Council conditionally approves Oak View management contract for Palm Springs Convention Center, adds community and incentive review

Palm Springs City Council voted July 21 to award a five‑year operations and management contract for the Palm Springs Convention Center, visitor services and the city’s bureau of tourism to Oak View Group (OVG), while directing staff to return with clarified nonprofit‑use rules and refinements to the incentive structure.

The council approved a base management fee plus a performance incentive structure; OVG offered a capital investment package and transition support in its proposal. The contract as approved includes a base fee, structured annual increases, an incentive component that can add up to 150 percent of the base fee, and an initial up‑front investment from Oak View Group to support center improvements and transition costs.

Why it matters: The contract will transfer day‑to‑day convention center operations to OVG under a five‑year term with a possible extension, and it includes a labor‑harmony provision that stakeholders and labor unions said would create local hiring and apprenticeship opportunities. Council members asked staff and the contractor to return with detailed nonprofit usage rules, an explicit role for the tourism advisory process, and a refined incentive…