HomeMy WebLinkAbout2007 LEPFA Minutes LANSING ENTERTAINMENT AND PUBLIC FACILITIES AUTHORITY
BOARD OF COMMISSIONERS MEETING , 1i-1
January 23, 2007 C?
MINUTES w
At 8:01 a.m. Chairman Ellen Jeffries called the meeting to order in the Governor's Rdom of.)thecD
Lansing Center; 333 E. Michigan Avenue; Lansing, Michigan 48933. r
COMMISSIONERS PRESENT: James W. Butler III, Charles Janssen, Ellen Jeffries, Kris Nicholoff,
Sharon Peters, Derrick Quinney, and Charlotte Sinadinos.
COMMISSIONERS EXCUSED: Gerald Ambrose (Ex-Officio), John Decker, Tim Haggart, and
Robert Johnson(Ex-officio).
OTHERS PRESENT: Heidi Brown, Marian Bryant, Linda Frederickson, Eric Hart, Tracy Hodges,
Scott Keith-Lansing Entertainment & Public Facilities Authority; and Councilmember Tim Kaltenbach-
City of Lansing.
III. ESTABLISHMENT OF THE AGENDA: Commissioner Jeffries asked if there were any
suggested changes to the agenda. There were no changes to the agenda.
IV. PUBLIC COMMENT: None.
V. APPROVAL OF THE MINUTES OF DECEMBER 19, 2006: A motion to accept the
minutes as written was made. MOTION: Commissioner Janssen SECOND: Commissioner
Nicholoff. Motion approved.
VI. REPORTS:
A. CHAIRMAN'S REPORT: Chairman Jeffries said farewell and thank you to
Commissioner Peters.
B. SECRETARY/TREASURER'S REPORT:
1. Monthly Financial Statements for the Period Ending December 31, 2006:
Committee Chairman Charlotte Sinadinos reviewed the financial statements as follows:
a. Lansing City Market: Operating Revenues — Building Rental for the current period
is $3,401 exceeding the prior year's amount of$3,399. Year to date Building Rental is
$27,397 exceeding the prior year's amount of$23,847 by $3500.
At 8:04 a.m. Sharon Peters and Tim Kaltenbach entered the meeting.
Total Operating Revenues for year to date are $36,883 exceeding the prior year's
amount of$31,888.
Operating Expenses — Salaries/Wages for the current period and year to date are
similar. Utilities are down for the current period at $5,468 which is less than the prior
year's amount of $6,499. Utilities for year to date are $23,808 compared to the prior
year's amount of $24,235. Total Operating Expenses for year to date are $59,392
compared to the prior year's amount of $52,056. Revenues over Expenses for the
current period are at a loss of ($1,718) compared to the prior year's loss of ($3,000).
The year to date amount is $11,383 compared to the prior year's amount of$7,272.
LEPFA Board of Commissioners Meeting
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January 23, 2007
Balance Sheet: Total Cash for the current year is $105,850 compared to the prior year's
amount of $46,341. Unreserved Equity for the current year is $193,157 exceeding the
prior year's amount of$166,786.
Budget vs. Actual: Building Rental for year to date is less than budget by $307.
Parking for year to date is better than budget by $1,119. Total Operating Revenues for
year to date are less than budget by $44.34. Operating Expenses—Salaries/Wages are
better than budget by $2,602 for year to date. Utilities are better than budget by
$1,595 for year to date. Total Operating Expenses for year to date are better than
budget by $15,030. Excess Revenues over Expenses for year to date are better than
budget by $14,986.
b. Oldsmobile Park: There were no Event Revenues for the current period. There is a
$5 charge in Event Expenses for bank charges which was deducted from the Event
Development Fund. Operating Expenses - Utilities for the current period are down at
$5,874 compared to the prior year's amount of$9,154. For year to date Utilities are up
at $39,272 exceeding the prior year's amount of $36,545. Total Operating Expenses
for the current period are $16,822 compared to the prior year's amount of $17,101.
For year to date they are $131,679 compared to the prior year's amount of $98,861.
Excess Revenues over Expenses for the current period are $9,349 compared to the
prior year's amount of $1,777 and year to date are $30,989 compared to the prior
year's amount of$18,218.
Balance Sheet: Net Event Development Fund for the current year is $75,490 compared
to the prior year's amount of $56,862. Unreserved Equity for the current year is
$50,502 compared to the prior year's amount of$23,540.
Budget vs. Actual: Operating Expenses — Utilities for year to date are better than
budget by $21,029. Total Operating Expenses for the current period are up at $42,172.
After taking into account City Contributions we are better than budget for year to date
by $44,917.
e. Lansing Center: Total Operating Revenue for the current period is $281,936
compared to the prior year's amount of $223,641. Building Rental for the current
period is $39,293 compared to the prior year's amount of$32,863. Building Rental for
year to date is $339,028 exceeding the prior year's amount of $281,715. Food and
Beverage for the current period is $177,319 compared to the prior year's amount of
$144,272. Food and Beverage for year to date is $1,077,000 exceeding the prior year's
amount of$984,497. Equipment Rental for year to date is $219,881 exceeding the prior
year's amount of $170,406, which is up by $50,000. Total Operating Revenues for
vear to date are $1,754,000 compared to the prior year's amount of 1,549,000 which is
better than the prior year's amount by $205,000.
Operating Expenses-Salaries/Wages for year to date are $774,728 compared to the
prior year's amount of$733,488. Utilities for the current period are $43,163 compared
to the prior year's amount of$40,655 and for year to date is $297,364 compared to the
prior year's amount of$266,274, which is up by $31,000. Food and Beverage Expense
for year to date is $671,444 compared to the prior year's amount of $670,453. Total
Operating Expenses for the current period are $362,305 exceeding the prior year's
amount of$343,151 and for year to date is $2,319,000 compared to the prior
LEPFA Board of Commissioners Meeting
Page 3
January 23, 2007
year's amount of $2,188,000 which is up by $130,000. Excess Revenues over
Expenses for the current period are ($80,369) compared to the prior year's amount of
($119,509) and for year to date loss of($564,516) compared to the previous year's loss
of ($639,118). After taking into account City Contributions we have income for the
current period of $233.34 compared to the prior year's loss of ($72,280) and for year
to date it is ($111,394) compared to the prior year's loss of($325,271).
Commissioner Butler asked what accounted for the increase in Total Operating
Revenues for the current period compared to the prior year's amount. Eric Hart stated
it is due to more events in the building. Marian Bryant added there were many more
Christmas parties. Eric Hart indicated that occupancy is up.
Commissioner Butler asked what contributed to salaries being up $50,000 for year to
date. Marian Bryant stated it was due to the 2.5% salary increase. Eric Hart also
stated that all positions are full. Commissioner Butler stated he would like to see a
demographic breakdown of employees.
Balance Sheet: Total Cash and Cash Equivalents for the current year are $553,000
compared to the prior year's amount of$355,000. Unearned Revenue - Advanced Rent
for the current year is $399,053 compared to the prior year's amount of $386,029.
Unreserved Equity for the current period is ($11,959) compared to ($251,858) for the
prior year.
Budget vs. Actual: Building Rental for year to date is less than budget by ($11,757).
Food and Beverage Revenues are better than budget for the year to date by $22,320.
Equipment Rental is better then budget for year to date by $32,988. Total Operating
Revenues for the current period are better than budget by $63,971 and for year to date
are less than budget by ($28,168).
Operating Expenses-Salaries/Wages for year to date are better than budget by $52,751.
Utilities for year to date are better than budget by $34,387. Food and Beverage
Expenses for year to date are better than budget by $53,601. Total Operating Expenses
for the current period are better than budget by $48,945 and for year to date are better
than budget by $209,549. Expenses Over Revenues for the current period are better
then budget by $112,916 and for year to date is $181,381. After taking into account
the City Contribution and Interest we are better than budget for year to date by
$181,479.
Finance Committee Chairman Charlotte Sinadinos moved that the monthly financials
for Oldsmobile Park, the Lansing City Market and the Lansing Center for the period
ending December 31, 2006 be received as published and further that the monthly
expenses for each entity be approved. SECOND: Commissioner Quinney. Motion
carried.
Commissioner Sinadinos stated a draft of the proposed budget was distributed and is
subject to change. Commissioner Sinadinos stated the Finance committee was asked by
the City Finance Department to prepare the budget differently this year. The
committee was asked to show the impact of funding for each entity at the requested
budget level as well as showing the impact at various funding levels
LEPFA Board of Commissioners Meeting
Page 4
January 23, 2007
(95%, 90%, and 85%). Commissioner Sinadinos stated on January 12, 2007 the
Finance Committee reviewed and approved the current budget draft to be sent to the
City.
Commissioner Sinadinos gave a brief overview of the draft as follows: Lansing City
Market funding requested is at 90% of the existing contribution level. Then listed is a
loss of services level for 90% and 85% funding levels. Oldsmobile Park funding
request is at 95% of 2007 levels with the loss of services shown at 95%, 90%, and
85% funding levels. Lansing Center funding requested is at 97% of 2007 levels with
the loss of services level shown at 95%, 90%, and 85% funding levels.
Commissioner Butler asked if we have received any signals as to what type of impact
we will be having. Eric Hart stated the position was taken this was an exercise that
LEPFA was asked to do, however the City has made it clear that Economic
Development is a priority. LEFPA is an economic development generator. Eric stated
the City wants to see the impact of funding cuts on LEPFA. He noted at this point he
does not ok large reductions in funding.
Commissioner Peters stated it appears LEPFA is asking for less within the budget than
the previous year as it should be based on a successful year. Commissioner Peters
asked what the process with the City will be. Eric Hart stated the Authority will have
an opportunity to meet with the Mayor and the budget has to be to City Council by
early March.
Commissioner Butler asked if the City ask for the budget to come in with a cut or to
give only an analysis of a cut. Eric Hart stated the City asked for an analysis of the
impact of a cut.
AT 8:40 a.m. Tim Kaltenbach left the meeting
C. PRESIDENT& CEO'S REPORT: Eric Hart reported the following:
1. Employee Manuals: Eric reported the Employee Manual is complete and being printed,
once printed it will be distributed. A draft of the Emergency Manual will be presented
by January. Eric stated the next manual to be drafted is the Operations Manual.
2. Occupancy: Eric stated that in December there is an increase this year compared to last
year. Eric stated that part of the increase was due to the Christmas party done with
Kris Holman who contacted Eric last week to inform him that per the contract the
Authority will hP rPceivinn n revenue share_
3. Festival of Trees: Eric stated a meeting has been held in the regards to partnering in
bringing back the Festival of Trees.
4. Fitness Festival: Eric stated an agreement has been reached for a Title Sponsor and
there is also another lead for a major sponsor. Eric stated that 20-30 booths have
already been sold and that New Balance has partnered with LEPFA along with Play
Makers and they have already booked a motivational speaker free of charge.
LEPFA Board of Commissioners Meeting
Page 5
January 23, 2007
5. Entertainment Express: Eric stated there is an increase in riders. Linda Frederickson
will begin research on marketing next week with riders.
Eric stated the Authority's financial risk has lowered to approximately $10,000 in
additional expenses.
6. HVAC: Eric stated the replacement project has begun, and noted a minor issue
occurred with the location of the Hall B piping that then had to removed and relocated,
which will be done in two days.
7. Med Search Contract: Eric stated LEPFA was asked by the County and the City to
participate in becoming an Emergency Evacuation Center, and a contract was drafted
making the Lansing Center the main evacuation site. Eric stated that LEPFA's
attorneys then became involved to revise the contract to remove much of the risk
LEPFA faced with the suggested plan. Eric stated that a revised draft has been
submitted to the County and City and Eric is awaiting a reply.
8. Oldsmobile Park: Eric reported the improvement project is near completion.
Commissioner Nicholoff asked what improvements are being done. Eric stated a list of
all items being worked on will be distributed to the Board members. Eric stated all
founding suite holders have re-signed for this season.
9. Lansing Center: Eric reported the air wall renovations are nearly complete, and the
drapes in the Governor's Room should be replaced by the next board meeting. Eric
stated the electrical work for the HVAC upgrade should begin soon along with Capital
Consultants work on the roof, glass and flashing.
10. CVB-LEPFA Relationship: Eric stated that a plan has been developed with the CVB
and that with the passage of the new Hotel/Motel tax there would be a possibility of
some type of revenue sharing between organizations. Eric stated there are no
guarantees this is just a conceptual idea that is being presented to both Boards. Eric
reported that with the way the tax bill is written the CVB can not directly support the
Lansing Center but can support along the lines of Sales and Marketing. With that the
Lansing Center booking procedures would be placed in writing to formalize the
process. Eric stated there was a request to add a Board member to LEPFA's Board of
Commissioners which was not accepted. Eric suggests to the CVB that in the future if
a vacancy on the LEPFA Board becomes available the City find someone in the
Hospitality industry to fill the position. Eric stated the CVB requested that the Mayor
be on their foundation board, stating that will not cause any issues for LEPFA. Eric
asked the Board to convey to him after the meeting any recommendation they may have
in regards to the proposed items between the organizations.
11. Vice Presidents' Reports:
a. Finance Department — Marian Brya: Marian reported Employee of the
Month announcement will be at 1lam today in room 203, stating that Linda
Frederickson will be the new Chairman of the Committee for the next year.
LEPFA Board of Commissioners Meeting
Page 6
January 23, 2007
b. Marketing Department - Linda Frederickson: Linda reported for the month of
December there were 48 events, totaling 57 event dates, with 16,000 people in
the building, with 180 room nights at the Radisson for an economic impact of
$300,000.
New Business: Linda reported proposals were sent to the following: AIS 2007
worth $12,000; Dart Container in December 2008 worth $12,000 in rent,
Peckham in December 2008, and Seventh Day Adventist for September 2008.
c. Operations Department - Scott Keith: Scott reported the seats at the Stadium
will be installed this week. Scott stated the marquee is up and running and
procedures for rental of the sign are underway. Scott reported that negotiations
with the UAW are beginning again.
d. Food and Beverage Department - Bill Grove: Bill reported December was a
strong month for F&B, and they are entering into a strong couple months.
Food and Beverage Sales department had one employee leave for personal
issues also the Bartender Manager will be leaving soon to relocate.
D. PERSONNEL COMMITTEE: Eric Hart reported and an Event Coordinator has turned in
her resignation to pursue a job closer to her home.
VII. COMMISSIONER AND STAFF COMMENTS:
A. Chairman Jeffries: Chairman Jeffries commended Sharon Peters for her hard work as a
Board member as Eric Hart presented Sharon with a plaque.
B. Commissioner Sinadinos: Commissioner Sinadinos said farewell to Sharon Peters.
C. Commissioner Nicholoff: Commissioner Nicholoff said farewell to Sharon Peters.
D. Commissioner Quinney: Commissioner Quinney wished Sharon Peters best wishes.
E. Commissioner Butler: Commissioner Butler stated the Martin Luther King Jr. luncheon
was outstanding along with the Inauguration.
F. Commissioner Peters: Commissioner Peters thanked everyone for their hard work and
fellowship. Commissioner Peters stated how glad she was to take part in the hiring of Eric
Hart who has done wonderful things for LEPFA and she is proud of the things he has done
for the area.
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Luncheon was outstanding and said farewell to Sharon Peters.
H. Commissioner Quinney Commissioner Quinney stated the holiday party was wonderful.
LEPFA Board of Commissioners Meeting
Page 7
January 23, 2007
VIII. OLD BUSINESS:
No report.
IX. NEW BUSINESS:
No report.
At 9:35 a.m. the meeting was adjourned. THE NEXT MONTHLY MEETING IS SCHEDULED FOR
TUESDAY, February 27, 2007 AT 8:00 A.M. AT THE LANSING CENTER IN ROOM 205.
Respectfully submitted,
Tracy Hodges, Recording Secretary
bANSING ENTERTAINMENT AND PUBLIC FACILITIES AUTHORITY
-rN "�1'' ' t BOARD OF COMMISSIONERS MEETING
.�. , February 27, 2007
MINUTES
Xt�84:02 a.m. Chairman Ellen Jeffries called the meeting to order in Meeting Room 204 of the Lansing
Center; 333 E. Michigan Avenue; Lansing, Michigan 48933.
COMMISSIONERS PRESENT: James W. Butler III, John Decker, Tim Haggart, Charles Janssen,
Ellen Jeffries, Robert Johnson (Ex-officio), Kris Nicholoff, and Charlotte Sinadinos.
COMMISSIONERS EXCUSED: Gerald Ambrose (Ex-Officio).
OTHERS PRESENT: Heidi Brown, Marian Bryant, Linda Frederickson, Eric Hart, Tracy Hodges,
Scott Keith, Dirk Spillemaechers-Lansing Entertainment & Public Facilities Authority; and
Councilmember Tim Kaltenbach-City of Lansing.
III. ESTABLISHMENT OF THE AGENDA: Commissioner Jeffries asked if there were any
suggested changes to the agenda. There were no changes to the agenda.
IV. PUBLIC COMMENT: None.
V. APPROVAL OF THE MINUTES OF JANUARY 23, 2007: A motion to accept the minutes
as written was made. MOTION: Commissioner Butler SECOND: Commissioner Haggart.
Motion approved.
VI. REPORTS:
A. CHAIRMAN'S REPORT: Chairman Jeffries reported that Derrick Quinney is no longer
on the LEPFA Board of Commissioners due to obtaining a seat on the Lansing City
Council.
Chairman Jeffries commented Eric Hart, Marian Bryant and the staff of the Lansing Center
for doing so well with expenditures. Stating the evidence is in the Financials.
Chairman Jeffries distributed informational articles regarding taxes in Grand Rapids and
Detroit.
B. SECRETARY/TREASURER'S REPORT:
1. Monthly Financial Statements for the Period Ending January 31, 2007: Committee
Chairman Charlotte Sinadinos reviewed the financial statements as follows:
a. Lansing City Market: Operating Revenues — Building Rental for the current period
is $2,646 exceeding the prior year's amount of$2,272. Year to date Building Rental is
$30,043 exceeding the prior year's amount of $26,119. This is up by $4000. Parking
for year to date is $14,760 compared to the prior year's amount of$17,785.
Total Operating Revenues for the current period are $9,606 down from the prior year's
amount of $12,316 due to parking. Total Operating Revenues for year to date are
$46,945 compared to the prior year's amount of$44,204 up about $3,000.
LEPFA Board of Commissioners Meeting
Page 2
February 27, 2007
Operating Expenses - Utilities for the current period are $4,935 compared to the prior
year's amount of $3,095. Utilities for year to date are $28,744 compared to the prior
year's amount of $27,331. Marketing for year to date is $6,888 compared to the prior
year's amount of $650. Total Operating Expenses for the current period are $15,014
compared to the prior year's amount of$12,613. Total Operating Expenses for year to
date are $74,407 compared to the prior year's amount of $64,669. Excess Revenues
over Expenses for year to date are $9,615 compared to the prior year's amount of
$9,553.
Balance Sheet: Total Cash for the current year is $98,867 compared to the prior year's
amount of$72,490. This is up about $26,000. Unreserved Equity for the current year
is $190,933 exceeding the prior year's amount of$169,067.
Budget vs. Actual: Building Rental for the current period is better than budget at $394
and for year to date is better than budget at $86.66. Parking for the current period is
better than budget at $524 and for year to date is better than budget by $1,643. Total
Operating Revenues for the current period are $786 and for year to date are $1,197.
Operating Expenses - Utilities for the current period are higher than budget by ($701)
and for year to date are better then budget by $893. Total Operating Expenses for the
current period are $3,153 higher than budget and for year to date are better than budget
by $11,886. Excess Revenues over Expenses for year to date are better than budget by
$13,074.
b. Oldsmobile Park: There were no Event Revenues for the current period. There is a
$5 charge in Event Expenses for bank charges which was deducted from the Event
Development Fund. Operating Expenses - Salary/Wages are up for the current period
and for year to date due to the difference in allocation. Note: a higher percentage of
Utilities are being paid which includes water. Utilities for the current period are
$6,874 compared to the prior year's amount of $7,699. For year to date Utilities are
$46,147 exceeding the prior year's amount of $44,245. Maintenance of Equipment for
year to date is $9,691 compared to the prior year's amount of$7,650. Maintenance of
T a t
Facilities for year to date are �9,orJ compared to the prior year's amount of en. w�,"MSw✓.
This includes work done on the elevators, the fountain and the HVAC system. Total
Operating Expenses for year to date are $158,521 compared to the prior year's amount
of $126,689. Excess Revenues over Expenses for the current period has a loss of
($669) compared to the prior year's loss of ($8,952) and year to date an income of
$29,428 compared to the prior year's amount of$9,265.
Balance Sheet: Cash for the current year is $208,339 compared to the prior year's
amount of $150,447. Net Event Development Fund for the current year is $75,485
compared to the prior year's amount of $56,856. Unreserved Equity for the current
year is $49,828 compared to the prior year's amount of$14,580.
Budget vs. Actual: Operating Expenses - Utilities for year to date are better than
budget by $3,662 and for year to date are $24,691. Maintenance of Equipment for
year to date is better than budget by $5,183.
At 8:12 a.m. Kris Nicholoff entered the meeting.
LEPFA Board of Commissioners Meeting
Page 3
February 27, 2007
Total Operating Expenses for the current period are higher then budget by $563.37 and
for year to date are $41,608. After taking into account City Contributions we are better
than budget for the current period at $563 and for year to date by $44,353.
Tim Kaltenbach asked how the city contributions are calculated on a monthly basis.
Eric Hart stated it is divided by 12 months.
c. Lansing Center: Building Rental for the current period is $97,121 less than the prior
year's amount of $103,172 and for year to date is $431,150 compared to the prior
year's amount of $384,887. This is up $46,000. Food and Beverage for the current
period is $189,643 less than the prior year's amount of $268,772. Food and Beverage
for year to date is $1,266,000 exceeding the prior year's amount of$1,253,000. This is
up about $13,700. Equipment Rental for year to date is up at $281,524 exceeding the
prior year's amount of$247,205. Labor Service for year to date is $114,349 compared
to the prior year's amount of$79,037. Total Operating Revenues for the current period
are $460,118 less than the prior year's amount of $540,142 and for year to date are
$2,241,000 compared to the prior year's amount of$2,089,000.
At 8:15 a.m. Robert Johnson entered the meeting.
Operating Expenses-Salaries/Wages for year to date are $945,971 compared to the
prior year's amount of $871,916. Utilities for the current period are less than the prior
year's current period and for year to date are $350,959 compared to the prior year's
amount of $326,484. Food and Beverage Expense for the current period are down at
$121,249 compared to the prior year's amount of $141,173 and for year to date is
down at $792,693 compared to the prior year's amount of$811,626. Operating Income
(Loss) for the current period is ($11,811) compared to the prior year's amount of
$87,642 and for year to date a loss of ($576,327) compared the prior year's loss of
($551,476). After taking into account City Contributions we have income for the
current period of$39,572 compared to the prior year's amount of 119,936 and for year
to date it is ($71,822) compared to the prior year's loss of($205,335).
Balance Sheet: Total Cash and Cash Equivalents for the current year are $365,000
compared to the prior year's amount of$257,000. Unearned Revenue — Advanced Rent
for the current year is $440,176 compared to the prior year's amount of $404,827.
Unreserved Equity for the current year is $27,612 compared to ($131,921) for the prior
year.
Budget vs. Actual: Building Rental for the current period is ($3,578) and for year to
date is less than budget by ($15,335). Food and Beverage Revenues for the current
period are less than budget by $50,356 and for the year to date are less than budget by
($28,035). Total Operating Revenues for the current period are better than budget by
$12,817 and for year to date are less than budget by ($15,350).
Operating Expenses-Salaries/Wages along with Fringes/Related Costs are better than
budget for year to date. Utilities for year to date are better than budget by $36,084.
Food and Beverage Expenses for year to date are better than budget by $68,585.
Expenses Over Revenues for the current period are better than budget by $31,149 and
for year to date are $218,628.
LEPFA Board of Commissioners Meeting
Page 4
February 27, 2007
Eric Hart noted that on page three of Budget vs. Actual for the Lansing Center the
current period amount is better than budget, but there is still a loss of ($71,822) for
year to date.
Finance Committee Chairman Charlotte Sinadinos moved that the monthly financials
for Oldsmobile Park, the Lansing City Market and the Lansing Center for the period
ending January 31, 2007 be received as published and further that the monthly expenses
for each entity be approved. SECOND: Commissioner Haggart. Motion carried.
C. PRESIDENT& CEO'S REPORT: Eric Hart reported the following:
1. Building Improvements: Eric reported the new air walls in the meeting rooms are in,
new lights and lighting fixtures are being installed throughout the building, the score
board is done, and work has already begun on the air walls in the Exhibit Halls.
2. Employee Manual: Eric stated that a meeting was held with the employees to discuss
the new manual. Noting there are several errors in the manual that will be amended,
and once complete will come to the Board for approval. Eric stated the meeting went
well.
3. New Employees: Eric stated there are six new employees; Patti Beardsley, Event
Coordinator, Emily Brozovic, Creative Services Coordinator, Krissy Curtis was
promoted to Assistant Banquet Manager, Ron McCarter and Keith Worman where
hired in the Maintenance department. Also Ryan Tess as Facility Foreperson.
4. Entertainment Express: Eric stated number of riders are up to an average of 200 per
weekend. Each city will be placing new signage indicating trolley stops within the next
30 days. Eric stated there will also be a lighted sign placed on the front of the trolley
with lights on the top to make it more visible at night. Eric stated that currently
sponsorship is at $85,000 leaving LEFPA's exposure at $10,000, fundraising efforts are
still continuing.
Tim Kaltenbach asked what is the goal for ridership. Eric Hart stated 200-250 people
minimum, noting that currently not all events have impacted ridership such as; Thirsty
Thursday, and Lugnut gamed and he is expecting the numbers to increase in April. Eric
stated that through the holiday's ridership was high indicating it is not just the students
using the Trolley.
Commissioner Butler asked if there is a public schedule available. Linda Frederickson
stated it is part of CATA's regular schedule, stating a schedule including venues will be
created and in restaurants in about three weeks. Commissioner Butler stated he was
downtown on a Friday and Saturday evening and the downtown area was very busy.
5. Fitness Festival: Eric stated that 30% of the booths have been sold. Ingham Regional
Medical Center and Channel 6 have purchased title sponsorships, and Ingham Regional
is committed to a five year agreement. Eric stated the race course is plotted out.
LEPFA Board of Commissioners Meeting
Page 5
February 27, 2007
6. Occupancy Eric noted that between 2006 and 2007 there is a noticeable difference in
the ratings.
7. Common Ground: Eric stated if any of the Board members would like, after the
meeting he would give them information about the first entertainer announcement. Eric
stated that this year Common Ground will be 8 days not 7 days in order to
accommodate an entertainer that could not be passed up. Eric stated parking is free in
designated city lots with a valid ticket or Uncommon Card.
Commissioner Butler asked how the issue with the radio station going. Eric indicated it
is a partner issue, but all is going well at this point. Eric feels that during the festival
there is a potential for the same issues to arise.
8. Proposed Events: Eric made the Board aware of possible events being worked on;
potentially producing an August concert at Oldsmobile Park. Eric stated he has
involved Meridian Entertainment to do research. The other event is a children's festival
in partnership with Impression 5, similar to the fitness festival. Eric stated that once
details are worked out it will be brought to the Board for approval.
9. House Bill: Eric reported House Bill 6606 is now House Bill 4261. Eric stated there
are nine sponsors currently and is sitting in committee ready to move into the House.
Eric stated that the LEPFA lobbyist has been in the forefront to make this bill happen.
10. Road Work: Eric stated that on May 28"' in front of the Lansing Center will be torn up
from Cedar Street to the bridge. LEFPA will be getting new sidewalks made from
concrete with brick accents. The newly installed brick will be stamped, possibly with
the Lansing Center logo.
11. Vice Presidents' Reports:
a. Finance Department - Marian Bryant: No report.
b. Marketing Department - Linda Frederickson: Linda reported that February is
the Lansing Center's Public Show season and April 3`d the Ball Park opens.
Linda reported for the month of January there were 48 events, totaling 64 event
dates, with 25,000 people in the building, with 1200 room nights at the
Radisson for an economic impact of $600,000. Linda reported compared to
2006, occupancy is less but usage is higher by 5%.
New Business: Linda reported proposals were sent to the following: Michigan
Association of Letter Carriers for 2009, Grand Chapter Order of Eastern Starr
for October 2010-2012, Michigan Association of Drug Court Professionals for
2009-2011, and Michigan Council for Social Studies for September 2007.
Linda reported the Employee of the Month meeting will be held February 28,
2007 at 2:45 in the Pub.
LEPFA Board of Commissioners Meeting
Page 6
February 27, 2007
Linda reported in regards to Oldsmobile Park new marketing has begun
between the City/LEFPA and the Lugnuts to have commercials in all radio
broadcasts at both home and away games, at game contests, and the Mayor will
be doing a prerecorded welcome to create a stronger partnership with the
Lugnuts.
c. Operations Department - Scott Keith: Scott distributed a spreadsheet showing
the improvements at the Lansing Center and Oldsmobile Park. Scott reported
Honeywell has begun working on the HVAC system in the building.
Oldsmobile Park - Scott reported that MSU vs. Western Michigan baseball
games will not be played at Oldsmobile Park; however Scott reported that April
3' MSU vs. Lugnuts is scheduled. Eric Hart invited Board members to come
out early and tour the renovations to the Park, asking the Board to put that date
on their calendars.
d. Food and Beverage Department - Bill Grove: No report.
VII. COMMISSIONER AND STAFF COMMENTS:
A. Commissioner Nicholoff: Commissioner Nicholoff thanked Marian Bryant and
Commissioner Sinadinos for all the hard work put in to doing financials.
B. Robert Johnson (Ex-Officio): Robert stated the city is engaged in a Parking Study in
conjunction with Carl Walker & Associates in regards to locating a new parking structure.
Eric Hart suggested utilizing the river front next to the Museum as it can not be developed.
Robert indicated that location is being considered. Eric informed the Board that there have
been some parking issues at the Lansing Center, stating LEPFA needs to be ambassadors
for city parking.
C. Commissioner Janssen: Commissioner Janssen stated the Lansing Center staff did a great
job with the Lansing Regional Chamber of Commerce event.
VIII. OLD BUSINESS:
No report.
IX. NEW BUSINESS:
No report.
At 9:13 a.m. the meeting was adjourned. THE NEXT MONTHLY MEETING IS SCHEDULED FOR
TUESDAY, March 27, 2007 AT 8:00 A.M. AT THE LANSING CENTER IN ROOM 205.
Respectfully submitted,
Tracy Hodges, Recording Secretary
LANSING ENTERTAINMENT AND PUBLIC FACILITIES AUTHORITY
BOARD OF COMMISSIONERS MEETING EC ty EC
March 27, 2007
MINUTES Z C �t ,� 2 I ;;,1 0: �ti
At 8:00 a.m. Chairman Ellen Jeffries called the meeting to order in Meeting Room 204 oT'M t ih� ink ,� CLERK
Center; 333 E. Michigan Avenue; Lansing, Michigan 48933.
COMMISSIONERS PRESENT: James W. Butler III, John Decker, Charles Janssen, Ellen Jeffries,
and Charlotte Sinadinos.
COMMISSIONERS EXCUSED: Gerald Ambrose (Ex-Officio), Tim Haggart, Robert Johnson (Ex-
officio), and Kris Nicholoff
OTHERS PRESENT: Heidi Brown, Marian Bryant, Linda Frederickson, Eric Hart, Tracy Hodges,
Scott Keith, Dirk Spillemaechers-Lansing Entertainment& Public Facilities Authority.
III. ESTABLISHMENT OF THE AGENDA: Commissioner Jeffries asked if there were any
suggested changes to the agenda. There were no changes to the agenda.
IV. PUBLIC COMMENT: None.
V. APPROVAL OF THE MINUTES OF JANUARY 23, 2007: A motion to accept the minutes
as written was made. MOTION: Commissioner Janssen SECOND: Commissioner Butler.
Motion approved.
VI. REPORTS:
CHAIRMAN'S REPORT: Chairman Jeffries commented the Finance committee
members; Marian Bryant, Charlotte Sinadinos, and Eric Hart for doing so well.
B. SECRETARY/TREASURER'S REPORT:
1. Monthly Financial Statements for the Period Ending February 28, 2007:
Committee Chairman Charlotte Sinadinos reviewed the financial statements as follows:
a. Lansing City Market: Operating Revenues — Building Rental for the current period
is $2,625 less than the prior year's amount of $3,152. Year to date Building Rental is
$32,668 exceeding the prior year's amount of$29,271. This is up by $3400.
Total Operating Revenues for the current period are $3,327 exceeding the prior year's
amount of$3,177. Total Operating Revenues for year to date are $50,272 compared to
the prior year's amount of$47,381, up about $3,000.
Operating Expenses — Salaries/Wages for year to date are $23,300 compared to the
prior year's amount of$22,618, up by $600. Utilities for the current period are $6,248
compared to the prior year's amount of $3,762. Utilities for year to date are $34,992
compared to the prior year's amount of $31,094, up by $4000. Total Operating
Expenses for the current period are $11,660 compared to the prior year's amount of
$9,991. Total Operating Expenses for year to date are $86,067 compared to the prior
year's amount of $74,660. Excess Revenues over Expenses for the current period are
at a loss of($5,148) compared to the prior year's loss of($4,236). For year to date net
income is $4,467 compared to the prior year's amount of$5,316.
LEPFA Board of Commissioners Meeting
Page 2
March 27, 2007
Balance Sheet: Total Cash for the current year is $108,053 compared to the prior year's
amount of $66,147. Accounts Receivable is down for the current year at $90,473
compared to the prior year's amount of $146,757. Unreserved Equity for the current
year is $185,785 exceeding the prior year's amount of$164,830.
Budget vs. Actual: Building Rental for the current period is better than budget by $313
and for year to date is better than budget by $399. Total Operating Revenues for the
current period are better than budget by $633 and for year to date are better than budget
by $1,831. Operating Expenses - Utilities for the current period are higher than
budget by ($2,014) and for year to date are higher than budget by ($1,120). Total
Operating Expenses for the current period are $1,149 higher than budget and for year
to date are better than budget by $10,727. Excess Revenues over Expenses for year to
date are better than budget by $12,558.
b. Oldsmobile Park: There were no Event Revenues for the current period. There is a
$5 charge in Event Expenses for bank charges which was deducted from the Event
Development Fund. Operating Expenses - Salary/Wages for year to date are $33,066
compared to the prior year's amount of $20,583. Utilities for the current period are
$9,947 compared to the prior year's amount of $6,542. For year to date Utilities are
$56,094 exceeding the prior year's amount of $50,757. Total Operating Expenses for
the current period are $21,102 compared to the prior year's amount of $16,727 and for
year to date are $179,624 compared to the prior year's amount of $143,416. Excess
Revenues over Expenses for the current period are $5,569 compared to the prior year's
amount of $2,147 and year to date an income of $34,997 compared to the prior year's
amount of$11,413.
Balance Sheet: Cash for the current year is $202,949 compared to the prior year's
amount of $156,272; this is up by $46,000. Net Event Development Fund for the
current year is $75,480 compared to the prior year's amount of $56,851. Unreserved
Equity for the current year is $55,392 compared to the prior year's amount of$16,723.
Budget vs. Actual: Operating Expenses - Utilities for year to date are better than
budget by $25,281. Maintenance of Equipment for year to date is better than budget by
$5,786. Total Operating Expenses for the current period are better than budget by
$3,003 and for year to date are better than budget by $44,611. After taking into account
City Contributions we are better than budget for the current period at $3,503 and for
year to date by $47,857.
c. Lansing Center: Building Rental for the current period is $130,255 exceeding the
prior year's amount of$129,247. Building rental for year to date is $561,405 compared
to the prior year's amount of $514,135. Food and Beverage for the current period is
$373,433 higher than the prior year's amount of$326,544. Food and Beverage for year
to date is $1,640,000 exceeding the prior year's amount of$1,579,000. Total Operating
Revenue for the current period is $618,920 exceeding the prior year's amount of
$543,778 and for year to date is $2,833,000 compared to the prior year's amount of
$2,633,000.
LEPFA Board of Commissioners Meeting
Page 3
March 27, 2007
Operating Expenses- Utilities for year to date are $401,231 compared to the prior
year's amount of $378,343. Food and Beverage Expense for the current period is
$169,806 compared to the prior year's amount of $164,193 and for year to date is
$962,499, which is less than the prior year's amount of $975,820. Total Operating
Expenses for the current period are $498,612 compared to the prior year's amount of
$475,834 and for year to date are $3,289,000 compared to the prior year's amount of
$3,117,000. After taking into account City Contributions we have income for the
current period of $186,892 compared to the prior year's amount of $100,044 and for
year to date is $115,070 compared to the prior year's loss of($105,290).
Balance Sheet: Total Cash and Cash Equivalents for the current year are $421,000
compared to the prior year's amount of $400,000. Unearned Revenue — Advanced
Rent for the current year is $396,325 compared to the prior year's amount of$372,507.
Unreserved Equity for the current year is $214,505 compared to the prior year's loss of
($31,877).
Budget vs. Actual: Building Rental for the current period is less than budget by
($15,717) and for year to date is less than budget by ($31,053). Food and Beverage
Revenues for the current period are better than budget by $63,433 and for the year to
date are better than budget by $35,397. Total Operating Revenues for the current
period are better than budget by $55,899 and for year to date are better than budget by
$40,549.
Operating Expenses- Utilities for year to date are better than budget by $41,104. Total
Operating Revenue for the current period is higher than budget by $5,677 and for year
to date is better than budget by $221,237. Expenses over Revenues for the current
period are better than budget by $50,221 and for year to date is higher than budget by
$261,786. After taking into account City Contributions we are better than budget for
the current period by $66,389 and for year to date by $285,018.
Finance Committee Chairman Charlotte Sinadinos moved that the monthly financials
for Oldsmobile Park, the Lansing City Market and the Lansing Center for the period
ending February 28, 2007 be received as published and further that the monthly
expenses for each entity be approved. Motion carried.
Committee Chairman Charlotte Sinadinos reported a copy of the revised budget
presented to the city by the Mayor was distributed. Board approval will not be needed
until it comes back from the City Council.
Commissioner Butler asked what changes were made by the Mayor's office.
Committee chairman Sinadinos stated the Trolley expenses of$35,000 and $24,000 in
Professional Expenses for the lobbying expense were added.
LEPFA Board of Commissioners Meeting
Page 4
March 27, 2007
C. PRESIDENT& CEO'S REPORT: Eric Hart reported the following:
1. House Bill 4261: Eric restated that House Bill 6606 is now House Bill 4261. Eric
stated we are now partnered with Grand Rapids. Eric stated this Bill has now been
pulled with the possibility of being resubmitted after the break, and he has been
informed the bill is not a dead issue and will be resubmitted.
2. LEPFA - CVB: Eric stated that on April 12, 2007 there will be a combined meeting.
3. Entertainment Express: Eric stated the PSD paid $600 to operate the Trolley for ten
extra hours on St. Patrick's Day, ridership that day was over 300. Eric stated the
recent survey information will be compiled. Eric reported the City will be painting the
sidewalks at Trolley stops with stencils.
4. City Market: Eric stated the "Friends of the Market" have begun meeting and have
stated they will support all the hours of operation changes except Tuesday. Eric stated
the new hours of operations will not change until the open house scheduled to take
place in May or June. Also there are new vendors including an organic store. Eric
stated he met with Susan Smally from MSU who offered help in regards to recruiting
and marketing at the City Market. Eric stated there is continued pressure regarding
development, with the EDC being contacted by several developers, noting at this point
it is in the talking stages.
5. Common Ground: Eric reported the first announcement will be Wednesday March 29,
2007 with a total of eight acts. Eric stated there will be an eighth day this year and the
hours may change for Saturday and Sunday's (to open at 5:30 p.m.).
6. Oldsmobile Park: Eric reported that 98% of the renovation project is complete. Eric
indicated there are roof issues at the park that will be costly to repair.
Scott Keith stated there are two leaks, one off the east offices with incidental damage to
the carpet and paint, and one at the west suite emergency exit doorway. Eric stated the
major leak could cost approximately $26,000 to repair, there is a possibility the leak in
question may be a warranty item and if so the repairs will cost $7,000 - $9,000. Eric
stated the warranty is being looked into.
7. Lansing Center upgrades: Eric stated the improvements are moving forward.
8. Vice Presidents' Reports:
a. Finance Department — Marian Bryant: Marian reported the Charity of the
Month program will begin soon, possibly May. Stating this will allow
employees to donate a minimum of $5 to a committee selected charity in order
to be allowed to dress down one day a month. Marian stated the dress down
days will be chosen around events in the building and the participants will wear
a badge stating what charity they donated to in order to dress down.
Marian reported the ATM is doing well. For January it earned $1,721 and for
February it earned $1,986.
LEPFA Board of Commissioners Meeting
Page 5
March 27, 2007
Marian reported the Finance office will be purchasing new HR software with
the second round of computer purchases. Stating this software is compatible
with the current software and is a much needed upgrade.
b. Marketing Department — Linda Frederickson: Linda reported new marketing
has begun between the City/LEFPA and the Lugnuts to have commercials in all
radio broadcasts at both home and away games, at game contests, and the
Mayor will be doing a pre-recorded welcome to create a stronger partnership
with the Lugnuts.
Linda reported that the Occupancy and Room Rental recap and graphs that were
distributed is an effort to locate the peaks and valleys on our occupancy. Linda
stated that the CVB and Radisson have been asked to do the same format in
their industry in a combined effort to help one another
Linda reported for the month of February there were 61 events, totaling 93
event dates, with 36,000 people in the building, with 7050 room nights at the
Radisson for an estimated economic impact of$852,000.
Linda reported proposals were sent to the following: Conquerors 50"
Anniversary Autorama Car Show for October 2007, Peckham added an
employee outing for June and August (for F&B of $6500 each event).
Michigan Department of Education for 2007 for room rental of $3,300 and
F&B of $17,000; Showspan in 2008 for room rental of $31,000; and a Golf
show in 2008 with room rental of$10,000.
New Business: Linda reported proposals went out for: Michigan Judicial
Institute for May 2008, Senior Expo for May 2007, Raymond Group and
Enpromax for holiday parties for the 2007 season.
Linda reported the Employee of the Month meeting will be Thursday at 3:15
p.m. in the Governor's Room.
c. Operations Department — Scott Keith: Scott stated that April 15, 2007 is the
target date for the new heating and cooling system to come online; noting the
building is currently operating on an emergency back up system that is
operating well. Scott stated the back up system operates at 1/3 of the old
system. Scott stated the lighting changes are 89% complete.
Oldsmobile Park — Scott reported the Fire Marshall has performed a
walkthrough of the construction for the Park opening and has given the go
ahead for opening day.
Scott reported there is a Facility Foreperson position open in the Operations
Department. Scott reported the last employee UAW contract was signed last
Friday.
LEPFA Board of Conunissioners Meeting
Page 6
March 27, 2007
d. Food and Beverage Department - Bill Grove: Bill reported F&B did well in
February. Bill stated two disposal systems have been installed and one
compressor in the cooler. Bill stated he is functioning with one less salaried
employee, a Bar Manager position, and he stated that all staff are pitching in
where needed to get by without hiring a replacement until the busy time is over.
Bill informed the Board that food left over from events is donated to Food
Movers who are licensed to transport food and is distributed through the city in
missions and soup kitchens.
VI. PERSONNEL COMMITTEE: Next meeting will be after the CVB meeting on April
12, 2007
VII. COMMISSIONER AND STAFF COMMENTS:
A. Commissioner Sinadinos: Commissioner Sinadinos thanked Marian and Eric for their help
with the budget.
B. Commissioner Butler: Commissioner Butler stated the Board is down two members; he
asked where the mayor on filling the positions is. Chairman Jeffries stated Cindy Bowen
was approved last night and the second position is still under review.
C. Commissioner'Janssen: Commissioner Janssen stated he is glad LEPFA is doing well
financially, thanking Eric and the staff. Janssen stated the cooperation between the CVB
and the City in starting to show positively.
Commissioner Janssen stated an article in a Grand Rapids Press stated people are trying to
bring gambling to down town Grand Rapids and he suggested keeping an eye on this. Eric
stated the Governor is working to ensure Lansing will not have gambling.
D. Chairman Jeffries: Chairman Jeffries thanked Eric and staff for doing wonderful jobs,
stating the professionalism of the staff has improved.
VIII. OLD BUSINESS:
No report.
IX. NEW BUSINESS:
No report.
At 9:26 a.m. the meeting was adjourned. THE NEXT MONTHLY MEETING IS SCHEDULED FOR
TUESDAY, April 24, 2007 AT 8:00 A.M. AT THE LANSING CENTER IN GOVERNOR'S
ROOM.
Respectfully submitted,
Tracy Hodges, Recording Secretary
LANSING ENTERTAINMENT AND PUBLIC FACILITIES AUTHORITY'-. ;
BOARD OF COMMISSIONERS MEETING
April 24,2007 c o
MINUTES rA
r-
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. t• -~'
COMMISSIONERS PRESENT: Gerald Ambrose (Ex-Officio), James W. Butler III, John Decker, Tim
Haggart, Charles Janssen,Robert Johnson(Ex-officio),Ellen Jeffries, and Charlotte Sinadinos.
COMMISSIONERS EXCUSED: Cindy Bowen,and Kris Nicholoff
OTHERS PRESENT: Heidi Brown, Marian Bryant, Linda Frederickson,Eric Hart, Tracy Hodges, Scott
Keith, Dirk Spillemaechers-Lansing Entertainment & Public Facilities Authority, Councilmember Tim
Kaltenbach-City of Lansing, Lee Hladki, Tracy Padot-Greater Lansing Conventions and Visitors Bureau,
and Lisa O'Conner,Jim Wardlaw-Publicom.
III. ESTABLISHMENT OF THE AGENDA: Commissioner Jeffries asked if there were any
suggested changes to the agenda.There were no changes to the agenda.
IV. PUBLIC COMMENT: None.
V. APPROVAL OF THE MINUTES OF MARCH 27, 2007: A motion to accept the minutes as
published was made. MOTION: Commissioner Haggart SECOND: Commissioner Sinadinos.
Motion approved.
VI. REPORTS:
CHAIRMAN'S REPORT: Chairman Jeffries announced that the format of the meeting will
be changed due to the presentation being given.
Eric Hart introduced Lee Hladki with the Greater Lansing Convention and Visitors Bureau,
noting Lee is present today to provide a presentation of the new community branding
campaign.
Lee Hladki noted the Michigan Capital Region Branding Initiative is being presented to
businesses throughout the Lansing area in search of public comment, and for research
purposes, stating this example is not the final product. Mr. Hladki stated this community
brand image is being created to make the Lansing area universally marketable.
At 8:05 a.m. Gerald Ambrose entered the meeting.
Mr. Hladki introduced Jim Wardlaw from Publicom as the presenter. Mr. Wardlaw stated
more than 25 organizations have expressed interest in the idea and that the primary goal is to
communicate a more positive brand image. He stated the regional brand will be an economic
driver by creating efficiencies to create a sense of place and local identity (for example Las
Vegas is Sin City,New York is the Big Apple,Nashville Music City USA,etc.)
Mr. Wardlaw stated questions were asked of city wide opinion leaders, establishing that the
community is a conservative, mid-western, higher educated group, hard working, friendly
with high labor characteristics,the center of the state,the seat of Government,and is
LEPFA Board of Commissioners Meeting
Page 2
April 24,2007
ethnically diverse. Mr. Wardlaw stated Lansing is authentic, connective, and impactful on the
At 8:13 a.m. Robert Johnson entered the meeting.
development of the State of Michigan, the foundation of the brand "Michigan's Capital
Region".
Mr. Wardlaw stated that the theme for the branding is, "Working Capital", and the media ads
will contain working behind the scenes in the Lansing Area. Depicting the Lansing area is a
place that can make things happen.
Mr. Wardlaw stated the feedback has been positive on the images yet is it too blue collar.
Therefore, a new "brain story" video was created that is not a final product, yet a starting
point to support the brand identity while allowing other ideas to spring forth.
Mr. Wardlaw stated that the success of this program will come with a commitment of
regional partners and in the future having a marketing store available on line where a business
could pull down a universal image or ad and tailor it to their business. This will support the
brand, while businesses can maintain their own identity.
Eric Hart asked if there will be segmented elements, with a specific arts message. Mr.
Wardlaw stated yes the intent is that a business can choose one of the three primary messages
of the program and tailor that message to their organization.
Robert Johnson asked how LEEP fits into this project. Mr. Wardlaw stated they have not
spoken with them but are on the list. Lee Hladki stated some of the members of LEEP have
been spoken to and have seen the presentation and are in agreement.
Commissioner Butler asked if National City is on the list as a business partner. Stating listing
such organizations will be helpful during the presentation process.
Robert Johnson suggested changing the automobile images from Oldsmobile to General
Motors. Mr. Wardlaw said they received that feedback from Michigan State University also.
B. SECRETARY/TREASURER'S REPORT:
1. Monthly Financial Statements for the Period Ending March 31,2007: Committee
Chairman Charlotte Sinadinos reviewed the financial statements as follows:
a.Lansing City Market: Operating Revenues—Building Rental for the current period is
$2,715 exceeding the prior year's amount of $1,677. Year to date Building Rental is
$35,383 exceeding the prior year's amount of$30,948.
At 8:30 a.m.Tim Kaltenbach exited the meeting.
Total Operating Revenues for the current period are $2,958 less than the prior year's
amount of$13,852 this is due to parking. Total Operating Revenues for year to date are
$53,230 compared to the prior year's amount of$61,233.
LEPFA Board of Commissioners Meeting
Page 3
April 24,2007
Committee Chairman Sinadinos informed the Board that there were three pay periods for
March. Operating Expenses—Salaries/Wages for the current period are$4,202 compared
to the prior year's amount of$3,305 and for year to date are $27,503 compared to the
prior year's amount of$25,923. Marketing for year to date is $6,938 compared to the
prior year's amount of$2,575 this is due to the grant in the prior year. Total Operating
Expenses for the current period are $10,746 compared to the prior year's amount of
$10,258. Total Operating Expenses for year to date are $96,814 compared to the prior
year's amount of$84,919. Excess Revenues over Expenses for the current period are at a
loss of($4,604)compared to the prior year's amount of$6,172,noting there is no parking
in the current period's amount. Excess Revenues over Expenses for year to date is a loss
of($137) compared to the prior year's amount of$11,488.
Balance Sheet: Total Cash for the current year is $103,276 compared to the prior year's
amount of $60,965. Unreserved Equity for the current year is $181,180 exceeding the
prior year's amount of$171,003.
Budget vs. Actual: Building Rental for the current period is better than budget by $223
and for year to date is better than budget by $622. Parking for the current period is less
than budget by($3,105)and for year to date is less than budget by($1,461).
Operating Expenses — Salaries and Wages for the current period are higher than budget
by ($1,170) and for year to date are higher than budget by ($2,368). Utilities for the
current period are better than budget by$642.86 and for year to date is better than budget
by $495. Total Operating Expenses for the current period are $270 higher than budget
and for year to date are better than budget by $10,456. Excess Revenues over Expenses
for year to date are better than budget by$9,265.
b. Oldsmobile Park: There were no Event Revenues for the current period. There is a
$5 charge in Event Expenses for bank charges which was deducted from the Event
Development Fund. Operating Expenses — Utilities for the current period are $7,434
compared to the prior year's amount of $3,985. For year to date Utilities are $63,528
exceeding the prior year's amount of$54,773. Maintenance of Facilities for year to date
is $11,418 compared to the prior year's amount of 7,332, due to the change in the TMO
agreement. Excess Revenues over Expenses for the current period are $6,777 compared
to the prior year's loss of($4,515) and year to date an income of$41,775 compared to the
prior year's amount of$6,897.
Balance Sheet: Cash for the current year is $149,349 compared to the prior year's
amount of $97,122. Net Event Development Fund for the current year is $75,475
compared to the prior year's amount of$57,162. Unreserved Equity for the current year
is$62,164 compared to the prior year's amount of$12,519.
Budget vs. Actual: Operating Expenses — Salaries/Wages for the current period are
higher than budget by ($552) and for year to date are higher than budget by ($1,305).
Utilities for the current period are better than budget by $3,102 and for year to date are
better than budget by$28,384. Total Operating Expenses for the current period are better
than budget by $5,079 and for year to date are better than budget by $49,691. After
taking into account City Contributions we are better than budget for year to date by
$52,936.
LEPFA Board of Commissioners Meeting
Page 4
April 24,2007
c. Lansing Center: Building Rental for the current period is $143,507 exceeding the
prior year's amount of$146,622. Building Rental for year to date is $704,913 compared
to the prior year's amount of $660,757. Food and Beverage for the current period is
$300,838 less than the prior year's amount of$370,325. Food and Beverage for year to
date is $1,941,000 less than the prior year's amount of$1,950,000. Equipment Rental is
up by$44,000 from the prior year. Labor Services are up by$54,000 from the prior year.
Total Operating Revenue for the current period is $597,070 exceeding the
prior year's amount of$650,276 and for year to date is $3,430,000 compared to the prior
year's amount of$3,283,000.
Operating Expenses- Salaries/Wages for year to date are $1,309,000 exceeding the prior
year's amount of$1,213,000. Utilities for the current period are $50,023 less than the
prior year's amount of$55,622. Utilities for year to date are $451,255 compared to the
prior year's amount of$433,965. Food and Beverage Expense for the current period is
$178,007 compared to the prior year's amount of $182,057 and for year to date is
$1,140,507, which is less than the prior year's amount of$1,157,878. Total Operating
Expenses for the current period are $545,182 compared to the prior year's amount of
$529,040 and for year to date are $3,834,806 compared to the prior year's amount of
$3,646,110. After taking into account City Contributions we have income for the current
period of$103,393 compared to the prior year's amount of$153,256 and for year to date
is$218,469 compared to the prior year's amount of$47,965.
Balance Sheet: Total Cash and Cash Equivalents for the current year are $289,406
compared to the prior year's amount of$446,003. Unearned Revenue — Advanced Rent
for the current year is $372,267 compared to the prior year's amount of $364,307.
Unreserved Equity for the current year is $317,904 compared to the prior year's amount
of$121,378.
Budget vs. Actual: Building Rental for the current period is less than budget by ($17,377)
and for year to date is less than budget by ($48,430). Food and Beverage Revenues for
the current period are less than budget by $34,163 and for year to date are better than
budget by$1,234. Equipment Rental for year to date is$30,094. Labor Services for year
to date are$32,630. Total Operating Revenues for the current period are less than budget
by$9,483 and for year to date are better than budget by$31,065.
Operating Expenses- Salaries/Wages for the current period are higher than budget by
$43,330 and for year to date are better than budget by $6,623. Utilities for the current
period are $5,268 and for year to date are better than budget by $46,372. Food &
Beverage Expenses for the current year are higher than budget by ($18,264)compared to
the prior year's amount that was better than budget by$49,541. Total Operating Revenue
for the current period is higher than budget by $63,237 and for year to date is better than
budget by $157,999. Expenses over Revenues for the current period are higher than
budget by$71,626 and for year to date is better than budget by$197,311.
Finance Committee Chairman Charlotte Sinadinos moved that the monthly financials for
Oldsmobile Park,the Lansing City Market and the Lansing Center for the period ending
March 31,2007 be received as published and further that the monthly expenses for each
entity be approved. SECOND: Commissioner Haggart. Motion carried.
LEPFA Board of Commissioners Meeting
Page 5
April 24,2007
VII. PERSONNEL COMMITTEE: A motion was made by Committee Chairman Tim
Haggart to enter into closed session to discuss Eric Hart's annual review. SECOND:
Commissioner Butler. Motion carried
Role was called for closed session at 8:43 a.m. Members present were as follows;
James Butler, John Decker, and Tim Haggart, Charles Janssen,Ellen Jeffries, and
Charlotte Sinadinos.
At 8:46 a.m. Gerald Ambrose and Robert Johnson exited the meeting.
Committee Chairman Haggart made a motion to come out of closed session returning
to regular session. SECOND: Commissioner Janssen. Motion Carried.
Role was called for regular session at 8:59 a.m. Members present were as follows;
James Butler, John Decker, Tim Haggart, Charles Janssen, Ellen Jeffries, Charlotte
Sinadinos.
Committee Chairman Tim Haggart made a motion to extend Eric Hart's contract based on
his above average performance review. SECOND: Commissioner Butler. Motion carried.
C. PRESIDENT& CEO'S REPORT: Eric Hart reported the following:
1. Budget Presentation: Eric stated he will be presenting the Mayor with the 2008 budget.
He will give a power point presentation for the City Council and will get a copy to all the
Board members for review. Eric stated this year he will be adding performance measures
in the presentation to show the increase in occupancy,the client survey number increases,
and what he is proposing for next year. Eric stated that a major accounting firm in the
convention industry has done an analysis of the industry and based on those numbers our
occupancy is very good and he will share this information with the City Council.
2. Handouts: Eric informed the Board that occupancy and a CVB article was distributed.
Eric stated occupancy is up and asked to Board to please review the new sheet showing
occupancy over the last three years along with a bar graph.
VIII. COMMISSIONER AND STAFF COMMENTS:
A. Commissioner Haggart: Commissioner Haggart stated he had a business function at the
Lansing Center recently and it went wonderfully.
IX. OLD BUSINESS:
No report.
X. NEW BUSINESS:
No report.
LEPFA Board of Commissioners Meeting
Page 6
April 24,2007
At 9:05 a.m. the meeting was adjourned. THE NEXT MONTHLY MEETING IS SCHEDULED FOR
TUESDAY,May 24,2007 AT 8:00 A.M.AT THE LANSING CENTER IN GOVERNOR'S ROOM.
Respectfully submitted,
Tracy Hodges,Recording Secretary
LANSING ENTERTAINMENT AND PUBLIC FACILITIES AUTHORITY
BOARD OF COMMISSIONERS MEETING
May 22, 2007
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: Cindy Bowen, James W. Butler III, John Decker, Tim Haggart,
Charles Janssen, and Ellen Jeffries.
COMMISSIONERS EXCUSED: Gerald Ambrose (Ex-Officio), Robert Johnson (Ex-officio), Kris
Nicholoff, and Charlotte Sinadinos
OTHERS PRESENT: Heidi Brown, Marian Bryant,Linda Frederickson, Eric Hart,Tracy Hodges, Scott
Keith, Dirk Spillemaechers-Lansing Entertainment & Public Facilities Authority; Councilmember Tim
Kaltenbach-City of Lansing,
III. ESTABLISHMENT OF THE AGENDA: Chairman Jeffries asked if there were any suggested
changes to the agenda.There were no changes to the agenda.
IV. PUBLIC COMMENT: None.
V. APPROVAL OF THE MINUTES OF APRIL 24, 2007: A motion to accept the minutes as
published was made. MOTION: Commissioner Butler SECOND: Commissioner Janssen.
Motion approved.
VI. REPORTS:
CHAIRMAN'S REPORT: Chairman Jeffries stated the City approved the 2007-2008
LEPFA budget and she thanked to the City and the Mayor for passing it intact. Charlotte
Sinadinos and Cindy Bowen attended the presentation given to the City by Eric Hart, noting
that Eric and Marian Bryant did a good job with the preparation.
Chairman Jeffries asked Commissioners Janssen and Haggart if they would once again be on
the Nomination Committee, they both accepted.
SECRETARY/TREASURER'S REPORT:
1. Monthly Financial Statements for the Period Endinll April 30, 2007: Finance
Committee member Marian Bryant reviewed the financial statements as follows:
,J rJ
f`� ; a. LansinI4 City Market: Operating Revenues—Building Rental for the current period
- is $3,842 exceeding the prior year's amount of$4,589. Year to date Building Rental
is $39,225 exceeding the prior year's amount of $35,537. Parking for the current
period is $7,672. Parking for year to date is $22,432 less than the prior year's
amount of $29,935 which is down by $7,500. Total Operating Revenues for the
current period are $11,893 exceeding the prior year's amount of $4,624. Total
Operating Revenues for year to date are $65,123 compared to the prior year's amount
of$65,857.
At 8:06 a.m. Cindy Bowen entered the meeting.
LEPFA Board of Commissioners Meeting
Page 2
May 22,2007
Operating Expenses — Utilities for the current period are $3,491 compared to the prior
year's amount of $2,825 and for year to date is $42,092 compared to the prior year's
amount of$36,713. Marketing for year to date is $7,323 compared to the prior year's
amount of$2,575. Total Operating Expenses for the current period are $8,979 compared
to the prior year's amount of $8,081. Total Operating Expenses for year to date are
$105,793 compared to the prior year's amount of $93,001. Operating Income for the
current period is $2,913 compared to the prior year's loss of($3,457), noting there is no
parking in the prior year's amount. Excess Revenues over Expenses for year to date is
$7,175 compared to the prior year's amount of$11,591.
Balance Sheet: Total Cash for the current year is $109,025 compared to the prior year's
amount of $71,895. Accounts Receivable for the current year is down at $92,875
compared to the prior year's amount of$134,996. Accounts Payable for the current year
is $22,108 compared to the prior year's amount of$20,388. Unreserved Equity for the
current year is $188,492 exceeding the prior year's amount of$171,105.
Budget vs. Actual: Building Rental for year to date is better than budget by $442.
Parking for the current period is better than budget by$4,640 and for year to date is better
than budget by $3,178. Total Operating Revenues for the current period are better than
budget by$4,457 and for year to date are better than budget by$3,266.
Operating Expenses — Salaries and Wages for year to date are better than budget by
$2,436. Utilities for year to date are better than budget by $742 compared to the prior
year's budgeted amount of $247. Total Operating Expenses for the current period are
$1,996 better than budget and for year to date are better than budget by $12,453. Excess
Revenues over Expenses for year to date are better than budget by$15,719.
At 8:09 Tim Kaltenbach entered the meeting.
b. Oldsmobile Park: Event Revenues for the current year are $12,861. Operating
Expenses — Utilities for the current period are $9,725 compared to the prior year's
amount of $7,040. For year to date Utilities are $73,254 exceeding the prior year's
amount of $61,814. Total Operating Expenses for the current period are $35,143
compared to the prior year's amount of $25,052 and for year to date are $234,000
compared to the prior year's amount of$191,000. Excess Revenues over Expenses for
the current period is a loss of($8,967) compared to the prior year's loss of($6,173) and
year to date an income of$32,807 compared to the prior year's amount of$724.
Balance Sheet: Cash for the current year is $153,000 compared to the prior year's
amount of $103,000. Net Event Development Fund for the current year is $82,102
compared to the prior year's amount of $61,024. Marian noted that anything over
$80,000 by June 30, 2007 will be given back to the City. Unreserved Equity for the
current year is $59,823 compared to the prior year's amount of$10,207.
Budget vs. Actual: Operating Expenses —Utilities for the current period are higher than
budget by $648 and for year to date are better than budget by $27,735. Total Operating
Expenses for the current period are higher than budget by $12,511 and for year to date
are better than budget by $37,179. After taking into account the City Contributions we
are better than budget for year to date by$39,761.
LEPFA Board of Commissioners Meeting
Page 3
May 22, 2007
c. Lansing Center: Building Rental for the current period is $90,275 exceeding the prior
year's amount of$85,036. Building Rental for year to date is $795,000 compared to the
prior year's amount of$745,000. Food and Beverage for the current period is $291,000
less than the prior year's amount of $300,000. Food and Beverage for year to date is
$2,233,000 less than the prior year's amount of $2,251,000. Equipment Rental for the
current period is $72,895 exceeding the prior year's amount of $55,072. Equipment
Rental for year to date is $473,000 exceeding the prior year's amount of$410,000. Total
Operating Revenue for the current period is $492,000 exceeding the prior year's amount
of $480,000 and for year to date is $3,923,000 compared to the prior year's amount of
$3,764,000.
Operating Expenses-Utilities for the current period are $36,928 less than the prior year's
amount of$52,023, this is due to the new heating and cooling system. Utilities for year
to date are $488,000 compared to the prior year's amount of $485,000.
Supplies/Materials for the current period are $16,003 compared to the prior year's
amount of $3,795, this is due to the purchase of new computers and the new HR
software. Food and Beverage Expense for the current period is $136,000 compared to the
prior year's amount of$137,000 and for year to date is $1,278,000 which is less than the
prior year's amount of$1,295,000. Total Operating Expenses for the current period are
$426,546 compared to the prior year's amount of $416,399 and for year to date are
$4,261,000 compared to the prior year's amount of$4,062,000. Operating Income (Loss)
for the current period is $65,899 compared to the prior year's amount of$64,215 and for
year to date a loss of($338,232) compared to the prior year's loss of($298,081). After
taking into account City Contribution and Interest we have income for the current period
of $128,815 compared to the prior year's amount of $106,445 and for year to date is
$347,285 compared to the prior year's amount of$154,410.
Balance Sheet: Total Cash and Cash Equivalents for the current year are $399,000
compared to the prior year's amount of$339,000. Accounts Receivable for the current
year is $655,000 compared to the prior year's amount of$733,000. Accounts Payable for
the current year are down at$243,000 compared to the prior year's amount of$482,000.
At 8:19 a.m.Dirk Spillemaechers entered the meeting.
Unearned Revenue — Advanced Rent for the current year is $378,000 compared to the
prior year's amount of $348,000. Unreserved Equity for the current year is $446,000
compared to the prior year's amount of$227,000.
Budget vs. Actual: Building Rental for year to date is less than budget by($59,306). Food
and Beverage Revenues for year to date are less than budget by ($53,350). Equipment
Rental for year to date is better than budget by $31,444. Labor Services for year to date
are better than budget by $32,000. Total Operating Revenues for the current period are
less than budget by($72,938) and for year to date are less than budget by($41,872).
Operating Expenses-Utilities for the current period are better than budget by$18,363 and
for year to date are better than budget by $64,743. Food & Beverage Expenses for the
current period are better than budget by $20,462 and for year to date are better than
budget by $68,271.
LEPFA Board of Commissioners Meeting
Page 4
May 22, 2007
Total Operating Revenues for the current period is better than budget by $57,423 and for
year to date is better than budget by $215,422. Excess Revenues over Expenses for the
current period are less than budget by ($22,060) and for year to date are better than
budget by$175,250.
Commissioner Haggart moved that the monthly financials for Oldsmobile Park, the
Lansing City Market and the Lansing Center for the period ending April 30, 2007 be
received as published and further that the monthly expenses for each entity be approved.
SECOND: Commissioner Butler. Motion carried.
C. PRESIDENT& CEO'S REPORT: Eric Hart reported the following:
1. Budget: Eric recognized Councilman Kaltenbach for helping get the budget approved.
Stating the budget is approved as submitted.
2. City Market: Eric stated the hours have changed to: Tuesday, Thursday, and Friday from
10:00a.m. to 6:00p.m., and Saturday from 8:00a.m. to 4:00p.m. stating Saturday is the
busiest day of the week. Eric stated that some vendors are seeing an increase in business
and the west side has a steady flow of patrons. Eric stated that during the peak season
some vendors have made arrangements to be open extra hours.
Commissioner Butler asked how the new hours compared to the old. Eric stated the
previous hours were 8:00a.m. to 6:00p.m. Tuesday, Thursday,Friday and Saturday.
3. New Member: Eric asked Cindy Bowen to introduce herself. Commissioner Bowen
stated she has worked for the Sheraton Hotel for 25 years and has been the General
Manager for 15 years. She is a member of the Michigan Hotel/Motel & Resort
Association, also a National Delegate, and a member of the CVB Board.
Eric asked each person in attendance introduce themselves. Commissioner Butler noted
during his introduction that his office has moved back to 735 East Michigan Avenue.
Chairman Jeffries welcomed Commissioner Bowen.
4. Common Ground: Eric stated that sales are currently just below Common Ground 2005.
Eric stated that Montgomery Gentry has been announced and about every other day a
new act will be announced. Eric stated that this year there will be a comedy night.
Eric stated that materials will be posted informing patrons of nights that are not family
friendly; due to language in some of the performer's lyrics. This information will be
posted at the gates and in the newspapers.
Commissioner Bowen asked if this is the first night is adult only. Eric stated it is not
adult only, they are just informing patrons that they may hear strong language based on
past performers who used strong language and the festival received complaints.
Commissioner Butler asked if the comedy night will be mixed in or independent. Eric
stated it will be on one stage independently.
LEPFA Board of Commissioners Meeting
Page 5
May 22, 2007
5. Personnel: Eric stated currently the Assistant Catering Sales coordinator position is
double filled as Jamie Comps is leaving the Lansing Center and she is currently training
her replacement. Eric stated there is savings in the budget to cover this cost, stating the
new Assisting Catering Sales Coordinator is Kate Linske.
6. Oldsmobile Park: Eric reported the bids for the upgrades will go out on Tuesday of next
week to the drawing houses and builder's exchange. Eric stated that all bids submitted
will go to the General Contractor for review.
7. Lansing Center Upgrades: Eric reported the drawings are almost complete. Eric stated
the budget for this was short, asking Commissioner Janssen if he would like to do another
long Range Planning review of the budget. Commissioner Butler asked what Eric meant
by short. Eric stated that some pieces of the overall project will need to be cut; some
money will have to be taken from other projects to cover this project.
8. Trolley: Eric reported there are now passes in all bars that are more user friendly than the
ones printed by CATA. Eric stated he rode the trolley and it was full.
9. Fall Fitness: Eric stated the preparations are progressing well. Blue Cross and Accident
Fund have signed on as sponsors and currently there are over 50 booths sold for exhibits
and we are expecting over 80 booths being the final count.
10. Administration: Eric reported he is helping in the return of the "Festival of Trees" event;
it will be called "Winter Fest" and they are currently looking for someone to sell trees
and do raffles. Linda Frederickson noted the new festival could be a four day event.
Commissioner Bowen asked if the Lansing Center put on the Festival of Trees, and why
it has not been held in past years. Eric stated it was produced by Ingham Medical Center
and we rented the space to them, and it ended when there was a change in Administration
at Ingham.
Commissioner Butler asked if the Winter Festival would interfere with Chris Holman's
Event. Linda Frederickson stated the festival would not interfere in Chris Holman's
event, the festival would be at a different time or we would attempt to tie it in to his event
(as in right before or after),but at this point plans have not advanced that far.
11. Vice Presidents' Reports:
a. Finance Department — Marian Bryant: Marian reported the installation of the
new HR software is still on going. Marian stated the Charity of the Month
program will begin on June 1, 2007_
b. Marketing Department — Linda Frederickson: Linda reported that the CVB is
currently using a new economic impact calculator through the IACVB, and
LEPFA will be using this same formula effective July 1, 2007.
LEPFA Board of Commissioners Meeting
Page 6
May 22, 2007
Linda reported for the month of April there were 55 events, totaling 72 event
dates, with 1600 room nights at the Radisson for an estimated economic impact
of$700,000.
Linda reported proposals were sent to the following: Mid-West Reps for 2009-
2011, Michigan State University Teachers Fair for 2008, Michigan Library
Association for 2011 and 2013, the Bridal Show, Women's Expo and Great
Lakes Fast Food and Ice Cream Show all for 2008-2009.
New Business: Linda reported proposals went out for: Best Buy Haulms Brisco
for July 2007, Michigan National Guard for 2009, National Softball Association
Banquet for December 2007, Michigan Judicial Institute for 2008, Michigan
Non-profit for 2008, and HT Hackney for 2008.
Linda reminded the board the Chili Cook-off is June 22,2007.
Linda reported the City Market will host the `Be a Tourist in Your Town" on
Saturday June 2, 2007 and will be giving out free hot dogs. Linda gave thanks to
the Friends of the Market for helping prepare the market. Linda reported that the
Market is now an official stamp site of the event.
Linda distributed invitations to the Board members for the Common Ground
Sponsor Party on June 12, 2007 stating Eric will be delivering invitations to the
City Council. Linda stated there will be a silent auction that night as well.
Commissioner Butler asked Eric if there is anything that the Board can do to help
improve business during the last summer and beginning fall months. Eric stated
concentration is set on September, October, and November. June, July August is
mainly a religious market due to cheaper rates and most clients want to be
outside. Eric stated that stressing to local corporate business and to associations
we are all members of and people you know that we are in the business and have
lost a lot of business to Grand Rapids. Eric stated that convention business has
moved to Grand Rapids effecting LEPFA and the Radisson, while smaller
corporate business is still doing well. Eric stated in 2008-2010 things are looking
much better,until then we need to work harder.
Commissioner Butler asked if the construction had anything to do with the loss
of business. Eric stated possibly some but not much, that most of it had to do
with customer service. Eric stated that our customer service is improving greatly
but we need to continue with these efforts also stating that we are also dealing
with external aspects such as parking or vendors in the city. Noting that when we
need a qualified vendor to provide us with quality audio Visual equipment and
can not find one in the city we have to bring it in from Detroit or Grand Rapids
this effects our Audio Visual Department because the expense to the client is
greater. Eric stated concerns regarding the City Parking Services,noting it would
be of great help to the city as a whole if the parking attendants, meter attendants,
etc had some customer service training. Eric also stated that City Parking offices
are attempting to resolve these issues. Commissioner Butler stated he believes it
seems to be a management issue.
LEPFA Board of Commissioners Meeting
Page 7
May 22, 2007
Commissioner Bowen agreed with Eric's statement based on her professional
experience that training is the key to successful customer service.
c. Operations Department — Scott Keith: Scott stated the lighting with the
Honeywell project has been completed. Scott stated the new HVAC roof top
units are in place and will be tested on June 1, 2007 with the glycol; (an anti-
freezing agent)will be put into the system on June 11, 2007.
Capital— Scott stated funds are being moved in an effort to make specific repairs
to the roof and glazing of the windows that have to be completed along with
repairs to the limestone on the front of the building.
Scott stated that currently he is looking into installing a snow melt system into
the sidewalks while the City has them open for the street scape project. Stating
this system is costly mainly due to it being tied into the Lansing Center hot water
steam system. Scott stated the bids for this project should be going out to the
public with in the next two weeks.
Commissioner Butler asked what the cost estimate was. Scott stated near
$100,000. Commissioner Butler stated he strongly supports this project due to
the safety of the many clients that enter and leave the building during the winter
months.
Scott stated that a meeting took place with Public Service and the Lansing Center
Engineers from HNTB in regards to the Michigan Avenue Bridge and the
sidewalk drainage issues the building has; there is another meeting tomorrow
with MDOT to rectify concerns the Lansing Center Engineer had with Public
Services plan. Scott stated that things are still working in our favor with MDOT
making the repairs for us.
d. Food and Beverage Department—Bill Grove: Bill reported he spent the last two
days at the National Food Show in Chicago which was a very positive experience
and thanked Eric for allowing him to attend.
Bill stated that the Sous Chef has resigned his position, he will be leaving in one
month.
VII. COMMISSIONER AND STAFF COMMENTS:
A. Commissioner Haggart: Commissioner Haggart welcomed Cindy Bowen.
B. Commissioner Bowen: Commissioner Bowen asked if Linda could get her some of the
Trolley passes to place at the Sheraton, Linda stated she would get them to her.
Commissioner Bowen asked if during the summer months family reunions or veterans groups
were potential clients. Eric stated it is not business we have actively gone after due to the
costs are difficult for these kind of clients to endure. Eric also stated it may be something that
Sales can look into more.
LEPFA Board of Commissioners Meeting
Page 8
May 22, 2007
C. Commissioner Butler: Commissioner Butler welcomed Cindy Bowen stating she will be an
asset to the Board. Commissioner Butler asked if the packets will be delivered differently.
Eric stated that he emailed Board members asking how they would like to receive their board
packets in the interest of saving money. Eric stated that all but two member responded
stating by email would be best. Eric stated that for the June 22, 2007 meeting all packet
materials will be emailed to board members. Eric noted that this will be a test run and that
some materials are large so there may be more than one email sent. Eric stated for those that
did not respond, if they will let him know, they will get delivered in the manor that the board
member chooses.
D. Commissioner Janssen: Commissioner Janssen said to Scott Keith and Nick Hughes that the
City Market looks great.
E. Commissioner Decker: Commissioner Decker stated that the board members should get over
to the City Market it does look great. Commissioner Decker also welcomed Cindy Bowen.
As Dirk Spillemaechers with the Lansing Entertainment & Public Facilities Authority was not
present during Public Comment, Chairman Jeffries allowed Dirk to state the following. Currently
the Lansing Center Audio Visual department uses a Digital Video Reorder to tape client's events.
When a client would like a copy of this recording we have no recording that will work for the
client unless they have a Digital Recorder to play the cassette tape from. Dirk stated in order to
accommodate the client the client has to incur more fees as the equipment has to be rented or the
tape has to be converted outside our building to a playable format. This does not portray a
professional image to our clients in the age of DVD or CD's. Dirk stating the equipment that is
currently used is over 10 years old and leaves no professional impression.
VIII. OLD BUSINESS:
No report.
IX. NEW BUSINESS:
No report.
At 9:33 a.m. the meeting was adjourned. THE NEXT MONTHLY MEETING IS SCHEDULED FOR
TUESDAY,June 26,2007 AT 8:00 A.M. AT THE LANSING CENTER IN GOVERNOR'S ROOM.
Respectfully submitted,
Tracy Hodges,Recording Secretary
LANSING ENTERTAINMENT AND PUBLIC FACILITIES AUTHORITY
BOARD OF COMMISSIONERS MEETING
June 26, 2007
MINUTES
At 8:07 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: Cindy Bowen, James W. Butler III, John Decker, Tim Haggart,
Charles Janssen, Ellen Jeffries,Kris Nicholoff,and Charlotte Sinadinos.
COMMISSIONERS EXCUSED: Gerald Ambrose(Ex-Officio),Robert Johnson(Ex-officio),
OTHERS PRESENT: Heidi Brown, Marian Bryant, Linda Frederickson, Eric Hart,Tracy Hodges, Scott
Keith-Lansing Entertainment & Public Facilities Authority; Councilmember Tim Kaltenbach-City of
Lansing.
III. ESTABLISHMENT OF THE AGENDA: Chairman Jeffries asked if there were any suggested
changes to the agenda. There were no changes to the agenda.
IV. PUBLIC COMMENT: None.
V. APPROVAL OF THE MINUTES OF MAY 22, 2007: A motion to accept the minutes with a
change to page one section VI, Chairman's Report, from "she thanked to the City and..."to "She
thanked the City Council and..." was made. MOTION: Commissioner Butler SECOND:
Commissioner Janssen. Motion approved.
VI. REPORTS:
A. CHAIRMAN'S REPORT: Chairman Jeffries stated she is excited about Common Ground
and hopes that other Board Members volunteer. Chairman Jeffries stated this is her last
meeting as Chairman.
SECRETARY/TREASURER'S REPORT:
D d 1. Monthiv Financial Statements for the Period Ending Mav 31, 2007: Finance
LL 1 Committee Chairman Charlotte Sinadinos reviewed the financial statements as follows:
Li
C C\j a. Lansing City Market: Operating Revenues—Building Rental for the current period
L-J 1 L.� is $4,533 less than the prior year's amount of $4,946. Year to date Building Rental is
CL- c� �; $43,758 exceeding the prior year's amount of$40,483. Parking for the current year is
" $22,432 less than the prior year's amount of$29,935. Total Operating Revenues for the
current period are $4,862 less than the prior year's amount of$4,981. Total Operating
Revenues for year to date are$69,985 less than the prior year's amount of$70,838.
Operating Expenses— Salaries and Wages for year to date are $32,569 less than the prior
year' amount of$32,609. Utilities for the current period are $3,413 compared to the prior
year's amount of$3,073 and for year to date are $45,506 compared to the prior year's
amount of$39,786. Marketing for year to date is $9,907 compared to the prior year's
amount of$2,600 noting the prior year's Marketing was paid by the grant.
LEPFA Board of Commissioners Meeting
Page 2
June 26,2007
Total Operating Expenses for the current period are $11,816 compared to the prior year's
amount of$7,934. Total Operating Expenses for year to date are $117,609 compared to
the prior year's amount of $100,935. Excess Revenues over Expenses for the current
period is at a loss of($1,756) compared to the prior year's income of$607, and a year to
date income of$5,418 compared to the prior year's income of$12,198.
Balance Sheet: Total Cash for the current year is $124,714 compared to the prior year's
amount of $63,102. Accounts Receivable for the current year is down at $72,879
compared to the prior year's amount of$135,183. Unreserved Equity for the current year
is$186,736 exceeding the prior year's amount of$171,712.
Budget vs. Actual: Building Rental for the current period is less than budget by ($319)
and for year to date is better than budget by $123. Parking for year to date is better than
budget by $3,178. Total Operating Revenues for year to date are better than budget by
$2,894.
Operating Expenses — Salaries and Wages for year to date are better than budget by
$2,365. Utilities for year to date are better than budget by $1,067. Total Operating
Expenses for the current period are higher than budget by ($1,203) and for year to date
are better than budget by $11,250. Excess Revenues over Expenses for year to date is
$14,944.
b. Oldsmobile Park: Event Revenues for the current year are $31,004. There were three
Diamond Classics, Home Run for Hope and MSU baseball. Event Expenses were
$14,651 for an Event Income of$16,353 which will be applied to the Event Development
Fund. Operating Expenses — Utilities for the current year are $82,123 compared to the
prior year's amount of $66,258. Insurance/Bonding for the current year is $23,377
compared to the prior year's amount of $26,967. Total Operating Expenses for the
current period are $22,726 compared to the prior year's amount of$15,440 and for year
to date are $256,889 compared to the prior year's amount of$207,299. Excess Revenues
over Expenses for the current period is $37,226 compared to the prior year's amount of
$5,299.
Balance Sheet: Cash for the current year is $168,156 compared to the prior year's
amount of $146,029. Net Event Development Fund for the current year is $98,455
compared to the prior year's amount of$62,229. Unreserved Equity for the current year
is$94,874 compared to the prior year's amount of$15,987.
Budget vs. Actual: Operating Expenses — Salary/Wages for year to date are higher than
budget by ($5,701). Utilities for year to date are better than budget by $27,943. Total
Operating Expenses for the current year are less than budget by ($27.47) and for year to
date are better than budget by $37,151. After taking into account the City Contributions
we are better than budget for year to date by $40,040.
c. LansinI4 Center: Building Rental for the current period is $113,447 exceeding the
prior year's amount of$109,312. Building Rental for year to date is $908,635 compared
to the prior year's amount of $855,106. Food and Beverage for the current period is
$306,369 exceeding the prior year's amount of$193,976. Food and Beverage for year to
date is $2,539,000 exceeding the prior year's amount of$2,445,000.
LEPFA Board of Commissioners Meeting
Page 3
June 26, 2007
Equipment Rental for year to date is $580,365 exceeding the prior year's amount of
$484,398.
Total Operating Revenue for the current period is $575,278 exceeding the prior year's
amount of $424,137 and for year to date is $4,498,000 compared to the prior year's
amount of$4,188,000.
Operating Expenses- Salary/Wages for year to date are $1,644,000 exceeding the prior
year's amount of $1,527,000. Utilities for year to date are $541,331 compared to the
prior year's amount of $539,478. Total Operating Expenses for the current period are
$540,287 compared to the prior year's amount of $481,467 and for year to date are
$4,801,000 compared to the prior year's amount of$4,543,000. Operating Income (Loss)
for the current period is $34,991 compared to the prior year's loss of($57,330) and for
year to date a loss of($303,240) compared to the prior year's loss of($355,411). After
taking into account City Contribution and Interest we have income for the current period
of $111,168 compared to the prior year's amount of $27,894 and for year to date is
$458,453 compared to the prior year's amount of$182,305.
Balance Sheet: Total Cash and Cash Equivalents for the current year are $487,876
compared to the prior year's amount of$907,750. Unearned Revenue-Advanced Rent for
the current year is $379,927 compared to the prior year's amount of $377,110.
Unreserved Equity for the current year is $557,888 compared to the prior year's amount
of$298,603.
Budget vs. Actual: Building Rental for the current period is better than budget by$37,125
and for year to date is less than budget by ($22,181). Food and Beverage Revenues for
the current period are better than budget by $76,369 and for year to date are better than
budget by $23,019. Equipment Rental for year to date is better than budget by $75,102.
Security for year to date is less than budget by ($20,286). Labor Services for year to date
are better than budget by $41,216. Total Operating Revenues for the current period are
better than budget by$158,186 and for year to date are better than budget by$116,314.
Operating Expenses- Salary/Wages for the current period are higher than budget by
($25,335) and for year to date are higher than budget($13,916).
At 8:21 a.m. Bill Grove entered the meeting.
Utilities for the current period are better than budget by $2,144 and for year to date are
better than budget by $66,880. Food & Beverage Expenses for the current period are
higher than budget by ($40,978) and for year to date are better than budget by $27,293.
Total Operating Revenues for the current period is higher than budget by ($72,333) and
for year to date is better than budget by $143,089. Operating Income for the current
period is higher than budget by $85,853 and for year to ate is better than budget by
$259,404. Excess Revenues over Expenses for the current period are better than budget
by$92,568 and for year to date are better than budget by$267,819.
LEPFA Board of Commissioners Meeting
Page 4
June 26,2007
Commissioner Sinadinos moved that the monthly financials for Oldsmobile Park,the
Lansing City Market and the Lansing Center for the period ending May 31, 2007 be
received as published and further that the monthly expenses for each entity be approved.
SECOND: Commissioner Haggart. Motion carried.
C. PRESIDENT& CEO'S REPORT: Eric Hart reported the following:
1. Chairman Jeffries: Eric presented Chairman Jeffries with a plaque, a gift certificate for
diner at the Knight Cap, and a gift card to a day spa, thanking her for her commitment
and support to himself and the Board this last year.
Chairman Jeffries stated this is a great Board to serve on, saying that everyone; Linda,
Scott, Eric, Marian, Bill, Heidi, and Tracy make it easier for the Board members.
Chairman Jeffries stated the Board has great members and it is a privilege to serve on the
Board.
2. Common Ground: Eric stated ticket sales have increased, currently sales are above 2005
but below 2006 sales. Eric stated there have been problems with many of the equipment
and supply providers, and negotiations are still ongoing and the issues will be worked
out.
Eric stated there is possibly an impending issue. A member of the community went to a
City Council member regarding the festivals booking practices stating the booking
polices are not diverse enough. Councilmember Quinney has asked Eric to meet with
him and a local Pastor to discuss this issue. Eric believes they would like to develop a
panel to choose bands, he is not sure he will agree to this, as it might be the beginning of
the end of the festival. Eric stated that Friday will be the biggest day and that single day
tickets are still for sale, and that the final acts will be announced this week. Eric stated
that Thursday night will be comedy night.
Eric stated that the free parking in City lots is being paid for by the festival and the
additional cost has been added to the price of the tickets, and that will still allow for
revenues.
Commissioner Butler asked if the price of the Common Card would be increased. Eric
stated that the festival is quickly coming to its nexus of what the festival is going to do.
The types of acts currently used are touring less for more money and it is becoming
harder to book and afford talent. Eric also stated that now there are more competitors in
the concert market e.g. Farwell, which hosts a festival the week after Common Ground.
They bid $275,000 for Def Leopard and Common Ground was bidding $125,000.
Farwell paid more than the band was asking but got an exclusive that they would not play
any other venues in Michigan.
Commissioner Nicholoff asked if the term "nexus" means there are going to be big
changes for the festival. Eric stated yes, that this year they have already started by
spending less for talent than ever before, due to lack of talent touring. Eric stated that
many festivals are doing the same thing with only one or two big names, due to the cost
and limited dates. Eric stated that in the realm of Michigan festivals Common Ground is
by far the cheapest festival to attend.
LEPFA Board of Commissioners Meeting
Page 5
June 26, 2007
Commissioner Nicholoff stated that in some cases less is more, suggesting that it may be
an option to make the festival shorter with more popular talent and increase the price of
tickets. He stated that the staff and patrons are stretched with a long festival and it might
not be bad to enhance the quality. Eric stated this is a possibility but the talent depends
on the routing, and fewer dates will make it harder to get bigger talent, which could end
the festival.
3. House Bill 4261: Eric stated the bill had passed the House and Senate and is now with the
Governor and he understands she intends to sign it. Eric believes the hotels will do
polling to determine what to do, stating that they will be levying Eaton County properties
with Ingham County properties in order to level out the assessment playing field. Eric
stated this will mean new revenue for the CVB, stating he and Lee Hladki will be
meeting to discuss a long term partnerships to coordinated booking and marketing.
Commissioner Bowen clarified that the moneys generated from this bill can only be used
for marketing,no brick and mortar.
4. Vice Presidents' Reports:
a. Finance Department — Marian Bra: Marian reported when the final audit of
last year's Common Ground is complete she will give the Board members copies
for review.
Marian stated the LEPFA Charity of the Month program started on June 1, 2007.
The charity chosen is an employee whose daughter is in treatment for an eating
disorder. The first collection yielded $155, and there will be two more months to
participate for the chosen charity.
b. Operations Department— Scott Keith: Scott stated bids for the roof project are
due today, and that the snow melt system specifications will be delivered today.
Scott reported that the sound system specification will go out this week for bid,
and these are for the ballrooms and meeting rooms.
Scott reported the Lansing Center is currently working with the City to get fiber
cables to the building, noting this process is moving slowly.
Scott stated the contractors have almost finished work on the operable walls, also
the Exhibit Hall C floor pockets are fixed, and halls A&B will be started soon.
Scott stated that negotiations for Food and Beverage begin today, and that Laurel
Winkel, the current Box Office Manager, will be the interim Event Services
Manager.
C. Marketing Department — Linda Frederickson: Linda reported that occupancy
sheets were handed out. There is a new form that shows an occupancy
comparison between the Radisson, Lansing Center and CVB.
Linda reported for the month of April there were 50 events, totaling 80 event
dates, with 1822 room nights at the Radisson for an estimated economic impact
of$800,000.
LEPFA Board of Commissioners Meeting
Page 6
June 26, 2007
Linda reported proposals were sent to the following: Single American Veterans
of Michigan for 2009, Royal Events for 2008, Automotive Services of Michigan
2008, Mary Kay for 2009 and 2010, Michigan Association of Broadcasters for
2010 and 20111 and Michigan Association of Health Plans in 2008.
Linda stated that June 27, 2007 at 2:45 p.m. would be the next announcement of
the employee of the month in the Governor's rooms.
Food and Beverage Department — Bill Grove: Bill reported a new Sous Chef
begins on June 22, 2007. Bill reported it was a busy week for Food and
Beverage with the Chili Cook-off on Friday to a formal white gloved dinner for
the Michigan Association of Realtors on Saturday. They both went very well.
Bill stated that there will be contract negotiations later today.
D. NOMINATING COMMITTEE: Commissioner Janssen stated that the Nominating
Committee nominates the following members for the following Board Officers: Kris
Nicholoff as Chairman, James Butler as Vice-Chairman, Charlotte Sinadinos as
Secretary/Treasurer. Commissioner Janssen stated that in conversations with the
nominated parties they have agreed to accept the nominations.
Chairman Jeffries moved that the following slate of 200708 Officers be approved as
recommended by the Nominating Committee: Chairman Kris Nicholoff, Vice-Chairman
James Butler, and Seceratary/Treausrer Charlotte Sinadinos. Motion was unanimously
approved.
VII. COMMISSIONER AND STAFF COMMENTS:
A. Commissioner Sinadinos: Commissioner Sinadinos noted she looks forward to volunteering
at Common Ground.
B. Commissioner Bowen: Commissioner Bowen stated she volunteers each year at Common
Ground and enjoys it very much.
C. Commissioner Butler: Commissioner Butler stated the Sponsor Party was outstanding.
Commissioner Butler thanked the Board for making him Vice-Chairman.
D. Commissioner Nicholoff- Commissioner Nicholoff thanked the Board for giving him the
opportunity to serve as Chairman.
E. Commissioner Janssen: Commissioner Janssen thanked Ellen Jeffries for a great year of
leadership and ideas in and out of the monthly meeting. He also noted that all nominees were
willing to accept their nominations and positions.
LEPFA Board of Commissioners Meeting
Page 7
June 26, 2007
VIII. OLD BUSINESS:
No report.
IX. NEW BUSINESS:
No report.
At 9:10 a.m. the meeting was adjourned. THE NEXT MONTHLY MEETING IS SCHEDULED FOR
TUESDAY, August 28, 2007 AT 8:00 A.M. AT THE LANSING CENTER IN GOVERNOR'S
ROOM.
Respectfully submitted,
Tracy Hodges,Recording Secretary
- -- --- --- .-- --------------
Nancy Squier- Board MinutesAug07.doc Pagel
LANSING ENTERTAINMENT AND PUBLIC FACILITIES AUTHORITY
BOARD OF COMMISSIONERS MEETING
August 28, 2007
MINUTES
At 8:09 a.m. Chairman Kris Nicholoff called the meeting to order in the Governor's Room of the
Lansing Center; 333 E. Michigan Avenue; Lansing, Michigan 48933.
COMMISSIONERS PRESENT: Cindy Bowen, James W. Butler III, John Decker, Ellen Jeffries,
Robert Johnson (Ex-officio), Kris Nicholoff, and Charlotte Sinadinos.
COMMISSIONERS EXCUSED: Gerald Ambrose (Ex-Officio), Tim Haggart, and Charles
Janssen.
OTHERS PRESENT: Heidi Brown, Marian Bryant, Linda Frederickson, Eric Hart, Tracy
Hodges, Scott Keith-Lansing Entertainment & Public Facilities Authority; Councilmember Tim
Kaltenbach-City of Lansing.
III. ESTABLISHMENT OF THE AGENDA: Chairman Nicholoff asked if there were any
suggested changes to the agenda. There were no changes to the agenda.
IV. PUBLIC COMMENT: None.
V. APPROVAL OF THE MINUTES OF JUNE 26, 2007: A motion to accept the minutes as
published. MOTION: Commissioner Sinadinos SECOND: Commissioner Jeffries.
Motion approved.
VI. REPORTS:
A. CHAIRMAN'S REPORT: Chairman Nicholoff stated Common Ground was a lot of
fun and hoped all the Board members had a good summer.
B. SECRETARY/TREASURER'S REPORT:
1. Monthly Financial Statements for the Period Ending June 30, 2007: Finance
Committee Chairman Charlotte Sinadinos reviewed the financial statements as
follows:
i
a. Lansing City Market: Operating Revenues — Building Rental for the current
period is $9,095 less than the prior year's amount of $9,707. Year to date
Building Rental is $52,854 exceeding the prior year's amount of $50,191.
Parking for the current year is $29,367 less than the prior year's amount of
$38,050. Total Operating Revenues for the current period are $16,367 less than
the prior year's amount of $17,862. Total Operating Revenues for year to date j
are $86,353 less than the prior year's amount of$88,701.
Operating Expenses—Utilities for year to date are $49,845 compared to the prior
year's amount of $43,121. Excess Revenues Over Expenses for the current
period are $5,017 compared to the prior year's amount of $9,605. Excess
Revenues Over Expenses for year to date are $10,435 compared to the prior
year's amount of$21,803.
,) Nancy Squier- Board MinutesAug07.doc Page 2
LEPFA Board of Commissioners Meeting
Page 2
August 28, 2007
Balance Sheet: Total Cash for the current year is $120,782 compared to the
prior year's amount of $61,123. Unreserved Equity for the current year is
$191,753 exceeding the prior year's amount of$181,318.
Budget vs. Actual: Building Rental for the current year is less than budget by
($96). Parking for year to date is better than budget by $3,367. Total Operating
Revenues for the current period are less than budget ($71.16) and for year to
date are better than budget by$2,823.
Operating Expenses —Utilities for year to date are better than budget by $954.
Total Operating Expenses for the current year are better than budget by $6,812.
Excess Revenues over Expenses for year to date is $10,435.
b. Oldsmobile Park: Event Revenues for the current year are $9,744. Event
Expenses were $19,485 for an Event Revenue loss of ($9,740) which will be
applied to the Event Development Fund. Operating Expenses — Utilities for the
current year are $91,981 compared to the prior year's amount of $71,311.
Miscellaneous for the current year is $23,193 exceeding the prior year's amount
of $18,250 due to the upgrade to the City suite. Excess Revenues over
Expenses for the current period is $30,175 compared to the prior year's loss of
($5,245).
Balance Sheet: Net Event Development Fund for the current year is $88,715
compared to the prior year's amount of $75,595. It was noted that following the
audit a check will be written back to the City; currently the amount is $8,715.
Unreserved Equity for the current year is $63,804 compared to the prior year's
amount of$20,508.
E
Budget vs. Actual: Operating Expenses—Utilities for year to date are better than
budget by $27,218. Total Operating Expenses for the current period are less
than budget by($10,494)and for year to date are better than budget by $26,657.
After taking into account the City Contribution they are better than budget for
year to date by$30,175.
Commissioner Sinadinos stated a sheet was distributed detailing the Event
Revenues for Oldsmobile Park.
c. Lansing Center: Building Rental for the current period is $32,069 less than
the prior year's amount of $54,540. Building Rental for year to date is $940,704
compared to the prior year's amount of $909,647. Food and Beverage for the
current period is $160,206 exceeding the prior year's amount of $236,317. Food
and Beverage for year to date is $2,699,000 less than the prior year's amount of
$2,681,000. Equipment Rental for year to date is $596,406 exceeding the prior
year's amount of $544,012. Labor for the current year is $214,483 compared to
the prior year's amount of$160,261.
Total Operating Revenue for the current period is $232,761 compared to the
prior year's amount of$398,313 and for year to date is $4,731,000 compared to
the prior year's amount of$4,586,000.
Nancy Squier- Board MinutesAug07.doc Page 3
LEPFA Board of Commissioners Meeting
Page 3
August 28, 2007
Operating Expenses- Salary/Wages for year to date are $1,901,000 exceeding
the prior year's amount of $1,770,000. Utilities for year to date are $586,185
compared to the prior year's amount of $603,550. Food and Beverage
Expenses for the current year is $1,621,000 compared to the prior year's amount
of $1,613,000. Total Operating Expenses for the current period are $571,673
compared to the prior year's amount of $597,843 and for year to date are
$5,373,000 compared to the prior year's amount of $5,141,000. Operating
Income (Loss) for year to date is a loss of ($642,153) compared to the prior
year's loss of($554,942). After taking into account City Contribution and Interest
we have income for year to date of $189,206 compared to the prior year's
amount of$26,021.
Balance Sheet: Total Cash and Cash Equivalents for the current year are
$756,000 compared to the prior year's amount of $656,000. Unearned Revenue-
Advanced Rent for the current year is $407,163 compared to the prior year's
amount of $360,362. Unreserved Equity for the current year is $288,750
compared to the prior year's amount of$99,434.
Budget vs. Actual: Building Rental for the current period is better than budget by
$2,386 and for year to date is less than budget by ($19,795). Food and
Beverage Revenues for year to date are better than budget by $23,230.
Equipment Rental for year to date is better than budget by $54,406. Labor
Services for year to date are better than budget by $42,983. Total Operating
Revenues for the current period are less than budget by ($15,953) and for year
to date are better than budget by$100,360.
Operating Expenses- Utilities for year to date are better than budget by $77,314.
Total Operating Expenses for the current period are higher than budget by
($78,946) and for year to date is better than budget by $64,142. Excess
Revenues over Expenses for the current period are less than budget by
($94,692) and for year to date are better than budget by$173,126.
Commissioner Sinadinos moved that the monthly financials for Oldsmobile Park,
the Lansing City Market and the Lansing Center for the period ending June 30,
2007 be received as published and further that the monthly expenses for each
entity be approved. SECOND: Commissioner Butler. Motion carried.
Commissioner Sinadinos reported that the Finance committee met and voted to
write off the following amounts in bad debt: Four accounts where already set up
in the prior fiscal year for the Lansing Center. The additional accounts to be
written off in this fiscal year for the City Market is $54.79 and for the Lansing
Center is $50.00.
C. PRESIDENT& CEO'S REPORT: Eric Hart reported the following:
1. Cyril McGuire: Eric noted the passing of Mr. McGuire stating he made a large
impact on the Lansing Center during his six years as a L.E.P.F.A. Board
member.
�) Nancy Squier- Board MinutesAug07.doc Page 4
2. City Market: Eric stated that the decor and structure changes are complete. Eric
reported that Orchard Farms Organics closed, noting many vendors want to
move into that space. Eric stated Rivis is staying at the Market.
LEPFA Board of Commissioners Meeting
Page 4
August 28, 2007
Eric reported that Nick Hughes will be leaving the City Market and coming to the
Lansing Center as an Event Coordinator, noting this move is not official as
interviews
are still being held with Nick being the only applicant. Eric reported the position
at the Market will be modified possibly to part-time to accommodate the hours of
operation.
Eric stated there are ongoing rumors of development of the City Market property.
Eric stated there has been discussion in regards to redeveloping the area with
the City Market still in the general area and L.E.P.F.A. still managing the market
as the City is aware of the Operating Agreement for the City Market. Eric noted
that nothing is official. Eric stated that the current Operating Agreement would
have to be modified.
Commissioner Butler stated he feels the development sounds exciting for the
City with the City Market still part of the development. Commissioner Butler
stated in his opinion the development will enhance the City Market.
Robert Johnson stated this is the first time that retaining the City Market has
been included in conversation regarding development. Robert Johnson stated
the discussion is looking ahead in an attempt to move forward, with the river
development still in discussion and nothing is final.
3. CVB: Eric stated that the Lansing Center now has in writing a Booking Policy
and Procedures, noting the Lansing Center has been working closely with the
CVB to modify and develop the current policy. Eric stated the new hotel
assessment to support the CVB and marketing of public events will ask for
leniency. Eric noted the CVB and the Lansing Center will be developing a
Booking Committee to review dates with the Lansing Center having the final say.
Eric stated the CVB's past policy has been if the Radisson is not available then
the Lansing Center is not available. Eric stated that the CVB has a new sales
person who will be holding a meeting with the Sheraton and the Marriot to
determine how the CVB can position the Lansing Center, not as another
property, but make it the spoke of the wheel allowing the Lansing Center to bid
on business when the Radisson is not available, using Dean Transportation and
incentives with the Lansing Center or the CVB to make that happen. Eric stated
this has not been the practice of the CVB in the past.
Tim Kaltenbach asked if the CVB supports the construction of another
convention center in Lansing Township. Eric stated that, not speaking for Lee
Hladki, the market can always take additional conference space i.e. an 8000
square feet of banquet rooms. If conference space 18,000—25,000 square foot
is proposed the CVB will not support it. Eric started the CVB will support building
with an adjacent building. The CVB will support a hotel adding minor meeting
space. The township interpreted this into supporting a new major conference
center.
Nancy Squier- Board MinutesAug07.doc Page 5
I
4. Common Ground: Eric stated the audit for the first six years of the festival is
complete, noting that 2006-2007 are not included in the audit. Eric stated the
audit was clean, due to FOIA issues copies were not distributed to the Board
members but if any member wished to make an appointment with Eric he would
review the audit with them.
LEPFA Board of Commissioners Meeting
Page 5
August 28, 2007
Personnel: Eric reported a full-time facility worker turned in their resignation, and
the following positions are available: two full-time Facility Workers, Event
Coordinator, Food and Beverage—Bar Manager, and Creative Services
Coordinator.
5. Lansing Center Upgrades: Eric stated the air walls are done down to the detail
work, and the roof repairs have begun. Eric stated that the sky light will be
removed and replaced, due to the fact that it is not repairable. Scott Keith stated
that due to the roof repair the holiday lights on the roof will need to be removed.
Scott stated the only events this should affect is the Festival of Lights. Eric
stated the rest room repairs will begin once the roof repairs are complete. Eric
stated heated sidewalks are being placed in front of the building along with the
new sidewalk bricks with stamped logos from the City and L.E.P.F.A. Eric stated
that for under $50,000 all the steam sent into the sewer system will be captured,
the heat will be removed and that steam will be used to heat the sidewalks. Eric
stated that the engineers designed the system this way to same money. Eric
stated that bollards are being placed at the end of the sidewalks so the PSD can
not dump salt next to the building.
Commissioner Butler stated he had an idea to stamp the current Board members
names into the sidewalk as representation of the Board members taking part in
making the project happen. Eric stated he would get some ideas together and
get with Commissioner Butler.
6. Oldsmobile Park: Eric stated contracts are signed and Phase 2 should begin
shortly. Eric stated the renovations will be a steel roof, combining of six suites to
build a club section for season ticket holders to watch the game and come for
pre game appetizers and drinks. Commissioner Butler asked if individuals can
buy into the club, Eric stated yes. Eric stated that the rest rooms will be cleaned
and a new coating of sealant will be applied, fencing will be replaced to match
the rain garden wrought iron fencing.
Commissioner Butler stated with the wrought iron fencing to make sure they are
tight enough that children can not put their heads in them. Eric stated that they
are built to State Code and are safe.
7. Paige: At the Board members request Eric shared photos and information
regarding he's newly adopted daughter Paige.
At 9:02 am Tim Kaltanbach exited the meeting.
8. Vice Presidents' Reports (see Commissioners Comments):
VII. COMMISSIONER AND STAFF COMMENTS:
Nancy Squier- Board MinutesAug07.doc Page 6
a. Finance Department — Marian Bryant: Marian reported the audit will begin next
week. Marian stated the Finance office will move to their new office in the old
VIP room following the audit.
LEPFA Board of Commissioners Meeting
Page 6
August 28, 2007
b. Robert Johnson: Robert stated that a meeting is to be held in October with
Councilmember Quinney, Andy Kilpatrick and himself in regards to Michigan
Diabetic Association renting Oldsmobile Park. Robert stated that the suggestion
was made to
utilize Riverfront Park in order to avoid closing off streets for this event, stating
the City suggested this option to the client verses the client making the
suggestion (if this change creates a contract conflict between the client and the
Lansing Center).
c. Marketing Department — Scott Keith: Scott reported that Laurel Winkel has
accepted the Event Services Manager position, as she was the former Box
Office Manager. Scott stated that the Box Office manger position has been
eliminated, although Laurel will still supervise this box office most of the duties
will be taken over by an Event Coordinator. Scott reported that all Forepersons
positions have been filled and there are two full time Facility Worker positions
open.
Scott stated negotiations with the UAW for Food and Beverage is still on going.
Scott reported the new furniture for the concourse is in and the old furniture will
be reupholstered.
d. Marketing Department — Linda Frederickson: Linda stated that the Fall into
Fitness event will be held September 29 & 30, 2007, and will include a marathon
run. Linda stated that USA Family Health and Fitness has registered for the
event.
Linda stated that the Employee of the Month announcement will be held August
29, 2007 in room 201 at 2pm. Linda stated that on September 22, 2007 the Zoo
Party will be held, and if anyone is interested in tickets they should contact Linda.
Linda reported interviews for the Creative Services Coordinator position will
begin next week.
Linda reported for the month of April there were 50 events, totaling 80 event
dates, with 1822 room nights at the Radisson for an estimated economic impact
of$800,000.
e. Commissioner Jeffries: Commissioner Jeffries thanked Heidi Brown for letting
the Board members know about Cyril McGuire and for being a great team leader
during Common Ground. Commissioner Jeffries stated the furniture in the
concourse looks very nice. She also thanked everyone again for the parting gifts
for being Chairman.
Nancy Squier- Board MinutesAug07.doc _ -Page 7
f. Commissioner Bowen: Commissioner Bowen stated that volunteering for
Common Ground was fun again this year. Commissioner Bowen stated the CVB
now has a great team working for them and she is excited for Lansing and the
Hotels.
g. Commissioner Butler: Commissioner Butler stated that the renovations look
outstanding. Commissioner Butler asked if the Oldsmobile Park suite was
available for the Board members or if all dates are gone. Eric started they are all
taken but will schedule multiple dates for next year.
LEPFA Board of Commissioners Meeting
Page 7
August 28, 2007
Commissioner Butler stated he attended Common Ground every night and he is
proud of Scott Keith and Eric Hart for their help during these evenings.
Commissioner Butler commended Eric Hart for his managers whom have grown
as a team and present a level of confidence that has grown with time.
Commissioner Butler noted that on September 13-14, 2007 Sparrow will be
holding a meeting at the Lansing Center, stating this is a good thing and that he
will be bringing it up an the next Sparrow Board meeting as he is Vice-Chairman.
Commissioner Butler asked about the Disney Institute held at the Lansing
Center. Linda Frederickson stated it is an all day seminar with the Disney
Institute sponsored by the Chamber of Commerce and is open to the public for a
fee, information can be found on the Chamber website.
h. Heidi Brown: Heidi thanked Commissioner Jeffries and her spouse for
volunteering at Common Ground each year.
Vill. OLD BUSINESS:
No report.
IX. NEW BUSINESS:
No report.
At 9:20 a.m. the meeting was adjourned. THE NEXT MONTHLY MEETING IS SCHEDULED
FOR TUESDAY, September 25, 2007 AT 8:00 A.M. AT THE LANSING CENTER IN
GOVERNOR'S ROOM.
Respectfully submitted,
Tracy Hodges, Recording Secretary
E
l
Page
(3/5/2008) Nancy Squier- Board MinutesSept07.doc 1
LANSING ENTERTAINMENT AND PUBLIC FACILITIES AUTHORITY
BOARD OF COMMISSIONERS MEETING
September 25, 2007
MINUTES
At 8:10 a.m. Secretary/Treasurer Charlotte Sinadinos called the meeting to order in the
Governor's Room of the Lansing Center-, 333 E. Michigan Avenue; Lansing, Michigan 48933.
COMMISSIONERS PRESENT: Charles Janssen, Ellen Jeffries, Robert Johnson (Ex-officio),
Kris Nicholoff, and Charlotte Sinadinos.
COMMISSIONERS EXCUSED: Gerald Ambrose (Ex-Officio), Cindy Bowen, James W. Butler
III, John Decker, and Tim Haggart.
OTHERS PRESENT: Heidi Brown, Marian Bryant, Linda Frederickson, Eric Hart, Tracy
Hodges, Scott Keith, Dirk Spillemaekers-Lansing Entertainment & Public Facilities Authority;
Councilmember Tim Kaltenbach-City of Lansing.
III. ESTABLISHMENT OF THE AGENDA: Commissioner Sinadinos stated that in the
absence of a quorum the agenda will be amended as the meeting moves on.
IV. PUBLIC COMMENT: None.
V. APPROVAL OF THE MINUTES OF August 28, 2007: A motion to accept the minutes
as published. MOTION: Commissioner Jeffries SECOND: Commissioner Janssen.
Motion to be ratified at the October 23, 2007 Board of Commissioners meeting.
VI. REPORTS:
A. SECRETARY/TREASURER'S REPORT:
1. Monthly Financial Statements for the Period Ending July 31, 2007: Finance
Committee Chairman Charlotte Sinadinos reviewed the financial statements as
follows:
a. Lansing City Market: Chairman Sinadinos noted that this is the first month
of the fiscal year so the current period and year ending amounts will be the
same. Operating Revenues — Building Rental for the current period is $6,084
exceeding the prior year's amount of $5,599. Total Operating Revenues for the
current period are $6,497 exceeding the prior year's amount of$5,795.
Operating Expenses —Salaries/Wages for the current period are $2,657
exceeding the prior year's amount of $1,826. Utilities for the current period are
$4,058 exceeding the prior year's amount of$3,445. Total Operating Expenses
for the current period are $8,868 less than the prior year's amount of $11,929.
Operating Income (Loss)for the current period is a loss of ($2,371) less than the
prior year's loss of ($6,133). Excess Revenues Over Expenses for the current
period are $3,321 compared to the prior year's amount of$95.
Balance Sheet: Total Cash for the current year is $144,453 compared to the
prior year's amount of$57,459. Total Accounts Receivable for the current year is
$80,040 compared to the prior year's amount of $141,829. Unreserved Equity
for the current year is $195,075 exceeding the prior year's amount of$181,413.
(3/5/2008) Nancy Squier- Board MinutesSept07 dot: Page 2
LEPFA Board of Commissioners Meeting
Page 2
September 25, 2007
Budget vs. Actual: Building Rental for the current period is better than budget by
$281. Total Operating Revenues for the current period are better than budget by
$360.
Operating Expenses — Salaries/Wages for the current period are better than
budget by $755. Utilities for the current period are better than budget by $7.
Operating Income for the current period is better than budget by$2,336.
b. Oldsmobile Park: Miscellaneous for the current year is $1,788 which is from
the ATM revenues. Event Expenses for the current year are $38 which will be
applied to the Event Development Fund.
Operating Expenses—SalariesPWages for the current year are$3,371 exceeding
the prior year's amount of $2,996 which is due to the addition of Maintenance
and Finance wages. Utilities for the current year are $9,040 compared to the
prior year's amount of$9,557. Total Operating Expenses for the current year are
$23,491 less than the prior year's amount of $26,730. Excess Revenues over
Expenses for the current period are $11,715 compared to the prior year's
amount of$799.
Balance Sheet.- Cash for the current year is $216,398 compared to the prior
year's amount of $206,033. Net Event Development Fund for the current year is
$88,676 compared to the prior year's amount of $75,515. It was noted that
following the audit a check will be written back to the City for $8,715.
Unreserved Equity for the current year is $66,766 compared to the prior year's
amount of$21,229.
Budget vs. Actual: Total Operating Revenue for the current period is $705.
Operating Expenses — Salaries/Wages for the current period are better than
budget by $366. Utilities for the current period are less than budget by $997.
Total Operating Expenses for the current period are less than budget by $1,094.
After taking into account the City Contribution they are less than budget for
current period by$369.
c. Lansing Center: Building Rental for the current period is $8,815 less than the
prior year's amount of $18,520. Food and Beverage for the current period is
$67,502 exceeding the prior year's amount of$57,431. Equipment Rental for the
current period is $918 less than the prior year's amount of $6,119. Total
Operating Revenue for the current period is $81,928 compared to the prior
year's amount of$90,735.
Operating Expenses- Salary/Wages for the current period are $73,023 less than
the prior year's amount of $73,539. Utilities for the current period are $44,145
compared to the prior year's amount of $54,038. Maintenance of Facilities for
the current period are $5,836 compared to the prior year's amount of $3,981
which is up due to the renovation of the VIP room and the HVAC system.
Supplies/Materials for the current period are $7,687 compared to the prior year's
amount of$3,303. Total Operating Expenses for the current period are $259,195
compared to the prior year's amount of $263,726. Operating Income (Loss) for
the current period is a loss of ($177,267) compared to the prior year's loss of
(3/5/2008) Nancy Squier- Board MinutesSept07.doe. Page 3
($172,990). After taking into account City Contribution and Interest we have a
loss for year to date of($92,245)compared to the prior year's loss of($101,844).
LEPFA Board of Commissioners Meeting
Page 3
September 25, 2007
Balance Sheet: Total Cash and Cash Equivalents for the current year are
$399,421 compared to the prior year's amount of $595,661. Unearned Revenue-
Advanced Rent for the current year is $437,903 compared to the prior year's
amount of $446,612. Unreserved Equity for the current year is $196,504
compared to the prior year's amount of($2,409).
Budget vs. Actual: Building Rental for the current period is less than budget by
($2,515). Food and Beverage for the current period is better than budget by
$2,500. Total Operating Revenues for the current period are less than budget by
$7,353.
Operating Expenses- Salaries/Wages for year to date are better than budget by
$3,181. Utilities for year to date are better than budget by $7,954. Maintenance
of Facilities for year to date are less than budget by $1,294. Supplies/Materials
for year to date are less than budget by $3,878. Total Operating Expenses for
year to date are better than budget by $33,642. Excess Revenues over
Expenses for year to date are than budget by$25,527.
Commissioner Sinadinos moved that the monthly financials for Oldsmobile Park,
the Lansing City Market and the Lansing Center for the period ending July 31,
2007 be received as published and further that the monthly expenses for each
entity be approved. SECOND: Commissioner Janssen. Motion to be ratified at
the October 23, 2007 Board of Commissioner meeting.
B. PRESIDENT&CEO'S REPORT: Eric Hart reported the following:
a. Financials: Eric noted last month was neither a poor month nor a good month for
revenue but was better than the previous year, and the facility will continue to
work toward improving revenues. Eric stated the level of rental pick up is not
near last year's levels. Eric stated that with the new partnership with the CVB
the sales department is soliciting business. Eric stated the CVB has taken the
position that the Lansing Center is the key property in their marketing efforts.
At 8:20 am Kris Nicholoff entered the meeting.
b. Personnel: Eric stated there are four vacancies in the building; two Facility
workers, one Event Coordinator, and the Creative Services Coordinator. Eric
stated these positions will be filled as business needs warrant it, with the
Creative Services Coordinator position being filled as soon as possible.
c. Fall into Fitness: Eric stated ads have started and they look good; the Mayor
gave a nice presentation at the City Council meeting. Eric stated there are only
three booths open and the web site has had over 300,000 hits this month. Eric
(3/5/2008) Nancy Squier Board MinutesSept07 doc Page 4
also stated the Capital City River Run has 2000 runners registered.
LEPFA Board of Commissioners Meeting
Page 4
September 25, 2007
d. Vice Presidents' Reports:
1) Finance Department—Marian Bryant: Marian reported the first quarter of
the Casual for a Cause raised $285 for an employee whose daughter is
seeking treatment for an eating disorder. Marian stated the next quarter
dates are September 17, October 1, and November 5, 2007. Marian
reported the finance office has moved to their now location which looks
nice and is working out well.
2) Marketing Department — Linda Frederickson: Linda reported that the
"Taste of the Market"will be next week. Linda stated that on October 25,
2007 the Lansing Center will have a booth at the Greater Lansing
Business Monthly Expo here at the Lansing Center.
Linda distributed the Occupancy and Room Rental recap, and graphs,
and asked the Board members to review them.
Linda distributed the Lansing Center and Oldsmobile Park construction
review and asked the Board members to review them.
New Business: Linda reported proposals went out for: US African Sister
Cities for July 2008, Michigan Association of School Administrators for
March 2008, and United Methodist Church for March 2008.
Linda reported the "Entertainment Express Trolley" will be having its
10,000'h rider this week, stating the media and the Mayor will be present
for a celebration when that passenger gets on the Trolley. Linda noted
they will be estimating the time and place of the rider for the celebration.
3) Operations Department— Scott Keith: Scott stated the roof construction
is 30% complete, and the first half of the sidewalk project is completed
and the second half will begin soon. Noting the limestone in the front of
the Lansing Center needs replacing and options are being looked into
Scott reported that Request for Proposal went out for the Sound System.
Scott stated that the Long Range Planning Committee meeting needs to
be held next month in regards to the Capital projects.
Scott reported that interviews for the City market position have begun.
i
Scott reported that new trash cans for the Lansing Center will be arriving
within the next two weeks.
RN)Nancy Squier- Board MinutesSept07.doc Page 5
LEPFA Board of Commissioners Meeting
Page 5
September 25, 2007
4) Food and Beverage Department — Bill Grove: Bill reported Food and
Beverage has a successful wedding season, stating this is good due to
the fact that most weddings are booked based on referrals.
Bill reported the Food & Beverage department is at full staff as Brian
Daley has been promoted to Bar/Concessions manager.
Bill stated the union contract has been ratified though not signed.
VII. COMMISSIONER AND STAFF COMMENTS:
a. Chairman Kris Nicholoff: Chairman Nicholoff stated if any Board members have
any questions regarding the email he sent regarding wage formulas to please
contact him.
b. Robert Johnson: Mr. Johnson stated that the City of Lansing is currently very
busy.
c. Commissioner Sinadinos: Commissioner Sinadinos stated Board approval for the
purchase of exhibit hall carpeting, that is rented out to create revenues, is
needed due to the amount of the purchase.
Commissioner James Butler was contacted by phone to participate in the motion
for the purchase of the exhibit hall carpeting. Commissioner Sinadinos made the
motion to enter into a purchasing agreement with the low bidder to purchase
exhibit hall carpet in the amount of $51,507. SECOND: Commissioner Jeffries.
All present Board members and Commissioner Butler were in favor, official
ratification of the motion will take place at the October 23, 2007 meeting.
d. Commissioner Jeffries: Commissioner Jeffries stated the Senate is busy with
the budget and are currently not progressing well.
e. Eric Hart: Eric stated the"Entertainment Express Trolley" has done very well with
strong numbers even through the summer months. Eric stated that CATA has
begun making financial contributions and sponsors are still being sought. Eric
stated that once again sponsorship money will need to be raised.
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, 2007 AT 8:00 A.M. AT THE LANSING CENTER IN ROOM 205.
Respectfully submitted,
Tracy Hodges, Recording Secretary
i
Nancy Squier Board MinutesOct07 doc. Page 1
LANSING ENTERTAINMENT AND PUBLIC FACILITIES AUTHORITY
BOARD OF COMMISSIONERS MEETING
October 23, 2007
MINUTES
At 8:08 a.m. Chairman Kris Nicholoff called the meeting to order in the Governor's Room of the
Lansing Center; 333 E. Michigan Avenue; Lansing, Michigan 48933.
COMMISSIONERS PRESENT: Cindy Bowen, James W. Butler III, John Decker, Charles
Janssen, Kris Nicholoff, and Charlotte Sinadinos.
COMMISSIONERS EXCUSED: Gerald Ambrose (Ex-Officio), Tim Haggart, Ellen Jeffries, and
Robert Johnson (Ex-officio).
OTHERS PRESENT: Heidi Brown, Marian Bryant, Linda Frederickson, Eric Hart, Tracy
Hodges, Scott Keith, John Hooper, Dirk Spillemaekers-Lansing Entertainment & Public
Facilities Authority; Councilmember Tim Kaltenbach-City of Lansing.
III. ESTABLISHMENT OF THE AGENDA:
IV. PUBLIC COMMENT: None.
V. APPROVAL OF THE MINUTES OF September 25, 2007: A motion was made to
accept the minutes as published. MOTION: Commissioner Janssen SECOND:
Commissioner Sinadinos. Motion approved.
i
VI. REPORTS:
A. CHAIRMAN REPORT: Chairman Nicholoff stated the construction in front of the
Lansing Center looks good and is anxious to see Washington Avenue. when
complete.
At 8:10 a.m. Scott Keith entered the meeting.
B. SECRETARY/TREASURER'S REPORT:
1. Monthly Financial Statements for the Period Ending September 30, 2007:
Finance Committee Chairman Charlotte Sinadinos stated the August and
September financials were distributed, and she asked the Board members to
review the August Financials and she will review September's. Committee
Chairman Sinadinos reviewed the financial statements as follows:
a. Lansing City Market: Operating Revenues— Building Rental for the current
period is $4,742 compared to the prior year's amount of $4,558. Building Rental
for year to date is $14,858 compared to the prior year's amount of $14,807.
Total Operating Revenues for the current period are $5,058 exceeding the prior
year's amount of $4,847 and for year to date they are $16,033 compared to the
prior year's amount of$15,606.
Operating Expenses —Salaries/Wages for year to date are $11,317 exceeding
the prior year's amount of $8,843. Utilities for the current period are $3,509
exceeding the prior year's amount of $3,053 and for year to date they are
$11,715 compared to the prior year's amount of$10,174.
Nancy Squier- Board MinutesOct07.doc -y Page 2
LEPFA Board of Commissioners Meeting
Page 2
October 23, 2007
Total Operating Expenses for the current period are $9,446 compared to the
prior year's amount of$8,274 and for year to date they are $29,909 compared to
the prior year's amount of $29,809. Excess Revenues Over Expenses for the
current period are $1,304 compared to the prior year's amount of$2,802 and for
year to date they are 3,122 compared to the prior year is $4,486.
Balance Sheet: Total Cash for the current year is $151,538 compared to the
prior year's amount of $83,843. Unreserved Equity for the current year is
$194,875, exceeding the prior year's amount of$185,804.
Budget vs. Actual: Building Rental for the current period is less than budget by
($677) compared to the prior year's amount of ($1,750). Total Operating
Revenues for the current period are less than budget by ($694) and for year to
date they are ($1,577).
Operating Expenses—Sa►aries[Wages for year to date are better than budget by
$1,349. Utilities for year to date are better than budget by $482. Total
Operating Expenses for the current period are better than budget by $2,263 and
for year to date they are better than budget by $5,347. Expenses Over
Revenues for the current period are better than budget by $1,569 and for year to
date they are better than budget by$3,770.
b. Oldsmobile Park: Event Revenues for the current year are $1,389 from the
Baseball Factory, with expenses of$225 for an income of$1,164, to be added to
the Event Development Fund.
Operating Expenses —Utilities for the current year are $9,345 compared to the
prior year's amount of$8,968 and for year to date they are $27,414 compared to
the prior year's amount of $28,266. Total Operating Expenses for the current
year are $21,229 compared to the prior year's amount of$20,681 and for year to
date they are $67,384 compared to the prior year's amount of $73,299. Excess
Revenues over Expenses for the current period are $13,831 compared to the
prior year's amount of$6,628 and for year to date they are $38,102 compared to
the prior year's amount of$9,528.
Balance Sheet: Cash for the current year is $237,337 compared to the prior
year's amount of $440,598. Net Event Development Fund for the current year is
$80,871 compared to the prior year's amount of $75,505. It was noted that
following the audit a check will be written back to the City for $8,715.
Unreserved Equity for the current year is $94,063 compared to the prior year's
amount of$29,947.
Budget vs. Actual: Operating Expenses — Salaries/Wages for year to date are
better than budget by $493. Utilities for year to date are less than budget by
($2,165). Total Operating Expenses for the current period are better than
budget by $11,383 and for year to date are $12,308. After taking into account
the City Contribution they are less than budget for current year by$14,289.
Eric Hart stated that a payment for the Event Development Fund will be sent and
appear in the October or November financials.
Nancy Squier- Board MinutesOct07.doc Page 3
LEPFA Board of Commissioners Meeting
Page 3
October 23, 2007
c. Lansing Center: Building Rental for the current period is $48,050 less than
the prior year's amount of $54,290 and for year to date is $85,552 compared to
the prior year's amount of$141,432. Food and Beverage for the current period is
$168,687 exceeding the prior year's amount of $212,651 and for year to date is
$368,009 compared to the prior year's amount $426,771. Total Operating
Revenue for the current period is $322,795 compared to the prior year's amount
of$317,223.
Operating Expenses- Salary/Wages for year to date are $375,722 compared to
the prior year's amount of$265,908. Utilities for the current period are $37,434
compared to the prior year's amount of $49,242 and for year to date are
$117,544 compared to the prior year's amount of $160,243. Total Operating
Expenses for the current period are $389,113 compared to the prior year's
amount of $378,758 and for year to date are $1,065,000 compared to the prior
year's amount of $1,092,000. After taking into account the City Contribution and
Interest for the current period is $17,805 compared to the prior year's amount of
$9,229 and for year to date is a loss of ($209,467) compared to the prior year's
loss of($185,003).
Balance Sheet: Total Cash and Cash Equivalents for the current year are
$348,732 compared to the prior year's amount of $342,150. Unearned Revenue-
Advanced Rent for the current year is $435,421 compared to the prior year's
amount of $441,434. Unreserved Equity for the current year is $79,282
compared to the prior year's amount of($85,568).
Budget vs. Actual: Building Rental for the current period is less than budget by
($7,521) and for year to date is less than budget by ($23,766). Total Operating
Revenues for the current period are better than budget by $72,712 and for year
to date are better than budget by $108,454.
Operating Expenses- Salaries/Wages for year to date are better than budget by
$21,704. Utilities for year to date are better than budget by $28,755. Total
Operating Expenses for the current period are better than budget by $39,605
and for year to date are better than budget by $133,166. Excess Revenues over
Expenses for the current period are less than budget by ($34,767) and for year
to date are better than budget $20,945.
Commissioner Sinadinos moved that the monthly financials for Oldsmobile Park,
the Lansing City Market and the Lansing Center for the periods ending August
31 and September 31, 2007 be received as published and further that the
monthly expenses for each entity be approved. SECOND: Commissioner
Janssen. Motion approved.
Commissioner Sinadinos stated that the Finance Committee met regarding to
the Entertainment Express Agreement. Commissioner Sinadinos made a motion
to enter LEPFA into one year extension agreement with the Entertainment
Express. This is an extension of the agreement LEPFA entered into in 2006. The
total cost to LEPFA remains the same as outlined in the 2006 agreement at
$91,000, with $56,000 to be raised in sponsorship funds, the difference in the
extension funding for 2007-2008 is the remaining $35,000 which will come from
Nancy Squier- Board MinutesOct07.doc
LEPFA funds which have been budgeted and approved in the 2007-2008
budget. SECOND: Commissioner Bowen. Motion approved.
LEPFA Board of Commissioners Meeting
Page 4
October 23, 2007
Commissioner Sinadinos made a motion to enter into a one year extension
retainer agreement for Kelly Cawthorne for consulting services on behalf of
LEPFA. This is an extension of the agreement entered into July 2006. Total cost
remains the same as entered into in the 2006 agreement at $2,000 per month
plus expenses with this fee already budgeted and approved in the 2007-2008
budget. SECOND: Commissioner Bowen. Motion approved.
Commissioner Janssen asked what Kelly Cawthorne is tracking currently. Eric
Hart stated to track legislation. Eric stated he gets calls daily in this regards and
Kelly Cawthorne helped stop the ticket tax. Eric stated they are also watching
possible issues with the liquor tax, stating they are very active for LEPFA.
Chairman Nicholoff stated the agreement provides for expenses asking if we pay
them. Marian Bryant stated that they have never requested payment of
expenses. Eric stated we pay zero unless they are pre-approved.
B. PRESIDENT&CEO'S REPORT: Eric Hart reported the following:
a. August Business: Eric noted business is down by about $100,000 in revenues.
Stating sales is working to close the gap. Eric stated that October is looking to
be a better month.
b. Sales: Eric stated that Sales has begun reorganizing in coordination with the
CVB; noting Sales along with the CVB are working on their method of attracting
business. Eric stated the CVB has approved an agreement with LEPFA on a
uniform Booking Policy and it should be done by January. Eric noted that the
CVB and LEPFA combined Board meeting will be Monday, October 29, 2007 in
Board Room 2.
c. City Market Development: Eric stated a meeting has been held with the Long
Range Planning Committee regarding City Market development. Eric stated the
City Council still must approve the development deal, stating what was proposed
is a working document not finalized in designe development. Eric stated he has
met with many key vendors that will be the start of the future, who believe it
would be best to concentrate on Michigan grown and organic produce, more of a
farmers and food market. Eric stated initial concepts illustrate it as a nine month
Market, stating a meeting will be held with the vendors. Eric will be meeting with
Michigan State University, the Developer, and the EDC next week pre-planning
before meeting with the vendors and stock holders.
Tim Kaltenbach questioned the feedback from the vendors. Eric stated the
response is mixed with some vendors want to run a full year not nine months.
Eric stated there may be a possibility of doing year round in parts of the market.
Tim supports partial year round vending in part of the market. Eric stated he
needs everyone to understand that the Market is subsidized and the City Council
needs to know that, and the reason for the subsidizes is due to the utilities and
the vendors made it clear in the meeting they do not want to pay real rent they
/ wancySquier BoardWiinubasDoU}7doo �� _
,Jancy Squier- Board MinutesOct07 doc. Page 6:1
At 8:50 a.m. John Hooper exited the meeting.
LEPFA Board of Commissioners Meeting
Page 6
October 23, 2007
Eric stated the shell would be built where the main stage for Common Ground
stands, at the South end of the park near Shiawassee Street. Eric stated that for
Common Ground this would open the venue up to 3000 more patrons and make
the shell available for use for seven to eight months out of the year. Eric stated
the reason there are not more events is the cost of erecting the stage for one
night, stating this will be a permanent location for events. Eric stated he is
working with the City Administration and City Council to make the project
happen.
Tim Kaltenbach stated if the estimated cost is $1.4 million, why are we asking for
$1.6 million. Eric stated the $1.6 million will include utility hookup from the Board
of Water and Light.
Commissioner Nicholoff stated there could be a naming fund raiser. Eric stated
it is intended to be proposed to business.
Commissioner Butler requested talking points on the project in order to help get
the word out.
Commissioner Janssen asked for the construction timeline. Eric stated 2009 or
2010, stating if completed in 2009 it would allow for the elimination of the East
stage during Common Ground. Eric stated the City is putting together a fund
raising plan
e. Board Holiday Party: Eric stated the Holiday Party will be December 5, 2007, and
the Board of Water and Light Holiday Party will be on December 6, 2007 here at
the Lansing Center.
f. Construction of roof: Eric stated the skylight replacement will begin soon. There
have been some last minute changes and we will be working with the Long
Range Planning Committee in this regard.
Commissioner Janssen proposed a timeline be drafted of all events in process or
potential that need approval, stating this would be helpful to the Long Range
Planning Committee. Scott Keith stated we have spent about three of the four
million,with about two approved large projects out there for completion.
g. Capital Purchases: Eric stated all is going well. Scott Keith stated we have
spent three million of the 4 million given, and most projects are completed, with
the Exhibit Hall Sound System and lighting upgrades to be completed next.
Commissioner Butler asked for a project summary. Scott stated he would email
a copy to everyone.
Nancy Squier- Board MinutesOct07 doc.-- Page 7
i
LEPFA Board of Commissioners Meeting
Page 7
October 23, 2007
VI1. COMMISSIONER AND STAFF COMMENTS:
1) Commissioner Sinadinos: Commissioner Sinadinos stated she is excited
about the Park Development announcement.
2) Commissioner Bowen: Commissioner Bowen stated the Kellogg Center
had a record August.
3) Marketing Department — Linda Frederickson: Linda distributed the
Occupancy and Business Highlights and asked the Board members to
review them.
New Business: Linda reported proposals went out for: American
Mortgage Association for November 2008, Mid West Car Association for
August 2008, and Michigan Nurses Association for April 2008.
Linda reported the Sales Department will be meeting monthly with the
CVB. Linda stated Silver Bells in the City will be November 16, 2007,
look for information in the Market Watch on November 8, 2007.
Linda reported that LEPFA has a double booth at the Greater Lansing
Business Monthly Expo.
4) Operations Department— Scott Keith: Scott stated Honeywell is working
on the fans in rooms 201 and 205 as they are loud.
Scott reported Phase II of the construction project is in progress and
stated winterization of the field will begin soon.
Scott stated the snow melt system is going well, and the limestone in
front of the building is being replaced and will have hangers installed to
support the limestone.
Scott stated the roof is down to the flashing to be completed. Noting the
sky light is on back order and will be installed in November. Scott stated
the sound systems bids are back and will be reviewed.
Scott stated that new TV monitors for the building for clients and to
advertize up coming events, and ads will be installed, (these will replace
the current TV's).
Scott stated that the full time positions are full, and Nick Hughes is now
an Event Coordinator.
Dirk Spillemaekers made a public comment stating the sound system is
in delicate shape living from day to day; stating it caught fire a week ago
Aancy Squier- Board MinutesOct07.doc Page 8
and is in grave need of repair.
LEPFA Board of Commissioners Meeting
Page 8
October 23, 2007
5) Food and Beverage Department — Bill Grove: Bill commented that
revenues have not been great. Bills stated his management positions are
at full staff, and a lot of training for new banquet staff is taking place,
which increases labor costs but will ensure the staff is ready for the busy
holiday season.
7) Commissioner Butler: Commissioner Butler stated he was at the Lansing
Center the previous Friday and Saturday for a conference with Sparrow
and the service was excellent with no issues.
Vill. OLD BUSINESS:
No report.
IX. NEW BUSINESS:
No report.
At 9:29 a.m. the meeting was adjourned. THE NEXT MONTHLY MEETING IS SCHEDULED
FOR TUESDAY, November 27, 2007 AT 8:00 A.M. AT THE LANSING CENTER IN
GOVERNOR'S ROOM.
Respectfully submitted,
Tracy Hodges, Recording Secretary
LANSING ENTERTAINMENT AND PUBLIC FACILITIES AUTHORITY
BOARD OF COMMISSIONERS MEETING
November 27, 2007
MINUTES
At 8:00 a.m. Vice Chairman James Butler called the meeting to order in the Governor's Room of the
Lansing Center; 333 E. Michigan Avenue Lansing, Michigan 48933.
COMMISSIONERS PRESENT: Gerald Ambrose (Ex-Officio), Cindy Bowen, James W. Butler III,
John Decker, Tim Haggart, Charles Janssen, Ellen Jeffries, Robert Johnson (Ex-officio), and Charlotte
Sinadinos.
C�
COMMISSIONERS EXCUSED: Kris Nicholoff.
At 8:01 a.m. Cindy Bowen entered the meeting.
OTHERS PRESENT: Heidi Brown, Linda Frederickson, Bill Grove, Eric Hart, Tracy Hodges- Scot=
Keith, Dirk Spillemaekers-Lansing Entertainment &Public Facilities Authority. U.; i
III. ESTABLISHMENT OF THE AGENDA: c:�
IV. PUBLIC COMMENT: Linda Frederickson introduced Kim Mull as the new Creative Services
Coordinator. Kim stood, greeted the Board members, and gave details of her background.
At 8:04 a.m. Tim Haggart and Scott Keith entered the meeting.
V. APPROVAL OF THE MINUTES OF October 23, 2007: A motion was made to accept the
minutes as published. MOTION: Commissioner Janssen SECOND: Commissioner Sinadinos.
Motion approved.
At 8:05 a.m. Robert Johnson and Gerald Ambrose entered the meeting.
VI. REPORTS:
A. CHAIRMAN REPORT: None.
B. SECRETARY/TREASURER'S REPORT:
1. Monthly Financial Statements for the Period Ending October 31, 2007: Finance
Committee Chairman Charlotte Sinadinos reviewed the financial statements as follows:
a. Lansing City Market: Operating Revenues - Building Rental for the current
period is $4,815 compared to the prior year's amount of $4,899. Building Rental for
year to date is $19,673 compared to the prior year's amount of $19,706. Parking for
year to date is $7,381 compared to the prior year's amount of$8,050. Total Operating
Revenues for the current period are $12,609 compared the prior year's amount of
$13,337 and for year to date they are $28,642 compared to the prior year's amount of
$28,943.
Operating Expenses -Salaries/Wages for the current period are $4,720 compared the
prior year's amount of $3,130 and for year to date are $16,038 exceeding the prior
year's amount of$11,973.
LEPFA Board of Commissioners Meeting
Page 2
November 27, 2007
Utilities for the current period are $2,960 less than the prior year's amount of $3,419
and for year to date they are $14,675 compared to the prior year's amount of$13,593.
Marketing for year to date is $1,158 compared to the prior year's amount of $5,840,
down due to the upgrade of the web site last year.
Total Operating Expenses for the current period are $11,167 compared to the prior
year's amount of $8,369 and for year to date they are $41,157 compared to the prior
year's amount of$38,448. Excess Revenues Over Expenses for the current period are
$6,022 compared to the prior year's amount of$9,764.
Balance Sheet: Total Cash for the current year is $158,133 compared to the prior year's
amount of$79,520. Total Account Receivable for the current year is $52,388 compared
the prior year's amount of$ 125,263. Account Payable for the current year is $12,155
compared to the prior year's amount of$11,544.
Budget vs. Actual: Building Rental for the current year is less than budget by ($2,386).
Parking for the current year is less than budget by ($1,300). Total Operating Revenues
for the current year are less than budget by ($3,343).
Operating Expenses - Salaries/Wages for year to date are better than budget by $649.
Utilities for year to date are better than budget by $1,588. Marketing Expenses for the
current year are better than budget by $1,809. Excess Over Revenues for the current
year are better than budget by $2,643.
Commissioner Butler asked why Cash is double from last year. Eric stated the Lansing
Center has paid many of its loans and is working out of its cash flow and not taking
loans from the City Market.
b. Oldsmobile Park: Miscellaneous for the current period is $344 from the ATM.
Total Operating Revenue for year to date is $5,574 exceeding to the prior year's
amount of$4,746. Event Revenues for the current period are $1,927 from the Diabetic
Association event, with expenses of $134 for an income of $1,792, to be added to the
Event Development Fund.
Operating Expenses - Salaries/Wages for the current year are $17,855 compared to the
prior year's amount of $18,011. Utilities for the Current period are $5,016 compared
to the prior years amount of $601 and for year to date are $32,430 compared to the
prior year's amount of $28,868. Total Operating Expenses for the current year are
$17,267 compared to the prior year's amount of $22,805 and for year to date they are
$84,652 compared to the prior year's amount of $96,105. Operating Income (Loss) for
the current period is a loss of($16,923) compared to the prior year's loss of($22,371).
Excess Revenues over Expenses for the current period are $9,963 compared to the
prior year's amount of $3,800 and for year to date they are $48,065 compared to the
prior year's amount of$13,328.
Balance Sheet: Cash for the current year is $239,087 compared to the prior year's
amount of $313,510. Net Event Development Fund for the current year is $82,663
compared to the prior year's amount of$75,500. It was noted that a check was written
back to the City for $8,715.
LEPFA Board of Commissioners Meeting
Page 3
November 27, 2007
Unreserved Equity for the current year is $105,818 compared to the prior year's
amount of$33,743.
Budget vs. Actual: Event Revenues for the current year are $3,316. Operating
Expenses - Utilities for year to date are better than budget by $1,981. Marketing for
the current year is better than budget by $3,461. Total Operating Expenses for the
current period are better than budget by $7,085 and for year to date are $21,375.
c. Lansing Center: Total Operating Revenue for the current period is $492,283
exceeding the prior year's amount of $407,283 and for year to date is 1,094,000 less
than the prior year's amount of $1,102,000. Building Rental for the current period is
$124,750 exceeding the prior year's amount of $75,427 and for year to date is
$210,302 less than the prior year's amount of $216,860. Food and Beverage for the
current period is $252,029 exceeding the prior year's amount of$246,058 and for year
to date is $620,039 compared to the prior year's amount $672,830.
Operating Expenses- Salaries/Wages for year to date are $518,410 compared to the
prior year's amount of $526,005. Professional Services for the current period are
$21,498 and for year to date are $62,897, due to the consulting fee for the lobby
company. Utilities for the current period are $33,682 compared to the prior year's
amount of$50,027 and for year to date are $151,227 less than the prior year's amount
of $210,270. Food and Beverage for the current period is $143,731 compared to the
prior year's amount of $152,847. After taking into account the City Contribution and
Interest for the current period is $138,856 compared to the prior year's amount of
$25,318 and for year to date is a loss of($70,610) compared to the prior year's loss of
($159,685).
Balance Sheet: Total Cash and Cash Equivalents for the current year are $603,577.
Account Receivable is $695,091 compared to the prior year's amount of $339,051.
Account Payable is $698,524 compared to the prior year's amount of $396,570.
Unearned Revenue-Advanced Rent for the current year is $434,453 compared to the
prior year's amount of $421,382. Unreserved Equity for the current year is $217,573
compared to the prior year's amount of($60,250).
Budget vs. Actual: Building Rental for the current period is better than budget by
$18,742 and for year to date is less than budget by ($5,024). Food and Beverage for the
current period is better than budget $2,029 and for year to date is less than budget by
($54,962). Equipment Rental for year to date is better than budget by $23,124. Total
Operating Revenues for year to date are less than budget by ($55,761).
Operating Expenses- Salaries/Wages for year to date are better than budget by $21,562.
Utilities for year to date are better than budget by $57,172. Marketing for the year to
date is higher than budget by ($8,671). Total Operating Expenses for the current
period are better than budget by $16,819 and for year to date are better than budget by
$149,986. Operating Income for the current period is better than budget by $69,511
and for year to date is better than budget by $94,224. Excess Revenues over Expenses
for the current period are better than budget by $67,369 and for year to date are better
than budget$88,315.
LEPFA Board of Commissioners Meeting
Page 4
November 27, 2007
Commissioner Janssen asked if the variance in Utilities is what was predicted. Eric
Hart stated it is better than projected and we reduced even more expenses. Eric stated
this is due to the milder weather as we are still as busy as last year. Eric noted that
billings from the Board of Water and Light are not adding up and that the Finance
Department is looking into this issue, also stating that we will be reading the meters
ourselves in an effort to correct the issues.
Commissioner Sinadinos moved that the monthly financials for Oldsmobile Park, the
Lansing City Market and the Lansing Center for the periods ending October 31, 2007
be received as published and further that the monthly expenses for each entity be
approved. SECOND: Commissioner Janssen. Motion approved.
Commissioner Sinadinos stated the Finance Committee approved the purchase of a
large surge protector. Eric Hart stated the electricians feel the building was hit by
lightning and that caused the melt down of the sound system.
Eric Hart stated it would cost $10,000 to repair electrical components on the sound
system or $16,500 to replace electrical components on the sound system. Eric stated it
was decided to replace the sound system that will work with any new systems placed in
the building. Eric noted this money will come out of the operations budget. Eric stated
the City's Master Electrician will be installing the system which will keep labor cost
down. Robert Johnson asked if an electrical permit was purchased. Eric stated it is
considered a repair not an installation so a permit will not be needed. Robert Johnson
stated it would be a good idea to verify to be sure one is not needed.
Commissioner Sinadinos stated the final draft of the audit was discussed in the Finance
Committee meeting. Eric Hart stated the audit was clean, the same as last year, with
some changes in the Manager's notes. Eric stated this year was a clean audit and the
Finance Committee reviewed and approved the audit. Eric stated the auditors again this
year stated there are not enough employees in the Accounting Department. Eric noted
that with a company this size we can not afford the labor for more employees. Eric also
stated that next year the audit fees will be going up due to the GASB Rules along with
future internal auditing controls.
Commissioner Sinadinos moved to accept the 2007 Audit as published. SECOND:
Commissioner Bowen. Motion approved.
B. PRESIDENT& CEO'S REPORT: Eric Hart reported the following:
a. Doctor Bryant: Eric noted the passing of Doctor Bryant, stating this is the reason for
Marian Bryant's absence today.
b. City Market: Eric stated more discussion is to come regarding the development
project. Eric stated that Michigan State University, the developer, and USDA are
helping to create a long range goal for the appearance of the new City Market.
Michigan State University is doing a need analysis, stating they will be contacting all
the stack holders. Eric stated more information will be forth coming.
LEPFA Board of Commissioners Meeting
Page 5
November 27, 2007
c. Chili Cook-off: Eric stated he met with Mark Nixon who has asked LEPFA to become
more of a partner as the Primary Sponsor. Eric stated that with our help the cook-off
will have a better flow and allow the event to continue to grow.
Commissioner Butler asked if being involved as a sponsor will create more revenue.
Eric stated no, our services will be donated as an in-kind trade. Eric stated the cook-
off has grown so large the Board of Water and Light can not keep up.
d. CVB: Eric stated progress is being made, he has not seen an agreement at this time,
stating more information is to come.
e. Board Holiday Parry: Eric stated the Holiday Party will be December 5, 2007.
f. Tickets: Eric stated if any Board members needs tickets to the City Holiday Gala to see
him after the meeting.
VII. COMMISSIONER AND STAFF COMAMNTS:
1) Operations Department - Scott Keith: Scott stated at the Lansing Center the
side walk in front of the building is done and the plants will be placed in the
spring. Scott noted the skylight replacement if moving forward and should be
installed soon. Scott stated the new roof has a couple of leaks which the
contractors are repairing and work on the glass and flashing will begin today.
Scott reported at Oldsmobile Park the final touches are being done to the Club
Suite. Scott noted the rest rooms have the Fire Resistant Panel installed and the
hand washing stations upgrades are complete. Scott stated the repair to the roof
will begin soon, noting some of the repairs will be warranty work.
2) Marketing Department - Linda Frederickson: Linda distributed the Occupancy
and Business Highlights and asked the Board members to review them.
November Highlights: Linda stated 2 Men and a Truck held their first
Olympics at the Lansing Center and rebooked have booked for the next three
years. Also the Michigan Library Association which will be back on a two year
rotation, Chemical Bank with about 1500 people in attendance.
New Business: Linda reported proposals went out for: West Land Women's
Group for Summer 2011, McDonalds for February 2008, Michigan Department
of Education for August 2008, and ArtServe of Michigan for 2008.
Linda reported the Sales Department will be meeting monthly with the CVB.
Linda stated Silver Bells in the City will be November 16, 2007, look for
information in the Market Watch on November 8, 2007.
Linda reported that a building partnership was created with Lehman Bertram &
Wesley for a monthly retainer with event services.
LEPFA Board of Commissioners Meeting
Page 6
November 27, 2007
Commissioner Butler asked if Shipshewana on the Road has moved to another
location and why. Eric Hart stated is has moved to the Summit. Eric stated this
event is a low budget disorganized client who have chosen to go to a location where
their attendees do not have to pay for parking to attend a flea market event. Eric
stated at the Summit they will have a very hard time unloading and loading for their
vendors.
3) Commissioner Bowen: Commissioner Bowen asked if we have a computerized
preventative maintenance program. Scott stated we do not but it is in the
Capital Purchase budget to get one, stating it was organically part of the
Honeywell project which it was value engineered out. Scott stated we don't
have a computer or set program.
Commissioner Bowen asked Linda how we can make October's revenues
happen again next year. Linda stated that there are many renewals already
taking place along with strategic planning being done partnership with the
CVB.
4) Commissioner Jeffries: Commissioner Jeffries thanked Cindy Bowen for
bringing her expertise to the Board, and thanked the Mayor and City Council
for her reappointment to the Board of Commissioners.
7) Commissioner Butler: Commissioner Butler stated the Lansing Center did a
wonderful job with Silver Bells in the City, stating he liked the changes at the
Mayors office it was a great use of space.
VIII. OLD BUSINESS:
No report.
IX. NEW BUSINESS:
No report.
At 9:04 a.m. the meeting was adjourned. THE NEXT MONTHLY MEETING IS SCHEDULED FOR
TUESDAY, December 18, 2007 AT 8:00 A.M. AT THE LANSING CENTER IN GOVERNOR'S
ROOM.
Respectfully submitted,
Tracy Hodges, Recording Secretary
LANSING ENTERTAINMENT AND PUBLIC FACILITIES AUTHORITY
BOARD OF COMMISSIONERS MEETING
December 18, 2007 t
MINUTES , ---_
r �
At 8:02 a.m. Chairman Kris Nicholoff called the meeting to order in the Governor's Room of the_f
Lansing Center; 333 E. Michigan Avenue Lansing, Michigan 48933.
c.aJ
COMMISSIONERS PRESENT: John Decker, Ellen Jeffries, Charles Mickens, Kris Ni'choloff, and
Charlotte Sinadinos.
COMMISSIONERS EXCUSED: Gerald Ambrose (Ex-Officio), Cindy Bowen, James W. Butler III,
Tim Haggart, Charles Janssen, and Robert Johnson (Ex-officio).
OTHERS PRESENT: Heidi Brown, Linda Frederickson, Bill Grove, Eric Hart, Tracy Hodges, Scott
Keith, Dirk Spillemaekers-Lansing Entertainment &Public Facilities Authority.
III. ESTABLISHMENT OF THE AGENDA:
IV. PUBLIC COMMENT:
V. APPROVAL OF THE MINUTES OF November 27, 2007: A motion was made to accept
the minutes as published. MOTION: Commissioner Jeffries SECOND: Commissioner
Sinadinos. Motion approved.
VI. REPORTS:
A. CHAIRMAN REPORT: None.
B. SECRETARY/TREASURER'S REPORT:
1. Monthly Financial Statements for the Period Ending November 30, 2007: Finance
Committee Chairman Charlotte Sinadinos reviewed the financial statements as follows:
a. Lansing City Market: Operating Revenues - Building Rental for the current
period is $4,237 compared to the prior year's amount of $4,290. Building Rental for
year to date is $23,911 compared to the prior year's amount of $23,996. Parking for
year to date is $7,381 compared to the prior year's amount of$8,050. Total Operating
Revenues for the current period are $4,646 compared the prior year's amount of$4,660
and for year to date they are $33,288 compared to the prior year's amount of$33,603.
Operating Expenses -Salaries/Wages for year to date are $19,794 exceeding the prior
year's amount of$14,793. Utilities for the current period are $4,015 less than the prior
year's amount of $4,746 and for year to date they are $18,691 compared to the prior
year's amount of$18,340. Total Operating Expenses for the current period are $12,526
compared to the prior year's amount of $10,581 and for year to date they are $53,683
compared to the prior year's amount of$49,029. Excess Revenues Over Expenses for
the current period are a loss of($3,299) compared to the prior year's loss of($853) and
for year to date are $5,845 compared to the prior year's amount of$13,398.
Balance Sheet: Total Cash for the current year is $181,784 compared to the prior year's
amount of $110,345. Unreserved Equity for the current year is $197,598 compared to
the prior year's amount of$194,716.
LEPFA Board of Commissioners Meeting
Page 2
December 18, 2007
Budget vs. Actual: Building Rental for the current period is less than budget by ($929)
and for year to date is less than budget by ($3,315). Total Operating Revenues for the
current period are less than budget by ($854) and for year to date are less than budget
by ($4,289).
Operating Expenses - Salaries/Wages for year to date are better than budget by $914.
Utilities for year to date are better than budget by $1,638. Total Operating Expenses
for year to date is better than budget by $5,125. Expenses Over Revenues for the
current year are better than budget by $836.
Eric Hart stated the City Market lost a significant amount of money due in November
and the finances in December will be worse. Eric stated this is in part due to the east
side staying open longer along with the weather being colder. This may cause the
heating bill to be high. Eric stated steps will be taken to correct this over the next few
months.
b. Oldsmobile Park: There were no Event Revenues for the current period with
expenses of$6.23.
Operating Expenses - Salaries/Wages for the current year are $22,210 compared to the
prior year's amount of $21,786. Utilities for the current period are $6,084 compared
to the prior years amount of $4,530 and for year to date are $38,515 compared to the
prior year's amount of $33,398. Total Operating Expenses for the current period are
$17,723 compared to the prior year's amount of $18,752 and for year to date are
$102,375 compared to the prior year's amount of $114,857. Operating Income (Loss)
for the current period is a loss of ($96,793) compared to the prior year's loss of
($110,111). Excess Revenues over Expenses for the current period are $9,172
compared to the prior year's amount of $7,419 and for year to date they are $57,237
compared to the prior year's amount of$20,748.
Balance Sheet: Cash for the current year is $334,657 compared to the prior year's
amount of $402,531. Net Event Development Fund for the current year is $82,657
compared to the prior year's amount of $75,495. Unreserved Equity for the current
year is $114,984 compared to the prior year's amount of$41,157.
Budget vs. Actual: Operating Expenses - Utilities for the current period are better than
budget by $3,078 and for year to date are better than budget are $5,059. Total
Operating Expenses for the current period are better than budget by $6,795 and for
year to date are better than budget by $28,179.
c. Lansing Center: Building Rental for the current period is $76,700 compared to the
prior year's amount of $77,875 and for year to date is $287,002 less than the prior
year's amount of $294,735. Food and Beverage for the current period is $255,574
exceeding the prior year's amount of $227,172 and for year to date is $875,613
compared to the prior year's amount $900,003. Total Operating Revenue for the
current period is $429,438 compared to the prior year's amount of $369,868 and for
year to date is $1,524,000 compared to the prior year's amount of$1,472,000.
LEPFA Board of Commissioners Meeting
Page 3
December 18, 2007
Operating Expenses- Salaries/Wages for year to date are $691,479 compared to the
prior year's amount of$662,349. Utilities for the current period are $39,376 compared
to the prior year's amount of $43,930 and for year to date are $190,604 less than the
prior year's amount of $254,200. Food and Beverage for the current period is
$148,935 compared to the prior year's amount of $119,897 and for year to date is
$574,048 compared to the prior year's amount of$556,813. Total Operating Expenses
for the current period are $456,655 compared to the prior year's amount of $401,547
and for year to date is $1,947,000 compared to the prior year's amount of$1,956,000.
After taking into account the City Contribution and Interest for the current period is
$46,918 compared to the prior year's amount of$48,057 and for year to date there is a
loss of($23,692) compared to the prior year's loss of($111,627).
Balance Sheet: Total Cash and Cash Equivalents for the current year are $422,867
compared to the prior year's amount of 284,214. Unearned Revenue-Advanced Rent
for the current year is $418,829 compared to the prior year's amount of $395,218.
Unreserved Equity for the current year is $264,491 compared to the prior year's loss of
($12,192).
Budget vs. Actual: Building Rental for year to date is less than budget by ($784).
Committee Chairman Sinadinos noted the Building Rental variance is the best it has
been this fiscal year. Food and Beverage for year to date is better than budget by $611.
Total Operating Revenues for the current period is better than budget by $46,407 and
for year to date is less than budget by ($9,354).
Operating Expenses- Salaries/Wages for year to date are better than budget by $12,509.
Utilities for year to date are better than budget by $69,895. Food & Beverage for year
to date is better than budget by $18,429. Total Operating Expenses for the current
period are less than budget by ($1,485) and for year to date are better than budget by
$148,500. Excess Revenues over Expenses for year to date are better than budget by
$142,097.
Commissioner Sinadinos moved that the monthly financials for Oldsmobile Park, the
Lansing City Market and the Lansing Center for the periods ending November 30, 2007
be received as published and further that the monthly expenses for each entity be
approved. SECOND: Commissioner Decker. Motion approved.
B. PRESIDENT& CEO'S REPORT: Eric Hart reported the following:
1. New Board Member: Eric introduced Charles Mickens. Commissioner Mickens stated
he is a Lansing Resident for over 20 years, and an Associate Dean at Cooley Law
School in the Technology Department. He is looking forward to participating on the
Board and is excited to be able to make a difference in Lansing.
2. City Market: Eric stated in regards to the development concept by the Gillespie Group
he will be meeting with the Friends of the Market tomorrow (December 19, 2007) at
3:30 p.m. in the Governor's room, and at 6 p.m. with the Vendors to discuss the
possible project. Eric stated the vendors have submitted their own concept for the City
Market to the City and have asked Eric Hart, the Mayor, and Pat Gillespie to respond
in writing
LEPFA Board of Commissioners Meeting
Page 4
December 18, 2007
to the submittal individually. Eric stated there will be no individual written responses.
Eric stated the vendors are asking that LEPFA not manage the Market, and have it
managed by another non-profit organization. Eric stated that Board members are
welcome to attend the meeting on December 19, 2007.
3. Budget: Eric stated there is another budget shortfall with the City this year, and the
cut-backs could possibly be 6%. Eric stated once again this year a preliminary budget
will be submitted to the City Administration.
Eric stated the Board of Water and Light will be raising the steam rates by 6% and
electric and water by 7%. Eric stated the most affected will be the City Market and he
will be creating a plan to include additional revenue sharing with the vendors and will
bring the proposal to the Board at the City market. Eric stated they will be looking at
the utilities at the Market, stating some vendors are charged for refrigerators and
freezer that are possibly old and less efficient, and some vendors who have put in
popcorn makers and coffee makers and are not being charged for the extra electric.
4. Oldsmobile Park: Eric stated he has been informed the metal roof on the building is
failing and has to be repaired. Eric stated money will have to be taken from the
operations budget because the project budget is tapped out. Eric reported operations
has been running lean and watching expenses due to the $15,000 - $20,000 in repairs
that need to be done out of the operations budget over the next year, stating the cost
will be shared over this year and next year to make this happen. Eric stated he was
informed that a one year roof rather than a 10 year roof was installed, with much less
quality as it was value engineered out during the construction process.
5. Vice Presidents' Reports:
a. Finance Department - Marian Bryant: Marian reported the Lansing Center has
adopted three families for Christmas and will be delivering the donated items to
the families on December 21, 2007. Marian reported the Casual for a Cause
charity is currently the Sparrow Foundation in honor of Dr. William Bryant,
noting that is why we are dressed down today.
b. Operations Department - Scott Keith: Scott reported that the Lugnuts are
looking into keeping the new Clubhouse Suite open year round. Scott stated he
will be working on this with them, noting it will be a major expense to do so.
Scott reported the skylight is near completion and is pleased with the
workmanship. Scott stated the new skylight will be more energy efficient.
c. Marketing Department - Linda Frederickson: Linda reported the December
Highlights and Occupancy sheets were distributed.
Linda gave a booking recap as follows: Michigan Association of Secondary
School Principles for 2009 and 2010.
LEPFA Board of Commissioners Meeting
Page 5
December 18, 2007
Linda reported for the month of November there were 39 events, totaling 53
event dates, building rental was $2,700 (up over November 2006), with 1,118
room nights at the Radisson.
New Business: Linda reported proposals went out for: Michigan Farm Supply
Journal for 2008, 2010; Michigan Council of Charter Schools for May 2008,
and Greater Lansing Clean City for 2008.
Linda gave a Holiday party review, stating there were nine parties in 2005 and
2006, with 15 in 2007, stating seven of the 15 were return clients. Linda stated
the new clients were; BWL, Ryder Logistics, and Neogen.
Food and Beverage Department - Bill Grove: Bill reported Peckham had there
Holiday party with 1,400 attendees and 100 volunteers, stating their volunteers
served at the food line because most of the attendees are challenged. Bill stated
the event was wonderful.
Eric stated the Lugnuts will have an addendum to the next contract, and there is
a renegotiation of the suite lease on the club section; as all the revenues are step
down that section will not step down at 7% and will follow the same as F&B
revenue and all other events that we or they put in there will be a 50-50 split.
Eric stated it was the only way to come to an agreement on the suite. Eric
stated the Lugnuts are pushing to do more concerts, which is not currently
profitable and have renegotiated for them to share in the profits and losses 50-
50. Eric stated this will make it more possible to be profitable.
VII. COMMISSIONER AND STAFF COMMENTS:
1) Chairman Nicholoff: Chairman Nicholoff wished everyone Happy Holidays
and Merry Christmas, and thanked the Board for all they do for Lansing.
2) Commissioner Sinadinos: Commissioner Sinadinos stated the Board Holiday
party was very nice.
3) Commissioner Jeffries: Commissioner Jeffries welcomed Charles Mickens and
stated the Holiday party was wonderful. Commissioner Jeffries thanked Marian
Bryant and Commissioner Sinadions for all they do behind the scenes for the
Finance committee
4) Commissioner Decker: Commissioner Decker wished everyone Happy
Holidays.
7) Commissioner Mickens: Commissioner Mickens wished everyone Happy
Holidays and stated he is happy to be on the Board.
LEPFA Board of Commissioners Meeting
Page 6
December 18, 2007
VIII. OLD BUSINESS:
No report.
IX. NEW BUSINESS:
No report.
At 8:45 a.m. the meeting was adjourned. THE NEXT MONTHLY MEETING IS SCHEDULED FOR
TUESDAY, January 22, 2008 AT 8:00 A.M. AT THE LANSING CENTER IN GOVERNOR'S
ROOM.
Respectfully submitted,
Tracy Hodges, Recording Secretary