HomeMy WebLinkAbout2001 LEPFA Minutes LANSING ENTERTAINMENT AND PUBLIC FACILITIES AUTHORITY
BOARD OF COMMISSIONERS MEETING
January 23, 2001
MINUTES
At 8:01 a.m. Chairman Ellen Jeffries called the meeting to order in the Governor's Room of the Lansing
Center; 333 E. Michigan Avenue; Lansing, Michigan 48933.
COMMISSIONERS PRESENT: James W. Butler III, Wes Clark, Tim Haggart, Charles Janssen, Ellen
Jeffries, Cyril McGuire, Kate McNenly, Sharon Peters, Charlotte Sinadinos, Bob Swanson (Ex-Officio)
and Ron Wilson (Ex-Officio).
COMMISSIONERS EXCUSED: Dennis Sykes (Ex-Officio)
OTHERS PRESENT: Heidi Brown, Marian Bryant, Linda Frederickson, William Grove, Michael
Meyers, and Peter Sullivan, - Lansing Entertainment and Public Facilities Authority.
III. ESTABLISHMENT OF THE AGENDA:
There were no changes to the agenda.
IV. PUBLIC COMMENT:
There was no public comment.
V. APPROVAL OF THE MINUTES OF DECEMBER 19, 2000:
The minutes of December 19, 2000 were adopted as presented.
VI. REPORTS:
A. CHAIRMAN'S REPORT:
1. City Council Update — Ron Wilson: Ron reported Council agenda items included decreasing
the public comment to two minutes. New appointments include Steve Dugan to fill the position
of City Clerk through January 1, 2002 and Kris Nicholoff is the new City Council
representative, he will replace Michael Murphy. Wilson reported Council will begin meeting
with Department Heads next week, which will include discussions with the Public Service
Department regarding the changing many one-way streets to two-way streets once the 1-496
project is complete.
B. SECRETARY/TREASURER'S REPORT:
1. Monthly Financials: Committee Chairman Charlotte Sinadinos reviewed the following financial
statements as approved by the Finance Committee for the period ending December 31, 2000:
a. Lansing City Market— December 31. 2000: Building Rental is $3,610 compared to
$4,562 for last year, and is down for year to date for the current year at $25,420
compared to $28,495 for last year. Parking is down year to date at$5,730 compared
to $8,122 for last year. Total Operating Revenue year to date is $31,548 compared to
the prior year's amount of$37,011. Under Operating Expenses, Salaries and Wages
are down for the current period because there were three pay periods in December last
year at$3,256 compared to $4,382 for the prior year, and they are up for year to date
at $22,805 compared to $21,509. Utilities are up for the current period at $3,705
compared to $2,226 for last year and year to date they are down are $14,740
compared to $15,058 for last year.
LEPFA Board of Commissioners Meeting
Page 2
January 23, 2001
Marketing is down slightly for a year to date figure of$7,360 compared to $10,671.
Maintenance of Facilities is up for year to date at $12,312 for the current period
compared to $4,346 last year due to asphalt work at the Market. Total Operating
Expenses for the current period are $18,902 compared to $17,042 for last year and the
year to date figures are $72,366 compared to $67,681 for last year, for an Operating
Loss year to date of($40,818) compared to the prior year's loss of($30,669). Total
Cash position for the current year is down compared to the prior year at $120,774
compared to $141,806. Total Assets for the current year are $181,116 compared to
$151,430 for the prior year. Under Liabilities our Accounts Payable for the current
year are $18,525 compared to $11,370 for the prior year. Unreserved Equity is
$161,659 for the current year which exceeds the prior year's $138,573. Building
Rental year to date is $25,420 compared to the budgeted amount of$28,126 for a
variance of($2,705). Parking is down compared to budget at $5,730 compared to
$7,965 for a variance of ($2,234). The Total Operating Revenues are $31,548
compared to $36,451 which is $4,903 less than budget. Under Operating Expenses,
Salaries and Wages are $22,805 compared to $27,313 for a variance of$4,507 less
than budget. Total Operating expenses for year to date are $72,366 compared to the
budgeted amount of $85,416 for a variance better than budget of $13,049. After
adding in the City Contribution and interest, there is variance of$8,455 better than
budget.
b. Oldsmobile Park - December 31. 2000• Event Revenues for the current period are
$208.23 in interest and Event Expenses had a credit of$139.48 from Fright Night for
an Event Income of$347.71, which was applied to the Event Development Fund.
Under Operating Expenses - Salaries and Wages are down compared to the prior
period due to the three pay periods in December last year at $3,755 compared to
$4,037. Utilities are about the same for the current period at $4,371 compared to
$4,389 and are up slightly for year to date at $23,555 compared to $22,445 for the
prior year. Marketing is up for year to date at $10,617 compared to $5,504.
Maintenance of Facilities for year to date is $35,432 compared to $1,947, which was
covered by the City's Operating Transfer in the amount of$18,792. Total Operating
Expenses for the current period are $25,280 compared to $29,874 for the prior year.
Total Operating Expenses year to date are $148,809 compared to $112,180. The
bottom line loss year to date is $6,460 compared to net income of$11,321 last year.
At 8:10 a.m. Commissioner Sharon Peters entered the meeting.
The Total Cash position is $175,076 compared to $177,495 for the prior year. The
Total Event Development Fund is $62,754 compared to $132,480. Accounts
Receivable are $157,898 compared to $16,332 for the prior year due to the billing
of the suites. Accounts payable are $172,450 compared to$36,040 for the prior year.
Unreserved Equity is $125,358 compared to $206,016 for the prior year. Under
Budget vs. Actual, Salaries and Wages are less than what was budgeted at $27,323
compared to $30,317 for year to date for a variance of $2,993. Maintenance of
Facilities exceeds budget by $25,934 due to the painting project after including the
Operating Transfer of$18,792. Bottom line, we are better than budget for year to
date by $20,053 after adding in the City Contribution and the Operating Transfer.
LEPFA Board of Commissioners Meeting
Page 3
January 23, 2000
c. Lansing Center - December 31. 2000• Building Rental for the current period is
$46,475 compared to $42,924 for the prior year. Year to date Building Rental is
$446,248, which exceeds $381,298 for the prior year. Food and Beverage for the
current period is $149,101 exceeding the prior year's amount of$108,192 and year
to date figures are $1,295,542 compared to $1,001,740 for the prior year for a
difference of$325,000 for year to date. Equipment Rental is down for the current
period at$7,450 compared to $16,654 for the prior year and year to date the figures
are $219,344 compared to $172,892 for last year. Labor Service is up for the current
period at$13,343 compared to$3,152 last year and year to date figures are up as well
at$70,943 compared to $31,522. Total Operating Revenues for the current period are
$231,521 compared to $182,820 and the year to date amount is $2,144,091 compared
to$1,681,897 for the previous year. Under Operating Expenses -Salaries and Wages
are down for the current period at $115,547 compared to $123,400 due to the three
December, 2000 payrolls, and it is up for year to date at $721,223 compared to
$643,775. Utilities are down for the current period at$37,978 compared to $42,019
and are up for year to date at$268,392 compared to $246,682. Marketing is down
for year to date at $26,220 compared to $29,133 for the prior year. Supplies and
Materials for year to date are $25,339 compared to $52,294, which is a timing issue.
Total Operating Expenses for the current period are $387,073 compared to$392,606
and year to date the figures are $2,362,309 compared to $2,191,457 for a loss for the
month of$155,552 compared to the prior year's loss of$209,786 and year to date we
operated the Center at a loss of($218,217) compared to the prior year's loss of
($509, 560). After adding in the City Contribution and interest, year to date revenues
over expenses is $99,648 compared to the prior year's loss of($232,888).
The Total Cash position for the current year is up at $248,806 exceeding the prior
year's $30,014. Total Assets for the current year are $1,399,664 compared to
$1,072,102. Accounts Payable for the current year are $93,902 and were $173,084
for the prior. Our Unearned Revenue Advanced Rent, which is an indicator of future
business is up at$316,370 versus$276,649 for the prior year. Unreserved Equity for
the current year is $769,584, which exceeds $370,140 for the prior year. Under
Budget versus Actual, Building Rental for year to date is $446,248 compared to
$427,055 for a variance ahead of budget in the amount of $19,193. Food and
Beverage exceeds budget for year to date at $252,329. Equipment Rental is better
than budget by $38,403. Labor Service exceeds budget by $21,803 for a Total
Operating Revenues are better than budget $341,323. Under Operating Expenses,
Salaries and Wages are better than budget by $5,876 for year to date. Food and
Beverage expenses exceeded the budget ($80,425), however the net remains better
than budget. Total Operating Expenses exceeded budget by ($38,169) for a Total
Operating Income better than budget of $303,154 for year to date. After the City
Contribution and interest is added, and after deducting the variance on depreciation,
we are better than budget by $295,930.
Chairman Sinadinos moved that the monthly financials for Oldsmobile Park, the
Lansing City Market and the Lansing Center for the period ending December 31, 2000
be received as published, and further that the monthly expenses for each entity be
approved. Support: Commissioner Haggart Motion carried.
LEPFA Board of Commissioners Meeting
Page 4
January 23, 2001
2. LEPFA BUDGET for FYE 2001-2002• President and CEO Peter Sullivan reviewed the
LEFPA budgets for 2001-2002 as follows:
a. Cover Memo: Based on budget projections for FYE 2002, revenues are estimated at
approximately $4,700,000 and expenses at $5,400,000 at the Lansing Center for a City
Contribution of approximately $497,000 or an 11.1% decrease as compared to the prior
year. At Oldsmobile Park we anticipate incurring $204,000 in expenses as compared to
$206,000 in 2001, and we anticipate presenting 21 events over 32 event days. At the
Lansing City Market we anticipate $78,000 in revenues while incurring $165,000 in
expenses resulting in a City Contribution of approximately $80,000 for a 3.5% decrease
as compared to last year. The Salary Allocation Plan proposes 4% of the salary allocation
to Oldsmobile Park. It is anticipated that the three business entities as well as Common
Ground will generate 850 event days, attracting over 500,000 patrons with an estimated
economic impact of$15,000,000. Work continues on Common Ground to make it a
signature event for the entire greater Lansing region. Based on the Convention and
Visitors Bureau estimates, Common Ground generated an estimated economic impact of
$2,500,000.
b. Lansing City Market: Total Operating Revenues are estimated at$78,000, with Operating
Expenses estimated at $165,000, less depreciation and interest a loss of ($79,647) is
projected. Last year $82,500 was budgeted, the City funded $83,000 and we are
projecting our need this year at$79,647 which equates to a 3.5% reduction and is the fifth
consecutive year that we have requested a reduction in the City's contribution for the
Market. Regarding revenue, it is anticipated that rental revenue will decrease slightly this
year as compared to fiscal year 2001. Similarly, parking revenue is projected to decline
and this topic is under discussion with the City. Regarding expenses, marketing is
budgeted slightly less than last year, which is commensurate with prior years and 2001 was
down due to the transition of the VP of Sales and Marketing and the Marketing Manager.
In regard to Repairs and Maintenance, paving took place this fall and we will continue to
review improvement and beautification projections.
c. Oldsmobile Park: Total Operating Expenses are estimated at $236,500, adding in
depreciation and interest, we anticipate a projected City contribution of$204,700 versus
$206,239 which was requested last year. Last year the City actually funded the stadium
at $196,000 and it is expected that we will receive the same amount this year. Under
Expenses, Utilities were estimated to decrease by $2,000; Insurance/Bonding was also
estimated at$2,000 less; Professional Services (consultants) were decreased and Repairs
and Maintenance have been budgeted with a 4% increase in maintenance contracts. The
Salary Allocation plan is not factored into the budget presentations, but is consistent with
the previous two years' plans. Peter reviewed how the allocation plan is calculated as
presented in the budget materials. Last year the allocation was $42,000 and is $42,000
again this year. The 2002 event mix includes a potential collegiate baseball tournament.
He also noted the MSU baseball agreement is up for renewal and we are under negotiation
with them. We project 21 events, equating to 32 event days, for a $50,000 net which has
declined due to Common Ground hosting the various concerts; however we will continue
to host Fiesta Del Verano, HolywaHooza, Fright Night, Park After Dark, MSU Baseball
and the Symphony.
LEPFA Board of Commissioners Meeting
Page 5
January 23, 2001
d. .Lansing Center: Total Operating Revenues are estimated at$4,700,000, estimated Total
Operating Expenses are $5,300,000; after taking out depreciation and adding in interest
a loss of ($497,165) is projected compared to the $579,000 last year; or an 11.1%
reduction in the City Contribution. Building revenue is projected at$1,076,000 compared
to $1,034,000, which was budgeted last year, for an increase of $40,000 and is
commensurate with the actual figure for 2000. Food and Beverage Services are projected
at$2,750,000 compared to$2,580,000 which was budgeted for last year. Equipment rental
is proposed at$468,500 compared to the $407,100 budgeted and the 99/00 actual amount
of$474,530. Utilities are projected at $135,000 compared to $128,000 for 2000/01;
Signage/Promotions are estimated at$45,000 compared to $40,000 budgeted in 2000/01.
Labor Service is budgeted at $9,000 more in comparison to 2000/01 and $14,000 more
in comparison to the actual figure for 99/00. Under expenses, full-time salaries are
projected at $1,469,604 compared to $1,395,989 for 2000/01 and $1,265,780 actual in
99/00. The 5% increase, when backing out the newly created management position,
equates to a less than 1% increase. Peter noted that the $1,469,000 figure includes a
$40,000 vacancy factor and a$46,000 factor has been included with the fringes as well.
Events Salaries/Wages are estimated at $272,000 compared to $255,000 for 2000/01.
Professional Services are estimated at$129,900 compared to $123,900 for last year and
the $212,697 in 2000 was attributed to the expansion study and temporary help and legal
fees. Utilities are up in comparison to the 99/00 actual figure. Supplies and Materials are
comparable to 2001. Food and Beverage Expenses are projected at$1,685,989 compared
to $1,598,111 and actual was $1,632,205 in 2000.
Committee Chair Charlotte Sinadinos moved that the proposed 2001 and 2002 annual
budget for the Lansing Center, Oldsmobile Park and the Lansing City Market be adopted
as published. SECOND: Commissioner Janssen Motion unanimously passed.
C. CHIEF EXECUTIVE OFFICER'S REPORT:
1. Union Issues: No report.
2. Lansing City Market: Peter reported that December rental revenue was down $1,100
compared to last year. Occupancy was down compared to last year, however discussions are
underway with potential vendors. Regarding recruitment efforts, the fresh cut Christmas tree
vendor, Sally Britton, was very happy with her business during the season and sold out her
trees and she hopes to return to the Market next year. The vendors have been presented with
a draft of the 2001 Marketing Plan and we are receiving input on how to implement the plan
and our marketing and advertising objectives for next year.
3. Oldsmobile Park: Peter reported he met with Tom Dickson regarding the stadium concourse
mural project; Tom proposed that the walls and columns would be painted and juxtaposed
with images of Lansing's automobile industry and minor league baseball. The brick walls and
the columns along the first and third base lines will be utilized with baseball and automobile
images and facts. Tom also hopes to have the carpet in the suite and concession areas along
the concourse upgraded; however they were not discussed in the meeting. Dickson did
address all three issues with the Mayor. Peter noted we must determine how much money
is available to dedicate to these projects.
LEPFA Board of Commissioners Meeting
Page 6
January 23, 2001
Commissioner Janssen questioned how the operating agreement between TMO and the City
addresses major maintenance improvements? It was noted they would be outside and separate
negotiations and a capital project is not necessarily categorized as "major maintenance." Bob
Swanson clarified that improvements to the stadium would be outside of the agreement and
we have done several, including the addition of seats. Peter also noted beginning April 1 the
Lugnuts are taking their food and beverage operations in house.
Commissioner Butler asked Commission Swanson what the Mayor's position is in regard to
sharing profits and expenses. Swanson noted that the Mayor is concerned that we both move
forward with attractions at the stadium and that we handle it in a financially responsible
manner. Swanson noted that while he has not talked to the Mayor, it is his feeling that the
Mayor responded favorably to the changes in the concourse especially in light of the fact that
it relates to the auto industry and Lansing, and was impressed by the presentation. He also
noted in regard to the concessions upgrade, it is a profit center more for the team, and
indicated that he felt the Mayor would be reluctant to split the costs 50150 on such an item;
however, we must weigh the benefits, while noting having people come downtown is
important and yet we have to look at the stadium event revenue as well. Peter noted there
is a process we have to follow which includes City Council approval.
4. LansingCenter: During December we hosted 48 events, equating to approximately 60 event
days, with in excess of 18,000 attendees, creating 1,117 room nights, for an estimated
economic impact of approximately $200,000.
Sales Department Updates: The Michigan Technology Showcase has been re-booked for
November 2001. Shipshewanna on the Road has re-booked for the first week of December;
Arctic Cat will return in 2002; the State of City Preview Breakfast will be hosted at the
Lansing Center; Michigan Association of CPA's have booked in October 2001; the following
groups have booked holiday parties in 2001: State Employees Credit Union, Davenport
Masonry, John Henry, and General Motors. Potential Business includes the Michigan
Republican State Committee in September, Michigan Democratic Party 2002 State
Convention in August and the Lansing Community College President's Inauguration in April.
December Facility Highlights include the Islamic Center of Lansing held a celebration at the
Lansing Center on December 27 marking the end of a fasting period, they actually booked
space for two days (in conjunction with the new moon), and had in excess of 1,000 people
in attendance. Festeve was held on December 31 with 2500 people in attendance and this
was the fifth year for the event.
The Boat Show, which was sponsored by WILX was in house for its third year, with over
2,500 attending. Letts Bridal Show was in house with in excess of 930 people for their third
year show and his show in 2002 will mark his 30`h Anniversary. January 8-10 Michigan
Nursery and Landscape was in house and this group is considered our largest booth show
utilizing Halls A-C and the concourse area and it was the fifth year for the event. We hosted
a computer show sponsored by Blue Star Productions. This event attracted over 4,200 people.
In mid January we hosted a bridal show, and the annual Dr. Martin Luther King, Jr. Holiday
luncheon was held on January 15 with over 1,100 attendees. Michigan Agri Business was
in house with in excess of 400 attendees and the New York City Dance Alliance held a three-
day competition with 450 dancers. We also hosted two weddings during the month.
LEPFA Board of Commissioners Meeting
Page 7
January 23, 2001
Upcoming events include Michigan Association of State and Federal Programs; the Michigan
Veterinarian Association; Fast Food and Ice Cream Show; the Motorcycle Swap Meet; the
Deer and Turkey Spectacular.
D. PERSONNEL COMMITTEE REPORT: Committee Chairman Cyril McGuire indicated that
the Committee has not met; however signatures are needed from Peter Sullivan.
E. LONG RANGE PLANNING COMMITTEE: Committee Chairman Charley Janssen thanked
the staff for getting the expansion presentation together so quickly and noted that he was
unable to attend because he was out of town, but understood that it was a good presentation.
He also noted the Committee will meet this week and there will be report at next month's
meeting.
VII. COMMISIONER AND STAFF COMMENTS:
1. Charlotte Sinadinos: Commissioner Sinadinos commended Peter and Marian on their hard
work in preparing the budget. And congratulated Michael on his new promotion.
2. James Butler: Commissioner Butler congratulated Michael Meyers on his new promotion
noting it was well deserved. He also commented on the stationery noting it is an outstanding
job, and is a great example of"branding" because it denotes all the facilities for which LEPFA
is responsible. He also noted the Martin Luther King luncheon was outstanding and indicated
that the food and beverage and operations staff coordination was outstanding. Chair Butler
also reported that he did not realize that the Food and Beverage Department utilizes service
groups such as the Y-Achievers, Knights of Columbus, Lansing Catholic Central, etc. to serve
LEPFA events. Butler noted that this was outstanding because the groups are compensated for
their work, and LEPFA is in turn giving back to the Community. Peter explained the
program that was instituted approximately a year ago and was tied into Common Ground.
Bill Grove explained what their duties were and noted that if anyone was aware of groups
interested in servicing events they should contact him. Commissioner Butler also commended
the Finance Committee, Chairman Sinadinos and the staff on the outstanding job they did on
the budget preparation and presentation.
3. Charles Janssen: Commissioner Janssen noted James Butler received a Partnership Award and
recognition at the Dr. Martin Luther King luncheon for his work on the commission. He also
commended the LEPFA A/V staff for their efforts in ensuring that the King luncheon went
well and asked that his comments be forwarded to the department. He also commented on the
state of the Novi Expo Center as he witnessed during a recent visit, and expressed his
understanding of the need to continue to invest in a building and how important and necessary
it is to fund a facility in terms of maintenance and upgrades.
4. Bob Swanson: Mr. Swanson noted he appreciates all the work done on the budget by the
Finance Committee and the staff. Swanson noted the City is looking at a 3% increase in
revenues, however, it is hard to predict due to unknowns, i.e.. the city income tax revenues,
which is impacted by the recent GM layoffs. He also noted the State revenue sharing is
another unknown because State revenues are forecasted at a reduced rate and so revenues are
expected to be under what was budgeted based on sales tax.
LEPFA Board of Commissioners Meeting
Page 8
January 23, 2001
The census results will also impact this year's budget. Swanson noted that next year the State
is projecting flat revenue, which may mean that the growth in revenue sharing may be
reduced. He also noted the personnel costs for the City have increased by greater than 5% and
the growth in revenue is absorbed by personnel costs with a 16% increase in health care costs.
5. Sharon Peters: Commissioner Peters noted she was pleased by the civic recognition of James'
contribution at the Martin Luther King luncheon, noting that she felt that it was appropriate
and further that his service is much appreciated.
6. Peter Sullivan: Peter reported he and Bob attended a conference and noted the potential of
engaging a consultant to help explore the financing options relative to the potential expansion.
7. Ellen Jeffries: Commissioner Jeffries extended congratulations to Michael Meyers on his
promotion and thanked him for the job he has done. She also thanked Charlotte Sinadinos as
the Chairman of the Finance Committee for her work as Chair. She also noted that LEPFA
is requesting less funding compared to last year.
VIII. OLD BUSINESS:
No report.
IX. NEW BUSINESS•
No report.
THE NEXT MONTHLY MEETING IS SCHEDULED FOR TUESDAY, JANUARY 23 AT 8:00 A.M.
AT THE LANSING CENTER IN THE GOVERNOR'S ROOM.
At 9:32 a.m. the meeting adjourned.
Respectfully submitted,
Heidi K. Brown, Recording Secretary
LANSING �,NTERTAINMENT AND PUBLIC FACILITIES AUTHORITY
BOARD OF COMMISSIONERS MEETING
February 27, 2001
MINUTES
is L"i
At 8:03 a.m. Chairman Ellen Jeffries called the meeting to order in the Governor's Room of the Lansing,
Center; 333 E. Michigan Avenue; Lansing, Michigan 48933.
COMMISSIONERS PRESENT: James W. Butler III, Wes Clark, Tim Haggart, Ellen Jeffries, Cyril
McGuire, Kate McNeely, Charlotte Sinadinos, Bob Swanson(Ex-Officio), Dennis Sykes.(Ex-Officio), and
Ron Wilson (Ex-Officio).
COMMISSIONERS EXCUSED: Charles Janssen and Sharon Peters.
OTHERS PRESENT: Heidi Brown, Marian Bryant, Linda Frederickson, William Grove, Michael
Meyers, and Peter Sullivan, - Lansing Entertainment and Public Facilities Authority; and James Smiertka,
City of Lansing.
III. ESTABLISHMENT OF THE AGENDA:
There were no changes to the agenda.
IV. PUBLIC COMMENT:
There was no public comment.
V. APPROVAL OF THE MINUTES OF JANUARY 23, 2001
The minutes of January 23, were adopted with the change noted on page eight, seventh paragraph,
" . .January 23, 2001" was amended to "February 27, 2001." The minutes were approved with
the noted change.
At 8:05 Commissioner Cyril McGuire entered the meeting.
VI. REPORTS:
A. CHAIRMAN'S REPORT• No report.
B. SECRETARY/TREASURER'S REPORT:
1. Monthly Financials Committee Chairman Charlotte Sinadinos reviewed the following financial
statements as approved by the Finance Committee for the period ending January 31, 2001:
a. Lansing City Market - January 31 2001• Building Rental is $2,957 compared to
$3,559 for last year, and is down for year to date for the current year at $28,377
compared to $32,054 for last year. Parking is down year to date at$4,687 compared
to $6,861 for last year and Parking for year to date is $10,417 compared to $14,983
for the prior year. Total Operating Revenue year to date is $39,227 compared to the
prior year's amount of$47,466. Under Operating Expenses, Salaries and Wages are
up for year to date at$26,316 compared to $25,087 for the prior year, as are Fringes
and Related costs. Utilities are down for year to date at$17,074 compared to$18,334
for the previous year. Maintenance of Facilities, which includes the concrete repair,
is at $12,411 for year to date compared to $4,770 for last year. Total Operating
Expenses for year to date are $79,878 compared to $78,258 for the prior year.
LEPFA Board of Commi, iers Meeting
Page 2
February 27, 2001
At 8:08 a.m. Commissioner James Butler entered the meeting.
We have an Operating Loss year to date of($40,651) compared to the prior year's loss
of($30,792). Total Cash position for the current year is down compared to the prior
year at $115,089 compared to $128,631. Building Rental is down for the current
period compared to the budget for a variance over budget of ($572). Year to date
Building Rental is $28,377 less than the budgeted $31,655 by ($3,277). Parking is
also down compared to budget at $10,417 compared to $14,832 for a variance of
($4,414). The Total Operating Revenues are less than budget by ($7,680). Utilities
are less than budget by $1,006. Maintenance of Facilities is better than budget by
$882.82 and Marketing is less than budget as well. Total Operating expenses for year
to date are $79,878 compared to the budgeted amount of$98,569 for a variance better
than budget of$18,690. After adding in the City Contribution and interest, there is
variance of$11,363.51 better than budget.
b. Oldsmobile Park - January 31. 2001: Event Revenues for the current period are
$468.41 and Event Expenses are $222.84 for an Event Income of$245.57, which was
applied to the Event Development Fund. Under Operating Expenses - Utilities are up
for the current period at $8,429 compared to $5,124 for the previous year and year
to date the figures are $31,984 compared to $27,570. Total Operating Expenses are
$23,430 compared to $17,692 for the prior year and year to date figures are $172,239
compared to $129,872. After adding in the City Contribution and the Operating
Transfer for the painting we are at ($9,441) compared to $13,920 for the prior year.
The Total Cash position is $154,469 compared to $137,404 for the prior year. The
Net Event Development Fund is $63,000 compared to $132,859. Salaries/Wages are
$31,398 compared to the budgeted amount of $35,523, which is a timing issue.
Utilities are $31,984 compared to the budgeted amount of$31,949. Total Operating
Expenses year to date are $172,239 compared to $171,599 which is less than budget
by ($640.27). After adding in the City Contribution, Interest and the Operating
Transfer from the City for painting, we have a variance of$18,951.
At 8:13 a.m. Jim Smiertka entered the meeting.
c. Lansing Center-January 31. 2001: Building Rental for the current period is $102,665
compared to $96,76.5 for the prior year. Year to date Building Rental is $548,913,
which exceeds$478,063 for the prior year. Food and Beverage for the current period
is down at$190,550 compared to the prior year's amount of$288,948 and year to date
figures are $1,486,092 compared to $1,290,689 for the prior year. Labor Service is
up for year to date at$80,014 compared to $46,454. Equipment Rental is up as well.
Total Operating Revenues for the current period are $374,791 compared to $489,211
and year to date we are up $2,518,883 compared to $2,171,108. Under Operating
Expenses - Salaries and Wages are $123,891 for the current period compared to
$109,115 last year; year to date the figure is $845,114 compared to $752,891 for the
prior year. Utilities for the current period exceed last year at$48,054 compared to the
prior year's $43,753 and are up for year to date at$316,447 compared to $290,436.
LEPFA Board of Commissir •s Meeting
Page 3
February 27, 2001
Food and Beverage expenses are down at$108,795 compared to $149,264 last year
and for year to date the expenses are up $860,877 compared to $802,371 for the prior
year. The net Food and Beverage to the Center is$618,000 and for the month the net
is $80,700. Total Operating Expenses for the current period are $389,644 compared
to $405,904 and total year to date expenses of$2,756,396 compared to $2,597,362
for the prior year. Net Revenues year to date are $111,640 compared to ($123,133).
At 8:15 a.m. Bob Swanson entered the meeting.
Adding together the Total Cash, with the Cash and Cash Equivalents we are at
$552,144 versus $314,486 for the prior year, which includes the investment for
Common Ground of$94,310 for the year 2000, as well as the investment for 2001 of
$21,581. Unearned Revenue Advanced Rent for the current year is $315,319 versus
$289,299 for the prior year. Unreserved Equity for the current year is $781,576,
which exceeds $479,895 for the prior year. Under Budget versus Actual, Building
Rent exceeds budget for the current period at $102,65 compared to $78,260 for a
variance of$24,405 and year to date also exceeds budget at $548,913 compared to
$505,315 for a variance of$43,598. Food and Beverage is down for the current period
with a variance of$46,791 less than budget, but exceeds budget for year to date by
$205,537. Total Operating Revenues for the current period are at$374,791 compared
to the budgeted amount of $387,147 for a variance of $12,355 less than budget,
however, year to date revenues exceed budget by $328,968. Under Operating
Expenses, Salaries and Wages year to date are more than budget by ($5,571). Utilities
are less than budget by $12,552 for year to date. Food and Beverage expenses year
to date exceed budget by $51,820. Total expenses exceeded the budget for year to
date at$2,756,396 compared to$2,737,461 for a variance of($18,935). After the City
Contribution and interest is added, and after deducting the variance on depreciation,
we are better than budget by $302,033.
Chairman Sinadinos moved that the monthly financials for Oldsmobile Park, the
Lansing City Market and the Lansing Center for the period ending January 31, 2001
be received as published, and further that the monthly expenses for each entity be
approved. Support: Commissioner Haggart Motion carried.
2. Exhibit Hall Carpet Purchase: Michael Meyers reviewed a request submitted to the Board
regarding the purchase of exhibit hall carpet. Meyers noted the current carpet was purchased
in March 1998 at a cost of$45,000 and in three years it has generated $487,000 in revenue.
Bids are expected by the end of the week, therefore he requested approval to move forward
with the purchase from the lowest bidder at a price not to exceed $50,000.
Bob Swanson questioned if the rental income increased after the purchase of the current
carpet? Michael noted we increased the price and set a fee of 18 cents per square foot, Peter
suggested it increased by approximately 50% and the quality of the carpet was improved as
well, to increase its longevity. Commissioner Butler noted that the equipment rental continues
to increase over the past three years and we must invest in order to make money, and we have
generated income from the carpet. Commissioner Butler moved that the Board authorize the
purchase of the carpet, not to exceed $50,000. SECOND: Commissioner McNenly
Motion carried.
LEPFA Board of Commissioners Meeting
Page 4
February 27, 2001
C. CHIEF EXECUTIVE OFFICER'S REPORT:
1. City Council Update: Ron Wilson reported that last evening Council approved the transfer
of up to $40,000 for concession improvements at Oldsmobile Park. Ron also noted Council
has been meeting with various departments in regard to budget preparation. Budget hearings
will begin in May (May 3-4 and 9-10) and the date will likely be May 3 or 4 for LEPFA.
Ron also noted the Council is preparing for the closing of I-496 on April 2 with informational
meetings, and the next meeting is slated for March 7 at 3:30 p.m. Everyone is welcome to
attend, updates will be given to Council at this meeting from Dave Berridge and MDOT.
2. Union Issues. No report.
3. Lansing City Market: Peter reported that January rental revenue was down $600 compared
to last year. Occupancy was down compared to last year; however, discussions are underway
with three potential vendors for the summer season. Regarding recruitment efforts, the focus
continues to be on flowers and produce. Falsetta's is closing their store and will lease six
stalls in the Market beginning March 1. For the first 60 days they will sell their perishables
as well as produce and live plants and flowers, and will be in the northeast portion of the
Market. Progress continues on the 2001 Marketing Plan, which will involved a multi-media
approach for the various seasons and will include one-day events as well. Market
Beautification projects continue with the Vendors Association, and include projects such as
cleaning, painting, and landscaping this spring/summer which will include planting of flowers
and shrubs. On March 3, 10, and 17 the Girl Scouts will be selling cookies at the Market.
4. Oldsmobile Park: Peter reported he and Bob Swanson have spoke with Tom Dickson
regarding the stadium capital projects. It was agreed that the City/LEPFA would participate
in the mural project for the outdoor concourses, which will juxtapose the 100''Anniversary
of Minor League Baseball and Lansing's anniversary in the automobile industry. The cost
is $80,000 and the City's share is $40,000 and the funds will come from the stadium's major
maintenance reserve fund. Additionally, $16,000 will be spent on new carpet for the suites,
as well as painting the suites and the suite corridors. The Lugnuts will fund any monies in
excess of$16,000. The suite corridor and stairs will be carpeted within the next two years
with the Lugnuts agreeing to split the costs with the City.
Peter reported the City's agreement with Michigan State University to play baseball at
Oldsmobile Park has expired and we are renegotiating with MSU. The agreement is that
MSU will play five games at the stadium in light of the fact that a special locker room was
built for MSU.
5. LansingCenter: During January we hosted 43 events, equating to approximately 68 event
days, with in excess of 18,000 attendees, creating 1,800 room nights, for an estimated
economic impact of approximately $600,000. Compared to last year we are down by three
events, attendance is down by 500, room nights are down by 4,000 due to the mix of events,
and we were down in the estimated economic impact.
LEPFA Board of Commissioi. Meeting
Page 5
February 27, 2001
Sales Department Report: Lansing Community College President Paula Cunningham will host
her inauguration at the Lansing Center on April 26, and the dinner will be held at the
Sheraton. Confirmed/Repeat Business includes: Destiny Team, they rebooked Hall C for a
number of dates through December 2001; the City of Lansing Daddy/Daughter Dance has
re-booked and it appears that this past event was the most successfully attended; MISHDA
has booked for June 2002 with estimated attendance of 1,200 and they have signed a contract.
Potential new business includes: Women of Faith in December 2001 for 2,200 people in Hall
C; Michigan Association of Homes and Services for the Aging are interested in April 2002
for their annual convention and tradeshow (this group went to Grand Rapids and is interested
in returning); and Total Travel Management — GM Environmental Conference for 2001 is
interested in a September 2001 date.
A site tour was held with the National Association of Watch and Clock Collectors who are
considering June 2006 for their international convention, this contact came from a Chamber
Trade Fair several years ago, this group is also looking for a home for their regional meeting.
Peter noted that the Novi Expo Center is going to expand on 50 acres one mile west of their
current location off of I-96. They will be privately funded, but received an eight(8) year tax
abatement and the new facility will be 320,000 square feet with a 30,000 square foot
ballroom with the ability to accommodate 2,600 people in rounds, with 27 breakout rooms
and is projected to be completed in 2003.
Lansing Center January Highlights include: the Michigan Veterinarians Conference who
returned for the tenth year; the Mayor's State of the City Breakfast; Great Lakes Ice Cream
and Fast Food Show an annual private trade show; 3,000 people attended the annual
Motorcycle Swap meet; on February 7 the Daddy/Daughter Dance took place for the fifth
year at the Lansing Center; February 8 the GLCVB held their annual dinner; February 9-11
the annual Deer and Turkey Spectacular took place, this is our largest consumer show with
over 13,000 attending the three-day event; S. Abraham and Son tradeshow held a casino
night for 800 people and this was a first time event that went well in conjunction with their
tradeshow; Midwest Reps are in house and their Board has decided to move to Soaring
Eagle. February 24 we hosted the Home Show, the Debutante Ball and Representative
Murphy's reception.
Upcoming events include the Michigan Association of Broadcasters, Michigan Floral, the
Sportfishing Boat and Travel Show; and the annual Golf Show March 16-17.
D. PERSONNEL COMMITTEE REPORT: Committee Chairman Cyril McGuire indicated that
the Committee did not meet.
E. LONG RANGE PLANNING COMMITTEE: No report.
VII. COMMISIONER AND STAFF COMMENTS:
1. Marian Bryant: Marian noted that there was an open position in the Accounting Department
for a staff accountant and indicated if any Board members knew of any potential candidates,
they should contact Marian.
LEPFA Board of Comm_ aners Meeting
Page 6
February 27, 2001
2. Commissioner James Butler: Commissioner Butler requested clarification regarding the
Soaring Eagle Resort. Peter explained the Mid-West Reps Association, a group that normally
holds two show per year at the Lansing Center, has decided to move to the Soaring Eagle,
because their Board has decided to try something new. Commissioner Butler questioned what
type of competition is the Summit and the Pavilion providing? Peter indicated they are
competition, however the Novi scenario is an interesting one and not only are they trying to
enlarge their facility, but they are attempting to become multi-functional and.in terms of their
breakout rooms and ballrooms, they will impact our business. However, if we expand we
will be able to attract the higher level tradeshow. Commissioner Butler also questioned Paula
Cunningham's inauguration dinner? Peter explained that she wanted her dinner in the
ballrooms, which was logistically impossible for us, because she is hosting her ceremony in
the ballrooms, therefore the dinner will be at the Sheraton. Commissioner Butler also
questioned if there was anything the Chamber could do to work with LEPFA in a
collaborative manner? Peter said we were open to any suggestions regarding business, and
will forward any suggestions to James.
VIII. OLD BUSINESS:
No report.
IX. NEW BUSINESS:
No report.
THE NEXT MONTHLY MEETING IS SCHEDULED FOR TUESDAY, MARCH 27 AT 8:00 A.M.
AT THE LANSING CENTER IN THE GOVERNOR'S ROOM.
At 8:50 a.m. the meeting adjourned.
Respectfully submitted,
Heidi K. Brown, Recording Secretary
LANSING ENTERTAINMENT AND PUBLIC FACILITIES AUTHORITY
BOARD OF COMMISSIONERS MEETING
March 27, 2001
MINUTES
At 8:02 a.m. Chairman Ellen Jeffries called the meeting to order in the Governor's Room of the Lansing
Center; 333 E. Michigan Avenue; Lansing, Michigan 48933.
COMMISSIONERS PRESENT: James W. Butler I11, Wes Clark, Tim Haggart, Charles Janssen, Ellen
Jeffries, Cyril McGuire, Sharon Peters, Charlotte Sinadinos, and Ron Wilson (Ex-Officio).
COMMISSIONERS EXCUSED: Kate McNenly, Bob Swanson (Ex-Officio), and Dennis Sykes (Ex-
Officio).
OTHERS PRESENT: Heidi Brown, Marian Bryant, Linda Frederickson, William Grove, Michael
Meyers, and Peter Sullivan, - Lansing Entertainment and Public Facilities Authority; and James Smiertka,
City of Lansing.
III. ESTABLISHMENT OF THE AGENDA:
There were no changes to the agenda.
IV. PUBLIC COMMENT:
There was no public comment.
V. APPROVAL OF THE MINUTES OF FEBRUARY 27, 2001:
The minutes of February 27 were adopted as presented.
At 8:02 a.m. Ron Wilson entered the meeting.
VI. REPORTS:
A. CHAIRMAN'S REPORT: Chairman Jeffries extended condolences to Commissioner Wes
Clark regarding a recent fire that damaged the family farm.
B. SECRETARY/TREASURER'S REPORT:
1. Monthly Financials: Committee Chairman Charlotte Sinadinos reviewed the following financial
statements as approved by the Finance Committee for the period ending February 28, 2001:
a. Lansing City Market — February 28, 2001: Building Rental is $2,377 compared to
$3,648 for last year, and is down for year to date for the current year at $30,754
compared to $35,702 for last year. Total Operating Revenues year to date are
$41,639 compared to the prior year's amount of $51,149 which is a difference of
$9,500 less than last year. Under Operating Expenses, Utilities are slightly higher for
the current period at$3,006 compared to $2,416 last year, and year to date figures are
$20,080 compared to $20,750 for last year. Marketing is at$350 compared to$1,737
for the current period, year to date the figures is $7,745 compared to $14,032.
Maintenance of Facilities, which includes the asphalt, is at $12,631 for year to date
compared to $5,104 for last year. Total Operating Expenses for the current period are
$8,432 compared to $9,447 for last year and for year to date the figures are $88,310
compared to $87,705 for the prior year.
LEPFA Board of Commissioners Meeting
Page 2
March 27, 2001
We have an Operating Loss year to date of($46,671) compared to the prior year's loss
of($36,556). Total Cash position for the current year is down compared to the prior
year at $124,049 compared to $142,720. Accounts Receivable are down at $2,030
compared to $4,582. Unreserved Equity is at $115, 496 versus $142,774 for last
year. Page three "Budget vs. Actual" will now include figures for Common Ground
in the bottom line figure. Building Rental is down for the current period compared to
the budget for a variance over budget of ($1,167). Year to date Building Rental is
$30,754 less than the budgeted $35,199 by ($4,444). Total Operating Revenues for
the current period are $2,412 compared to the budgeted amount of $3,604 for a
variance of($1,192), year to date the figures is $41,639 vs. $50,511 budgeted for a
variance of($8,872) less than budget. Utilities for the current period are over budget
by $423.66 and for year to date we are better than budget at $583. Maintenance of
Facilities exceeded the budget at $12,631 compared to the budgeted amount $7,040
for a variance of($5,591). Total Operating expenses for the current period are $8,432
compared to $12,971 for a variance less than budget of$4,538. Year to date Operating
Expenses were $88,310 compared to the budgeted amount of$111,540 for a variance
of$23,229. The operating loss year to date is ($46,671) compared to the budget of
($61,029) which positions us better than budget by $14,357. After adding in the city
contribution and interest, there is variance of$14,659 better than budget.
b. Oldsmobile Park - February 28, 2001: Event Revenues for the current period are
$260.41 which is interest and Event Expenses are $25.00 which is the Bank charge for
an Event Income of $235.41, which was applied to the Event Development Fund.
Under Operating Expenses - Salaries and Wages are up for the current period at
$4,108 compared to $4,024 as well as for year to-date this year at$35,507 compared
to $31,815 for the prior year. Utilities are up for the current period at $5,771
compared to $4,383 for the previous year and year to date the figures are $37,756
compared to $31,953 for a difference of$5,800. Marketing for year to date is $15,781
compared to $11,850 for a difference of$4,000. Maintenance of Facilities year to
date is $40,988 (which includes painting) compared to $2,632 for the prior year and
is offset by the Operating Transfer. Total Operating Expenses for the current period
are $24,915 compared to $20,893 for the prior year and year to date figures are
$197,154 compared to $150,766 for the prior year. We have a bottom line loss of
($14,135.99) for year to date compared to the prior year's revenues of$24,036. The
Total Cash position is $122,386 compared to $135,609 for the prior year. The Net
Event Development Fund is $63,235 compared to $133,236. Accounts Receivables are
up for the current year at $101,284 compared to $81,276, which includes suite
payments. Unreserved Equity is $118,163 compared to $219,486. Under Budget
versus Actual, Salaries/Wages for the current period are $722.29 less than budget.
Year to date Salaries/Wages are $35,507 actual compared to $40,354 which is the
budgeted amount which leaves us $4,846 less than budget. Utilities exceed budget for
the current period by ($1,064) as well as for year to date at($1,100). Total Operating
Expenses year to date are $24,915 compared to the budgeted amount of$24,784.
Total Operating Expenses for year to date are ($197,154) compared to the budgeted
amount of ($196,383) for a variance of ($771.92). After adding in the city
contribution, interest and the operating transfer from the City for painting, we are
$18,583 better than budget.
LEPFA Board of Commissioners Meeting
Page 3
March 27, 2001
At 8:17 a.m. Commissioner Sharon Peters entered the meeting.
c. Lansing Center-February 28, 2001: Building Rental for the current period is $140,802
compared to $155,922 for the prior year and for Year to Date the figure is $689,716
compared to $633,986 for the prior year. Food and Beverage for the current period
is down at$299,264 compared to the prior year's amount of$325,346 and year to date
figures are $1,785,356 compared to $1,616,035 for the prior year. Equipment Rental
is down for the current period at$27,713 compared to $33,484 for the prior year; we
are up for year to date at$289,303 compared to $265,681. Total Operating Revenues
for the current period are $520,522 and the benchmark is $500,000. Total Operating
Revenues year to date are $3,039,405 compared to $2,735,296 for the previous year.
Under Operating Expenses Salaries and Wages are up for the current period at
$129,284 compared to $126,234 for the prior year; they are up for year to date as well
at $974,399 compared to $879,125. Utilities are down for the current period at
$44,642 compared to $46,411 last year and year to date the figures are up for year to
date at $361,089 compared to $336,848 last year. Food and Beverage Expense is
down for the current period at$123,332 compared to $169,945 last year and the figure
is up for year to date as well at$984,210 compared to $972,316. The net to the Center
for this month is $175,000 and for year to date the amount is $793,745. Total
Operating Expenses for the current period are $413,290 compared to $450,235 for the
prior year and the year to date figure is $3,169,686 versus $3,047,000 for an
Operating Loss of($130,281) for year to date compared to ($312,300) last year. On
the Balance Sheet, the Cash and Cash Equivalents are $624,581 compared to $477,690
for the prior year. Total Accounts Receivable are down at $328,493 compared to
$440,755 last year due to better collection procedures. The Total Common Ground
investment is $22,800. Total Assets are $1,499,343 compared to the prior year's
amount of$1,371,734. Under Liabilities, Accounts Payable are down at $103,698
compared to $134,944. Unearned Revenue, Advanced Rent, which is an indicator of
future business is up at $318,846 compared to $285,570 for the prior year.
Unreserved Equity is $826,876 compared to $620,163. Under Budget versus Actual,
Building Rental is $140,802 compared to the budgeted amount of $138,655 for a
variance better than budget of$2,147; year to date the figure is $689,716 compared
to $643,970 for a variance of$45,746 better than budget. Food and Beverage for the
current period is $299,264 compared to the budgeted amount of $310,297 for a
variance under budget of ($11,032) and for year to date the actual amount is
$1,785,356 compared to $1,590,852 budgeted for a variance of$194,504 better than
budget. Total Operating Revenues for the current period are $520,522 compared to
the budgeted amount of$525,049 for a variance less than budget of($4,526). Year
to date the Total Operating Revenues are $3,039,405 actual compared to $2,714,964
budgeted for a variance better than budget of$324,441. Under Operating Expenses
- Salaries and Wages are up compared to budget for the current period at $129,284
compared to the budgeted amount of$118,320 for a variance of($10,964) more than
what was budgeted; year to date the figure is $974,399 compared to $963,740 for a
variance of ($10,659). Professional Services for the current period are $14,286
compared to the budgeted amount of$9,625, which equates to a variance of($4,661)
which includes consulting for the expansion which will be distributed over three
months. Year to date Professional Services are $108,742 compared to the budgeted
amount of$85,400 for a difference more than budget of($23,342). Utilities are better
than budget by $2,357 and year to date they are better than budget by $14,910.
LEPFA Board of Commissioners Meeting
Page 4
March 27, 2001
Total Operating Expenses for the current period are $413,290 compared to $443,412
budgeted, so we are better than budget by $30,121. Year to Date Total Operating
Expenses are $3,169,686 compared to the budgeted amount of $3,180,873 for a
variance better than budget of $11,186 which equates to an operating income of
$335,628.
Chairman Sinadinos moved that the monthly financials for Oldsmobile Park, the
Lansing City Market and the Lansing Center for the period ending February 28, 2001
be received as published, and further that the monthly expenses for each entity be
approved. Support: Commissioner Haggart, Motion carried.
C. CITY COUNCIL UPDATE— Ron Wilson reported I-496 closed at 6:00 p.m. on Monday and
it is scheduled to reopen in 125 days (155 maximum) also driving updates will be broadcasted
on cable television. Ron also noted City Council approved firework permits for Oldsmobile
Park through the end of July. Liquor license transfer paperwork was submitted as well. Peter
noted the Lugnuts are now generating food and beverage in house and are seeking control of
their liquor license in conjunction with the City and as such, City Council has authorized the
Mayor to enter into an agreement with the Lugnuts.
At 8:28 a.m. James Butler entered the meeting.
Ron noted that the Mayor and Council strongly support the school bond issue. The Mayor
presented the Budget Message for FY 2002, which is very modest and straightforward and
denotes as 3.1% increase in expenses. May 3 and 4 the budget hearings will occur (the budget
needs to be approved by May 24). Ron noted the largest budget request is $1,000,000 to open
the north 100 block of Washington Avenue, which is to be completed by November 30. The
Board of Water and Light will revamp the over 100 year old water system, at a cost of
$1,200,000 with $562,000 coming from the City's General Fund.
D. CHIEF EXECUTIVE OFFICER'S REPORT:
1. Union Issues: No report.
At 8:32 a.m. Jim Smiertka entered the meeting.
2. Lansing City Market: Peter reported that February rental revenue was down$612 compared
to last year. Occupancy was down compared to last year; however, a lease has been signed
with Bob Falsetta who will sell produce and cut flowers. Discussions/leads continue with
potential vendors and ads have been placed in the Business Opportunity section of the Lansing
State Journal. The 2001 Marketing Plan for the Market is completed and advertising
coverage will begin in time for the spring season at the Market. Planning is underway for
a number of new events including "Be a Tourist in Your Own Town" and the Tri County Iris
Society on June 2.
3. Oldsmobile Park: Peter reported opening day for the Lugnuts is Thursday, April 5 at 7:05
p.m. against the Whitecaps. MSU Baseball versus Purdue will take place on March 31 and
April 1. The concourse project is underway; this mural project for the outdoor concourses
will juxtapose the 100°i Anniversary of Minor League Baseball and Lansing's anniversary in
the automobile industry.
LEPFA Board of Commissioners Meeting
Page 5
March 27, 2001
There will be a VIP Reception on March 29 for a sneak preview of the project. Peter noted
the project includes murals and verbiage, and one mural depicts Lansing's John Smoltz. The
two other capital projects which involve carpeting and painting the suites and corridors are
underway. Additional events at Oldsmobile Park include two more MSU Baseball games
(versus Central Michigan University), the March of Dimes Walk America and on April 28
a doubleheader high school baseball game (Plymouth versus Farmington at 4:00 p.m.).
4. Lansing Center: During February we hosted 62 events, equating to approximately 96 event
days, with an excess of 33,000 attendees, creating 1,600 room nights, for an estimated
economic impact of approximately $680,000. Compared to last year we are down one event
day, attendance is up, room nights are down by 100, and we were down in the estimated
economic impact which illustrates the impact of the mix of events.
Sales Department Report: Confirmed business includes: The Boy Scouts of America
Distinguished Citizen Awards Banquet on April 10; May 4, 2002 the Grand Ledge Prom will
be held at the Lansing Center; the Lions Den Church will hold a conference at the Lansing
Center the week of April 9; Michigan Elementary and Middle School Principal's Association
will hold their annual conference here in October, 2004; Michigan State Housing Authority
has re-booked in 2003; and the Michigan Farm Bureau Board Recognition Dinner will take
place in 2002.
Potential new business includes the Michigan Council for Social Studies may return in 2003
rather than going to Grand Rapids; and Michigan Lumber and Building Materials will host
their annual convention here in 2003.
Peter reported the Sheraton Hotel in Lansing is undergoing a $3.1 million renovation
beginning in June through August. Their ballrooms will not be available this summer, but
the second phase of renovation will begin in September and they will be adding convention
pre-function space, as well as additional square footage for exhibition space to be completed
in May 2002.
Lansing Center February Highlights include: the Michigan Council of Social Studies
Teachers; Michigan Floral Association; Articat Snowmobile Show; the Islamic Center of East
Lansing; the annual Sportfishing, Boat Travel Show; Michigan Asphalt and Paving Show;
the annual Golf Show; Michigan Youth in Government; Michigan Municipal League; Mary
Kay; and the Michigan Buggy Builders Swap Meet. Upcoming events include: the National
Association of Social Workers; Michigan Groundwater Association; the annual Cesar Chavez
Dinner; Autowares; Mid Michigan Antiquarian Book and Paper Show; the annual Taste of
Blackness; Michigan Safety Conference; and ShowBiz Talent.
5. Common Ground: Peter reported Common Ground continues to move forward toward
achieving their three goals which are: 1. Increase sponsorships from$174,000 to $300,000
in cash; 2. Decrease operating expenses by $35,000 to $40,000 and 3. Increase paid
attendance by 750-1500 per day. Peter noted dialog with the media has been positive and we
are confident that the media will cooperate in more targeted promotions as relates to Common
Ground events, i.e. the children's programming. We have been dealing with the school
system on promotions; i.e. kindergarten through fifth grade in all thirty-four schools, which
will include a coloring event for the kindergartners and a reading program for the first
through fifth graders in May, with the tickets as the prize. The drawings will be posted in
LEPFA Board of Commissioners Meeting
Page 6
March 27, 2001
businesses involved with the schools. Peter noted it is a nice grass root marketing effort and
to-date they have met with the school principals within the school board Superintendent. The
promotion was very well received.
Peter noted it is our goal to announce the talent the end of April with tickets going on sale
the first week of May, which puts us about three weeks ahead of last year. Peter noted staff
has been meeting weekly for months with our partner Kevin Meyer from Meridian
Entertainment.
D. PERSONNEL COMMITTEE REPORT: Committee Chairman Cyril McGuire indicated that
there is no report.
E. LONG RANGE PLANNING COMMITTEE: Committee Chairman Charles Janssen reported
that the committee is considering financing options for expansion and he deferred further
comments to Peter. Peter noted he has had lengthy conversations with Dennis Sykes and Bob
Swanson and his goal is to secure a consultant that will investigate financial options for the
expansion. The market analysis, which was the first step, has been completed, now funding
options need to be considered and how we proceed in terms of local issues, i.e. a potential
increase in the hotel/motel bed tax; a restaurant tax via legislation or other means of financing.
The third area concerns naming rights for convention centers, or a variety of other sources
including bonding, etc., which the consultant will pursue. Peter noted there is not a specific
time frame, but progress continues.
VII. COMMISIONER AND STAFF COMMENTS:
1. Marian Bryant: Marian noted that she is still seeking to fill the vacant position in the Finance
Department for a staff accountant and indicated if anyone knew of potential candidates, they
should contact Marian. Qualifications include someone with an accounting and/or finance
degree and experience, but all applicants would be considered.
2. Linda Frederickson: Linda noted "A Taste of Blackness" is scheduled for April 7. The City
Market campaign will include billboards, television, and radio for special events and which
is a solid multimedia mix for the City Market in time for the upcoming season.
3. Commissioner Sharon Peters: Commissioner Sharon Peters discussed the importance of the
school bond as it relates to the effort of LEPFA, the effort of building our community and the
effort of our schools. She noted our ability to build our City and workforce depends on our
ability to bring forth our young people and that the City has worked very hard to bring in
businesses, and to convince businesses that we can provide the needed labor forces. She noted
some of us can help by voting on the bond issue, and others can assist by helping to convince
others to recognize that buildings do teach children and the buildings are the issue. Peters also
noted the strength of our school district; i.e. working with partners in our City, the business
community and the Mayor to lead the bond committee. Peters encouraged the Authority to
think of ways to help promote the effort and she requested personal and organizational support
and asked those present to think about the issue and what members can contribute in terms of
the effort.
LEPFA Board of Commissioners Meeting
Page 7
March 27, 2001
4. Commissioner James Butler: Commissioner Butler noted he supported Commissioner Peter's
comments and commended her for not only being a part of the Executive Committee, but for
her letters to the editor of the paper as well. Butler noted the committee is asking the
community to invest in our youth and our City in terms of the bond, because in order to have
a world class city we must have world class schools. When entities such GM enter our
community, one of the first questions asked is what is the quality of the schools, what do they
bring to the table, and what expectations can they expect in terms of their children attending
Lansing Schools? Commissioner Butler noted the Mayor asked him to serve on the committee
and the Chamber has endorsed the bond issue as well as GM, and the Chamber's 2,000-3,000
members agreed to endorse it as well. The Chamber committed to raising $100,000 for the
administrative costs, advertising and marketing costs. At the first meeting over $26,000 was
raised, by the second meeting $100,000 was raised and currently they have received $123,000
and are still growing. The biggest hurdle is the senior citizens and people on fixed incomes and
educating them on the Homestead Act. James noted there are phone banks and many ways for
people to participate.
VIII. OLD BUSINESS:
No report.
IX. NEW BUSINESS:
No report.
THE NEXT MONTHLY MEETING IS SCHEDULED FOR TUESDAY, APRIL 24 AT 8:00 A.M. AT
THE LANSING CENTER IN THE GOVERNOR'S ROOM.
At 9:03 a.m. the meeting adjourned.
Respectfully submitted,
Heidi K. Brown, Recording Secretary
Minutes were amended on April 24, 2001 to include Sharon Peters as present.
LANSING ENTERTAINMENT AND PUBLIC FACILITIES AUTHORITY
BOARD OF COMMISSIONERS MEETING
APRIL 24, 2001
MINUTES
At 8:00 a.m. Chairman Ellen Jeffries called the meeting to order in the Governor's Room of the Lansing
Center; 333 E. Michigan Avenue; Lansing, Michigan 48933.
COMMISSIONERS PRESENT: James W. Butler III, Wes Clark, Charles Janssen, Ellen Jeffries, Cyril
McGuire, Kate McNenly, Sharon Peters, Dennis Sykes (Ex-Officio) and Ron Wilson (Ex-Officio).
COMMISSIONERS EXCUSED: Tim Haggart, Charlotte Sinadinos, and Bob Swanson (Ex-Officio).
OTHERS PRESENT: Heidi Brown, Marian Bryant, Linda Frederickson, William Grove, Michael
Meyers, Peter Sullivan, and Patrick Talty - Lansing Entertainment and Public Facilities Authority; and
James Smiertka, City of Lansing.
III. ESTABLISHMENT OF THE AGENDA:
There were no changes to the agenda.
IV. PUBLIC COMMENT:
There was no public comment.
V. APPROVAL OF THE MINUTES OF MARCH 27 2001:
The minutes of March 27 were adopted as presented. MOTION: Commissioner Butler and
SECOND: Commissioner McNenly - motion carried.
VI. REPORTS:
A. CHAIRMAN'S REPORT: Chairman Jeffries indicated she had no report, but asked Ron
Wilson to present his City Council report.
1. City Council Update: Ron Wilson distributed a copy of the schedule for City Council budget
meetings, as well as information regarding the two-way street issue.
B. SECRETARY/TREASURER'S REPORT:
1. Monthly Financials: Marian Bryant reviewed the following financial statements as approved
by the Finance Committee for the period ending March 31, 2001:
a. Lansing City Market— March 31, 2001• Building Rental is up for the month at$3,847
compared to$3,552 for March, 2000, and is down for year to date for the current year
at$34,601 compared to $39,254 for last year. Total Operating Revenues year to date
are $45,521 compared to the prior year's amount of$55,093 which is a difference of
$9,573 less than last year due to parking. Under Operating Expenses, Utilities for the
month are $2,295 compared to $1,933 last year and the year to date figures are
$22,376 compared to $22,684 for last year. Total Operating Expenses for the current
period are less than last year $8,773 compared to $10,707 for last year and for year
to date the figures are $97,083 versus $98,413 for the prior year and the $1,300 less
includes asphalt improvements.
LEPFA Board of Commissioners Meeting
Page 2
April 24, 2001
At 8:03 a.m. Dennis Sykes entered the meeting.
Total Cash is down about $15,000 compared to last year. Unreserved Equity is at
$115,418 compared to $141,100. Building Rental is up compared to the budget at
$3,847 versus $3,179 budgeted for a variance over budget of$668. Year to date
Building Rental is $34,601 less than the budgeted $38,378 and is down by ($3,776).
Parking for year to date is $10,417 compared to $14,832 for a variance less than
budget of ($4,414). Overall, Operating Revenues are down ($8,229) compared to
budget. Under Operating Expenses, Salaries/Wages are under budget by ($1,396) for
the month and year to date the variance is $7,843. Utilities for the current period are
at $2,295 and are under the budgeted amount of$2,583 for a positive variance of
$287 for the month. Utilities for year to date actual are $22,376 compared to the
budgeted amount of$23,247 which is better than budget by $870.26. Total Operating
Expenses for the month are $8,773 compared to the budgeted amount of$14,355 for
a variance better than budget of $5,581. Year to date Operating Expenses were
$97,083 compared to the budgeted amount of $125,895 for a variance of $28,811
better than budget and overall we are $20,850 better than budget.
b. Oldsmobile Park - March 31, 2001: Event Revenues for the current period are
$2,773.95, which is attributed to MSU baseball. Event Expenses for the current
period are $2,542, which includes MSU Baseball marketing and results in an Event
Income of $231.89, which was applied to the Event Development Fund. Under
Operating Expenses - Salaries and Wages are similar to last year and are slightly
higher for year to date at $40,221 versus last year's $36,588. Utilities are up at
$5,451 compared to $2,260 last year and for year to date we are currently at$43,207
compared to $34,214 last year, which is almost $9,000 more than last year.
Maintenance of Facilities are at $41,446 for year to date and includes painting and
HVAC repairs. Total Operating expenses for the month are $18,934 compared to
$13,337 last year; for year to date we are at $216,089 versus $164,103 last year.
Total cash is up by about$22,000 over last year. The Event Development Fund is at
$63,467 compared to $133,649 for last year. Accounts Receivable are at $88,960
which includes receivables for suites which have been collected in April. Unreserved
Equity is at$119,555 compared to $226,870 last year.
Under Budget versus Actual, Salaries and Wages for the month are $4,714 compared
to the budgeted amount of$5,591 for a variance of$876 better than budget and year
to date the figure is $40,221 compared to the budgeted amount of $45,945 for a
variance of $5,723 better than budget. Utilities are at $5,451 compared to the
budgeted amount of $4,707, for a variance of ($744). Year to date the figure is
$43,207 compared to the budgeted amount of$41,363, which is $1,844 more than
budget overall. Total Operating Expenses for the current period are $18,934 compared
to $22,581 budgeted which is $3,646 better than budget and the year to date figures
are $216,089 compared to the budgeted amount of$218,964 for a variance better than
budget of $2,874. After adding in the operating transfer, interest, and the City
contribution, we are $21,866 better than budget.
At 8:08 Sharon Peters entered the meeting.
LEPFA Board of Commissioners Meeting
Page 3
April 24, 2001
Center- March 1 2001: Building Rental
for the month to date the figure
$849,646
C. Lan In rior year and for year
compared to $152,215 for the p
to $786,201 for the prior year. Food and Beverage for
the° month is at
date figures
comparedprior year's amount of$350,593 and y 0e better
$327,139 compared to the p prior year which is $145,
compare to $1,966,619 for the p period last year were
are $2,112,496 comp operating Revenues for the current p
than last year. Total
Total Operating Revenue for 2001 is
598,054 and we are at $594,618 for 2001, which is $4,000 less than as year's
I
recording setting March. Year to date
4 which is $300,000 more than last year' hcaretat3$ 67 813 versus
,333,351
$3,634,02 es for the
Operating Expenses Salaries and Wag
year; year to date the
$156,855 for the prior year which is $10,958 more than last yfor
2001 is up $106,000 at $1,142,212 compared$49,380 last980 r and year
figure for compared to $386,229
Utilities for the month are down at r year to date at$409,990 comp compared to $ 86, 29
to date the figures are up $22,000 for y
1.5
in 2Q00. Total Operating Expenses for the month are coo ai d o $102,439 for last
year. Net Operating Income is $67,596 comp
for the priory operating Income/Loss for year to date is at ($62,684)
year. Overall the Net Op g
compared to ($209,861) in 2000.
At 8:10 a.m. Charles Janssen entered the meeting. ear's $430,530.
Total Cash including Restricted Assets is $652,743 compared bout $31,000 compared to last
b about
Total Accounts Receivable is at $432,6Advan�d Rent for the month is up ui is at
year at $471, 718.Under Laredltiesto $230,970 for last year. Unreserved Eq tY
$46,000 at $27 a compared $749,567 for the prior year.
$925,838 comp
versus Actual, Building Rental is $159,930 compared to the budgeted
Under Budget 22,051 better than budget and year
ared to the budgeted amount
of is $327 13781,949 for a
amount of$137 8 i9 and is
for
the
month by
to date the actual of
variance of$67,797 better than budget. Food and Beverage for
to the budgeted amount of $286,992 for a variance better than budget
compared 496 compared to the
112,
year to date the actual amount is $2, et Equipment
$40,147 and for y 562 which
$1,877,844 budgeted, for a variance of $234,652 beefed amount of$39,
ear to date the actual amount is 4,4,096 compared
Rental for the month and y d is above the bug f $44,469. Tradeshow
$15, 232 better than budget,
to $299,627 budgeted, for a variance better than budget o
005 compared to the budgeted amount of$13,222 for a variance of
Utilities are $20� year to date the variance is $24,769 better than budget.
compared to $499,960 which is
compared
$6,783 better than budget and y 634 024 comp
Overall Total Operating
Revenues are at $594,618 comp
and year to date the actual figure is 3. Under
$94,658 better than budget901 $47,901
to $3,214,924 budgeted for a variance °a e slightly over budged by $budget.( 990
Operating Expense, Utilities for the month year to date the amount is $408,
versus the budgeted amount of $47,000) and y eted amount of $14,00 9
compared to $423,000 for a variance better than the budg compared to the budgeted
Food and Beverage expenses for the month are $192,166 more than budget. Actual
equals a variance of($31,116)
amount of$161,050, which
is$1,176,376 versus the actual amount of$1,
year to da
te 140,788 for a variance more
than budget of($35,588).
Board
Page ageLEP 4 of Commissioners Meeting
4
April 24, 2001
The net on Food and Beverage for the month is $133,919 and year to
amount is$927,665, which is $195,000 better than budget. Overall
Income/Loss is ($62,684) compared to the budgeted amount of date the net
g � the Net Operating
better than budget. After addingin ($414,484
we are $343,541 better than bu in the City Contribution, Interest, and Depreciation,
Commissioner Butler questioned what is attributed to our being $250
than budget? Peter noted there are three line items, Food and Bevera
Rental and Labor Services. In terms of Food and Beverage, >0e, Plus better
ere
exceptional, however after reviewingge' Equipment
the rolling forecast; the next seve a months x months will
not be as good as the first six months.
He noted the la
year and the first six months of this fiscal year are the best Si months of
ever had and we were incredibly bus the last fiscal
compared to budget, but overall it will be closeato budoeta months we have
this quarter will n down
and Beverage will exceed the year end budget. g Peter noted
Rent, and Food
Motion was made to approve the March financials.
Support: Commissioner Butler, Motion carried. Motion: Commissioner Peters
C CHIEF EXECT TT1VF_ OFFICER'S REPORT:
1• Staff Introduction: Peter
comes the newly hired Vice President of
introduced
from theDome Patrck l
welcomed Patrick and his wife and two child ty
Operations. Patrick
/Indiana Convention Cen
2 ter, and Peter
rem.
Union Ism peter noted the Union has contacted management
in the near future regarding the Fore people g e and we will meet with diem
P ple and Stagehand negotiations.
At 8:28 a.m. Jim Smiertka entered the meeting.
3• I an_sine Ci Market Peter reported that
last year. Occupancy March rental revenue was comparable to
anticipated P y was at 55%, which was also comparable to P March is P that revenue and occupancy for this fiscal year will equal that f last March 2car.
of
Greer will be a new vendor selling custom made gift baskets, arom It 's
handmade candles and soa s. Y car. Carol
p Discussions are also underway to open a coffeecappucducts and
shop, as well as an individual who may sell beef. Returning vendors
Steve Tomanica who has returned with eggs, for the season includes
Yeagers have returned with flowers and produce.
produce, flowers and herbs as well as the
4. Oldsmobile Park:
Opening Day was April 5 and it was a
the Lugnuts have taken food and beverage in house and there were
Positive evening. Peter noted pia(
day, but they will be worked out as the season ro resses, minor glitches the firs
favorable reviews, and Peter encouraged those present to view the The mural project also received
opportunity. A number of LEPFA events have taken place at the ballpark
k if
Baseball versus Purdue (two games were rained out) as well as apract they have the
events include P k including MSU
MSU versus CMU tomorrow and MSU versus Grand Valley on Thursday.upcoming
Will also host the March of Dimes Walk America on Saturday, as well as the Pl aY We
Farmington Hills high school baseball game, which is a double header
by the playground minor sinkholes have been discovered and we Ymouth versus
on Sunday,In left field
on repairing the settling of the ground beneath the surface. are working with the City
LEPFA Board of Commissioners Meeting
Page 5
April 24, 2001
ely 94 event
5. Lansin enter: During March we hosted attendees,e reatings3 000 equating
nights,{for tan estimated
days, with in excess of 45,000
economic impact of a little over $1,000,000. Compared to March 2000 we were up in event
days, attendance increased, room on�et�third quare rter last year,, and the tweated were up economic
event days up
increased as well. In comparison
in attendance, and down slightly in room nights and economic impact.
Sales Department Updates: The Boat Show
Sportfishing and Travel Show
they do not want to
host the event again next year and so we have contacted our
promoter who is considering promoting the
show
thels name Nationals Associationenri uofeCounty
Showspan). We have been working diligently
Engineers conference from March to April a d c0ould get 400 ro05, we lost som nights under os group to Grandne roofs
because they objected to the shuttle program g
We are working with Sylvia Perkins from the Michigan State Democratic Party to host their
August 2002 summer convention and it looks very promising.
rch
Confirmed business includes the DebutanteBall, which is religious etveni g in ni n Dec0e02. The
Rosedale Park Baptist Church is hosting thE1
Peter noted, Kurt Brown, the Director of Convention Services for the CVB is no longer with
the CVB and they are looking to hire someone.
Lansing Center March Highlights include: the
annual
awsth closet°26000 people
00 people,
Autowares Association of Michigan in the later part of March
attending; and the Mid Michigan Antiquarian Book and Paper
Show attracted this year afterclose
l set 2,300
people. "A Taste of Blacknesss/Keepm It Rea Pace
the events sold out, we generated money and feel we have found the right formula and
everyone was happy with the event. In early April we also hosted the Interscholastic Press
Association which hosted 1,000 student journalists; Michigan
and Beverageerence served 5500 boxehosted d
people in all space with over 300 exhibitors and Food
lunches in two days. We also hosted Show 00 dancers/participants.
izTalent,
which
htilizes the Lansing Center two
times per year with approximately 1,0
Upcoming events include the Women's Expo on April 27 through 29 and Michigan Youth
in Government on April 26 through 28.
(�nn„rlQn Ground: Peter reported solicitation of sponsorship continues. Monday, April 3 the
6. 4. Tickets will go on sale May
tease for the announcing of the talent will begin through May
12, which puts us two to three weeks ahead n General Motors and it may last year. In tbe held iion with n conjunction
press conference will be coordinated withn Ground on
with the naming of the talent. Fiesta Del Verano will become a part of event will take place
the final weekend since the Lugnuts will be away. On Su ma this event is being coordinated
at Oldsmobile Park as well from 3:00 p.m. until 9:00 p.
the event
with Joe Graves and Freddie Thomas of the Also,
Mayor two orsthree regional/ce who have dnat onal choirs rs will
with five or six of the largest local churches. ,
participate. Peter noted the event has received positive feedback from the Administration.
At 8:40 a.m. Linda Frederickson exited the meeting.
LEPFA Board of Commissioners Meeting
Page 6
April 24, 2001
Peter also noted the Underground Stage will be utilized all six nights this year.
7• LEPFA Bud et Hearin
4 between 9:00 a.m. and Oeter noted our budget hearing has 30 a.m. nd he asked available boen scheduled for Friday
have in prior years, which does not go unnoticed b City and members to attend as they
Y ty Council.
D. PERSONNEL COMMITTEE REPORT: Committee Chairman Cyril McGuire '
there is no report. indicated that
E. LONG RANGE PLANNING COMMITTEE: Committee Chairman Charles Ja
nssen noted
there was no report,
VII• COMMISIONER AND STAFF COMMENTS:
1 Bill Grove: Bill shared a thank you card received from Lansing Catholic
participated in the Food and Beverage Department's group donation project. The students
were able to visit Washington D.C. partially due to the earnings from Central who
Center. nts
g om working at the Lansing
2• Commissioner Kate McNen1
y:Food and Beverage numbers a Commissioner McNenly noted she was very impressed with the
nd thanked Bill Grove.
3• Commissioner Charles Janssen: Co
mmissioner Common Ground. Peter noted we made ticket ales changes this en dyear,the ticket
will
outlets for
Tickets Plus, which are in all Meijer stores, and will use the web, the Oldsmobile P
Office and the Lansing City 1 Partner with
Purchase common cards and individual tickets.This
Ticketthro through
Tic ets Plus at Meier ark box
Plus J you can
web site. e available through Tickets
Cornrnissioner Janssen also questioned the status of the fountain at Oldsmobile Park.
Meyers noted it typically starts the third week of May depending on the weather. Peter
the flowerbeds will also be planted the second week in May depending on the we noted
4. Co r.
mmissioner James Butler: Commissioner Butler questioned who is generating
in house food and beverage? Peter noted the Lugnuts are responsible for the food
and
beverage operation and took it over to enhance the quality of service, and to generate or and
dollars. Commissioner Butler questioned whether we would be interested in providing more net
Peter noted it is not likely. P mg the
CorrImissioner Butler also noted that the "Taste of Blackness' was outstanding and the
show was outstanding as well. He noted the young kids that attended were very orderly,
he co talent
rnmended Peter for the investment in the event. Commissioner Butler also questioned
if there was any reason or way for us to sell Common Ground tickets at the Lan and
Meridian Malls? Peter noted they were approached regarding Common Groundna and/or
chose not to participate.
they
5• Corrunissioner Sharon Peters: Commissioner Sharon Peters noted she was not indicated as
present in the roll call section of the minutes and asked that the minutes be amended to
LEPFA Board of Commissioners Meeting
Page 7
April 24, 2001
reflect her presence. She also reinforced her March comments regarding the bond issue,
noting the vote takes place one week from today.
6. James Smiertka: Mr. Smiertka noted that the City will be the co-licensee on the Lugnuts liquor
license due to the Liquor Commissions regulations. He noted they are also requiring the same
of the City of Kalamazoo and their minor league team. To-date no documents have been
executed but there should be a co-licensee agreement fairly soon once the details are worked
out and it will require an insurance policy.
7. Marian Bryant: Marian noted that this is National Secretaries Week and to be mindful of the
support staff.
VIII. OLD BUSINESS:
No report.
IX. NEW BUSINESS:
No report.
THE NEXT MONTHLY MEETING IS SCHEDULED FOR TUESDAY, MAY 22 AT 8:00 A.M. AT
THE LANSING CENTER IN THE GOVERNOR'S ROOM.
At 8:50 a.m. the meeting adjourned. Motion: Commissioner McGuire Second: Commissioner
McNenly, motion carried.
Respectfully submitted,
Heidi K. Brown, Recording Secretary
LANSING ENTERTAINMENT AND PUBLIC FACILITIES AUTHORITY
BOARD OF COMMISSIONERS MEETING
MAY 22, 2001
MINUTES
At 8:00 a.m. Chairman Ellen Jeffries called the meeting to order in the Governor's Room of the Lansing
Center; 333 E. Michigan Avenue; Lansing, Michigan 48933.
COMMISSIONERS PRESENT: Wes Clark, Tim Haggart, Charles Janssen, Ellen Jeffries, Cyril
McGuire, Kate McNeely, Charlotte Sinadinos, Bob Swanson(Ex-Officio), and Ron Wilson(Ex-Officio).
COMMISSIONERS EXCUSED: James W. Butler III, Sharon Peters, and Dennis Sykes (Ex-Officio).
OTHERS PRESENT: Heidi Brown, Marian Bryant, Linda Frederickson, Michael Meyers, Peter Sullivan,
and Patrick Talty - Lansing Entertainment and Public Facilities Authority; and James Smiertka, City of
Lansing.
III. ESTABLISHMENT OF THE AGENDA:
There were no changes to the agenda.
IV. PUBLIC COMMENT:
There was no public comment.
V. APPROVAL OF THE MINUTES OF APRIL 24, 2001:
The minutes of April 24 were adopted as presented. MOTION: Commissioner Janssen
SECOND: Commissioner Haggart- motion carried.
VI. REPORTS:
A. SECRETARY/TREASURER'S REPORT:
1. Monthly Financials: Marian Bryant reviewed the following financial statements as approved
by the Finance Committee for the period ending April 30, 2001:
a. Lansing City Market- April 30. 2001: Building Rental is up for the month at$3,975
compared to$3,766 for April, 2000 and year to date the amount is $38,577 compared
to $43,021 for last year. Parking year to date is $16,044 compared to $22,387 for
2000. Total Operating Revenues year to date are $55,159 compared to the prior
year's amount of$66,299 which is a difference of$11,000 less than last year due to
parking. Under Operating Expenses, Utilities for the month are $1,877 compared to
$1,766 last year and the year to date figures are $24,254 compared to $24,450 for last
year. The credit under Maintenance of Facilities is because the asphalt was less than
expected. Total Operating Expenses for the current period are less than last year at
$7,380 compared to $9,877 for last year and for year to date the figure is $104,464
versus $108,300 for the prior year, which equates to a loss for year to date of
($49,305) compared to the prior year's loss of($42,001). After adding in the Interest
and the City Contribution we have a loss of ($24,497) which is less than the prior
year's gain of$35,886.
Total Cash for the current year is $113,259 compared to $136,710 for the prior year.
Unreserved Equity for the current year is down at$124,051 compared to$149,108 for
the prior year.
LEPFA Board of Commissioners Meeting
Page 2
May 22, 2001
At 8:05 p.m. Bob Swanson entered the meeting.
Building Rental for the current period is up compared to the budget at$3,975 versus
$3,875 budgeted for a variance over budget of$100. Year to date Building Rental
is $38,577 less than the budgeted$42,253 and is down by ($3,675). Parking for year
to date is $16,044 compared to $21,891 for a variance less than budget of($5,846).
Total Operating Revenues are $55,159 compared to the budgeted amount of$64,744
for a variance less than budget of($9,585). Under Operating Expenses, Utilities for
the current period are better than what was budgeted at $705.64 and for year to date
we are better than budget for year to date at $24,254 compared to $25,830 for a
variance of$1,575. Marketing is better than budget for the current period by $382.00
Total Operating Expenses for the current period are $7,380 compared to the budgeted
amount of$13,403 for a variance of$6,022. Year to date the variance is $104,464
compared to $139,298 for a variance of$34,833 which equates to an operating loss
of($49,305) for year to date compared to the budgeted amount of($74,554) which
puts us ahead of budget by $25,248. After adding interest we are ahead of budget by
$25,448
b. Oldsmobile Park-April 30. 2001• Event Revenues for the current year are $10,321,
which is attributed to high school baseball and March of Dimes events. Event
Expenses for the current period are $5,853, which results in an Event Income of
$4,468, which was applied to the Event Development Fund. Under Operating
Expenses- Utilities are up at$4,750 compared to $4,229 last year and for year to date
we are currently at$47,958 compared to $38,443 last year. Maintenance of Equipment
for the current period is $1,736, which is attributed to marquee repairs. Maintenance
of Facilities are at$21,628 for the current period which is our portion of the payment
to update the suites and the play ground area, they were $2,336 last year and are
$63,074 for year to date and were $5,168 last year. Total Operating expenses for the
month are $38,641 compared to $21,021 last year; for year to date we are at$254,730
versus $185,125 last year. Year to date we have a bottom line loss of ($31,536)
compared to the prior year's income of$30,108.
Total cash is down at$82,952 compared to $106,511 for the prior year. Unreserved
Equity is at$105,462 compared to $234,068 last year.
Under Budget versus Actual, Utilities for the current period are greater than budget
by ($543) for the current period, and for year to date Utilities exceed budget by
($2,388). Under Maintenance of Equipment, we are over budget by ($100.20) for the
current period and are under budget for year to date by $9,080. Maintenance of
Facilities exceeds budget for the current period by ($20,045) and for year to date the
variance is ($47,244). Total Operating Expenses year to date are $254,730 compared
to the budgeted amount of$241,716 for a variance of($13,014). After adding in the
Operating Transfer, Interest, and the City Contribution, we have a variance of $5,599
better than budget.
c. Lansing Center- April 30 2001• Building Rental for the month is $91,629 compared
to $115,391 for the prior year and for year to date the figure is $941,275 compared
to $901,592 for the prior year. Food and Beverage for the period is $175,733
compared to $270,449 for the prior year and year to date figures are $2,288,229
compared to $2,237,068.
LEPFA Board of Commissioners Meeting
Page 3
May 22, 2001
Total Operating Revenues for the current period are $354,390 and we were at
$503,486 for 2000, and for year to date current period the amount is $3,988,414
compared to $3,836,837 for the prior year.
Under Operating Expenses Salaries and Wages for the current period are $141,996
compared to $137,610 for the prior year and year to date they are $1,284,209
compared to $1,173,591 for the prior year. Utilities for the month are at $44,897
compared to $41,684 last year and the year to date the figure is $453,888 compared
to $427,913 last year. Food and Beverage expense for the current period is$142,186
compared to $141,933 for the previous year and for year to date the figure is
$1,318,563 compared to $1,292,067 last year. Total Operating Expenses for the
month are $475,677 compared to $458,752 for the prior year and year to date figures
are $4,172,386 compared to $4,001,965 for last year. Net Operating loss for the
current period year to date is ($183,971) compared to ($165,127) for the prior year.
After totaling Cash and Total Restricted Assets we have the amount of$572,675 which
is up $38,000 over the prior year's amount of$534,338. Total Accounts Receivables
are down at $438,066 compared to the prior year's $527,124. Under Liabilities,
Unearned Revenue -Advanced Rent for the month is $274,940 compared to $234,213
for last year. Unreserved Equity is at $846,812 compared to $830,977 for the prior
year.
Under Budget versus Actual, Building Rental for year to date is $941,275 compared
to the budgeted amount of$906,045 for a variance of$35,230. Food and Beverage
for year to date is $2,288,229 compared to $2,163,764 for a variance of$124,465.
The current period Total Operating Revenue is $354,390 compared to the budgeted
amount of$492,665, which is less than budget by ($138,274). Year to date we have
actual Total Operating Revenue of$3,988,414 compared to the budgeted amount of
$3,707,589 which puts us ahead of budget by $280,825. Under expenses Salaries and
Wages year to date are $1,284,209 compared to the budgeted amount of$1,223,379
which puts us ahead of budget by ($60,830). Utilities for the current period are better
than budget by $2,102, and for year to date they are better than budget by $16,111.
The net to the Center — Food and Beverage was $32,527 and for year to date the net
amount is $960,000. Total Operating Expenses for year to date are $4,172,246
compared to $4,094,136, which exceeds budget, by ($78,110). Bottom line we are
better than budget by $202,715. After adding back in the City Contribution and
Interest, we are better than budget by $204,420.
Motion was made to approve the March financials. Motion: Commissioner Cyril
McGuire Support: Commissioner Charles Janssen, Motion carried.
2. Bad Debt Write Off: Committee Chair Sinadinos reported that due to the inability to collect
certain accounts, it was requested that they be written off as bad debt. A total of$4,396,
which was uncollectable, was deducted and leaves the over 90-day account at$13,328. It was
suggested $4,684 be set up as an allowance for bad debt, and this also was approved by the
Finance Committee.
B. CHAIRMAN'S REPORT:
LEPFA Board of Commissioners Meeting
Page 4
May 22, 2001
1. Meeting Changes: Chairman Ellen Jeffries noted (as has been the tradition) that there will
be no Board meeting in July. The Board will then meet again on August 21 instead of the
28' due to the Labor Day weekend. Due to the changes, the June financials will be
presented at the August meeting; the July financials and the audit will be presented at the
September meeting and at the October meeting, the August and September financials will
be presented. Chairman Jeffries requested that the changes be reflected in the next meeting
notice.
2. City Council Update: Ron Wilson reported that Council met last evening and approved
a $1.2 million budget which included $202,000 for the study of two-way streets. The
pipeline was also discussed as proposed by Wolverine Pipeline.
C. CHIEF EXECUTIVE OFFICER'S REPORT:
1. Union Issues: Peter noted the Union has contacted management and we will meet with them
in the near future regarding bargaining issues.
2. Lansing City Market: Peter reported that April rental revenue was up $544 compared to April
of last year. Occupancy was at 67%, which is about 9% higher than last year. It is anticipated
that revenue and occupancy for this fiscal year will equal that of last year. Returning vendors
include Carl Rasch and McNamera produce with produce and flowers, as well as Anthony
Cinzori with herbs and flowers. The spring television campaign is underway on WLNS on
the early morning and evening time slots as well as WJIM. Both campaigns highlight various
products. Special events at the Market include Mervyns' Community Closet on May 16-17;
the 72ft. truck is a community service that provides clothing for men and women who are
moving from welfare to the workplace. Lansing was one of 30 cities that invited 64 men and
women to meet with a professional stylist and received career ware free of charge. Work
also continues with the GLCVB in regard to the annual "Be a Tourist in Your Own Town"
which will take place on Saturday June 2 and we will once again serve hot dogs to
participants. Additionally the Tri County Iris Society will host their Iris Show that same day.
3. Oldsmobile Park: Peter noted since our last meeting we have hosted a number of events,
including the March of Dimes Walk America, and a High School baseball game between
Plymouth and Farmington, and both teams loved the facility and the event was well received.
Upcoming events include the Diamond Classic quarter finals, the Michigan Deputy All Stars
versus the Detroit Lions All Pro softball team, the Michigan Mile on June 2, the Diamond
Classic semi-finals on June 5, the "Play Catch with a Kid" celebrity softball game on June
23, Holywahooza on June 24 and June 30 the annual Lansing Symphony and Fireworks (the
Lugnuts will be home on July 4).
4. Lansing Center: During April we hosted 72 events, with attendance in excess of 24,000,
creating 2,500 room nights, for an estimated economic impact of a little over $700,000.
Compared to March 2000 we were down in event days, attendance increased, room nights
were up, and the estimated economic impact was down in light of the mix of events.
Sales Department Updates: The Sales Department met with Sylvia Perkins of the Michigan
State Democratic Party for a site tour in regard to an August convention.
LEPFA Board of Commissioners Meeting
Page 5
May 22, 2001
A proposal has been requested from the Michigan Township Association for January 2003
and 2005.
Confirmed business includes the Michigan State Housing Development Authority in June
2002 for their conference on affordable housing. The National Association of Geriatric
Nursing Assistants also returned their contract for September 26-27, 2001.
Potential business includes the Michigan Lumber and Building Materials Association who
requested a proposal for 2003 (they may come to Lansing from Grand Rapids). Michigan
Reading Recovery Institute is looking at January 2002 dates (they would come from Detroit).
The National Heritage Academies is considering August 2002 dates and the Michigan
Association of Homes and Services for the Aging are considering April 2003 dates.
Peter informed the Board of a potential conflict with the Deer and Turkey Spectacular Show
dates. They have conflicts with the "Shot Show" and have asked us for dates in late February
and March. We are able to do it in odd years, but not in the even years, which could lead
them to look elsewhere, i.e. the Summit. This is our largest consumer show and would leave
prime dates open that could be filled. Peter noted he would continue to update the Board.
Lansing Center April Highlights include: the "Mid Michigan Women's Expo" in late April;
the LCC President's Inauguration in all eight sections of the ballroom; and Michigan Youth
in Government who are moving their event to the Holiday Inn South because they could not
come to terms with the Radisson. April 28 the "Skills USA Competition" which involved
high schools and the various vocational skills took place at the Lansing Center; and April 30
-May 2 the Michigan State Housing Coalition on Affordable Housing met for the first time
at the Lansing Center and attracted over 1,100 attendees. Michigan Private Child and Family
Agencies met as well as the Michigan Education Association attracted over 950 delegates.
Peter reported that May 8 was the busiest day in the building because we hosted a number
of meetings and receptions including the Michigan Chemical Council, Michigan Beer and
Wine Wholesalers, Michigan Planning Officials, University of Michigan, Michigan Cable
Television Association, and the Michigan Economic Development Association. May 11 and
12 the Information Network for Christian Homes (INCH) was held at the Lansing Center for
the fourth year with over 2,200 people attending. May 15-16 Michigan Assisted Living
Association attracted approximately 900 people, and May 17 the Michigan Works Job Fair
took place with over 1000 attendees. May 18 and 19 Take Off Pounds Sensibly (TOPS)
hosted over 2,500 people.
Upcoming events include the Imagin Technology Forum; Life Changers, Michigan
Legislative Black Prayer Caucus, Be a Tourist in Your Own Town, Diamond Quest, State
Farm Employee banquet and the Women of Virtue Conference.
5. Common Ground: Peter reported meetings continue with potential sponsors, the City, and
the media. Radio commercials began two weeks ago, following the press conference held
on Monday, May 7 which announced GM returning as the "title sponsor" and the line up.
Press packets were distributed to Board members. This year's festival is bigger and better
than last year due to the two main stages as opposed to one last year.
LEPFA Board of Commissioners Meeting
Page 6
May 22, 2001
"The Grand Ferris Wheel" will be added to the Shiawassee Street bridge and will be free
with admission and is sponsored by Able Concrete. There is a new operational policy this
year allowing patrons in/out access. The boundaries have been expanded to include
Oldsmobile Park, because Fiesta Del Verano will take place on Friday and Saturday, which
will incorporate the plaza. On Sunday, the Gospel Fest Y2K1 will take place and has been
coordinated with the assistance of Joe Graves and Freddie Thomas from the Mayor's office
who have been helpful and supportive in involving a number of local gospel choirs from
various churches.
Similar to last year, tickets can be purchased at all Meijer stores and all Tickets Plus
locations, or on the Common Ground web site (www.commongroundfest.com) or at the
Lansing City Market — Common Ground Festival Office. City Employees and Board of
Water and Light employees have also been offered a significant discount on Common cards
in light of their services and participation ($48 versus $60) this year.
6. LEPFA Budget Hearing: Peter thanked the Board members who took the time and effort to
attended our Council hearings on our budget presentation. Overall the hearing went very well
and there were no issues.
D. PERSONNEL COMMITTEE REPORT: Committee Chairman Cyril McGuire indicated that
there is no report.
E. LONG RANGE PLANNING COMMITTEE• Committee Chairman Charles Janssen noted
there was no report.
F. NOMINATING COMMITTEE REPORT: Chairman Ellen Jeffries reported she has asked
Charley Janssen to Chair the Nominating Committee and James Butler and Tim Haggart to
serve on the Committee as well. She noted it is her hope that they will come back with their
recommendations at the June meeting.
VII. COMMISIONER AND STAFF COMMENTS:
1. Commissioner Wes Clark: Commissioner Clark noted that the one of the best days at the
Market was during the TOPS convention, and he sold more ice cream during that time.
2. Ron Wilson: Ron noted he has purchased plants and produce at the Market several times this
year.
I Commissioner Charles Janssen: Commissioner Janssen questioned if there will be movies this
year, and what could the Board members do to promote Common Ground within their
organizations, and asked if volunteers are needed? He encouraged Board members and their
friends and neighbors to volunteer. Peter noted if there are individuals or groups interested
in volunteering, they can apply on the web site, or call the Common Ground office at 267-
1502. Janssen noted he will post the information in his office. Peter reported there is always
a need for Volunteers, and currently a paid activity includes cleaning the grounds by an
organization each night. With 15 people it is estimated it would take approximately two (2)
hours per night for six nights and they will receive $1,000 total for all six nights.
LEPFA Board of Commissioners Meeting
Page 7
May 22, 2001
Linda Frederickson noted "Park After Dark" movies will be held on July 6 and 7, August 31
and September 1.
4. James Smiertka: Mr. Smiertka noted that there is no litigation that he is aware of. The liquor
license transfer occurred through the Council and he noted he is meeting with Tom Dickson
and the attorneys to resolve the final agreement.
VIII. OLD BUSINESS:
No report.
IX. NEW BUSINESS:
No report.
THE NEXT MONTHLY MEETING IS SCHEDULED FOR TUESDAY, JUNE 26 AT 8:00 A.M. AT
THE LANSING CENTER IN THE GOVERNOR'S ROOM.
At 8:50 a.m. the meeting adjourned. MOTION: Commissioner McNenly Second: Commissioner
Sinadinos
Respectfully submitted,
Heidi K. Brown, Recording Secretary
LANSING ENTERTAINMENT AND PUBLIC FACILITIES AUTHORITY
BOARD OF COMMISSIONERS MEETING
AUGUST 21, 2001
MINUTES
At 8:05 a.m. Chairman Kate McNeely called the meeting to order in the Governor's Room of the Lansing
Center; 333 E. Michigan Avenue; Lansing, Michigan 48933.
COMMISSIONERS PRESENT: James W. Butler 11I, Wes Clark, Charles Janssen, Ellen Jeffries, Cyril
McGuire, Kate McNeely, Sharon Peters, Charlotte Sinadinos, Bob Swanson (Ex-Officio), Dennis Sykes
(Ex-Officio) and Ron Wilson (Ex-Officio).
COMMISSIONERS EXCUSED: Tim Haggart
OTHERS PRESENT: Heidi Brown, Marian Bryant, Linda Frederickson, William Grove, Michael
Meyers, Peter Sullivan, and Patrick Talty - Lansing Entertainment and Public Facilities Authority; James
Smiertka, City of Lansing; and Kevin Meyer, Meridian Entertainment.
III. ESTABLISHMENT OF THE AGENDA:
There were no changes to the agenda.
IV. PUBLIC COMMENT:
There was no public comment.
V. APPROVAL OF THE MINUTES OF JUKE 26, 2001:
The minutes of June 26 were adopted as presented. MOTION: Commissioner Butler; SECOND:
Commissioner Janssen, motion carried.
VI. REPORTS:
A. CHAIRMAN'S REPORT:
1. City Council Report: Ron Wilson reported next Monday the Council will review
areas/issues to be considered under the "Brownfield" umbrella.
2. Welcome: Chair McNeely welcomed all Board members back to the routine of the
monthly meetings now that Common Ground is completed and noted that she felt the event
went extremely well. Chair McNenly commented that she participated in the festival as
a script volunteer and she heard a variety of positive comments. She extended thanks to
Peter Sullivan, LEPFA Staff and the Board members that were able to participate as well
as attend.
At 8:10 a.m. James Smiertka entered the meeting.
B. SECRETARY/TREASURER'S REPORT:
1. Monthly Financials: Chairman Sinadinos reviewed the following draft financial statements as
approved by the Finance Committee for the period ending June 30, 2001:
a. Lansing City Market—June 30. 2001: Building Rental for the current period is$8,732
compared to $3,929 last year, and year to date the amount is $52,460 compared to
$51,794 for last year. Parking for the current period is $8,075 and was $5,900 for the
prior year; year to date parking is $24,119 compared to $28,287 for 2000.
LEPFA Board of Commissioners Meeting
Page 2
August 21, 2001
Total Operating Revenues for the current period are $16,807 compared to $9,829 in
2000, and year to date they are $77,151 compared to the prior year's amount of
$81,007.
Under Operating Expenses, Salaries/Wages for year to date are $49,653 compared to
$50,895 for the prior year. Fringes/Related Costs are $10,155 for year to date and
were $10,084 last year. Utilities for the month are $2,562 compared to $2,193 last
year and the year to date figures are $28,988 compared to $28,436 for last year.
Maintenance of Facilities for year to date is $13,333 compared to $8,638 for 2000 and
the difference is attributed to the asphalt improvements. Total Operating Expenses for
the current period are less than last year at$16,186 compared to $20,058 for last year
and for year to date the figure is $133,626 versus $137,059 for the prior year, which
equates to a loss for year to date of($56,475) compared to the prior year's loss of
($56,051) for a variance of$424.
The Balance Sheet- Total Accounts Receivable are $12,658 compared to $7,220 for
the prior year. Total Cash for the current year is $106,335 compared to $102,508 for
the prior year. The investment in Common Ground for the current year is $22,500
Under Liabilities, Accounts Payable are at $8,055 for the current year compared to
$7,100 for the prior year. Unreserved Equity is $129,404 compared to $148,549 for
the prior year.
Under Budget versus Actual, Building Rental for year to date actual building rental at
$52,460 compared to the budgeted amount of$51,700. Parking for year to date is
$24,119 compared to the budgeted amount of$28,200. Total Operating Revenue year
to date actual is$77,151 compared to the budgeted amount of$80,620 which equates
to a variance of($3,468) less than budget. Under Operating Expenses, Salaries/Wages
are $49,653 for year to date compared to $59,332 budgeted amount, which equates
to a variance of $9,678 better than budget. Utilities for year to date $28,988
compared to the budgeted amount of$31,000 for a variance of$2,011. Maintenance
of Facilities are $13,333 compared to the budgeted amount of$10,550 for a variance
over budget of($2,783). Total Operating Expenses compared to budget for year to
date are$133,626 compared to$170,808 for a variance of$37,181 better than budget.
After adding in the city contribution and interest we are better than budget by $33,543.
b. Oldsmobile Park-June 30 2001• Event Revenues for the current period are $137,012
and are attributed to Diamond Classic games, Play Catch with a Kid Day, Symphony,
Holywahooza, and the Sheriffs All-star Baseball Game. Event Expenses for the
current period are$140,081. Under Operating Expenses- Salaries/Wages are$56,513
for year to date compared to the prior year's $57,021. Fringes/Related Costs for the
current period are $13,997 compared to $13,264 for the prior year. Utilities for the
current year, year to date, are $56,833 exceeding the prior year at $45,563.
Marketing for year to date is $15,291 compared to $14,553 in 2000. Maintenance
of Facilities is at $99,930 compared to $19,400 and is attributed to the painting and
the re-carpeting of the suits and playground repairs, and the City reimbursed$48,531
of the total amount. Total Operating Expenses for the current period are $50,118
compared to $45,866 for the prior year and year to date the expenses are $321,934
which exceeds the prior year's $248,840 for a bottom line year to date loss of
($321,934) compared to the prior year's income of loss of($248,727).
LEPFA Board of Commissioners Meeting
Page 3
August 21, 2001
At 8:15 a.m. Commissioner Sharon Peters entered the meeting.
The event loss is ($29,296) compared to a net income last year of$6,849.
Our cash position is $57,960 compared to $50,341 for the prior year. The Net
Development Fund for the current year is at $77,883 compared to the prior year's
$80,000. Accounts Receivable are $66,333 compared to $57,234 for the prior year.
Under Liabilities, Accounts Payable are down at$110,694 compared to$155,150 last
year. Unreserved Equity is $114,651 compared to $149,063 last year.
Under Budget versus Actual, Salaries/Wages for year to date are $56,513 compared
to the budgeted amount of$61,541 for a variance of$5,027. Utilities for year to date
are $56,833 compared to$54,000 budgeted, which exceeds budget by ($2,833). Year
to date Total Operating Expenses are $321,934 compared to the budgeted amount of
$284,739 for a variance exceeding budget of($37,195). After adding in the Operating
Transfer, Interest, and the City Contribution, we have a variance of $9,942 better
than budget.
c. Lansing Center- June 30. 2001: Building Rental for the current period is $35,527
compared to $50,252 for the prior year and for year to date the figure is $1,090,175
compared to $1,050,538 for the prior year. Food and Beverage for the period is
$142,325 compared to $129,935 for the prior year and year to date figures are
$2,773,962 compared to $2,753,503. Labor Service for year to date is $146,945
compared to $105,559 for the prior year. Total Operating Revenue for year to date
is $4,766,581 compared to $4,677,899 for the prior year.
Under Operating Expenses Salaries and Wages for year to date are $1,699,873
compared to $1,552,240 for the prior year and are attributed to full and part-time
labor. Fringes/Related Costs for year to date are $464,508 compared to $410,193 last
year. Professional Services are $163,620 (attributed to consultants for the expansion)
compared to $212,696 for last year. Supplies/Materials year to date are $91,967
compared to $121,220 for 2000 year to date. Food and Beverage for year to date is
$1,634,814 compared to $1,632,205 for the prior year. Year to date Total Operating
Expenses are$5,254,548 compared to$5,079,837 for 2000. The Operating Loss year
to date is ($487,966) compared to ($401,938) for the prior year. After adding in the
City Contribution and interest, year to date there is an Operating Loss of($43,915)
compared to an income amount of$66,907 last year.
Total Cash is $308,952 for the current year and was $300,102 for the prior year.
Total Restricted Assets are $203,909 for the current year, and were 331,000 for the
prior year. The contribution to Common Ground is $189,000. Under Liabilities,
Accounts Payable are $130,183 for the current year and were $192,033 for the prior
year. Unreserved Equity for the current year is $626,020 compared to $669,936 for
the prior year.
LEPFA Board of Commissioners Meeting
Page 4
August 21, 2001
Under Budget versus Actual, Building Rent for year to date is $35,527,372 compared
to the budgeted amount of$16,710 for a variance of$18,817 better than budget; and
for year to date the actual amount is $1,090,175 compared to the budgeted amount of
$1,034,00 for a variance better than budget of$56,175. Food and Beverage exceeded
budget for the current period by $21,582. Year to date Food and Beverage is
$2,773,962 compared to the budgeted amount of $2,580,000 for a variance of
$193,962 better than budget. Equipment Rental actual for year to date is $457,229
compared to $407,100 for budget. Labor Service actual for year to date is $146,945
compared to the budgeted amount of$110,100 for a variance of$36,845.
The year to date actual Total Operating Revenue is $4,766,581 compared to the
budgeted amount of $4,406,700 which is better than budget by $359,881. Under
expenses Salaries and Wages for year to date actual are $1,699,873 compared to the
budgeted amount of$1,598,294 for a variance of($101,579) which is attributed to part
time labor. Utilities actual for year to date are $554,795 compared to the budgeted
amount of$564,000 for a variance of$9,204 better than budget.
Food and Beverage expense for year to date is $1,634,814 compared to the budgeted
amount of$1,598,113 for a variance of($36,701). Total Operating Expenses for year
to date actual are $5,254,548 compared to the budgeted amount of$5,083,954, which
exceeds budget, and equates to a variance of ($170,594). The year to date actual
Operating Loss is ($987,966) compared to the budgeted amount of($677,254) for a
variance of$189,287. After adding back in the City Contribution and Interest, we are
better than budget by $189,649.
Commissioner Peters questioned why Oldsmobile Park's Maintenance of Facilities line
item is over budget? Peter noted it was due to the concourse projects at the Park,
which included the mural.
Chairman Sinadinos moved that the monthly financials for Oldsmobile Park, the
Lansing City Market and the Lansing Center for the period ending June 30, 2001 be
received as published, and further that the monthly expenses for each entity be
approved. Motion: Commissioner Butler Support: Commissioner Jeffries, Motion
carried.
Chairman Sinadinos noted the June financials were presented in draft form due to the
audit.
2. 2000/2001 FYE: Peter noted overall the fiscal year was a good year, and in regard to the audit
we do not expect any changes in the financials and expect a good report.
a. Lansing Center: Peter noted it was a great year for the Center and a new revenue record
was set at$4,766,581, which is a goal we hope to meet on annual basis. Areas that did
particularly well included Building Rental which reached $1,090,175, which beat budget
by $60,000, and was due to meetings, banquets and tradeshows, however gate shows were
down. He also noted Food and Beverage had another record year on gross and net. Peter
noted he was grateful for staff s hard work and noted we have seen a 38% increase in a
two year time period. Equipment Rental also had a good year, carpet decreased slightly
and the AV purchases helped us to encourage clients to use our equipment.
LEPFA Board of Commissioners Meeting
Page 5
August 21, 2001
Labor Services were up and this was attributed to the mix of events, which has fluctuated.
Overall it was a good year for the Lansing Center and we beat budget by $190,000. Peter
thanked the staff and the Board for their support throughout the year on the various issues.
3. Common Ground Recap: Peter discussed the facts/figures distributed on a summary sheet to
be discussed with the media on Thursday, August 23. Peter extended his thanks to the Board
members for their help and support during Common Ground. He noted a number of Board
members worked in the areas of finance, the VIP Oasis, and the Information Center, which
provided the Board members with festival insight. Peter thanked the Board members who
provided organizational support through the various sponsorships, the City Department Heads
and staff and specifically Bob Swanson for his tremendous help in dealing with the City issues
as well as the City's in-kind financial support. He thanked Kevin Meyer for all of his hard
work, the Management staff individually, and the people who helped them. Peter noted the
second year was a great success.
At 8:40 a.m. Dennis Sykes entered the meeting.
The 2001 Common Ground statistical results were reviewed. Revenue was $520,000 this year,
up 49% compared to $349,000 for 2000. Pre sold tickets last year were $144,000 compared
to $220,000 this year which is a testimony to the promotional efforts and the brand name
recognition. Sponsorship dollars were up 36% this year at $237,700 compared to $174,500
last year, and General Motors contributed an additional $25,000 in sponsorship dollars this
year. Peter thanked the Mayor for engaging General Motors again this year. Ancillary figures
were up 47% at$356,000 compared to$242,000. The vendors' results varied, some were up,
down and flat which was attributed to the hot weather, however more beverages were sold this
year.
The capital contribution was $300,000 in 2000 and $100,000 in 2001. Revenue was
$1,214,000 for 2001 and $1,066,000 for 2000 up about 13.8%. Talent increased only 9%
despite adding a second main stage ($622,000 for 2001 and $571,000 for 2000).
Advertising/Marketing decreased 30% and was attributed to more meetings with the media and
time to negotiate better packages. Production increased 6% from $392,000 in 2000 to
$416,000 in 2001. Food and Beverage increased 11% from$164,000 last year to$182,000
this year. Peter extended kudos to Bill Grove and his staff for their hard work and
coordination of the vendors this year. Total Expenses this year were $1,248,000 up 7% over
last year's figure of$1,164,000.
Common Ground highlights include the following:
♦ Attendance: 56,000-60,000 and was within the 15-20% increase projected. The increase
was attributed to the two main stages concept which allowed for more variety in the acts.
♦ Fiesta Del Verano/Gospel Fest: Peter noted both of these events moved under the
Common Ground umbrella. It is felt Gospel Fest should take place again and was likened
to the start of up of"Taste of Blackness." Many positive comments were shared regarding
the event and it is likely to take place again next year. Fiesta attendance was disappointing
despite it being the fourth year for the event.
♦ Ferris Wheel: This was a new concept this year and was a great visual attraction for
Common Ground.
LEPFA Board of Commissioners Meeting
Page 6
August 21, 2001
♦ Common Cards: The cards essentially doubled this year, sales last year were 2,400 and
were 4,600 for 2001. Peter noted the increase is a testimony to the improved public
relations and it being the second year for the event and we will continue to try to build on
the momentum.
♦ Volunteer Program: Barb Westenberg was the coordinator this year and did a great job.
Overall the program was more successful than last year and she plans to return.
♦ Children's Activities: The activities were held on Saturday and Sunday this year and
Friday was eliminated. It is an integral part of the festival and attracted more in
attendance.
♦ Ticketing: Peter noted ticketing was computerized this year and it created and solved
many problems in information processing.
Peter noted there will be a party at the Lansing Center to thank the volunteers from 6:00 p.m.
- 9:00 p.m. and he extended the invitation to those present.
Kevin Meyer commented that the final numbers for Common Ground are a good indication
of the future of Common Ground. Over all he noted it is a great, classy event and a great
value for mid-Michigan. In addition the event contributes $20,000 to community share groups
which are non-profits, all of which would not be possible without the support of the LEPFA
Board members and staff. He noted in year two everyone was more comfortable with their
roles and should all be proud of their effort. He extended a personal thank you to the Board
for their belief in the event and their support and indicated Common Ground is an event that
is here to stay. Overall Kevin noted he felt it was a great event that will continue to draw
people to the mid Michigan area.
Peter also noted the economic impact was $2,500,000 in 2000 and was over $3,000,000 in
2001 and hotel rooms were up as well. Peter noted the formula currently used is one
suggested by the CVB and we are considering an additional formula suggested by a MSU
Professor.
Commissioner Janssen questioned the survey results. Kevin noted 200 surveys were completed
and 97% indicated they will return and bring a friend. The demographics were wide spread.
Kevin noted the information gathering is an area slated for improvement for next year and he
will share the information once it is compiled.
Janssen also questioned if there would be a fact sheet for the media and suggested the number
of volunteers, the share program and economic impact be added to the information. Peter
noted they will receive 4-5 pages of information. Commissioner Peters suggested decreasing
the number of pages of information. Commissioner Butler requested that the information be
shared with the Board once it is compiled.
Bob Swanson noted he felt it was an incredible event and LEPFA and all those associated with
Common Ground should be proud of the event. He also noted that it is phenomenal that in two
years the gap has been closed so significantly in making the event self sufficient.
Ron Wilson also commented on the number of radio spots promoting and discussing Common
Ground and overall he felt the event was wonderful. Peter noted Citadel was a major player
in this year's event and there were 18 media outlets involved in this year's event.
At 9:07 a.m. Bob Swanson exited the meeting.
LEPFA Board of Commissioners Meeting
Page 7
August 21, 2001
Commissioner Ellen Jeffries extended her kudos and noted that she was proud to be a Lansing
resident and as a volunteer she was pleased to see the dedication to making the event a success.
Commissioner Sinadinos thanked Peter for his foresight to take on Common Ground and noted
how hard Kristin Sullivan worked in helping to make the event a success.
Commissioner Sharon Peters noted the event was a very successful event and felt it was an
entertaining way to promote our community. She noted she wished to reinforce the kids'
activities and expressed her support of the kids' area because of the family activities that it
promoted. She also complimented the diversity of Common Ground and noted that it is an
important event in terms of bringing out the diversity of our community, and while there was
an improvement over last year, we can continue to improve on the diversity of the acts, i.e.
African American and Hispanic acts, as all counties become more diverse. She noted she felt
if we could find acts that bring out the range of the population of the community, i.e. jazz,
blues, Hispanic and Native American music, it would reinforce the title of the event,
"Common Ground." Peters noted we have made tremendous strides moving forward and she
is eager to help with suggestions.
Commissioner Cyril McGuire commented that he felt he was at a different event compared to
the prior year, and felt overall it was a splendid job and we are beginning to make changes in
bringing more acts into the mix and staff deserves credit for starting the process. He noted
there is a lot of scheduling involved and we stand to be credited for what has taken place
between last year and this year.
C. PERSONNEL COMMITTEE REPORT: Chairman McGuire noted there were no items before
the committee at this time.
D. LONG RANGE PLANNING COMMITTEE: Chair Charles Janssen noted the committee met
with Pat Cook, Tom Galyon and Pat Clark regarding the RFP for a consultant to review the
financing of the expansion. It was agreed a draft format would be developed following
Common Ground for review. Peter noted the draft will be finalized in 5-7 days. Chair
Janssen noted all participants were positive and supportive during the meeting.
E. CHIEF EXECUTIVE OFFICER'S REPORT:
No further report.
VII. COMMISIONER AND STAFF COMMENTS:
1. Commissioner James Butler: Commissioner Butler congratulated Charlotte Sinadinos and her
staff on the 32-year anniversary of the Knight Cap. He also gave a round of applause to Peter
and Kevin and the team members for an outstanding job on Common Ground. Commissioner
Butler also requested that Kristin Sullivan receive recognition from the Board for her
involvement in Common Ground. He also noted he is still in search of the IBM flag. He also
noted the immediate thank you response to all the sponsors was to be commended, and
commented on the positive article in the Lansing State Journal the day following the event.
Commissioner Butler also thanked Peter for inviting the Board members to attend the Founding
Suiteholders trip to Comerica Park, noting it was a nice gesture.
LEPFA Board of Commissioners Meeting
Page 8
August 21, 2001
2. Commissioner Sharon Peters: Commissioner Peters requested that we inform the public that
the other side of the Market is open on Wednesdays. Linda noted we advertise the Tuesday,
Thursday, Friday and Saturday hours and will follow up on her request to better inform the
public of the Wednesday hours.
3. Chairman Kate McNenly: Chair McNenly noted she will be contacting Commissioners
regarding committee assignments.
VIII. OLD BUSINESS:
No report.
IX. NEW BUSINESS:
No report.
At 9:27 a.m. the meeting was adjourned.
THE NEXT MONTHLY MEETING IS SCHEDULED FOR TUESDAY, SEPTEMBER 25 AT 8:00
A.M. AT THE LANSING CENTER IN THE GOVERNOR'S ROOM.
Respectfully submitted,
Heidi K. Brown, Recording Secretary
LANSING ENTERTAINMENT AND PUBLIC FACILITIES AUTHORITY
BOARD OF COMMISSIONERS MEETING
SEPTEMBER 25, 2001
MINUTES
At 8:03 a.m. Chairman Kate McNeely called the meeting to order in the Governor's Room of the Lansing
Center; 333 E. Michigan Avenue; Lansing, Michigan 48933.
COMMISSIONERS PRESENT: James W. Butler III, Wes Clark, Tim Haggart, Charles Janssen, Ellen
Jeffries, Cyril McGuire, Kate McNenly, and Charlotte Sinadinos.
COMMISSIONERS EXCUSED: Sharon Peters, Bob Swanson (Ex-Officio), Dennis Sykes (Ex-Officio)
and Ron Wilson (Ex-Officio).
OTHERS PRESENT: Heidi Brown, Marian Bryant, Linda Frederickson, William Grove, Michael
Meyers, Peter Sullivan, and Patrick Talty - Lansing Entertainment and Public Facilities Authority.
III. ESTABLISHMENT OF THE AGENDA:
There were no changes to the agenda.
IV. PUBLIC COMMENT:
There was no public comment.
V. APPROVAL OF THE MINUTES OF AUGUST 21, 2001:
The minutes of August 21, 2001 were adopted as presented. MOTION: Commissioner McGuire;
SECOND: Commissioner Janssen, motion carried.
VI. REPORTS:
A. CHAIRMAN'S REPORT:
Chairman McNenly thanked the Commissioners for their gracious acceptance of committee
positions this year and suggested that she be contacted if there are any questions regarding the
assignments.
B. SECRETARY/TREASURER'S REPORT:
1. Monthly Financials: Chairman Sinadinos reviewed the following financial statements as
approved by the Finance Committee for the period ending July 31, 2001:
At 8:07 a.m. James Butler entered the meeting.
a. Lansing City Market- July 31, 2001: Building Rental for the current period is $5,961
compared to $4,308 last year. Total Operating Revenue for the current period is
$5,996 compared to $4,358 for the prior year.
Under Operating Expenses, Utilities are up for the current period compared to last
year at $3,218 compared to $2,544 and the increase is attributed to the air
conditioning. Total Operating Expenses are $10,201 compared to $8,614 for the prior
year. Excess revenues over expenses are $7,446 compared to $8,129 for last year.
L EPFA Board of Commissioners Meeting
Page 2
September 25, 2001
The Balance Sheet - Total Cash for the current year is $105,616 compared to
$101,459 for the prior year. The investment in Common Ground for 2001 of
$25,000 was noted. The Unreserved Equity is$136,850 compared to $156,679 for the
prior year.
Under Budget versus Actual, actual Total Operating Revenue of$5,996 exceeds the
budgeted amount of$4,567, which equates to a variance of$1,429 better than budget.
Under Operating Expenses, Utilities exceeded budget by $635.76; Maintenance of
Facilities is higher than budget by $1,556 and is due to the beautification of the
grounds. Total Operating Expenses are $10,201 compared to budget amount of
$11,170 for a variance better than budget of $968. After adding in the City
Contribution and Interest we are better than budget by $2,098.
b. Oldsmobile Park- July 31, 2001: Event Revenues for July are $41,320 compared to
$93,684 for the prior year and are attributed to Fiesta del Verano, the Gospel Fest
Y2K, and Park After Dark. Event Expenses are $62,223 for a loss of ($21,902),
which was applied to the Event Development Fund.
Under Operating Expenses - Utilities for the current month are $4,260 compared to
the prior year's $4,069. Total Operating Expenses for the month are $14,965
compared to $17,417 for the prior year. The Event Loss is($21,902) compared to the
prior year's loss of($8,169). Excess Revenues Over Expenses are $15,027 compared
to the prior year's $2,981.
Our Total Cash position is down at$258,379 compared to $289,754 for the prior year.
The Net Development Fund for the current year is $52,981 compared to the prior
year's$146,948. Accounts Receivable are $53,934 compared to$38,928 for the prior
year. Under Liabilities, Accounts Payable are down at$48,781 compared to $144,909
for last year. Unreserved Equity is $107,776 compared to $143,874 last year.
Under Budget versus Actual, Total Operating Expenses are $14,965 compared to the
budgeted amount of$19,504 for a variance better than budget of$4,538. After adding
in the Interest, and the City Contribution, we have a variance better than budget of
$14,131.
c. Lansing Center- July 31, 2001: Building Rental for the current period is down at
$27,710 compared to $35,810 for the prior year for a difference of $8,100. Food and
Beverage exceeded last year at$111,290 compared to $87,431 for the prior year due
to the mix of events. Total Operating Revenue for the current period is $152,236
compared to $141,292 last year.
Under Operating Expenses Salaries and Wages are up at $72,054 compared to
$66,788 for the prior year. Fringes/Related Costs are $30,564 compared to $27,989
last year and will continue to increase due to the increase costs associated with the
medical insurance. Utilities are up at $44,835 compared to $38,052. Total Operating
Expenses are $267,857 compared to $244,158, more than last year by $23,700.
LEPFA Board of Commissioners Meeting
Page 3
September 25, 2001
The Total Cash Position is $311,589 compared to $470,348 for the prior year.
Common Ground 2001 has an investment of$234,000 with the actual expense being
approximately $135,000, and the excess amount will be returned. Under Liabilities-
Unearned Revenue/Advanced Rent is $280,476 compared to the prior year's
$263,901. Unreserved Equity for the current year is $558,329 compared to$615,921
for the prior year.
Under Budget versus Actual, Building Rent is $27,710 compared to the budgeted
amount of$23,855 for a variance of$3,855 better than budget. Food and Beverage
exceeded budget by $1,890. Overall the Total Operating Revenue is $152,236
compared to the budgeted amount of$148,279 which is better than budget by $3,957.
Under Operating Expenses -Salaries and Wages are $72,054 compared to the budgeted
amount of$87,008 for a variance better than budget of$14,953. Actual Utilities are
$44,835 compared to the budgeted amount of$47,016 for a variance of$2,180 better
than budget.
Actual Total Operating Expenses for July are $267,857 compared to the budgeted
amount of$303,615 which is better than budget by $35,757. The total bottom-line
variance is $38,625 better than budget. The Food and Beverage July net to the Center
is $35,000 and is $150 better than budget.
Chairman Sinadinos moved that the monthly financials for Oldsmobile Park, the
Lansing City Market and the Lansing Center for the period ending June 31, 2001 be
received as published, and further that the monthly expenses for each entity be
approved. Motion: Commissioner Sinadinos Support: Commissioner Janssen, Motion
carried.
2. 2000/2001 Annual Audit: Finance Committee Chairman Sinadinos noted the committee met
with Mark Kettner of Rehmann Robson regarding the annual audit and was very
complimentary of Marian Bryant and the job she does. Marian Bryant reviewed the audit as
follows:
a. Auditor's Opinion-Page 1: This standard pages indicates that the financial statements
fairly represent the position of the Authority.
b. Combined Income Statement - Page 5: "Non-Operating Revenue" shows two line
items that relate to Common Ground. One is Common Ground 2000, which shows
the income/expense of $143, 091. This figure has been indicated on the financial
statements throughout the year, however the Generally Accepted Accounting
Procedures requires that if an event occurs after the close of the books, the asset has
to be recognized on the financial statements so that it accurately reflects the financial
viability of the Authority even if it is based on an estimate.
c. Revenue/Expenses Page 17 & 18 : This breaks down the revenues and expenses by
facility and for Common Ground.
Chairman McNenly moved that the audit be accepted as presented. Support: Commissioner
Butler, motion carried.
LEPFA Board of Commissioners Meeting
Page 4
September 25, 2001
C. PRESIDENT AND CEO'S REPORT:
1. Union Report: Negotiations are underway with the Forepeople and progress has been made
and it is hoped that an agreement is reached by the next meeting.
2. Lansing. City Market: Peter reported that the August rental revenue was up by
approximately $500 compared to last year. Occupancy was at about 87%, which was up
about 8% over last year. Market beautification includes bulbs and mums in the planters
and a number of positive comments were noted about the beds this year. In regard to
recruitment efforts, there is a new vendor at the Market, the "Daily Grind" who will be
selling whole grain flour, cornmeal, pasta, baskets and home made gift baskets.
Discussions are underway with several potential vendors including one who provides
prepackaged frozen fish. Special Events include the "Second Annual Yard Sale" on
August 8, which went well and we will continue to promote this event annually. We will
host the second orchid sale this year during the third week of October.
3. Oldsmobile Park: Events hosted include the "United Way Kickoff Campaign," as well as
two "Park After Dark" movies, the first was "A Knights Tale" with about 230 attendees
and the second was "The Mummy Returns" with 1,000 attendees.
Lugnuts Year End Recap: Paid attendance was approximately 404,000 compared to
418,000 last year and did not include the one home playoff game. Food and beverage
moved in house this year and the per cap was up $2 per head. Ticket sales were down,
suite revenue was down, parking was down, merchandise was flat and sponsorships were
down. Next year the Lugnuts will host another All Star Game, which should sell out. The
Lugnuts are closing the facility and operationally, Rich Zizek is leaving the Lugnuts in
October. The Lugnuts have reviewed the maintenance associated with operating food and
beverage in house and are looking to have LEPFA be responsible for some of the expenses
associated with their food and beverage. Peter noted that he, Michael Meyers and Patrick
Talty have been meeting with the Lugnuts to clarify TMO language as it relates to
maintenance expenses. The issues have been discussed with Bob Swanson and Jim
Smiertka and a follow up meeting will take place with Tom Dickson and will include
various other issues such as utilities. We hosted a number of City League baseball games
due to utility issues with Municipal Park. We also hosted a Fox 47 event associated with
the Terrorist Acts of September 11 and currently we are gearing up for "Fright Night"
which will be held for ten days, admission is the same as last year.
At 8:28 a.m. Bill Grove entered the meeting.
4. Lansing Center: We hosted approximately 38 events for 43 event days with approximately
7,400 attendees, for 404 room nights, for an economic impact of$200,000. In comparison
to the same period last year, we were up by three (3) event days, we were down in
attendance, room nights and economic impact which is due to the mix of events.
Sales Update: Groups returning and issued contracts include the Boat Show returning to
the Lansing Center; Michigan Elementary and Middle School Association in 2004 and
2005; Michigan Democratic State Party August 23-25, 2002; National Heritage Academies
in August 2002; and the Michigan State Council for the Society of Human Resource
Management will host their annual convention at the Center in 2003.
LEPFA Board of Commissioners Meeting
Page 5
September 25, 2001
Confirmed/Repeat Business: The World Quilt and Textile Show will return in August
2002; Skillpath Seminars has booked 15 events between August 2001 and March 2002;
Paw and Purrs will host a 2002 Cat Show; and the Spartan Motor Chassis has re-booked
in August 2002.
Other Business: We are participating in the Chamber's Trade Fair and will be a food
sponsor and will host three booths for food and beverage, sales, and Common Ground. We
will host a Rotary dinner on January 9, 2002, which will feature the President of GM with
an estimated attendance of 300. We are also working with John Angel on a "Historic Cars
of Lansing" event in August 2002, which will utilize Riverfront Park and halls A and C
of the Lansing Center.
Facility Highlights: During the later part of August we hosted State Farm Insurance; the
Michigan Chess Association was in the 100 rooms with 200 participants over Labor Day
Weekend; September 7 the Governor's Educational Summit too place; September 11 the
City of Lansing Personnel Division Retirement Ceremony dinner and workshop seminar
was in house; the State Bar was in house on the same day and was affected by the national
events and had to cancel a portion of their event; September 14 the Michigan Elementary
and Middle Schools Association postponed their event because their speakers were due to
arrive from New York; LCC cancelled their event also because their speaker was from
Seattle. The State Bar's attendance was lower, however only one event was lost and we
continue to track the impact of the September 11 events. September 14 we hosted a
comedy show in hall A with approximately 1,000 attendees; the Michigan Works Job Fair
was held on September 20 with 1,500 people attending and 80 companies represented.
September 21 we hosted the Cristo Rey Community Center's Mexican Independence
Celebration attracting 180 people for this first time event held in the banquet rooms; we
also hosted 4 weddings, 1 high school reunion and the Lion's Den Church continues to
meet here on Sunday's.
Upcoming Events: Include the J. Crew Sale on October 1-5, the Governor's Council on
Fitness Awards on October 15; and the Spartan Stores tradeshow.
D. PERSONNEL COMMITTEE REPORT: Chairman McGuire noted during October the
committee will be working on Peter Sullivan's evaluation. A meeting will be held when the
evaluations are returned, with the process to be completed by the end of October.
E. LONG RANGE PLANNING COMMITTEE: Chair Charles Janssen noted the committee has
completed the review of the Lansing Center expansion with our partners, who are the City of
Lansing TIFA and the Greater Lansing Convention/Visitor's Bureau. The next step is to send
out the RFP for a consultant to study how we will fund the expansion. A RFP has been
published and we are awaiting responses. Chair Janssen noted that we were lead to believe
that the CVB would have questions regarding the RFP and as such he, Commissioner's
Janssen, Butler, McNeely, Peter and Michael attended their Executive Committee meeting to
answer questions. The result was an endorsement to move forward with the proposal to obtain
a consultant from the Committee.
LEPFA Board of Commissioners Meeting
Page 6
September 25, 2001
Chair Janssen noted a follow up letter was sent indicating their support of our moving ahead
with securing a consultant, and they did not pledge any financial support to pay for the
consultant due to national events. Currently we are proceeding with securing the consultant
and will consult further with our partners as needed. Janssen noted the events were
disconcerting in that it was acknowledged that we need to hire a consultant in order to
determine the best way to finance the expansion of the Center, which will have an impact for
years to come on the Greater Lansing economy and all that relates to the CVB. Chair Janssen
questioned the impact the "national events" would have on a$10,000415,000 investment that
would impact the economy over the next 50 years.
The RFP will go out and it is anticipated that we should have received all bids by the
November meeting.
VII. COMMISIONER AND STAFF COMMENTS:
1. Commissioner James Butler: Commissioner Butler noted he attended a wedding at the Lansing
Center and commended Bill Grove and the staff on an outstanding job. He also noted twice
a fire alarm went off and the staff contained the matter in a professional and expedient manner
and updated the audience on the status. Commissioner Butler also echoed Peter's comments
on the Business Expo and noted this year exhibitors and seminars were added regarding hiring,
submitting proposals, etc. and he encouraged those present to attend.
VIII. OLD BUSINESS:
No report.
IX. NEW BUSINESS:
No report.
At 8:50 a.m. the meeting was adjourned.
THE NEXT MONTHLY MEETING IS SCHEDULED FOR TUESDAY, OCTOBER 23 AT 8:00 A.M.
AT THE LANSING CENTER IN THE GOVERNOR'S ROOM.
Respectfully submitted,
Heidi K. Brown, Recording Secretary
LANSING ENTERTAINMENT AND PUBLIC FACILITIES AUTHORITY
BOARD OF COMMISSIONERS MEETING
OCTOBER 23, 2001
MINUTES
At 8:00 a.m. Chairman Kate McNeely called the meeting to order in the Governor's Room of the Lansing
Center; 333 E. Michigan Avenue; Lansing, Michigan 48933.
COMMISSIONERS PRESENT: James W. Butler III, Wes Clark, Tim Haggart, Ellen Jeffries, Cyril
McGuire, Kate McNeely, Charlotte Sinadinos, Bob Swanson (Ex-Officio), and Dennis Sykes (Ex-Officio).
COMMISSIONERS EXCUSED: Charles Janssen, Sharon Peters and Ron Wilson (Ex-Officio).
OTHERS PRESENT: James Smiertka-City of Lansing; Heidi Brown, Marian Bryant, Linda Frederickson,
William Grove, Michael Meyers, Peter Sullivan, and Patrick Talty - Lansing Entertainment and Public
Facilities Authority.
III. ESTABLISHMENT OF THE AGENDA:
There were no changes to the agenda.
IV. PUBLIC COMMENT:
There was no public comment.
V. APPROVAL OF THE MINUTES OF SEPTEMBER 25, 2001:
The minutes of September 25, 2001 were adopted as presented. MOTION: Commissioner
McGuire; SECOND: Commissioner Haggart, motion carried.
VI. REPORTS:
A. CHAIRMAN'S REPORT:
Chairman McNenly reported that there will be two sets of financial statements to be reviewed
today. Meeting changes noted for December include moving the monthly meeting from
December 25 to December 18 at 8:00 a.m. Chair McNeely also noted the annual Board party
will be held on Wednesday, December 19 in the Governor's room at 6:00 p.m.
B. SECRETARY/TREASURER'S REPORT:
1. Monthly Financials: Chairman Sinadinos reviewed the following financial statements as
approved by the Finance Committee for the period ending August 31, 2001:
a. Lansing City Market- August 31. 2001: Building Rental for the current period is
$4,876 compared to $5,026 last year. Building Rental for year to date is $10,837
compared to $9,335 for the prior year.
Under Operating Expenses, Salaries and Wages are up slightly for both the current
period and year to date. Marketing for the current period is up at$5,187 compared
to $1,449 for the prior year due to the billboard campaign for the Market; the year to
date figure is up also at$5,652 compared to $3,174. Under Maintenance of Facilities,
the rate is $2,231 compared to $225 for the current period last year, which is due to
electrical work performed at the Market; year to date the amount is $4,242 compared
to $438. Total Operating Expenses for the current period are $16,430 compared to
$9,615 and for year to date the figure is$26,632 compared to $18,230 for a loss year
to date of($15,725) compared to the prior year's loss of($8,799).
LEPFA Board of Commissioners Meeting
Page 2
October 23, 2001
Chair Sinadinos noted all the entities reflect a decrease in interest and as such cash is
down due primarily to the economy.
The Balance Sheet - Total Cash for the current year is $145,377 compared to
$137,144 for the prior year. Under Liabilities, Accounts Payable of$26,542 is greater
than last year's amount of$12,650 and is due to "Project Fresh" at the City Market.
The Unreserved Equity is $137,035 compared to $164,585 for the prior year.
Under Budget versus Actual, Building rental for the current period is $4,876, which
is more than the budgeted amount of$4,768 by $108. Total Operating Revenue year
to date is $10,837 which exceeds the budgeted amount of$9,275 for a variance of
$1,562. Total Operating Revenues year to date are $10,907 compared to the budgeted
amount of$9,394 for a variance of$1,512. Under Operating Expenses, Marketing is
$5,187 for the current period due to the billboards, and is $3,062 over the budgeted
amount of $2,125. Utilities for year to date are $6,282 compared to the budgeted
amount of $5,166 exceeded budget by $1,116; Maintenance of Facilities for the
current period is $2,231 compared to the budged amount of$833 for a variance of
($1,398) which is attributed to the electrical work. Total Operating Expenses
exceeded the budget by ($3,156) and year to date we exceed the budget by ($2,188)
for a year to date loss of($15,725) compared to the budgeted amount of($15,049) for
a variance of ($676). After adding in the City Contribution and the variance for
interest we are $1,221 over budget.
b. Oldsmobile Park- July 31, 2001: Event Revenues for the current period are $3,755
(movies and United Way) and event expenses are $4,191, for an event loss of$435
which was applied to the Event Development Fund.
Under Operating Expenses - Salaries/Wages for the current period and year to date
are down. Utilities for year to date $8,905 compared to $8,111 for the prior year.
Maintenance for the current period this year is $1,672 compared to the prior year's
$28,388 which was due to the prior year's painting. Total Operating Expenses for the
current period are $21,691 compared to $48,638 for the prior year and year to-date
the expenses are $36,657 compared to $66,056 for the prior year.
Our Total Cash position is $255,410 compared to $260,152 for the prior year. The
Net Development Fund for the current year is $52,545. Accounts Receivable are down
at $20,506 compared to $51,366 for the prior year. Under Liabilities, Accounts
Payable are $41,235 compared to $84,292 for last year which included the suites and
the painting. Unreserved Equity is $105,893 compared to $130,266 last year.
Under Budget versus Actual, Utilities are slightly under budget by ($777.81). Total
Operating Expenses year to date are $36,657 compared to the budgeted amount of
$44,534 which makes us better than budget by $7,876.
LEPFA Board of Commissioners Meeting
Page 3
October 23, 2001
After adding in the Interest, and the City Contribution, we have excess revenues over
expenses in the amount of$17,314 which also reflects the City's share of upgrades
which is reflected in the September financials.
At 8:14 a.m. James Butler entered the meeting.
c. Lansing Center- August 31. 2001; Building Rental for the current period is $45,406
compared to $53,370 for the prior year for a difference of$8,000; for year to date the
figure is $73,116 compared to $89,180 for last year for a difference of about$16,000.
Food and Beverage is up for the current period at$172,571 compared to $165,690 last
year and it is up for year to date as well at $283,862 compared to $253,121 for the
prior year. Total Operating Revenue for the current period is $266,214 compared to
$265,417 for last year and year to date Total Operating Revenues are $418,450
compared to $406,709 for last year.
Under Operating Expenses Salaries and Wages are at$133,047 compared to$127,253
for the prior year which is attributed to part time labor. Utilities for the current period
are $51,330 and were $47,858 for the prior year and for year to date the figure is
$96,165 compared to $85,911. Food and Beverage expense for the current period is
$134,216 compared to the prior year's amount of$118,939 and year to date the figure
is $209,269 compared to$176,577. Total Operating Expenses are $423,972 compared
to $397,716 for the current period and year to date they are $691,829 compared to
$641,875 for last year. The Operating loss is ($157,758) compared to ($132,299) for
the current period and the year to date loss is ($273,379) versus ($235,165) for last
year.
At 8:20 a.m. Bob Swanson entered the meeting.
The Overall Cash Position is $290,000 compared to $561,705 for the prior year.
Accounts Receivable is $272,812 up approximately $19,000 over the prior year's
amount of$253,502. Under Liabilities - Unearned Revenue/Advanced Rent is up at
$279,433 compared to the prior year's $276,878. Unreserved Equity for the current
year is $448,178 compared to $532,541 for the prior year.
Under Budget versus Actual, Building Rent is $73,116 compared to the budgeted
amount of$75,535 for a variance of($2,418) less than budget. Food and Beverage for
year to date is better than budget by $8,762. Total Operating Revenue for the month
is $266,214 compared to the budgeted amount of$244,450 which is better than budget
by $21,764 and for year to date the actual is $418,450 compared to the budgeted
amount of$392,729 for a variance better than budget of$25,721. Under Operating
Expenses - Salaries and Wages for the current period are $133,047 compared to the
budgeted amount of $124,360 for a variance over budget of ($8,687) due to three
payrolls and for year to date the figure is $205,101 compared to $211,368 for a
variance better than budget of$6,266. Actual Utilities for year to date are $96,165
compared to the budgeted amount of$94,032 for a variance of($2,133) over budget.
Food and Beverage Expense for the current period was over budget by ($20,083)
compared to ($22,413) over budget for year to date.
LEPFA Board of Commissioners Meeting
Page 4
October 23, 2001
After adding in the City Contribution and the Interest variance, we are better than
budget by $22,390. The Food and Beverage Net to the Lansing Center for the period
is $37,000 and is $72,500 for year to date.
d. Lansing City Market - September 30, 2001: Building Rental for the current period is
$4,822 which exceeds the prior year's amount of$4,378. Year to date the building
rental is $15,659 which exceeds the prior year's $13,714 by $2,000. Total Operating
Revenue year to date is $15,764 compared to $13,854 for last year.
Under Operating Expenses, Utilities for year to date are $8,797 compared to $7,077
for the prior year. Marketing for year to date is $7,224 compared to $4,554 for the
prior year. Maintenance of Facilities for year to date is $4,387 compared to $1,301
for the previous year and the difference is attributed to the electrical work at the
Market. Total Operating Expenses for year to date are $35,964 compared to $28,546
last year, for an operating loss of ($20,199) compared to the prior year's loss of
($14,692).
The Balance Sheet - Total Cash for the current year is similar to last year's at
$124,518 compared to $123,887 for the prior year. The Unreserved Equity is
$144,275 compared to $171,203 for the prior year.
Under Budget versus Actual, Building rental actual for year to date is $15,659
compared to the budgeted amount of$13,860, which results in a variance of$1,799.
Total Operating Revenue year to date is $15,764 compared to $14,040 for a variance
better than budget of$1,724. Under Operating Expenses, Salaries/Wages for year to
date are better than budget by $2,560. Utilities are over what was budgeted for year
to date by ($1,048). Maintenance of Facilities is a timing issued due to the electrical
repair, which puts us over budget by ($1,888). Total Operating Expenses year to date
are $35,964 which is under the budgeted amount of$36,930 for a variance of$965.82
for a loss of ($20,199) compared to the budgeted loss of ($22,890) for a variance
better than budget of$2,690. After adding in the City Contribution and the variance
for Interest we are $1,908 better than budget.
e. Oldsmobile Park - September 30, 2001: Event Revenues for the current period are
$2,376 and were comprised of movies, Fox 47 Day of Pride &Remembrance and the
Parks and Recreation Department baseball games, revenues were $1,896 last year.
Expenses for the current period were $4,080 for an event loss of($1,703), which was
applied to the Event Development Fund.
Under Operating Expenses - Salaries/Wages are down slightly for year to date at
$13,118 compared to $14,158. Utilities are up year to date at$12,975 compared to
$11,773 for the prior year. Under Concessions/Catering there is a line item of$10,000
and that is the City's share of upgrades at the stadium and is balanced out under the
Operating Transfer. Total Operating Expenses for the current period are $24,299
compared to $19,787 for the prior year. Year to-date the expenses are $60,956
compared to $85,844 for the prior year.
Our Total Cash position is $209,680 compared to $216,103 for last year. The Net
Event Development Fund is $50,842 which is down compared to the prior year's
$69,259. Unreserved Equity is $100,013 compared to $133,163 last year.
LEPFA Board of Commissioners Meeting
Page 5
October 23, 2001
Under Budget versus Actual, Total Operating Expenses year to date are $60,956
compared to the budgeted amount of$72,430 which makes us better than budget by
$11,473. After adding in the transfer, the variance on Interest, and the City
Contribution, we are better than budget by $20,634.
f. Lansing Center- September 30, 2001: Building Rental for the current period is
$60,903 compared to $87,427 for the prior year for a difference of$27,000 for the
current period; for year to date the figure is $134,020 compared to $176,607 for last
year for a difference of $42,500. Food and Beverage is down for the current period
at $205,708 compared to $263,886 last year and it is down for year to date at
$489,570 compared to $517,008 for the prior year. Total Operating Revenue for the
current period is $335,121 compared to $453,598 last year. Year to date Total
Operating Revenues are $753,571 compared to $860,308 for last year. Chair
Sinadinos reminded those present that the first six months of last year were a record.
Under Operating Expenses Salaries and Wages for year to date are $321,090
compared to $312,389. Fringes and Related Costs are up by about $10,000 for year
to date. Utilities for year to date are $140,998 and were $132,784 for the prior year.
Food and Beverage expense for the current period is.$116,408 compared to the prior
year's amount of $127,087 and year to date the figure is $325,678 compared to
$303,665 for an Operating Loss for the current period of($41,074) compared to the
prior year's income of$51,403 and a year to date loss of($314,453) compared to the
prior year's loss of($183,761).
The Total Cash and Assets are $246,725 compared to $443,500 for the prior year.
Accounts Receivable are $351,310 compared to the prior year's amount of$481,888.
Under Liabilities - Unearned Revenue/Advanced Rent is $296,383 compared to the
prior year's $297,885. Unreserved Equity for the current year is $454,528 compared
to $632,508 for the prior year.
Under Budget versus Actual, Building Rental for year to date is $134,020 compared
to the budgeted amount of$148,905 for a variance of($14,884) less than budget. Food
and Beverage for year to date is less than budget by ($24,949). Total Operating
Revenue for year to date is $753,571 compared to the budgeted amount of$787,747
which is less than what was budget by ($34,175). Under Operating Expenses- Utilities
had a variance of$49.84. Food and Beverage Expense for the current period was less
than what was budgeted by $17,376 and the figure for year to date is $325,678
compared to $320,641 for the budgeted amount. Total Operating Expenses for year
to date are $1,068,025 compared to $1,105,669 for the previous year. We are better
than budget by $37,643 for an operating loss variance of$3,468 better than budget and
after adding in the City Contribution and the Interest variance, we exceeded budget by
$627.89. The Food and Beverage Net to the Lansing Center for year to date is
$160,000 which is less than what was budgeted.
Chairman Sinadinos moved that the monthly financials for Oldsmobile Park, the
Lansing City Market and the Lansing Center for the period ending August and
September 2001 be received as published, and further that the monthly expenses for
each entity be approved. Motion: Sinadinos Support: Jeffries, motion carried.
LEPFA Board of Commissioners Meeting
Page 6
October 23, 2001
C. PRESIDENT AND CEO'S REPORT:
1. Union Report: Peter reported we continue to meet approximately every two weeks and
progress is being made. The final issues on the table have to do with money, and if an
agreement is not reached, a mediator will be utilized.
2. Lansing City Market: Peter reported that the September rental revenue was up by
approximately $451 compared to last year. Occupancy was at about 83%, which was up
about 8% over last year. October 19 and 20 an Orchid Sale took place for the second
year. Silver Bells in the City is again scheduled for November 16 and it is a highlight of
the year. We will serve cookies and cider supplied by Rasch Farms, and there will be
reindeer, Santa, Mrs. Klaus, music and clowns.
3. Oldsmobile Park: Currently we are focused on Fright Night, which takes about three
weeks to build. The first weekend, which included Thursday, Friday and Saturday, had
approximately 1,300 attendees. The ticket price is $5, and we hope to attract 10,000
people. Our marketing campaign is underway, which includes the radio and billboards.
Operationally we are meeting with the Lugnuts to discuss a variety of topics, i.e. food and
beverage expenses, utilities expenses, parking lot cleaning, internet merchandise revenue,
and non-Lugnut baseball expenses. Peter noted he will keep the Board abreast of any
developments regarding these issues.
4. Lansing Center: We hosted approximately 54 events for 69 event days with approximately
10,000 attendees, for 600 room nights, for an economic impact of approximately
$410,000. In comparison to the previous September, we were down by 12 event days, we
were down in attendance, room nights and economic impact and this is attributed to a
phenomenal September and first six (6) months last year.
Sales Update: It is anticipated that the Michigan Credit Union League will host their
annual convention in Lansing in May, 2004 with a final decision anticipated in January.
Michigan Concrete and Paving Association has confirmed their annual workshop for
February, 2003.
Confirmed/Repeat Business: Currently the Sales Department is working with IBM to
finalize a Tech Conference, which they will are coordinating with the State of Michigan
in December. We have contracted with the American Cancer Society for a conference in
March, 2002 as well as with Standard Federal for a meeting in March, 2002. A number
of holiday parties have confirmed including Mt. Zion Baptist Church, Westdale Better
Homes and Gardens, Innovative IT Solutions, Davenport University, the CVB's "Client
Appreciation" luncheon, the Chamber's Holiday Mixer, the Michigan Department of the
Attorney General, and the Lansing Church of Christ. Peter noted that the holiday
bookings are down compared to last year and the Sales Department is conducting a mini
sales blitz for holiday parties. Mummaw Creative has also contacted us regarding a large
event in June, September or November, 2002 for 1,100 to 1,300 people.
LEPFA Board of Commissioners Meeting
Page 7
October 23, 2001
Facility Highlights: During the past month we have hosted a number of events including
the Chamber's Business Trade Fair, the National Association of Geriatric Nursing
Assistants; the annual J Crew warehouse sale which attracted about 3,500 people; the 40`'
Anniversary of the Constitution Convention which was attended by the Governor;
Michigan Optometric Association; Hmong New Year Celebration; Mid-Michigan
Antiquarian Book and Paper Show; J Mollema and Son; Michigan Interscholastic Press
Association which attracts 1,800 journalism students; and the Governor's Council on
Fitness which had 800 people in halls A and B. Upcoming events include Spartan Stores
in Halls A and B and after hosting them for many years this will be their last year at the
Lansing Center. We hosted 4 weddings, 1 quinceanera and Lion's Den Church services.
Peter reported on the effects of the September 11 attack on the Lansing Center. He noted
most of our business is localized or regional in nature because we host many state
associations, and we haven't lost a lot of business as of yet. On September 11 the State Bar
of Michigan was in house, their conference attendance was down and Friday they
cancelled their luncheon. Michigan Elementary and Middle School Principal's Association
was scheduled for November 13 and they rescheduled because their speaker was flying
from New York. September 20 the Tri County Office of Aging cancelled their event.
General Motor's Holiday party on Saturday, December 1 was cancelled. Peter noted only
two of the four events cancelled, with the others rescheduling.
5. Convention Visitors Bureau By-laws Review Committee: Peter reported that he has been
asked to participate in the CVB's By-laws Review Committee which has met once, and
he indicated he will keep the Board abreast of the meetings. He noted the significant
change is that they currently have a Board of Governor's of about 45 people and an
Executive Committee of eleven. They are considering a condensed Board, and as such
have asked the committee to review their by-laws.
6. Common Ground: Recap meetings for 2001 with sponsors are underway as well as
discussions regarding 2002. Potential new revenue areas are being discussed and
investigated. It appears that the event will take place during the third week of July, which
conflicts with the Lugnuts on Friday, Saturday and Sunday; however, one of the events
impacted can be moved to the Lansing Center (the Gospelfest).
Bob Swanson asked Peter for his thoughts on the economy for the Lansing Center for the
remainder of the year? Peter responded we are on budget but are flat. He noted that
irrespective of September 11 this was going to be a tight budget year considering the past
three-year cycle history. He noted it would be a tight budget year, similar to year three
of operation. He noted he cannot predict anything right now, but holiday events are down
and he noted he did not anticipate having a year as exceptional as the past two years.
Peter noted he meets weekly with the Sales Manager and they work to secure as many
events as possible.
7. Liquor Co-Licensee: Commissioner Butler questioned the status of the CPP joint liquor
license? Jim Smiertka reported that City lost a number of liquor licenses due to the
census. The City had licenses that needed to be allocated by October 13 so that they would
not lose them and considered partners within the city i.e. the Turner Dodge House,
Groesbeck Golf Course and selected Groesbeck.
LEPFA Board of Commissioners Meeting
Page 8
October 23, 2001
Originally LEPFA was considered, but the Liquor Control Commission did not agree with
the selection because LEPFA is an agent of the city. They agreed with the Center Park
Productions selection, which was approved by the City Council and negotiations are
underway with the idea that we will have full-service concessions at Groesbeck. Turner
Dodge was not selected because of its sporadic hours of operation. Peter noted between
now and January 1 CCP will need to make applications to the Liquor Control Commission
Board, and we will discuss the process with the City.
D. PERSONNEL COMMITTEE REPORT: Chairman McGuire reported that the Committee is
receiving the CEO's evaluations and the Committee will meet tomorrow and they hope to
reach a decision then.
E. LONG RANGE PLANNING COMMITTEE: No report.
VII. COMMISIONER AND STAFF COMMENTS:
1. Commissioner James Butler: Commissioner Butler made a recommendation that during Peter's
report that Patrick, Michael, Linda and Bill be afforded the opportunity to speak to the Board
as well, which may by orchestrated by Peter. In regard to "Fright Night" he suggested that
the Board be afforded two tickets so that they can participate and see the event first hand.
VIII. OLD BUSINESS:
No report.
IX. NEW BUSINESS:
No report.
At 8:55 a.m. the meeting was adjourned.
THE NEXT MONTHLY MEETING IS SCHEDULED FOR TUESDAY, NOVEMBER 27 AT 8:00
A.M. AT THE LANSING CENTER IN THE GOVERNOR'S ROOM.
Respectfully submitted,
Heidi K. Brown, Recording Secretary
LANSING ENTERTAINMENT AND PUBLIC FACILITIES AUTHORITY
BOARD OF COMMISSIONERS MEETING
NOVEMBER 27, 2001
MINUTES
At 8:00 a.m. Chairman Kate McNeely called the meeting to order in the Governor's Room of the Lansing
Center; 333 E. Michigan Avenue; Lansing, Michigan 48933.
COMMISSIONERS PRESENT: James W. Butler III, Wes Clark, Tim Haggart, Charles Janssen, Ellen
Jeffries, Cyril McGuire, Kate McNeely, Charlotte Sinadinos, Bob Swanson (Ex-Officio), and Ron Wilson
(Ex-Officio).
COMMISSIONERS EXCUSED: Sharon Peters and Dennis Sykes (Ex-Officio).
OTHERS PRESENT: James Smiertka-City of Lansing; Heidi Brown, Marian Bryant, Linda Frederickson,
William Grove, Michael Meyers, Peter Sullivan, and Patrick Talty - Lansing Entertainment and Public
Facilities Authority.
III. ESTABLISHMENT OF THE AGENDA:
There were no changes to the agenda.
IV. PUBLIC COMMENT:
There was no public comment.
V. APPROVAL OF THE MINUTES OF OCTOBER 23, 2001:
The minutes of October 23, 2001 were adopted as presented. MOTION: Commissioner Janssen
SECOND: Commissioner Butler, motion carried.
VI. REPORTS:
A. CHAIRMAN'S REPORT:
Chairman McNeely reminded the Commissioners that the December monthly meeting has been
moved to December 18 and on Wednesday December 19 the Board Holiday party will take
place in the Governor's Room.
B. SECRETARY/TREASURER'S REPORT:
1. Monthly Financials: Chairman Sinadinos reviewed the following financial statements as
approved by the Finance Committee for the period ending October 31, 2001:
a. Lansing City Market— October 31, 2001: Building Rental for the current period is
$5,206 compared to $4,753 last year. Building Rental for year to date is $20,866
compared to $18,468 for the prior year. Total Operating Revenue for year to date is
$21,006 compared to $24,373 for the prior year (the difference is because parking
revenues have not been received for the current period).
Under Operating Expenses, Utilities are at$2,592 compared to $1,529 for the prior
year and year to date they are up as well at$11,390 compared to $8,607 for last year
for a difference of $2,800. Total Operating Expenses for year to date are $45,961
compared to $38,040 for the prior year. The year to date Operating Loss is ($24,954)
compared to ($13,666) for the prior year and the difference is equated to Maintenance
of Facilities and Utilities.
LEPFA Board of Commissioners Meeting
Page 2
November 27, 2001
The Balance Sheet - Total Cash for the current year is $70,945, which is down
compared to$120,759 for the prior year. Accounts Receivable for the current year are
$46,067 compared to $1,900 for the prior year and the increase is attributed to a
$44,000 loan to the Lansing Center which is due to cash flow timing and will be
repaid in the second half of the fiscal year.
At 8:10 a.m. Ron Wilson entered the meeting
Under Budget versus Actual, Building Rental for year to date is $20,866 compared to
the budgeted amount of$18,539 for a variance of$2,327 better than budget. Total
Operating Revenue year to date is $21,006 which exceeds the budgeted amount of
$18,779 for a variance of $2,227 better than budget. Under Operating Expenses,
Utilities exceeded budget for year to date at$11,390 compared to the budgeted amount
of$10,332 for a variance of($1,058); Maintenance of Facilities for year to date are
$4,831 compared to the budgeted amount of$3,332 for a variance of($1,499). The
Operating Loss year to date is ($24,954) compared to the budgeted amount of
($31,177) for a variance better than budget of $6,222. After adding in the City
Contribution and the variance for interest we are better than budget by $5,091.
b. Oldsmobile Park - October 31. 2001: Event Revenues for the current period are
$33,824 (Fright Night and a Boy Scout event) and event expenses are $32,254 for an
event income of$1,569 which was applied to the Event Development Fund. Chair
Sinadinos noted that there will be more expenses submitted for Fright Night in
November and December.
Under Operating Expenses - Utilities for the current period are $4,925 compared to
$2,993 for the prior year and year to date the figure is $17,901 compared to $14,766
for the prior year. Under Concessions/Catering, the $10,000 amount is for upgrades,
which the City refunded us and is noted under the Operating Transfer. Total Operating
Loss for year to date is ($80,276) compared to the prior year's ($107,801) which was
attributed to the prior year's painting project and suites upgrade. Bottom line year to
date excess revenues over expenses is $10,097 compared to the prior year's loss of
($6,457).
Our Total Cash position is $227,592 and is down compared to the prior year's amount
of$247,914. The Net Development Fund for the current year is $52,411 and is down
compared to the prior year's $63,800. Unreserved Equity is $102,276 compared to
$126,436 for last year.
Under Budget versus Actual, Utilities for the current period were $401 over budget
and for year to date they are $725 over budget. Total Operating Expenses for year to
date are $80,276 compared to the budgeted amount of $93,083, which is less than
budget, by $12,806. After adding in the City Contribution, Interest and the Transfer,
we are better than budget by $11,580 for year to date.
LEPFA Board of Commissioners Meeting
Page 3
November 27, 2001
c. Lansing Center- October 31, 2001 Building Rental for the current period is $123,671
compared to$126,325 for the prior year; year to date the figure is $257,691 compared
to $302,932 for last year for a difference of about$45,000 for year to date. Food and
Beverage for the current period is $326,678 compared to $383,199 last year and for
year to date the amount is $816,249 compared to $900,207 for the prior year which
is down by approximately $84,000. Total Operating Revenues (using $500,000 as the
benchmark) for the current period are $562,3330 compared to the prior year's record
setting amount of $615,699. Year to Date Revenues are $1,315,902 compared to
$1,476,008 last year.
Under Operating Expenses, Salaries/Wages for year to date are $447,345 compared
to $444,538 for the prior year. Professional Services for the current period are
$20,755 compared to $14,911 for the prior year, and this year's figure is attributed
to attorney's fees regarding a food and beverage issue. Utilities for year to date are
$189,914 compared to $186,978. Food and Beverage expenses for the current period
are $168,535 compared to the prior year's amount of$169,133 and year to date the
figure is $494,214 compared to $472,798. Total Operating Expenses year to date are
$1,537,280 compared to $1,516,666 for last year. The Operating loss year to date is
($221,378) compared to ($40,658) for the prior year.
The Overall Cash Position is $287,800 compared to $349,000 for the prior year.
Accounts Receivable are $579,378 and are down from the prior year's $696,208. The
investment in Common Ground 2001 is $158,000. Under Liabilities - Accounts
Payable are $220,079 compared to $123,482 for the prior year. Unearned
Revenue/Advanced Rent is $270,159 compared to the prior year's $314,945.
Unreserved Equity is $590,689 compared to $832,728 for the prior year.
Under Budget versus Actual, Building Rental for the current period is better than
budget by $3,108 and for year to date the actual figure of$257,691 is less than the
budgeted amount of$269,469 by $11,776. Food and Beverage Sales are less than
what was budgeted by ($24,471). Equipment Rental is better than budget by $19,000.
Total Operating Revenue for the current period is $562,330 compared to the budgeted
amount of$528,992 for a variance of$33,338 better than budget and actual year to
date is $1,315,902 compared to the budgeted amount of$1,316,739 for a variance of
($836) less than budget. Under Operating Expenses - Salaries/Wages for the actual
year to date are $447,345 compared to the budgeted amount of$471,262 for a variance
less than budget of$23,916. Maintenance of Facilities is better than budget by $5,346.
Total Operating expenses for the current period are $469,255 compared to the
budgeted amount of$458,436 which exceeds budget by a variance of($10,819). Year
to date expenses actual are $1,537,280 compared to the budgeted amount of
$1,564,105 for a variance better than budget of$26,824.
At 8:25 a.m. Marian Bryant entered the meeting.
LEPFA Board of Commissioners Meeting
Page 4
November 27, 2001
After adding in the City Contribution and the Interest variance, we are better than
budget by $20,259 and after considering depreciation, the amount is approximately
$10,000. The year to date net Food and Beverage to the Lansing Center compared to
budget is about $32,000 less than what was budgeted.
Chairman Sinadinos moved that the monthly financials for Oldsmobile Park, the
Lansing City Market and the Lansing Center for the period ending October 31, 2001
be received as published, and further that the monthly expenses for each entity be
approved. Motion: Sinadinos Support: Jeffries, motion carried.
C. PRESIDENT AND CEO'S REPORT:
1. Union Report: Peter reported since the last Board meeting we have met once with the
Forepeople and we continue to meet regarding the sole issue of wages.
2. Lansing City Market: Peter reported that the October rental revenue was up by
approximately $800 compared to revenue last year. Occupancy was at 84%, which was
up about 13% over last year. Sally Briton will return to the Market to sell fresh cut trees
and hand made decorations, and her son will be Santa on Saturdays at the Market. The
Market participated in Silver Bells in the City, which was the highlight of dhe year. JL
It was
a festive evening and a good time was had by all. Cookies and cider were served, with
reindeer, Santa, Mrs. Claus, and clowns visiting the Market as well.
3. Oldsmobile Park: Peter noted Fright Night had another successful event in terms of
production, and he noted he felt it has improved with each year. He noted we again
received positive feedback from the public, as well as good news coverage. We attracted
close to 7,000 people, which was down because of two bad weather nights early in the
schedule. Financially the numbers are still being compiled, but we should be close to a
break-even position similar to last year. We have not met with the Lugnuts regarding
operational issues, but hope to meet prior to the holidays to discuss food and beverage
expenses, utilities expenses, parking lot cleaning, and Internet merchandise revenue. Peter
noted he will keep the Board abreast of any developments.
At 8:35 Jim Smiertka entered the meeting.
4. Lansing Center: We hosted approximately 62 events for 85 event days with approximately
25,000 attendees utilizing 1,300 room nights, for an economic impact of approximately
$800,000 during the month of October. In comparison to the previous year, we had more
event days, we were down in attendance, room nights and economic impact and this is
attributed to a phenomenal October in 2000.
Sales Update: We continue to work with John Angell regarding a "Historic Cars of
Lansing" event for a July/August 2002 which is a Wednesday through Saturday event that
will include a dinner on Saturday night.
LEPFA Board of Commissioners Meeting
Page 5
November 27, 2001
Confirmed/Repeat Business: Michigan Non-Profit Association Grant Makers Grant
Seekers Conference has confirmed for May 2003; Michigan CPA's have booked three
meetings, one of which was previously held in Livonia; and a contract has been issued for
a McDonald's District meeting for this December. To-date we have 15-16 confirmed
holiday parties, compared to 12-15 in previous years. The holiday parties include Mt. Zion
Baptist Church, Westdale Better Homes and Gardens, Innovative IT Solutions, Davenport
University, a CVB Client Appreciation luncheon; the Lansing Chamber Holiday mixer,
Michigan Department of Attorney General, Lansing Church of Christ, Efficiency
Productions Inc., L&L Food Stores, the Mayor's Office, City of Lansing Public Service
Department, Corecomm, Lansing Advertising Club, and the City of Lansing Finance
Department. A number of proms have re-booked including the Everett High School Prom
and the East Lansing High School Prom.
Facility Highlights: During the past month we have hosted a number of events including
the annual Hearts at Home in October, which attracted 1800 stay at home and working
moms; Michigan Greenhouse Growers} Diocese of Lansing Youth Jamboree;
Showstoppers Dance Convention; the Michigan Library Association; Chonda Pierce
Comedy concert in Halls B and C; Michigan Education Association; Silver Bells; Festival
of Trees; two weddings and three receptions. Upcoming events include Shipshewana on
the Road and the Michigan Technology Showcase.
5. Liquor License Review: Peter reported that the Liquor Control Board felt that the City was
too aligned with LEPFA, and therefore LEPFA cannot hold the license for Groesbeck Golf
Course.
6. Expansion Finance REP: Peter reported the Long Range Planning Committee will meet
on Friday, December 7 regarding the Lansing Center RFP for financing alternatives.
Seven RFP's were received and there are four finalists. The four will be reviewed with
the committee in early January.
7. CVB Bylaws Committee: Peter reported that the committee has not met in the past 30
days.
8. Common Ground: Peter noted a date change is being considered for the festival, and he
has also discussed the change with the Mayor.
9. Board Party: Peter reminded those present that the annual holiday party is December
19.
10. Common Ground Holiday Promotion: Linda Frederickson noted the web site for
Common Ground will go live this weekend and has been updated to allow the purchase
of Common Cards at the discount rate of$45 through the end of the year. Tickets will
be sold on line or via the telephone or in person at the Common Ground office.
LEPFA Board of Commissioners Meeting
Page 6
November 27, 2001
Peter noted Linda, Shelby and Kevin have met with a number of the media partners to
garner support for the holiday promotion. Peter suggested those able to log on to the
web site - commongroundfest.com- to view the redesigned site for the holiday
promotion, which allows us to provide e commerce.
Regarding the Lugnuts, Commissioner Butler questioned what the issue is regarding the
merchandising? Peter noted it is our belief as well as the City's, that the City should
receive a portion of the Lugnut's Internet sales fees. The Lugnuts do not agree, despite
having paid the fees during the first year. Commissioner Butler also asked if we had
any bookings for Common Ground, Peter noted that it is too early at this point, and
Kevin Meyer will attend a conference in Las Vegas that will provide some serious
booking information.
D. PERSONNEL COMMITTEE REPORT: Chairman McGuire reported that the Committee has
met, but has not met with Peter and will do so on December 4 at 10:00 a.m.
E. LONG RANGE PLANNING COMMITTEE: Chairman Janssen reported that the committee
has not met, but will meet regarding the RFP as previously mentioned by Peter.
VII. COMMISIONER AND STAFF COMMENTS:
1. Commissioner Cyril McGuire: Commissioner McGuire apologized for missing the Festival of
Trees event on Saturday.
2. City Council Update: Ron Wilson reported that the agenda last evening included the snow
removal issue as a result of last year's record snowfall. One issue was the parked cars on the
streets, which was a major problem last year. This year there will be a scout team of Police
that will issue parking tickets. The second issue is sidewalk shoveling. Currently the ordinance
indicates you will be fined $20, $40 and $60 with over 500 tickets issues last year. The
current proposal is to have the City remove the snow and put a surcharge on your taxes. This
was a result of the school children walking in the streets. The last Council meeting will be
December 10 and it will be taken up at that time. Additional items that should be addressed
by the 10`' include the Boji Project, rezoning, and the Boys Training School Project.
It was also announced that Sparrow Hospital received an award for good service.
Ron also addressed the public speaking issue and the suggestion that the public speaking
portions not be aired. He noted there are three opportunities for the public to speak and those
are during a public hearing - three minutes for each item per person, legislative issues, and the
open mic period where people can address any issue for up to three minutes.
Commissioner Butler commended Foster, Swift, Collins and Smith for an outstanding activity
at the Michigan versus Michigan State football game, noting it was extremely well done.
He also commended Mayor Hollister and his staff for another successful campaign and for a
win by 77%.
LEPFA Board of Commissioners Meeting
Page 7
November 27, 2001
3. Commissioner Sinadinos reminded all present that the December financials will be handed out
at the meeting and will not be included in the packets due to the early date of the meeting.
VIII. OLD BUSINESS:
No report.
IX. NEW BUSINESS:
No report.
At 8:50 a.m. the meeting was adjourned.
THE NEXT MONTHLY MEETING IS SCHEDULED FOR TUESDAY, DECEMBER 18 AT 8:00
A.M. AT THE LANSING CENTER IN THE GOVERNOR'S ROOM.
Respectfully submitted,
Heidi K. Brown, Recording Secretary
LANSING ENTERTAINMENT AND PUBLIC FACILITIES AUTHORITY
BOARD OF COMMISSIONERS MEETING
DECEMBER 18, 2001
MINUTES
At 8:03 a.m. Chairman Kate McNenly called the meeting to order in the Governor's Room of the Lansing
Center; 333 E. Michigan Avenue; Lansing, Michigan 48933.
COMMISSIONERS PRESENT: James W. Butler III, Wes Clark, Ellen Jeffries, Cyril McGuire, Kate
McNenly, Sharon Peters, Charlotte Sinadinos, and Bob Swanson (Ex-Officio).
COMMISSIONERS EXCUSED: Tim Haggart, Charles Janssen, Dennis Sykes (Ex-Officio) and Ron
Wilson (Ex-Officio).
OTHERS PRESENT: Heidi Brown, Marian Bryant, Linda Frederickson, William Grove, Michael
Meyers, Peter Sullivan, and Patrick Talty - Lansing Entertainment and Public Facilities Authority. Jack
Jordan-City of Lansing.
III. ESTABLISHMENT OF THE AGENDA:
There were no changes to the agenda.
IV. PUBLIC COMMENT:
There was no public comment.
V. APPROVAL OF THE MINUTES OF NOVEMBER 27, 2001:
The minutes of November 27, 2001 were adopted as presented. MOTION: Commissioner Butler
SECOND: Commissioner Sinadinos, motion unanimously carried.
VI. REPORTS:
A. CHAIRMAN'S REPORT:
Chairman McNenly thanked the Commissioners for their willingness to serve on the many
Committees, attend meetings, and do all the work, which has been enormously helpful to her.
She also thanked Peter and the staff. Chairman McNenly wished everyone a peaceful and very
joyous holiday.
B. SECRETARY/TREASURER'S REPORT:
1. Monthly Financials: Committee Chairman Sinadinos reviewed the following financial
statements 3s approved by the Finance Committee for the period ending November 30, 2001:
a. Lansing City Market- November 30, 2001: Building Rental for the current period is
up at $4,365 compared to $3,341 for last year. Building Rental for year to date is
$25,232 compared to$21,809 which is about$2,400 greater than the prior year. Total
Operating Revenue for year to date is $25,617 compared to $27,902 for the prior year
(the difference is because parking revenues have not been received for the current
period).
Under Operating Expenses, Salaries/Wages for year to date are $19,878 compared to
$19,548 for last year. Utilities for year to date are at $13,966 compared to $11,035
for the prior year. Total Operating Expenses for the current period are $9,698
compared to $15,423 for the prior year (last year's figure included the asphalt). Total
Operating Expenses are $55,659 compared to the prior year's year to date amount of
$53,464. Bottom line excess revenues over expenses, for a net income year to date,
are $14,874 compared to the prior year's $22,876.
LEPFA Board of Commissioners Meeting
Page 2
December 18, 2001
The Balance Sheet- Unreserved Equity for the current year is $144,278 compared to
$171,426.
Under Budget versus Actual, Building Rental for the current period is better than
budget by $473, and for year to date it is better than budget by $2,801. Total
Operating Revenues are $25,617 compared to the budgeted amount of$29,605 which
is less than budget by ($3,987) which is due to parking that has not been received yet.
At 8:07 a.m. Jack Jordan entered the meeting.
Operating Expenses - Salaries and Wages for year to date are better than budget by
$3,709. Utilities exceeded budget for year to date by ($1,051). The Total Operating
Loss year to date is ($30,042) compared to the budgeted amount of($35,633) for a
variance better than budget of$5,590. After adding in the City Contribution and the
variance for interest we are better than budget by $4,093.
b. Oldsmobile Park- November 30, 2001: The Event Loss of($2,123) is due to Fright
Night expenses, which was applied to the Event Development Fund. Under Operating
Expenses - Utilities for the current period are $4,557 compared to $4,416 for the
same period last year. Year to date the Utilities are $22,458 compared to $19,183 last
year. Maintenance of Facilities year to date are $4,152 compared to $35,232 last year
(carpeting, painting and updating of the suites). Total Operating Expenses for the
current period are $15,920 compared to $15,726 for the prior year and year to date
they are $96,196 compared to $123,528 for the prior year. Bottom line year to date
Excess Revenues over Expenses are $14,185 compared to the prior year's loss of
($1,639).
Our Total Cash position is up at $193,384 compared to the prior year's amount of
$187,670. The Net Development Fund for the current year is $50,288 and is down
compared to the prior year's $62,407. Unreserved Equity is $104,240 compared to
$129,831 last year.
Under Budget versus Actual, Salaries and Wages for year to date are $23,467
compared to $26,114 which is better than budget by $2,646. Utilities for year to date
are $22,458 compared to the budgeted amount of$21,700 for a difference of($758).
Total Operating Expenses for the current period are better than budget by $10,085
and the year to date variance is better than budget by $22,892. After adding in the
City Contribution, Interest and the Transfer, we have a variance of$21,274 better than
budget.
c. Lansing Center- November 30, 2001: Building Rental for the current period is
$111,869 compared to $96,840 for the prior year; year to date the figure is $369,561
compared to $399,773. Food and Beverage for the current period is $232,510
compared to $246,232 last year; and for year to date the amount is $1,048,759
compared to $1,146,440 for the prior year. Labor and Service is up for year to date
at $62,294 compared to $57,600 for last year. Total Operating Revenues for the
current period are $436,596 compared to $436,562 for the prior year and for year to
date the amount is $1,779,498 compared to $1,912,570. Chair Sinadinos noted it was
a very good month overall, and reminded everyone that the first five months last year
were exceptional.
LEPFA Board of Commissioners Meeting
Page 3
December 18, 2001
Under Operating Expenses, Salaries and Wages for the current period are up at
$176,814 compared to $161,136 and year to date they are $624,160 compared to
$605,675 for prior year and is attributed to more full-time labor. Utilities are at
$47,618 compared to $43,434 for the current period, and year to date utilities are
$237,532 compared to$230,413 for the prior year, which is up about$7,000 over last
year. Food and Beverage expense for the current period is $154,324 compared to the
prior year's amount of$151,615 and year to date the figure is $648,538 compared to
$624,414 for the prior year. The Operating loss for the current period is ($22,309)
compared to ($25,153) last year and year to date the figure is ($243,688) compared
to ($65,811) for the prior year. After adding in the city contribution and interest, we
have a loss of($14,520) compared to the prior year's income of$194,552.
Under the Balance Sheet, the total for Cash and Restricted Assets is $521,537
compared to $400,000 for last year. Total Accounts Receivable are down at$446,374
and are down from the prior year's $724,844. Under Liabilities - Accounts Payable
are up at $233,778 compared to $100,718 for the prior year. Unearned
Revenue/Advanced Rent is $276,571 compared to the prior year's $321,678.
Under Budget versus Actual, Building Rental for the current period is less than budget
at $111,869 compared to the $125,266 budgeted, for a variance of($13,396) and year
to date the actual figure is $369,561 which is less than the budgeted amount of
$394,734 for a variance of($25,172). Food and Beverage Sales are less than what was
budgeted by ($22,839) and for year to date the variance is ($47,311). Equipment
Rental is better than budget by $22,715 and for year to date the variance is better than
budget by$41,728. Labor/Service is up for the current period by $10,785 and for year
to date the variance is $20,131 better than budget. Total Operating Revenues for the
current period are better than budget at $177 and for year to date the amount is less
than budget by ($659). Under Operating Expenses - Salaries and Wages for the actual
year to date were less than budget by $30,718. Utilities were more than budget by
($2,452).
At 8:17 a.m. Sharon Peters and Bob Swanson entered the meeting.
Food and Beverage expenses were over budget by ($1,345). The Operating Income
variance to the budget is $47,109. Year to date Food and Beverage net to the Center
is $395,000.
Chairman Sinadinos moved that the monthly financials for Oldsmobile Park, the
Lansing City Market and the Lansing Center for the period ending November 30, 2001
be received as published, and further that the monthly expenses for each entity be
approved. Motion: Sinadinos Support: Commissioner McGuire, motion carried.
LEPFA Board of Commissioners Meeting
Page 4
December 18, 2001
C. PRESIDENT AND CEO'S REPORT:
1. Union Report: Michael Meyers reported a meeting took place about two weeks ago and
at that time they reached a tentative agreement with the Union on the Forepeople's
contract. The last remaining issue for the Forepeople was the wages and the circumstances
were different because this group is being converted from salary to hourly. We are
awaiting a notice of ratification from the Union. Proposals have been submitted for the
Stagehand agreement, which will be negotiated in the new year (it has been outstanding
for five to six years). They are waiting for proposals from the Facility Workers, and the
Maintenance Workers whose agreement expired on June 30, 2001.
Commissioner Butler asked if Michael expected any issues regarding upcoming
negotiations? Michael noted the Stagehands will be the hardest agreement to workout
because there has been no action for so long and there currently is turmoil within the union
leadership, which impacts the quality of labor we are receiving. Peter noted one of
sensitivities is that the Union has difficulty meeting our labor requirements, i.e. providing
skilled individuals, as opposed to someone who has had very little time in the facility.
2. Lansing City Market: Peter reported that the November rental revenue was up by
approximately $1,200 compared to last year and it continues to look positive for the next
several months. Holiday advertising with WLNS-TV 6 began the last week of November
through the first two weeks of December with 10 and 30 second commercials aired during
the early morning news and evening time slots. The campaign highlighted items that can
be purchased at the Market and including holiday items such as Christmas trees, wreaths,
party foods and fruits and vegetables.
3. Oldsmobile Park: Peter noted we still have not met with the Lugnuts regarding operational
issues, and it is hoped that a meeting will take place in January. Operationally, we have
again fixed the neon sign on top of the stadium as well as the marquees on Michigan and
Cedar Streets.
4. Lansing Center: We hosted approximately 44 events for 64 event days with approximately
30,000 attendees utilizing 1,200 room nights for an economic impact of approximately
$600,000 during the month of November. In comparison to the previous year, we were
down in event days, we were down in attendance, however; due to the mix of events, we
were up in room nights and economic impact, which illustrates how different events affect
different issues.
Sales Update: Peter reported the Michigan Council of Teachers of Math Board met in mid-
November and we will follow up with them after the holidays, however, they shared that
they are strongly considering the new Novi Expo Center. The McDonalds corporation met
at the Lansing Center on December 11 and 12 and they noted that they were very pleased
with us, and that we are a central location for them. They did voice concerns regarding
the Radisson, which we are addressing.
LEPFA Board of Commissioners Meeting
Page 5
December 18, 2001
Confirmed/Repeat Business: Contracts have been issues for the World Discount Club Sale
for February, 2002; Articat in February 2002; Showstoppers Dance Show for October
2002; and the Okemos High School Prom for May, 2002. Five contracts were issued for
the Michigan Association of CPA's; Hearts at Home; and the Diocese of Lansing -
Common Conference in 2003. Peter noted that eighteen holiday parties were booked this
year, which exceeds the previous average of fifteen parties. New groups this year include
the City of Lansing Finance Department and a portion of the Public Service Department.
Peter noted Jim Harvey is leaving the Radisson as of December 28. The LEPFA Sales
Department will be participating in Bridal World (which will include a mock wedding set
in the ballrooms) and the Letts Bridal Show 2002.
Facility Highlights: During the past month we hosted a number of events including on
December 1 and 2 "Shipshewana on the Road" for the third year in Halls A and B;
December 4 the CVB's Annual Client Appreciation luncheon was in the ballrooms with
close to 200 attendees; December 5 and 6 was our second year hosting the Michigan
Technology - IT Show and it appears that they will return in 2002. December 11 and 12
McDonald's Corporation was in house with close to 200 owners and corporate executives
in attendance. The Islamic Center of Lansing was also in the building for a half-day prayer
service in Hall C. In December we estimate that we will host 18 holiday parties.
Upcoming events include the City's Inauguration on January l; Bridal World on January
5; January 7-9 Michigan Nursery and Landscaping; January 13 Letts Bridal; January 21
the Dr. Martin Luther King luncheon; Michigan Agri-Business and the Michigan
Veterinarian Conference.
5. Expansion Finance RFP: Peter reported the review committee met regarding a potential
Lansing Center RFP for financing alternatives. The selection was narrowed down to
two consultants, and the presentations will be taking place on January 10 at the Lansing
Center.
6. CVB Bylaws Committee: Peter reported that the committee will not meet in December,
but he has been informed that they will meet in January.
7. Common Ground: Recaps continue with the various sponsors and meetings continue
with various other groups regarding the opportunity to become involved in 2002. The
holiday promotion continues through the end of the month ($45 for common cards),
and Peter encouraged everyone to visit the web site at www.commongroundfest.com.
8. Board Party. Peter reminded those present that the annual holiday party is December
19 in the Governor's Room beginning at 5:30 p.m.
D. PERSONNEL COMMITTEE REPORT: At 8:34 a.m. Committee Chairman McGuire
moved that the regular meeting adjourn and that an Executive Session be called to order
and he asked that only Commissioners remain for the session. Second: Commissioner
Butler, roll call to move to Executive Session was as follows:
Yeas: Butler, Clark, Jeffries, McGuire, McNenly, Peters, and Sinadinos
Nays:
LEPFA Board of Commissioners Meeting
Page 6
December 18, 2001
Motion carried.
At 8:47 a.m. the Executive Session adjourned and the regular monthly meeting was
reconvened. Motion: Commissioner Butler Second: Commissioner McGuire
Yeas: Butler, Clark, Jeffries, McGuire, McNenly, Peters, and Sinadinos
Nays:
Motion carried.
Committee Chairman Cyril McGuire recommended that Peter Sullivan receive a 3% annual
increase retro active to July 1, 2001, based on his evaluation. The report was accepted.
E. LONG RANGE PLANNING COMMITTEE: Peter reported that there will be two groups
making presentations regarding the Financial RFP. The first group will meet at 9:30 a.m. and
the second group will meet at 11:30 a.m. on January 10 with each presentation scheduled for
45 minutes with a question and answer period for each group. Lunch will be provided.
Jack Jordan noted in regard to Mr. Sullivan's contract, that there should be more substance
to the motion on the floor, and that there wasn't a second to motion. Jordan noted that the
motion needs to spell out the terms of the contract. Chairman McNenly noted that historically
that has not been done at the regular monthly meeting.
Commissioner Butler moved that the board accept the Personnel Conunittee report as discussed
in the closed session. Commissioner Peters noted that she was informed by the City Finance
Ex-officio that financial parameters are needed within the motion. She noted that she is used
to functioning in certain rules of order and she would be willing to make the motion with the
parameters. Commissioner McGuire requested clarification of "financial parameters." Bob
Swanson noted that the percentage of the raise and the percentage of the bonus that is being
approved needs to be indicated.
Commissioner Butler indicated that the information was discussed in closed session, however,
if it is the case, he suggested that the LEPFA staff leave. Bob Swanson noted that the Board
is a public body and the information has to be adopted at a public meeting. Jack Jordan
clarified that in executive session you are allowed to discuss, but not act upon the discussed
item, and it has to be done in a public forum.
Commissioner Peters moved that the commission move to increase the pay of the CEO by 3%
and provide for a 20% bonus. Second: Commissioner McGuire the motion was unanimously
approved.
Commissioner McGuire asked if the motion met with the approval of Jack Jordan and the City
Finance Director, and both concurred.
VII. COMMISIONER AND STAFF COMMENTS:
1. Commissioner Sharon Peters: Extended her holiday greetings to everyone.
LEPFA Board of Commissioners Meeting
Page 7
December 18, 2001
2. Bob Swanson: Mr. Swanson noted that his department's holiday party, which was held at the
Lansing Center, was a great success. He commented that everyone did a great job, there was
great food, everyone had a great time and he would highly recommend the Lansing Center.
He also extended his holiday greetings.
VIII. OLD BUSINESS:
No report.
IX. NEW BUSINESS:
No report.
At 8:58 a.m. the meeting was adjourned.
THE NEXT MONTHLY MEETING IS SCHEDULED FOR TUESDAY, JANUARY 22, 2002 AT 8:00
A.M. AT THE LANSING CENTER IN THE GOVERNOR'S ROOM.
Respectfully submitted,
Heidi K. Brown, Recording Secretary