Memorandum
City
of
City
Manager’s Office
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TO: |
Mayor and City Commission |
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FROM: |
City Manager David L. Corliss |
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DATE: |
February 10, 2014 |
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RE: |
Joint City/University of Kansas Request for Proposals for Conference
Center market study |
Staff is recommending the distribution of the attached Request for Proposals (RFP) for consulting services to evaluate the feasibility of a Lawrence Conference/Convention Center. The University of Kansas has indicated that they desire to partner with the City on the RFP and possible engagement of consultant services, including possible financial participation in the engagement. See attached Chancellor’s letter. KU has reviewed and approved the draft RFP presented for Commission consideration.
Background:
The visitor/conference business is a large industry nationwide and of significant economic impact in our region. Whether in terms of direct or indirect sales tax revenue from visitors, the opportunity to showcase our community and university to prospective residents or businesses, or the ability to enhance networking and educational opportunities – the conference industry is viewed positively in most communities. Hence, most communities are generally involved in some aspect of the conference/convention industry, whether publicly owning a facility, assisting in construction, providing a public incentive or subsidy to construction or operations, or otherwise supporting the necessary “infrastructure” for the conference industry. Lawrence’s participation has largely been through our Convention and Visitors Bureau (CVB) with active marketing of existing facilities, coordination of events, etc. Lawrence has also provided some incentives for some lodging facilities in the community. Whether a new venue – larger than existing facilities – would be successful in Lawrence is a prime consideration of the proposed study.
Staff believes that a market study can serve to provide answers and guidance to a number of questions regarding possible public involvement in a conference center: Can Lawrence/KU support a new venue to host conferences? What are the pros and cons of public involvement? What are the attributes of a successful location and review of possible Lawrence/KU area locations? What is recommended as: a possible size of a conference facility, appropriate amenities, a focus/theme of a new facility? What is the current/future competition for conference sites in our region? What are the common interests of Lawrence and KU for a conference facility, and possible management strategies to enhance those interests and avoid conflicts? What is the possible involvement in the City’s arts/culture/ historic preservation initiatives for a new facility? These are but a few of the possible questions a market study could undertake to study and answer.
Some area communities have recently pursued public/private partnerships in the conference center business. Attached is a report on the relatively recent public/private project in Manhattan. Additionally, KU’s master plan process has identified a conference center need as part of KU’s long term planning process. A conference center has been discussed for Clinton Lake state park and also mentioned in downtown redevelopment discussions. Staff believes that this is an appropriate time to engage a qualified consultant to assist the City with this important topic. Others are moving forward, Lawrence should explore its options and opportunities as well.
RFP Process:
The attached RFP is recommended for distribution at this time. A selection committee of City staff, KU representatives and selected local stakeholders (CVB staff and/or advisory board member) will review the responses, conduct any necessary interviews, and make a recommendation to the City Commission on which firm to negotiate a contract. The final contract would also be subject to City Commission approval. City funding would come from City guest tax receipts. KU approval of the selected vendor and financial participation in the study would also be necessary and conducted concurrently with the City’s process.
It is anticipated that the selected consultant will also conduct focus group meetings with community members and provide an opportunity for interested individuals to share their views and recommendations on this issue.
Recommended Action:
Direct staff to distribute the Request for Proposals for Consulting Services to evaluate the feasibility of a Lawrence Conference/Convention Center.