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HomeMy WebLinkAboutHotel-Signature Evnts Cmte - 03-04-2015T3 PALM DESERT APPROVED MINUTES PALM DESERT HOTEL AND SIGNATURE EVENTS COMMITTEE SPECIAL MEETING Wednesday, March 4, 2015 — 4 p.m. North Wing Conference Room — Palm Desert Civic Center 73510 Fred Waring Drive, Palm Desert, CA 92260 I. CALL TO ORDER Ralph Scatena called the meeting to order at 4:00 p.m. II. ROLL CALL Members Present: Members Absent: Ralph Scatena Marilyn Dyer Jan Harnik Arnold Kirschenbaum Robert Spiegel Scott White Staff /Others Present: John Wohlmuth, City Manager Rudy Acosta, Assistant City Manager Martin Alvarez, Director of Economic Development Lauri Aylaian, Director of Community Development Donna Gomez, Tourism & Marketing Manager Ruth Ann Moore, Economic Development Manager David Hermann, Management Analyst Robin McCormick, Recording Secretary III. ORAL COMMUNICATIONS None APPROVED MINUTES SPECIAL PALM DESERT HOTEL & SIGNATURE EVENTS COMMITTEE MEETING March 4, 2015 IV. CONSENT CALENDAR A. MINUTES OF THE SPECIAL MEETING OF JANUARY 7. 2015 Jan Harnik moved, by Minute Motion, to approve the minutes of the January 7, 2015, meeting as presented. Motion was seconded by Robert Spiegel and carried by 4- 0-1-1 (AYES: Scatena, Harnik, Kirschenbaum and Spiegel; NOES: None; ABSENT: Dyer; ABSTAIN: White). V. CONSENT ITEMS HELD OVER None VI. NEW BUSINESS A. HOTEL INCENTIVE PROGRAM — REVIEW DRAFT — RUTH ANN MOORE Ruth Ann Moore gave an overview of a draft incentive program for new and existing hotels (outline and examples attached). This program would not take from existing transient occupancy tax (TOT), it would only come from new TOT generated by new construction or renovation of a hotel. After much discussion of several scenarios, the committee was in agreement that an incentive program should be implemented. There needs to be further research and refining of the guidelines to make the program work for everyone. John Wohlmuth suggested that once the program is defined, it is possible the twenty-five percent (25%) or whatever amount is left, that a Signature Event fund could be created, which would deliver more TOT by adding room nights. B. UPDATE ON MARKETING CO-OP FUNDING PROPOSAL — VERBAL UPDATE BY JOHN WOHLMUTH Mr. Wohlmuth informed the committee that the mid -year budget was approved by City Council in February, which included increasing the Marketing Budget by $200,000 for a Co-op program per earlier discussions within this committee. Donna Gomez added that the target for the additional $200,000 is for group business and summer incentive programs. She explained the process the City has to follow including Marketing Committee and City Council review. The City Manager does have the authority to approve up 2 APPROVED MINUTES SPECIAL PALM DESERT HOTEL & SIGNATURE EVENTS COMMITTEE MEETING March 4, 2015 to $40,000 for marketing programs. There are guidelines that for requesting funds and all requests submitted in writing. Ralph Scatena wanted to let the committee know that thanks to the help of the CVEP and City of Palm Desert, JW Marriott's "Association" business for 2016 will increase over the last several years and feels these Co-op funds will help bring more groups which in turn adds more revenue for the hotels and City. VII. CONTINUED BUSINESS None VIII. OLD BUSINESS A. QUIKSILVER PROJECT — VERBAL UPDATE BY MARTIN ALVAREZ Martin Alvarez updated the committee on the progress of Quiksilver. Quiksilver has entered into an Exclusive Negotiation Agreement (ENA) for Lot Pads C, D and E, with the option to purchase Lot Pad A and B. They have hired an architect and developed concept plans. Mr. Alvarez presented a site map with a possible layout of the project. The map showed the main hotel, amphitheater, wave pool, retail and approximately 140 villas with clubhouse. Also, there will be an action sports camp that would hold approximately 500 campers for such events as cheer camp, skateboarding, and rock climbing events. Mr. Alvarez stated that there would be different incentive packages offered that would help attract more business for not only this property, but surrounding properties as well. This project will take approximately 3 years from entitlements to completion and will employ approximately 2500 people. B. FUTURE OF FOOD & WINE EVENT — VERBAL UPDATE BY RUTH ANN MOORE Ms. Moore reported that currently the Food & Wine event is partnered with Fashion Week El Paseo. The Food & Wine portion runs Friday, Saturday and Sunday afternoons. Palm Springs Life and the City of Palm Desert feel that the Food & Wine portion is ready to be a stand-alone event. Palm Springs Life (PSL) would like to move the event to the fall where it will create more bookings for hotels and revenue for shops and retailers. 3 APPROVED MINUTES SPECIAL PALM DESERT HOTEL & SIGNATURE EVENTS COMMITTEE MEETING March 4, 2015 The City and PSL are looking to expand the event possibly with a fourth day and evening events. PSL has looked at Desert Willow for a possible site for Fall 2016, which they loved. It has a lot of positives with the kitchens, the driving range, and use of the patio at night, etc. Another option if they choose to hold an event in the Fall of 2015 or Spring of 2016 is the Living Desert. Ralph Scatena asked about holding the event at JW Marriott since they have a huge area that could be utilized. Ms. Moore will relay that interest to the people at PSL. C. FARMER'S MARKET — VERBAL UPDATE BY DONNA GOMEZ Donna Gomez explained that they are expanding the growth of the market. There will be a Pavilion built on the site which will allow them to extend their season into the summer and hold an evening market. Currently they are holding an evening market the first Wednesday of every month through May. They have vendors that not only sell products that they have grown but they also have vendors that prepare and sell food with products from the farmers. Ms. Gomez added that at the first evening event, there were a few minor issues that will be addressed for future events. There were traffic issues so the Citizen's on Patrol have been added to help with the flow of traffic. Trash was the other issue and that will be taken care of with scheduling an extra pick up. Due to some scheduling conflicts for that site, Ms. Gomez suggested that a master calendar be implemented and have one person take on the responsibility to make sure these issues are resolved. D. DISCUSS 2016 TOT BALLOT MEASURE CONSULTANT Martin Alvarez wanted to continue the conversation and have the committee be proactive going forward to get this measure back on the 2016 ballot. A lot was learned by the failure of the measure. There are steps that can be taken in advance. Ruth Ann Moore researched the passing of Measure J (1% Sales Tax Increase) in Palm Springs, who they used and how it was presented to the residents. Lew Edwards Group out of Oakland is the company that did the campaign for Palm Springs. The wording was a large part of how/why it was passed, it was very narrow in what the funds could be used for. Mr. Alvarez asked for direction from the committee as to when and how the process should be started. Jan Harnik feels that it should start immediately. There is plenty of opportunity to promote this measure to the 4 APPROVED MINUTES SPECIAL PALM DESERT HOTEL & SIGNATURE EVENTS COMMITTEE MEETING March 4, 2015 public. Ms. Moore added that the Chamber of Commerce has also asked if they are needed to help promote this as well. IX. REPORTS FROM CITY COUNCIL LIAISONS None X. REPORTS AND REMARKS A. Chairman None B. Committee Members None C. Staff None XI. INFORMATIONAL ITEMS XII. NEXT MEETING DATE — April 1, 2015 at 4:00 p.m. XIII. ADJOURNMENT With Committee concurrence, the meeti76f� adjourned at 5:12 p.m. (10a�' FtobYn McCormick, Recording Secretary 5