REPORT TO COUNCIL
SUBJECT
Title
Action on the Santa Clara Convention Center FY 2019/20 4th Quarter Financial Status Report [Council Pillars: Promote and Enhance Economic, Housing and Transportation Development, Enhance Community Engagement and Transparency, and Promote Sustainability and Environmental Protection]
Report
BACKGROUND
On February 5, 2019, the City approved an agreement with Global Spectrum L.P. dba Spectra Venue Management (Spectra) to operate the Santa Clara Convention Center (SCCC). Spectra began management of SCCC on March 18, 2019.
Staff is transmitting Spectra's SCCC status report to Council for compliance with agreement terms.
DISCUSSION
Submitted for Council information is the Financial Status Report for the 4th quarter ended June 30, 2020, as submitted by Spectra. This report is unaudited and, therefore, subject to change.
As Spectra's 4th quarter report indicates, there has been little to no event activity at the Convention Center since Santa Clara County Public Health and State orders placed indefinite restrictions on indoor gatherings in mid-March. It is no surprise that the level of demand for the Convention Center has decreased significantly and activity is expected to remain dormant through the first two quarters of FY 2020/21.
There were 95 events scheduled in the last quarter for FY 2019/20 and Spectra and Levy have been diligently working with clients to move events into 2021. Of the 95 events, 11 rebooked and have confirmed a new date, 20 are in the progress of re-booking a future date, and 64 cancelled and are considering a future date. Spectra estimates that 75% of the 64 will reschedule. As it remains uncertain when indoor meetings or large gatherings will resume, Spectra and Levy have also been proactively working to move 65 events, scheduled July 2020 through December 2020, into 2021. Of the 65 events, 11 rebooked, 27 are in progress, and 27 cancelled.
With the drastic reduced activity at the Convention Center, bo...
Click here for full text