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HomeMy WebLinkAboutLEPFA Board of Commissioners Meeting Meeting Minutes September 24, 2024LANSING ENTERTAINMENT & PUBLIC FACILITIES AUTHORITY BOARD OF COMMISSIONERS MEETING September 24, 2024 MINUTES At 8:07 a.m. Chairwoman Maureen McNulty-Saxton called the regular monthly meeting of the LEPFA Board of Commissioners to order in the Governor’s Room located at the Lansing Center; 333 East Michigan Avenue; Lansing, Michigan 48933. COMMISSIONERS PRESENT: Paul Collins, Kenric Hall, Larry Leatherwood, Danielle Lenz, Charles Mickens, Charles Randall (Ex-Officio), and Maureen McNulty-Saxton COMMISSIONERS ABSENT: Desiree Kirkland (Ex-Officio), and James Stajos. OTHERS PRESENT: Mindy Biladeau, Heidi Brown, Kirby Doidge, Kasey McFadden, Paul Ntoko, and Tristan Wright - Lansing Entertainment & Public Facilities Authority; Joe Abood - Lansing City Attorney’s Office; and Jack Alexander- Public. I.CALL TO ORDER: Chairwoman Maureen McNulty-Saxton introduced Charles Randall, LEPFA’s newly appointed Commissioner (Ex-Officio). II.ESTABLISHMENT OF THE AGENDA: A quorum was not present at the beginning of the meeting. Chairwoman Maureen Saxton noted that the Finance Committee report would be postponed until a quorum was established. Chairwoman Maureen Saxton made a change to the order of the agenda, moving the Interim President & CEO and the Vice President reports before the Finance Committee report until a quorum was established. ------ Quorum was established at 8:13 after the Sales and Services report from Mindy Biladeau------ The Board went back into the order of the established agenda. Motion was made to approve the changes to the agenda MOTION: Commissioner Charles Mickens SECOND: Commissioner Larry Leatherwood MOTION CARRIED after Commissioner Larry Leatherwood arrived, establishing a quorum. III. PUBLIC COMMENT: None. IV.INTERIM PRESIDENT & CEO’s REPORT: Tristan Wright discussed the following items: A.Past Chair Acknowledgement: Tristan Wright acknowledged and thanked Commissioner Kenric Hall for his year of service as Board Chair for the fiscal year 2023-2024. Tristan thanked Kenric Hall for his leadership, and his guidance while he was Chair on the LEPFA Board and presented him with a plaque. B.Operation’s Report: The turf at Jackson Field Stadium, originally replaced 10 years ago by Bush Turf, is undergoing another replacement. Bush Turf was the only bidder and has begun the replacement process. Completion is targeted for November, before the onset of snow, ensuring readiness for the 2025 season. A new lactation pod has been installed at the Lansing LEPFA Board of Commissioners Meeting September 24, 2024 P a g e | 2 Convention Center, enhancing services for clients and customers. A press event is scheduled for October 9th to highlight this initiative. The City of Lansing has issued a Request for Proposal (RFP) for third-party management for LEPFA facilities, including Lansing Center, Jackson Field Stadium, and Groesbeck. Facility tours took place on September 16 with interested companies. Discussions focused on infrastructure, equipment, and facility conditions. LEPFA will be submitting a proposal for the RFP. V. VICE PRESIDENT OF SALES AND SERVICES REPORT: Mindy Biladeau reported on the following items: A.Sales & PACE: August rental sales for the Lansing Center totaled $45,926. The new board- approved agreement with Choose Lansing added $200,000 to the rental budget for FY25, raising it to $1.2 million. As of last month, the sales team had achieved 84% of the budget. Currently, they are at 75% for the fiscal year with nine months remaining. The team is focusing on sales splits, prospecting, and attending upcoming trade shows, including a major event at MSU. A challenge faced is the availability of short-term business dates due to previously booked ballrooms and other spaces. B.Event Highlights: Secured the 2028 Scottish Highland Dance National Championships. Added a new wrestling tournament, Premier League Border Duals, in addition to existing wrestling events for 2024 and 2025. C.Silver Bells In The City & 5K: For the 40th celebration, Sponsorships for the event are at an all- time high, with this year marking the event's largest revenue. Parade applications closed on September 2nd, with all applicants notified by September 20th. There is a full parade lineup and a waitlist. The 2024 State Christmas Tree will be harvested on November 1st and arrive at the Capitol on November 2nd. 10,000 programmable LED wristbands will be distributed for the tree lighting, synchronized to music, drone performances, and fireworks. Registration for the Silver Bells 5K has increased by 300% from last year, setting it up for a record-breaking event. Larry Leatherwood entered the meeting at 8:13 a.m. ------ Quorum was established at 8:13 ----- The Board went back into the order of the established agenda. VI.APPROVAL OF THE August 20, 2024, MINUTES: Motion was made to approve the August 20, 2024, meeting minutes as presented. MOTION: Commissioner Kenric Hall SECOND: Commissioner Charles Mickens MOTION CARRIED V.REPORTS: A.CHAIRWOMAN’S REPORT: Chairwoman Maureen McNulty-Saxton reviewed discussion/action items as follows: 1.Financial Statement Review: August 2024 (Action Item) 2.Personnel Committee- Closed Session 3.Strategic Committee Updates 4.Vice President Reports LEPFA Board of Commissioners Meeting September 24, 2024 P a g e | 3 B.FINANCE COMMITTEE: Finance Committee Chair Paul Collins stated that the committee met and deferred to Kirby Doidge for the August 2024 Financial report as follows: 1.Lansing Center: Revenue: August revenue was $261,000, exceeding the budget by $11,451. Building rental and food & beverage revenue fell short of expectations. Equipment rental surpassed the budget by $61,000, driven by AV services for the National Democratic Convention. Labor services and event-related expenses increased due to AV needs. Signage and promotion recognizing $16,500 for the donation of the lactation pod. We exceeded our anticipated revenue for the month but remain $142,000 behind the year-to-date target. However, August revenue was $261,000, surpassing last year’s August total of $250,000. Danielle Lenz entered the meeting at 8:23 a.m. Expenses: August Salaries/Wages and Benefits were under budget due to reduced staffing in August, as fewer hourly event staff were needed. Utilities were also $32,000 below budget due to lower usage, though this is expected to rise soon. Maintenance costs increased due to additional roof repairs, and event-related expenses exceeded budget due to rental equipment costs. Total operating expenses for the month were $491,000, $92,000 under budget, resulting in a deficit of $63,000—better than the expected $171,000 deficit, giving us a positive variance of $108,000. Sales and marketing reimbursements will be adjusted to $450,000. Compared to last year, revenue is up, and expenses are down for August. Cash on hand will be managed strategically to align with the grant reimbursement process. 2.Groesbeck Golf Course: Revenue: At Groesbeck, power cart rentals exceeded budget by $1,000, though greens fees were $1,500 below target year-to-date. Concessions revenue is underreported due to credit card terminal issues, but adjustments are expected to align figures with budget. Currently, we're $6,400 below anticipated monthly revenue, but this gap should be closed once concessions are reconciled, keeping us on pace for the year. Expenses: Expenses are overstated, particularly salaries, which will be reallocated in October. Supplies, including chemicals, are above budget but expected to decrease in non-golf months. The newly approved simulator also contributed to a $17,000 expense overage. Total monthly expenses were $115,000, $18,000 over budget, but non-operating income resulted in a $43,000 positive net, slightly below our projection due to the simulator costs. 3.Jackson Field: Revenue: There was no August revenue to report for Jackson Field. Expenses: At Jackson Field, salary allocations are still being adjusted. Utilities were below budget due to the Lugnuts' schedule, balancing out last month's overage. Year-to-date, utilities are under budget by $2,000, though an increase is expected. Maintenance expenses are higher due to approved concrete projects, but this was anticipated. LEPFA Board of Commissioners Meeting September 24, 2024 P a g e | 4 Overall, monthly expenses were $11,000 under budget, and once salaries are fully allocated, we expect this variance to narrow to around $6,000-$7,000. Year-to-date, expenses remain $11,000 below budget, with operations proceeding as expected. 4.Budget Update: Kirby shared updates on the 2024-25 budget amendment; no action was required at this time. Motion was made to accept the August 2024 Financials as presented for Groesbeck Golf Course, Jackson Field, and Lansing Center. MOTION: Commissioner Larry Leatherwood SECOND: Commissioner Kenric Hall MOTION CARRIED C. PERSONNEL COMMITTEE: At the request of Interim President and CEO Tristan Wright, Commissioner Kenric Hall moved to enter a closed session to discuss the open President and CEO position. MOTION: Commissioner Kenric Hall SECOND: Commissioner Larry Leatherwood Roll Call Vote: Yays: Commissioner Collins, Hall, Leatherwood, Lenz, Mickens, Saxton Nays: None MOTIONED CARRIED Mindy Biladeau, Heidi Brown, Kirby Doidge, Kasey McFadden, Paul Ntoko; Joe Abood, Sherrie Boak, Charles Randall, and Jack Alexander exited the meeting for the closed session at 8:38 A.M. At 9:16 a.m. Mindy Biladeau, Heidi Brown, Kirby Doidge, Kasey McFadden, Paul Ntoko; Joe Abood, Sherrie Boak, Charles Randall, and Jack Alexander re-entered the regular monthly Commissioner Paul Collins moved to return back into the regular monthly meeting session. MOTION: Commissioner Paul Collins SECOND: Commissioner Kenric Hall Roll Call Vote: Yays: Commissioner Collins, Hall, Leatherwood, Lenz, Mickens, Saxton Nays: None MOTIONED CARRIED Chairwoman Maureen Saxton announced that the Board has made an offer to Interim President and CEO Tristan Wright to become the President and CEO of the Lansing Entertainment and Public Authority. Tristan Wright has accepted the offer depending on the negotiations of the contract. A press release will be announced once details are finalized. LEPFA Board of Commissioners Meeting September 24, 2024 P a g e | 5 Commissioner Paul Collins moved to appoint Interim President and CEO Tristan Wright as President and CEO of the Lansing Entertainment and Public Facilities Authority subject to negotiating a contract. MOTION: Commissioner Paul Collins SECOND: Commissioner Kenric Hall MOTION CARRIED D. STRATEGIC PLANNING COMMITTEE: Committee Chair Charles Micken reported that the Strategic Committee did meet in September and discuss stadium updates, rebranding, and strategic plan updates. M3 presented the proposed rebranding; hard copies were distributed for review. Brief discussions included the lactation pod installation, third-party management, and updating strategic plan/timelines. Tristan provided an update on the third-party RFP, noting that proposals will be submitted in hard copy to the city’s purchasing department by October 3rd; LEPFA will be submitting a proposal. G. VICE PRESIDENT/STAFF REPORTS: 1. Heidi Brown- Administration: Heidi Brown provided a brief update, announcing the hire of a new HR Payroll Coordinator, set to begin on October 7th. She also reported that Executive Chef Dan Ray resigned on September 19th. Leadership training with Lisa Fisher, based on "The Five Dysfunctions of a Team," is ongoing, starting with VPs and expanding to the rest of the LEPFA staff. A flu and COVID-19 vaccination clinic will be held for staff this Thursday. Preparations are in progress for LEPFA U in November. Heidi is also working with the Healthcare Committee on benefits, including healthcare and FLSA updates effective January 1st, and continues to monitor the Michigan minimum wage increase. Updates will be provided, as necessary. Heidi also thanked the Board on behalf of the staff for extending an offer to Tristan Wright as President and CEO and congratulated Tristan. 2. Paul Ntoko- Foodservice: Paul provided a brief update on food service and Groesbeck operations. September has been challenging with cooler weather affecting activities, but leagues are continuing as long as possible. Fall rates will begin next Monday. At the Lansing Center, preparations for fall are underway. Paul acknowledged the resignation of Executive Chef Dan Ray, highlighting his significant contributions over the past three years. He echoed Heidi's congratulations to Tristan and expressed happiness for Dan’s new role. No further updates were provided. 3. Tristan Wright- Operations: Tristan added to her report that in the Admin report, she has provided additional updates, noting that utility expenses are now being tracked using updated charts. She also highlighted the success of the Mayor's Golf Outing on September 13th, praising the team's excellent work in maintaining the course and managing the event. Both the mayor and event team were incredibly pleased, with hopes for a repeat next year. LEPFA Board of Commissioners Meeting September 24, 2024 P a g e | 6 4. Kirby Doidge-Finance: Kirby Doidge reported that the audit team will be on-site from September 30th to October 4th. VI. COMMISSIONERS AND STAFF COMMENTS: 1. Commissioner Charles Mickens- Commissioner Mickens shared that he attended the Lansing Regional Sister Cities' 30th anniversary celebration last week. The event was held at the Lansing Center, and he commended the staff for their excellent work; especially Paul Ntoko and his team for the diverse international cuisine. He expressed gratitude for the enjoyable experience. 2. Chairwoman Maureen Saxton- Chairwoman Saxton expressed her gratitude to the staff, particularly Tristan, for their excellent collaboration during the interim period. She congratulated Tristan on accepting a new position, pending final details, and thanked everyone for their hard work and cheerful outlook throughout the transition. 3. Commissioner Larry Leatherwood- Commissioner Leatherwood inquired about the timeframe for finalizing the matter. The response indicated that while specific timelines are speculative at this stage, the goal is to complete the process as soon as possible. Efforts will begin as soon as LEPFA’s legal team is secured to facilitate the proceedings. VII. OLD BUSINESS: No report. VIII. NEW BUSINESS: No report. IX. AJOURNMENT: At 9:36 a.m. the regular monthly meeting was adjourned. MOTION: Commissioner Larry Leatherwood SECOND: Commissioner Kenric Hall MOTION CARRIED Respectfully submitted, THE NEXT MONTHLY MEETING IS SCHEDULED FOR: TUESDAY, October 22, 2024 8:00 a.m. LOCATION: Governor’s Room Kasey McFadden, Recording Secretary