City working with promoter to keep SnowGlobe in South Lake Tahoe

Is SnowGlobe an event that should stay in South Lake Tahoe?

The answer is "yes" according to the City Council, but exactly how the future working and financial relationships between the City and SnowGlobe will look still needs to be worked out.

Chad Donnelly, founder of SnowGlobe, made a presentation at the SLT City Council meeting Tuesday, outlining a plan to keep the annual December 29-31 music festival in the community.

Donnelly said in exchange for a long contract they will give a portion of all ticket sales to the City, not take monetary payments made annually by the City, donate proceeds back to the community, address noise and trash complaints and invest in protection for the Community Play Field, the new home of the festival.

"We've done a very good job of learning and adapting," said Donnelly. "A long term partnership allows us to further out investment. It gives us security to have a long term contract like so many other festivals."

Organizers say they expect up to 20,000 people a day at the three-day concert festival. Last year Donnelly says they came from 47 countries and from all over the United States, giving South Lake Tahoe exposure on the international tourism market.

SnowGlobe is moving their operating center from the gym at Lake Tahoe Community College (LTCC) to a large tent at Bijou Community Park across from the college.

There was some question to exactly how the festival provides $14M in economic impact to the community, a figure provided by a local company, New Economics & Advisory out of Zephyr Cove. They were hired to study the visitor nights and revenue SnowGlobe puts into the community.

They determined the average attendee spends $123 per day over the price of their admission ticket while in town. If the average daily attendance is 18,129 that is $2,229,867 per day spent on lodging, food and retail. New Economics & Advisory said festival goers contributed $400,000 in Tourist Occupancy Tax and $50,000 in sales tax last year.

But, its not all about the money.

Several complaints were made after the 2016 show as outhouses and other show equipment were left on the play field all winter since things weren't dismantled until heavy snow hit.

Donnelly said that won't happen again and things will be removed immediately.

Approximately $50,000 has been spent on public safety at the event annually, a cost that SnowGlobe will start paying for. Donnelly said they would also pay for any repairs that might be needed at the new Community Play Field. The 2017 festival will be the first year it will be held on top of a new sod.

Citing the new City Vision "Reflect the National Treasure in Which We Live," some of the council members have an issue with the noise, trash and effect on the community and trying to justify a long contract for an event that may not fit the vision.

Councilmember Jason Collin suggested performance criteria which would include sound and field impacts. Each year they would look at the performance and the contract could be terminated should criteria not be met.

"We have a bit stake in this for the community," said SLT City Manager Nancy Kerry.

Another stakeholder in the agreement and SnowGlobe is the college. LTCC would still need to be a partner with bus drop off areas and parking on the campus, but Donnelly said he met with LTCC President Jeff DeFranco to work on future plans though their Board of Trustees has not yet discussed a future with SnowGlobe. The SnowGlobe team will be back in town August 24 to go over transportation and production plans with all parties.

The current contract for the festival goes until 2018, so the proposed new contract would be for the following five years with an extension possibility of another five years. Councilmember Tom Davis said he liked community member John Cefalu's suggestion of smaller increments of time so future councils could have a say.

Donnelly also wanted to have exclusivity for all music festivals in town with his type of music, but the Council said he could have 60 days before and after SnowGlove, but not the whole year.

Kerry will take all of the input from City Council and bring back a new contract for discussion and a vote at an upcoming council meeting.