HomeMy WebLinkAboutMinutes Corpus Christi Convention & Visitor Bureau - 05/25/1993 • a
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CCACVB BOARD OF DIRECTORS MEETING
MINUTES
TUESDAY, MAY 25, 1993
3:00 PM
CCACVB BOARD ROOM, 2ND FLOOR
!. Call to Order
The meeting was called to order at 3:10PM. Chairman Jones thanked the other Board
members for changing the Board meeting date from May 18th to the 25th. He
explained that last Tuesday important Texas legislature was being handled which
would affect community banks.
II. Roll Ca!!
Chairman Jones called the roll.
Directors attending.: Al Jones (Chairman), presiding
Stern Feinberg, Cathy Harrison, Roy Mayo, Lillian Murray, Shirley Pagan, Bill Pruet,
Ricardo Sanchez, E.J. Schenfarber, Berney Seal, Barbara Sheppard, Eugene Urban and
Erich Wendt.
Absent: None.
Attending Staff; Keith E. Arnold, Rob Earley, Marilyn Pierce, Pat Rousseau, Dana
Stephens, and Dottie Sylvester.
Guests: John Bell (Wood, Boykin & Wolter), Fred Dotts (MDL), Ron Fulton (Channel
6), David Gutierrez (KZTV Channel 10), Carlos Haney (KZTV Channel 10), Holly
Osborn (MDL), and Jim Steinberg (Caller Times).
Ill. Motion to Approve Minutes of April 20, 1993 Board of Directors Meeting
The above minutes were moved by Berney Seal, seconded by Gene Urban and
approved by the Board.
SCANNED
Corpus Christi Area Convention & Visitors Bureau •
1201 N. Shoreline, P. 0. Box 2664.Corpus Christi.Texas 78403-2664 USA !NCNB
(512)882-5603, 1-800-678-OCEAN, FAX: (512)882-4256
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IV. Presentation of Proposed Marketing Plan & Proposed Budget for FY 93-94
Chairman Jones asked Lillian Murray, Chairman of the Marketing Committee, to
introduce the Marketing Plan for FY 93-94. Ms. Murray began by stating that the
Marketing Plan being brought before the Board today was short term. It would be the
basis for developing a long term strategic plan. She noted that the Marketing
Committee responsible for today's Marketing Plan had been designed to incorporate
marketing people from general business as well as hotels and attractions. Earlier in
the year a series of meetings had been held with the hospitality industry. The input
from those meetings was used to come up with a structure that the newly formed
Marketing Committee could work on. Yesterday, the hospitality industry was shown
the Marketing Plan being presented to the Board today. She felt the plan had "clearly
defined goals and objectives". At this point, Ms. Murray asked Mr. Arnold to present
the plan to the Board (ATTACHMENT A).
It was pointed out that a "fall out" in large national conventions has been a trend
lately and that this puts Corpus Christi in a good position to market to those groups.
Southwest/Regional Associations were noted as including associations which involve
Texas and 3-4 other states. Mr. Arnold stated that the Board would be sent under
separate cover a list showing staff members responsible for the specific target
markets.
For 1994, separate guides would be done for meeting planners, tour operators and
visitors.
It was pointed out that a Washington, DC representative firm would be sought due to
the many major associations which have offices there. They intend on contracting
with a firm that handles 2-3 noncompeting cities and hotels. The goal is for Corpus
Christi to have a "top-of-mind awareness"in DC. The Bureau would not be interested
in a large representative firm but rather a "smaller, hungrier firm". The cost for such
a firm would be approximately S15,000 - 18,000 a year. The firm would be a lead
generator for the CCACVB.
Trade show attendance is being cut down by the Bureau to include only those shows
that have a good return on investment. The Bureau suggested having pre and post
tradeshow events, i.e. co-sponsoring a hotel suite with a hotel, having a special boat
cruise for people from the trade show. It was pointed out that pre-appointments can
be set-up with tour operators and group leaders at trade shows.
It was noted that an increased tourism traffic from Mexico is available to the CVB.
As it is still an international market, they felt it would best be opened up with
someone strong in that market who would also know the "political powers that be".
The Bureau noted that it would like to solicit bids from representative firms for this
purpose.
The CVB would like to create an additional $ 100,000 advertising fund from the area
hotels. They also stressed that they need to find out how many visitors Corpus Christi
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really has. The best way to determine this would be to allocate a budget for research.
The research wou/d also indicate what the Bureau's productivity is. They expressed
an interest in having the following done:
o Point of origin studies
o Expenditures in spending patterns
o Finding out the CVB's marketing effect
o Conversion study -- is it worth it for the CVB to be doing the advertising
it's doing?
Before the printing of the Marketing Plan, the CVB envisioned receiving 5100,000
from the USS Lexington and $ 100,000 from hote/s, attractions and the visitor industry
for advertising purposes. The Lexington has committed $ 100,000 to the CVB for
advertising.
/n terms of media schedules, September will be the kickoff month for the off-season
while April will be the kickoff month for the on-season. They felt strongly that
"advertising works for leisure travel".
Regarding the Budget (ATTACHMENT B), it was noted that it is preliminary. The
Bureau will not need it approved until June. A finalized Budget will be sent to the
Board members prior to the June Board meeting. It was pointed out that under
account #5010, a provision for 4% raises was being allotted although that did not
necessarily mean everyone on staff would receive a 4% increase in salary -- it was
just being allotted. Regarding account #7370 -- this would be set aside for a "lure
piece" for tour operators and meeting planners. It would consist of a four color
brochure which wou/d get people to think about Corpus Christi in a graphic, image-
building manner.
A pay-for-performance study of the CVB was also being proposed.
It was reiterated that a $50,000 cap had been put on local events at the Board's
Retreat. The question was raised if this cap would apply to the Los Barcos fund.
$16,000- $20,000 would be needed to upgrade the Bureau's software and hardware.
It was added that an office expansion plan was also needed by the Bureau to redo the
visitors desk, setup a conference room for 4-5 people, etc.
When asked for her thoughts on the Marketing Plan, Holly Osborn commented that
she felt it was a "good framework". Ms. Murray agreed and added that "we need to
convince our prospective partners to join with us".
It was confirmed that the visitor inquiry level is up compared to last year. There has
been a 59.4% increase in inquiries.
On a motion made by Shirley Pagan and seconded by Gene Urban, the Board of
Directors approved adoption of the FY Marketing Plan.
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V. Approval of CVB Bylaws
Chairman Jones asked John Bell to make a presentation on the above (ATTACHMENT
C). Mr. Bell noted that the changes involve the promotional pool of associate
nonvoting members, adding six additional directors from affiliated agencies and adding
an Executive Committee which would be comprised of three officers and three
directors at-large.
Chairman Jones inquired about establishing a standing Audit Committee for the Board.
Mr. Bell responded that a Finance or Audit Committee is a "typical function" for a
Board.
Mrs. Pagan brought up a question regarding categories. It was her understanding that
the Board had previously discussed having more business people incorporated into the
makeup of the Board rather than limiting itself to specific categories. The response
was that the Board is adding six extra people to the Board who would be nonvoting
advisory members.
It was verified that the Board is currently short one representative each from the hotel
industry and the restaurant/attractions industry categories.
It was suggested that the Board adopt the Bylaws "as is"and then make changes later
on. Mr. Bell was asked if the Chamber membership could be left "as is". His
response was that a legal requirement has been ignored for the last six years. By
current Bylaws, Chamber membership can legally vote on changes to the CVB Board
Bylaws, changes to the organization of the Bureau and their current method of
selecting members. A/though the Chamber doesn't "really care"about exercising its
voting rights, the legal matter should be "tied up". He added that the Board could
adopt the proposed Bylaws and then deal with the City and the Chamber. Chairman
Jones asked if anyone wanted to entertain adding a standing Audit Committee of the
Board. A motion was made by Gene Urban for the Board to establish a standing
Audit/Finance Committee to the Board which would be responsible for general
financial oversight and review of the organization. The motion was seconded by Lillian
Murray and approved by the Board.
It was clarified that two 3 year terms was "not written in stone". Regarding Board
membership, it was stressed that three absences would be allowed per fiscal year.
If a Board member were to miss three Board meetings, he or she would receive a
notice after missing the third meeting. After missing the fourth meeting he would
forfeit his place on the Board. If after four absences someone wanted to remain on
the Board, he would have to go before the City Council and petition their request.
Mr. Urban pointed out that the Bylaws stipulate a person who for 91 days is no longer
employed in the category they represent on the Board, must be dropped from Board
membership. It was determined that the Board itself cannot "flip"a person from one
category to another -- the authority to do so lies with the City Council.
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Mr. Feinberg brought up the issue regarding term limitation on the Board. He felt that
turnover was healthy as no one is "indispensable". He asked if the Board wanted
such controls built in. The response was that if someone has not been beneficial to
the Board they wouldn't be reappointed. A motion was made by Mr. Feinberg to set
two term limits. The motion was not seconded. A motion was made by Ricardo
Sanchez to accept the Bylaws as proposed. The motion was seconded by Cathy
Harrison and approved by the Board.
VI. CCACVB Financial Report (ATTACHMENT D)
Mrs. Pagan noted that she had recently met with Pat Rousseau and Keith Arnold
regarding a decision on the auditor for next year. It was decided that Flusche, Van
Beveren and Kilgore would do the audit for the CVB and the Lexington. The CVB's
audit would cost approximately $6,000. A motion was made by Mr. Urban to have
Flusche, Van Beveren and Kilgore handle next year's audit for the CVB. The motion
was seconded by Bill Pruet and approved by the Board.
Chairman Jones reiterated that the Budget before the Board today was "preliminary"
and that is needed work done on it. He added that the Lexington's Budget will mirror
the CVB's fiscal year. The Lexington has been asked to wait on adopting a Budget
until July. That will enable them to find out more about what traffic is like in order to
"get a better handle on things". The following suggestions were approved by the
Lexington Board:
o Out of net revenue for fiscal year 93, money be set aside for next year's
debt service (5260,000) to be paid to the Bureau in advance as available.
o 5150,000 of their Budget be allocated to advertising of the Lexington
($ 100,000 would be used for direct marketing, some would be used
toward their Marketing Director's salary, etc.)
VII. Departmental Reports
Mr. Arnold briefly reviewed this month's "Tidings" (ATTACHMENT El issue which he
felt was becoming a "consistent newsletter". He pointed out that the Convention
Department had recently booked two large groups (Texas Society of Hospital
Pharmacists plus one military group). He thanked Pat Rousseau for her work on the
Budget within a short period of time. Dana Stephens pointed out that the date for the
BBQ in honor of the Las Carabelas had changed from June 19th to June 17th. Erich
Wendt thanked Ann Neese and Kim Lemley for their efforts in overseeing the visit of
4600 German sailors to Corpus Christi. Rob Earley noted that 237,000 visitors have
been onboard the Lexington since October 14th. In May alone, the ship had 40,000
visitors.
Barbara Sheppard stated that the Area Council would be making a Team Tourism
presentation tomorrow at 3PM at Port Royal. It will be hosted by the Port Aransas
Chamber of Commerce. She invited the Board of Directors to attend.
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VIII. Las Carabelas Resolution
The above was not handled at this time. Mr. Arnold stated that it would be ready for
the ships arrivals in June.
IX. Old Business
No old business was brought forth.
X. New Business
Chairman Jones informed the Board that he had received a memo from the Las
Carabelas Board regarding ratification of their Board membership. The names of the
Board were read (ATTACHMENT Fl. On a motion made by Mr. Urban and seconded
by Mrs. Sheppard, the Board approved the Board of Directors for the Las Carabelas
Columbus Fleet Association.
Chairman Jones next read a listing of people that the Lexington wanted elected or re-
elected to its Board(ATTACHMENT G). On a motion made by Mr. Pruet and seconded
by Mr. Urban, the Board approved the people submitted for the Lexington Board of
Directors.
Chairman Jones stated that he wanted to appoint a Nominating Committee made up
of five people on the Board of Directors. He added that he wanted the Committee to
be chaired by Lillian Murray with E.J. Schanfarber and Bill Pruet on the Committee.
He gave Ms. Murray the authority to select two other members of the Board to be on
the Committee.
A question arose regarding having people on the Nominating Committee who's term
would either expire or who would be up for renomination. At this point, Chairman
Jones read the current list of the Board of Directors and their expiration dates
(ATTACHMENT Hl. It was noted that the slate of nominations would be due at the
June Board meeting.
A question arose regarding the package guide. Mr. Arnold stated that he had not
received a report from Noel Robin to present to the Board for this month. It was noted
that by the end of June 74,000 package guides will have been distributed.
Another question arose regarding the upkeep of the Lexington. Mr. Earley informed
the Board that 25% of the Lexington's staff paints the ship (13 painters). One third
of the total maintenance budget goes to painting the ship. As it takes four years to
paint the entire ship, it is an ongoing process.
On behalf of the Board of Directors, Chairman Jones officially wished good luck to the
Pagan racing team.
Mrs. Sheppard remarked that the attitude of the CVB employees was "upbeat". She
has sensed that the present staff is "del ed" to be a part of the CVB.
God
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XL Adjournment
The meeting was adjourned at 4:29PM.
Dottie Sylvester
Recording Secretary
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