HomeMy WebLinkAbout2008-12-09 - AGENDA REPORTS - LOCAL PUBLIC TV MGMT (2)Agenda Item:
CITY OF SANTA CLARITA
AGENDA REPORT
UNFINISHED BUSINESS City Manager Approval: �_J--i"T
Item to be presented by: Darren Hernandez
DATE: December 9, 2008
SUBJECT: LOCAL PUBLIC TELEVISION MANAGEMENT
DEPARTMENT: Administrative Services
RECOMMENDED ACTION
City Council:
1. Direct the City Manager to continue efforts with community stakeholders to work
towards the creation of a Joint Powers Authority (JPA) or non-profit organization to
partner in the administration and direct financial support of Channel 20.
2. Appropriate funds in the amount of $180,000 from Public, Education, and Government
(PEG) Capital Grant Fund Balance (330) to Account 12205-5201.002, and appropriate
$25,000 from Contingency Account 19300-5401.001 to the Communication Division's
Professional Services Account 11500-5161.002 for the continued operation of Channel
20.
3. Direct the City Manager to enter into a Professional Services Agreement with SCVTV in
an amount not to exceed $25,000 to operate Channel 20.
4. Direct City Manager to return to Council with additional information in April 2009.
5. Reject all proposals as non-responsive to the published Request for Proposals.
BACKGROUND
At the October 28, 2008 regular meeting, Council directed staff to meet with all community
stakeholders to determine their interest and ability to economically partner in the operation of the
City's Public, Educational, and Government (PEG) station (Channel 20).
' 'OVED
On June 11, 2008, the City issued a Request for Proposal (RFP) seeking proposals from qualified
groups with the financial ability to partner in the operation of the City's PEG station, known as
Channel 20. Staff reached out to several local entities to make them aware of this RFP including
the Santa Clarita Valley Chamber of Commerce, KHTS, The Signal, and College of the Canyons.
A total of 27 individuals downloaded the City's Public Television RFP document.
On July 31, 2008, the City received two proposals from local entities that included Santa Clarita
Valley Television (SCVTV) and the Santa Clarita Public Television Corporation (SCPTC). A
seven member panel evaluated and ranked each proposal. On September 3, 2008, a panel
comprised of internal staff and the City Manager interviewed representatives of each proposing
party. The evaluation panel found SCVTV's proposal inadequate as its business plan relied upon
the City funding all initial operational costs and it lacked a long-term approach for financial
self -sustainability. With regard to SCPTC, further consideration became unnecessary when, on
September 22, 2008, the City received formal notification of their intent to withdraw their
proposal. As such, the evaluation panel recommends the City Council reject all proposals.
Following the October 28 Council meeting, staff met with Leon Worden (SCVTV), Carl
Goldman (KHTS)„ Ian LaMont (The Signal), Gloria Mercado-Fortine and Jamie Castellanos
(William S. Hart School District), Dave Brill, Mitjl Carvalho Capet and Bruce Fortine (College
of the Canyons). The focus of these meetings was to discuss the level of interest that each
stakeholder had in economically partnering with the City in operation of Channel 20. While no
firm commitments of funding were made, these stakeholders reiterated their support for Channel
20 and expressed interest in participating in a joint meeting with City staff and all other
stakeholders in early 2009. The purpose of this meeting would be to discuss the potential
formation of a Joint Powers Authority (JPA) or non-profit organization whereby each
stakeholder would economically participate to support the operation of Channel 20. In this
structure, a JPA or non-profit organization serves as the governing community agency that
manages and finances the long-term operations of Channel 20, with each agency appointing
members of the board.
For its part, the City can bring more than $300,000 in annual funding to this partnership in the
form of Capital PEG Grant Funds that Santa Clarita receives. The City's economic contribution
would include the assumption of all capital costs including leasing of the existing studio, and
purchase of production and playback equipment. These funds can only be used by the City for
capital -related expenses that support local public television. Future uses of the City's capital
funds may include the purchase of a remote production vehicle to broadcast local events live on
Channel 20 and the construction of a state-of-the-art studio. The City will also continue to fund
costs associated with staff and production equipment to produce all government programming
that airs on Channel 20.
While the City and stakeholders agencies determine how to best partner in the long-term
operation of Channel 20, it is requested the City Council appropriate interim resources to
maintain day-to-day operations of Channel 20. To accomplish this, staff recommends the award
of a six-month professional services agreement to SCVTV.
In addition, staff is requesting appropriation of $150,000 in PEG Capital Grant Funds to
purchase studio equipment. These capital monies will be used to supplement the estimated
$75,000 in existing studio equipment Time Warner Cable will grant to the City. Staff also
requests appropriation of $30,000 in PEG Capital Grant Funds to lease the existing studio for the
remainder of fiscal year 2008/09. Finally, staff recommends the Council appropriate $25,000
from the Contingency Fund to provide seed money to SCVTV to operate the studio through the
conclusion of FY 2008/09 while a long-term collaborative solution is developed.
ALTERNATIVE ACTIONS
1. Do not approve recommended action.
2. Other action as determined by the City Council.
FISCAL IMPACT
1. Appropriate funds in the amount of $180,000 from the Public, Education, and Government
Fund Balance (330) to Account 12205-5201.002.
2. Appropriate $25,000 from Contingency Account 19300-5401.001 to
Communication Division's Professional Services Account 11500-5161.002.