Report Prepared by: Christopher Jensen, Director of Parks & Community Services
Title
SUBJECT: Continued Public Hearing in Consideration of Parks and Community Services Fee Schedule to Include New Rates for Bob Hart Square and Merced Open Air Theater (MOAT) and the Addition of Fahrens Park Disc Golf Course and Merced Regional Sports Complex (CP42) and Adoption of a Resolution Approving Parks and Community Services Program and Service Fees
REPORT IN BRIEF
Open public hearing in review of proposed adjustments and additions to the current fee schedule for Recreational Facility Use including new rates for Bob Hart Square and Merced Open Air Theater (MOAT), and the Addition of Merced Regional Sports Complex (CP42), and Fahrens Park Disc Golf Course and adoption of a Resolution approving Parks and Community Services program and service fees.
RECOMMENDATION
City Council - Adopt a motion approving Resolution 2026-39, a Resolution of the City Council of the City of Merced, California, Approving Parks and Community Services Program and Service fees
Body
ALTERNATIVES
1. Approve, as recommended by staff; or,
2. Provide staff direction to amend and continue public hearing to another date
3. Deny
AUTHORITY
Charter of the City of Merced, Section 200.
DISCUSSION
Background
Parks and Community Services operational budget is paid for by several revenue sources including revenues from user fees. User fees are adopted to compensate for personal and private use of public facilities/fields that are built with investments from the general fund, paid for by the broader community. To ensure user fees keep pace with year-over-year increased expense, the City hosts public hearings to review proposed fee adjustments to ensure responsible cost recovery practices are in place. consider the new fee schedule for Recreational Facility Use. Fees cover the cost of managing, operating, and maintaining recreational venues that are reservable for private and or public community events and are adjusted on a routine basis or as needed to ensure that costs and revenues are in line with Council goals and priorities and community expectations.
Bob Hart Square and the MOAT (Merced Open Air Theater)
Bob Hart Square and the MOAT are built facilities offering reservable venues for large scale community gatherings. Both offer a stage and electricity to support a variety of entertainment, community events, and performances. In addition to each specific event space, they both offer neighboring public areas which can serve as expanded event space for larger events.
In the case of Bob Hart Square, the City has piloted the use of Canal Street for large scale events, up to Main to 19th Street. This logistical use of space has provided the space required without conflicting with as much business downtown or public parking along 16th street. Reports from vendors and event organizers have suggested great success with this orientation. The City is continuing its deliberation over a generalized Special Events policy to consolidate and update several older policies. This request for use of the adjoining space aligns with that effort. The change would add an additional fee of 25% for each additional City block added to an event reservation for use of additional public property in addition to either Bob Hart Square and or Merced Open Air Theater.
In addition to the need for additional space, concerns about the cost associated with the use of BHS and the MOAT have been communicated ($150 for BHS and $100 for MOAT respectively). Customers have supported the concept of a block rate fee schedule that covers the cost of operations and maintenance while also becoming more affordable for larger scaled events that use more time and space for reservations. For this we are suggesting a tiered block rate ranging from $150 per hour to $100 per hour based on number of hours and amount of additional space used for events. The proposed schedule for Bob Hart Square and use of adjoining Steet closure is included in Exhibit A, under Bob Hart Square & MOAT Fees.
Ultimately, this fee structure is about responsible stewardship. It balances community access with fiscal responsibility, supports ongoing maintenance and future improvements, minimizes reliance on taxpayer subsidies for private events, and ensures that Bob Hart Square remains an attractive, active, and financially sustainable destination for years to come.
Fahrens Park Disc Golf Course
The Fahrens Park Disc Golf Course is home to daily individual use, weekly team play and occasional large tournaments. Fahren Park Disc Golf Course is a valuable community asset that provides residents and visitors with an affordable recreational venue for Disc Golf. As interest in the sport continues to grow, so too does the demand for organized tournaments and private events that utilize this public facility.
When a private organization collects registration fees, sponsorships, merchandise sales, or other revenues while utilizing a City-owned facility, it is reasonable that a portion of those proceeds help offset the costs incurred by the City in providing and maintaining that space.
The proposed tournament fees are not designed to generate profit for the City. Rather, they are intended to recover a portion of the operational costs associated with hosting organized events and create a sustainable funding source for course improvements, and future investments that enhance the player and visitor experience.
The proposed fees are for Tournaments only and are proposed for 1-Day events at $200 for the day, 2-Day events at $350, and 3-Day events at $400.
Merced Regional Sports Complex
The Merced Regional Sports Complex represents a significant investment in the City’s recreational infrastructure. Historically, the City has supported local recreational programs and organizations through free or in-kind field use. While this approach has been valuable in fostering community participation, the scale and complexity of this new facility required a more balanced operational model and fee structure to maintain its value as a regional asset.
Fees from Fresno City, Turlock City, and Ripon City were used as facility benchmarks as part of the analysis. This schedule falls in line with our closest regional competitor, Turlock Regional Sports Complex in Turlock CA.
The proposed fee structure is designed to achieve three primary objectives:
o The Complex must generate sufficient revenue to offset operational costs, including maintenance, staffing, and long-term field preservation. Establishing market-aligned fees ensures the City can responsibly manage and maintain this investment.
o Support for Local Recreation and Clubs- Fees for seasonal and local use have been intentionally set at competitive and affordable levels to continue supporting youth and adult recreational programs, as well as competitive clubs within the community.
o Regional Competitiveness and Tournament Attraction- The Complex is designed to function as a regional sports venue capable of attracting tournaments and large-scale events. A tiered pricing structure allows the City to capture higher-value uses, generating revenue that supports ongoing operations while bringing economic activity to the community.
The proposed fee structure reflects a balanced approach that maintains Merced’s commitment to community access while ensuring the long-term financial sustainability of the Merced Regional Sports Complex. By aligning with regional market rates and incorporating multiple revenue streams, the City is positioned to support local programming and maximize the value of this significant public investment.
Specific fees associated with this complex are found in Exhibit A of the Resolution.
IMPACT ON CITY RESOURCES
Revenues for Merced Regional Sports Complex were preliminarily projected in the 26/27 adopted City Manager Budget. Additional revenues from Fahrens Park Disc Golf Course and Bob Hart Square fees will need to be appropriated as they come in and a mid-year projection will be added based on projected revenues for the remainder of the year.
In addition, staff will be having discussions regarding appropriate allocation of fees for operating vs. parks maintenance vs. set aside for future capital replacements and/or improvements.
ATTACHMENT
1. Resolution