Arroyo Seco Music & Arts Festival Presentation City Council Monday, April 4, 2016

Music & Arts Festival – Why?  Renovation provided historic facility a chance to be viable in the future  Long term capital needs plus escalating costs require a third tenant to replace unpredictable special events  Roughly $19M in unfunded capital improvements currently identified through 2020 (seat replacements, lighting)  Routine maintenance and capital repairs to the Rose Bowl Stadium are estimated at 750k annually  Increased competition will make special event revenue much less reliable 2

Inglewood Stadium – Los Angeles Rams 3

Music & Arts Festival – A Solution  Provides Long Term Financial Stability  Create revenue equal to 5-7 displacement events that the Stadium must pursue annually  Creates Event Date Certainty for Community  Expected to be the same weekend every summer (Anticipated June 2017)  Establishes a Long Term Tenant – 20-year agreement between AEG and RBOC  After Years 3, 10 & 15 the RBOC and AEG have the opportunity to terminate the agreement 4

Music & Arts Festival - License Agreement  Term: Up to 20 years, beginning in 2017  License Fee: RBOC to receive minimum license fee: $2 million in year one, $2.5 million in year two, $3 million in year three and a one-time capital improvement payment of $3 million for the first 10 years of the agreement.  Minimum of $10.5 million over the first three years  Minimum of $90M over 20 years  Capital Improvement Provision: AEG shall pay the RBOC a one-time payment of $3 million for first 10 years of agreement.  Facility Expenses: AEG shall reimburse RBOC for all actual and documented RBOC expenses that are reasonably related to the event; AEG pays for all Supplemental Public Safety Services. 5

Music & Arts Festival – Pasadena Benefits  Provide Economic Benefit to the Community/City  Major Rose Bowl events have provided Pasadena with positive economic impacts historically  Impact on businesses, restaurants, hotels, transient occupancy tax, sales tax and fees  Unlike other stadiums, Pasadena does not currently subsidize Rose Bowl operations and strong future revenue will be needed to ensure this continues  Rose Bowl Stadium Events & Job Opportunities  Employed Over 600 City of Pasadena Residents for the 2015 Events Calendar Year  Economic Impact Study by Micronomics  $385 million over 20 year period  Year one is $8.3 million, Year 20 is $25.9 million 6

AEG/Goldenvoice – A Global Leader  AEG is the world’s leading sports and live entertainment company  Global Festival Experience  Hyde Park  New Orleans Jazz and Heritage Festival  Stagecoach  Coachella  The goal is to develop strong partnerships with the local community through:  Support for the local arts and culture community in Pasadena  Support of local schools and non-profit organizations  Internship program and job opportunities 7

Music & Arts Festival – The Concept  Vision is to make this event a sophisticated, multi-generational festival unique to Pasadena with heavy focus on music, art, food and the attendee experience  Utilize both the golf course and Stadium, four stages plus Stadium  Tying in some of Pasadena’s great features, institutions and assets  Target market primarily multi-generational, families, 30-40s demographic  Strong arts component, family oriented and community partnerships  Want to be part of community and a partner for the Rose Bowl and Pasadena  Attended approximately 40 meetings with different organizations, neighborhood associations and business districts within the City of Pasadena. 8

Music & Arts Festival – Arts Concept  Kidspace Integration  Program which inspires children through art and music  Bookstore in the Field  In the heart of the festival, a classic working bookstore where you can read, rest, and listen to authors or acoustic music on a stage  Architecture & Art  Create 2-3 small house exhibits that celebrate the architecture of Pasadena  Within the exhibits, patrons can walk through and enjoy art exhibits featuring local, national and international works of art  Live Theater  Productions of popular plays and musicals 9

Music & Arts Festival – Operations Plan  Communication  Monthly communication and/or meetings with neighbors leading up to and on event day(s) to update on neighborhood management plan  Advance communication with patrons on what routes to take  Event app that will provide continuous updated information  Improved CMS deployment plan that can communicate to festival patron on the way to event  Parking  If parking sells out, all other attendees must use alternative means of transportation  Ability to pre-determine what number of patrons are coming via personal car, public transportation, Rideshare, etc… 10

Music & Arts Festival - Neighborhood Plan 11

Music & Arts Festival – Traffic Plan 12

Music & Arts Festival – Sound Management 13  Sound  Control and design handled by promoter not artist  Utilize state of the art technology to focus music on fans not neighborhoods  Certified sound consultant on location throughout  Works directly with RBOC to ensure that there are no loop holes

Music & Arts Festival – Public Safety  Lt. Art Chute, Pasadena Police Department  Chief Washington, Pasadena Fire Department 14