RESOLUTION NO. RS2010-1444

A resolution approving an amendment to an Interlocal Agreement between The Metropolitan Government of Nashville and Davidson County and the Convention Center Authority of the Metropolitan Government for administrative, financial, operational, and management services to clarify the permissible uses of the existing Convention Center fund balance.

WHEREAS, on June 15, 2010, the Metropolitan County Council of the Metropolitan Government of Nashville and Davidson County (“Metropolitan Government”) enacted Ordinance No. BL2010-690 approving an Interlocal Agreement (the “Agreement”) between the Metropolitan Government and the Convention Center Authority of The Metropolitan Government of Nashville and Davidson County ("Authority") for administrative, financial, operation, and management services regarding the Current Nashville Convention Center and the Music City Center currently under construction; and

WHEREAS, the Authority is a public agency performing a public function pursuant to T.C.A. § 7-89-101, et. seq. (“Act”); and

WHEREAS, the Act authorizes the Authority to “enter into contracts for the operation, maintenance and management of any project undertaken”, and to donate and convey its properties; and

WHEREAS, the Nashville Convention & Visitors Bureau (the “NCVB”) brands, sells, and markets Nashville, Tennessee, and Music City to the world as a premier entertainment destination for travelers who seek authentic and unique leisure and convention experiences; and

WHEREAS, as a result of the flood experienced throughout the area of the Metropolitan Government and its surrounding areas in May 2010; the closing of the Opryland Hotel; and damage to the Music Valley area, the NCVB has worked tirelessly [i] to relocate conventions and hotel bookings within Nashville; [ii] to mitigate the loss of tourism tax revenues; and [iii] to assist in post-flood tourism development and promotion efforts; and

WHEREAS, the Authority and Metropolitan Government officials assisting with economic recovery after the flood recognize the importance of the post-flood efforts undertaken by the NCVB, including facilitating planned conventions by providing resources such as shuttles to and from the convention site, and hotel accommodations arranged at the last minute; and

WHEREAS, as a result of these efforts, the NCVB has incurred significant unbudgeted expenses that were essential to the immediate post-flood operation of the current Nashville Convention Center and are necessary to the continued future operation of the current Nashville Convention Center; and

WHEREAS, Section I.2.d of the Agreement provides that the existing fund balance of the Current Nashville Convention Center shall be used in connection with the operations, management and maintenance duties of the Authority described in the Agreement; and

WHEREAS, the Metropolitan Council deems it to be in the best interest of the Metropolitan Government of Nashville and Davidson County that the Agreement be amended to specifically allow the existing fund balance of the Current Nashville Convention Center to be used for the purposes of making a grant or advancement to the NCVB to assist with the expenses associated with its post-flood efforts described herein; and

WHEREAS, Tennessee Code Annotated, § 12-9-104, provides that public agencies in Tennessee have the authority to enter into interlocal agreements to achieve common objectives subject to the approval by resolution of their respective governing bodies; and

WHEREAS, approval of this amendment to the Agreement will benefit the citizens of Davidson County by assuring the continued collection of tourism tax revenues to promote economic recovery after the flood.

NOW THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE METROPOLITAN GOVERNMENT OF NASHVILLE AND DAVIDSON COUNTY:

Section 1. That an amendment to the Interlocal Agreement by and between The Metropolitan Government of Nashville and Davidson County and the Convention Center Authority of The Metropolitan Government of Nashville and Davidson County for administrative, financial, operational, and management services, in substantially the same form as “Exhibit A” attached hereto and incorporated, is hereby approved.

Section 2. That this resolution shall take effect from and after its adoption, the welfare of the Metropolitan Government of Nashville and Davidson County requiring it.

Sponsored by: Rip Ryman

View Exhibit

LEGISLATIVE HISTORY
Referred to:	Budget & Finance Committee Convention & Tourism Committee
Introduced:	November 16, 2010
Adopted:	November 16, 2010
Approved:	November 17, 2010
By: