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7.a)1) Staff Report-Vinterfest Donation Guidelinesi• SCANDIA Staff Report Date of Meeting: June 16, 2015 To: City Council From: Judi Negus, Office Assistant Re: Vinterfest-Donation Guidelines Background: Parks and Recreation Committee member Borg presented at the May 19, 2015 City Council meeting the recommendation from the Committee on future Vinterfest donations made to support Lilleskogen and the Wojtowicz Skating Park: For-profit organizations: 50% of the proceeds Scandia non -profits: $200 donation (option to sell Vinterfest buttons purchased at $2 apiece for a profit) or in-kind donation valued at $200 Other non -profits: Minimum $500 donation PRC: no donation required Administrator Handt questioned the button sales idea, as various groups could each sell the buttons at a different price that they determine. Council member Ness suggested that "net proceeds" be stated in the guidelines. Mayor Simonson offered a scenario in which the organization spent all their proceeds on the event; it could happen that the city ends up with no donation. It was suggested that a minimum donation amount be written into the guidelines. Simonson recommended that the Parks and Recreation Committee continue to work on the guidelines at their June 1, 2015 meeting. Issues: What should be the donation guidelines for for-profit organizations? What should be the universal cost of a Vinterfest button? Proposal Details: At the June 1, 2015 Parks and Recreation Committee meeting, members agreed for-profit organization should donate 50% of the net proceeds or a minimum donation of $500. In addition, Committee members agreed the button sales would be set at a $2 per button donation with sales to be set at $3 per button. Fiscal Impact: Unknown at this time. Options: 1. Approve the amended guidelines for Vinterfest donations as recommended by the Parks and Recreation Committee. 2. Amend and then approve the donation guidelines as recommended by the Parks and Recreation Committee. Recommendation: Option 1