On Tuesday, the Santa Monica City Council voted to allow the popular, innovative, and artistic acrobats of Cirque du Soleil to return to Santa Monica. As it has in the past, the group will raise its tent on the big Santa Monica Pier north parking lot on October 1, 2024, and conduct performances from October 22, 2024, to January 5, 2025.

The item was pulled from the city council’s consent calendar, as several Pier-based businesses had registered concerns with some of the council members regarding lost parking for paying pier patrons.

However, city staff and representatives from Cirque du Soleil were on hand to make the case. The first argument in favor of allowing the performers to return is the city will benefit from a site rental fee of $1,547,882. That contrasts with the $647,882 the city could expect from parking fees alone during that time.

Additional benefits include:

• Cirque will purchase local products and services for its operations, accommodations, staff, and performers
• Increased parking revenues in other city parking lots and structures
• Increased spending by Cirque ticket buyers at local restaurants, hotels, and other businesses, generating additional sales and hotel taxes
• Cirque has stated it will make donations and in-kind contributions to the Pier Corp and Santa Monica Pier Lessee Association

Staff also pointed to a 2010 Economic Study that determined Cirque’s stay in Santa Monica during 2009 contributed positively to the local economy, netting $16.7 million in economic impact. Among that was an increase in sales and hotel taxes of $130,000 and an estimate that Cirque visitors spent $4.6 million at various city outlets during their run in 2009, which took place at the same time of year. Pier businesses reaped a net impact of $420,000 at this time, even after adjusting for some displaced sales.

Cirque will also have to employ some mitigation measures. The city’s staff report on the proposed agreement states, “Cirque will update and follow the Parking and Traffic Management Plan as approved by the City which may include, measures not limited to shuttling guests from off-site parking to the site, designating Uber and Lyft drop-off points and collaboration with Big Blue Bus and Metro to incentivize guests to use public transit.”

“There’s some concern over the ambiguity in this contract sort of saying ‘They [Cirque] will work with the Pier and the Pier businesses’ is a little too general and broad,” said Mayor Pro Tem Lana Negrete, who wanted more assurances that Cirque would comply, saying she wanted to ensure “The Promises made to the businesses actually come to fruition.”

Councilmember Caroline Torosis was also skeptical, saying many promises are great in theory, but she wants them as part of the work agreement between the city and Cirque. “In theory, we’re committed to local hiring, but are we actually committing to any numbers?” she asked. “Are we committing to a minimum spend on local small businesses or businesses within a certain mile radius that are actually providing services as subcontractors to Cirque? I would like to know a little bit more detail on the community benefits.”

Torosis said she would also like to see a commitment from Cirque to use union labor.

At this point, Assistant City Manager Susan Cline clarified that what was being asked of the council was approval to enter into negotiations, so several of these points can be addressed. “That’s why there isn’t a lot of specificity, there are general parameters,” she explained.

The Pier Corp itself put out a statement in support of Cirque returning to Santa Monica but with several requests, including the adequacy of the traffic plan, weekly stakeholder engagement, and a promise that the Pier Lot be blacked out for future events between Christmas and New Year’s Day, which is usually a profitable week for Pier businesses.

After a few comments, Councilmember Gleam Davis moved for approval of the staff being able to enter negotiations with Cirque, adding the following direction:

• The agreement has to include a traffic plan that doesn’t just plan around Cirque but accounts for other large events and happenings in the city
• Negotiators must create as much “synergy” as possible between Cirque and the other local businesses in Santa Monica, including directional signage, joint marketing efforts
• That stakeholder groups like The Pier Corp and Pier Lessee Association be incorporated throughout the process
• That the city manager, to the greatest extent possible, negotiates metrics for local hiring both for sheer numbers and to meet diversity, equity, and inclusion goals

Davis also accepted as a friendly amendment a suggestion by Torosis that the licensing agreement include specific metrics on local and small business utilization.

The motion passed unanimously, 7-0.

Photo by Sundry Photography in iStockphoto.com