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TDC Minutes 05/23/2005 R May 23,2005 TRANSCRIPT OF THE MEETING OF THE COLLIER COUNTY TOURIST DEVELOPMENT COUNCIL Naples, Florida, May 23,2005 LET IT BE REMEMBERED, that the Collier County Tourist Development in and for the County of Collier, having conducted business herein, met on this date at 9:00 AM in REGULAR SESSION in Building "F of the Government Complex, East Naples, Florida, with the following members present: CHAIRMAN: Commissioner Fred Coyle Ron Al bei t Susan Becker Robert Dictor Murray Hendel Douglas House David Loving John Sorey III Glenn Tucker ALSO PRESENT: Jack Wert, Director of Tourism Maria Bernal, Tourist Tax Coordinator Gail Hambright, Administrative Assistant Bill Mountford, Assistant County Attorney Ron J amro, Museum 1 5-23-05Agenda Page 1 of 1 MEETING AGENDA & NOTICE COLLIER COUNTY TOURIST DEVELOPMENT COUNCIL May 23, 2005 Collier County Government Center, Administration Bldg. F, 3rd Floor, 3301 East Tamiami Trail, Naples, Florida 34112 I. Call to Order II. Roll Call III. Changes and Approval of Agenda IV. Approval of TDC Minutes for April 25, 2005 V. Staff Reports 1 . Director's Report - Jack Wert 2. Sales Manager Report - Debi DeBenedetto 3. P.R. Manager Report - JoNell Modys 4. Film Coordinator Report - Maggie McCarty 5. Inquiry Reports a. Phase V - Fulfillment & Call Summary - Ginny DeMas b. Golf Pack - Jack Wert c. Search Engine Report - Jack Wert 6. Paradise Advertising & Marketing - Kerry Durand VI. Old Business 1. County/City of Naples Beach Renourishment Update 2. Hideaway Beach Renourishment Update 3. Marco South Beach Renourishment/Caxambas Pass Dredging Update 4. Wiggins Pass Dredging Update 5. Tourist Tax Increase Discussion VII. New Business 1. Change Order Request for $42,300 for T-Groin and Jetty Construction 2. Hideaway Beach Additional Sand Change Order 3. Category C Grant Requests a. C-1- County Owned & Operated Museums b. C-2- Non-County Owned Museums - Naples Botanical Garden 4. Category B Grant Requests a. Swingtime Celebrity Pro-Am Tennis & Golf Tournament VIII. Miscellaneous IX. Announcements X. Audience Input & Discussion XI. Council Discussion XII. Next Meeting Date/Location - June 27, 2005 Government Center, Administration Bldg. F, 3rd Floor All interested parties are invited to attend, and to register to speak and to submit their objections, if any, in writing, to the board prior to the meeting if applicable. For more information, please contact Jack Wert at (239) 403-2402. If you are a person with a disability who needs any accommodation in order to participate in this proceeding, you are entitled, at no cost to you, to the provision of certain assistance. Please contact the Collier County Facilities Management Department located at 3301 East Tamiami Trail, Naples, FL 34112, (239) 774-8380. Public comments will be limited to 5 minutes unless the Chairman grants permission for additional time. Collier County Ordinance No. 99-22 requires that all lobbyists shall, before engaging in any lobbying activities (including, but not limited to, addressing the Board of County Commissioners) before the Board of County Commissioners and its advisory boards, register with the Clerk to the Board at the Board Minutes and Records Department. http://www.eolliergov.net/tde/5-23-05Agenda.htm 5/1912005 May 23, 2005 I. The meeting was called to order by Commissioner Fred Coyle, Chairman, at 9:00 AM. Pledge of Allegiance was recited. II. Roll Call: A quorum was established. III. Changes and Approval of Agenda: Under Directors Report: Add Research Report -Clarification of Emergency Fund amounts Under New Business: Category "C-2" Non-County Owned Museums - error in Executive Summary for Naples Botanical Gardens - 30,000 visitors for 2006 not 300,000 and - Category "B"- Application for Swing time Celebrity Pro-Am - error - $15,000 and not $156,000. Mr. Tucker moved to approve the Agenda as amended. Second by Ms. Becker. Carried unanimously 9-0. IV. Approval of TDC Minutes - Regular meeting April 25, 2005 Ms. Becker moved to approve the minutes of April 25, 2005. Second by Mr. Tucker. Carried unanimously 9-0. V. Staff Reports 1. Director's Report - Jack Wert · Mr. Albeit was welcomed as their new member · Attended International Pow-Wow · Website Update (New look) · BCC approved additional funding for summer advertising in amount of $500,000 from disaster recovery fund - $450,000 will be for paid advertising, $25,000 Public Relations, $15,000 Research & $10,000 promotional · Tourist Tax collections over $2M · Fund #196 - analysis of disaster recovery advertising fund - is separate fund. Gave history of Operating Account and explained different amounts spent and what is needed. A lengthy discussion followed on the emergency fund, designating summer advertising as an emergency, keeping them ready and separate, and the 4th cent replenishing the account. Mr. Sorey asked Mr. Wert to show all the accounts associated with TDC with balances etc. Research Report for 1st Quarter - A PowerPoint presentation was given: (Attached) Comparisons of2004 and 2005. · Number of Visitors is up 16,309 · Expenditures up 2 May 23,2005 · Gave visitor origins - European visitor increased · Purpose oftrips - business and meetings increased · Summarized 2nd quarter, 2005 may be the same or better 2. Sales Manager Report - Debi DeBenedetto (Attached) o Many trips - travel agents o Hosted meeting planners o Covered new meeting planner guide o Trade Shows o Focusing on leisure travel 3. PR Manager Report - JoN ell Modys o Making personal relationships with Journalists o Need to be more familiar with the business markets in Europe o Tourism awards o Many tours o Gave publicity highlights o Talked about software system for PR 4. Film Coordinator Report - Maggie McCarty o McDonald's shot a commercial in Marco Island o AAA Auto Insurance shot a commercial in Naples area o Fahlgren Agency - video o Scouts in area for summer shoots o Handed out a Locations Magazine o Legislation - mentioned increase in incentive package and others o Launched website o CD Business card o Showed CNN "Pulse on America" 5. Inquiry Reports a. Phase V - Fulfillment & Call Summary - Ginny DeMas · Graphs and statistics were given with magazines, website activity, leading countries and the 6 leading states. b. Golf Pac Inquiries - Jack Wert . 3 sales packages c. Search Engine Report - Jack Wert · Trends, referrals and pay-per-c1ick statistics were given 6. Paradise Advertising & Marketing - Cedar Hames A PowerPoint presentation on the summer ad campaign was shown: · Gave Objectives, Strategies and Tactics · Targeting Orlando and Chicago markets · Will continue the branding summer campaign aimed at SW FL 3 May 23, 2005 · Markets will be an aggressive campaign aimed at group business 4th Percent Marketing Proposal (Attached) · Gave objectives to expand visitation in summer and fall seasons · Gave Strategies and Media Tactics · Domestic e-marketing · 4th percent provides unique opportunity to reach leisure, group & sports marketing prospects. · Will insure strong visitation for summer, fall & shoulder season. Mr. Wert acknowledged the Awards Paradise Marketing has received for various categories. Mr. Hames explained each to the Committee. (Was not audible on tape) BREAK-I0:41 AM RECONVENED - 10:50 AM VI. Old Business: 1. County/City of Naples Beach Renourishment Update (Informational Only) · Fish & Wildlife Biological opinion still outstanding · Bidding moved up to June 5 with award by BCC on July 26th. · Construction scheduled for November 1 st. · Required to construct artificial reef 2. Hideaway Beach Renourishment Update (Informational Only) · 40,000 cubic yards of sand needed for project (Due to erosion) · Weeks Marine in route with dredge - beginning week of May 30th · Working with Hideaway having weekly meetings 3. Marco South Bech Renourishment/Caxambas Pass Dredging Update (Informational Only) · No sea grass evident in the borrow area · Rescheduled a dive for reassessing area as part of permitting 4. Wiggins Pass Dredging Update (Informational Only) · Moved 40,000 cubic yards of sand thus far · Completion date May 31 st Mr. Sorey mentioned in the future they will be sure to specify a large enough dredge to accomplish the job. It has not been satisfactory. 4 May 23, 2005 Mr. Hendel pointed out Mr. McAlpin was requested at the CAC meeting to obtain political pressure for the biological opinion on the County /City Renourishment project. He asked if any progress has been made. Mr. Wert responded they discussed the situation with the County Manager and if political pressure was needed, it would be done. 5. Tourist Tax Increase Discussion - Jack Wert Handed out a recap card of the impacts on Tourism for 2004 (Quick Facts) Review proposal for increasing the Tourist Tax to 4%,- Their share of the market is decreasing overall in particular areas. They would like to do more advertising to get the business back as much as possible. Workshops have been held in 2003 & 2004 with the BCC on discussions of the extra penny. They did not have the support of the Hotel Industry at that time. Mr. Wert gave the percentage breakdown of collections totaling 66% being brought in by the Tourist Tax at present time. Category "A" is for Beach Renourishment or Beach Park Facility projects _ 50% of first 2% received - 66% total Category "B" is for promotions, public relations and administrative costs _ 23.236% of first 2% received -16% total Category "c" is for Museums - 26. 764% of first 2% received -18% total Mr. Wert covered the different counties in SW Florida with many comparisons to Collier County. An increase to 4% would compare with other destinations and not put them at a higher level. A 4% proposal estimates would be: Cat. "A" = $6.6M, Cat. "B" = $1.6M and Cat. "C" = $1.8M. Several other expenses were covered in his presentation. Benefits were given with some consisting of more funding for the advertising, promotions and targeting areas outside Florida. He gave examples of how it would be split between the Categories and stated it would require an Ordinance change. A lengthy discussion followed on questions for clarification on totals for each category and the emergency fund. The other penny is new money each category would receive. Mr. Hendel stated he would not vote or support the 4% the way it was presented. Mr. Wert pointed out when the tourist tax was first passed the split was 60% Beaches, and 40% Advertising, Promotions & Events and now it is 16%. It is very difficult for them to promote and compete in the market place with that amount and yet they have done well by stretching the funds as much as possible. They need the summer visitor to keep the people employed in Collier County. 5 May 23, 2005 Commissioner Coyle wanted to know what the reasonable expectation of occupancy rates is during the off season and how much money do they need to get it. More concern by the Committee members was expressed. Mr. Dictor supports the extra penny but not the remainder split. Mr. Tucker also stated they need the 1 % but did not support funding the museums and need to fine tune the split. Mr. Albeit proposed a possible cap on the museums percentage. Mr. Sorey asked Mr. Wert to get feedback from the Hotels for support. He also did not favor the museum funding. Also stated it wasn't inappropriate for the increase of advertising compared to other communities and hope research dollars are increased. He supports the additional penny and would like to see more funds for Beach & Inlets as welL In summary, most favored the additional penny, but not the allocation. Mr. Sorey moved to give direction to Mr. Wert to bring back a completed staff report and analysis coordinated by all stakeholders. Also a proposal where the money would be spent and measure the performance. Second by Mr. Hendel. Carried unanimously 9-0. VII. New Business: 1. Change Order Request for $42,300 for T -Groin & Jetty Construction Need additional funds for time and materials. The biological opinion asked that the equipment be removed from the beach each day. Mr. Sorey moved approval of the Change Order #1 to Contract #05- 3744. Second by Mr. Tucker. Motion carries - 8 Yes-l No. (Ms. Becker voting no) 2. Hideaway Beach Additional Sand Change Order Additional sand is required due to erosion. Will be reimbursed by Hideaway. Mr. Tucker moved to approve the Change Order. Second by Mr. Dictor. Carried unanimously 9-0. 3. Category C Grant Requests a. C-l County Owned & Operated Museums - Ron Jamro Mr. Jamro gave a budget report for 2006. The addition of Naples Depot has increased projected funding for '06. Mr. Sorey moved to recommend to the BCC that museums receive their 22%from the Tourist Tax as by Ordinance. . 6 May 23, 2005 It was further explained gross allocation for County owned Museums is 22% or ($1,496,000 for Category C-1) and 4.8% for non-County owned Museums or ($324,000). Second by Mr. Loving Motion carries 8 Yes -1 No. (Mr. Albeit voting No) b. C-2 Non-County Owned Museums - Naples Botanical Garden A report by the Botanical Gardens was distributed. (Attached) Amount has decreased to $207,100. Much of their funds are going towards marketing and permanent exhibits. Mr. Sorey moved to recommend acceptance of staff's recommendation of $207,1 00 for the 2006 Budget for the Naples Botanical Gardens. Second by Ms. Becker. Motion carries 8 yes -1 no (Mr. Albeit voted no) 4. Category B Grant Requests a. Swingtime Celebrity Pro-Am Tennis & Golf Tournament New event - $15,000. Will take place at New Players Club/Lely Resort. Golfwill be at Old Cypress Club. It will be televised by Sunshine Network - will have State wide coverage in Florida. Will not affect the operating Budget and would come out of Reserve Account #194. Can approve on a 1 year basis. Mr. Albeit is in negotiations with this venture; consequently has a conflict and will not vote. He stated it is a great event, but stated they should possibly be self-supporting. Stock Development is their main sponsor and TDC would be their media sponsor. They will have two 30 second spots in a 90 second ad. Commissioner Coyle reminded everyone that Committee members or County Staff can not take advantage of any of the perks mentioned. They could possibly be used by writers, travel agents etc. Ms. Becker moved to approve the event for 1 year for $15,000. Second by Mr. Dictor. Carried 8 for - None against - with 1 abstention (Mr. Albeit abstained) VIII. Miscellaneous - None IX. Announcements - None X. Audience Input & Discussion - None XI. Council Discussion · Ms. Becker - would like to see the ratio of what is given back to the collections concerning another penny as discussed previously. She stated it seemed they were '1umping on the band wagon" and it was upsetting. 7 May 23, 2005 · Mr. Tucker requested they give consideration to the business items on the agenda before staff reports and possibly be time certain. Commissioner Coyle agreed and stated the staff reports are too long and will address the issue. XII. Next Meeting Date/Location - June 27, 2005 BCC Chambers There being no further business for the good of the County, the meeting was adjourned by order of the Chair at 12:18 PM. *********** COLLIER COUNTY TOURIST DEVELOPMENT COUNCIL Chairman Commissioner Fred Coyle 8