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HomeMy WebLinkAbout2020-03-11; Carlsbad Tourism Business Improvement District; ; Visit Carlsbad Budget Reallocation RequestCARLSBAD TOURISM BUSINESS IMPROVEMENT DISTRICT AGENDA BILL AB# MTG. 3-20-189 3-11-20 RECOMMENDED ACTION: Visit Carlsbad Budget Reallocation Request CTBID STAFF GENERAL COUNSEL Receive report from Visit Carlsbad and consider request to reallocate budget line items. ITEM EXPLANATION: The CTBID contracts with Visit Carlsbad to provide various tourism services. The contract requires Visit Carlsbad "To provide periodic updates at the CTBID's request on the program of work deliverables which shall include an accounting of funds spent by program in a format approved by the CTBID Board. Allocation of the unspent funds shall be determined by the CTBID Board''. Attached is the year to date budget versus actual report for the fiscal year ending June 30, 2020. (Exhibit 1) The FY 2019-20 year to date budget versus actual report for Visit Carlsbad shows that Visit Carlsbad is projecting shortfalls in the budget categories for labor, dues and subscriptions, marketing/advertising, tradeshows and general administrative with projected budget surplus in the interactive marketing, public relations, travel and entertainment, public relations events, FAMs, and travel. The Visit Carlsbad Board is requesting that the projected budget surpluses identified at Exhibit 1 be transferred to the budget shortfall categories. The CTBID Board should discuss the reallocation of the budget line item amounts and direct staff accordingly. FISCAL IMPACT: None. ENVIRONMENTAL IMPACT: This action does not approve any projects that will have a physical adverse affect on the environment so it falls within the general rule under CEQA that this is not a project (CEQA Regulation 153789(b)). EXHIBITS: 1. Visit Carlsbad year to date budget versus actual for fiscal year ending June 30, 2020. DEPT. CONTACT: Cheryl Gerhardt, 760-602-2425 cheryl.gerhardt@carlsbadca.gov EXHIBIT 1 VISIT CARLSBAD Budget vs. Actual July 2019 -June 2020 Total 2019-20 2019-20 YTD Projected Over/Under 2019-20 Budget Actuals Actuals Budget Income Total Income $ 1,213,000 $ 793,202 $ 1,213,000 $ 0 Expenses Labor Expenses $ 434,324 $ 345,531 $ 454,713 -$ 20,389 Advertising & Production $ 156,000 $ 11,967 $ 156,000 $ 0 Research $ 10,000 $ 6,222 $ 10,000 $ 0 Interactive Marketing $ 250,000 $ 166,515 $ 243,000 $ 7,000 Public Relations Services $ 115,000 $ 83,194 $ 95,000 $ 20,000 Travel & Entertainment $ 10,000 $ 2,682 $ 5,000 $ 5,000 Dues & Subscriptions $ 9,000 $ 10,347 $ 12,000 -$ 3,000 Collateral Prod. & Fulfillment $ 2,000 $ 926 $ 2,000 $ 0 Public Relations Events $ 15,000 $ 1,697 $ 10,000 $ 5,000 Group Direct Services Technology $ 9,000 $ 7,338 $ 9,000 $ 0 Memembership/Dues $ 1,000 $ 934 $ 1,000 $ 0 Group Incentive $ 50,000 $ 32,000 $ 50,000 $ 0 Sponsorship/Partnerships $ 19,000 $ 17,250 $ 19,000 $ 0 Marketing/Advertising $ 10,000 $ 16,585 $ 16,607 -$ 6,607 FAMs $ 27,000 $ 1,091 $ 7,000 $ 20,000 Site Inspections $ 5,000 $ 3,471 $ 5,000 $ 0 Travel & Entertainment $ 10,000 $ 3,599 $ 9,000 $ 1,000 Tradeshows $ 50,000 $ 60,262 $ 60,300 -$ 10,300 General Administration Expenses $ 30,676 $ 42,334 $ 48,380 -$ 17,704 Total Expenses $ 1,213,000 $ 813,944 $ 1,213,000 $ 0