Westminster City Council
SUBJECT
Title
Continued from the September 10, 2025 Meeting - First Amendment for the Theater Operation and Cultural Programming of the Rose Center with the Friends of the Abbey Center, dba Friends of the Rose Center Theater, a California Non-Profit 501(c)(3) Corporation.
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From: Christine Cordon, City Manager
Requested by: Administration
Prepared by: Shaunna Hunter, Senior Management Analyst
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RECOMMENDED ACTION
Recommendation
Authorize the City Manager to enter into the First Amendment to the Theater Facility Management Services Agreement for the Operation of the Rose Center Theater with Friends of the Rose Center Theater for a term to conclude on June 30, 2026, with one optional three-month extension.
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BACKGROUND
Built in 2006, the Rose Center Theater was designed to increase community access to high-quality performance arts and cultural experiences while providing a much-needed venue for corporate networking, holiday gatherings, weddings, and other events. The Friends of the Abbey Center, Inc., dba Friends of the Rose Center Theater, a California non-profit 501(c)(3) corporation has operated the Rose Center Theater, offering year-round cultural arts programming including live theater, musicals, and youth-centered theater; in addition to booking, managing, and staffing for rental use of the Rose Center Theater.
In the current agreement, the Friends of Rose Center Theater (Friends) do not pay facility rent, full building maintenance costs, or utility costs for their use of the Rose Center. The current agreement initiated in 2019 and expired in 2024; the Friends have been operating on a month-to-month basis while the city evaluated the operations and current needs for the facility.
This First Amendment was continued from the September 10, 2025 City Council meeting. On a motion made by District 3 Council Member Mark Nguyen, seconded by Mayor Chi Charlie Nguyen (Vice Mayor Manzo voted no), the City Council voted to take no action and direct staff to bring this item back to the City Council after the consultant report was presented to the City Council; the report from TheatreDNA, who conducted the operational study of the Rose Center, was presented in a study session on October 15, 2025.
Rose Center Study
The City initiated the study of the Rose Center operations in May 2025. The study included a thorough analysis of the current management model, evaluation of facility operators, assessment of facility maintenance, analysis of usage trends, a review of market competitors, along with a recommendation operational plan and business pro forma. During the study, TheatreDNA conducted public outreach through stakeholder interviews, community surveys, and surveys of facility users. The report is publicly available on the city website.
First Amendment Terms
The proposed First Amendment (Attachment 2) extends the existing agreement through June 30, 2026, with one optional three-month extension. The amendment includes a five percent (5%) venue fee to be paid monthly following the close of the reporting period beginning in January 2026. There are no other changes to the terms of the agreement during the term covered by the First Amendment and the optional three-month extension. Friends agreed to pay the five percent (5%) venue fee to the City for each user group during the term covered by the amendment. The venue fee is established to offset the utility cost of operating the Rose Center Theater.
This extension allows the City to finalize revisions to the operator agreements while maintaining cultural programming and ensuring continued access for local performance groups.
FISCAL IMPACT
Beginning at mid-year FY 2025-26, an estimated revenue increase is anticipated in the General City Revenue-Rental Income-Facilities account of $2,000 monthly, or $12,000 during the term of the amendment, and an additional $6,000 during the optional three-month extension.
|
Account No. |
Description |
Fee Description |
FY 2025-26 |
|
20000-33560 |
General City Revenue - Rental Income - Facilities |
$2,000 monthly for 6 months of FY 2025-26 from January to June |
$12,000 |
LEGAL REVIEW
The City Attorney’s Office has reviewed as to form.
CONCLUSION
Approval of the amendment to the Friends of the Abbey Center, dba Friends of the Rose Center Theater, will secure cultural arts programming and venue usage through June 30, 2026.
ATTACHMENTS
1. Original Agreement for the Operation of the Rose Center Theater with Friends of the Rose Center.
2. First Amendment to the agreement for the Operation of the Rose Center Theater with Friends of the Rose Center for a term to conclude on June 30, 2026.
REVIEWED BY
Erin Backs, Finance Director
City Attorney’s Office
Christine Cordon, City Manager