HomeMy WebLinkAbout03-15-2017 Minutes �
`crtit4�;- "" Lodging Tax Advisory Committee
March 15, 2017— 10:00 AM
'1NASNiNGTON Auburn City Hall
MINUTES
LTACBOARD MEMBERS:
Nancy Backus,Aman Ghag,Andy Cho, Bob fraser,Chantelle Herburger,Satpal Sohal,Susan Roberts
STAFF:
Doug Lein, Lorraine Chachere
In Attendance:Aman Ghag,Andy Cho,Chantelle Herburger,Satpal Soh:al,Susan Roberts
Not Present: Bob Freser
AGENDA:
I. Call to Order—Mayor Backus
II. Roll Call
III. Introductions and Orientation for New Members
Lorrainepresented the binder that gives information about the most recent ordinance passed as
well as information on the workshop in April that talked about the hotel market and outlook in
the regional area.Doug explained the role of;he LTAC as well as the Auburn Tourism Board(ATB)
and the Business Improvement Area (BIA) Board. The new Ordinance separates tfie LTAC
funMion with the Tourism function.Tlie LTAC tiy sfatute is required to be the final recommending
body to City Council for both budgets, taxation, and business plan. LTAC oversees the Tourism
Board as far as how they are implementing tlie plan that they present for approval. By sfatute,
Mayor Backus isthe automatic chair of the LTAC Board because the City Council,is the tazation
authority. There are only two dates in tHe year when LTAG would have to meet: In May, if a
budget amendment is needed and in December, when ;he Committee would accept anil pass
along the recommendation for a business plan and budget to City Council so that it coincides
with the functions that the City has to do and to make su�e tHat TouYism is represented correctly
in that budget and work plan.
IV. Approve January 11,2017 Meeting Minutes:
Satpal moved and Aman second to approVe the January 111, 2017 Meeting Minutes.
MOTION CARRIED UNANIMOUSLY. 5-0
V. Rediew of Budget
Lorraine discussed the budget packet and how it reflects what came in, what we need to set
aside,and what there is to work with. IYs a state statute to haye a 20% reserve to carry into the
next year.
There was a question from Chantelle:$10,000 was budgeted for the grant program, and more
money is wanted for some of these grants;so isthe Committee able to do a motion to take some
of the unrestricted reserve balance out to increase that budget,and what is that process?Mayo�
eackus answered: For the last year orso, any adjustments to the budget need to be approved
through Council, As the L7AC; you can make a motion to recommend to Council for approyaL
The Committee can check with Sfielley to confirm ezactly what would need to be done. Doug
clarified that moving money around within the existing budget number can be done, but if you
want to go into the reserve funds,you have to put in for a budget amendment.
VI. Review 2017 Lodging Tax Grant Applications Received
All the previous years' recipients were invited to reapply, and of those nine, only four
applications were received.
The budget is $10,000. Doug stated that at the end of the year, whatever is not spent of tliat
projected budget goes back into the restricted reserye account. Mayor pointed outthat the four
applications total 526,500 in requested funds of a $10,000 budget:
$12,500 Tough Mudder
$5,000 Pefpalooza
$3,500 Geocaching
$3,500 Veteran's Pa�ade
Last year Geocacfiing requested$3,500 and received$3,500. Because of the weather,there was
not a good turnout.
Satpal moved and Andy second to give Geocaching$0.
MOTION CARRIED UNANIMOUSLY. 5-0
• Tough Mudder was a huge success.Auburn.received national N network coverage.They
hatl 10,000 participants at their event with a large number of participants overnighting
in Auburn. Over 90%-said tHey are likely to return to King County for a Tough Mudder
Eventin 2017.
Doug said the result of the discussion at the workshop last April was that the emphasis
was going to be put on open-marketing dollars so that tourism woulil be able to be more
robust,to advertising these events in the way the Gommittee wants to do it rather than
giving the money to 4he event. From a regional marketing perspectiye,this would have
more impact. The radio ads were effective for driving thousands people to the tourism
website.
• Petpalooza,who requested$5,000, is a one-day event that is very well-attended.
• Veterans Parade requested $3,500. This money goes to the City of Aubum Parks, Arts
and Recreation.The funds would be used for extre advertising thaYs not already in the
budget.They are asking for less this year because of the brending contract they did with
KOMO which gave them a real depth of push for the market advertising, so the lesser
amount thejr are asking for gives them the ability to market outside of this area. lt was
stated that Parks did a good job of directing people tHrough the website to the hotels
more than some of the other recipients had.
Satpal moved and Andy second to give a 55,000 grent to the Tough Mudder, Inc., 52,500 to the
City of Auburn Parks,Arts and Recceation for Petpalooza,and$2,500 to the City of Auburn Parks,
Arts and Recreation forthe 2017 Veterens Parede and Observance.
MOTION CARRIED UNANIMOUSLY. 5-0
Doug presented information about the newly received retail data that is fully described on the
website.Also discussed was an update on a PowerPoint presentation he gave at Rotary showing
that even with a 512 million decrease in commercial wnstrudion, which we would h'a4e
collectedsales tax on,we still had a$1.5 million increase in sales tax colledions. We are seeing
a solid uptick to additional retail spending.
Chantelle announced that Marshall's is relocating out of Aubum, but Da4e & Busters will be
opening late fall of 2017. It will be visible from Highway 18,and will be a big drew to the area. lt
is the first one in the state of Washington.Advertising will begin late summer. It was suggested
that there be a collaboration with hotels to partner with them to create an incentive package.
Doug thought we should get some video from them so the web developer and the video
production company would be able to edit some of that into the work product thaYs being done
now.
Andy reported the renovation at the Comfort Inn is about two weeks away from being done.
They are planning on having a grand opening with the community and wiU sharethat information
when they get closer.
Doug announced the need for an Executive Session.
VII. Next LTAC Meeting—Wednesday,December 13`"at 10:00 AM in the Council Chambers
VIII. Adjournment