Loading...
HomeMy WebLinkAbout2020-06-08 20-191 Order 06/08/2020 20-191 06/08/2020 20-191 Legal Order 026-001 Title, Order Authorizing the City Manager to Execute an Amendment to the Management Agreement with Spectra Venue Management for the Cross Insurance Center This Order would authorize an amendment to the management agreement between the City and Global Spectrum, L.P., also known as Spectra Venue Management or Spectra, for the Cross Insurance Center. It would extend the agreement for two years, and waive certain fees the City pays to Spectra. Since 2013, the City has contracted management of the Cross Center to Spectra Corp. In general, operational successes for the Center have met and/or exceeded early financial and event projections. The venue has played host to an extensive variety of entertainment events appealing to a broad range of interests. At present, the agreement between the City and Spectra expires on June 30, 2021, with a City option to extend the term for five years. This amendment would extend the current term until June 30, 2023, and provide a City option to extend the term for three years after that. In addition, Spectra agrees to waive the incentive fees and the management fees for the period of July 1, 2020 to December 31, 2020. As a result, the initial term would be two years longer, but the entire length, with the City option, would be the same. The amendment would also waive the fixed management fee the City pays to Spectra for the period of July 1, 2020 to December 31, 2020. In addition, the amendment would waive any incentive fee earned by Spectra under the contract for the operating year ending June 30, 2021. This Order addresses the City goal of improving the economic vitality of the City and promoting cultural opportunities. New Business CITY OF BANGOR ORDER 06/08/2020 20-191 06/08/2020 20-191 Fournier Authorizing the City Manager to Execute an Amendment to the Management Agreement with Spectra Venue Management for the Cross Insurance Center WHEREAS, at present, the agreement between the City and Spectra for management of the Cross Insurance Center expires on June 30, 2021, with a City option to extend the term for five years; WHEREAS, under Spectra's management, the Cross Center has hosted a variety of high-quality shows, conventions, and events; WHEREAS, Spectra has offered to extend the current term until June 30, 2023, and provide a City option to extend the term for three years; WHEREAS, as part of this amendment, Spectra has offered to waive the fixed management fee the City pays to Spectra for the period of July 1, 2020 to December 31, 2020; and WHEREAS, the amendment would also waive any incentive fee earned by Spectra under the contract for the operating year ending June 30, 2021; Be it Ordered by the City Council of the City of Bangor that, The City Manager is hereby authorized to execute an amendment to its agreement with Global Spectrum, L.P., also known as Spectra Venue Management or Spectra, for the management of the Cross Insurance Center. Said amendment shall include an extension of the current term until June 30, 2023; a City option to extend the term for three years, through June 30, 2026; waiver of the fixed management fee from July 1, 2020 through December 31, 2020; and waiver of any incentive fee for the operating year ending June 30, 2021. Said amendment shall be in final form as agreed to by the City Solicitor or Assistant City Solicitor. IN CITY COUNCIL JUNE 8,2020 CO 20-191 Motion made and seconded for Passage Vote: 9 -0 Councilors Voting Yes: Fournier,Hawes,Nichols, Okafor, Schaefer, Sprague, Supica, Tremble, Davitt Councilors Voting No: None Passed CITY CL RK