Agenda Memo

City of Boulder City Council Agenda Item Meeting Date: January 8, 2026 Agenda Title Consideration of a motion to approve and authorize the city manager to sign the Governing Festival and City Services Agreement between the City of Boulder and The Sundance Institute and the City of Boulder Central Area General Improvement District (“Agreement“), in substantially the same form attached to this Memorandum as Attachment A, and to authorize the city manager to negotiate any amendments to the Agreement, including, but not limited to the addition of supplemental plans, exhibits, and any necessary documents to effectuate the Agreement

Staff Contact • • • • •

Nuria Rivera-Vandermyde, City Manager Teresa Tate, City Attorney Chris Meschuk, Deputy City Manager Cris Jones, Director of Strategic Partnerships Sarah Gieger, Senior Counsel

Draft Motion Language Staff requests council consideration of this matter and action in the form of the following motion: Motion to approve and authorize the city manager to sign the Governing Festival and City Services Agreement between the City of Boulder and The Sundance Institute and the City of Boulder Central Area General Improvement District (“Agreement”), in substantially the same form attached to this Memorandum as Attachment A, and to

authorize the city manager to negotiate any amendments to the Agreement, including, but not limited to the addition of supplemental plans, exhibits, and to execute any necessary documents to effectuate the Agreement.

Executive Summary The purpose of this item is for City Council to review and direct the city manager to sign the governing agreement that outlines the incentives the City and the Downtown Commercial District (CAGID) have committed to the Sundance Institute, as well as logistics for hosting the Sundance Film Festival from 2027 to 2036. The City of Boulder, Visit Boulder, the Boulder Chamber, University of Colorado Boulder and the State of Colorado coordinated and collaborated on a competitive bid to become the next host of the Sundance Fim Festival. It was announced on March 27, 2025, that Boulder was selected as the new home to the festival, beginning in 2027. The governing agreement, included in Attachment A, will serve as the framework for festival operations in the city, and the city’s commitments to support the Festival. The agreement includes: • • •

•

• •

A term to hold the 2027 to 2036 Sundance Film Festivals in Boulder An agreement to lease CAGID-owned office space to the institute for Sundance Institute offices. Festival operations details: o The process for developing annual supplemental plans for each year’s Festival details. o How the use areas and use periods will be identified and the usage types o Information relating to city issued permits and licenses for the Festival City Financial Commitments: o City to provide free local transit access to Festival attendees on the Hop bus route, as well as 5,000 shared ebike passes each year (up to $355,000 annually) o City to assign renewable energy credits to offset Festival emissions (up to $150,000 annually) o Staff assistance with Festival permitting (up to $75,000 annually) o Public Safety staffing contribution (up to $200,000 annually) o Streetlight banners and signage (up to $100,000 annually) Traffic, parking and transportation planning, coordination and impact mitigation Sundance Institute Commitments o Boulder as the center of Festival operations

•

•

o Colorado local ticket sales o Boulder promotion o Annual community impact report City Revenue Sharing, Rebates and Credits o Shared parking revenue for 1,000 parking spaces in downtown garages (up to $500,000 annually) o Festival-related permit fee rebates (up to $200,000 annually) o Accommodations Tax rebate for incremental tax collections above the 2025 baseline revenue (up to $250,000 annually) Insurance requirements and other contractual terms.

The financial contributions are primarily in the form of rebates based on additional economic generation, as well as rebates and assistance typical of other city-supported special events and festivals in the city.

Council Action Options Option

Outcome

Approve motion language as drafted

If the motion is approved the city manager will complete and sign the agreement and future amendments to support the Festival.

Define and adopt a modified motion

Council would need to define any modifications or amendments to the draft motion language. This will likely require staff to bring back an amended version of the agreement.

Deny the motion or take no action

If this motion is denied staff will need direction from council on desired amendments.

Refer back to staff

If council refers this item back to staff, direction on the revisions necessary prior to a decision will be needed.

Alignment with City Plans and City Council History Sustainability, Equity and Resilience (SER) Framework and Citywide Strategic Plan Alignment SER Framework Goal Area Economically Vital Healthy and Socially Thriving

Citywide Strategic Plan Strategy #14: Enhance collaborative efforts to support an inclusive, healthy, sustainable, and resilient local economy that builds on core economic strengths, promotes economic mobility, and aligns with community values and priorities. Staff Notes This agreement does not directly relate to a Strategic Plan priority action, but supports the overall efforts of Strategy #14.

Alignment with Additional City Plans The city’s agreement to host the Sundance Film Festival supports many of the city’s policy efforts outlined in the Boulder Valley Comprehensive Plan, including: • • • •

5.09 Role of Tourism in the Economy 5.10 Role of Arts, Cultural, Historic & Parks & Recreation Amenities 5.17 Partnerships to Support Economic Vitality Goals 8.22 The Arts & Community Culture

City Council History None.

Analysis The governing agreement between the city, the Sundance Institute, and CAGID outlines the foundation of how the city will support the Festival operations in the city, similar to other major special events the city holds. It also outlines the in-kind contributions and financial rebates that the city commits to support the annual Festival. The agreement includes: • • •

A term to hold the 2027 to 2036 Sundance Film Festivals in Boulder An agreement to lease CAGID-owned office space to the Sundance Institute for Institute offices. Festival operations details:

•

• •

•

•

o The process for developing annual supplemental plans for each year’s Festival details. o How the use areas and use periods will be identified and the usage types o Information related to City issued permits and licenses for the Festival City Financial Commitments: o City to provide free local transit access to Festival attendees on the Hop bus route, as well as 5,000 shared ebike passes each year (up to $355,000 annually) o City to assign renewable energy credits to offset Festival emissions (up to $150,000 annually) o Staff assistance with Festival permitting (up to $75,000 annually) o Public Safety staffing contribution (up to $200,000 annually) o Streetlight banners and signage (up to $100,000 annually) Traffic, parking and transportation planning, coordination and impact mitigation Sundance Institute Commitments o Boulder as the center of Festival operations o Colorado local ticket sales o Boulder promotion o Annual community impact report City Revenue Sharing, Rebates and Credits o Shared parking revenue for 1,000 parking spaces in downtown garages (up to $500,000 annually) o Festival-related permit fee rebates (up to $200,000 annually) o Accommodations Tax rebate for incremental tax collections above the 2025 baseline revenue (up to $250,000 annually) Insurance requirements and other contractual terms.

The financial contributions are primarily in the form of rebates based on additional economic generation, as well as rebates and assistance typical of other city-supported special events and festivals in the city.

Equity Analysis The development of this governing contract is a direct result of the bid process, and therefore the racial equity instrument was not utilized.

Fiscal Note Estimated Fiscal Impact Narrative No fiscal impact in 2025.

Current Year Estimated Fiscal Impact Fund(s): General Fund Department(s): Multiple Program(s): Multiple

FY 2025 Budget

FY 2025 Estimated Impact

FY 2025 Net Change

Beginning Fund Balance

$62.7M

$0.0M

$62.7M

Total Forecasted Revenue

$192.6M

$0.0M

$192.6M

Total Estimated Expenses

$211.8M

$0.0M

$211.8M

Ending Fund Balance(s) After Reserves

$1.9M

$0.0M

$1.9M

FTE

1,539.1

0.0

1539.1

Item

Three-Year Estimated Fiscal Impact The first year of fiscal impact for the terms contained in this contract will be in 2027. Because this will be the first year of the Festival in Boulder, forecasted revenue is unknown, and expenses are partially based on economic generation, so full expenses are also unknown.

Item

FY 2025

FY 2026

FY 2027

Total Forecasted Revenue

$0

$0

$TBD

Total Estimated Expenses

$0

$0

$TBD

Net Estimated Impact

$0

$0

$TBD

Climate, Resilience, and Sustainability Considerations The governing contract includes consideration of renewable energy credits to support climate impacts of the Festival, efforts to reduce traffic impacts, and in general the city and the Institute are collaborating on sustainability aspects for the Festival.

Community Engagement Because the city participated in a competitive bid process, no community engagement was conducted during the process. The development of this governing contract is a direct result of the bid process and, therefore, is a Inform level of engagement.

Workplan Considerations The implementation work to be ready to support the 2027 Sundance Film Festival is underway and included in staff’s workplan.

Next Steps for City Council If council approves the motion, the city manager will execute the agreement, and subsequent amendments to support Festival operations beginning in 2027.

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Attachments A - Governing Festival and City Services Agreement