Title
Agreement with Competitor Group, Inc., to Host Rock-N-Roll Marathon from 2018 to 2021 (Ordinance S-43749)
Description
Request to authorize the City Manager, or his designee, to enter into an agreement with Competitor Group, Inc., to produce the Rock 'n' Roll Arizona Marathon and Half-Marathon from 2018 through 2021. Further authorize the City Controller to disburse the funds for purposes of this ordinance.
Report
Summary
Competitor Group, Inc., has produced the Rock 'n' Roll Arizona Marathon, Half-Marathon, and Health and Fitness Expo in Phoenix since 2004. The Street Transportation, Police, Public Works, Water Services and Public Transit departments have provided in-kind services to the Rock 'n' Roll Marathon for the past 13 years. The January 2017 event was the final year of a four-year agreement between the City of Phoenix and Competitor Group, Inc., to produce the races and related events. The current agreement, signed on Sept. 25, 2013, is set to expire in December 2017.
The proposed agreement renewal contains language that keeps the marathon starting line in downtown Phoenix for an additional four-year term. In conjunction with the marathons, the Health and Fitness Expo has been held each year at the Phoenix Convention Center in the week prior to the race. All race participants visit the expo to pick up race numbers and timing tags, in addition to visiting vendor booths from the running and fitness industry. Competitor Group, Inc., currently has an agreement to use the Phoenix Convention Center in 2018. Contract details are being negotiated for 2019, 2020, and 2021.
The required level of City support in the renewal agreement is consistent with the services provided in previous race years.
Contract Term
The term of the contract is for four years.
Financial Impact
The 2017 Rock 'n' Roll Arizona Marathon and Half Marathon generated more than $450,000 for Phoenix in taxes and fees. More than 4,800 hotel room nights were booked in Phoenix, which translates to approximately $4.03 million in economic impact to local restaurants, retail and other businesses. Additionally, about $71,714 in sales tax was generated from the Health and Fitness Expo held at the Phoenix Convention Center. Support services provided by the City of Phoenix, including barricades, police officer assistance, and solid waste services, are estimated to cost approximately $143,000 annually, which is consistent with services provided in previous years.
Concurrence/Previous Council Action
The Transportation and Infrastructure Subcommittee heard this item at the June 13, 2017 meeting and recommended approval by a vote of 4-0.
Location
The marathon and half-marathon use separate routes for most of their courses. The half-marathon route is a loop that starts and finishes in Tempe Beach Park. It heads north through Tempe before entering Phoenix around 64th Street and heading south through Papago Park on Galvin Parkway then heading east back into Tempe for the finish. The marathon starts in downtown Phoenix at the Arizona Center and runners proceed through Phoenix and into Scottsdale before finishing in Tempe. Together the races utilize approximately 20 miles of Phoenix streets.
Department
Responsible Department
This item is submitted by Deputy City Manager Mario Paniagua and the Street Transportation Department.