The Government Operations Committee of the City of Frederick met on August 21, 2025, at 2:00 PM to consider two major agenda items: the impact of for-profit and nonprofit retail activities in Carroll Creek Park on downtown businesses, and proposed changes to the city's Small, Minority and Women-Owned Business Enterprise (MWBE) programs. After extensive public testimony and discussion, the committee agreed to form a working group to address the Carroll Creek issue and voted to advance the purchasing policy revisions to a public hearing.
Carroll Creek Park Item:
SDVOSB and SBR Program Item:
A. Carroll Creek Park Retail Activities: Councilmember Kelly Russell introduced the item, explaining that for-profit events have negatively impacted downtown businesses and reduced availability for nonprofit organizations. Parks and Recreation Director Bob Smith provided background: a 2024 peak in for-profit requests led to a policy revision creating a November reservation window; for 2025, there were 101 nonprofit event days, 14 for-profit event days, and 8 general public events. Smith raised concerns about definitions and enforceability.
Committee members discussed potential solutions. Councilmember Kazimczek cautioned against a simple for-profit/nonprofit distinction and supported forming a working group with legal counsel. Councilmember Russell proposed a working group with stakeholders to develop recommendations by end of 2025. Some members suggested blackout periods during key retail seasons. Kara Norman, Executive Director of Downtown Frederick Partnership, presented data showing foot traffic downtown decreased 5–8% on vendor market days. The committee broadly agreed to form a working group and considered temporarily halting new for-profit reservations pending policy development.
B. Changes to MWBE/SDVOSB and SBR Programs: Gerard Bowens, Contract Compliance Administrator, presented two proposals:
Call to order the government operations committee meeting for August 21st, 2025. Let's stand for the Pledge of Allegiance. Liberty and Justice. Approval amendments for July 17th, 2025. Here's our motion. Move for approval. Second. The motion by Councilmember Russell, second by Councilmember Kazimczek. All those in favor. Motion carries three zero. We have two items on our agenda for today. The first item is discussion of the impact of for-profit and community nonprofit retail activities in Carroll Creek Park and on downtown businesses. Item will be used in the first by Councilmember Kelly Russell. Thank you, uh Vice President Shockleford. Um want to give a brief introduction to what the what the uh topic is today, and I'll just share from my uh executive summary because it'll probably give a clearer picture of everything that we're talking about here. So prior to we're we're going to be discussing the impacts of for-profits on our community nonprofit retail on our not nonprofits and and uh downtown businesses. So prior to the revisions made by the city's parks and recreation uh department in the fall of 24, the park fields and court usage policy did include a mission statement that basically said that the principle of Carroll Creek Linear Park is to provide a facility to house live outdoor concerts, plays, school functions, city functions, and for use of requested nonprofit charitable groups or groups raising funds for a registered nonprofit group of the city, and that they must in writing confirm that they are supporting the fundraising effort on their behalf. Although the mission statement did not explicitly prohibit for-profit organizations from renting areas of the Carroll Creek Linear Park, as permitted under Chapter 29's sales of food and other goods, Article II vendors and peddlers. For example, in 2024, Sheikh events DC and Royal Events Groups rented the entire Carroll Creek or portions of it for approximately 30% of weekends to host events with vendor fees ranging from 145 to $695. As a result, local vendors face higher costs, while nonprofit organizers may also charge modest fees to participants, these are typically much lower. Beyond diverting foot traffic, these markets often sell goods similar to those already offered by existing shops, further impacting local revenue. Beyond the economic implications, for-profit events also reduce the availability of weekend dates for local nonprofits to host culturally meaningful programming. Events organized by local nonprofits aligned with the original mission of the Carroll Creek Linear Park, bringing the community together while reinvesting proceeds into Frederick's charitable and civic landscape. In contrast, for-profit events typically channel their revenue toward private interests, offering minimal minimal tangible benefit to the broader community. To preserve upcoming weekends during this holiday season, the downtown Frederick Partnership has reserved the creek and is utilizing it to enhance the downtown atmosphere. Activities include live music from local community groups, entertainment, chestnut roasting by a conservation nonprofit, ULUG and marshmallow roasting with local scout troops, and holiday scavenger hunts that include stops along the creek. This was an unplanned expense and programming effort for the partnership, which is the city's MOU partner and planner partner organization that manages the downtown Frederick Main Street program. It's economic development program through historic preservation. As Frederick continues to grow as a regional hum hub and vibrant diverse community, the city is likely to face an uptick in applications from outside for profit entities. If left unaddressed, this trend could further strain the integrity and availability of Carroll Creek Linear Park as a community centered space. So I invite you to uh reflect on some uh testimony that you'll be hearing from uh local uh businesses, nonprofit organizations, um, and contemplate whether or not we might want to make some changes to the way we currently do business. And I would first invite uh Kara Norman, who is the executive director of the downtown Frederick Partnership to sort of set the table for us, and then we have a number of guests that I'd like you to hear from. Thank you. Good afternoon, City Council. Kara Norman, I'm the director of Downtown Frederick Partnership, and I appreciate the opportunity to speak with you all today about this important issue. Um Kelly did a great job. City Council Member Russell did a great job of presenting um the where where we are today. Um and I'd actually have several downtown business owners that I'd like you to hear from first. These are the folks who brought this issue to our attention at the partnership, and we've been working with them as we've continued through this conversation. As is already obvious, we've already been before the park and rec commission, and we're looking forward to the conversation today to continue thoughts about policy options that we could take to help this system work better for our downtown businesses as well as others who'd like to enjoy the park. So with that, um I'm gonna have um we have a oh sorry, yes. If we can't, I don't know if um Councilmember Putzant, you have any questions before we start. If we may, can I have just Director Smith come just real quick and kind of okay? I'll I'll speak. How's that? Is that better? Yeah, you can start. Is that is that better? It may just be the acoustics. Okay, okay.