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LTC 178-2012 Miami Beach Stage Door Theater MIAMI BEACH OFFICE OF THE CITY MANAGER NO. LTC #t� 178-2012 LETTER TO COMMISSION ` TO: Mayor Matti Herrera Bower and Members of the City Commission ~` . FROM: Kathie G. Brooks, Interim City Manager DATE: July 12, 2012 �s `SUBJECT: Miami Beach Stage Door Theater at the Byron Carlyle -� °• r-n The purpose of this LTC is to provide you with a summary of the first full year of activity under the Management Agreement between the City and Stage Door Theater for the management of the Byron Carlyle Theater. As you recall on April 13, 2011, the Mayor and Commission adopted Resolution No. 2011 - 27648, approving a Management Agreement between the City and Stage Door Theater for the Byron Carlyle Theater. The Agreement has an initial term of five (5) years, commencing on May 1, 2011 (Commencement Date) and ending on April 30, 2016 (Expiration Date). The City has the option of renewing the Agreement, at its sole discretion, and provided that Stage Door is in good standing, free of default, and has met its annual benchmarks, for up to five (5) years. The option to renew may be exercised in five (5) one (1) year terms, or in multi -year terms (as the City determines), by providing at least 365 days notice to Stage Door. Under the Agreement the facility must only be used as a live theatrical entertainment venue and public auditorium, and must operate on a year -round basis. Ancillary uses that customarily relate to such primary use are also permitted, including, without limitation, broadcasting, recording, filming, private parties or functions, food and beverage concessions, in each case in conjunction with an event or rental function then being held; and sale of merchandise related to any event then being held. Stage Door also is responsible for maintaining the facility on a day -to -day basis, but is not required to pay any costs related to major capital improvements or facility infrastructure. In order to ensure the continuous operation of the facility, Stage Door is required to have at least200 events annually, except for the first contract year of the Term, in which 75 events were required. Stage Door a discount ticket program available only to City of Miami Beach residents, who receive a ten percent (10 %) discount off of the full value of the tickets. Children under the age of twelve (12) years old are able to purchase tickets for $16.00. Stage Door also has the ability to operate a summer camp if it is financially feasible to do so, and must also offer a free Young Ambassador program for Miami Beach students with an interest in the performing arts, as well as an internship program for teenagers. Other requirements of the Agreement include participation in Miami -Dade County's Golden Ticket and Culture Shock programs (which offer discounted tickets to the elderly and teenagers, respectively;) having a full -time staff person on site, and the creation of a local Advisory Board. For the Term of the Agreement, Stage Door shall pay the City a nominal Annual Use Fee for the right to use the facility, in the amount of One Dollar ($1.00) annually. To help defray the costs of certain major capital repairs and replacements to the Facility, Stage Door. shall make annual contributions to a Capital Fund, to be held and disbursed by the City, in the amount of $5,000.00, paid in equal monthly installments. Paragraph 5.3.15 of the Agreement allows Stage Door to license or allow use of the facility by short-term users of less than sixty (60) consecutive days, provided such users provide certificates of insurance and executed indemnification agreements. Stage Door may enter into longer such agreements with the permission of the City Manager. On April 11, 2012, the Mayor and City Commission approved a request from Stage Door to enter into an Agreement with Miami Children's Theatre (MCT) to use the Byron Carlyle Theater concurrently with Stage Door, for an Initial Term -to run from March 1 through August 10, 2012, for public performances, theater classes and a summer camp for children. During the Initial Term, MCT and Stage Door may negotiate the terms of a longer term agreement, and if they do so, such longer term agreement shall then replace this Agreement. During the Initial Term MCT will make monthly payments to Stage Door in the amount of $2,000 per month for March, April and May; $3,000 per month for June and July; and $1,000 forAugust 1 through August 10, 2012. During their first year in residency at the Byron Carlyle, Stage Door hosted 80 events (five more than the 75 required by the Agreement in the first year.) Total attendance was 5,231; 344 people, approximately 15 % of the total, took advantage of the Resident Discount Program. Discount tickets were also offered through the Golden Ticket and Culture Shock programs, but only two were used, since theyjoined these programs after the printing of the season brochures. Stage Door has contacted the Miami Dade Department of Cultural Affairs to assure greater participation in both programs next season. Additional half -price - tickets are offered through Cultural Connection. Stage Door presented five of its own productions in season one: "Suds," "Song Man, Dance Man," "Prisoner of Second Avenue," "Last of the Red Hot Lovers," and "Six Dance Lessons in Six Weeks." Other productions included a Nicole Henry concert, a bellydance showcase, and three different shows by MCT. MCT's summer camp is currently in residence with 40 children participating. MCT will produce two (2) additional shows as part of their summer camp program. Stage Door's final first year budget is attached. It shows an operating deficit of - $207,903, .which Stage Door expected in its first year. Admission income was $64,334. Complimentary admissions totaled $71,272. Stage Door did not deem its Young Ambassador program a success. Only two teens responded to its outreach to the schools, and each worked for one quarter only. Six teens from the Teen Job Corps worked as ushers, at the box office and concession stand from July 2011 to March 2012, and received community service hours for their work. To improve the marketing of, and participation in, the Young Ambassadors and Student. Internship programs in the coming season, Stage Door will communicate this summer with Nina Duval, who heads the English and Arts programs at Beach High (and chairs the City's Cultural Arts. Council) and with Julio Magrisso, Assistant Director of Parks & Recreation. It is anticipated that members of Parks & Rec's Teen Drama Club will be eager to work alongside the professional Stage Door cast and crew. The required Advisory Board includes Harvey Burstein, Mark Weithorn, Flo Moss, Dr. Jules Oaklander and Arthur Whitelaw, along with Stage Door's Derelle Bunn, David Torres and Dan Kelley. The advisory Board meets regularly. Stage Door is seeking greater participation on its advisory board from city staff and CAC members, and has offered to "change the board's meeting schedule to make this possible. Stage Door has just completed the run of its production of "Death Trap." Scheduled for next season are "The Immigrant," "Side by Side by Sondheim," "I Love a Piano," and "Jeffrey," as well as at least three anticipated MCT productions. Stage Door is currently negotiating with MCT to continue children's theater activities through the coming year, and they are in - discussion with presenters of Spanish - language performances in the hopes of increasing usage. A recent generous donation from board member Harvey Burstein will allow for a direct mail campaign to deliver a new season brochure to targeted zip codes in Miami Beach, Surfside, Bal Harbour, Sunny Isles and Aventura. Stage Door's heavy public relations and advertising efforts will continue as well. As a Miami Beach -based nonprofit cultural institution offering year -round programming, Stage Doorwas accepted this year as a qualifying Cultural Anchor by the CAC, and has been recommended to receive a grant of $15,985 from the City for fiscal year 12/13. A copy of their projected budget for FY 12/13 is attached. Please contact me if you would like further information_ KGB /MAS /GF F:\ INFO:$ ALL\ Max \TCD \CAC \Facilities \Byron \Stage Door Year -End Summary LTC.doc Miami Beach Stage Door Actual Budget 2011 -2012 Miami Beach Stage Door 2011-2012 Operating Budget Actual 2011-12 CASH IIN-KIND Personnel: Administrative 30,000 Personnel: Artistic 38,650•, Outside Artistic Fees /Services 49,275� �a Marketing: ADV /PR /Printing /Publication 27,400 Marketing: Web Design /Support/Maintenance 1,000 r �� Capital Reserve 5,352 Insurance 14,400 Utilities 63,600 General Building Maintainence /Houskeeping supplies 6,000, y 4,600 Microphones and Sound Equipment Purchased ° �'` Other Operating Expenses (see detail table below) 50,260 Subtotals: CASH Expenses /In -Kind 290,537.;��' 0. TOTAL EXPENSES 290,537 t CASH IIN -KIND * Admissions PAID 64,334 k '. Rental Income 5,000 Gov't Grants: Local 2,300 Donations 11,000 ' Subtotals: CASH Revenues /In -Kind 82,6341 7 "0 TOTAL REVENUES 82,6341 I I SURPLUS / (DEFICIT) 1 - 207,9031 *$71,272 of Ticket admissions were given away complimentary OTHER OPERATING EXPENSES (DETAIL) CASH 11N -KIND Set Builds /Load in and load out 23,000 Costumes and Props 8,150 Royalties 12,000 Weekly Running Crew Labor 4,450 Weekly Misc Expenses, Dry cleaning etc 2660 ` �w Total Other Operating Expenses 50260 Miami Beach Stage Door Projected Budget 2012 -2013 1511WWWW", W. Projected i 1 CASH IN-KIND Personnel: Artistic 15,000 Outside Artistic Fees /Services 35 000 rF+ r a sa Marketing: ADV/P R/Printi ng/Pu blication 50 0 00 i ll n , Marketing: Web Design /Support/Maintenance 1 R s `Fl,h s 1 jR Capital Reserve 5,352 Insurance+ 14,400 Utilities _ 46,800 General Building Malntainence Other Opprating Expenses (see detail table below) ,' 53,250 Subtotals: CASH Expenses /In -Kind 228,002 TOTAL EXPENSES 228,002 ,REVENUES CASH IN -KIND Admissions t y x + it Si 180 000 Rental Income 19,000, v3 Y { y; ti , ✓ Gov't Grants: Local 32 1 000i-,4r- r Subtotals: CASH Revenues /In -Kind 231,00OL1 ` TOTAL REVENUESI 231,0001 I SURPLUS / (DEFICIT) 2,998 OTHER OPERATING EXPENSES (DETAIL) CASH IIN -KIND Set Builds /Load in and load out + 20 000 Costumes and Pros iu Royalties 7,5 00 Weekly Running Crew Labor 13 500 ^ K, 3 E Dry Cleaning 22501 T wt " ' Total Other Operating Expenses 53250