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BACKGROUND At the April 21, 2009 City Council meeting, the San Jose Arena Management (SJAM) proposed to operate an outdoor ice rink during the holiday season for a period of five years beginning in 2009. With the nearest holiday ice rinks located in Walnut Creek, San Jose and San Francisco; the goal of the program was to establish an ice rink in Pleasanton that would provide an additional recreational opportunity and seasonal attraction. Recognizing that an outdoor holiday ice rink could also provide a significant economic stimulus to the City by attracting an estimated 20,000 — 30,000 visitors to the downtown area; the City Council approved the agreement to operate an outdoor holiday ice rink. To implement the program, the parties entered into a five year license agreement whereby the City would provide a location in the downtown area and the necessary infrastructure for SJAM to operate the ice rink. Under the terms of the agreement the City assumes responsibility for securing a suitable site which is made available to SJAM for a cost of $1 per season. In addition, the City has a number of responsibilities including the cost of providing security personnel during non - operational hours, providing storage for equipment, marketing support, providing parking, and the purchase of sponsorships. SJAM's responsibilities include installing and operating the rink, providing equipment necessary for its operation, setting and collecting admission prices and other matters related to rink operations. A copy of the license agreement is included as Attachment A. Prior to its opening, the ice skating classes offered by the Parks and Community Services Department were typically sold out. Waiting lists were established for almost all of the Saturday morning youth classes, while classes offered during the weekdays realized a close second. Group sales were also popular; however general "drop -in" participation was not as successful as originally anticipated. As mentioned earlier, it was hoped that the ice rink would attract between 20,000 — 30,000 visitors during the holiday season. Unfortunately, ticket sales and class attendance totaled approximately 10,000 individuals during the six -week operational season. While there are most likely many reasons why attendance did no meet targets, a combination of warmer than anticipated weather, heavy and numerous rains, and the location off the "beaten path" of Main Street, certainly impacted attendance. During this period, staff received numerous phone calls and e-mails that were overwhelmingly positive. Residents and visitors alike were attracted to the uniqueness of the ice rink and the charm of the City's downtown area. The City did receive participant input that the location of the ice rink in the Library parking lot was less than desirable. It was felt that it negatively impacted the patrons of Library, and in addition, failed to maximize the potential for economic stimulus to the downtown area. Page 2 of 3