AGENDA #7a

 

BUDGET WORKING PAPER

 

TO:                  W. Calvin Horton, Town Manager

 

FROM:            Kathryn Spatz, Parks and Recreation Director

                       

SUBJECT:       Potential Savings if Town 4th of July Event Cancelled    

 

DATE:             April 24, 2002

 

This memorandum is in response to a [BWaR1] [BWaR2] Council member’s question concerning potential savings if the annual 4th of July celebration in Kenan Stadium was cancelled.

 

DISCUSSION

 

The Town has traditionally held a 4th of July event with fireworks at the University of North Carolina’s Kenan Stadium. The event has consisted of several hours of entertainment, including diverse music, children activities, and the actual fireworks show.

 

Direct costs for the 2001 4th of July celebration event totaled approximately $32,000 (excluding Town personnel costs). The expenditures fall into four categories:

 

Fireworks                                             $12,000

University Personnel Charges                $  9,500

Stage/Entertainment                              $  9,500

Publicity/Supplies/Miscellaneous           $  1,000                     

 

TOTAL                                                $32,000

 

 

Revenues that paid for the event in 2001 came from three sources:

 

Town of Chapel Hill                              $24,500                      

Corporate/private sponsorship  $  4,500

Town of Carrboro                                $  3,000

 

TOTAL                                                $32,000

 

The event has been cosponsored with the Town of Carrboro and the University. Since 1999, the University’s contribution to the event has been limited to free use of Kenan Stadium. The Town has been responsible for reimbursing the University for all personnel costs.

 

Robert Humphreys, Executive Director of the Downtown Commission, has worked to solicit sponsors for the event. Last year, two private sector sponsors, GMR Marketing and Chapel Hill Performance, contributed $3,000 and $1,500 respectively to support the event.

 

CONCLUSION

 

If the 4th of July event for 2002 was cancelled, we believe the Town would realize savings of $20,000 to $25,000.