REPORT TO COUNCIL
SUBJECT
Title
Action to Add Two Positions and Funding to Manage and Support the Implementation of the Audit Recommendations as Described in "Santa Clara Convention Center and Convention Visitors' Bureau (CVB): Restructuring Operations Can Strengthen Accountability, Performance, and Revenue" and Stadium Authority Increased Workload and Approve Related Budget Amendment
Report
BACKGROUND
During the January 2018 Council Operational and Strategic Priority Setting Retreat, staff highlighted the management high-risk environment with respect to contract administration and management given the absence of conventional internal controls, oversight, and systems. During the last six months, through several staff reports and public comments I conveyed that the City inadequately managed two significant contracts with the Santa Clara Chamber of Commerce related to the Santa Clara Convention Center (SCCC) and the Convention and Visitors' Bureau services as well as the administration for the City's Tourism Improvement District (TID). The City Council has already been involved in various corrective actions resulting from the internal lack of staff oversight and dedicated resources to these very important functions. Additionally, I have publicly expressed concern for how the City has been resourcing this due diligence effort by absorption between the City Manager and Assistant City Manager. It is anticipated that the corrective actions resulting from the referenced audit will require significant work to reconcile and close out the Chamber's activities with respect to these two contracts, clean up the City's role and participation in the TID activities which has been absent for years, and implement additional corrective action that result in an improved Management Agreement and contract oversight
Over past years, duties for the management of these contracts and related activities have been either not present or split among several staff members and departme...
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