Minutes of the Board of Directors Meeting May 29, New World Center th Street, 1 st Floor SunTrust Pavilion Miami Beach, FL U.S.A.

Transcription

1 Minutes of the Board of Directors Meeting May 29, 2018 New World Center th Street, 1 st Floor SunTrust Pavilion Miami Beach, FL U.S.A. Attendance Report Members Attending GMCVB Staff Attending Members Unable to Attend Board of Directors Steve Adkins Rocco Angelo Basil Binns Henry Crespo Luis Gazitua Keon Hardemon, Chairman City of Miami Sally Heyman, Commissioner Miami-Dade County Joe Hovancak Wendy Kallergis Ben Mollere Mark Samuelian, Commissioner City of Miami Beach Executive Committee Steven Haas Jimmy Morales, City Manager City of Miami Beach Alex Tonarelli Ex Officio Members Mike Finney Ibis Romero Bureau Staff William D. Talbert, III, CDME Rolando Aedo, CDME Ginny Gutierrez Charlie Haz Connie Kinnard Ita Moriarty Dorcas Piegari Jose Sotolongo Joe Yarzabal Legal Counsel Jaret Davis, Greenberg Traurig Guests Namiya Crespo James McQueen Mark Stallworth Board of Directors Henry Crespo John Mulrey Abe Ng Greg Owens Alan G. Randolph Alfredo Richard Stephen R. Shelley, Vice Mayor City of Homestead Executive Committee Bruce Orosz, Chairman T. Willard Fair Carlos A. Gimenez, Mayor Miami-Dade County Elizabeth Hicks Eric Jellson Gene Prescott Maria Sastre Carole Ann Taylor Dawn White Ex Officio Members Wilfredo Gort Eric Knowles Alfred Sanchez Lester Sola Past Chairs Richard Fain Adolfo Henriques 1

2 Thomas F. Hewitt Donald E. Lefton Sidney Levin Stephen D. Nostrand R. Donahue Peebles Christopher Perks Stephen Sonnabend Dorothy C. Weaver CALL TO ORDER The Greater Miami Convention & Visitors Bureau Board of Directors meeting was called to order at 4:12 p.m. by Mr. William Talbert. 1. APPROVAL OF MINUTES A motion for approval of the meeting minutes from March 26, 2018 was moved by Miami-Dade County Commissioner Sally Heyman; seconded by Mr. Alex Tonarelli; and passed unanimously. 2. CHAIRMAN S REPORT REPORTS Mr. Howard Herring, President & Chief Executive Officer of the New World Symphony, welcomed everyone to the New World Center which has been in operation for thirty years. He said that when Frank Gehry, American-Canadian architect, was chosen to design the New World Center he was given the task of creating a building for fellows to use during their three-year orchestral academy and of changing the culture of classical music throughout the United States by making the building more open and friendlier. Mr. Herring said the building is a community asset where over seventy community events are hosted throughout the year and where the community enjoys the wallcast of live concert projections occurring inside the hall. He said that the New World Symphony went from 30,000 patrons at the Lincoln Theater to over 100,000 patrons at the New World Center. He said the wall used for wallcasts is now being copied by other institutions including the Kennedy Center and the University of Michigan. Mr. Herring concluded his presentation by thanking the Bureau and the GMCVB Board of Directors for their efforts in promoting Greater Miami. Mr. Talbert welcomed the following guests to the GMCVB Board of Directors Meeting: City of Miami Beach Commissioner Mark Samuelian who is attending the meeting on behalf of City of Miami Beach Mayor Dan Gelber; Mr. Basil Binns, new Assistant Director of PortMiami, who is attending the meeting on behalf of PortMiami Port Director John Kuryla; and Ms. Namiya Crespo, a student at the University of Central Florida, who is the daughter of GMCVB Board Member Henry Crespo. Mr. Talbert said that Mr. Bruce Orosz, GMCVB Chairman of the Board, is out of town and said that the meeting would be chaired by Mr. Steven Haas, GMCVB Immediate Past Chair. 2

3 Mr. Haas congratulated Mr. Steve Adkins for the spectacular Miami-Dade Gay & Lesbian Chamber of Commerce 17 th Annual Gala and Awards Celebration held at the Hilton Downtown Miami. Mr. Haas invited everyone to the farms of the Redland on Sunday, June 3, 2018 for an event that he is hosting where he has invited all of the Miami Spice chefs to meet all the farmers. The event will be held at a beautiful estate that has the second largest Banyan tree in the United States and also has a lychee grove. He said that he just learned that Denmark and Norway are making a substantial investment in the Redland to construct America s biggest salmon farm. 3. CONVENTION SALES Mr. Alex Tonarelli, Chair of the Convention Sales Committee, said that the last Convention Sales General Managers Meeting was held at the East Hotel on Thursday, February 8, He said the hoteliers had very positive feedback on first quarter and second quarter hotel business. However, he added that the hoteliers had raised concerns regarding this year s summer business because they are up against last year s summer business which was very good due to the Major League Baseball All- Star Game and El Clásico. He said that hoteliers were also finding it difficult to book group business this summer because Hurricane Irma from September 2017 is still very fresh in the minds of meeting planners. Ms. Ita Moriarty reported that for March 2018 we had 165 sales leads, 67 bookings and 41,112 room nights with an economic impact of $25,736,815. Ms. Moriarty said that for April 2018 we had 132 sales leads, 60 bookings and 30,633 room nights with an economic impact of $12,443,460. She added that bookings are beginning to increase due to the expansion and renovation of the Miami Beach Convention Center which will finally open in September Ms. Moriarty said that one of the big bookings that came through in March 2018 was the American Academy of Periodontology for November 2021 at the Miami Beach Convention Center with an attendance of 6,000 and an economic impact of $6,766,585. She added that the Loews Miami Beach Hotel is being considered as the headquarter hotel for this convention. Ms. Moriarty said that March 2018 activities included Lamont Associate Conference in Dallas, Texas which handles a lot of corporate business; Experient Envision in Detroit, Michigan which is a huge generator of corporate and association business; Nashville Sales Calls in Nashville, Tennessee; and CBI Pharma Forum in Philadelphia, Pennsylvania with the pharmaceutical market continuing to be very important for our hotels. Ms. Moriarty said that April 2018 activities included IEG Annual Sponsorship Conference in Chicago, Illinois which is a big sports, entertainment and music conference; Chicago Sales Mission in Chicago, Illinois which was a very successful sales mission with eight participating hotels and presented to over two-hundred customers; New Jersey Sales Mission in Jersey City, New Jersey; Society of Independent Show Organizers (SISO) in Las Vegas, Nevada which is responsible for booking millions of dollars wo tradeshows; and XDP Design Project in Washington, DC. Ms. Moriarty said that site visits at the Miami Beach Convention Center continue to be very important and very challenging to book while the convention center is undergoing its expansion and renovation. She said that despite the challenges, they managed to conduct several site visits 3

4 including American Association for Justice for February 2019; Million Dollar Round Table for June 2019; and Seatrade Cruise Global for March 2021, 2022 and MARKETING & TOURISM In the absence of Mr. Eric Jellson, Chair of the GMCVB Marketing & Tourism Committee, Mr. Rolando Aedo said that the 2018 GMCVB Partner Marketing and Planning Retreat will be held at the Miami Airport Convention Center on Thursday, June 7, He said that the primary goal of this retreat is to receive feedback from our partners for the GMCVB Marketing Plan for the upcoming fiscal year starting on October 1, Mr. Aedo reported on the market indicators for March 2018 which shows growth across the board in Overnight Visitors, MIA Arrivals and Port Miami of 6.9%, 5.7% and 7.5%, respectively. Mr. Aedo thanked Miami International Airport for bringing new airline carriers to Miami and thanked the elected officials in the meeting for ensuring that our airport and seaport are at the cutting edge. Mr. Aedo reported that for April 2018 Miami-Dade Occupancy, Room Rate and Rev Par increased by 3.6%, 3.3% and 6.9%, respectively. He said that Miami-Dade Rooms Available was still not showing any growth primarily due to the hotels in Miami Beach (Deauville Beach Resort, The Ritz- Carlton South Beach and The Raleigh Hotel) that are still offline after the effects of Hurricane Irma. Mr. Aedo added that Miami-Dade Rev Par from April 2017 to March 2018 increased by 9.0% which is a result of a combination of leisure and group business. Mr. Aedo said that Rev Par speaks to the profitability of the hotels and added that it has a direct relationship with Occupancy and Room Rate. He said that from May 2017 to April 2018 Rev Par for Miami Beach increased by 11.1% because there is less inventory in Miami Beach as a result of the hotels that are still closed from the effects of Hurricane Irma. Mr. Aedo said that Rev Par for Downtown Miami during the same time period increased by 9.3% as a result of overall good business. He said that good results for the market indicators of Occupancy, Room Rate and Rev Par means that we are creating jobs in the hospitality industry. Mr. Aedo reported on the upcoming new service at Miami International Airport including Air Italy from Milan to Miami four times per week starting on June 8, 2018 and GOL Airlines from Fortaleza and Brasilia, Brazil with daily service starting in November Mr. Aedo said that American Airlines, the dominant carrier at Miami International Airport, continues to add new service from different international markets including new service from Georgetown, Guyana to Miami on a daily basis starting in December 2018; from Pereira, Colombia on a daily basis starting in December 2018; from Cordoba, Argentina to Miami four times per week starting in April 2019; and restoring service from Caracas, Venezuela to Miami three times per week starting in December Mr. Aedo said that the Bureau has a co-op with Miami International Airport to provide incentives for new airline service to Miami. Mr. Aedo said that in addition to the Royal Caribbean terminal, Norwegian Cruise Line will also have a new cruise terminal at PortMiami that will host the Norwegian Encore when it arrives Miami in November Mr. Aedo said that these two terminals will add to Miami s beautiful architecture. 4

5 Mr. Aedo reported on the highlights for Travel Industry Sales in the United States and Canada for March and April 2018 which included Seatrade Cruise Global in Ft. Lauderdale, FL; CCRA Trade Show in San Francisco, CA; Travel Impressions Trade Show in Dallas, TX; and Travel & Vacation Show in Ottawa, Canada. He said travel agents are still a critical part of travel industry sales especially as it relates to cruise lines. Mr. Aedo said that the highlights for Travel Industry Sales in Latin America for March and April 2018 included Leisure Express Destination Workshop in Buenos Aires, Argentina; Braztoa Workshop in Sao Paulo, Brazil; AVIATUR Destination Workshop in Bogota, Colombia; and World Travel Market Latin America in Sao Paulo, Brazil. Mr. Aedo said that the Bureau is still very active in Brazil despite the economic troubles this country has had in recent years. Mr. Aedo said that the highlights for Travel Industry Sales in Europe for March and April 2018 included Swanson s Travel USA Day in Osby, Sweden; Visit USA Italy Showcase in Venice, Italy; ITB Berlin in Berlin, Germany; Unite Visit USA Meetings Event in London, England; and Barrhead Travel Destination Workshop in Glasgow, Scotland. Mr. Aedo said that the Travel Industry Sales Team in addition to traveling to the Caribbean, Europe, Latin America, Canada or the United States to create a buzz for Miami, hosts travel professionals from around the world to familiarization tours in Miami. He said that 247 travel professionals from Australia, Belize, Colombia, New York, United Kingdom, etc. were hosted from February to April Mr. Aedo said that the launch of the second phase of the Found In Miami Campaign will take place from May 8 to August 31 which is a combination of updated visuals, videos, stories, social media posts and it is the most comprehensive advertising platform we have created in the history of the Bureau showcasing our neighborhoods. He said that the Bureau is developing a toolkit for our hotel partners and other civic partners to use, leverage and amplify. Mr. Aedo reported on the highlights of Meetings Advertising from March to April 2018 which included creating incremental buzz about the new and improved Miami Beach Convention Center as well as producing high-end publications which allows us to communicate to our meeting planners. Mr. Aedo reported on the highlights of Social Media which will be incorporated into the new website which is currently being rebuilt from scratch and launching later this summer. Mr. Aedo reported on the highlights of Media Relations & Promotions from March to April 2018 which included World Travel Market Latin America in Brazil. He said that what this team does is work with journalists from radio, television or print to secure earned space which results in receiving lots of great coverage around the world. Mr. Talbert said that Mr. George Neary, GMCVB Associate Vice President of Cultural Tourism, has decided to retire in the summer. Mr. Aedo said it has been a privilege to work with Mr. Neary and that although he is retiring, he is already talking about conducting tours in Greater Miami. Mr. Aedo reported on the highlights for Cultural Tourism from March to April 2018 including attending Art Basel Hong Kong; participating in the Arts & Business Council; and attending the 5

6 Center for Architecture & Design Awards. Mr. Aedo said that we have a very special relationship with Art Basel. Mr. Aedo also reported on the highlights of LGBT Marketing for March and April 2018 which included Winter Party 25 th Edition Cross Market Press Tour and Gay Pride in both Ft. Lauderdale and Miami. Mr. Aedo thanked Mr. Steve Adkins, President & CEO of the Miami-Dade Gay & Lesbian Chamber of Commerce (MDGLCC), for guiding many of our efforts in the LGBTQ space. Mr. Aedo said that in March and April 2018 we added thirty-three new partners. He said that generating private revenue is a key priority for the Bureau in order to leverage against the public support we receive from Miami-Dade County and the City of Miami Beach. 5. FINANCE & ADMINISTRATION Mr. Joe Yarzabal, GMCVB Vice President of Financial Services, reported that the last GMCVB Finance Committee Meeting was held on Wednesday, April 18, 2018 where the operating results for the six months ended on March 31, 2018 was reviewed. Mr. Yarzabal said that during today s meeting he will be reviewing the operating results for the seven months ended on April 30, Mr. Yarzabal reported that net revenue for the seven months ended on April 30, 2018 was $22,726,000 which is 6.6% ahead of budget and 11.9% ahead of budget over the prior year. Mr. Yarzabal said that the bulk of the growth is coming from resort tax collections from Miami-Dade County which was 9.5% ahead of budget and 19.4% ahead of budget over the prior year. He said that the hotels have been doing remarkably well and, as a result, resort tax collections are up. Mr. Yarzabal reported that operating expenses for the seven months ended on April 30, 2018 were $16,931,000 which was 1.6% below budget but 13.7% ahead of the prior year. Mr. Yarzabal said that expenses for Sales, Marketing and Promotion were slightly under budget and that all major areas are reflecting short term budget timing differences with the exception of Personnel Costs associated with our sales and marketing activities which had a favorable variance of 5.7%. Mr. Yarzabal said that as of April 30, 2018 the Bureau had an operating surplus of $5,795,000 in comparison to a budget of $4,113,000. He said that the Bureau is in a strong financial position. He said that a meeting will be held with GMCVB Senior Staff to go over the budget for the remainder of the fiscal year to review the increased revenue sources as well as the temporary program underspending so that the budget can be managed to the bottom line. Mr. Talbert said that one of the revenue sources new this year is revenue coming from Airbnb. Mr. Yarzabal said that the 2018 HOT Challenge raised $160,000 this year and thanked everyone for their support. 6. MULTICULTURAL TOURISM & DEVELOPMENT In the absence of Ms. Carole Ann Taylor, Chair of the Multicultural Tourism & Development Department, Ms. Connie Kinnard reported that the highlights for March 2018 included participating in the College Hospitality Institute Job Readiness training event and the Overtown Work Readiness Fair both of which support education and training in our multicultural communities; attending the 41 st Annual Calle Ocho Festival which included a croqueta-eating contest in which Mr. Talbert was a 6

7 participant; and sponsoring Jazz In The Gardens from a marketing and promotions standpoint as well as attending the Jazz In The Gardens concert, press conference and other related activities. Ms. Kinnard reported on the highlights for April 2018 which included supporting the MLK Jr. Candlelight Memorial Service & Concert which commemorated the 50 th anniversary of the death of Martin Luther King, Jr.; participating on a panel discussion at the 33 rd Annual Florida State Minority Supplier Diversity Council (FSMDC) Business Expo; collaborating with the Miami-Dade Chamber of Commerce on a breakfast seminar to present a Microenterprise Lending Program and Financial Session to small businesses; attending the Afro-Latino Heritage Excellence Summit; supporting the 9 th Annual Hispanicize Marketing and Media Conference; and participating on the Unity in the Community panel discussion with Miami Beach residents, business owners and the NAACP to offset the negative press that always comes before and after Memorial Day Weekend. City of Miami Chairman Keon Hardemon said that Liberty City received a lot of positive press from hosting the MLK Jr. Candlelight Memorial Service & Concert and thanked the GMCVB for their support. City of Miami Beach City Manager Jimmy Morales said that although it rained during Memorial Day Weekend, it was an overall good weekend with very little police activity; numerous positive events leading up to the weekend; and parts of the Air & Sea Show for National Salute to America's Heroes on display. City of Miami Beach Commissioner Mark Samuelian said that he appreciates what the committee did to ensure everyone would have a good Memorial Day Weekend. 7. SPORTS TOURISM Mr. Jose Sotolongo, Director of Sports Tourism, reported on the highlights for March and April 2018 including the 305 Half Marathon & 5K in Miami Beach; Peru vs. Croatia soccer game at Hard Rock Stadium; Miami Open Tennis Tournament in Key Biscayne; and programming for the Miami Sports and Wellness Month. Mr. Sotolongo said that starting next year the Miami Open Tennis Tournament will be held at Hard Rock Stadium and added that all the hotels for this event will remain in Downtown Miami with the addition of Turnberry Isle located in Aventura. Mr. Steve Haas asked if the Hard Rock Hotel in Broward County was in the hotel mix. Mr. Talbert said that the agreement only includes hotels located in Miami-Dade County. Mr. Sotolongo said that he attended the SportAccord Convention in Bangkok, Thailand as part of Team USA with participating cities from Miami, Reno, Detroit, Las Vegas, Houston, Chicago and Anaheim. He said that Team USA met with a lot of representatives from sporting entities like the International Cycling Union and the International Powerlifting Federation. He said that the International Powerlifting Federation has been hosted in Miami before and will probably be returning soon. Mr. Sotolongo said we are one of the finalist cities for the FIFA World Cup He said that the vote will take place in Moscow on June 13, 2018 right before the start of this year s World Cup. He said that the preliminary draw will happen in 2023 and this is when FIFA selects which teams will be playing and where they will be playing. He said that next to the World Cup itself, this is the second largest sought out event in the world of soccer and that Miami is a contender. 7

8 Mr. Sotolongo said that another classic soccer tournament will be coming to Miami in July at the Hard Rock Stadium featuring Manchester City playing FC Bayen Munich and Manchester United playing Real Madrid. Mr. Sotolongo said that we are receiving a lot of buzz regarding Formula 1 auto racing coming to Miami. He said that the City of Miami and Formula 1 are currently discussing the terms of the agreement. Mr. Sotolongo said that if approved, the agreement is for ten years from 2019 to City of Miami Chairman Keon Hardemon said that they have received some push back from the downtown community especially with the layout of the race track and encouraged stakeholders to reach out to Miami-Dade County commissioners as well. 8. PRESIDENT S REPORT Miami-Dade County Commissioner Sally Heyman said that we have been successful in taxing Airbnb. She said that although Miami-Dade County is doing a good job of collecting the taxes from Airbnb, it has been slow to do the same for Home Away which is another vacation rental marketplace. She said that it would be great if the tourism and hospitality industries put a little pressure on Miami-Dade County to start collecting taxes from Home Away. Miami-Dade County Commissioner Sally Heyman said that American Dream is an entertainment venue and that the concerns from retail malls in the surrounding area have already been addressed. She added that American Dream will be a new and exciting attraction for Miami-Dade County. Lastly, Miami-Dade County Commissioner Sally Heyman said that the Miami-Dade County Tourism Development Council which provides grants to numerous organizations throughout the year, will be monitored more closely to ensure that the grants given result in new jobs or hotel room nights. She said that as it stands, grants are now being provided to organizations that bring nothing back to our community. City of Miami Beach City Manager Jimmy Morales gave a recap of the status of the Miami Beach Convention Center Headquarter Hotel. He said that the headquarter hotel RFP will ask the developer to come up with a good idea taking building height restrictions into consideration as well as connecting The Fillmore Miami Beach at the Jackie Gleason Theater to the Miami Beach Convention Center with anywhere between 550 to 800 hotel rooms. He said that the language of the RFP needs to be completed by August in order to be included in the referendum for the November 6, 2018 election. City of Miami Chairman Keon Hardemon gave a recap of the adjustments that need to take place in order for the Southeast Overtown CRA to support the new hotel. He said that the first step is to get an extension of the CRA in order to attract more private financing. He said that it is important for more money to be invested in Overtown because of its proximity to Downtown Miami, Wynwood, Midtown, etc. Mr. Talbert said that within in a seven-day period, the Formula 1 discussions were held in Miami- Dade County and the City of Miami with a specific date for the Mayors and Managers to come back to the elected bodies with a proposal for a ten-year deal; the City of Miami Beach voted for the Miami Beach Convention Center Headquarter Hotel; and Miami-Dade County voted on the American Dream Miami Project which is a $4B privately financed project with 25,000 jobs. 8

9 Mr. Talbert said that there is a lot happening in Greater Miami and thanked all of the elected officials in the meeting for their continued support. Mr. Talbert said that Ms. Ibis Romero was recently elected to join the U.S. Travel Association Board of Directors. Congratulations! Mr. Talbert said that Ms. Connie Kinnard is being honored by Legacy Power for being one of South Florida's Most Powerful and Influential Black Business Leaders of He said that the reception will be held on Saturday, June 2, 2018 at the Miami Airport Hilton. There being no other matters at hand the Board of Directors meeting was adjourned at 5:35 p.m. 9