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HomeMy WebLinkAbout1989-07-25; City Council; 10159; Interim Sub-Committee Report Carlsbad ConventionCIT”OF CARLSBAD - AGEND-BILL INTERIM SUB-COMMITTEE REPORT CARLSBAD CONVENTION AND VISITORS BUREAU IITG. )EPT. FIN RECOMMENDED ACTION: By minute motion, authorize the payment of up to $20,187 for salary expenses for the months of July, August and September and $1,000 in moving expenses to Steve Link. ITEM EXPLANATION: On June 27, 1989, the City Council appointed a sub-committee to study the Convention and Visitors Bureau (CCVB) contract with the City. The study entails reviewing, preparing and participating in several reports and activities as identified below. 0 Audit - The audit will review 1988-89 revenues and expenditures and is partially completed. 0 Audit of the 800 phone number. This will entail a review of revenue, expenditures, billings and bookings. 0 Review the goals of the Community Promotion Program. These are presently being drafted. 0 Consider a1 ternate methods for providing Community Promotion which may entail bidding services from private corporations. 0 Surveys - Compile a survey of what other Cities are spending on Community Promotion. The survey is attached. A survey of hotel rates in North County is currently underway. 0 Compile a breakdown of budgeted expenses for 1985 through 1989. This breakdown is attached. 0 A meeting with CCVB representatives and the sub-committee has been schedul ed. The sub-commi ttee has reviewed the correspondence received from the Chamber and CCVB representing their requests for funding in 1989-90 and the billings for the first part of the new fiscal year. The original billing for July, 1989 (dated June 30, 1989), was for $74,000 and appears to include charges from the prior fiscal year. A staff review of this billing and discussion with CCVB Representatives resulted in the July 87 1989 letter from CCVB requesting that the sub-committee consider providing at least $27,000 to allow the CCVB to continue to operate during this review period. After further discussion, a subsequent letter dated July 12, 1989 reduced the request to $22,000. The staff is still working with CCVB to fully understand the billings and the plan for operations in 1989-90. Page Two of Agenda Bill No. /?, 157 The staff review of the CCVB request shows the following breakdown of expenses for July: Recommended Reauest Pavment Sal ari es Bonus (Cleta Wright) M 81 0 Expenses Advertising 8I ) Pri nt i ng ) Prior Year ) Moving Expenses $ 6,729 $6,729 3,000 - 3,192 - 8,128 - 1,000 1,000 Total $22,049 $7,729 The sub-committee is recommending that the Council authorize the payment of salary and benefit expenses for the months of July, August and September, 1989, at an amount of $6,729 per month for a total of $20,187. Additionally, the sub-committee is recommending the one time payment of $1,000 to cover moving expenses for the CCVB Director, Steve Link. The total recommended allocation is $21,187. The sub-committee has not completed its work at this time, however the City Council may want to receive a brief report from the members and recommend further areas of study that may be of particular interest. FISCAL IMPACT: The CCVB has requested that the City provide funding in the amount of $200,000 for 1989-90 operations. The City Council has placed these funds on hold for the present time pending a review of the full community promotion program. If the City Council wishes to fund the salaries and benefits, a monthly payment of approximately $6,729 would be experienced. Any payment to the CCVB should be considered a release of a portion of the $200,000 appropriation for community promotion activities. The recommended payment reduces the funds available for community promotion to $178,813. EXHIBITS : 1. Survey of San Diego Cities support of Chambers of Commerce. 2. Summary of Budget Requests from 1985-86 to 1989-90. 3. Billing from CCVB dated June 30, 1989. 4. Letter from CCVB dated July 8, 1989. 5. Letter from CCVB dated July 12, 1989. Exhibit A, page 1 of Expenditures on Visitor Promotion Survey of San Diego County Cities (Sorted on Amount Contributed) I Amount of City San Diego Lemon Grove Poway Encinitas Santee La Mesa Solana Beach National City San Marcos Vista Chula Vista El Cajon Oceanside Coronado Escondido Carlsbad SUPPOfl NIA NIA 0 0 3,000 7,500 9,000 21,700 26,000 30,000 34 , 200 35,000 93,320 140,000 200,000 200.000 Comments Did not respond Did not respond No funding of Chamber No funding of Chamber Funding used for various community events Funds used to create Fact Book Funding used to support three programs Chamber provides general information services Chamber attends some trade shows, no other advertising programs No proactive visitor promotion programs Chamber provides general information service, no other advertising programs Chamber Responds to inquiries for information, no other advertising programs Grant to chamber, no accounting of funds is availablc Hired a private firm to provide promotion services CVB provides an active advertising Campaign Full advertising camDaian Drwided by CCVB Chula Vista - .chibit A, page 2 of 3 VISITOR PROTION SURVEY OF SAN DIEGO CITIES Chula Vista contracts with the Chamber for general information services at $24,200 for 1989-90. Promotion consists primarily of responding to inquiries. The City also is a member of the San Diego Convention and Visitor‘s Bureau at $10,000 per year. Chula Vista also subscribes to a brochure stand program whereby their literature is placed in hotel lobbies and restaurants among other like material for distribution. Coronado 1989-90 is the first year Coronado will be utilizing an outside firm for visitor promotion. City funds dedicated to this program total $140,000. During 1988-89, $114,730 was provided to the Visitor’s Information Bureau. It is believed that if the Bureau were still responsible for community promotion, the 1989-90 contribution would have been $140,000. El Cajon The City will contribute $35,000 in 1989-90 to the Chamber for visitor promotion activities. The El Cajon Chamber primarily responds to inquiries for information with printed material where appropriate. There is no active advertising campaign. Encini tas The Chamber has requested funds, however, the City has not granted any. Escond i do The City is contributing $200,000 for an active 1989-90 tourist promotion campaign. The total CONVIS budget is $400,000. La Mesa The City will provide $7,500 in funds to the Convention and Visitor’s Bureau in 1989-90. Funds will be used to produce a fact book, a La Mesa beautification effort and general promotion. La Mesa does not have an active advertising program to promote tourism. Lemon Grove Contact not established as of July 11, 1989. National Citv The City will provide $21,700 in funds to the Chamber, however, only a portion is used toward visitor promotion. $8,000 has been slated for City informational services and is not directed toward proactive advertising. The Chamber primarily responds to inquiries. Other funds are used toward freeway signs, city beautification and a salute to the Navy event. L ‘iibit a, page 3 of 3 July 11, 1989 Page No. 2 Oceans ide Oceanside donated $93,320 to the Chamber for 1989-90. The Chamber is accountable only for the total and the City was unable to indicate what the funds were specifically used for. The total Chamber budget is $174,820. Oceanside’s donation is based upon the formula of 1/6 of the TOT revenue as a minimum. Powav There is no visitor promotion program in Poway. San Dieqo Contact was not established as of July 11, 1989. San Marcos This City donates about $26,000 to the Chamber. The only proactive visitor promotion activity they pursue is to attend trade shows. Most funds are used to promote special events and community functions. The amount given to the Chamber is based upon a formula of 25% of the business license tax. Santee Santee will contribute $3,000 for miscellaneous promotion during 1989-90. This sum is used for various community events. Solana Beach A total of $9,000 is contributed to the Solana Beach Chamber. It will be used toward three programs: 1) shop Solana Beach, 2) production of City maps and 3) hol iday decorations. Vista There is no proactive visitor promotion program in Vista. contribute $30,000 to the Chamber for standard programs in 1989-90. The City will - Exhibit B SALARIES AND BENEFITS OFFICUMISCELLANEOUS PRINTING TRADE SHOWS ADVERTISING MAPS AND PUBLICATIONS OTHER TOTAL BUDGET REQUESTS CARLSBAD CONVENTION AND VISITORS BUREAU 1985-86 THROUGH 1989-90 I 1985-86 I 1986-87 I 1987-88 1988-89 I 1989-90 I 49,000 67,463 62,204 80,448 56,497 20,100 28,442 23,445 24,070 28,963 24,000 24,250 10,979 31,173 13,700 12,000 1 1,675 29,139 10,845 5,075 97,665 132,139 60,855 40,915 108,920 0 0 849 1,125 1,116 267,529 292,569 238,542 252,361 223,035 64.764 28,600 51,071 63,785 8.764 IClTY CONTRIBUTION 265,314 200,000 200,000 200,000 200,000 I CCVB EXPENDITURES BY TYPE 1989-90 PROPOSED PRINTING $13700 6% TRADE SHOWS $5075 2% ADVE RTI SI N G $108920 49% Use with 721 Window Envelope _- I I I PRWUO 114-3 ~IK, Gmton. Mas 01171 lo Lkdn PMNL IhLlFU 1 +Mx)-225-6)80 ~. r DATE L June 30, 1989 CARLSBAD CONVENTION & VISITORS BUREAU 5411 Avenida Encinas Suite 100 CARLSBAD, CALIFORNIA 92008 (619) 729-1786 SALESPERSON CUSTOMER NO. . TERMS As soon as possible - Exhibit C, page 1 of 5 I I City of Carlsbad - Finance Department 1200 Elm Avenue Carlsbad, CA 92008 - - - ATTN: Mr. Jim Elliott, Finance Director - __ - - - - - __ - QUANTITY ORIGINAL DESCRIPTION July 1989 Billing of the opera of the Convention & Visitors B UNIT PRICE ion ieau AMOUNT 74,839.10 Exhibit C, page 2 of 5 - , r\/ j I' ." / June 30, 1989 I Jim Elliot, Finance Director City of Carlsbad 1200 Elm Ave. Carlsbad, CA 92008 Dear Jim, Endlosed is the operating expenses for three months for the Convention and Visitors Bureau, as well as receipts and program expenses. The total costs for this period are: $ 74,839.10 Aftier review, should you have any questions, please call me. Lee Bohlmann, Executive Vice-president Carlsbad Chamber of Commerce Exhibit C, page 3 of 5 CCVB ADVERTISING PROGRAM JULY 1989 Advertising. (attached budget) $ 15,685.00 Trade Shows (attached schedule) memberships to participate $ 14,870.00 915.00 Brochure Reprint (invoice enclosed) $ 4,048.10 Golden State (invoice attached) 4,080.00 TOTAL $ 39,598.10 ' CCVB STAFF AND OPERATING PROGRAM JULY, AUGUST, SEPTEMBER 1989 (MONTHLY BUDGET ATTACHED) TOTAL $ 34,406.00 '. Training Seminar - Wright (attached) 395.00 Brochure Rack fix-up (attached) 440.00 There is a readjustment in the Operating Budget due to staff addition and realignment. TOTAL REQUESTED BY CCVB (\ $ 74,839.01 DATE : pept. 1989 Sept. 26 ept. 27 [ept. 28 bept. 29 Dct. 31 bov. 2 i:: I leb. 3-4, 1990 leb. t br. 17-18 far. 24-24 lar . (2-day) lar. ipr. 3 ,pr. 5 Ipr. t: une TRADE SHOW SCHEDULE 1989-90 EVENT : COST : San Dlego Wlxer Edmonton , ALB Calgary, ALB Vancouver, B. C. Vlctorla, B.C. $500 575 575 57 5 575 Seattle, Wn. 575 Port land, Or e. 57 5 Universal Clty, Ca. 575 Irvlne, Ca. 57 5 Los Angeles, Ca. (LAX) 575 Scot tsdale, Az. 575 SSAE (Scramento) SCASE (Los Angeles) 400 200 Orange County Register Show 5 00 Meetings West (San Franclsco) 1320 L.A. Travel Show 850 Orange County Travel Show 550 ASTA - Tucson, Az. 550 Scot tsdale, Az. 57 5 Sacrament 0, Ca. Slllcon Valley, Ca. Woodland Hills, Ca. Seat t 1 e , Wn . Port land, Ore. 575 575 575 57 5 575 MPI (Long Beach) 809 TOTAL $14,870 Travel Marketplace shows 1-4 $575 per city/ 5-10 $546 kESE PRICES ARE BASED ON BOOTH SPACES PAID FOR IN THE MONTH OF JULY 1989 FOR PPLICABLE PRE-PAY DISCOUNTS. - ._ Exhibit C, page 5 of 5 i '1. - /c TRAVEL/HOTEL/FOOD ACCOMMODATIONS - APPROXIMATE 1989-1990 Canadian Shows - $650 (Fall) (ALr/TraLn) Serttle/Portland - $350 (Fall/Spring) (Air) Phoenix - $60 (Fall/Sprlng) (Air) Sacramento/Sllicon Valley - $270 (Spring) (Air) Accommodations: $60 to $90 per nlght If Blltzlng Is done before or after the trade show, must Include car rental of approximately $30 per day. Food Expenses per day - $30.00 IN ADDITION: often times membership dues are required in order to participate ln trade shows, plus recelvlng pertlnent publlcatlons regarding tourism. SSAE MEMBERSHIP - $300 MPI MEMBERSHIP - $210 ACTA MEMBERSHIP - $185 ASTA MEMBERSHIP - $220 TOTAL $915 *Alr/auto/train transportlon costs are based on economy fares with advance payment and no refund, hlgher cost if less notice and/or refund status requlred. k Exhibit D, page 1 of 12 July 8, 1989 Jim Elliot, Finance Director City of Carlsbad 1200 Elm Ave. Carlsbad, CA 92008 Dear Jim, Enclosed is an explanation of the operating and administrative expenses for July for the Convention and Visitors Bureau, as well as recommendations of other items for payment. The total cost for the July payment is: $ 27,784. Should the city chose to cover these expenses, please contact me immediately, along with the time-frame for additional payments. Should payment be withheld for any category, call me immediately, but I would request notification in writing. After review, should you have any questions, please call me. nn, Executive Vi Carlsbad Chamber of Commerce .I E-'.bit D, page 2 of $ 1% BROCHURE REPRINT We ran out of brochures in May. Normally, we would have waited until July to reorder. However, we had so many requests for mass distribution for July, the Advisory Panel gave the approval for the reprint. This bill covers the cost of 50,000 brochures and should be paid. Golden State Ad We had prepared to pay this bill, then there were some difficulties with the copy and communication on a cancellation of the January and March ads. To ease the confusion, the chamber loaned the money to the CCVB to pay the bill. Recommended Minimum Payment Schedule Administration & Operation $ 14,756 -Brochure Reprint 4,048\, c Golden State Certified Folder 4,900 Total Invoice for July payment $ 27,784 Exhibit D, page 3 of 12 -. - CALIFORNIA CCVB STAFF & OPERATING EXPEJXSES Accounting /Legal AutoIMileage Employee Benefits Equipment Insurance Off ice Supplies Payroll Taxes Postage Rent Employee Wages/Administrative Employee Wages/Depot Telephone Utilities Maintenance & Repairs Janitorial Cleta Wright/Bonus Moving Expenses TOTAL my 800 40 371 J 500 100 250 972 1086 421% 1690 J 900 212 210 108 3000 7 1000 AUGUST 400 50 371 100 15 0 450 300 1086 4218 1690 408 110 114 50 9497 SEPT . 400 50 371 - 100 100 450 500 362 4218 1690 541 114 56 50 u 9002 TOTAL 1600 140 1113 500 300 500 1350 1772 2534 12654 5070 1849 43 6 380 208 3000 1000 34406 Carlsbad Convention % Visitors Bureau P.O. Box 4297 Carlsbad. CA 92008 (619) 729-1786 Division of thr Carlsbad Chamber ol Ciirnnrrce Exhibit D, page 4 of 12 - One Month fixed Operating Costs for CCVB, submitted by Lee Bohlmann, Chamber of Commerce, July 8, 1989 THREE MONTH OPERATING BUDGET ATTACHED Accounting and Legal include fees paid for services provided by the chamber staff. Obviously with the added responsiblity of fulfilling the city's request for information, more time will be required of the bookkeeper. In the spirit of cooperation, the chamber could delay payment of this service. Auto/Mileage this is paid to staff to carry on responsiblities of their position, delivering brochures to properties, mail to the post office, etc. Employee Benefits is paid Health Benefits for Cleta Wright and Steve Link. They pick up the cost for their families. Equipment, this is for repairs of the computer, which has not been working properly for the last month. We could delay payment on this, however, so much work is done on the computer, more time would be spent doing the work by hand. Insurance, this is insurance on equipment and other things. The chamber has already paid the bill -- which was due for the new year in early June. We have always assessed CCVB their portion of the rate, and they have reimbursed us monthly. In the spirit of cooperation, delay in payment of this fee is acceptable. Office Supplies, we need supplies to send brochures, notices, other "office type" activities. Payroll taxes, this is the required taxes for employees. Postage, this is to cover the cost of mailing brochures and other information. As this is the busiest time of year, this is an important area. However, we could forego this amount and simply ask people to supply us with a stamped self-addressed envelope (not a successful technique, but we would be happy to do it) Rent, this is to cover the shared space and equipment use on Avenida Encinas. In the past, this was always a flexible item (it has not been paid since March 1989.) However, the CCVB does not pay any rent for the depot use. A significant amount of copying is done to send people information, calendar of events and other notices. For the the past months, CCVB use of our copy machine has been about 1500 copies per month, of course in summer it increases as more copies are needed in the depot for visitors' requests. Depot staff could use a quick copy service in the Village, there would be additional costs for that however. In the spirit of cooperation, the chamber would agree to delay these payments. -.Exhibit D, page 5 of 12 Employee Wages/Administration, this covers the cost of the Director, Steve Link, and the Public Relations Person, Cleta Wright, the position of the Marketing Director previously held by Linda Stolz-Foster has been eliminated. Employee Wages/Depot, this covers the wages for information staff at the depot, Mary Hall, and Lynn Pinney. We have normally hired another person for summer due to increased activity. Currently we have a "Hire a Youth" participant for selected hours during the week, we have worked with the ROP program during the school year. The depot is open seven days a week. We have not expanded hours, or staff, due to the budget limitations. Telephone, this covers the cost of the phone service at the depot and at Avenida Encinas, including the 800 number, which rings at the depot only. Utilities, this covers the cost of utilities at the depot. The Historical Society shares space at the depot. They do not share in the cost of the facility. Maintenance h Repairs, this covers the cost for maintenance and repairs at the depot. We have had lots of vandalism in the bathrooms, I have mentioned this to Chris Salomone, we have not resolved the situation. The water heater collapsed in April. This was unplanned in the budget and cost over $400 for a new one and labor to install it. Janitorial, covers cleaning of the depot and the bathrooms. Cleta Wright, this was a prearranged agreement with Mrs. Wright and the Advisory Panel, she had not received a raise for 2 years, and in the absence of a director, the Advisory panel felt that an additional compensation should be awarded. This amount was to be paid in July. Moving Expenses, The Advisory Panel agreed to a stipend of $1000 for moving expenses for Mr. Link. This amount would be paid in July only. Additional for July only, include $395 for specialty training for Mrs. Wright, it's for a class at UCSD, which starts in one week. If you wish to fund this, we need to know NOW. It will be held on a Saturday. Mrs. Wright will not get any extra time off due to attending the class. The Carlsbad display has been in need of repair. The Carlsbad Police Department wanted to borrow it for the opening of the Vista Jail, but we did not have the money to pay for repairs. (We ended up giving them our banner for their use, brochures and city maps to hand out and the special edition of the North County Guide). The work has been approved for repairs, if we don't pay it now, we won't have a display to use. The display will be returned to us, with payment of repairs. FAibit D, page 6 of 12 TRADE SHOW SCHEDULE There are incentives to register for trade shows early. Usually a large discount in the fee, as well as the ability to determine location of booth and availability. Delaying payments will cause the total costs for shows to increase, will not allow us to coordinate booth location with participating Carlsbad properties, and could eliminate us from some shows because they fill up very quickly. Again, I continue to be concerned about our successful continuing program. As noted, for many shows, a membership fee is required, those are also highlighted on the second page. If membership is not included, booth prices rise significantly, some shows will not allow participation unless you are an ASTA (American Society of Travel Agents) member. Personnel and Travel costs for the shows are reimbursed to the staff after they occur. We included a range for your information. Obviously, these costs would not be incurred if we did not attend the shows. '.- #'i . . ! , -Ijr .. . . I. . , 1 , - . , I. . .., . .. Exhibit D, page 7 of 12 -. DATE : Sept. 1989 Sept. 26 Sept. 27 Sept. 28 Sept. 29 Oct. 2 Oct. 3 Oct. 11 Oct. 30 Oct. 31 Nov. 2 Dec. Dec. Feb. 3-4, 1990 Feb. Mar. 17-18 Mar. 24-24 Mar. (2-day) Mar. Apr. 3 Apr. 5 Apr . dune CALIFORNIA TRADE SHOW SCHEDULE 1989-90 EVENT : COST: San Diego btlxer Edmonton, ALB Calgary, ALB Vancouver, B.C. Victoria, B.C. 3500 575 575 575 575 Seattle, In. 575 Portland, Ore. 575 Universal City, Ca. 575 Irvine, Ca. 575 Los Angeles, Ca. (LAX) 575 Scot tsdale, Az. 575 SSAE (Scramento) SCASE (Los Angeles) 400 200 Orange County Register Show 500 Meetings lest (San Francisco) 1320 L.A. Travel Show 8 50 Orange County Travel Show 550 ASTA - Tucson, Az. 550 Scottsdale, Az. 575 Sacrament 0, Ca. 575 Stlicon Valley, Ca. 575 Woodland Hills, Ca. 575 Seattle, Un. Portland, Ore. 575 575 WI (Long Beach) BM TOTAL 314,870 *Travel Marketplace shows 1-4 $575 per city/ 5-10 3546 THESE PRICES ARE BASED ON BOOTH SPACES PAID FOR IN THE MONTE OF JULY 1989 FOR APPLICABLE PRE-PAY DISCOUNTS. Carlsbad Convention % Visitors Bureau P.O. Box 4297 Carlsbad. CA 92008 (6191 729-1786 Divtsiiiri 01 itit. f ir!4d f h,iinbrr (it Conirnercf Exhibit D, page 8 of 12 .- CALIFORNIA TRAVEL/HOTEL/FOOD ACCOMMODATIONS - APPROXIMATE 1989-1990 Canadian Shows - $650 (Fall) (Air/Train) Seattle/Portland - $350 (Fall/Spring) (Air) Phoenix - $60 (Fall/SprIng) (Air) Sacramento/Silicon Valley - $270 (Spring) (Air) Accommodations: $60 to $90 per night If Blitzing is done before or after the trade show, must include car rental of approximately $30 per day. Food Expenses per day - $30.00 IN ADDITION: in trade shows, plus receiving pertinent publications regarding tourism. often times membership dues are required in order to participate SSAE MEMBERSHIP - $300 MPI AiEAIBERSHIP - $210 ACTA MEMBERSHIP - $185 ASTA MEMBERSHIP - f22p TOTAL $915 *Air/auto/train transportion costs are based on economy tares with advance payment and no refund, higher cost if less notlce and/or refund status required. Carlsbad Convention & Visitors Bureau P.O. Box 4297 Carlsbad. CA 92008 (619) 729-1786 Division of rhr Carlsbad Chambrr of Commerce -Exhibit D, page 9 of 12 ADVERTISING BUDGET ATTACHED This was the proposed advertising budget prepared by Mr. Craig Severson. As you know, many times, advertising dates are closed and spaces reserved before payment is needed. I would hesitate to make reservations however without assurance that there would be payment for advertising. I am also concerned with losing the impact of a continuing advertising program. I have included a recent mailing from the Western Association News Publication for your information. Obviously, no one is forced to advertise but sporadic advertising programs waste everyone's money. Coop programs with Hotel Properties do not involve city funds. We could continue with those once Mr. Link has a chance to coordinate a full program. The Certified Folder bill is a continuing contract for distribution of our brochures. If we don't pay, we will not have our brochures displayed in San Diego County. As this is a continuing contract, they may charge us a cancellation fee for not continuing. - Exhibit D, page 10 of 12 m p: 0 c +* i * 3 0 VI (0 W 0 N 3 0 0 0 0 m 3 00 I 99 ; 88 I 00 I mN I I Ri e4 $3 -- kin xx dd NN 88 1 i33 %z <W ;% E8 PP 0 m m QI m m 9 0000 1 0000 I om00 I 9999 1 22X,o I I I 353= mmma 0 m 0 N m 9 m 0 0 0 0 W 9 22; 01 01 01 Wl 1 E 8 ?i 3 3 3 f 8 N I 8 P 0 0 N rn m I- 9 O In m N m 9 c I 0 0 N 0, a3 0 9 - 0 9 000 I 000 I moo I Nmm I rNm I I I 999 I Exhibit D, page 11 of 12 It is important that you let me know if your Convention Bureau will be participating in the November 1989 CONVENTION PLANNER insert in Western Association News. As you are aware this key regional magazine is providing your bureau a new and effective vehicle for showcasing your area . The CONVENTION PLANNER will be comprised of 50% advertising and at least 50% advertorial provided by the bureaus/hotels. Minimum participation one ha13 page from the area. This insert will be limited to four convention bureau areas. Your advertorial participation should include editorial information as well as color and black and white photography. Participation in CONVENTION PLANNER definitely counts as an insertion for frequency discounts, including counts as an insertion for discount purposes--including the spectacular 4 ads pay for three deal available only now. This Convention Planner Program will run quarterly through 1990. It is available on a first come, first served basis. This tied into a coordinated display schedule is your best and most cost effective way of directly marketing to the key Total Association Market in the West reached only by Western Association News. Don’t miss out on this o portunit all the details toda 213-312-6684 nod Make sure your bureau has &me at 2y3-478-0215 or Fax Best Position Deadline Julv 20 Let’s give your and your members super prominence in the West in something new and exciting. n P.S. Please let me know who I will be working with personally to compile all aspects of photos, editorial and marketing ensure you get absolutely the most out of this program. 1516 S. Pontius Avenue, Los Angeles, CA 90025 (213) 478-0215 0 FAX (213) 312-6684 -Exhibit D, Page 12 of 12 Could You Please Fill This Out and Fax or Mail? (Thanks , it's appreciated a lot) To help us all make the bureau's use of this great opportunity, could you please let me know who the primary hotel and attractions are in your area and who is the best contact at each for purposes of participation. Also, at your bureau, who are the appropriate people with whom I should deal both in terms of editorial and advertising. Do you use an agency or place direct but take the in house agency commission for bureau? Do you every coordinate or buy advertising cooperatively to maximize savings? My with all these questions is to save you budget, give you promience and help as much as possible . This project was designed to help you maximize your bureau's effectiveness in the West. Thank you again, very much for your cooperation. If you have any questions --or suggestions-please call or fax me today. Sincerely, Ed Matys/Western Association News FAX 213-478-0215 PHONE 213-478-0215 MAIL 1516 S. Pontius Ave. LA. CA. 90025. - Exhibit E July 12, 1989 Jim Elliot, Finance Director City of Carlsbad 1200 Elm Ave. Carlsbad, CA 92008 Dear Jim, Below is the data on salaries that you requested. Attached is the last years contract for Certified Folder. We have not signed a new contract for this year. However, there is some arrangement with the racks in the Depot. I've not been able to track down that arrangement -- there is no money involved, it is a sharing of services. The salaries for the depot staff is at $5.50 per hour, with about a 300 hour average per month. The women divide the time for their er month. The -- our busiest another person to the depot staff in summer due to the traffic, the budget however does not reflect this addition. Steve Link's salary is $2,918 per month. Cleta Wright is paid $1,300 per month, for a total of $4,218. As I mentioned Mrs. Wright is in line for a raise, I was leaving that decision up to Mr. Link and the Advisory Panel. The depot staff has also not received a raise in the last year. own schedule, we have the dep 8 budget shows 300 hours in Ju$, times. As I mentioned in the previous we add As I mentioned in our coversation the additional items for July - - Mrs. Wright's class at UCSD and the display fix-up were additional items. The class is now a mute point as the registration deadline has passed. The $440 to repair the display does not need to be paid in July, but we will also not have the use of the display. We will get the display when we pay for the repairs. I hope this clarifies the request. With the deduction of the Certified Folder bill and the class request, the remaining balance for operations and staff for July is $22,489. Should you have any questions, please call me. Bohlmann CUTIVE VICE-PRESIDENT CHAMBER OF COMMERCE Carlsbad Convention & Visitors Bureau P.O. Box 4297 Carlsbad, CA 92008 (619) wq3 )-705* [hiision of thr Carlsbdd Charnhcr of Commerrr BAD CHAMBER OF COMMERCE July 13, 1989 To Ad Hoc Committee Members Mamaux and Larson, Honorable Mayor Lewis I Councilmembers Kulchin and Pettine In a sincere effort to offer meaningful input to aid in the deliberation of the Ad Hoc Committee, I would like to share some concerns and goals with you. In 1985 as the Chamber entered the contract with the City to provide for a Convention and Visitor's Bureau all of the parties wanted a successful partnership with the main goal of increased dollars for the City from the TOT. With all contracts, this was not meant to be a lifelong commitment but rather one that should be reviewed and enhanced as years went on. The CCVB contract with the City has been the topic of discussion of the Chamber Board at their retreat for the past three years, it was the goal of the Executive Vice-president this past year to clarify the responsibilities and scope of the contract. So, as a member of the Board of the Carlsbad Chamber, I can assure you we are looking forward to our discussion and for usI a clarification of something we have been working towards for a few years. Some of the points that the Chamber would like clarified, along with some of our suggestions on how best to resolve certain aspects 1. 2. 3. of the contract are: The contract should be enhanced or "rewritten" each year, with signatures of the current Mayor and Chair of the Advisory Panel. As recommended in our presentation to the Council on June 27, an Advisory Panel should be confinned by the council with proper City, Chamber and Community representation. The Advisory Panel should report directly to the City Council -- perhaps with monthly updates of the minutes of their meetings, as well as a quarterly report to the council at a regular Tuesday meeting. The Advisory Panel would supervise staff, be responsible for budget recommendations and marketing strategies. In any contractual arrangement, performance of the activities agreed upon should be the criteria for continuing or disbanding the program. If CCVB has performed all the activities as set by the marketing 541 1 Avenida Encinas, Suite 100 P.O. Box 1605 Carlsbad,California 92008 (619) 729-5924 Page Two strategies and the Advisory Panel and agreed upon by the City Council, that should be the criteria for renewing a contract. Attempting to tie the success of advertising programs to the raise in the TOT is rather futile - one does not pay for advertising on the response to the ad, but rather the placement of the ad. 40 All CCVB staff should be centered in the Information Center at the Depot at Elm and the Railroad Tracks. We have discussed this with members of the Redevelopment Agency, Chris Salomone and the Village Merchants. All feel this would be an excellent move to enhance the activities in the redevelopment area. Completion of the renovation at the depot should be accomplished in the next three months to allow for this change. 50 An external accounting agency should be hired to conduct the bookkeeping and accounting for the CCVB. Though this will cost the CCVB more money than the present sharing of services of the Charnber Financial Manager, this will give the CCVB more autonomy from the Chamber accounting practices. As with the current contract we agree that the City's internal auditor should conduct at least one on-site visit each year. The expertise of the CCVB Director would allow us to establish an in-house advertising agency, which would result in additional savings on commissions that would normally be paid to an outside agency. 6. At a meeting of Community Leaders that included representatives from the Village Merchants, Advisory Panel, Hotel/ Motel Council and Chamber Board, it was agreed that the CCVB has been a valuable resource for the business community and the North County as a region. Activities in the past which have included Advertising, Travel Shows, Familiarization Tours, Public Relations Articles, Billboards, the "800" Number, involvement in the Carlsbad 5000, the Triathlon, the Sister City program and Village Faire, have not only enhanced the view of Carlsbad by the visitor, but also have established a sense of pride in the residents knowing that their community is viewed so highly by others and respected for the varying activities and recreational opportunities available to residents and visitors alike. There' is not another agency or group in this community who cares more about the charm of Carlsbad and it's continued enhancement than the CCVB staff and members of the Advisory Panel. Although without question our activities and programs have Page Three L benefited the hospitality industry, the main benefactor has been the City with increased taxes in the TOT, taxable sales and property taxes from new hospitality businesses. If the activities of the CCVB have led to a raise in the TOT (almost impossible to prove) the City has benefited. If the advertising programs and visits with travel agents have led to a better understanding and perception of Carlsbad, California, as a place to visit, we have all benefited. In the interest of time and brevity, I want to close with the hope that we can resolve the items of this agreement in the near future so that the programs and the activities that have been planned to increase the visitor dollars to Carlsbad can continue without loss to its content. As you know, the window of opportunity for many marketing programs is a small one, and time loss results in visibility and promotional activities lost to our comunity. At this time we are awaiting the results of the internal auditor as well as the meeting with the members of the ad hoc committee. This letter is our proposal to you, to continue with the benefits to the Carlsbad community -- something we ALL believe in. We believe strongly that the Chamber is still the best agency to implement this program and we stand ready to participate in the ad hoc committee at the nearest possible date. SCOTT LITTLE, PRESIDENT 1989 CARLSBAD CHAMBER OF COMMERCE CC: Ray Patchett, Frank Mannen, Jim Elliot, Jerry Rombotis, Steve Link, Jerry Rombotis, Peder Norby, Lee Bohlmann, Advisory Panel Members, Chamber Directors CALIFORNIA July 24, 1989 Carlsbad Convention & Visitors Bureau Minimal Operating Expenses - July, August, September 1989 Auto/Mileage Off ice Supplies Postage Telephone (including 800 #) Utilities MaintlRepair Janitorial TOTAL, July 50 75 400 600 160 60 63 1408 - August 50 80 500 4 00 160 60 63 -. 1313 September 50 80 350 450 115 60 63 1168 - TOT& 150 235 1250 1450 435 180 189 3889 - Carlsbad Convention & Visitors Bureau P.O. Box 4297 Carlsbad, CA 92008 (619) 729-1786 Division of the Carlsbad Chamber of Commerre - CALIFORNIA COMMUNITY COMP ARI SON TOT & CONVIS BUDGETS COMPILED BY LEE B. FROM STATE STUDY JUNE 29, 1988 CITY # OF ROOMS $ FR HOTELS $ FR CITY % OF TOT X OF # OF PROP. TOTAL BUDGET TOTAL TOT TO CCVB HOTEL COLLECTED CONTR OAKLAND 3600 15 ONTARIO 3600 21 REDDING 2000 30 RIVERSIDE 1700 18 SAN JOSE 2600 SANTA a MONICA - 2000 21 SAN LUIS 2500 60 $100,000 $1,060,000 20% 10% $1,000,050 5,300,000 NONE $530,000 $20,000, $296,700 $275,422 21% $1,300,000 $530,000 44% $1,200,000 9% 0 $276,708 31% 6.7% $900,000 $170,000 $2,000,000 50% 7.47 $2,300,000 $4,000,000 NONE $500,000 $68,000 $198,000 $500,000 19% $2,500,000 0 31~0,000 3% 345 $4,200,000 CARLSBAD 2283 , $31,424 $200,000 7% 13% 19 $2399700 $2,800,000 INCLUDING IN-KIND DONATIONS & CO-OP ADVTG $1 14,424 $322,700 35% TOTAL BUDGET is the Total Budget of the CCVB. $ FR CITY is the money appropriated to the CCVB by the city. TOTAL TOT COLLECTED is the total amount of money collected by the city from the TOT tax. % OF TOT TO CCVB is the percentage of the TOT collected and appropriated to the CCVB. This is not a fixed amount. % OF HOTEL CONTR is the percentage of the budget derived from contributions from the hospitality industry and from membership. Most cities do NOT implement a membership fee structure. Carlsbad Convention % Visitors Bureau P.O. Box 4297 Carlsbad, CA 92008 (619) 729-1786 Dimion of the Carlsbad Chamber of Commerce July 25, 1989 TO: CITY MANAGER FROM: Finance Director ADDITIONAL INFORMATION - CARLSBAD CONVENTION AND VISITORS BUREAU The representatives of the CCVB presented the attached information to the sub- committee members at yesterday’s meeting on the CCVB budget. This information summarizes the CCVB request for additional funding consideration for the months of July to September. The CCVB is asking that the following funding be considered: Sal ari es Office exDenses Total July $ 7,729 $ 1,408 $ 9,137 August 6,729 1,313 8,042 September 9,729 Total $21,187 1,168 7,897 $ 3,889 $25,076 The Council sub-committee will present a short report on progress with the CCVB question at the meeting of July 25, 1989. The staff report recommends that the Council consider funding salaries only for the CCVB through September. The CCVB will ask that the Council consider adding $3,889 to the staff recommendation for a total funding request of $25,706. JFE:tlg s-.,