HomeMy WebLinkAboutMinutes Corpus Christi Convention & Visitor Bureau - 08/19/1993 23-Z
THE ISLES OF TEXAS
CCACVB BOARD OF DIRECTORS ANNUAL MEETING
MINUTES
THURSDAY, AUGUST 19, 1993
1:00 PM
CORPUS CHRISTI MARRIOTT BAYFRONT, NUECES BALLROOM "A "
1. Call to Order
The Annual Meeting was called to order at 1:10PM. Chairman Jones asked Dottie
Sylvester to read the roll call.
It. Roll Call
Directors attending: Al Jones (Chairman), presiding
Marco Arredondo, Rosario Chapa Carrizo, David Coggins, Cathy Harrison, Bill Pruet,
Ricardo Sanchez, E.J. Schanfarber, Barbara Sheppard, Jean Titus, Eugene Urban and
Erich Wendl.
Absent: Ralph Ehrlich, Rex Kinnison and Lillian Murray.
Attending Staff: Keith E. Arnold, Rob Earley, Marilyn Pierce, Pat Rousseau, Dana
Stephens, and Dottie Sylvester.
Guests: Channel 6, Fred Dotts (MDL), Butch Farabee (Area Council), Tern Miller(Area
Council), Elaine Motl (E.M. Marketing), Holly Osborn (MDL) and Patti Young (Area
Council).
At this point Chairman Jones asked the Directors present to introduce themselves.
He then recognized the fine work and long hours put in by those Directors whose
terms had recently expired as of July 31st. The Directors thanked were Shirley Pagan,
QRoy Mayo, Stern Feinberg and Berney Seal. He added that they had made a sizable
LL J contribution to the CVB and that they were welcome to be involved in any committee
work done by the Board of Directors.
IV. Slate of Nominees for Board of Directors Officers
UChairman Jones noted that the CCACVB's fiscal year runs from August 1st through
co July 31st. As the Board of Directors was starting out on a new fiscal year, there was
a need for it to organize itself in regards to its makeup of officers. As the Chairperson
of the Nominating Committee was not present at this time (Lillian Murray), Bill PrueiriMB
CORPUS CHRISTI AREA CONVENTION&VISITORS BUREAU - "
1201 N.SHORELINE P.O.Box 3661,CORPUS CHRISTI,TEXAS 78403-2661 USA • ¶12.8825603 • 1-BO0-67S-OCEAN(62321 • FAX ll-BB2-42 6
V
2
a member of the Nominating Committee, was asked to submit the slate of officers for
FY 94 (ATTACHMENT A). Mr. Pruet asked that the following candidates be
considered for election:
o Al Jones - Chairman
o Eugune Urban - Vice Chairman
o E.J. Schanfarber - Secretary/Treasurer.
He asked if anyone had any other nominations they would like to submit. The
response was none. On a motion made by Mr. Pruet which was seconded by Barbara
Sheppard, the submitted slate of nominees was approved by the Board.
Chairman Jones described the past year for the CCACVB as one of transition. Not
only were there significant personnel changes within the Bureau but the Lexington had
a sizable impact on the CVB as the Lexington is a wholly owned subsidiary of the
CCACVB. He commended the Bureau for the fine job they had done during difficult
times and added that there would be more challenging opportunities in the months
ahead.
He expressed a need for an Executive Committee of the Board to begin functioning
quickly especially in light of the Board's appearance before City Council next Tuesday
to submit their FY 94 Budget and Marketing Plan. He asked the Board for their sense
of an Executive Committee being formed which would start to operate in an
appropriate manner. After determining their role, the Executive Committee would
come back to the Board for ratification of that role. He added that he would like to
see the Committee comprised of the Officers, the immediate Past Chairman of the
Board (Bill Pruet), the Chairman of the Marketing Committee (Lillian Murray) and one
other at-large member of the Board. The at-large member position could be for six
months and would be rotated with other members of the Board not already on the
Executive Committee. A question arose about the Board being made smaller within
the past few years so that it wouldn't have an Executive Committee. The response
was that that was why suggested parameters were going to be submitted to the Board
for their approval. It was added that there will never be any Executive Committee
meetings that the other Board members cannot attend. In the past the Executive
Committee met three to four times a week which would be a heavy schedule for the
entire Board to have to attend.
V. Columbus Fleet Board of Directors Nominees
Chairman Jones noted that the Columbus Fleet was another attachment to the
CCACVB and that it was their job to oversee appointments to their Board of Directors.
He then read a letter and list of nominees he had recently received from Rick Stryker
(ATTACHMENT B). On a motion made by Mr. Urban which was seconded by Cathy
Harrison, the Board unanimously approved the submitted Columbus Fleet Board
nominees.
VI. CCACVB Financial Report
Mr. Arnold called on Pat Rousseau to make a presentation on the above
(ATTACHMENT C). Mrs. Rousseau explained to the Board that they receive a financial
410
3
report with their minutes from the Bureau each month. The report consists of two
graphs (variance report), the balance sheet for the current month, the "board report"
(variance report) and an explanation of variances. She noted that the July financial
report had been given to auditors.
The first graph shows net expenditures on a department basis while the second graph
shows the actual vs. budget for all departments summed.
It was pointed out on the Balance Sheet that an investment account had been set up.
From March to July the Bureau had made $5,000 from this account. The Bureau is
currently trying to obtain a greater share of its money from the City "upfront"to place
in the investment account as well. Also noted on the Balance Sheet were the
Bureau's Assets and (under current liabilities) Accounts Payable. Due Accounts
Payable are paid on 30 day terms. It was explained that Accounts Receivable are kept
on a 30-45 day schedule. There are several categories shown for YTD net income
because the Bureau has separate account lines for each department but all are
summed together for final amount.
A question arose as to whether the Bureau has inquired about obtaining discounts on
early payments from other vendors other than those from which the Bureau already
receives such discounts. The response was that the idea could be pursued. Currently
the CVB strives to use vendors that will give the Bureau guaranteed rates for 12
months; i.e. office supplies, copies.
Mrs. Rousseau next gave a summary of how the CCACVB ended up for FY 93. There
was a $16,000 short fall. An annual variance of 3% occurred overall. Event hosting
was over due to such factors as the van and auto leases and sponsoring unbudgeted
events. Postage went over budget due to a record number of inquiries and workers
comp insurance went up because of the shared rate with the Lexington. Copy and
printing was 129% over budget because of increased need for reprints on brochures.
The Bureau received $174,000 in income from the Lexington as reimbursement for
debt service paid by CVB. There was also a $26,000 net error in the Bureau's favor
from the City's calculations.
A question arose if the deficit was made up as soon as the new fiscal year started.
The response was yes.
VII. Departmental Reports
Mr. Arnold had everyone turn to the "1993 Annual Report & Executive Summary"
(ATTACHMENT D) which had been distributed to all present. He pointed out that the
Bureau had produced a great number of leads towards the end of the fiscal year.
Regarding the Lexington, it was stated that 384,000 people had visited the ship within
less than a full year (October- July). This attendance exceeded the scenario laid out
for an entire year. He felt that such figures showed results of a good product. The
Lexington also gave people a good experience of Corpus Christi. $100,000 will be
coming from the Lexington this FY which will be added to the CCACVB's advertising
budget.
4
Mr. Arnold next asked the question "what can be accomplished in eight months"?
The response was groundwork and foundation. This past year the Bureau instituted
a new Personnel Policies and Procedures Manual. Their marketing approach was to
first meet with focus groups in the hospitality industry before setting a plan of action.
The outcome was the document "Vision Revisited" which restructured the Bureau's
key targets and reassigned tasks to staff, etc. A package brochure was developed
that within the last 60 days has received a lot of feedback from the 80 travel agents
that are most interested in the tour packages.
$40,000 was provided for the Las Carabelas by the CVB within the month of June.
The Bureau also hosted travel writers for the ships. It was emphasized that the
Bureau is their marketing support agency outside of the community.
In September the Bureau will be attending Affordable Meetings in Chicago in order to
draw Fall and off-season business.
It was felt that the 3 1/2 - 4 day sales training seminar run by Peter Ferretti would
draw large dividends.
A new emphasis had been placed on regional approach with the numerous Team
Tourism presentations that had been held throughout the area. These presentations
told the different areas involved what tourism could and should mean to their
communities.
A monthly newsletter entitled "Tidings"had been undertaken which summarizes the
Bureau's activities in a way community leaders could easily understand.
Regarding the CVB's three Visitor Information Centers, Ann Neese had reported 674
referrals being made from the Visitor Information Centers to surrounding area
condominiums and Padre Island during the month of July.
One of the Bureau's goals this coming fiscal year for its accounting and financial
department will be maximum utilization of the Bureau's financial resources. "Total
accrual accounting is our goal". It plans on selling Corpus Christi more selectively and
expanding its co-op advertising for convention, tourism and motorcoach. $5,000 has
been received from the HMCA and the Restaurant Association which will be used for
broadcasting purposes. They also envision more co-op advertising in trade magazines.
The co-op ads for the "Beach & Bay Guide" (200,000 copies) have been sold out for
the past two weeks. The "Destination Planning Guide" is expected to be sold out in
approximately 1 1/2 weeks.
It was stressed that there is a need to get the community involved in improving
signage to attractions and key areas, i.e. to the beach as well as maximizing the effect
of tourism dollars in the community. Four months ago George Hext proposed an
ambassador group which would rally local groups and businessmen while they're
traveling to promote Corpus Christi. There is a need to identify such people. The
Bureau would also like to see the revival of the "Hometown Heroes". It also felt a
need for more service training in the community. There needs to be better service at
our front desks, restaurants, hotels, etc. which will give Corpus Christi a competitive
edge.
V 110
5
The Bureau stated that it needs a long range plan to determine the product that needs
to be developed and its growth markets -- what is the next step after Mexico and
Canada. Better research is also a necessity to find the index that can be shown to the
community. Trends need to be looked at and a challenges and opportunity
assessment needs to be done. In addition, more regional packages will need to be
developed for the community.
At this point Mr. Arnold called on Pat Rousseau to present the report on her
department's accomplishments. Mrs. Rousseau began by stating that ten new
personal computers had recently been installed at two-thirds of the cost budgeted and
a local vendor was used. The network file server had been updated as well. The
Bureau's fulfillment service had been changed which resulted in faster processing (3-5
days) and lower rates. A new Personnel Manual had been developed. Regarding the
capital improvement project -- offices up and downstairs had been restructured and
a new door had been put on the second floor Board Room. Changes had been made
in repairs at the Visitor Information Centers so that the City is now responsible for
them rather than the CVB. The payroll tax rate dropped to 1.05% from a high of
7.3%. In addition, an IRS audit was done last September. From this came the IRS
recommendation that the Bureau drop the Sand Dollar reservation system which was
done. The annual audit for FY 92 resulted in a "clean opinion" of the Bureau.
As Chief Financial Officer for the Lexington, Mrs. Rousseau has worked on, among
other things, accountability standards for the cashiers.
Marilyn Pierce was next called on by Mr. Arnold to give an explanation of her
responsibilities. As Vice President of Marketing Mrs. Pierce is responsible for four
departments -- Sales, Convention Services, Communications and Visitor Information
Centers. She noted that she also develops promotions with the President, i.e.
publications. Sales is her primary responsibility.
Two new words have been added to her sales team's vocabulary: "proactive" and
"ownership". She described proactive as "making it happen" and ownership as
"getting the answer for the person, helping them now if the appropriate person isn't
there". The goal for the Sales Department for FY 94 is 152,000 room nights. Last
year there were 76, 105. Thus far, they ha ye 63,000 tentative room nights on the
books. Another goal is a 65 - 70% turnaround rate rather than the previously set
50%. To achieve this they will go heavily into persona/calls, tradeshow participation
(he. motorcoach I, etc. They will rely heavily on site inspections and networking. She
felt that fam (familiarization) trips were key to getting people to Corpus Christi. They
will also concentrate on working with local hospitality people via Director of Sales
meetings which will be held (the first will be next Tuesday) and seminars. A
motorcoach package seminar will be held in September for the hotel industry. She
believed these strategies would help make the Sales Department and the hotels a
cohesive team.
A new Sales Procedure and Policy Manual had also been written for the Sales
Department. A copy of this will be given to the hotels in the area.
6
The sales team also participated in an intensive training seminar run by Peter Ferretti.
It was described as being "inspiring, hard core training". This training is being
continued by Mrs. Pierce via role playing.
Over the past three months time has been spent developing a "Product Profile". This
will go into the Sales Procedure and Policy Manual as well when it is completed.
The goal of the Communications Department is to "make someone want to come
here". This is pursued via public relations, press releases, media tam tours, slides and
photographs, etc. It was noted that Dana Stephens is responsible for all media that
is generated.
Within the next few months a new computer system will be installed for the Sales and
Convention Department's use. To maximize the effectiveness of the new system the
old system (Most) is being purged of "dead wood".
It was pointed out that each sales manager will be responsible for generating a fam
tour.
It is a goal to have the Tour Operator's Manual complete this Fall. Also, brochure
displays at the malls will be sought as well as updating the display at the airport.
An acronym that the Sales Department has acquired is 'ABC"--always being closing.
They will strive to get people to go from point to point, one step at a time.
Mr. Arnold thanked the Bureau's advertising agency, MDL, for the great job they have
done over the past year and added that "they are a pleasure to work with". He noted
that two of the Bureau's Washington, D.C. representatives will be at the Director of
Sales meeting which will be held next Tuesday. The firm, Preferred Destinations, has
already supplied three leads, i.e. NASA.
VIII. Old Business
Elaine Mod was asked to give a follow-up report on the Miss Texas USA Pageant.
She noted that the pageant had been a success this year. The documentary that was
done on Corpus Christi turned out to be seven minutes in length rather than five. The
day after the pageant 406 calls were made to the Bureau rather than a previous 100.
She added that the pageant would like to return to Corpus Christi.
A question arose as to whether the pageant could be held another time, i.e.
Christmas. The response was that Ms. Motl has previously suggested that to Crystal
Productions. 95% of the participants in the pageant are in college during the year and
summertime is a better time for them to compete. The rating season was also given
as a contributing factor. It was pointed out that 55,000 Corpus Christi households
had watched the pageant. For KZTV it was the number one show for July.
The Clarks have been called by the Emmy Nomination Committee as they would like
to nominate the show for two Emmys. One nomination is for the city documentary,
the other for the host, Ron Franklin.
v7
Ms. Motl noted that the Power Boat Shoot-Out had been shown on tv to a four million
household viewing audience. It was also mentioned eleven times on an ESPN show.
IX. New Business
Barbara Sheppard introduced present Area Council members. She submitted to the
Board for approval the nominations of two new Area Council members: Patti Young
to represent Kingsville/Kleberg, and Larry Lancaster to represent Refugio/Goliad. On
a motion made by Mr. Urban which was seconded by Mr. Pruet the Board approved
the Area Council nominations submitted.
Mr. Arnold noted that an 11:30AM luncheon meeting would be held with the City
Council next Tuesday. It will be held at the Sheraton. Although it will not be a formal
Board meeting, the FY 94 Budget and Marketing Plan will be presented to the City
Council at that time.
Chairman Jones noted that as of last year a group of twelve people have been meeting
to consider consolidation of the Economic Development Corporation and visitor related
efforts in Corpus Christi. Their draft report will be out within the next few days which
will be presented to the Executive Committee of the involved organizations.
Therefore, the Executive Committee of the CCACVB will need to meet to review the
document. A special Board meeting combined with other Boards may be held. He
added that the details would need to be worked out.
Mr. Arnold gave special thanks to the CVB staff and added that he felt he had "the
team to move things forward".
X. Adjournment
The meeting was adjourned at 2:40PM.
Dottie Sylvester
Recording Secretary