HomeMy WebLinkAboutCity Council Committees - Lodging Tax Advisory Committee - 04/01/2003 (2) OFFICE OF THE MAYOR
Jim White, Mayor
Phone:253-856-5700
Fax: 253-856-6700
KENT Address: 220 Fourth Avenue S.
WASH I N G T O N
Kent,WA. 98032-5895
FINAL AGENDA
LODGING TAX ADVISORY BOARD MEETING
Tuesday, April 1, 2003
2:30pm
4"' Floor Centennial Building
Mayor's Conference Room
1. Call to order— Councilmember Rico Yingling
2. Welcome new board member Jacquie Alexander
3. Approval of minutes of February 18, 2003 meeting
4. Financial Report and Latest 2003 projections—Cliff Craig or John Hillman, Finance
5. Update on Kent Lodging Association Budget Proposal for July-December 2003—Nathan
Torgelson
6. Review/confirm community grant process request of$5,000
7. Softball tournament issues—Raul Vaca and Nathan Torgelson
8. Dragon Boat races—Nathan Torgel'son
9. Other business
10. Next meeting
11. Adjourn
LODGING TAX ADVISORY COMMITTEE MEETING
MINUTES for February 18 2003
The regular meeting of the Lodging Tax Advisory Committee was called to order at 2:30 p.m. by chair,
Rico Yingling.
Committee Members Present: Kathy Madison, Andy Wangstad, Rico Yingling and Denise Gray
Committee Members Absent: Vickie Molzer and Diana Albertson
Staff Present: Nathan Torgelson, Economic Development Manager, May Miller, Finance Director,
Pete Peterson, Riverbend Golf Operations Superintendent, Brett Wilkinson, PGA Professional and
Cheryl Viseth temporarily replacing Brenda Jacober, City Clerk
Guests: Raul Vaca, Kent Chamber of Commerce and Jacqui Alexander, Kent Downtown Partnership
Welcome New Board Member:
The committee introduced themselves to Denise Gray, General Manager of the Town Place Suites,
Seattle/SouthCenter. Denise is representing the Hotel side of the committee and is replacing Rene
Husby. Denise has lived in the area for seven months and feels that serving on the board would be a
great opportunity to find out what is going on in the community. Rico briefly explained the committee's
purpose and goals.
Approval of Meetinq Minutes for November 5, 2002: Minutes for the November 5, 2002 meeting
were approved as read.
Kent Lodging Association Update: Raul Vaca, Chamber of Commerce
(Copies attached) Raul handed out copies of the "Kent Lodging Association Report to Lodging Tax
Advisory Committee dated 2-18-03." The first handout reflects a snapshot of the room revenues for
four hotels from 2001 to 2002. Bottom line is that revenues are down overall, year to date. The second
handout (see attached copies) reflects the number of hits and number of page views to the Kent
Chamber's Web Site, from December 2001 to December 2002. He noted that on February 19, the
online reservation system would be up and running.
Raul had a copy of the Washington State Visitors Guide for everyone to look at.
Upon closing, Raul asked when an appropriate time would be to submit for their July through December
estimated budget. Rico suggested that Raul and Nathan put together a preliminary evaluation and
bring that back in May with a possible recommendation.
Nathan noted that the City's website now included a link to the Kent Chamber of Commerce. Pete will
work with Raul to link the Golf Course as well.
Rico asked that someone from the golf course attend some of the monthly Kent Lodging Association
meetings (2"d Wednesday of each month) as they had particular interest in partnering with the golf
course.
State Experience Washington Website and Kent Information; Nathan Torgelson, Econ. Dev. Mgr.
The State of Washington has a tourism web site, and every city has an opportunity to submit
information. Nathan will be the editor of the information submitted for the City. He also noted that you
can only link to other existing web sites that are public or non profit sites not, businesses. If you are
interested, go to www.experiencewashington.org. (See attached handout).
1
Recommendation on New Member (Jacqui Alexander);
Nathan had nominated Jacqui Alexander as a new member of the Board and she graciously accepted
the nomination.
Ms. Alexander formerly worked for the Chamber of Commerce at the cities of Shelton, Olympia, Lacey
and Vancouver. She had also worked as sales director at a hotel and served on the Lodging Tax
Board for the City of Shelton, a panel very similar to this board. Ms. Alexander is currently the Director
of Kent Downtown Partnership. The Partnership works closely with a number of downtown businesses
much like the Chamber of Commerce, working on issues that impact the business community. The
Downtown Partnership is currently moving toward a membership program.
Jacqui was recommended to serve on the committee because of her vast experience. Her appointment
was unanimously approved.
Financial Report and Latest 2003 Projections; May Miller, Finance Director
See attached report
Update on Softball Tournament Bids; Nathan Torgelson
In late winter Raul and Nathan exchanged emails regarding the funding of the Senior Men's Western
World Qualifier to take place July 18-23. $12,500 would pay for the bid with 60-80 teams playing at
Russell Road Park. Two other softball tournaments came to Nathan and Raul and it was decided not to
submit bids for them due to the shorter duration (more bang for the buck with the Senior Men's
Tournament).
Review/Confirm Community Grant Process Request of$5,000:
Nathan noted that at the last meeting the committee reviewed a grant application. The Kent Downtown
Partnership had submitted two requests for marketing dollars for two separate events. It was
recommended that we not provide funding for the Winter Fest event, but provide preliminary approval
for the Canterbury Crier. It was determined that the Canterbury event would potentially draw more
hotel stays than the Winter Fest event. Jacquie shared that the money would be used for marketing
and entertainment. Jacqui will go back to her committee and see if they can reduce the amount of their
request and bring it back to the committee in April.
Other Business;
Pete and Brett, Riverbend Golf Complex handed out the 2003 Golf Tournament Schedule (see
highlighted areas) for out of town visitors. Various questions followed about how the golf course
advertises and when asked, what places/businesses they recommended.
Next Meeting;
April 1, 2003 at 2:30 p.m., Temporary Mayor's Conference Room located on the Fourth Floor of the
Centennial Building in Suite 400.
Action Item:
May Mill will find out when the debt service will be paid in full.
Adjourn:
The meeting was adjourned at 3:30 p.m.
2
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"j CITY OF KENT
X
CITY CLER
DOWNTOWN
PARTNERSHIP Kent Downtown Partnership
Name of Applicant: Kent Downtown Partnership
Address of Applicant: 202 West Gowe Street,Suite K,PO Box 557,
Kent,WA 98035
Business Phone: (253) 813-6976
Contact: Jacquie Alexander,Executive Director
Non-Profit Status: Yes
Identification Number. 91-1573465
Project: "Canterbury Canter
August 16-17,2003
Amount of funding requested. $5,000.00
Description of the project:
run, sprint; dash,rush, plunge headlong or race, scurry, scamper, scud, scuttle, spurt,
burst, burst of speed, canter,gallop, lope, trot, dogtrot,jogtrot, amble, pace, prance.
Can-ter/kant-er/(the supposed gait of pilgrims riding to Canterbury) 1: to move at, or
as if at, a canter:LOPE 2: to ride a horse at a canter: vt:to cause to go at a canter.
Description: Canterbury Canter in Kent Downtown will join the Canterbury Faire
activities to promote a gallery, antique and collectible walk(Canter) through our"faire"
city. Merchants will prepare special events and displays. A"Canterbury Faire
Express" will provide complimentary transportation to link together the weekend
events. A diverse group of musicians and performers will provide entertainment in the
Downtown area. Local restaurants,pubs, coffee shops and bakeries will welcome
visitors along the Canter.
Lodging Tax Grant
Page Two
1. How does this project meet the guidelines identified above,or otherwise advance
the goal promoting tourism and encourage overnight stays in Kent?
Canterbury Faire is an existing event coordinated by the City of Kent Parks
Department. The event, located at Mill Creek Park, has successfully attracted guests
and tourists for several years. The promotions committee for the KDP believes we
can greatly increase the popularity of this event and attract more tourists,by
offering opportunities of specialty shopping, fine food and entertainment in historic
Kent Downtown. We will encourage travel packages on our (near-future)website
and in promotional materials. We will distribute promotional materials to
recreational vehicle parks, hotels and the Sounder Train riders.
2. Quantify the benefit to tourism caused by this project(estimated number
of over night stays).
This weekend event will draw approximately 5,000 additional guests and visitors to
Kent. Our estimate for overnight stays would be approximately 10%.
3 Is this project currently funded by some other revenue source?
The Promotions Committee for the KDP is expecting local businesses to partially
support this event financially through individual and group promotions.
4. Have you received funding in the past from the Lodging Tax?
No.
5. How and when will you spend the funds requested in this cycle?
Planning for this new event will begin in November, 2002. The funds will be spent
on marketing and.promotion of this event through regional newspapers, direct mail,
radio, posters,banners, press releases, and cable television. Advertising and
promotions will begin almost immediately by placing this event in festival listings,
web pages, goings on for the 2003 and increase the exposure as the event draws
near.
6. Who in your organization is responsible for spending the funds?
The Canterbury Canter committee will be selected to determine the appropriate
advertising and promotion mediums;present their request to the KDP Promotions
committee, and ultimately, to the Kent Downtown Partnership's Board of Directors
)
Lodging Tax Grant
Page Three
Respectfully submitted,
S' ne Dated
r
T tle
Kent Downtown Partnership
P.O. Box 557
Kent,WA 98032
Phone: (253) 813-6976
E-maik downtown@wizards.net
Kent
Cornucopia Days
"Dragon Boat Races"
March 31,2003
To:Rico Yingling
Chair of the Lodging Tax Advisory Board City Committee
Lodging Tax Advisory Board Members
Nathan Torgelsen
Economic Development Manager for the City of Kent
From: Cheryl Corbin
Kent Lion's Cornucopia Festival Dragon Boat Race&Festival-Director
Subject: Proposal to the Lodging Tax Funds Advisory Board for the use of funds
collected to create business for Kent motels and hotels.The vehicle for this
would be the Kent Lion's Cornucopia Days Dragon Boat Race Festival(held July 11 & 12th)
The Kent Lion's Dragon Boat Races are in their 3rd year of races and are growing toward hosting the
Pacific Dragon Boat Associations regional races in July of 2004. There will be an influx of up to 70 teams.
This would attract teams from California,Oregon,Washington,possibly Arizona and Nevada. Each team
has 20-24 members to it. That could draw 1400+team members. Family and friends accompany the teams
as well. We also draw some from Canada and if we remain the only July dragon boat race at this moment
in the region,we will draw more Canadians and other teams.That influx could increase this year. This
year I am hoping to draw between 30-40 teams. We are busy developing our local teams as well.We have
added a friendly competitive race between local city governments and have named it"Battle For The
Paddle"This is a wonderful community bridging,people friendly,fun,colorful event that creates visibility,
is a great recreational and competitive sport,and provides an opportunity for tourism as well. Dragon Boat
Festivals are colorful,entertaining,and unique. The combination of the races with the festival interests
both the community and the racing teams. This year J.P.Patches and other entertainment,including T.V.'s
channel 11 will be present to film and interview politicians in the"Battle For The Paddle". We are
developing a ceremony to kick off the event at the Great Wall Mall. The Kent Lion's were just loaned a
dragon boat to exhibit at the Great Wall Mall to promote the event. There will be much media attention,
VIP's and festive activities to bring awareness to the dragon boat festival,as well as Cornucopia Days.
Dragon boat racing is rooted in Chinese tradition and stems from folklore. The boats have dragon heads
and tails on them. There are many designs. The festival is a colorful assortment of food,vendors,
entertainment,and the races begin with the traditional"Opening of the Dragon's Eye". Colorful,energetic
Lion dancers and drum beats start off the ceremonies. Each team of up to 24 people tries to paddle in
unison to the finish line in record time.
So far there are no dragon boat race festival's taking place in Eastern Washington. The funds collected
from the lodging taxes could be invested in developing brochures and promotions to attract people over
from that part of the state to see the dragon boat festival in Kent. This would be as much of a treat to that
region as when we visit Leavenworth and enjoy the uniqueness it has to offer.Attending the races,the
festival,attending Cornucopia Days with a visit to the Great Wall Mall,and finishing with dinner at the
Imperial Gardens then an over night stay in a Kent motel/hotel could be a tourist package all by itself!
There is a market from Lake Chelan to Spokane to the Tri-Cities for this annual event.
Other ways the funds from the Lodging Taxes could enhance the attraction of business to the motel and
hotels in Kent,through the Kent Dragon Boat Festival,is to form a"Hospitality Committee"from
interested members in the Lodging Association.They would sponsor and present in part or whole the
medals awarded to the teams at an awards ceremony. By catering to the dragon boat teams with special
rates,and using the lodging tax funds to provide a Kent traditional"goodbye"barbecue dinner,a great
lasting memory of the Kent venue will be instilled.The teams and tourists'will look forward to the Kent
Lion's Dragon Boat Festival annually.The Kent hotels and motels will continue to prosper over and over.
mom
or
�� gory Bout Race=s�,
• Your company's banner will be posted at the finish line before a crowd of 1,000+team
members and spectators or in our entertainment/vendor area.
• Your company's logo will appear in the race program.
• Your company's name will be listed or named in other media coverage.
• Individual's name instead of company name is accepted.
• By reserving your company's advertising spot today, you are insuring your advertising
spot at the 2004 Pacific Dragon Boat Association regional races in Kent.
4• Race event is for July I 1 and July 12, 2003 on beautiful Lake Meridian in Kent.
• Support the Kent Lions Cornucopia Dragon Boat Races. All proceeds go to numerous
Kent Lions charitable programs.
• This is a wonderful community connecting and team building sport.
Donation: $500.00 finish line signage or $300,00 for entertainment bowl signage.
For vendor opportunities please call: Julie Holbrook-Vendor Chair, 253-631-9392
For advertising spot please contact: Cheryl Corbin, Kent Lion's Dragon Boat Race Director
at: 253-735-6368, fax: 253-735-4452,E-mail: dandcl@juno.com
Visit us at www.kcdays.com for more information
DONATED BY YOUR KENT OFFICE DEPOT
CITY OF KENT
PRELIMINARY BUDGET ANALYSIS AND FORECAST
LODGING TAX OPERATING FUND
as of February 28,2003
2002 2003 2003 2003
Actual Adj Budget YTD Est Actual
REVENUES
Lodging Tax 127,390 131,411 17,509 131,053
Interest Income 521 1,115 0 1,115
TOTAL REVENUES 127,911 132,526 17,509 132,168
EXPENDITURES
Strong Local Economy
Transfer Out-Tourism Destination 85,000 85,000 - 85,000
Transfers Out-Tourism-Related Projects 66,530 66,530 23,598 66,530
TOTAL EXPENDITURES(TRANSFERS) 151,530 151,530 23,598 151,530
INCREASE(DECREASE)IN FUND BALANCE (23,619) (19,004) (6,089) (19,362)
BEGINNING FUND BALANCE 43,205 22,050 19,586 19,586
ENDING FUND BALANCE 19,586 3,046 13,497 224
PRELIMINARY BUDGET ANALYSIS AND FORECAST
OURISM-RELATED PROJECT ACCOUNT
as of February 28,2003
2002 2003 2003 2003
Actual Adj Budget YTD Est Actual
REVENUES
Transfers in- Lodging Tax Fund 66,530 66,530 23,598 66,530
EXPENDITURES
Tourism-Marketing (1223) 14,303 12,500 5,000 12,500
Tourism Chamber 2000 (1263) - - - -
Tourism Chamber 2001 (1271) 6,465 - - -
Tourism Chamber 2002 (1272) 57,530 - - -
Tourism Chamber 2003-Jan-Jun 39,790 35,000 39,790
Tourism Grants/July-Dec Chamber 14,240 14,240
TOTAL EXPENDITURES 78,298 66,530 40,000 66,530
INCREASE(DECREASE)IN BALANCE (11,768) - (16,402) -
BEGINNING PROJECT BAIrANCE 23,170 3,518 11,402 11,402
ENDING PROJECT BALANCE 11,402 3,518 (5,000) 11,402
13002.x1s 4/1/2003
EXHIBIT "A"
`l Kent Lodging Association
2003 Budget
NOTES:
Total hotel occupancy for 2002 is expected to generate $107,681 in tax revenue
Jan. -Jun. Jul. -Dec. 2003 Total
Service Budget
Web site
Hosting $ 300 $ 300 $ 600
Consulting $ - $ - $
Content administration $ 5,400 $ - $ 5,400
Content management system $ 1,500 $ - $ 1,500
Search engine marketing $ 2,500 $ - $ 2,500
Subtotal $ 9,700 $ 300 $ 10,000
Individual Traveler Collateral
Lure brochure print 10,000 copies $ 3,600 $ - $ 3,600
Postage: $100/mo.) $ 100 $ 50 $ 150
Certified Folder distribution $ 2,500 $ - $ 2,500
t
btotal $ 6,200 $ 50 $ 6,250
1 Meeting Planner
Print $ 100 $ 100 $ 200
Postage $ 100 $ - $ 100
Eastern Washington Trade Show $ - $ - $ -
Subtotal $ 200 $ 100 $ 300
Advertising
Sponsorships (tournaments, etc.) $ 2,750 $ - $ 2,750
WA State Visitors Guide $ - $ 2,500 $ 2,500
Eastern Washington Newspapers $ - $ $ -
Toll free number: @ $0.10/min. $ 250 $ 50 $ 300
Subtotal $ 3,000 $ 2,550 $ 5,550
Marketing Representative
Salary: PT $ 11,000 $ 11,000 $ 22,000
Payroll $ 990 $ 990 $ 1,980
Benefits $ 2,700 $ 2,700 $ 5,400
Training/contractor $ - $ - $ _
Travel $ $
Admin. O/H (Office supplies, utilities, office space, etc.) $ 6,000 $ 6,000 $ 12,000
Subtotal $ 20,690 $ 20,690 $ 41,380
Total $ 39,790 1 $ 23,690 1 $ 63,480
IJ