Exhibit F - Town of Cary

STAFF REPORT
Planning and Development Committee, October 17, 2013
Koka Booth Amphitheatre – Management Plan and Budget (PR14-07)
Consideration of the management plan and budget for the 2014 season for Booth Amphitheatre
Speaker: Mr. Lyman Collins
From: Doug McRainey, Director, PRCR
Prepared by: Lyman Collins, Cultural Arts Manager
Approved by: Benjamin T. Shivar, Town Manager
Approved by: Michael J. Bajorek, Assistant Town Manager
Executive Summary: Attached is SMG’s proposed Management Plan and Budget (included herein) for
the 2014 season at Koka Booth Amphitheatre. Although the Town’s fiscal budget calendar is from July to
June, the Amphitheatre budget year is November to October to more closely coincide with the
performance season. The plan includes SMG’s analysis of the current 2013 season as well as proposed
plans and budget for the upcoming 2014 season. It addresses each of the goals Council has laid out for
the facility. This staff report highlights the significant issues covered in the report and recommends
budgets for both the facility and for Public Works support and projects as well as information on the status
of several Amphitheatre initiatives. In many ways this was the most successful Amphitheatre season yet,
as budget and attendance expectations were up in almost every area. Unfortunately, the one area that
saw a decrease, promoted concerts, is the area that generates the most revenue for the facility.
Nonetheless, the facility will meet its original budget projections.
2013 Overview: Over the past several years SMG has made a concerted effort to reduce the operating
deficit for the facility. Amphitheatre staff has continued to narrow the budget deficit for the Amphitheatre
and continued to improve on its financial performance.
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2004-2009 – From 2004 to 2009 the deficit declined each year and reached its lowest level in the
2009 season at $82,212 (the approved budget subsidy that season was $222,437).
2010 – While 2010 did not match the 2009 result, the budgeted deficit had been $210,067 with
the final audited figure being $127,349.
2011 – For 2011, the budgeted deficit of $199,846 was very close to the final audited deficit of
$198,757.
2012 – For 2012, the Amphitheatre again performed significantly better than projected. The
approved deficit was $168,191 while the final audited operating deficit was $101,023.
2013 – Despite this improved performance, the management plan continued to take a
conservative approach to the potential operating deficit by projecting it at $174,488 for the 2013
season. That approach appears to be well founded as the projected deficit of $173,294 is very
close to the approved deficit of $174,488.
For the upcoming 2014 season SMG is continuing to recommend a conservative budget with an
operating subsidy of $171,242. This chart illustrates these financial trends. Note the chart includes the
SMG operating deficit along with capital expenditures and Public Works regular maintenance support and
special projects.
Amphitheatre Facility Support Summary
1,000,000
Capital
Equipment
900,000
800,000
Costs in Dollars
700,000
Public
Works
Projects
600,000
500,000
Public
Works
Support
400,000
300,000
Net SMG
Costs
200,000
100,000
0
2006
2007
2008
2009
2010
2011
2012
2013
2013
2014
Budget Estimate Budget
Amphitheatre Fiscal Year
(Covering November through October)
Staff supports this conservative approach to budgeting, because as an outdoor venue, there are a wide
range of variables that can affect the financial performance (weather, availability of touring acts, overall
economic situation, other entertainment options in the region). Given the facility’s track record, while the
actual deficit may fluctuate, SMG has demonstrated a solid track record of meeting or exceeding budget
expectations.
As noted above, 2013 is projected to meet its approved budget, though not exceeding it at the level of
2012. Several factors should be noted:
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Promoted Concerts: The 2013 season marked the fifth year that the Amphitheatre has contracted
with Outback Concerts to be the facility’s preferred promoter. The agreement called for Outback to
promote a minimum of ten concerts. That minimum was met. In a significant difference from past
years, the number of national concerts has not gone beyond Outback’s ten concert minimum. Given
that at least twelve national acts had been presented each year but one, the 2013 budget was built on
that typical pattern. Outback did pursue several other acts, but given the competition in the market,
the price for these acts rose beyond the level that Outback believed could realize a positive return.
Neither SMG nor Town staff recommended assuming the risk for additional concerts, given the high
price and the uncertainty of success.
Given that for the first time since the 2011 season, the budgeted number of twelve concerts was not
met, there was a significant impact on the budget. Promoted concerts of this type are the primary
revenue generators for the Amphitheater, this year bringing in net revenue ranging from $16,957 to
$69,547. While the Amphitheatre does not risk dollars on any of these shows and therefore cannot
lose money, the budget is predicated on a certain amount of generated revenue. Presenting two
fewer shows this season represented a loss of budgeted income of over $40,000. Even if the full
budgeted revenue had not been realized, the Amphitheatre’s financial outlook would be closer to the
years when the facility’s final subsidies were significantly less than budgeted. Interestingly, the only
other recent year where the Amphitheatre’s final budget was this close to its original budget was 2011
which was the last year when less than 12 national concerts were presented.
Despite the fewer number of concerts, this season saw a number of significant achievements in this
area. As noted in the management plan, this season saw the first sell-out since 2008 with the
Lumineers which also represents the highest grossing revenue event in the Amphitheatre’s thirteen
seasons. Also, while the number of concerts was down, the per concert attendance average was up
by 23% with a per show average revenue increase of 9%. In general there was a good variety of
artists and musical styles.
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Summerfest: Summerfest with the North Carolina Symphony is the bedrock of the Amphitheatre
season and the impetus for the facility to exist in the first place. This season marked the thirteenth
Summerfest since the facility opened and the twenty-seventh Summerfest in Cary. This year’s
Summerfest saw a significant increase in attendance, up 19% over 2012. For the second year in a
row the Amphitheatre well exceeded its budget projections for the series, 58% above budget. This is
noteworthy because the 2013 Management Plan was the first time Summerfest had been budget to
generate revenue for the Amphitheatre. Previous seasons had been budgeted to break even (2013)
or reflect a subsidy. Except for the first concert (which was extraordinarily cold such that heaters had
to be put on the stage), the weather for Summerfest was outstanding which, combined with an
increase in marketing by the Symphony, were likely contributors to the increase. Overall revenue
figures for the symphony were similar to 2012 (just over $13,000 in 2012 compared to just under
$13,000 in 2013).
Due to this positive trend, the 2014 Management Plan continues to budget for positive net revenue for
Summerfest. Earlier this summer SMG and Town staff were approached by the Symphony to
consider expanding Summerfest from its current configuration of seven concerts plus July 4th to
eleven concerts plus July 4th. SMG and Town staff are currently reviewing this concept and, with
authorization from Council, will work with the Symphony to develop a full proposal.
Conceptually, this fits well with Amphitheatre Goal 2: “Continue to offer, develop and expand
opportunities with the North Carolina Symphony.” Symphony President Sandi MacDonald believes
there is significant potential for an expanded Summerfest, generally running in the same timeframe as
it does currently (late May to early July) with additional themed programming, festival weekend
programming as well nationally known artists performing either with the Symphony or as a special
Summerfest attraction. Currently SMG has reserved dates in the Amphitheatre schedule to
accommodate this request. After further review, including financial implications, staff would bring
back any significant impacts on the Amphitheatre for final Council approval.
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Additional programming:
o SMG continued to work with a variety of local cultural arts organizations as detailed in the
Management Plan. While none of these events are budgeted to produce revenue (the
organizations make up any facility expenses that may not be covered through ticket sales), in
general these events do end up producing small revenue streams for the Amphitheatre.
o In addition SMG continued the small scale series introduced last season, the Hob Nob Jazz
Series in the spring and Pickin’ in the Pines Bluegrass Series in the fall, and both of these series
provided the opportunity to collaborate with local organizations, The Art of Cool for jazz and
Pinecone for bluegrass. Both of these series proved to be extremely popular and exceeded
budget expectation by more than 50%. This success encouraged SMG to try a mid-summer
series, Wild Card Wednesdays, which allowed the Amphitheatre audience to suggest musical
genres (beyond jazz and bluegrass) through the facility’s Facebook page. Generally, weather
was not kind to this series with rain and high temperatures keeping crowds relatively small and
the series did not cover its costs. Total attendance for all three series was 6,653 (over 12 events)
with 90% of that attendance in the spring and fall. SMG proposes continuing the spring and fall
series while re-evaluating the summer series. Staff supports this approach and if overall revenue
is strong, the third series may be tried again.
o Movies continued to be a popular program offering with the Movies by Moonlight Series coming
in somewhat short of its budget (13% under) and with an audience of almost 5,000 spread across
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10 movies. In addition SMG continued with the movie sing-a-longs, adding Grease and
presenting for a second year The Sound of Music. While Grease proved to be extremely popular
(over 2,000 in attendance and doubling its projected revenue) The Sound of Music did not meet
expectation with an audience less than 1,000 and being a net revenue drain. For next year, SMG
recommends only presenting Grease and consider rotating sing-a-longs for the future (depending
on available titles). Staff supports this approach.
Festivals also continue to be popular Amphitheatre programs. Two Town sponsored events,
Baisakhi Mela and Diwali, have proven to be popular multicultural events (budged to break even),
while three promoted festivals centered around food and drink generated over $50,000 in
revenue for the facility.
After three years of large scale Shakespearean productions, SMG recommended looking at a
smaller scale theatre event while continuing to explore larger scale productions as well. A
theatre company that specializes in dinner theatre was contracted to present an audienceinteractive dinner theatre with a murder/mystery theme. The production was designed to involve
the audience while enjoying dinner. It was presented on the mainstage which could
accommodate an audience of 120 at tables and chairs. The actors interacted with the audience
and involved them in solving the mystery. This approach has proven to be successful. The first
performance sold out quickly so a second was added which also sold out. This was a much
lower cost theatre event and has recovered its cost plus a small revenue surplus. This approach
has provided another opportunity to meet the goal of presenting theatrical performances and may
also serve as an entry point for building audiences for larger productions in the future. The 2014
Management Plan calls for continuing this approach while also exploring larger scale productions.
Staff supports this objective.
There were also other factors that should be noted for 2013 that have contributed to an overall positive
trend for the Amphitheatre:
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Concession Operations: The 2013 season marked the sixth year that Classic Sports Catering has
provided concession services to the Amphitheatre. Overall revenue from food and beverage
represents a major component of the facility revenue stream making up approximately one-third of all
revenue. As seen in the Management Plan, per capita spending continued its positive trend,
increasing in every category. Some of this increase may be due to the point of sale system that was
installed this season for food and beverages. As noted in the Management Plan there was a 15%
increase in sales. With this system in place there are no major changes anticipated in food and
beverage operations for 2014.
Rentals: Rental revenue continued to be strong and represents an on-going reliable source of
revenue. For 2013 the Amphitheatre hosted thirteen rental events bringing in over $35,000 in
revenue. In addition there were four Town of Cary event uses. Together these events brought almost
15,000 patrons to the facility.
Ancillary revenue: Ancillary income is generated from Amphitheatre services: ticket rebates, lawn
chair rentals, preferred parking, ATM service charges/merchandise and facility maintenance fees.
Income is up in every category except ATM services charges/merchandise. Changes made in both
parking operations and ticket service instituted in previous years continue to contribute to both
positive patron experiences (friendly, helpful parking attendants and lower ticketing service charges)
as well as positive revenue trends.
Sponsorship and season ticket revenue: These two revenue sources also saw increases in 2013
with sponsorship revenue up 8% and season ticket revenue up 55%.
Sound levels considerations:
The 2013 season began with renewed reports of sound concerns from neighborhoods both adjacent to
the Amphitheatre and some at a greater distance particularly early in the season in May and June. Given
that the beginning of the season neighbors have grown accustomed to no sound coming from the
Amphitheatre, it is not unexpected to have calls. Due to the nature of the calls, SMG recommended
conducting a new sound study by Jack Wrightson who had conducted the Amphitheatre’s original sound
analysis in 2003 which set the baseline sound policies as the Amphitheatre was fully implementing its
national concert programming. Noting that there were considerable concerns expressed about bass level
sound, SMG requested the sound consultant look particularly at that measuring range. Mr. Wrightson’s
report is included herein.
Over the course of the season to date, there have been eleven calls with sound complaints for five of the
nine national acts presented to date (Chris Tomlin takes place later in October). In addition, two of the
national acts, Robert Plant and Alabama Shakes, have been fined for exceeding sound levels. As noted in
the Management Plan, there were no calls during either of these concerts. Also of note, Council provided
authorization for staff to approve requests from no more than three national acts to reach sound levels of
98 dBA, above the standard 95 dBA. While it was helpful to have that degree of flexibility as promoters
looked to book concerts for the Amphitheatre, no requests were made to reach the higher dBA levels.
The sound analysis was conducted at the Robert Plant concert on July 27th, which was selected because
of Plant’s rock roots and frequent use of bass in his music. As detailed in both the Management Plan and
the sound report, there were no noticeably higher sound levels at any of the locations. Nevertheless,
given the neighborhood concerns both SMG and Town staff suggest given serious consideration to new
sound measuring methods. Sound levels may be measured using a dBA metric which primarily
measures sound at the middle range of the human ear. The dBC metric is used to measure lower
frequencies typically associated with bass heavy music, which is the type of music where the majority of
complaints have been registered this year.
There were two recommendations/options in the sound report:
1. Begin measuring the dBC sound metric and/or installing a high end house sound system and
requiring acts to play through it (which would allow limiters to be incorporated into the system).
Given the costs of an installed system (even renting), staff does not regard this option as viable.
2. Simultaneously, pay closer attention to the dBC range (Bass) may allow better methods of
controlling the areas of highest complaints. As outlined in the Management Plan, SMG proposes
continuing to use the Grozier system to measure dBA levels as currently authorized (95 dBA with
the flexibility for acts to request authorization to perform up to 98 dBA) while also renting a
second sound measuring system to monitor dBC levels within a recommended hertz range. SMG
has incorporated the costs for rental of such a system in its overall 2014 operating budget. Staff
supports this approach as providing a realistic way of both meeting performers needs while giving
a measure of control over the area of sound that seems to cause the greatest concern for the
neighborhoods. Full details are included in the sound study report.
FY14 Budget Requests
Capital Equipment: In the 2013 Management Plan there were two major capital equipment requests: a
point of sale system to support concession operations (allowing for diminished wait time for orders) and
Wi-Fi service which was need to support point of sale and also provide an enhanced patron experience.
Also SMG completed sound equipment upgrades provided for in the 2012 Management Plan bringing the
total capital equipment expenditures for 2013 to $82,084. For 2014 SMG has requested and staff is
recommending $53,500 for capital equipment as detailed below all of which are replacement requests for
items that have reached the end of their useful service:
 Movie Screen & Frame: The movie screen was last replaced in 2006 and with seven years of
constant use – taking it up and down in and outdoor setting has caused significant wear and tear.
Movies continue to be a popular programming feature. $11,000.
 Tents: Catering, guest services and food/beverage tents all are in need of replacement. The
Catering tent was replaced in 2008 with the others replaced on a piecemeal basis over the past
several years. In addition, a new sound mix tent is requested. In looking at this tent, SMG staff will
try to mitigate sight line obstruction from the Crescent. $20,000.
 Crescent Tables: Given the outdoor use and constant movement of these tables, SMG has worked
to extend the life of these tables which were last replaced in 2006. $16,500.
 Banquet Tables: Thirty tables are requested for use for festivals, sponsor displays and backstage
uses. $6,000.
Subtotal for Capital Equipment: $53,500
Operations and Maintenance Budget: Based on a review of past years operations and maintenance
costs Facilities Management recommends a budget of $198,000.
Special Projects:
 Deck Repairs: Facilities Management recommends continuing the decking repairs which began last
year. During the BY 12/13 a project to re-deck the stage area was completed. During BY13/14 we
recommend moving to the Crescent deck to begin a phased replacement starting with the stairs and
handicap access ramp. These are the most heavily worn areas and present the greatest area for
accident potential. We recommend the phased approach due to the short time periods that are
available to complete the work. $45,000
 HVAC improvements: During the past two summer seasons Facilities Management has confirmed
the presence of mold in the basement of the stage area at Booth Amphitheater. The mold issues
have been caused by an inability of the mechanical system to properly dehumidify the air. Facilities
has employed portable dehumidifiers to improve the situation but humidity continues to be a
problem. An additional issue with the existing HVAC units is location. The units are located directly
over the house audio system. During the high humidity summer season condensation drips from
these units onto the amplifier rack. Consultation with mechanical contractors indicates the best
solution to be updating and relocating the HVAC units. The new units would have reheat capability
which is a strategy we have successfully employed at other facilities. $50,000
Subtotal for Special Projects: $95,000
Future Capital Projects: There are potential capital construction needs to be considered for future years.
These items include additional space for food operations on the Crescent and building staff offices at the
Amphitheatre. Currently the administrative office for the Amphitheatre is at Herb Young Community
Center. It would provide for a more efficient operation if staff were on site and in turn potentially open up a
revenue generating area for the community center. Staff is not recommending pursuing these changes
now, but is including them in a long-term analysis of Amphitheatre operations for future consideration.
Summary: SMG’s 2014 Management Plan and Budget forecasts an operating deficit of $171,242. This
represents a conservative approach given the potential for weather impacts, the nature of next year’s
touring market, other entertainment options in the region, and other variables inherent in operating an
outdoor performing arts facility.
Fiscal Impact: SMG continues to provide the majority of staffing and other resources necessary to
program and operate the Koka Booth Amphitheatre. The “SMG Projected Deficit” itemized herein reflects
the amount that SMG costs are expected to exceed Amphitheatre revenues as outlined in the line item
SMG budget included below:
Maintenance for the facility continues to be provided by the Town of Cary's Public Works Division and has
been factored into their overall staffing levels.
2013 Season
Current FY2013
Budget
Compared to
Estimated
Results
Equals Expected
Cash Available at
Season End
SMG Projected Deficit
174,488
173,294
1,194
Public Works Support
195,644
198,220
(2,576)
Public Works Projects
409,842
335,948
73,894
Capital Equipment
83,600
82,083
1,517
Total
863,574
789,545
74,029
The 2013 season officially ends on October 31, 2013. Following all related accounting activity, the
budgeted accounts will be returned to General Fund Fund Balance. Currently this balance is expected to
be $74,029 as outlined in the table above. The return of this balance will help offset the new appropriation
being requested for the 2014 season as outlined below.
2014 Season Appropriations
Dollar Amount
SMG Projected Operating Deficit
171,242
Public Works Support
198,000
Public Works Special Projects
95,000
Capital Equipment
53,500
Total Needs for the 2014 Season
517,742
2014 Season Funding
Less remaining unspent budget authority from the Public
Works and capital equipment purchases originally planned
for the 2013 season
(74,029)
Less budgeted funds as part of FY2014 Operating Budget
effective July 1, 2013.
(455,000)
Equals the remaining General Fund Fund Balance
Appropriation to the Amphitheatre
(11,287)
While $517,742 in total is being requested to fund the 2014 season, as part of the Town of Cary's FY
2014 operating budget, $455,000 was included as an estimate of needs for the 2014 season. In addition
to the $455,000 budgeted, the Amphitheatre FY 2013 budget is estimated to come in less than budget by
$74,029 as shown in the table above. The combination of these two items results in $529,029 total
budget available for the Amphitheatre 2014 season, therefore a budget adjustment of $11,287 will be
required to return this back to the General Fund Fund Balance.
Staff Recommendations:
1. Approval of SMG’s Management Plan and Budget for the 2014 season.
2. Approve SMG’s request to continue measuring dBA levels at 95 dBA and to allow again for three
concerts to use 98 dBA as their upper sound level limits. In addition, approve SMG’s request to begin
monitoring dBC levels within the appropriate hertz ranges using a separate sound monitoring system.
3. Recognize the potential risks inherent in Amphitheatre promoted concerts and other special events
and authorize including such events as outlined in the 2014 Management Plan.
4. Authorize staff to work with the NC Symphony on plans to expand Summerfest 2014 and bring back
to Council any significant budget or programming implications to Council for final review and
approval.
5. Approval of reducing the Amphitheatre budget at October 31, 2013 for the first four months of the
Town’s fiscal year 2014 to equal Amphitheatre expenses for the same time period to the General
Fund Balance which is currently expected to be $74,029.
6. Appropriate the $74,029 from the General Fund Balance and post a budget adjustment to return
$11,287 to General Fund Balance from the respective Amphitheatre accounts necessary to execute
the 2014 season as outlined in the table above totaling $517,742. Since these numbers reflect
estimates to complete the year, staff seeks council authority to adjust these numbers to correspond
with the actual amounts remaining at the end of October 2013 related to the Amphitheatre operations.
7. Recognize a reimbursement of $293,000 from the General Fund Amphitheatre division to the General
Fund’s Facilities Management division for the 2014 season support ($198,000 support + $95,000
special projects).
10/7/2013 12:26:00 PM
Koka Booth Amphitheatre
2013-2014 Annual Management Plan
Review
(November 2012 – October 2013)
Report By Becky Colwell
SMG – General Manager – Booth Amphitheatre
October 7, 2013
Introduction:
SMG, the world leader in venue management, has partnered with the Town of Cary
and Booth Amphitheatre since the facility opened in 2001. In June of 2012, SMG
was awarded a two-year extension of the management contract for the Town of
Cary’s Booth Amphitheatre spanning years 2013 and 2014.
The Booth Amphitheatre SMG team oversees all venue bookings and operations.
SMG’s contract administrator for the venue is the Town of Cary’s Cultural Arts
Manager and together a comprehensive management plan is created each year for
the Amphitheatre.
The Amphitheatre management goals, adopted by Town Council in 2001 and
reaffirmed annually are as follows:
1. Provide performances by nationally acclaimed artists.
2. Continue to offer, develop and expand opportunities with the North Carolina Symphony
Orchestra.
3. Develop a Summer Theatre program specifically designed for the Amphitheatre.
4. Develop partnerships for performances with quality local, regional and statewide
performing arts organizations.
5. Develop festivals that provide community participation and help establish a community
identity.
6. Develop a rental program for the use of the Amphitheatre space that does not compete
with performance times.
7. Provide cooperative opportunities with the Amphitheatre “neighbors”.
8. Provide revenues that more than offset the operating costs.
In 2013 SMG made concentrated efforts to address each of these goals. This report
will address a review of the 2013 season and our plan to approach the management
goals during the 2014 season.
In reading the management plan please note that revenue numbers are “net”
revenue figures and include expenses and revenue from tickets, concessions, rent
and ancillaries. Attendance figures referenced in this report reflect both the “drop”
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and “paid” ticket counts. Drop counts assist in determining the actual number of
guests visiting the facility to include paid tickets and patrons with complimentary
tickets. The paid counts reflect only the number of tickets that have been sold for
an event. Several events may have higher ticket sales than drop counts as patrons
might purchase a ticket for an event but for some reason not attend the event.
SMG uses the drop count to account for the total annual attendance.
2013 REVIEW
Goal # 1: Provide performances by nationally acclaimed artists
SMG has had a preferred promoter-booking contract for Booth Amphitheatre since
the 2002 season. Tennessee based promoter Outback Concerts is now completing
its fifth full season with Booth Amphitheatre, and has again met their contractual
agreement of presenting a minimum of ten nationally acclaimed artists.
SMG structured the 2013 booking agreement in a manner that included Outback
Concerts assuming 100% of the financial risk on each event. A required number of
ten events are included in the contract to ensure that the Amphitheatre is active
and that the public has a variety of events to attend. Outback Concerts will incur
financial penalties of $10,000 per show if the contracted number of concerts is not
met. If Outback Concerts exceeds the contracted number of events, then the
Amphitheatre will provide a reduced rental fee and an increase in ancillary revenue
percentage back to Outback Concerts for each event beyond the contracted ten
shows.
Competition in the market has increased significantly with several area venues such
as Raleigh’s RedHat Amphitheatre, Durham’s Performing Arts Center and the
Museum of Art competing for the same or similar acts. The competition drives
talent fees up and venues are working harder than ever to entice acts to play their
venue. Elements such as talent fees, sound levels, curfews, ticketing fees, ease of
patron parking are examples of some of the factors bands consider before deciding
on what venue to play. Despite the competition, Outback was still able to confirm
solid performers however, the negotiations with acts took much longer to close than
in years past.
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SMG continued to encourage Outback to work with local promoters interested in
bringing national talent to the Amphitheatre during the 2013 event season. For a
second year, SMG and Outback worked with local non-profit Band Together to
produce and book the Lyle Lovett benefit concert. SMG also ensured that local club
promoter, The Cats Cradle, was included with Outback on two acts such as Passion
Pit and the Alabama Shakes.
In addition to promoted concerts, SMG budgeted to produce five events for the
Amphitheatre. This money is only used if our Preferred Promoter has not produced
its contracted amount of shows or if the Amphitheatre does not have enough
variety in programming. SMG chose to risk a minimal amount of this budgeted
money on the Sound of Music Sing-A-Long and Grease Sing-A-Long events and
three Wednesday night series featuring Jazz music (Hob Nob Jazz Series),
Bluegrass music (Pickin’ in the Pines) and a “fans choice” series called Wildcard
Wednesdays that showcased Blues, Salsa, Country and Reggae artists. Details on
these events have been included in addressing goals four and seven.
Despite Outback meeting their contractual number of ten concerts, SMG budgeted
for twelve national acts based on the number of concerts presented in previous
years. Regardless of the budgeted event shortfall, the ten concerts scheduled for
2013 are demonstrating a 23% increase in per show attendance and 9% increase in
revenue over shows presented during the 2012 season. Booth Amphitheatre had its
first sell-out concert featuring the Lumineers in June since the Avett Brothers
concert held in July of 2008. The Lumineers concert was also the highest revenueproducing event the venue has hosted since opening in 2001.
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2013 Nationally Acclaimed Artist Events Chart:
Goal # 2: Continue to offer, develop and expand opportunities with
the North Carolina Symphony
SMG continued to work with the North Carolina Symphony (NCS) to increase
attendance and ticket revenue for the entire Summerfest Series. The 2013
agreement between the Amphitheatre and the Symphony was designed to increase
revenue streams and decrease the financial risk for the venue associated with
producing this seven show series. The Symphony agreement provided for a
payment of $5,000 - $6,000 per show to offset Amphitheatre direct expenses
associated with presenting the Summerfest events. Two Summerfest events
reflected a co-promotional agreement with the Amphitheatre that included the
venue assisting with talent fee costs and recouping this commitment through ticket
sales. In the 2013 budget SMG recommended to budget the Symphony series to
generate $5000 based on the revenue growth recognized in the previous season.
In addition to the NCS Summerfest events in 2013, the Symphony performs for the
annual 4th of July Celebration. This event is free to the public and is sponsored by
the Town of Cary.
The chart below outlines the attendance and revenue results from each Summerfest
event. Attendance figures for the 2013 Summerfest series (excluding 4th of July)
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saw an increase in attendance figures of 19% compared to Summerfest attendance
figures in 2012. Event expenses increased slightly from 2012 so overall revenue
figures for the Summerfest Series do not reflect the growth that attendance figures
did but exceeded budget expectations.
2013 North Carolina Symphony Summerfest Event Chart:
Goal # 3: Develop a Summer Theatre program specifically designed
for the Amphitheatre
To address the goal for Theatre this season, SMG and the Town of Cary Cultural
Arts Division decided to take a different approach by producing a small intimate
show on the stage. A murder mystery dinner program called Murder-Mystery-Magic
is scheduled for the first weekend of October. Guests will be treated to a show
where they can help solve the crime all while enjoying a dinner prepared by the
venue food and beverage company. Tickets were priced at $50 and a limited
number of 120 were available for purchase. All available tickets were purchased
within two weeks of announcing the show so a second event night was added and
that too sold out.
SMG budgeted a financial loss for theatre in the 2013 budget as a reflection of
previous years performances however the murder mystery dinner theatre has
demonstrated a small budget surplus. SMG hasn’t abandoned the idea of presenting
a large-scale theatre production in the future but recommended a smaller scale
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show this season in order to have the appropriate time for planning a larger scaled
project.
2013 Theatre Chart:
Goal # 4: Develop partnerships for performances with quality local,
regional and statewide performing arts organizations
SMG continued to foster its relationships with area performing arts organizations
during the 2013 event season. Groups such as the Concert Singers of Cary,
Triangle Wind Ensemble, Triangle Youth Philharmonic, Green Hope High School and
The Cary Town Band (4th of July performance) collaborated to produce both free
and ticketed concerts. These events are in partnership with the Town’s Parks,
Recreation and Cultural Resource Department (PRCR) and are budgeted to
breakeven. They have historically generated small net revenues but in the event
they are in a loss position, the non-profit group reimburses the Amphitheatre for
expenses.
SMG continued to present additional live music events designed to fill musical
genres currently not addressed through our national act schedule. Three series
were included in the 2013 season with the Hob Nob Jazz Series, Wild Card
Wednesdays (featuring music genres requested by amphitheatre facebook fans)
and the Pickin’ In The Pines Bluegrass Series. The Hob Nob Jazz Series saw a
significant increase in revenue and attendance over its first year in 2012. The
Wildcard Wednesday series did not generate a positive revenue return this first year
and had a few nights of weather challenges. The Bluegrass Series surpassed budget
expectations.
7
Goal # 5: Develop festivals that provide community participation and
help establish a community identity
SMG continued to work with festival promoters on several community events during
the 2013 season. Festivals in 2013 include, The Chili Brew Festival, The Great
Grapes! Wine and Music Festival and the Beer-Bourbon-BBQ Festival (2 days).
These festivals are “rentals” where the Amphitheatre receives a rental fee and
expense reimbursement. Additionally, there are Town of Cary sponsored festivals to
include Basakhi Mela and Diwali where the rental fee is waived but the non-profit
groups are responsible for all event-related expenses.
The Chili Brew Festival returned to the Amphitheatre for a second year this past
spring. The festival was held in March and featured various flavors of chili, beers
8
and music. The event was another success with an attendance of 2500 for its
second year.
The Great Grapes! Wine and Music Festival featuring all North Carolina wines was
held in April 2013 and again proved to be a successful endeavor for the
Amphitheatre with 5,000 in attendance. The promoter for the Great Grapes festival
also produces the Beer–Bourbon-BBQ Festival, which realized an increased in
attendance from 2012 with 8,000 people over the course of their 2-day festival.
Basakhi Mela was presented in May for the third year by local non-profit, Punjabi
Unlimited and co-sponsored by the Town of Cary. This festival celebrates Punjabi
tradition surrounding “Harvest Time”. Attendance throughout the day was 1541 and
the event operated at a breakeven point for the amphitheatre.
The annual Diwali Festival, India’s Festival of Lights Celebration is scheduled to
return this October. The Town of Cary also co-sponsors this event and for several
years now this event has been able to produce enough revenue on its own to cover
venue expenses and generate a small positive return for the Amphitheatre.
2013 Community Festivals Chart
9
Goal # 6: Develop a rental program for the use of the Amphitheatre
space that does not compete with performance times
There are several areas of the Amphitheatre available for companies and private
citizens to rent depending on the size of the group and their needs. During the
2013 season, the Amphitheatre received several rental inquires from local
community citizens, non-profit and for-profit organizations. Rental dates are
coordinated for days when a concert or festival has not been previously confirmed.
Rental fees have remained consistent from 2012 to 2013 for both the for-profit &
non-profit bookings and fees have not increased in five years. The rental rate of the
entire venue is $5,000 (non-profit/Cary resident rate is $3,000) and the Crescent
area rental rate is $3,000 ($1500 non-profit/Cary resident rate). SMG also offers a
smaller space and rental fee for first year events or groups of 100 or less for the
Backstage Patio. The fee for this area is $1500 ($750 non-profit/Cary resident
rate).
The Town of Cary authorizes use of the Amphitheatre for groups such as the
Chamber of Commerce - Honor a Teacher program and Town of Cary events, The
Cary Road Race and Volunteer Picnic. Given the nature of these events there are no
rental fees.
10
2013 Rentals
Goal # 7: Provide cooperative opportunities with the Amphitheatre
“neighbors”
SMG continued to incorporate the Amphitheatre Advisory Committee into the 2013
season activities. This committee assists in promoting the Amphitheatre as a viable
cultural and entertainment facility to Town of Cary citizens as well as merchants,
vendors and performers.
The committee consists of six Appointed Members, six At-large members, two
venue staff members and one Committee Chairperson. The appointed member
positions include a representative from the Town of Cary Cultural Arts Committee,
Neighborhood Associations from the three residential areas surrounding the venue,
the North Carolina Symphony and Teen Council. The Town Staff include a
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representative from PRCR and the Amphitheatre General Manager. The at-large
positions are open to citizens who apply annually for committee membership. The
committee meets once a month and provides feedback to SMG and Town staff
regarding the types of events the Amphitheatre should host, ideas on how to
improve operational policies and aids in marketing events coming to the
Amphitheatre. Committee members are also active at each event by working the
Guest Services Booth and driving the Courtesy Shuttle. They are on hand to answer
patron questions about the Amphitheatre and Town. Committee members also
spearhead our lawn chair rental program, which raises money for the Parks
Recreation and Cultural Resources scholarship program.
The 2013 Amphitheatre Committee Members Include:
Sandy Bearrows – Regency Park Estates, Jim Bustrack – TOC Cultural Arts Committee, Anita
D’leagado – Regency Hills, Roy Gemberling – Lions Gate, Sue Guenther – North Carolina
Symphony, Sarah Leehr – Chair person, Jean Baxter – At Large, Shane Dunlap – At-Large,
Gary Evans– At-Large, Rob Larson – At-Large, Susan Lilly – At-Large, Lori Towner – AtLarge, Cary Teen Council Representative, Amphitheatre General Manager, Town of Cary
Cultural Arts Manager and an additional 13 people that attend meetings and serve as
volunteers.
The advisory committee also helps structure the neighbor card program that allows
residential neighbors to attend select Amphitheatre events for free or with a
discount. The card registration took place at the box office and 69 cards were
distributed to residential neighbors. The business neighbors received
complimentary tickets to movies and select Symphony events to distribute to
tenants directly.
Movies By Moonlight Series
The outdoor movie series continues to be a popular event. WakeMed is the series
sponsor for the seventh year. Movie prices are $3 with kids twelve and under free.
All patrons are allowed to bring their own picnic items and the majority of movies
are held on either Friday or Saturday nights. A portion of each paid ticket (.75
cents) supports WakeMed and its Children’s Hospital. The average nightly
attendance has been strong; however, due to inclement weather, a few movie
nights were rescheduled causing the schedule to fluctuate slightly.
12
For a third year SMG recommended presenting the Sound of Music Sing-A-Long and
for the first year, the Grease Sing-A-Long. These classic movies are featured on the
big screen with words for every song on display for the crowd to follow along. SMG
partnered with Mix 101.5 to help promote both movies and serve as the “host” for
the night. The venue drew a crowd of 1009 in attendance for Sound of Music and
2245 for Grease. The Sound of Music demonstrated a loss of ($4,040) and Grease
exceeded budget expectations with revenue of $10,920.
SMG is bringing back the fall movie festival, “A Reel-ly Scary Cary”, for a fifth year
this October. In 2012 the series attracted 1584 patrons and SMG budgeted the
series to breakeven; however, the series realized a loss of $3,688 in 2012. SMG did
recommend the series return in 2013 with a new component, a haunted trail. Items
used at the 2012 Town of Cary Haunted House will move to the Amphitheatre and
the series will include the trail and movies. The cost will be $5 for adults and
patrons can bring their own picnics. SMG has already secured one sponsor for the
series with the goal of attracting additional attendees and demonstrating a positive
revenue return. The film series will take place during the last week of October over
the course of three days.
13
Sound Levels at Amphitheatre
Given the Amphitheatre’s goal of hosting national acts (which come with amplified
sound systems), mitigating sound levels and their impact on nearby residents has
been a focus for both SMG and Town Staff. In response to concerns expressed by
residents living in the nearby neighborhoods, SMG initiated a sound study in the fall
of 2003, a re-evaluation in 2010 and again this 2013 season.
The 2010 sound evaluation recommended moving the sound level measuring unit to
100’ from the stage and shortening the 10 minute averages to 5 minute averages
and instituting a 95 dba (for five-minute averages). A recommendation for a
questionnaire SMG staff could use when speaking to callers who are making a
complaint regarding sound levels was also included. The questionnaire asks specific
detailed questions on what the callers are experiencing in their homes; for
example, do they hear more bass or are they hearing vocals. This information is
then relayed to the Venue manager and Sound Technicians.
SMG continues to send weekly updates to the three adjacent neighborhoods
informing them of event load-in times, sound checks, set-time and expected
attendance so that they will know when the Amphitheatre will be active.
As of this report date, SMG has received 11 calls from neighboring residents
regarding sound and/or curfew concerns. We received one call during the Lyle
Lovett concert, 4 calls during the Passion Pit Concert, 3 calls during the Lumineers
concert, two calls during the Hank Williams Jr. Concert and one call during Willie
Nelson. Neighbors that called in to complain stated it was the bass frequency they
were hearing.
Given the nature of these complaints, SMG recommended bringing the Sound
Consultant used in 2003 back to the venue to reassess what is now happening with
sound. The consultant evaluated the Robert Plant Concert on July 27th. Robert Plant
is known for producing a strong rock style of music and SMG believed this would be
fair concert to evaluate. The consultant visited all the neighborhoods that had called
to complain about sound during the June shows. Sound level measurements were
14
consistent with Town sound ordinances; measuring levels at the property lines and
SMG did not receive any call complaints during this concert.
The consultant offered a few suggestions to SMG that included setting limits on the
lower frequencies, dbc, verses dba or purchasing/renting a high end sound system
that the venue would require performers to use. The venue operated system could
have pre-set limiters to help control sound emanating out into the neighborhoods.
A summary of the event audio readings is listed below.
Two shows were fined for exceeding sound level averages and those included
Robert Plant and the Alabama Shakes. Interestingly, these were two shows in which
no sound complaints were received.
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Goal # 8: Provide revenues that more than offset the operating costs
Throughout its years of managing Booth Amphitheatre, SMG has continued with
several revenue-generating efforts (food & beverage sales, season tickets,
sponsorships, preferred parking fees and lawn chair rentals) to improve bottom line
results. In addition SMG has also been careful to monitor expenses and adjust as
the budget required.
The Amphitheatre season ticket program continues with the “Mini Pack” program
and VIP table options. SMG brought this offering to consumers again in the fall of
2013. The mini pack allows the patrons to pick and choose the shows they want to
attend. So as to not affect the overall attendance capacity at each show, SMG only
allows a limited number of these packages to be sold. SMG was able to again
secure sales for over 90% of these packages, however sales were slower early on
as patrons were waiting to hear confirmed concert schedule.
SMG continues to present the venue programming vision and branding
opportunities associated with the Amphitheatre by working with companies such as
Pepsi, Michelob Ultra, Lexus, Stella, Hob Nob Wine, Barefoot Wine, Tyler’s Tap
Room and WakeMed to enter into sponsorship contracts with the venue. One major
sponsor did not renew for 2013 due to company budget cuts, however new partners
such as Lexus were added. Despite this reduction, sponsorship revenues in 2013
were $103,000, an increase of 9% over 2012 sponsorships. The venue sponsorship
agreement with etix also extended into 2013 although at a much lower rate than
the first year of the agreement in 2012.
With council approval, SMG purchased a point of sale concessions system to help
generate additional food and beverage revenue. This computerized system allows
for speedier service, in particular the crescent table service, and better
accountability on inventory. SMG saw an increase of 15% in sales since bringing
this system on board. This level of increase is on track to meet last year’s
projection of meeting the cost of this system in two years.
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Additional Revenue Sources:
For the third season, SMG staff handled parking operations at the venue this season
for all events except the 4th of July. SMG hired parking staff and purchased parking
equipment during the off-season in 2011 in efforts to reduce cost expenditures in
this area at each event. The 2013 parking operations cost has again demonstrated
a savings for the venue in comparison to outsourcing this service.
Preferred Parking – SMG continued to offer a preferred parking lot located directly
outside the main entrance for patrons interested in parking up front for a fee. If
patrons want to park up front they can pay $10-15 (an increase of $5 over the
2012 fee) to do so, otherwise they can park for free in select parking lots
surrounding the Amphitheatre. Despite private parking lots adjacent to the
Amphitheatre charging additional fees to patrons parking in their lots, SMG has not
recognized a decrease in the venue operated preferred parking lot and revenue.
SMG also continued with the lawn chair rental program in 2013. The lawn chairs,
sponsored by Etix, were available at each show for a rental fee of $5. A dollar from
each rental fee is dedicated to the Parks, Recreation and Cultural Resources
scholarship fund and $955 has been recognized thus far. Revenue sources for the
Amphitheatre also stem from Etix rebates, ATM service fees, merchandise sales and
facility maintenance fees.
17
In addition to addressing each of the Amphitheatre management goals, SMG
focuses on other areas of venue operations to include venue branding, customer
service, food and beverage sales and capital improvements.
Venue Branding:
SMG continues to work with local media groups to consistently increase public
awareness of the venue and our 13 seasons in the market. Media relationships in
2013 included a partnership with WRAL-FM (Mix 101.5), Clear Channel Radio
(G105, 93.9, and 100.7), Curtis Media Group, The Independent Weekly, The Cary
News, The News & Observer, Cary Citizen.com, Movie Theatres, Twitter and Face
Book. In addition to media outlets within the Triangle, Outback Concerts utilized
several outer markets such as Wilmington, Morehead City, Greensboro, New Bern
and Winston-Salem to advertise their concerts. SMG staff members also helped
blanket the Triangle with flyers, posters and ticket promotions in an effort to
promote the Amphitheatre’s season.
The Amphitheatre e-newsletter continues to offer an extensive marketing element
for venue events. SMG staff uses this weekly e-newsletter as a tool to inform the
public of events coming to the Amphitheatre. The e-newsletter features information
on ticket prices, sponsors, Amphitheatre policies, ticket discounts, etc. Patrons find
the e-newsletter user friendly as they can click on a direct link to purchase tickets
to events. Patrons of the Amphitheatre can sign up via the website
(www.BoothAmphitheatre.com) to receive this newsletter. The Amphitheatre has
over 50,000 e-newsletter subscribers, close to 12,000 Facebook Fans and over
1500 Twitter followers. Our social media subscribers have almost doubled since the
2012 season.
Customer Service Efforts:
SMG continued to survey patrons that attend ticketed events through our on-line
surveys. These surveys are specifically designed to solicit feedback on operations of
the venue to include programming, parking, event staff, box office procedures,
sound quality, pricing, food/beverage options, etc. Response rates are affected by
demographics (age, gender, etc).
18
SMG has compiled all of the customer service feedback and made notes on the
three items we continue to be praised for and need to improve upon.
Top 3 things people like best about Booth Amphitheatre:
1. Environment and Scenery
2. Staff friendliness
3. Free Parking
Top 3 areas of improvement suggested by patrons:
1. Improve seat comfort in gold circle seating area. At some concerts patrons felt
cramped in this area and asked for cushion seats.
•
SMG is exploring the option of reconfiguring the seating area for fewer
seats to allow for more elbowroom. Other ideas include allowing patrons
to bring in their own seat cushions, selling KBA branded cushions or
investigating new chairs.
2. Better egress roadway signage
•
Visitors to the venue have suggested better signage on the exit of each
event. Patrons may come in one way to the venue at the start of the show
but may be directed out another way. SMG will work with Public Works on
how to remedy this situation.
3. Improve visibility of venue policies on the website.
•
SMG is working with web designers on better ways to display information.
We also began including pertinent information in a pre-show email to all
ticket buyers in hopes of preparing and educating them more for their
visit to the venue.
Keeping in mind the value of our guests and safety concerns remaining a top
priority, SMG elected to renew our weather monitoring service in 2013. The system
allows Amphitheatre management officials and event promoters to more accurately
determine when negative weather may impact a performance. The system provides
19
email, text messages and phone calls from meteorologists informing the venue of
area wind activity, lightning threats and rain occurring within 10 miles of the venue.
This system was a major asset during the sold-out Lumineers concert. Inclement
weather affected the venue at gate opening time and venue management elected
to postpone opening doors to the public in order to allow the storm to pass. This
was the best decision and one in which the concert fans benefited.
Food and Beverage Operations:
As in 2012, SMG contracted with locally owned Food & Beverage Operator, Classic
Sports Catering, to manage all concession operations at Booth Amphitheatre for the
2013 event season.
The Amphitheatre’s current food/beverage policy includes allowing patrons to bring
in picnics for all Symphony events, movie nights and select festivals/concerts. While
attending most concerts, patrons are not allowed to bring in their own picnics.
These food policies effect event revenue; however, SMG does not recommend that
these policies change at this time.
The food/beverage agreement with Classic Sports Catering includes the
Amphitheatre obtaining a minimum of 25% of revenue from each event.
During the event season SMG and Classic Sports Catering meet weekly to discuss
the menu offerings at the Amphitheatre. Our mutual goal is to provide a wide
variety of items, increase the points of sale and decrease the wait time so that
patrons can enjoy the main stage activity. Below is a copy of the 2013 menu at
Booth Amphitheatre that demonstrates the full use of the buildings and equipment.
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If patrons can’t find anything to their liking on the venue menu, they can still visit
our Picnic in the Park partner’s websites to pre-order a picnic dinner. These dinners
are then delivered to the venue for patrons to pick up at the event. In 2013 the
picnic-in-the-park partners included Jimmy V’s, Dickey’s BBQ, WholeFoods and
Wasabi. Gross sales from our Picnic in the Park vendors are $10,203 to date.
SMG’s Pine Needle Pub area is still a designated smoking area and Classic Sports
Catering promotes special craft beers in this area. These concession offerings
continue to add another element for our patrons to enjoy.
SMG receives a percentage of net revenue (after taxes) from both Classic Sports
Catering and 3rd party vendors (i.e. Lumpy’s Ice Cream) at each event. This chart
outlines the “per head” spending trend in food and beverage since 2011 for each
event type.
21
2011 – 2013 Per Cap Comparison Chart
Capital Equipment Expenditures
The following is a list of capital equipment items approved for SMG to purchase for
the 2013 event season.
Point of Sale Food & Beverage System – The POS item increased the speed of
service for patrons seated at the tables on the crescent as well as patrons visiting
the Cobblestone Courtyard building. The system allows the servers to take orders
at the table and send the order electronically to the kitchen quickly. SMG and our
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Food and Beverage Operator saw a 15% increase in sales with the help of the point
of sale system. Cost = $39,987
WiFi for entire Amphitheatre – WiFi was needed for the POS system to work
efficiently and various festivals request WiFi service to operate their vendor booths.
SMG partnered with local company, Celito, to install the system and they also serve
as a venue sponsor. Cost = $22,204.
Amphitheatre Sound System Items – several equipment pieces needed
replacing or refurbishing due to years of wear and tear. The sound equipment
pieces are part of the overall system servicing the Crescent and lawn seating areas.
Cost = $20,093
2013 Booth Amphitheatre Financial Overview:
The 2013 approved indirect operating expense budget was $911,098. This included
full-time employee salaries, seasonal/contracted employee wages, operations,
production services, postage, stationary, marketing, utilities, insurance, uniforms,
signage and licenses. As of September 12, 2013 the actual 2013 indirect operating
expenses are forecasted to be $843,157. SMG monitors the monthly cash flow and
expenses and reduces expenditures throughout the season when possible.
A combined effort of reducing the indirect operating expenses and maximizing
revenue streams from concerts, rentals, season tickets, sponsorships and
miscellaneous ancillary accounts has resulted in the Amphitheatre projecting an
annual attendance of 118,360 and a subsidy of ($174,294) compared to the SMG
budgeted attendance of 111, 500 and subsidy of ($174,488). An audit performed
by an independent auditor will be conducted in December of 2013 and the actual
Amphitheatre profit & loss statement will be provided to the Town of Cary at that
time.
To account for current Amphitheatre concert industry trends, the economy and
competition, SMG has developed a comprehensive plan to address each
Amphitheatre goal in 2014. The action plan is listed below.
23
2014 Booth Amphitheatre Action Plan
Goal # 1: Provide performances by nationally acclaimed artists
SMG is recommending renewing the booking agreement with concert promoter
Outback Concerts with an increased emphasis on promoting more rock/younger
demographic events and confirming events much earlier in the calendar year. The
agreement again secures a guaranteed number of events and a financial structure
that includes the Amphitheatre absorbing zero risk in producing each event.
As was the case in 2013, SMG recommends that the promoter have the flexibility to
request a sound level variance of 3 db for no more than three of its national acts.
SMG and our promoter, Outback Concerts, believe that this flexibility will allow it to
attract more diverse artists to play the Amphitheatre. Many artists accustomed to
playing at higher db’s typically attract higher attendance figures and revenue
streams for the venue. The Cultural Arts Manager for the Town would have final
approval on all db requests. This flexibility was available to Outback Concerts in
2013 and as of now it has not requested the allowance for any event.
SMG is also recommending that the Amphitheatre budget continue to include
funding to co-promote concerts/events in 2014. The goal for these budgeted events
is to further enhance the programming offered by the Amphitheatre to Town of
Cary citizens. This money will only be at risk if SMG determines the venue does not
have enough variety or number of shows scheduled for the season.
2014 Performances by Nationally Acclaimed Artist Budget:
24
Goal # 2: Continue to offer, develop and expand opportunities with
the North Carolina Symphony
SMG and the Town have been approached by the North Carolina Symphony to
increase the number of Summerfest performances. Symphony staff would like to
increase their current concert number of 8 (including July 4th) to a possible 12. This
may include a weekend of concerts or stand alone dates. SMG will evaluate the cost
benefits and programming enrichment this may provide for the venue. SMG does
recommend that the financial agreement used with the Symphony in 2013 carry
forward in 2014 as the agreement reduces financial risk for the venue. The goal for
all parties is to provide quality programming at affordable ticket prices and
operating, at minimum, a break-even point. SMG will continue to budget
conservatively with projected attendance and revenues based on 2013 numbers.
Given that the expansion of Summerfest has implications beyond the Amphitheatre,
SMG is holding the additional dates requested and will look to the Town of any
added direction related to an expanded Summerfest.
SMG recommends that $20,000 be budgeted to support the Symphony series with
enhanced marketing efforts. These added funds will assist the Symphony in
attracting a wider audience to the Summerfest Series and SMG will structure deal
points to include measures for the venue to recoup this investment.
2014 Symphony Planned Events:
Goal # 3: Develop a Summer Theatre program specifically designed
for the Amphitheatre.
SMG recommends that theatre return in 2013 with additional Murder Mystery
Dinner dates and a possible touring theatrical production. Due to the success with
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theatre in 2013, SMG recommends that the budget reflect a break-even dollar
amount for theatre in 2014.
2014 Theatrical Planned Event:
Goal # 4: Develop partnerships for performances with quality local,
regional and statewide performing arts organizations
SMG will again reach out to quality local, regional and statewide performing arts
organizations for collaborations with Booth Amphitheatre. Organizations such as the
Triangle Wind Ensemble and a new partner, the North Carolina Opera, are just
examples of the groups SMG looks forward to working with in 2014. SMG is
budgeting for these partnerships with performing arts organizations to breakeven.
SMG also recommends that the jazz and bluegrass series both return in 2014 and
will evaluate the need for the Wildcard Wednesday series.
2014 Partnerships with Performing Arts Organizations:
PROJECTED EVENTS
2014 PROJECTED
2014 PROJECTED NET
ATTENDANCE
REVENUE
3 performances
2,200 per event
$5,000 per event
TOTALS
6,600
$15,000
Goal # 5: Develop festivals that provide community participation and
help establish a community identity
SMG is recommending that a combination of festivals from outside promoters and
locally based non-profit groups return in 2014. A sampling of the events that SMG
recommends return in 2014 includes the Great Grapes Wine Festival, the Diwali
Festival, the Beer-Bourbon-BBQ Festival and a possible Beer-Bacon Festival. The
26
Town is also in conversation with Cary Community Foundation to bring back
Celebrate Cary and the Baisakhi festival.
2014 FESTIVALS:
Goal # 6: Develop a rental program for the use of the Amphitheatre
space that does not compete with performance times
SMG does not recommend changing the rental fees for Booth Amphitheatre in
2014. The venue rental packet used in 2013 worked well in explaining to potential
clients the fees for space, operations, cleaning, catering, etc. The following fees and
procedures will remain in place for 2014.
Rental Fees – The fee to rent the entire venue is $5,000 or $3,000 for
non-profits/Cary Residents; Additional smaller areas available for rent
include the Crescent at $3,000 or $1,500 for non-profits/Cary Residents
and the Backstage Patio at $1,250 or $750 for non-profits/Cary Residents.
Booking the Venue - Booking priority is given to events presented by
Booth Amphitheatre, The Town of Cary and Booth Amphitheatre’s
preferred promoter, Outback Concerts. For all other rental events, a
courtesy “hold” can be placed on dates as requested but dates will be
confirmed or contracted no sooner than outlined below:
o
Private Rentals – No sooner than 45 days in advance of event
date
o
Public Rentals – No sooner than four months in advance of event
date
o
Concession Policies – The Amphitheatre has a contracted food &
beverage operator and all catering requests are routed through
them for each event.
27
o
Costs for services such as parking, security, cleaning, etc –
These costs are based on hours required and range from $10 per
person/hour to $25 per person/hour.
o
Ticketing costs and procedures – There is no cost for using the
Amphitheatre ticketing system but there are costs associated with
printing ticket stock and the personnel required to sell tickets at
each event.
o
Marketing support available from the venue – SMG will
incorporate all public events into the general venue schedule by
including information on weekly e-blasts and
www.boothamphitheatre.com.
2014 Rentals
Goal # 7: Provide cooperative opportunities with the Amphitheatre
“neighbors”
SMG will continue to work with the Advisory Committee on exploring new events to
bring to the venue, improving customer service efforts and re-evaluating the
“Neighbor Card” program and its purpose. The amphitheatre will also strive to
include our residential and business neighbors in Amphitheatre events with either
complimentary tickets or discounted tickets.
A significant neighbor program, The Movies by Moonlight series, is recommended to
return in 2014 as it continues to be a community favorite year after year. SMG is
budgeting for 10 films again and 3 films for the “Reel-ly Scary Cary” Film series in
October 2014. SMG would also like to bring one Sing– A-Long event back to the
venue in 2014.
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2014 Movies By Moonlight:
EVENT NAME
2014 PROJECTED
2014 PROJECTED NET REVENUE
ATTENDANCE
10 Movies
500 Per Event
$750 Per Event
Scary Cary Movie Series
2,500 For Series
Breakeven
1 Sing-A-Long Event
2,500
$5,000
TOTALS
10,000
$12,500
Sound Analysis and Recommendations
In regards to neighborhood relations, there are recurring sound concerns from a
select group of neighboring residents. SMG will continue to monitor the balance
between residential neighbors and the venue activity impacts, specifically as it
relates to sound level impact. SMG has explored alternate options to reduce sound
amplifications beyond the Amphitheatre and these options include:
•
Renting a specialized sound system and encourage performers to use it
rather than their own equipment at a cost of $5,500 per week. With this
type of system SMG will have more control over the sound levels. SMG
cannot guarantee that artists would want to use a house system rather
their own specific system so recouping this rental investment is not a
given.
•
SMG is also reviewing replacement options for the current sound
monitoring device, Grozier, as that system may need upgrading over the
winter months. Rather than purchasing a new system, SMG would rent
another sound level monitoring system to use on a weekly basis at $600
per week as part the general venue-operating budget.
•
SMG is evaluating the sound consultant’s recommendation of using a dbC
weighted scale to reduce the bass levels at each show. SMG does not
recommend changing the current dbA policy of 95 at the mix position
measured in 5-minute averages but does want to evaluate the options to
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limit the bass levels that may be permeating the neighborhoods around
the Amphitheatre. Further evaluation is needed before determining what
those official limiters should be and SMG would like to confer with Town
Staff with additional options prior to the start of the 2014 event season.
SMG would also like the option to again grant a higher dbA level, with
Town staff approval, of 98 at the mix position measured in 5-minute
averages for no more than 3 concerts. Please note that this additional dbA
ability was available in the 2013 season but was not utilized.
Goal # 8: Provide revenues that more than offset the operating costs
Balancing revenue and expenses continues to be a goal for SMG while still providing
a mix of programming between national acts and community events. The
management plan for 2014, although conservative, is again designed to further
reduce expenses and increase revenue.
SMG will continue to solicit additional sponsors to help offset the venue operating
expenses. We will also continue to work with our promoters on enhancing our
affordable yet profitable season ticket program.
SMG will continue to work with ETIX as our ticketing partner as our contract spans
years 2013 – 2016. The ticketing contract provides reduced ticketing fees to our
patrons and increased revenues to the venue. SMG is pleased to keep the ticketing
business local as Etix is based in Morrisville and they have the ability to give the
venue more hands on assistance.
SMG recommends keeping the management of parking services under the SMG
umbrella of services verses outsourcing this operation to a 3rd party in 2013. SMG
has more control over parking costs and the level of customer service provided to
patrons.
SMG and Classic Sports Catering will evaluate the food and beverage operations at
the conclusion of the 2013 event season. Food and beverage revenue is a major
component of the Amphitheatre budget and requires continued close examination.
30
In planning for the 2014 indirect operating budget, SMG is including costs for venue
marking, promotions, office supplies and maintenance needs for venue signage and
operating equipment.
2014 Capital Equipment Expenditures
For the 2014 season SMG is requesting funding for a few Capital project items, to
include a new Movie Screen & Frame and replacement tents. The venue also needs
to replace the current tables used for patron seating on the Crescent. All of these
items will replace current inventory that is suffering from wear and tear.
SMG continues to analyze future capital projects that will be necessary to efficiently
operate the venue in the next five to ten years. Items under evaluation include
replacing the chairs on the crescent and conducting a thorough assessment of the
venues entire sound and light system to determine what upgrades may be
necessary. Onsite management offices are also needed at the Amphitheatre. SMG
currently operates out of offices located in the Herb Young Community Center
31
making day-to-day management of the venue a challenge so the evaluation of
onsite office space should be considered for the future.
Conclusion:
Over the course of seven months SMG is estimating that over 118,000 people will
have visited the Amphitheatre in 2013 to attend 74 events consisting of concerts,
festivals, movie nights, live theatre, non-profit fundraisers and private events.
The chart below demonstrates the trends for the Amphitheatre since 2011.
As we move into Booth Amphitheatre’s 14th year of operation, SMG continues to
share in the Town of Cary’s commitment to providing a world-class facility for its
citizens. SMG will strive to offer dynamic programming at affordable prices with
excellent customer service!
Becky Colwell
General Manager Booth Amphitheatre– SMG
32
Attachments:
2013 Summary of Usage
2014 Budgeted Income Statement
33
34
35
Wrightson, Johnson, Haddon & Williams, Inc.
Designers and Planners for Sound, Video, Multi-Media
Telecommunications, Broadcast, Theatre & Acoustics
August 6, 2013
Dallas - San Antonio - Denver
Ms. Becky Colwell
General Manager
Koka Booth Amphitheatre
8003 Regency Pkwy
Cary, NC 27518
RE:
July 20, 2013 Concert Noise level Measurements
Noise Mitigation Recommendations for Next Season
Dear Becky:
It was a pleasure to see you and the amphitheatre staff for the Robert Plant/Bombino concert on
July 20th and experience the facility again.
The goal of our trip was to explore the possible reasons for higher than normal complaint activity
from the surrounding residential neighborhoods during the Lumineers (June 13th) and Passion
Pit (June 11th) shows, with particular emphasis on low frequency energy that was reported to be
easily heard at greater distance than previously reported, based on the last 10 years of
amplified music shows.
To evaluate these concerns, the function of the existing Grozier noise level monitoring system
was reviewed, along with sound level measurements made at several neighborhood locations
during the performances to determine if there are any changes in the amphitheatre environs,
concert production or noise level monitoring that would account for the reported differences.
Grozier System
There are two sound level monitoring systems at the facility. The primary system measures and
monitors sound levels at the front of house (FOH) sound system sound mixing position and at
the lakeside. The mix position values are used to determine if the performance is compliant
with the contractual noise level limits. The second system is located in the pavilion building and
was intended to monitor sound levels at the crescent. It is currently not routinely used for shows
(it was turned off at the start of my visit, and is currently not fully operational) and is not used to
determine compliance.
The levels recorded by the FOH Grozier system were compared against the calibrated, WJHW
Type 1 sound level meter and were found to be the same. This means that there are no
problems with the system that would allow performers to play more loudly than expected,
leading to complaints.
Neighborhood Sound Level Measurements
Sound level measurements were made in nine residential neighborhood locations during the
concert. The locations were selected based on historical areas of known sound impact as well
as compliant locations reported during the Lumineers and Passion Pit shows.
The locations and measured sound levels were as follows
4801 Spring Valley Road, Suite 113 Dallas TX 75244
972.934.3700 voice
972.934.3720 fax
October 7, 2013
Page 2 of 5
Octave Bands
Location
Lionsgate and
Woodglen
dBA
117 Tercel Circle
2 kHz
4 kHz
57.4
59.9
56.6
55.9
47.1
40.6
38.6
Concert sound clearly audible, prominent low frequency sound
35.4
52.8
53.9
67.9
63.8
65.8
56.6
46.5
44.5
Concert sound below ambient noise levels, clearly audible
42.4
39.5
55.5
60.3
58.5
53.8
47.7
44.9
42.9
47.7
Concert sound barely audible/not audible, below high ambient noise levels
50.4
108 Lochmere
57.9
61.7
59.8
54.6
51.2
43.8
39.8
50
Concert Sound barely audible, below ambient noise level, fireworks in the neighborhood
52.9
106 East Wind
50.7
Audubon Park
Apartments
dBC
63 Hz
125 Hz
250 Hz
500 Hz
1 kHz
54.8
56.0
52.4
46
39.3
42.4
41.9
48.9
Concert sound clearly audible, can hear crowd, low frequency not dominant
204 Lakewood
West
58.8
57.5
48.6
46.1
39.4
32.2
32.6
Concert Sound barely audible, below ambient noise level
52.4
55.4
102 Shadowbend
58.5
58.0
52.1
47.9
39.9
33.9
32.4
Barely audible, no low frequency heard, below ambient noise level
51.9
55.1
105 Thornewood
59
60.1
55
53.2
44.8
41
43.4
Barely audible, some low frequency heard, below ambient noise level
52.1
56
201 Ronaldsby at
Kinnard
Mix Robert Plant
Last Song
Mix Robert Plant
Encore
54.2
57.8
53.6
52.5
Not Audible
46.6
42.9
44.4
47
50.6
95.9
101.0
97.1
92.7
92.3
94.4
92.2
85.6
83.7
91.8
98.3
95
91.4
89.9
89.9
87.6
83.1
78.6
As can be seen, none of the neighborhood sound levels measured were in excess of the City
noise limit of 60 dBA. In all but one location, the general neighborhood ambient sound levels,
due to roadway traffic, air conditioners, night noises/insects, pets, etc. were higher than the
concert sound. The sound levels recorded are primarily due to the normal neighborhoods
sounds, not the concert. In cases where the concert could be heard, the ability to clearly detect
audibility of the concert is due to the very different character of the music, in comparison with
the typical, every day neighborhood activity sounds.
Obviously, the level and nature of the concert sound heard in any location will be different at
different times during any concert and the levels reported above can be considered as
“snapshots” of the levels at that particular point in time. During the course of a concert, with
quieter and louder songs, intermissions, set changes, etc, the audibility at any one location will
vary.
We also did not notice any particular or unexpected low frequency sound from the concert in the
residential areas. Our conclusion from these measurements is that there were no sound system
Wrightson, Johnson, Haddon & Williams, Inc.
Designers and Planners for Sound, Video, Multi-Media,
Telecommunication, Broadcast, Theatre & Acoustics
October 7, 2013
Page 3 of 5
or environmental factors that would emphasize low frequency sound propagation into the
residential areas.
Differences between the June Concerts, Past Performances and Robert Plant
The mix position sound level measurements for Robert Plant indicate a relatively “flat” frequency
spectrum at the low frequencies. The measured octave band levels are very similar from the 63
Hz through the 250 Hz bands. For this reason, the concert cannot considered to be particularly
“bass heavy” by current standards. In recent years, perhaps due to the influence of rap and
dance music, as well as changing tastes, low frequency concert sound levels have increased
relative higher musical frequencies. It is not uncommon for concert sound systems to be set up
to produce levels that are 6-12 dB higher in the low frequencies (below 200 Hz) than the rest of
the spectrum.
The City noise regulations determining compliance based on the dBA sound level metric. “A”
weighting, is intended to simulate the frequency response of the human ear at moderate sound
levels and is the predominant metric for measurement of community noise worldwide. As dBA
is used by the City to determine compliance for sound level in the community, the amphitheatre
has adopted dBA to set contractual limits for performers sound levels.
As the dBA sound level measurement discounts lower frequencies in the weighting scheme, it is
possible, with some music with very low frequency content, for the low frequency energy level to
increase more than is recognized by the measured dBA value. This is normally not the case, as
the 250 Hz octave band usually dictates the overall dBA value, however when there are
extremely high levels of sound below 100 Hz, the disparity can occur. As noted during the
Robert Plant performance, this was not the case. This may have been the case for the Passion
Pit concert. Some low frequency speaker arrays will exhibit different radiation patterns,
resulting in different sound propagation characteristics over distance, which may account for the
differences in bass energy heard as the sound system changes for different acts.
Another factor that may have been important in the complaints received during the Lumineers
show (a band that is not known for extreme low frequency content in its music) was the weather
on June 13th.
A severe storm caused a delay in the concert, and aftermath of the storm may have resulted in
unusual weather pattern that caused sound to travel farther from the amphitheatre than it does
in more typical summer conditions. Of particular interest is the possibility that different
temperature air masses resulted in an inversion condition, where cold air displaces warmer air,
creating a temperature differential at a relatively low elevation. These conditions are known to
result in enhanced noise propagation and, along with changed wind directions, may have
contributed to the reports of the concert being louder than normal in neighbor hoods to the east
of the facility. Weather records from the airport indicate that the winds were predominately
from the west, at low enough velocities to support an inversion condition.
Potential, Additional Noise Mitigation Measures
There always a balance between sound levels at amplified music concerts and community
impact. It appears that the amphitheatre, in a collaboration among the City, SMG, promoters
and performers, has done a good job over the last many years in maintaining that balance.
Recently there have been complaints of unusually high noise levels, particularly bass (low
frequency) sounds, even thought the 95 dBA mix position noise level limit was, for the most
part, observed.
Wrightson, Johnson, Haddon & Williams, Inc.
Designers and Planners for Sound, Video, Multi-Media,
Telecommunication, Broadcast, Theatre & Acoustics
October 7, 2013
Page 4 of 5
As noted above, significant differences in the propagation of low frequency energy into the
neighborhoods to the east of the facility are likely due to a combination of the particular sound
system configuration employed, high levels of bass energy in the music or, in the case of June
13th, weather conditions.
The measurements at the Robert Plant concert, under more normal weather conditions, a
conventional sound system subwoofer array (left right cabinets placed on the stage under the
main line array speakers) did not result in high community low frequency sound levels, despite
mix position, dBA sound levels very similar to the Passion Pit and Lumineers shows.
This data, along with the musical genres of the three sample concerts indicates that a
combination of high bass music and weather conditions were likely the cause of the complaints
fielded in June and result in these recommendations:

Weather – The conditions of June 13th were extraordinary and not representative of
typical summer evening patterns in Cary. If the Lumineers were to play the
amphitheatre again this summer, we would not expect the same level of complaints,
particularly in regards to bass impact. Our hope that the confluence of the extreme
weather and the concert is a one-time event, but it could happen again.

Bass Heavy Music – There are two ways to address the a change in popular music
style to a higher energy bass sound:
o
Change the contractual sound level limit for performers to a dBC, rather than
dBA value. The “C” weighting is well understood and a feature of most sound
level meters, including inexpensive or smart phone/tablet based measurement
system used by touring sound technicians. dBC does not filter out low
frequencies nearly to the extent of the A weighting and is therefore more
numerically sensitive to very low frequency sounds. For pop music, the
difference between dBA and dBC values is typically in the 7-10 dB range, for
very bass heavy music, this difference can be well over 10 dB. Based on the
measurement data above, a change in the mix position sound level limit to 100
dBC rather than the current 95 dBA, would result in low frequency levels about
the same as experienced during the Robert Plant show, which resulted in no
complaints that night. Additionally, the numerical increase to 100 dBC rather
than 95 dBA would be received well by many promoters and managers.
Experienced mix engineers will well understand the difference between the A and
C weightings and know what will need to be done to maintain the contractually
obligated levels.
o
Installation of a house sound system. This would be a very high quality,
performer approved (“rider friendly”) sound system using well accepted
components. Typically such as system is leased for the season, rather than
purchased. The advantage of the house system is twofold. First it would include
a flown, dedicated subwoofer array that was configured to direct bass energy
down, into the mix position and audience, limiting propagation to the
neighborhoods. This would allow for higher bass sound levels for the audience,
while not increasing levels in the neighborhoods. The second virtue of the house
system is that it would be a constant throughout the concert season, and the
variable of different systems, either as one nigh rentals, or provided by the
performer can be eliminated from the community noise calculation.
Wrightson, Johnson, Haddon & Williams, Inc.
Designers and Planners for Sound, Video, Multi-Media,
Telecommunication, Broadcast, Theatre & Acoustics
October 7, 2013
Page 5 of 5
It is also possible that a combination of these measures may prove to be effective. Based on
the assumption that there are not any further concerts in the 2013 season that lead to unusual
complaint activity or reports of extraordinary base sounds in the residential neighborhoods, our
recommendation would be to make the change from sound level enforcement at the mix
position to 100 dBC rather than 95 dBA weighting, with both values reported for the 5 minute
Leq averages. This should be a relatively simple programming change in the Grozier system. If
Grozier remains unresponsive to your service requests, it should be possible to make the
weighting value modifications within the Grozier software or transition to a different computer
based monitoring system. We would be happy to assist finding resources should you be
unsuccessful with Grozier.
I trust that this analysis and measurement data is of use. Please don’t hesitate to call should
you have any questions or need additional information.
Sincerely,
Wrightson, Johnson, Haddon & Williams, Inc.
Jack Wrightson
Principal
Wrightson, Johnson, Haddon & Williams, Inc.
Designers and Planners for Sound, Video, Multi-Media,
Telecommunication, Broadcast, Theatre & Acoustics