Year. Although the City owns Gila River Arena and therefore is responsible for the Arena capital investments, AEG works very closely in development of an annual capital budget and a long-term capital plan for the facility. In Fiscal Year 2017-2018, the City appropriated a capital budget totaling $500,000. Capital projects included technology improvements and also focused on enhancing the security of the venue along with production support items meant to upgrade and enhance the customer experience.
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