Title
Arena Suite Policy Update
Description
This report provides the Economic Development and Equity Subcommittee with additional information regarding the Community and Economic Development Department’s Arena Suite Policy.
THIS ITEM IS FOR INFORMATION AND DISCUSSION.
Report
Summary
In 1989, the City executed a development agreement, operating agreement and other related contracts with the Phoenix Arena Development Limited Partnership and the Phoenix Suns to construct and operate a new Downtown arena, now known as Footprint Center (the Arena). This City-owned multipurpose facility hosts concerts, family shows, conventions and professional sports events that occur every three days on average. As part of the operating agreement with the Suns, the City is provided a suite and twelve tickets for most events. The Community and Economic Development Department manages the use of the suite for the City and has adopted policies for such use. Events hosted by City of Phoenix staff in the Arena Suite (suite) are meant to foster connections between industry professionals, community stakeholders, community groups, and those actively considering the Phoenix market for business. Approved uses include the following:
- Economic development activities.
- Hosting distinguished guests of the City.
- Promotion of the City.
- Enhancing relations with other public agencies.
- Employee award programs.
- Activities for youth and/or developmentally disabled individuals.
Additional key elements of the policy include: For those events that are available, there are twelve tickets included as part of the use of the suite. An additional ten tickets may be purchased for the event, at cost as determined by the Arena. Utilization of the suite provides the opportunity to showcase Phoenix as part of an activated Downtown, as we work to attract new development, companies and workforce, and in retaining our existing companies to keep them growing here in Phoenix.
In response to the discussion at the Economic Development and Equity Subcommittee on Feb. 22, 2023, staff has commenced research into other municipalities and government agencies that have a similar suite ownership situation as Phoenix. As discussed previously, on nights the suite does not have scheduled use by the City, the suite is typically made available to the City's Youth and Education Program as a City Council approved usage, or can be made available to our non-profits. Staff has been discussing with the Suns the process through which the City could make the suite available for lease, through the Suns process, when it is not in use by the City or by our partners, as well as the financial terms of the process.
Staff is continuing to research the options available and will report back to the Subcommittee with additional information.
Concurrence/Previous Council Action
The Economic Development and Equity Subcommittee discussed this item on Feb. 22, 2023.
Location
201 E. Jefferson St.
Council District: 7
Department
Responsible Department
This item is submitted by Interim Deputy City Manager John Chan and the Community and Economic Development Department.