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HomeMy WebLinkAboutAGENDA REPORT 2019 0116 REG CCSA ITEM 10CCITY OF MOORPARK, CALIFORNIA City Council Meeting of 1.16.2019 ACTION Received and filed report BY M. Benson C. Consider Recreation Programs Cost Recovery Summary - Fiscal Year 2017-2018. Staff Recommendation: Receive and file report. Item: 10.C. MOORPARK CITY COUNCIL AGENDA REPORT TO: Honorable City Council FROM: Jeremy Laurentowski, Parks and Recreation Director BY: Stephanie Anderson, Recreation Services Manager DATE: 01/16/2019 Regular Meeting SUBJECT: Consider Recreation Programs Cost Recovery Summary Fiscal Year 2017-2018 BACKGROUND On January 18, 2012, the City Council approved the Recreation Programs and Services Cost Recovery Policy (Policy.) Although the Policy was revised in 2016 to include certain Active Adult Center programs and was renamed “Recreation and Active Adult Programs and Services Cost Recovery Policy”, this report includes only those programs operated by the Recreation Division. The Policy defines costs, revenue sources, program categories, and recovery levels. Costs currently reported include direct costs (costs charged to the programs’ line item budget and part-time staff costs) and indirect costs (full-time staff costs and Recreation Division overhead costs such as facility use and general department supplies.) Each program offered by the Recreation Division is assigned a program category, based on factors including type, purpose, and program structure. Program categories are each placed into a recovery level. There are five recovery levels, ranging from level 1 (high subsidy) to level 5 (minimal subsidy). The Policy establishes both the minimum cost recovery and target cost recovery requirements for each program category. Both the minimum and target amounts are noted in the cost recovery summaries in this report. Programs are expected to reach their minimum recovery goal within a period not to exceed one year. Programs that are unable to meet the minimum cost recovery will be reviewed for consideration of appropriate action, including restructuring or eliminating the program. The City Manager is also authorized to exclude individual programs from the requirements of the Policy. The Policy requires an annual reporting to the Parks and Recreation Commission and Moorpark City Council, including whether programs met their cost recovery goals. Item: 10.C. 510 Honorable City Council 1/16/2019 Regular Meeting Page 2 DISCUSSION This report serves as a financial summary of Recreation Division programs for the fiscal year 2017-2018. The seasons included are Summer 2017 (June through August), Fall 2017 (September through November), Winter 2018 (December through February), and Spring 2018 (March through May). Included in this report are brief narratives for each program; financial summaries for each program, including comparison figures from the prior two fiscal years; a summary listing of programs based on their status of meeting cost recovery goals; and staff recommended action plans for those programs not meeting their minimum recovery goals. All figures in this report are rounded to the nearest dollar. The full-time staff costs for the 2017/2018 fiscal year programs are estimated based on the percentage of staff time spent on each program This report was presented to the Parks and Recreation Commission at their 12/3/2018 meeting. COST RECOVERY GOAL SUMMARY Programs meeting target cost recovery goal Programs meeting minimum cost recovery goal Programs not meeting minimum cost recovery goal 3rd of July Fireworks Extravaganza Easter Egg Hunt Youth Basketball League Haunted High Street Breakfast with Santa Holiday Movie Marathon Moorpark Has Talent Community Yard Sale Multicultural Arts Festival Camp Moorpark Movies in the Park Recreation Classes Adult Basketball League Adult Softball League Teen Events RECREATION PROGRAM NARRATIVES AND FINANCIAL SUMMARIES 3RD OF JULY FIREWORKS EXTRAVAGANZA The 3rd of July Fireworks Extravaganza continues to be Moorpark’s signature event. The event took place on Monday, July 3, 2017 beginning at 4:00 p.m. at the Arroyo Vista Community Park. The admission fee to the event was $5.00 per person. Children under five were admitted free of charge. Live entertainment in 2017 included: 3 Nine Line, Ignition, The Dixieland Tailgaters, and Sound Effect Band. The event also featured food booths, games and attractions, and the presentation of the American flag. 511 Honorable City Council 1/16/2019 Regular Meeting Page 3 Event attendance was consistent with prior years, with approximately 12,000 people at Arroyo Vista Park. It is estimated that several thousand more viewed the display from neighboring parks and shopping centers. Overall, the event ran smoothly. The fireworks display was provided by Pyroengineering (Bay Fireworks). Despite a two- minute delay launching the show due to a law enforcement issue, the display ran smoothly. Parking and traffic egress plans which were instituted several years ago continue to be successful. Direct costs were lower this year due primarily to reduced police costs from the event falling on a weekday (the event fell on a Monday) rather than a weekend (the event fell on a Sunday in 2016). Fireworks Extravaganza Financial Summary FY 17/18 FY 16/17 FY 15/16 Participation (approx.) 12,000 13,300 11,800 Revenue $64,225 $71,246 $61,948 Direct Costs $49,185 $55,458 $49,842 Indirect Costs F/T Staff $19,768 $23,855 $17,047 Overhead Costs $1,996 $1,676 $2,340 Total Costs $70,949 $80,989 $69,229 Gross Profit / (Loss) $15,039 $15,788 $12,106 Net Profit / (Loss) ($6,724) ($9,743) ($7,281) Cost Recovery summary (Category: Community Event) Recovered Minimum Target Percent Direct Costs Recovered: 100% 25% 100% Percent Division Indirect Costs Recovered 69% 0% 25% Minimum Recovery Met: Yes MOVIES IN THE PARK The Movies in the Park 2017 summer series included three movies shown at three different parks within Moorpark: Rogue One was shown at Tierra Rejada Park on June 17; The Good Dinosaur at Mammoth Highlands Park on July 15; and The Lego Batman Movie at Arroyo Vista Community Park on August 19. Movies began approximately at 8 p.m. Pre-movie activities began each night at 7:00 p.m. and included trivia and arts & crafts provided by the Recreation Division, a soccer contest organized by Moorpark AYSO (6/17), volleyball games lead by United States Youth Volleyball League (7/15), and a karate demonstration and training lead by event sponsor Tang Soo Do University (8/19). Event sponsor, Tina Hare & Associates, also provided complimentary candy and snacks for the July and August showings, as well as a complimentary photo booth and hired Batman costume character for The Lego Batman Movie (8/19.) In addition, Jolly Jumps donated use of two bounce houses for the July showing, and three bounce houses for the August showing. 512 Honorable City Council 1/16/2019 Regular Meeting Page 4 Attendance increased compared to last year, as three movies were offered in 2017 and only two movies in 2016. Additionally, event sponsor Tina Hare & Associates, with approval from the City, provided additional event support by mailing out a promotional postcard to all Moorpark residents for the August event. Revenue increased significantly this year. In 2016, the only revenue source was candy sales. In 2017 staff successfully obtained several event sponsorships. Direct costs also increased this year. A portion of the increased cost was the result of showing three movies instead of two. However, the per-screening cost for each movie also increased significantly. The vendor providing the screen, sound and projector (Funflicks) was an event sponsor in 2016, which included a substantial rental discount. Funflicks is no longer willing to sponsor this event. The loss of sponsorship lead to a significant increase in the rental cost, substantially increasing direct costs overall. Although the program did not meet the minimum cost recovery requirement, it performed better than last year. With the implementation of an annual event sponsorship program in 2018, it is anticipated that the program will meet its minimum cost recovery requirement for 2018. Movies in the Park Financial Summary FY 17/18 FY 16/17 FY 15/16 Participation (approx.) 1000 750 Not offered Revenue $1,356 $282 Direct Costs $3,915 $1,788 Indirect Costs F/T Staff $6,465 $2,756 Overhead Costs $431 $175 Total Costs $10,811 $4,719 Gross Profit / (Loss) ($2,558) ($1,506) Net Profit / (Loss) ($9,455) ($4,437) Cost Recovery summary (Category: Community Event) Recovered Minimum Target Percent Direct Costs Recovered: 35% 50% 100% Percent Division Indirect Costs Recovered 0% 0% 50% Minimum Recovery Met: No Staff Recommended Action for this Program to Meet Cost Recovery: This event continues to be successful, with an increase in both attendance and revenue compared to last year. While the event did not meet the minimum cost recovery requirement for 2017, it is anticipated that the program will be able to meet the minimum cost recovery requirement in 2018 and beyond, through support of the annual event sponsorship program. 513 Honorable City Council 1/16/2019 Regular Meeting Page 5 HAUNTED HIGH STREET (compared to Halloween Fest N’ Films) Haunted High Street was a new event held on Tuesday, October 31, 2017 from 5:00 p.m. to 8:00 p.m. on High Street. All activities were free to the public, with the exception of the carnival. Wristbands were sold for $5.00 for unlimited access to carnival games and attractions. The event featured the carnival, a haunted house, a pumpkin patch with arts and crafts, movies at the High Street Arts Center, a costume contest, a disc jockey, and Trunk-or-Treat. City staff worked closely with several local businesses and organizations, including the Moorpark City Library, Moorpark Chamber of Commerce, and Lucky Fools Pub, to produce the event. The event was successful, met the minimum direct recovery goals and staff received very positive feedback about the event from the community. Halloween Event Financial Summary FY 17/18 FY 16/17 FY 15/16 Participation 4,000 100 325 Revenue $3,310 $1,562 $2,211 Direct Costs $6,551 $2,218 $1,739 Indirect Costs F/T Staff $22,310 $8,059 $6,771 Overhead Costs $1,361 $339 $857 Total Costs $30,222 $10,616 $9,367 Gross Profit / (Loss) ($3,241) ($656) $472 Net Profit / (Loss) ($26,912) ($9,054) ($7,156) Cost Recovery Summary (Category: Special Event): Recovered Minimum Target Percent Direct Costs Recovered: 51% 50% 100% Percent Division Indirect Costs Recovered 0% 0% 50% Minimum Recovery Met: Yes BREAKFAST WITH SANTA Breakfast with Santa was held on Saturday, December 16, 2017 at the Arroyo Vista Recreation Center. In 2016, the event included two seatings, which both filled to capacity. This year three seatings were offered: 7:30 a.m., 8:45 a.m., and 10:00 a.m. All seatings filled to capacity. The event ran smoothly, met its minimum direct cost recovery goals and staff received many positive comments from attendees. 514 Honorable City Council 1/16/2019 Regular Meeting Page 6 Breakfast with Santa Financial Summary FY 17/18 FY 16/17 FY 15/16 Enrollments 275 204 157 Revenue $2,710 $1,930 $1,530 Direct Costs $3,104 $3,865 $3,027 Indirect Costs F/T Staff $6,628 $3,874 $3,790 Overhead Costs $550 $256 $481 Total Costs $10,282 $7995 $7,298 Gross Profit / (Loss) ($394) ($1,935) ($1,497) Net Profit / (Loss) ($7,572) ($6,065) ($5,768) Cost Recovery summary (Category: Special Event): Recovered Minimum Target Percent Direct Costs Recovered: 87% 50% 100% Percent Division Indirect Costs Recovered 0% 0% 50% Minimum Recovery Met: Yes HOLIDAY MOVIE MARATHON The Holiday Movie Marathon was a new event held on Friday, December 22, 2017 from 9:30 a.m. to 9:00 p.m. at the High Street Arts Center. Admission was free, with donations accepted. Over the course of the day, six holiday films were shown. In between films, attendees could participate in a variety of fun activities including holiday name that tune, a trivia contest, and an ugly sweater contest. The event was well received by the community, met its minimum direct cost recovery goals and staff received many positive comments from attendees. Holiday Movie Marathon Financial Summary FY 17/18 FY 16/17 FY 15/16 Participation 228 Not offered Not offered Revenue $34 Direct Costs $64 Indirect Costs F/T Staff $1,942 Overhead Costs $229 Total Costs $2235 Gross Profit / (Loss) ($30) Net Profit / (Loss) ($2,201) Cost Recovery summary (Category: Special Event): Recovered Minimum Target Percent Direct Costs Recovered: 53% 50% 100% Percent Division Indirect Costs Recovered 0% 0% 50% Minimum Recovery Met: Yes 515 Honorable City Council 1/16/2019 Regular Meeting Page 7 MOORPARK HAS TALENT Moorpark Has Talent was held on Friday, March 23, 2018 at 7:00 p.m. at the High Street Arts Center. Tickets were $10.00 presale and $12.00 at the door. The show featured 10 acts which were selected through two open auditions (a total of sixteen acts auditioned). This year’s master of ceremonies was Nick Cobb. The winners were Dylan Ng in first place, Michael Gullo in second place, and The Rock Boys in third place. The event ran smoothly with 209 tickets sold. The attendance figures include both audience and talent show participants. Moorpark Has Talent Financial Summary FY 17/18 FY 16/17 FY 15/16 Attendance 226 255 205 Revenue $3592 $3,862 $2,026 Direct Costs $1,671 $2,716 $1,000 Indirect Costs F/T Staff $6,435 $6,068 $5,404 Overhead Costs $426 $157 $340 Total Costs $8,532 $8,941 $6,744 Gross Profit / (Loss) $1,921 $1,146 $1,026 Net Profit / (Loss) ($4,940) ($5,079) ($4,718) Cost Recovery summary (Category: Special Event) Recovered Minimum Target Percent Direct Costs Recovered: 100% 50% 100% Percent Division Indirect Costs Recovered 28% 0% 50% Minimum Recovery Met: Yes EASTER EGG HUNT The annual Easter Egg Hunt was held on Saturday, March 31, 2018 from 10:00 a.m. to 1:00 p.m. at the Arroyo Vista Community Park. The event featured egg hunts, pony rides, a petting farm, carnival games with prizes, crafts, and a photo opportunity with the Easter Bunny. General admission was $5.00 per child, and an all-access pass was available for $10.00 per child. Typically this event draws between 400 and 600 children. In 2018, nearly 800 children participated in the egg hunts, and overall attendance is estimated at 2,000. Overall the event ran smoothly and the program met its minimum direct cost recovery goals. However, the very large attendance resulted in longer lines for the egg hunts and attractions than are typical for this event. 516 Honorable City Council 1/16/2019 Regular Meeting Page 8 Cost Recovery summary (Category: Special Event) Recovered Minimum Target Percent Direct Costs Recovered: 100% 50% 100% Percent Division Indirect Costs Recovered 50% 0% 50% Minimum Recovery Met: Yes COMMUNITY YARD SALE The Community Yard Sale was held on Saturday, May 5, 2018 from 8:00 a.m. to 11:00 a.m. at the Arroyo Vista Community Park. There was no admission fee for shoppers. The fee to participate as a seller was $15.00 per space. This year a record 41 sellers participated. Overall, the event ran smoothly and met its minimum direct cost recovery goals. Community Yard Sale Financial Summary FY 17/18 FY 16/17 FY 15/16 Attendance (approx.) 1,000 300 950 Revenue $615 $480 $630 Direct Costs $281 $180 $164 Indirect Costs F/T Staff $3,008 $3,311 $2,571 Overhead Costs $304 $124 $401 Total Costs $3,593 $3,615 $3,136 Gross Profit / (Loss) $334 $300 $466 Net Profit / (Loss) ($2,978) ($3,135) ($2,506) Cost Recovery summary (Category: Special Event) Recovered Minimum Target Percent Direct Costs Recovered: 100% 50% 100% Percent Division Indirect Costs Recovered 10% 0% 50% Minimum Recovery Met: Yes Easter Egg Hunt Financial Summary FY 17/18 FY 16/17 FY 15/16 Attendance (approx.) 2,000 1,000 1,000 Revenue $8,650 $4,190 $3,395 Direct Costs $3,193 $3,618 $3,255 Indirect Costs F/T Staff $9,855 $6,882 $5,085 Overhead Costs $1,045 $432 $644 Total Costs $14,093 $10,932 $8,984 Gross Profit / (Loss) $5,457 $572 $140 Net Profit / (Loss) ($5,443) ($6,742) ($5,589) 517 Honorable City Council 1/16/2019 Regular Meeting Page 9 MULTICULTURAL ARTS FESTIVAL The Multicultural Arts Festival was a new event held on Saturday, May 19, 2018 from 10:00 a.m. to 3:00 p.m. on High Street. The festival featured live performances on two stages, arts and crafts vendors, ethnic food vendors, a children’s activity area sponsored by Moorpark First Five, an Amazing Race activity sponsored by the Moorpark Library, an art show, and a beer garden hosted by the Moorpark Foundation for the Arts. Overall the event ran smoothly, met its minimum direct cost recovery goals and staff received positive feedback from attendees, performers, and vendors. The event was lightly attended, with approximately 1,500 to 2,000 people throughout the day. Multicultural Arts Festival Financial Summary FY 17/18 FY 16/17 FY 15/16 Participation (approx.) 1,750 Not offered Not offered Revenue $4,275 Direct Costs $3,733 Indirect Costs F/T Staff $21,751 Overhead Costs $1,274 Total Costs $26,758 Gross Profit / (Loss) $542 Net Profit / (Loss) ($22,483) Cost Recovery summary (Category: Community Event): Recovered Minimum Target Percent Direct Costs Recovered: 100% 50% 100% Percent Division Indirect Costs Recovered 2% 0% 25% Minimum Recovery Met: Yes TEEN EVENTS AND VOLUNTEER PROGRAM General Teen Event Financial Summaries FY 17/18 FY 16/17 FY 15/16 Participation (Total) 100 151 134 Revenue $230 $140 $60 Direct Costs $579 $361 $314 Indirect Costs F/T Staff $5,205 $5,653 $21,786 Overhead Costs $3,307 $1,911 $3,308 Total Costs $9,091 $7,925 $25,408 Gross Profit / (Loss) ($349) ($221) ($254) Net Profit / (Loss) ($8,860) ($7,785) ($25,348) 518 Honorable City Council 1/16/2019 Regular Meeting Page 10 PROGRAM DATE Fee(s)PARTICIPANTS REVENUE Notes Cupcake Challenge 8/11/2017 $10 / team 12 30.00$ Summer theme Cupcake Challenge 10/20/2017 $10 / team 16 40.00$ Halloween theme Cupcake Challenge 2/16/2018 $10 / team 12 30.00$ Valentine theme Cupcake Challenge 4/13/2018 $10 / team 12 30.00$ Spring theme Open Mic Night 7/21/2017 $5 / person 0 -$ Cancelled Open Mic Night 9/16/2017 $5 / person 3 -$ No fees charged Lip Sync Battle 1/12/2018 $5 / person 45 100.00$ No fees for entrants Lip Sync Battle 5/18/2018 $5 / person 0 -$ Cancelled 100 230.00$ PROGRAM DATE Fee(s)PARTICIPANTS REVENUE DESCRIPTION Volunteer Day 10/27/2017 Free 8 -$ Haunted High Street Prep Volunteer Day 10/31/2017 Free 22 -$ Haunted High Street Volunteer Day 12/15/2017 Free 7 -$ Breakfast with Santa Prep Volunteer Day 12/16/2017 Free 15 -$ Breakfast with Santa Volunteer Day 3/30/2018 Free 10 -$ Egg Hunt Prep Volunteer Day 3/31/2018 Free 13 -$ Easter Egg Hunt 75 -$ GRAND TOTALS 175 230.00$ SUBTOTAL VOLUNTEER PROGRAM TEEN PROGRAMS: Summer 2017 to Spring 2018 Teen Events SUBTOTAL TEEN EVENTS Teen Volunteer Days Cost Recovery summary (Category: Special Event) Recovered Minimum Target Percent Direct Costs Recovered: 39% 50% 100% Percent Division Indirect Costs Recovered 0% 0% 50% Minimum Recovery Met: No Staff Recommended Action for this Program to Meet Cost Recovery: Overall, teen participation decreased this year. However, the decrease was solely for teen volunteer activities, from 91 in 2016/2017 to 75 in 2017/2018. Attendance at teen events increased from 60 in 2016/2017 to 100 in 2017/2018. Revenue also increased, from $140.00 to $230.00. However, the revenue increase was not sufficient to meet the minimum cost recovery requirement. Staff will continue to focus on building teen programs and exploring other new recreational programs for the teen population. Staff will also explore the possibility of utilizing part-time staff to oversee some aspects of teen events, in order to reduce overhead full-time staff costs. CAMP MOORPARK Summer Camp was held June 12 through August 22, 2017 at the Arroyo Vista Recreation Center. Camp Moorpark was offered to children ages 4 years 9 months to 11, and included sports, games, arts and crafts, special guests, themed events, parties, trips, and movies. Adventure Camp, for ages 11 to 14, included trips to theme parks, beaches, local hang-outs, movies, and malls. There were at total of 50 days of camp 519 Honorable City Council 1/16/2019 Regular Meeting Page 11 this summer for Camp Moorpark. Adventure Camp had 38 days of camp, since Adventure Camp was not offered on Fridays. Total enrollments and average daily attendance both decreased significantly for the summer of 2017. Just prior to the summer of 2016, Pinecrest schools closed their Moorpark location, and many of their students joined Camp Moorpark for the summer of 2016. This resulted in a significant increase in attendance that summer. When analyzing the decline in attendance for 2017, staff found that 40% of 2016 participants did not return to camp in 2017. Staff created a survey for families who did not return to Camp Moorpark for the summer of 2017, and though the responses were few (109 surveys sent, 16 responses received, a 15% response rate), they provided helpful insight as to why some campers did not return. Based on this information, staff enhanced camp training for summer 2018 to include additional training on working with special needs, and how to recognize and handle bullying. The program is also being revitalized with better field trips, a special interest track, and additional guest performers. Although attendance fell and the number of camp days was similar to last year, direct costs increased slightly. This increase was due to an increase in part-time staff costs. Part-time staff costs increased in part due to an increase in the minimum wage (from $10.00 to $10.50 per hour), and in part to more appropriate staffing levels in 2017. While summer and fall both had lower average daily attendance than the prior year, both the winter and spring season had nearly identical average daily attendance compared to last year. Camp Moorpark Financial Summary Summer 2017 Fall 2017 Winter 17/18 Spring 2018 Total FY 17/18 FY 16/17 FY 15/16 Average Daily Attendance 91.5 19.2 23.7 29.5 71.7 83.8 70.0 Participants (unduplicated) 317 44 54 74 489 505 449 Total Enrollments 4359 96 261 236 4952 5784 4762 Revenue $181,891 $3,726 $9,571 $8,674 $203,862 $216,412 $175,279 Direct Costs $133,344 $1,829 $3,755 $3,237 $142,165 $146,161 $134,167 Indirect Costs F/T Staff $71,715 $4,842 $4,842 $5,374 $86,773 $51,788 $75,710 Overhead Costs $13,845 $995 $2,099 $1,705 $18,644 $17,431 $21,373 Total Costs $218,905 $7,666 $10,696 $10,316 $247,583 $215,380 $231,250 Gross Profit / (Loss) $48,547 $1,897 $5,816 $5,437 $61,697 $70,251 $41,112 Net Profit / (Loss) ($37,014) ($3,940) ($1,125) ($1,642) ($43,720) $1,032 ($55,971) Cost Recovery summary (Category: Day Camps): Recovered Minimum Target Percent Direct Costs Recovered: 100% 100% 100% Percent Division Indirect Costs Recovered 59% 50% 75% Minimum Recovery Met: Yes 520 Honorable City Council 1/16/2019 Regular Meeting Page 12 CAMP MOORPARK PROGRAM SUMMARY: Summer 2017-Spring 2018 Annual registration fee: $35/$25; theme park pass: $100 PROGRAM DATES HOURS DAIILY FEES Summer Camp Moorpark Monday-Friday 6/12-8/22 (50 days) 7:00 a.m.- 6:00 p.m. $35-$55 Adventure Camp Monday-Thursday 6/12-8/16 (38 days) 7:00 a.m.- 6:00 p.m. $47-$67 Fall Camp Moorpark 8/28, 9/21, 11/20-11/22 (5 days) 8:00 a.m.-6:00 p.m. $35-$55 Winter Camp Moorpark 12/22, 12/26-12/29, 1/2-1/5, 1/22, 2/16 (11 days) 8:00 a.m.-6:00 p.m. $35-$55 Spring Camp Moorpark 3/30, 4/2-4/6, 4/23, 5/25 (8 days) 8:00 a.m.-6:00 p.m. $35-$55 Program held at AVRC, with off-site field trips during the summer. RECREATION CLASSES A variety of recreation classes were offered throughout the year, including tennis, golf, yoga, MELT, adult and youth dance, baking, technology, art, music, and the Away We Grow preschool program. All classes except golf are held at the Arroyo Vista Recreation Center and Community Park. Most classes are instructed by contract instructors, with a few, such as Let’s Bake and Tot sports, instructed by part-time City staff. Recreation Classes Financial Summary Summer 2017 Fall 2017 Winter 17/18 Spring 2018 Total FY 17/18 FY 16/17 FY 15/16 Classes Offered 118 99 83 96 396 459 461 Classes Run 75 68 46 60 249 278 312 Classes Canceled 43 31 37 36 147 181 149 Cancelation Rate 36% 31% 45% 38% 37% 39% 31.25% Enrollments 501 465 389 441 1796 1783 2153 Revenue $42,268 $64,136 $57,979 $60,884 $225,266 $210,228 $226,429 Direct Costs $29,431 $45,843 $44,460 $43,879 $163,613 $151,933 $159,519 Indirect Costs F/T Staff $20,278 $20,278 $20,278 $20,278 $81,112 $51,276 $79,764 Overhead Costs $6,654 $6,060 $6,265 $6,428 $25,406 $23,103 $25,609 Total Costs $56,362 $72,181 $71,003 $70,585 $270,131 $226,312 $264,892 Gross Profit / (Loss) $12,837 $18,293 $13,519 $17,005 $61,653 $58,295 $66,910 Net Profit / (Loss) ($14,095) ($8,045) ($13,024) ($9,701) ($44,865) ($16,084) ($38,463) Cost Recovery Summary (Category: Recreation Classes): Recovered Minimum Target Percent Direct Costs Recovered: 100% 100% 100% Percent Division Indirect Costs Recovered 58% 75% 100% Minimum Recovery Met: No 521 Honorable City Council 1/16/2019 Regular Meeting Page 13 Staff Recommended Action for this Program to Meet Cost Recovery: Last year, Recreation Classes met the minimum cost recovery requirement. Although revenue increased slightly this year (by 7%), costs also increased (by 19%), resulting in a higher net loss and a lower recovery percentage than last year. Staff recommends increasing program promotion, eliminating poorly performing classes, and researching and implementing new and trending classes. Staff will focus on increasing enrollment overall, with an emphasis on improving summer and winter participation. It is also anticipated that if the City assumes direct operation of a preschool program beginning with the 2018/2019 fiscal year, net revenue will increase substantially from that program alone, and significantly enough for recreation classes as a whole to meet the cost recovery requirement. ADULT SOFTBALL LEAGUES The adult softball league includes a men’s division on Thursday nights and a co-ed division on Friday nights. Games are played at the Arroyo Vista Community Park and/or Peach Hill Park. The registration fee is $425.00 per team. The number of teams participating in the league has been relatively consistent over the past several years. Adult Softball Summer 2017 Fall 2017 Spring 2018 Total FY 17/18 FY 16/17 FY 15/16 Teams 20 19 20 59 57 55 Players 254 256 307 817 904 896 Revenue $8,500 $8,075 $8,500 $25,075 $24,225 $23,375 Direct Costs $4,436 $4,764 $4,532 $13,732 $9,786 $11,917 Indirect Costs F/T Staff $5,544 $5,544 $5,544 $16,631 $15,627 $12,091 Overhead Costs $3,132 $3,426 $3,172 $9,730 $7,652 $9,047 Total Costs $13,111 $13,734 $13,247 $40,092 $33,065 $33,055 Gross Profit / (Loss) $4,064 $3,311 $3,968 $11,343 $14,439 $11,458 Net Profit / (Loss) ($4,611) ($5,659) ($4,747) ($15,017) ($8,840) ($9,680) Cost Recovery Summary (Category: Adult Sports Programs): Recovered Minimum Target Percent Direct Costs Recovered: 100% 100% 100% Percent Division Indirect Costs Recovered 43% 75% 100% Minimum Recovery Met: No Staff Recommended Action for this Program to Meet Cost Recovery: Although the overall number of teams, and subsequently revenue, increased slightly this year compared to last year, the softball league has not been able to meet its minimum cost recovery requirement. The league has not met the minimum requirement for the 522 Honorable City Council 1/16/2019 Regular Meeting Page 14 past five years, due to a decline in team enrollment that began in the 13/14 fiscal year, as summarized in the chart below: Fiscal Year 2011/2012 2012/2013 2013/2014 2014/2015 2015/2016 2016/2017 2017/2018 # of Teams 83 81 67 65 55 57 59 It was noted last year that if costs remained stable, a minimum of 65 teams would be needed to meet the minimum cost recovery requirement for 2017/2018. However, both direct and indirect costs increased this year, due to a variety of factors including increases in minimum wage, additional full-time staff time spent on the league, and program supply expense increases. In order for the league to meet the minimum cost recovery requirement in the face of rising costs, 80 teams would now need to participate. Based on enrollment trends for softball, staff will need to work on implementing new and additional sports programs and leagues in order to defray the full-time staff costs associated with each sports program. With less overhead costs, the softball league should be able to meet the minimum cost recovery requirement with the number of teams that have been participating for the past three years. However, if additional successful sports programs are not added, the City must consider eliminating this league. Staff will also consider fee increases, but must be mindful of the market rate for such programs, as the City’s fees are already some of the highest in the area. ADULT BASKETBALL LEAGUES The adult basketball league includes divisions on Monday and Thursday nights. Games are played at the Arroyo Vista Recreation Center gym. The registration fee is $375.00 per team in Summer/Fall/Spring, and $325 per team in Winter (due to a shorter season). Adult Basketball Summer 2017 Fall 2017 Winter 17/18 Spring 2018 Total FY 17/18 FY 16/17 FY 15/16 Teams 14 16 16 12 58 54 54 Players 140 143 144 112 539 525 549 Revenue $5,250 $6,000 $5,200 $4,500 $20,950 $19,550 $19,550 Direct Costs $1,764 $1,858 $1,895 $1,667 $7,185 $6,703 $6,742 Indirect Costs F/T Staff $4,158 $4,158 $4,158 $4,158 $16,631 $15,444 $12,780 Overhead Costs $2,074 $1,965 $2,258 $1,923 $8,220 $6,703 $9,493 Total Costs $7,996 $7,981 $8,311 $7,748 $32,036 $28,850 $29,015 Gross Profit / (Loss) $3,486 $4,142 $3,305 $2,833 $13,765 $12,847 $12,808 Net Profit / (Loss) ($2,746) ($1,981) ($3,111) ($3,248) ($11,086) ($9,300) ($9,465) 523 Honorable City Council 1/16/2019 Regular Meeting Page 15 Cost Recovery summary (Category: Adult Sports Programs): Recovered Minimum Target Percent Direct Costs Recovered: 100% 100% 100% Percent Division Indirect Costs Recovered 55% 75% 100% Minimum Recovery Met: No Staff Recommended Action for this Program to Meet Cost Recovery: The adult basketball league suffers from the same issues as the softball league and has not been able to meet its minimum cost recovery requirement for the past three years. Based on current costs, even if the league filled to capacity each season, the league would not meet the minimum cost recovery requirement. Like softball, staff will work on implementing additional sports programs and leagues in order to defray the full-time staff costs associated with each sports program. Staff will also consider fee increases, but must be mindful of the market rate for such programs. If additional successful sports programs cannot be added, and/or league fees cannot be increased and maximum enrollment cannot be obtained, the City must consider eliminating this league. YOUTH BASKETBALL LEAGUE The youth basketball league is a co-ed recreational league for youth ages 5 to 13. Games are played on Saturdays at the Arroyo Vista Recreation Center gym, and practices are held for one hour each week. League fees range from $86.00 to $96.00 and include a team jersey, photos, a trophy, and of end-of-the-season pizza party. Several local pizza restaurants host the pizza parties, donating the pizza for the players. For the summer, fall, and winter seasons, divisions offered included Rookie for ages 5- 7; Junior for ages 8-10; and Teen for ages 11-13. The program continues to be successful. Beginning with the spring of 2018, divisions were revised to include Mites for ages 5-6; Rookie for ages 7-8; Junior for ages 9-10; and Teen for ages 11-13. Additionally, beginning with the Winter 2017/2018 season, an end-of-season tournament was added for the Junior and Teen divisions. These changes have been well received and the league continues to be successful. Youth Basketball Summer 2017 Fall 2017 Winter 17/18 Spring 2018 Total FY 17/18 FY 16/17 FY 15/16 Enrollments 122 135 206 156 619 602 596 Revenue $10,908 $12,295 $18,354 $14,386 $55,943 $51,940 $49,513 Direct Costs $4,646 $5,945 $8,397 $6,983 $25,972 $26,469 $27,390 Indirect Costs F/T Staff $5,492 $5,492 $5,492 $5,492 $21,967 $21,784 $16,916 Overhead Costs $3,950 $3,682 $4,799 $3,980 $16,410 $14,900 $20,193 Total Costs $14,088 $15,119 $18,688 $16,455 $64,349 $63,153 $64,499 Gross Profit / (Loss) $6,262 $6,350 $9,957 $7,403 $29,971 $25,471 $22,123 Net Profit / (Loss) ($3,180) ($2,824) ($334) ($2,069) ($8,406) ($11,213) ($14,986) 524 Honorable City Council 1/16/2019 Regular Meeting Page 16 Cost Recovery summary (Category: Youth Sports Programs): Recovered Minimum Target Percent Direct Costs Recovered: 100% 100% 100% Percent Division Indirect Costs Recovered 78% 50% 75% Minimum Recovery Met: Yes FINANCIAL ANALYSIS OF PARK AND FACILITY RENTALS Park and facility rentals are not governed by the Policy. This section is included for informational purpose only. Figures below include participants as indicated on paid rental permits, including those for youth sports organizations, for the Arroyo Vista Recreation Center, Moorpark Community Center, and all City park facilities. Not included in participation is use by the public without permits and use by City-run programs included elsewhere in this report. The fiscal year 16/17 and fiscal year 15/16 figures do not include the Moorpark Community Center, as rentals for this facility were not managed by the Recreation Division until the 2017/2018 fiscal year. Field costs, field light costs, and indoor room costs are included in the overhead calculations for rentals. It should be noted that costs for other outdoor rentable facilities including picnic pavilions and tennis courts are not yet included in cost calculations. Therefore, the net profit may actually be considerably lower than reported. Facility Rentals (Parks and AVRC) FY17/18 FY 16/17 FY 15/16 Total Rental Hours (facilities and equipment) 20,247 16,584 17,942.75 Rental Headcount 233,778 138,190 144,507 Revenue $285,121 $202,787 $204,064 Direct Costs $17,837 $7,564 $7,215 Indirect Costs F/T Staff $90,902 $89,815 $74,627 Overhead Costs $135,343 $94,352 $104,901 Total Costs $226,245 $191,730 $185,743 Gross Profit / (Loss) $267,284 $195,223 $196,849 Net Profit / (Loss) $41,039 $11,056 $17,321 SUMMARY TABLES Below are tables summarizing cost recovery figures for Recreation Division programs for the 2017/2018 fiscal year. The first table is a summary of the performance of events, and the second table is a summary of all programs. While there is no minimum cost recovery requirement for the Recreation Division as a whole, it is useful to consider the performance of the programs offered by the Recreation Division as a whole. It should be noted that these tables do not include unallocated costs, such as full-time staff costs 525 Honorable City Council 1/16/2019 Regular Meeting Page 17 associated with breaks and leave time, and facility costs for hours that facilities are unused. EVENTS SUMMARY Fireworks Extravaganza Movies in the Park Haunted High Street Breakfast with Santa Holiday Movie Marathon Moorpark Has Talent Easter Egg Hunt Community Yard Sale Multicultural Arts Festival EVENTS SUBTOTAL Participation 12,000 1000 4,000 275 228 226 2,000 1,000 1,750 22,479 Revenue $64,225 $1,356 $3,310 $2,710 $34 $3,592 $8,650 $615 $4,275 $88,767 Direct Costs $49,185 $3,915 $6,551 $3,104 $64 $1,671 $3,193 $281 $3,733 $71,697 Indirect Costs F/T Staff $19,768 $6,465 $22,310 $6,628 $1,942 $6,435 $9,855 $3,008 $21,751 $98,162 Overhead Costs $1,996 $431 $1,361 $550 $229 $426 $1,045 $304 $1,274 $7,616 Total Costs $70,949 $10,811 $30,222 $10,282 $2,235 $8,532 $14,093 $3,593 $26,758 $177,475 Gross Profi t / (Loss)$15,039 ($2,558) ($3,241) ($394) ($30)$1,921 $5,457 $334 $542 $17,070 Net Profit / (Loss)($6,724) ($9,455) ($26,912) ($7,572) ($2,201)($4,940) ($5,443) ($2,978) ($22,483) ($88,708) Net Profit / (Loss) per participant ($0.56) ($9.46) ($6.73) ($27.53) ($9.65) ($21.86) ($2.72) ($2.98) ($12.85) ($3.95) ALL RECREATION PROGRAMS SUMMARY Events Teen Programs Recreation Classes Camp Moorpark Adult Softball League Adult Basketball League Youth Basketball League TOTAL ALL RECREATION PROGRAMS Participation 22,479 100 1796 4952 817 539 619 31,302 Revenue $88,767 $230 $225,266 $203,862 $25,075 $20,950 $55,943 $620,093 Direct Costs $71,697 $579 $163,613 $142,165 $13,732 $7,185 $25,972 $424,943 Indirect Costs F/T S taff $98,162 $5,205 $81,112 $86,773 $16,631 $16,631 $21,967 $326,481 Overhead Costs $7,616 $3,307 $25,406 $18,644 $9,730 $8,220 $16,410 $89,333 Total Costs $177,475 $9,091 $270,131 $247,583 $40,092 $32,036 $64,349 $840,757 Gross Profi t / (Loss)$17,070 ($349)$61,653 $61,697 $11,343 $13,765 $29,971 $195,150 Net Profit / (L oss)($88,708)($8,860) ($44,865) ($43,720) ($15,017) ($11,086) ($8,406)($220,662) Net Profit / (Loss) per par ticipant ($3.95) ($88.60) ($24.98) ($8.83) ($18.38) ($20.57) ($13.58) ($7.05) The table below summarizes the total performance for Recreation Division programs combined with rentals managed by the Recreation Division. As noted earlier, the Policy does not apply to rentals, and there is no overall minimum cost recovery requirement for the Recreation Division. ALL RECREATION PROGRAMS AND PARKS/AVRC RENTALS SUMMARY TOTAL ALL RECREATION PROGRAMS TOTAL RENTALS TOTAL PROGRAMS AND RENTALS Participation 31,302 233,778 265,080 Revenue $620,093 $285,121 $905,214 Direct Costs $424,943 $17,837 $442,780 Indirect Costs F/T Staff $326,481 $90,902 $417,383 Overhead Costs $89,333 $135,343 $224,676 Total Costs $840,757 $226,245 $1,067,002 Gross Profit / (Loss) $195,150 $267,284 $462,434 Net Profit / (Loss) ($220,662) $41,039 ($179,623) 526 Honorable City Council 1/16/2019 Regular Meeting Page 18 Cost Recovery summary (Informational Purposes Only): Recovered Minimum Target Percent Direct Costs Recovered: 100% N/A N/A Percent Division Indirect Costs Recovered 72% N/A N/A STAFF RECOMMENDATION Receive and file report. 527