DRAFT

Contact the town clerk at (919)469-4011 for official minutes 

Town Council Work Session on the

Koka Booth Amphitheatre Operations Policy

Room 10035, 316 N. Academy St. , Cary , NC

October 28, 2008

4:30 p.m.

Present:  Mayor Harold Weinbrecht, Mayor Pro Tem Julie Robison, Council Members Gale Adcock, Erv Portman, and Jack Smith.

Absent:  Council Member Jennifer Robinson

Council Member Don Frantz arrived late and his arrival is noted in the minutes. 

Mayor Weinbrecht called the meeting to order at 4:35 p.m.

Mayor Weinbrecht announced that the work session will not cover the Occupancy and Prepared Food Tax as originally planned—that topic will be discussed at a future work session.

Mary Henderson reviewed the document provided by SMG which includes SMG ’s background, the amphitheatre council approved management goals, sound policy history, curfew policy, and comparative venue information.  (The SMG document is attached to and incorporated herein as Exhibit A). 

Mrs. Henderson said that SMG manages the amphitheatre at the direction of the Town and follows the policies established by the Town.  She said that each year Becky Schmidt, the amphitheatre general manager, prepares a management plan for council’s consideration and approval which outlines the policies and goals; she also provides information on the progress towards the goals.  Mrs. Henderson said that the programming mix, land operation, and all policies are included in the plan.  She said that approval of the plan, with or without the changes, will allow Ms. Schmidt to move forward and implement that plan to begin looking for promoters and shows for next season.  She said staff’s intent is to help council understand how their considerations and decisions impact the management plan and operations of the amphitheatre for the upcoming year.

Mayor Weinbrecht asked what staff needed from council.  Mrs. Henderson stated that the contract was approved in the summer of 2008 with a two year extension.  The purpose of the work session is to discuss the management plan which sets out the direction for Ms. Schimdt to get promoters and shows lined up.  Lyman Collins of the Parks, Recreation and Cultural Resources Department added that the amphitheatre’s fiscal year ends October 31^st and there is no budget authority past that date. 

Mr. Smith asked about the contract and the distinction between what has been approved and what needs to be done today.  Mrs. Henderson said that the contract is for SMG to continue management.  She said that staff needs feedback from council on the policies and programming mix for the upcoming season, including the sound and curfew policies.

Mr. Portman said he would like a comprehensive information on operations, revenue, capital investment needs, etc. Mrs. Robison said that the staff report that went to the October 2^nd Operations Committee meeting (item G.1 from the October 16 council meeting) provides background and includes SMG ’s budget proposal and annual management plan.

Mrs. Adcock asked whether the issue is money or policy, and how the policy affects the citizens who live around the amphitheatre. Mr. Smith said they need to review the council vision for the amphitheatre, which was to create a summer home for the North Carolina symphony, and whether council imposed some constraints on the vision by trying to create a money making operation.  He said that occasional nationally recognized events match that vision, but the questions is whether they want those events every weekend. 

Mayor Weinbrecht said that the vision is to serve all citizens and their tastes.

Mr. Frantz arrived at this point in the meeting at 4:48 p.m.

Mr. Smith said the more immediate problem is the sound issue. He said that they should be conservative and have a practical, pragmatic and realistic enforceable noise policy.  He said a 10 minute average doesn’t work.  His said they should also look long term to getting citizen input and at the broader vision for the amphitheatre. 

Mrs. Adcock said she’s heard citizens ask for adherence to the current noise policy, not for a new policy.  She said they are not questioning whether it’s reasonable but whether it’s enforced.  She said she hasn’t heard much complaint about the curfew except for the Rock and Roll Hall of Fame.  Mrs. Robison said she’s heard the same thing.

Mayor Weinbrecht they need to manage the policy and there should be a range for the decibel level. 

Mr. Frantz said that the amphitheater seems to be on the right track towards becoming financially self-sustaining**.  He said he is concerned with changing the policy because it may reverse that trend.

Mrs. Adcock asked about the decibels level by the time the sound reaches the closest home to the amphitheatre.  She stated that 92 decibels at the mixer is okay, and there’s about a 22 decibel drop by the time it gets to the closest home, so the residents are getting about 70 decibels. Mr. Collins said that is the intent. 

Mr. Portman asked if council wants to consider changing the 10 minute average to a 1 minute average and what the ramifications would be if that was done.  He stated that he likes the idea of having a Townwide venue that offers programs of interests to all Cary citizens.

Mr. Smith said there are unintended consequences with the policy, one of which is early morning noise involved with set ups, particularly on Sundays.  He said they need a long range plan to make the venue user friendly to the groups using the amphitheatre and, at the same time, respect the noise levels for the community.  He said there needs to be reasonable sound guidelines and parameters, short term.  He said for the longer term they need to look at a more pragmatic, practical application on how to use the amphitheatre under the umbrella of council’s vision.

Mr. Collins said that when the amphitheatre opened the council adopted the eight goals listed in Exhibit A.  He said those goals have continued as the centerpiece of every management plan presented.  He said that each year SMG describes what has been done to meet those goals. 

Mrs. Adcock asked for examples of the goal to “[p]rovide cooperative opportunities with the Amphitheatre neighbors”.  Ms. Schimdt said that SMG considers the neighbors, the businesses, and the residents surrounding the amphitheatre.  She said they have an 17 member advisory committee which includes representatives from the community.  Ms. Schmidt said that she e‑mails the representative from Lions Gate, which is the closest neighborhood, each week to give them information about upcoming events for that week, including load in, sound checks, expected attendance, and end time for the show.  Mrs. Henderson said that details are provided in the October 2^nd staff report. 

Mrs. Robison asked about the financials.  Mr. Collins said that for the 2008 amphitheatre season they expected to loose approximately $190,830—that’s SMG ’s direct budget and does not include public works.  He said the actual is projection is likely to be $187,991. He said that SMG does a good job at looking at its indirect costs and consistently looks at ways to tighten their management staff.  He said this year they originally budgeted $760,709 and it looks like it will actually be $638,995, which is about $120,000 improvement over budget.

Mrs. Adcock asked about the loss trending.  Mr. Collins said the loss has been trending down over the years as displayed it he following chart. 

Amphitheatre Summary 2002 to present

Mr. Collins said every year since 2005 the amphitheatre has improved over its budgeted loss. 

Mrs. Henderson said that the attendance has also improved each year. Mr. Collins said it has tripled over the course of eight years.

Several council members asked questions about the policies and the noise levels.  Ms. Schmidt responded that the sound limit is set on the sound board for the amphitheatre at 92 decibels measured 80 feet from the stage based on a 2003 sound study; if the sound board is kept at 92 decibels then the level would be 70 decibels at the property line (at Lions Gate) on average.  She said that when recruiting acts the sound level is identified and agreed to up front, and a contract is signed.  A couple of weeks before the show SMG reminds the tour managers about the sound policy; they remind them repeatedly during the event; signs are posted at the amphitheatre; and sound checks are performed.  She said that in addition to the performance noise there is crowd noise. Ms. Schmidt said that someone is paid every show to watch a computerized system showing when the performers are adhering to the policy and when they are over the limit. She said that they measure 3 seconds, 1 minute and 10 minutes averages and fines are imposed with the 10 minute average; if the performer exceed sound level after two 10 minute averages Ms. Schmidt gets involved with the tour manager.  She said if the levels are continually breached SMG brings in the Cary police. She said there’s been one incident this year SMG has removed the sound technician and brought in their own. 

Mr. Portman asked if there is a “technical governor” to monitor the soundboard.  Ms. Schmidt said artists are allowed to bring in their own sound system.  She said the only way to control it would be to force the artist to play through the amphitheatre’s sound system.

Mrs. Robison asked if there’s any resistance from the artist to paying the fine.  Ms. Schmidt said it’s paid by the promoter back to the venue.  Mrs. Adcock asked if it were a deterrent or the cost of the doing business.  Ms. Schmidt said she believes it’s a deterrent. 

Mayor Weinbrecht said he doesn’t want to be all exclusive or eliminate certain classes of entertainment. Ms. Schmidt said for 2008 they had 19 rentals, 14 Town of Cary sponsored events (i.e., Diwali, EID festival, concert singers of Cary , etc.), 7 NC Carolina Symphony and summerfest concerts, 10 movie nights, and 14 national acts. 

Mrs. Adcock asked what percent of acts are national. Ms. Schmidt said about 25 percent. 

Mr. Portman asked what practical things can be done with regard to the noise levels on Sunday morning.  Ms. Schmidt said sound checks aren’t done before 9:30 a.m. (that applies for the entire week).  She said starting later on Sundays would impact the national acts.  Mrs. Adcock asked if there were complaints about the sound check time.  Mrs. Henderson said yes, on Sunday mornings.  Mr. Collins added that rentals would be affected if couldn’t perform sound checks on Sunday mornings. 

Mrs. Robison asked about the complaints for Sunday morning checks. Mr. Collins said they’ve had requests and complaints from the neighbors about amplified sound prior to an event on Sunday.  He said the request has been for no amplified sound prior to an event, which creates another parameter and may eliminate Sundays for some things—it would definitely eliminate Sunday church services.  He said they have always been clear with the neighbors that they cannot eliminate noise from their neighborhood.  He said staff’s goal has been to operate the facility within the sound guidelines.

Mr. Portman asked about using a 1 minute average for the sound levels and beginning the fines after the third violation.  Ms. Schmidt said they would have increased fining and it would be difficult to distinguish crowd noise from the music. She explained that the reason for the 10 minutes is to be able to decipher crowd noise levels from the music.  She said an average song is three minutes; they can reduce the average to five minute; one minute would be extremely challenging and they would be in a fining situation at every show. 

Ms. Adcock asked why music and crowd noise are being measured.  Mr. Collins said it’s because you can’t hold act accountable for the crowd noise.

Mr. Frantz asked if other types of buffers have been explored.  Mr. Collins said the 2003 sound study discusses building sound walls, and at that time, the council against destroying the aesthetics of the facility.  He said the study also outlines things that can be done to mitigate the sound mitigate. 

Mrs. Robison asked about the technical options.  Mr. Collins said staff has discussed bringing Grozier Technical Systems back to evaluate and provide information on effective upgrades for monitoring the sound system.  He said the current Grozier system is affective in terms of measurements and was installed about five years ago.  He said they may want to look at newer Grozier units that include a feature to eliminate the crowd noise with the push of a button. 

Mayor Weinbrecht asked what acts the five minute limit would eliminate.  Ms. Schmidt said it would be extremely hard for promoters to guarantee a certain number of events for the Town if they or the artists are going to be fined.  She said they may stay away from rock completely. 

Mr. Smith asked what is gained by new equipment. Mr. Collins said more accurate readings.  Ms. Schmidt said it would allow them to hit a stop button after the song is over to eliminate the crowd cheering noise. Mr. Collins said there are also other types of recommendations to manage and monitor sound.  Council members agreed that it would be worth the time to investigate available technological options.

Mrs. Robison asked if they needed to rethink the type of events to bring to the amphitheatre.  Mr. Smith said they may need to decide on the type of management group needed for the amphitheatre—they may need someone who has a community focus instead of a world class management group.  He said they also need to have citizen involvement in the solution. 

Mr. Portman said that he would advocate staying within the eight guidelines, continuing to offer broad programming within the parameters of the sound window, reduce the average, and maybe get citizens involved.  He said they need a very strict sound rule and should continue to have very diverse bands.  Ms. Schmidt said that SMG is proposing five rock and five middle of the road/adult contemporary groups for 2009.

Mrs. Robison said changing the content orientation will get better results.  She said it appears that the rock groups are the ones that cause problems with the noise and she suggested scaling back on some of the rock.  Mr. Frantz said that the rock concerts are the events that make money and pay the bills.  He said they can continue to bring in bands; it’s just a matter of managing the sound. 

Mrs. Robison asked about the feasibility of reducing the 10 minute average.  Ms. Schmidt said they can reduce it to five minutes.  She said by reducing the 10 minute average they will have to turn away some rock groups.

Mayor Weinbrecht asked how many of the acts for this year would have been lost with a five minute average.  Ms. Schmidt said there would have been a lot of fines.  She said there were three acts that said no to performing at the amphitheatre. 

Mrs. Adcock asked whether staff budgeted money in FY09 to improve the Grozier system.  Mr. Collins said no.  Ms. Henderson said it wouldn’t cost us to bring them here because we already have the system.  She said if staff felt Grozier’s suggestions for improvements were reasonable they would bring it back to council for approval.

Mayor Weinbrecht said he would like to keep track of all of the acts walking away because of the reduced average. Mrs. Adcock said they have to compare it to not just the ones who walked away because of the reduced average, but the ones who walked away when it was 10 minutes.  

Mr. Collins said the touring season is just now being announced.  There may be more middle of the road acts to choose from.  Ms. Schmidt has based SMG ’s budget to allow for changing promoters.  We presented a budget that would give us some wiggle room to experiment and the need to subsidize it more.

Mr. Portman complimented Town and SMG staff for the jobs they are doing. 

Mr. Collins said the outside touring acts are the foundation of the amphitheatre’s budget. He said the budget is based on five middle of the road acts, which require a higher subsidy, and five rock and roll grou. 

Mrs. Schmidt they can do a five minute average. 

Council directed staff to (1) revise the amphitheatre’s sound operations policy to keep the audio volume for all events at the current maximum 92 decibel average level as measured 80 feet from the stage but to reduce the minutes of sound level averaging from 10 minutes to 5 minutes; (2) contact Grozier Technical Systems, Inc to return to the amphitheatre to review its current installation of sound monitoring equipment and recommend updates or other adjustments; and (3)  SMG staff should maintain complete records of performers who may have not been contracted to perform at the amphitheatre as a result of sound level restrictions

Mr. Smith said he would like to see creative ways to involve the community (for example, involving cultural arts groups, mailers to the symphony attendees).  He would like to see the amphitheatre used by local groups more often. Ms. Schmidt SMG currently works with a variety of local groups. Mr. Collins said the amphitheatre is used as a park and has passive recreation uses when it’s not being used for events.

Mayor Weinbrecht thanked Town and SMG staff for their work.

Meeting ended at 6:06 p.m.