HomeMy WebLinkAboutMinutes Corpus Christi Convention & Visitor Bureau - 07/26/2001 •
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MINUTES
CORPUS CHRISTI CONVENTION&VISITORS BUREAU
BOARD OF DIRECTORS MEETING
Thursday, July 26, 2001 - 12:00 p.m.
Museum of Science&History—Water Garden Room
PRESENT: Brad Lomax-Chair, Bill Goin, Bill Morgan, Bill Pettus, Tom Schmid, Bert
Quintanilla, Cristina Garza, Dave Prewitt, Vangie Chapa, Dan Viola, John Trice,
Berney Seal,Jody Patel
ABSENT: Mayor Loyd Neal , David Garcia, Lillian Riojas, Victor Gonzales, Linda Routh,
Govind Nadkarni,
STAFF: Wayne Bennett, Joey Jarreau, Terry Morales, Connie Cardamone, Martha Kleine
GUEST: Debbie Wallace, Corpus Christi Hispanic Chamber of Commerce
I. CALL TO ORDER:
Brad Lomax called the meeting to order at 12:03 p.m.
II. APPROVAL OF MINUTES:
Brad made a motion to approve the June 14, 2001 CVB Board of Directors meeting
minutes. Motion was seconded, motion passed.
III. PUBLIC COMMENT:
Brad announced that there have been some emails circulating from Chris and/or Betty
Stahl that have been very critical of the bureau's association with BDSI, Inc. and with the
past President/CEO. He added that such information has reached city council and county
judges. Brad responded to the email by inviting this person to the board meeting to
answer any questions. He noted that our organization has nothing to hide and has dealt
with the situation in question in a responsible and appropriate manner.
IV. FINANCIAL REPORT:
Joey reviewed the variance report with the board. He added that they continue to transfer
the $22,000.00 monthly payment for the Columbus Fleet into the bond account. To date,
there is$170,000.00 in the operating account and should finish the year as forecasted
with at least $40,000.00 after all expenses are gone and accrued but,he won't know for
sure until July is closed out. He is sure that we will have the$32,000.00 for the
additional projects previously approved by the board. Anything over that will be accrued
as an available miscellaneous expense at year-end closing. The use of the left over funds
will be discussed at the next Finance and Board meetings. Joey has been talking to Bill
Morgan about using the funds for additional advertising at the beginning of the new fiscal
year. Brad asked for a motion to approve the financials as presented, Berney Seal made
the motion,Cristina Garza seconded, motion passed.
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Wayne introduced Mike Wheeler of Fite&Wheeler, CPAS, who have been working on
the bureaus recent audits. Mike distributed a preliminary draft of the CVB's financial
statements for the seven months ended July 31, 2000. Mike stated that the CVB started
its separate operation with a 7-month statement. Even next year,with a full years audit
next to the 7-month audit, there will still be a comparability problem. It may take two
years to be able to make sense of it all. Mike reviewed the financial statement with the
board. Mike also presented a preliminary draft of recommended management points
involving internal control and operation. Tom Schmid suggested that the Finance take a
look at the financial statement and make a recommendation to the board. Joey noted that
it could be done however the 2000-2001 audit will not begin until the board approves the
7-month audit. It was agreed to wait for the Finance Committee to review the draft.
V. COMMITTEE REPORTS:
• Sales & Marketing—Bill Morgan reported that the committee reviewed the Star
Report. Joey asked for their input in building a competitive set group for that
report. This would include information on competitive like-size cities. Bill asked
Bill Pettus to come up with a plan to use the$44,000.00 in interest savings from
the bond payment. There was a lengthy discussion on the activity of the summer
season. The committee discussed ideas of putting together a program of discount
packages for feeder markets to be put together in a co-op program. The program
was targeted for August thru mid October. Bill Pettus developed the"Corpus
Christi Sand Dollar Card" which entails discounts for hotels, attractions,
restaurants, etc. The card will be advertised in the major feeder markets in a%
page ad beginning August 5th. Bill Pettus reported that beginning in August they
will begin selling ads for the Visitors Guide and Meeting Planner's Guide and
work on a new look for the brochures. Joey noted that the numbers for June were
good. For July they booked the next 5 of 8 years for the VFW convention with
the help of Leo Mason. He also added that attraction attendance numbers have
been added to the activity report. Bert announced that the Fire Fighters
Association of Texas were raving about the help the convention sales team
offered in landing that convention to Corpus. Brad asked that the sales activity
report be added to the agenda as a line item. Martha and Joey gave a brief update
of pending conventions.
Debbie Wallace presented the board with a letter from Manny Ugues,who was
unable to attend the meeting due to prior commitments,thanking the board for the
partnership with the CVB and Hispanic Chamber. She also presented a timeline
of marketing efforts for Mexico in the next 90— 120 days. She noted that the new
focus would be on the leisure and tourism market. She asked to include Manny
on the agenda for the September or October board meeting.
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There was a brief discussion regarding the importance of advertising the
Columbus Fleet. Joey suggested attaching a rack card of the fleet to the Sand
Dollar Card. John Trice noted that there is no visible signage on Padre Island to
inform tourists of the attractions on Corpus Christi beach and downtown.
• Governmental Affairs—Brad discussed coming up with program,between now
and next fiscal year, to educate city council members to see the CVB as an
investment rather than an expense. Berney asked for additional members on this
committee. Dan Viola and Dave Prewitt were added.
• Finance Committee—Bill Goin reported that the committee is working to get
acclimated with Connie, the new Accounting Manager. The committee is also
still working on an executive summary format for the financials. Connie gave a
brief report on her education class in Dallas on MAS 90. She is working on the
new format as per the committee's direction. Brad gave the board an explanation
of the additional funds generated by the interest rate change of the fleet when it
was refinanced. Joey reviewed the revised 2001-2002 draft budget. Brad asked
for a motion to accept the budget as amended. Tom Schmid made the motion,
John Trice seconded. Motion passed.
• Evaluations& Guidelines—No Report.
VII. COLUMBUS FLEET ASSOCIATION:
Rocco Montesano reported that he attended a board meeting of the association. Rick
Stryker gave a report in May indicating attendance was up 10%. Attendance was also up
in June by 10%and made $1,000.00 more than forecasted. The attendance for July was
down about 9%. Rocco distributed a copy of the operating report of the ships for June
2001. Rocco cautioned on longer-term advertisement of the ships, because of the shaky
future. He noted that the Santa Maria is in poor shape, the Nina is in satisfactory shape
and the Pinta is in fair shape,but they are getting some maintenance. The Nina will be
moved to the cargo dock 2 for a hurricane drill and then taken back. He reported that
Spain is trying to settle the lawsuit with Dusty Durrill. If Spain wins,there is a chance
they may sell to the highest bidder. Rocco stated that there is a lot of work to be done but
the window of time is narrow. He will know after July when he has reviewed their
budget.
XI. PRESIDENT'S REPORT:
Wayne personally thanked Joey for his leadership and outstanding financial re-
organization of the bureau. Wayne noted that he has been receiving positive feedback
and media attention on the visitor centers, CVB's participation with the powerboats and
the VFW convention. Wayne announced that while at IACVB his peers stated that their
sales efforts in the future is low. Wayne complimented the CVB sales team on their bard
work and successes. Wayne presented proposals for the 3-year audit. He reviewed the
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price breakdown with the board. Wayne pointed out that he was impressed with Fite&
Wheeler's commitment and thoroughness, although they were not the cheapest. He made
a staff recommendation to continue using their firm for the 3-year audit. Joey added that
in the past, the audit bid usually increased with unforeseen extra hours. Fite&Wheeler
originally projected to spend 150 hours on the audit,they have spent 250 hours and did
not charge for it. He also added that they have been much more thorough and detailed
oriented, coming up with things that have never been listed. Joey stated that every time
they have to use a new auditor, many CVB staff hours are spent providing the new firm
with needed information that Fite& Wheeler already have. There was a brief discussion
regarding the proposals and charges. Tom Schmid suggested narrowing it down to two
firms. The board agreed to have the Finance committee review the proposals in detail
and return with a recommendation to the next board meeting.
Bill Morgan stressed the importance of partner participation in co-op advertisement.
Joey discussed the response problem of CVB faxes or memos from some partners. He
suggested using Bill Pettus's letterhead. There was a brief discussion regarding
leveraging dollars and participation.
Brad thanked Joey on behalf of the board for his hard work.
XII. NEW BUSINESS:
None
XIII. OLD BUSINESS:
None
XIV. ADJOURN:
There being no further business to discuss,the meeting of the Board of Directors
adjourned at 1:37 p.m.