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Op-Ed: Estimated $8 million in Lost City Revenue

In 2017, the City of Santa Clara, through our *Santa Clara Convention & Visitors Bureau (SCCVB) team, bid to host the September 4 – 9, 2020, North American Gay Amateur Athletic Alliance (NAGAAA)  event.

Unnecessarily, Santa Clara lost the 2020 bid due to the June 2018 City Council ruling to eliminate Santa Clara’s 45 year old, established and internationally known Santa Clara Convention & Visitor’s Bureau.  A significant loss to our General Fund, local businesses and residents!

The North American Gay Amateur Athletic Alliance was formed in 1977.  NAGAAA is a 501c (3) international sports organization comprised of men and women dedicated to providing opportunity and access for the LGBT community to participate in organized softball competition in safe environments.

SPONSORED
The Mlnarik Law Group, Inc.

Currently, more than 17,000 players from 45 cities across Canada and the United States participate in member leagues, and the best of these teams converge once a year for head-to-head competition at the annual Gay Softball World Series.

In 2017, NAGAAA celebrated its 40th Anniversary (1977-2017).  For over four decades, NAGAAA has been a safe place for LGBT athletes to compete. Member cities compete in six divisions — A, B, C, D, Masters Classic and Masters Legends.

LOST ESTIMATED ECONOMIC IMPACT FOR SANTA CLARA ($ 1.2 M loss per day)         $ 8,385,006

Formula: Destination International- CVB Industry Organization formula)

 

LOST TOTAL ESTIMATED TAX REVENUE FOR SANTA CLARA ($25K loss per day)        $    177,555

(Does not include the City Tax)

TOT     $ 140,707        (Formula: Gross Hotel Rm. Night Revenue x 9.5%)

CFD     $   29,623        (Formula: Gross Hotel Rm. Night Revenue x 2%)

TID      $     7,225        (Formula: Gross Hotel Rm. Night Revenue x $1 per room)

 

LOST ESTIMATED HOTEL GROSS ROOM NIGHT REVENUE ($211,589 loss per day)     $ 1,481,125    

 (Hotel and Convention Center F&B Revenue & Meeting Room Rental not included)     

(Formula: ADR (AVERAGE DAILY RATE) at $205 X 7,225 Estimated Hotel/Motel Room Nights)

 

LOST OPENING CEREMONY AT GREAT AMERICA ($17,143 loss per day)                      $    120,000

(Note:  4,000+ x $40 per person estimated)

 

Santa Clara was up against several major national/international cities that also were bidding on this group’s 2020 prestigious event.  According to NAGAAA Commissioner, Santa Clara was at the top of the list of the competing cities for 2020.

Our SCCVB team spent a lot of time selling the City of Santa Clara to this group.   The NAGAAA Site Committee fell in love with Santa Clara and the SCCVB team, especially, Shawne Hightower, who was the SCCVB National Sales Manager handling this account.

In May, 2018, Mr. William Odom-Green, NAGAAA’s Commissioner told us how impressed NAGAAA’s Site Committee was with our SCCVB’s proposal; several site tours of Santa Clara, and the CVB services we provided/provide and offered to their group.  He also noted that there was every indication that NAGAAA’s 2020 site selection committee would vote Santa Clara in 2020 at their upcoming Board Meeting in September, 2018.

When Mr. Odom-Green found out that the CVB had been dismantled, he was not happy and said that NAGAAA does not go to any city that does not have a CVB.  He told us how surprised and upset he was to hear the Santa Clara City Council eliminated the SCCVB and now doubted whether or not NAGAAA’s Board would consider voting for Santa Clara in 2020 at the upcoming site selection vote in September 2018.

One of the main RFP requirements to bid is being able to work with the city’s CVB, prior, during and after the event.  It is necessary and required for NAGAAA to work with a CVB for all of their events.

Early September 2018, at NAGAAA’s Board of Director’s Meeting, NAGAAA’s board voted and did not select Santa Clara to host their 2020 event.  Santa Clara’s recent elimination of the CVB caused the selection committee to eliminated Santa Clara for 2020.

SPONSORED
Dave Clark Realty

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