Proposed: no free Rentals, city says
LISA HOBBS - News Editor
Waiving rental fees has cost McMinnville Parks and Recreation Department almost $13,000 last year.
That financial loss was given to Parks and Recreation Committee members on Tuesday night by Director Justin Scott, who presented them with a new rental policy that provided a 25 percent discount to nonprofits and governmental entities.
“What you have in front of you is a municipal rental policy,” said Scott. “What’s recommended is a 25-percent discount, from the standard rate, for qualified nonprofit organizations and government entities. We had five events last year. Five great events, by the way. What this would do is allow us to recoup and regain some of the financial loss that we’ve to set up and break down and just the shutdown of our facility.”
Proposed rental rate: standard rate is $80 an hour for the arena (lower level), while the discounted rate would be $60 an hour; standard rate is $60 an hour for balconies (upper level), while the discounted rate would be $45 an hour; standard rate is $105 an hour for both levels (full facility), while the discount would be $79 an hour.
Flat rates are charged for the following: labor and materials $1,500, discount would be $1,125; stage setup and breakdown $100, discount would be $75; Booth marking costs $500, discount would be $375; Audio rental is $150 per event, discount would be $113 per event.
Requests for free use are a common occurrence.
“Because there have been requests for free use, you are saying you want us to say, ‘no more free use,’ but we will do a reduced rate,” said Alderman Kara Youngblood.
Scott replied, “That’s what I’m asking. I did put in here that it’s nonnegotiable, but if there is to be an exception, it needs to come before you for that rate, if there are circumstances that cannot be met.”
City Administrator Nolan Ming stated, “Just for clarification, the requests would not come before this board. Requests would be approved by staff, administratively.”
“I would say you have significant costs. If we waive the fees completely, you’re taking a really big hit. How much do you think,” asked Youngblood.
Scott stated that the city lost almost $13,000 last year waiving fees for events.
“Say you have an event on a Saturday, how many days ahead of time do you take that floor,” asked Alderman Rachel Kirby.
Scott used the craft fair as an example, “The craft fair moves in on Wednesday. We start tarping on Monday, because we have to booth mark before all of them move in. So, it takes us two days to set up the lower and upper levels.”
McMinnville Special Games, says Scott, is a one-day event. However, it requires three days: one day for the event, one day to set up and one day to tear down.
“So, you have additional loss of revenue based off those days, as well, which is not part of your calculation, I assume,” said Youngblood.
Scott replied that it is not and that it is difficult to quantify how much customer revenue is lost due to those events.
“Just to be clear, there will be no more free rentals,” said Alderman Steve Harvey.
Scott replied, “Yes, sir.”
“It just comes to you all and that’s it,” said Harvey.
Scott replied, “Yes, at a discounted rate.”
During this meeting, committee members also considered a proposal by Scott to eliminate a pavilion and room rental deposit: $25. Big events pay a $500 refundable deposit. Smaller events are charged a $25 refundable deposit. The money is held until after the event. If there is no damage, the deposit is refunded.
“Have there been times when you’ve found damage and needed to keep the $25,” asking Deitra Dunlap.
Scott replied, “We’ve been back in the facility since 2021. We’ve used it twice. Two times. What happens after the rental, we have a facility attendant or a nighttime supervisor who goes into the room and checks just to make sure that everything is back to the way it should be.”
Financial liability would still be placed on the person or persons who rented the space, if damage is caused.
Committee members, Aldermen Youngblood, Harvey and Dunlap, voted unanimously to approve both requests.
The measures will be presented to the Board of Mayor and Aldermen for its consideration.