VenueTech gets new 3-year contract to manage theater

DOWNEY – Downey City Council on Tuesday signed off on a new three-year contract with VenueTech Management Group to manage the Downey Civic Theatre.

The 4-0 vote (Mayor Pro Tem Catherine Alvarez absent) in favor comes after the city council showed interest in pursuing a shorter contract with VenueTech.

The new contract spans from 2023 to 2026, and includes two optional three-year extensions. In its first year, it will cost the city $250,000 (an increase from $215,000 under the current agreement), plus a 5% annual increase over the following years.

The city will also pay an estimated $550,000 for labor reimbursement costs from facility rentals.

VenueTech was the only company to submit a management proposal when Downey began soliciting bids in March.

Councilwoman Claudia M. Frometa voiced some frustration with the contract, saying that she would have preferred a two-year deal, however admitted that the city may not be in a position to run the theater itself.

“Considering we are a city in the middle of a lot of transitions, my biggest concern is we don’t have the bandwidth, they don’t have the staffing to man this theater,” said Frometa.

“I’m not exactly happy, though, [with] the terms in terms of cost. The 5% annual increase over the next couple of years also seems a little bit more than I would like to see for this.”

She continued that she would be interested in coming up with “a better plan” for the theater once the new council and city manager are established, though VenueTech was the only option at the current time.

“I realize we do need to make a decision; I’m not really sure that this is the best plan and this is the best use of funds, taxpayer’s dollars for this particular theater,” said Frometa.

“At the same time, I don’t want to see it closed. We do have a beautiful opportunity to continue to bring some entertainment for our youth, for our schools, for our seniors; we just need to get more creative.”

VenueTech has run the day-to-day operations of the 738-seat theater since it was originally hired in 2010.