Okaloosa County BOCC — March 27, 2014 — Minutes — reading text

credit. Mr. Dixon asked if we had a lawsuit with BP for any loss. Mr. Schroeder answered no. Mr. Trifilio added that RESTORE Act dollars are not available yet, as a settlement or judgment in the BP trial is waiting. However, there are criminal fines that were assessed against BP that are actually available now which is being filtered through the National Fish and Wildlife Foundation (over $1B). Ms. Hoshihara suggested that if the TDC has any recommendations in terms of projects, usually she will make a recommendation and work with staff to supply additional information to present that recommendation to the Board. Motion to Approve Financial Update as Provided RESULT: MOTION APPROVED [UNANIMOUS] MOVER: Dixon SECONDER: Rigdon AYES: Empson, Gossom, Guidry, Rice, Peterson, Joyce IV. Convention Center Update (Bill Leaman) a. Conceptual Drawings/Rendering Mr. Leaman’s presentation included conceptual drawings of the work that was started in the back of the Convention Center. Completion will be about April 20. The small building on the drawing on page 117 will be called Bayview Plaza and provide electricity, water, and audio services. Full architectural drawings are available of the porte coches located on the main entrance, parking garage, and south entrance to keep people dry when raining. This is a service option that was included in the budget this year for $1M and approved by the County Commissioners last year. Mr. Leaman continued presenting drawings of the expansion on the back of the building that will add about 2400sf to the Ballroom, adding there will be outdoor restrooms with storage areas for the outdoor pad and another fenced storage area for outdoor equipment. Another conceptual drawing included a walkover over Hwy. 98, which will be located between the Sheraton and the new Holiday Inn Resort presently being built. The next drawing displayed the parking structure that is on the east and north side of parking lot right now with the same type of walkover to enter the building from the parking structure. A drawing picturing the final completion of the expansion was included in the presentation. Okaloosa County Tourist Development Department Page 8 of 16 March 27, 2014  Mr. Dixon recommended a beach scene be drawn on conceptual drawings and fishing murals on walkovers. Mr. Peterson asked if there had been studies on walkovers. Mr. Leaman replied that studies have been done to make sure walkovers are worthwhile. Mr. Peterson also asked that if placed between the two hotels, will there be parking for others than the hotel customers, and is concerned about how many people we are accommodating to spend that kind of money. Mr. Leaman stated that this kind of study (going through the Public Works Engineering and DOT) has not been done. Ms. Joyce commented about a concern of the Okaloosa Island hotels and Convention Center regarding a need for additional heads and beds during the off season, and wanted to partner with the Convention Center so that when they bring in city-wide events, we are all benefiting. One of the complaints she has heard, in respect to not having a walkover, is wanting the safety and convenience of a walkover to avoid crossing traffic. The main plan was to make it more convenient and more satisfying to those meeting planners that would bring additional events and put heads in our beds in off season. Mr. Guidry commented that the walkover at Destin West is being used very much. Mr. Peterson stated that having an attached hotel makes a lot of sense for safety and convenience to the people. Ms. Joyce agreed that it makes sense, but we should use the hotels that we have now that are sitting empty in the off season and this is a quick solution. Adding additional rooms in our market is not a quick fix. We’ve got a great supply on the Island so we just need to make it more appealing to meeting planners to use this fantastic facility and use the hotels that we already have. Mr. Leaman responded to Ms. Joyce’s point by saying it does attach us to a hotel or two and makes it more attractive for meeting planners, adding that an attached hotel is not the only hotel that is going to get the business. The business will spread out, in addition to the hotels and condos that are on Santa Rosa Blvd. For the people that do have hotels there, it will be almost like having an attached hotel at a much cheaper price. Mr. Peterson asked Mr. Leaman if there were any more inquiries for bookings. Mr. Leaman stated that there have been four inquiries: the boat show, the RV show, Athletic Championships coming next week, and a Baptist group from Texas. Mr. Peterson commented that the marketing effort will be the key to this being successful. V. Marketing Update (Kendra Nixon) a. Special Event & Sponsorship Funding Update Ms. Nixon announced the introduction of a new campaign. She reminded the Board that the updated list of the Special Events was uploaded to the site and included in the Okaloosa County Tourist Development Department Page 9 of 16 March 27, 2014  distributed packet and stated that she is ready to address any questions. People are getting educated which has resulted in cutting down on the processing time. Mr. Peterson asked if the special events reimbursements from November and December have been paid and how actual room nights are being determined. Ms. Nixon replied the actual room nights issue is a continual challenge between the event organizers. She wrote a survey for each of these events and gave to each event planner to use. They used the survey at registration and it is the responsibility of each planner to do this survey and to bring back the reports. Ms. Nixon added that capturing all actual room nights is not a possibility. Mr. Guidry commented that the people going thru Travelocity and other like websites will not show up. The HOG Rally has a registration list of hotel stays. Using the registration list would be a good way to get accurate numbers identified with those staying with the group. Ms. Nixon confirmed this info has been taken from these groups. Ms. Nixon went on to say further that there is a challenge in getting people to submit the backup information. This County came under scrutiny by the Auditor General. As an event planner, Ms. Nixon has been working closely with Ms. Dunworth to make the process more understandable. Some people are submitting reimbursement requests, but are missing backup information and do not return calls promptly which delays the process. Mr. Peterson continued the discussion by asking Ms. Nixon the question of how are we tracking the hotel information to determine the accurate numbers submitted for these events. Ms. Nixon stated that it depends on the type of event and answering some questions--what is the topic, area of expertise, and who’s coming?—it varies and is event specific because sometimes one room can hold multiple guests. Each event has to be looked at thoroughly. Mr. Dixon added that the Fishing Rodeo event demonstrates a model example of helpful information. Ms. Nixon commented further that every single room can’t be captured and verified, so have to receive attendee lists and rooming lists from the properties to state a case of validity for the event and what they bring to the area, as well as the other economic impact data not included in bed tax numbers. Mr. Rice added that it is wonderful to have all kinds of anecdotal information when they are coming and asking for money from the TDC, but when it comes time to do what they need to do to justify it, they offer excuses. They applied for a certain amount of money and that is taxpayers’ money that we need to be watching. If they need it for their event, then they need to do what they have to do after the event is done. Okaloosa County Tourist Development Department Page 10 of 16 March 27, 2014  Ms. Nixon stated that unfortunately, because of the scrutiny that the department has been under, that is the case now. Any event may apply and say they are going to have this many rooms, and here is all of our marketing expenditures. There is a $20K cap, but when they turn in their post event report and reimbursement request and their invoices, they may get paid less than what was approved on their application because of what is verifiable. The Auditor General, Finance department, and internally, Ms. Dunworth, are being held in scrutiny if they can’t justify the marketing expenses. Okaloosa County is now being seen as more difficult to get funding from. In regard to marketing and advertising campaigns and encouraging people to come to the area, Ms. Nixon distributed the “Escape to the Southeast Travel Guide” magazine that included a free ad in the Florida section, mentioning Henderson Beach State Park and our web address, emeraldcoastfl.com. She noted that there is another magazine recently received that will be discussed in the new collateral update. b. Agency Update (Peter Mayer) – Presentation Peter Mayer representative, Ellen Kempner, began by announcing the winning of a Public Relations platinum level award from the collaboration among the CVB, Destin Chamber, and the Agency on Public Relations related to the last Doolittle Raiders Reunion, through the HSMIO (Hospitality Sales & Marketing Industry Organization) and shared with the TDC, presented to the TDC. Another award won on the behalf of the TDC given to Mr. Peterson, specifically the Gold