Five Flags Civic Center Management Services - Negotiating with Global Spectrum, L.P. d/b/a OVGCity of Dubuque
City Council
CONSENT ITEMS # 15.
Copyrighted
April 7, 2025
ITEM TITLE: Five Flags Civic Center Management Services - Negotiating
with Global Spectrum, L.P. d/b/a OVG
SUMMARY: City Manager sharing information on the negotiations of an
agreement for management services for Five Flags Civic
Center (FF) between the City of Dubuque and Global
Spectrum, L.P. d/b/a OVG (Oak View Group).
SUGGUESTED Receive and File
DISPOSITION:
ATTACHMENTS:
1. MVM Memo
2. Staff Memo
Page 203 of 386
THE CITY OF
DUB E
Masterpiece on the Mississippi
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
Dubuque
AIFAWIN CRY
2007-2012.2013
2017*2019
SUBJECT: Five Flags Civic Center Management Services - Negotiating with Global
Spectrum, L.P. d/b/a OVG
DATE: April 2, 2025
Parks and Recreation Director Marie Ware is sharing information on the negotiations of
an agreement for management services for Five Flags Civic Center (FF) between the
City of Dubuque and Global Spectrum, L.P. d/b/a OVG (Oak View Group).
k�4S4-�5n'-
MicKael C. Van Milligen
MCVM:as/sv
Attachment
M. Crenna Brumwell, City Attorney
Cori Burbach, Assistant City Manager
Marie Ware, Parks and Recreation Director
Jason Lehman, Assistant City Attorney
Dawn March, Purchasing and Safety Coordinator
Keith Rahe, Travel Dubuque
Julie Kronlage, Travel Dubuque
Jared Charland, Project and Facilities Manager
Page 204 of 386
THE CF
DUIj___B E-E
Masterpiece on the Mississippi
TO: Michael C. Van Milligen, City Manager
FROM: Marie L. Ware, Parks and Recreation Director
Dubuque
All•Aueft C14
.WiI1CN1L1 NM_'.11.4J.F
2007-2012.2013
2017*2019
SUBJECT: Five Flags Civic Center Management Services - Negotiating with Global
Spectrum, L.P. d/b/a OVG
DATE: April 2, 2025
INTRODUCTION
The purpose of this memo is inform City Council of the City Manager's approval for staff
to negotiate an agreement for management services for Five Flags Civic Center (FF)
between the City of Dubuque and Global Spectrum, L.P. d/b/a OVG (Oak View Group).
BACKGROUND
At its opening FF in 1979 was a city managed facility. In August 2003, an analysis of FF
took place to determine what could be done to hold the line on expenses or reduce the
property tax supporting that operation. After weighing the advantages and
disadvantages of all options considered, the City contracted SMG (now ASM Global) in
April 2004 to privately manage FF. The current management agreement ends June 30,
2025. The entire FF facility, which includes the theater, is owned by the City of
Dubuque.
An RFP for operations management services was developed to solicit competitive
sealed proposals from qualified professional management firms capable of providing a
full range of comprehensive management services for FF with a well -proven track
record of services consistent with generally accepted operation of a civic/events center
and historic theater. The City sought a professional, financially sound company and
team to operate, market, and manage the FF under contract agreement with the City. In
2023, the city issued an RFP for operations management services for Grand River
Center (GRC) after 20 years of a management agreement with the same firm as well.
The RFP Committee consisted of the following members:
Marie Ware, Parks and Recreation Director
Jared Charland, Project and Facilities Manager
Cori Burbach, Assistant City Manager
Jason Lehman, Assistant City Attorney
Dawn March, Purchasing and Safety Coordinator
Page 205 of 386
Keith Rahe, Travel Dubuque
Julie Kronlage, Travel Dubuque
A timeframe was established that had a timeframe for interviews through negotiations
from February to April of 2025 and City Council approval at their April 21, 2025 meeting.
DISCUSSION
The RFP contained the city's identified operational goals and objectives for FF and the
scope of operational management services. The proposal required submittals including
firm qualifications, profile of the firm, current and former management contracts/
agreements, management plan, marketing plan philosophy, operations plan, transition
plan (if applicable), financial plan, compensation proposal, and more. The RFP outlined
the evaluation and selection process.
The RFP outlined the step-by-step procedures the City would use throughout the RFP
process.
• During the time from proposal release to proposals due, a non -mandatory
proposal conference was held at FF. During this conference attendees were
taken on a tour of the facility, could see any space within FF they wished to see,
and were able to ask any questions they had regarding the facility.
• The RFP Committee was provided with the proposals and each member scored
each proposal individually, with no conversation or contact with other committee
members, using initial evaluation criteria contained in the RFP. The committee
then came together and shared scores, and a discussion was held on each
proposal. Per City policy, the initial review was completed without seeing any
information related to the financials or compensation parts of the proposals.
• Interviews/presentations were scheduled with the two firms that submitted
proposals. The interviews were held, and the committee discussed and
evaluated the interviews, presentations, and proposals provided by each firm.
• Upon completion of these steps, the RFP Committee recommended one firm to
the City Manager based upon the outcome of all the steps listed above. It was
requested the authority to negotiate with the recommended firm a final scope of
services, fees, and financial arrangements that was approved by the City
Manager. This step was outlined in the City Council approved RFP. Pages 20-21
of the RFP outlines more details related to negotiations.
• The final negotiated agreement will be brought forward for City Council approval
at one of the two April City Council meetings.
Two firms submitted proposals. Those firms, in alphabetical order, were Global
Spectrum L.P. d/b/a OVG and VenuWorks Inc. The RFP Committee was unanimous in
their recommended top -scored firm at every step of the process outlined above. The
top -scored firm was OVG.
2
Page 206 of 386
The City retained the services of CSL International to assist with a third -party review of
the proposals, including the financial plans and compensation proposals, as well as
assist with the negotiation process. CSL performed this service for Grand River Center
management operations services review and negotiations as well as numerous cities
across the country. Their expertise and insights for the Grand River Center selection
and negotiation process will continue to assist with Five Flags management operations
services in the same way. CSL concurred with the committee's ranking and rationale of
recommending OVG.
The unanimous, highest ranked firm chosen based upon all aspects of the RFP and
meeting the City's goals and objectives is OVG. The strategy that OVG presented
included the following:
• Strategic booking and scheduling combined with a marketing event strategy and
concert routing in partnership with Live Nation Global Touring as well as sixteen
other regional and national promoters plus many prominent family show promoters
and producers
• Aggressive approach to sales and marketing including a refresh/rebrand
• Revenue generation through diverse event programming, modern marketing, and
sponsorship and naming opportunities
• Unified venue strategy for operations of Grand River Center and Five Flags
• Partnership -driven approach locally and regionally
• Excellence in transition
• Commitment to diversity, equity, and inclusion
OVG is a full -service venue management and hospitality company. OVG has a venue
management and booking portfolio of 240 venues, including 48 performing arts centers
and 70 arenas, with most of their clients being public entities including cities, counties,
and states. OVG began management of Grand River Center in April of 2023. In Iowa,
OVG has management agreements with the following arenas and theaters:
• Xtream Arena, Green State Family Recreational Fieldhouse, and Coral Ridge
Mall Ice Arena in Coralville, Iowa
• Wells Fargo Arena, Hy-Vee Hall at the Iowa Events Center, and Community
Choice Credit Union Convention Center in Des Moines
• Tyson Events Center, Orpheum Theatre, Seaboard Triumph Foods Expo Center,
Sioux City Convention Center, and IBP Ice Center in Sioux City.
They also manage the Five Sullivan Brothers Convention Center in Waterloo.
The comparable facilities provided in the RFP and discussed in the presentations
included the Tyson Events Center and Orpheum Theatre in Sioux City, Ralston
Complex in Ralston, NE, Atlantic City Convention Center and Jim Whelan Boardwalk
Hall in Atlantic City, NJ. Additional relevant facilities provided that had transitioned in the
last 2-5 years were Ralph Engelstad Arena in Thief River Falls, MN, American Bank
Center in Corpus Christi, TX and Tyson Events Center and Orpheum Theater in Sioux
3
Page 207 of 386
City. Successes in their management of these facilities showed their understanding of
the goals the City of Dubuque sought to achieve for management services for Five
Flags.
OVG proposed a unified venue strategy for operations of Grand River Center and Five
Flags through a unified sales and booking strategy, cross -venue staffing efficiencies,
leveraging regional markets for event attraction, creative programming opportunities,
and collaborative marketing approach. They identified operational efficiencies and cost
saving through shared resources across the venues, strategic event scheduling,
maximizing economic impact. This will mean diverse events to achieve greater
economic impact for Dubuque, opportunities for local, business, hospitality, and tourism,
and increased utilization of both venues for youth and community programming.
OVG has proven management excellence of Grand River Center since April of 2023.
The GRC team has streamlined sales and marketing efforts, secured a wider variety of
events and successfully collaborated with Travel Dubuque, local businesses, and civic
organizations to strengthen the Center's role as a key economic driver in Dubuque.
Scope, goals, and objectives established in the RFP for management operations
services for GRC are being met and exceeded by OVG.
A recent success that positively affected FF was OVG staff's recruitment of a girls'
volleyball tournament to GRC. When the tournament filled the GRC facility, they were
then able to book FF for additional games, and it then overflowed into other regional
facilities. The tournament organizers now wish to book two weekends for this volleyball
tournament next year. This tournament positively affected not just the two facilities but
filled hotels and restaurants on that weekend. This synergy can be repeated more in
the future.
High -quality, diverse entertainment is a staple of Five Flags. OVG proposed a strategic,
proactive approach to talent acquisition. Their network of connections at local, regional,
and national levels is broad due to the extent of the facilities that they manage as well
as relationships built with artists, event promoters, event organizers, and more. This
entertainment mix also includes working locally on community -centered programming
as well as private events.
Making an event successful and memorable requires a creative approach to break
through the advertising clutter. OVG focused on creation of a customized sales and
marketing campaign around Five Flags as an entertainment destination using new
strategies.
OVG laid out the best proposal for an operations and maintenance plan which protects
the building as an asset of the city. This ranged from a commitment to exceed industry
standards for custodial services to a detailed preventative and predictive maintenance
to safety training for employees.
0
Page 208 of 386
OVG's emphasis on working with local and regional organizations showed how they
would create, rejuvenate, and re -envision Five Flags operations. This included working
with Travel Dubuque, the Dubuque Area Chamber of Commerce, and others, as well as
working with the local arts community, local businesses, and more. Their plan included
creating self/co-promoted events, of which they provided some great examples they are
currently doing in communities across the country and have established at Grand River
Center.
An extremely important aspect of the proposals is the transition plan. OVG laid out a
clear pathway for the transition of one management company to another. All the current
ASM Global staff will be invited into the transition processes. Beginning this process as
soon as possible assists with the smooth transition from one management firm to
another. OVG has a dedicated team of 20+ functional areas (HR, finance and
administration, payroll, marketing and PR, events, operations, etc.). They will work on
our behalf and with us to make a smooth transition on July 1, 2025, at 12:01 a.m.
ACTION REQUESTED
This memo is for informational purposes only.
cc: Crenna Brumwell, City Attorney
Jason Lehman, Assistant City Attorney
Cori Burbach, Assistant City Manager
Dawn March, Purchasing and Safety Coordinator
Keith Rahe, Travel Dubuque
Julie Kronlage, Travel Dubuque
Jared Charland, Project and Facilities Manager
Page 209 of 386