HomeMy WebLinkAbout2015-05-21; Carlsbad Tourism Business Improvement District; MinutesMINUTES
CARLSBAD TOURISM BUSINESS IMPROVEMENT DISTRICT BOARD MEETING
DATE OF MEETING: May 21, 2015
TIME OF MEETING: 1:30 P.M.
PLACE OF MEETING: 1635 Faraday Avenue, Planning Library, Carlsbad, CA 92008
I. CALL TO ORDER: 1:30 P.M.
II. ROLL CALL:
Present: Akers, Becerra, Canepa, Magor, Nayudu, Samietz, Stripe.
Absent: None.
CONSENT ITEMS;
III. APPROVE MINUTES OF APRIL 22, 2015
Motion by Board Member Stripe to approve the minutes of April 22, 2015 carried unanimously.
REPORTS AND DISCUSSION ITEMS:
Staff liaison Cheryl Gerhardt delivered a power point presentation (copy on file in the Office of
the City Clerk), providing a financial update for the board. Ms. Gerhardt informed the board that
hotel revenue is up month over month with an average occupancy rate of 71 percent. This
represents a steady increase in TOT as well of over 15 percent and the CTBID increased 8 percent.
The assessment revenue year-to-date is at $828,000 which is above the budgeted revenue of
$695,000 exceeding revenue forecast by $133,000. The budget to actual for the year reflects at
the end of April, which includes hotel stays through the end of March, is $911,000 with the
forecast at $960,000. Once April and May hotel stays are included, completing the fiscal year,
the CTBID will realize at least another $100,000, so the budget revenue forecast will reflect a
surplus.
Board member Canepa asked ifthe city of Palm Springs is a good comp for the monthly travel
research report and it was agreed that it should remain along with the addition of Santa Monica.
V. AB 05-15-111 CTBID Grant Request - Consider funding CTBID grant applications from
Carlsbad Music Festival and the Multiple Sclerosis Society.
Ms. Gerhardt provided an update to the board for their approval ofthe remaining allocated grant
funds of $10,000. There were two grant requests submitted; one from the Carlsbad Music
Festival and the second from the Multiple Sclerosis Society for their Bike MS event. One of the
guidelines for the grant fund is that recipients host a multi-day event. The Music Festival walk
would only be a one day event held in June with the actual music festival to be held on August
28-29. Grant funding for the latter will be considered in the next fiscal year budget. Staff
recommended the grant be awarded to the Bike MS applicant. It was further noted by Board
Member Canepa that the Bike MS event is held in October, which is a very desirable time of year
to be bringing people to Carlsbad.
Motion by Board Member Magor, seconded by Board Member Canepa approving staffs
recommendation to award the entire $10,000 to the Bike MS grant applicant. Motion carried
unanimously.
VI. AB 05-15-112 ADOPT 2015-16 ANNUAL REPORT - Adopt Resolution 2015-2 approving the
Fiscal Vear 2015-16 CTBID Annual Report and Budget.
A review ofthe annual report was conducted and Ms. Gerhardt informed the board that this is
on the agenda calendar to go to the City Council for approval at the June 9, 2015 meeting. This
report includes the budget that was presented at the last board meeting with the changes
requested. Ms. Gerhardt noted the assessment revenue estimate of $1.16 million, on the
expenditure side an administrative fee of 2 percent and the Visit Carlsbad contract increase of
$70,000 which was requested at the last board meeting bringing that contract up to $590,000.
Discussion regarding contingency and grant funds proceeded and Ms. Gerhardt directed the
board to the appropriate sections of the power point for further detail analysis. Board Member
Nayudu asked how people are made aware when grant money is available and Ms. Gerhardt
responded that it is always posted on the website and all of the board members are informed.
Mr. Sam Ross, Executive Director with Visit Carlsbad, responded that they leave it up to the board
to let him know what outreach efforts to make. Discussion about expanding exposure proceeded
to get the word out that grant money is available. Board Member Stripe noted the police ride
from Los Angeles to the border may be an example of an event that could apply for grants with
Carlsbad as a stopover location. Board Member Magor noted another opportunity may be
promoting changes as they occur at the Palomar Airport. As the plans for larger direct flights into
Carlsbad materialize, more incentives exist for groups to stay here.
Christina Vincent, staff's Economic Developer suggested further outreach to include the CTBID in
the regional effort to enhance the 78 corridor. Board Member Canepa suggested bringing a
beach volleyball event to Carlsbad during the spring or fall. While the beaches are largely under
the control of the state, Mr. Canepa noted that working with local state and parks recreation
personnel can be beneficial. Board Member Nayudu suggested outreach to the city of Santa
Barbara to see if there are any events currently scheduled there that will need to be relocated
due to the recent oil spill.
Motion by Board Member Nayudu, seconded by Board Member Magor to approve the budget.
Motion carried unanimously.
VII. AB 05-15-113 APPROVE CONTRACT WITH VISITCARLSBAD - Adopt Resolution 2015-3
entering into a contract with VisitCarlsbad for tourism promotion services for fiscal year 2015-
16.
Ms. Gerhardt reviewed the VisitCarlsbad contract of $590,000 noting some additions to the scope
of their contract is the RFP (Response for Proposal) for the digital marketing portion of the
contract. Once the board approves the contract, VisitCarlsbad will publish the RFP and will bring
back the top three RFP'sto the board for final selection. Staff recommended a selection be made
no later than September 1, 2015. Board Member Canepa noted that $218,000 had been
allocated for digital marketing, but that the RFP would go out at $200,000 to $400,000. He noted
that he would like to see some fresh ideas, some re-branding ideas and a new website.
Motion by Board Member Magor, seconded by Board Member Becerra to approve the
VisitCarlsbad contract. Motion carried unanimously.
VIII. AB 05-15-114 DIGITAL MARKETING RFP - Review draft digital marketing RFP and give
feedback.
Ms. Gerhardt reminded the board that at the last meeting they expressed an interest in having
input in the RFP for the digital marketing portion of VisitCarisbad's contract. The strategic
advisory group provided a review along with VisitCarisbad's recommendations for the RFP. Staff
requested the board provide any input or changes before the RFP is published. The RFP does
include the range of $200,000 to $400,000 previously discussed. It was decided that the RFP
should include a la carte items with the base being $200,000 and additional desirable items be
itemized up to $400,000. Chair Stripe suggested allocating $250,000 as the basic scope ofthe
project with an allowance of $200,000 for additional items. Ron Kemp, Assistant City Attorney,
provided recommendations for appropriate wording to identify base tasks that the board
definitely wants to see and add a description of some a la carte items the board would like to
see. This would provide a guideline to the respondents and allow the board to compare apples
to apples. Further discussion about the RFP content and structure proceeded with Chair Stripe
recommending staff proceed with creating the RFP with a base of $250,000 and add on items not
to exceed $200,000. Ms. Gerhardt confirmed that respondents should provide current
measurements.
The presentations by respondents were scheduled for the August 4, 2015 CTBID board meeting
at 1:30 P.M. Each presenter will be allowed a total of 30 minutes with the last 10 minutes
devoted to questions and answers. The board will have 15 minutes between presentations and
the board's final decision is to be made atthe conclusion ofthe presentations.
Motion by Board Member Magor, seconded by Board Member Canepa to approve the RFP.
Motion carried unanimously.
IX. AB 05-15-15 ELECTION OF OFFICERS - Election of new CTBID Board Vice-Chair
Board Member Magor nominated Board Member Canepa, seconded by Board Member Akers.
Board Member Canepa agreed, all in favor. None opposed.
GENERAL COUNSEL COMMENT: None.
ADJOURNMENT
By proper motion, the Board Meeting of May 21, 2015 was adjourned at 2:41 P.M.
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Barbara Engleson 0
City Clerk