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HomeMy WebLinkAboutLansing Entertainment and Public Facilities Authority Minutes 03.24.26LANSING ENTERTAINMENT & PUBLIC FACILITIES AUTHORITY BOARD OF COMMISSIONERS MEETING MINUTES March 24th, 2026 At 8:03am, Chairperson Maureen McNulty-Saxton called the LEPFA Board of Commissioners to order in the Governor’s Room located at the Lansing Center; 333 East Michigan Avenue; Lansing, Michigan 48933. COMMISSIONERS PRESENT: Kenric Hall, Dustin Howard, Lolo Robison, Maureen McNulty-Saxton, Danielle Lenz, Charles Mickens, Tracie Kent COMMISSIONERS ABSENT: Paul Collins, Crystal Thomas (EO), Rawley Van Fossen (EO), Deyanira Nevarez OTHERS PRESENT: Kirby Doidge, Tony Watson, Emily Shaull, Kristy Doak, Mindy Biladeau, Paul Ntoko, Sherrie Boak City of Lansing, Jack Alexander Chair McNulty-Saxton called the LEPFA Board meeting to start at 8:05 A.M. Paul Collins and Crystal Thomas (EO) arrived immediately after roll call. Danielle Lenz left at 8:31am. Elizabeth Krochmalny arrived at 8:56am. llI. ESTABLISHMENT OF THE AGENDA: There were no changes to the agenda. MOTION: Commissioner Hall SECOND: Commissioner Lenz MOTIONED CARRIED IV. PUBLIC COMMENTS: None V. APPROVAL OF THE MINUTES 1. January 27 Board Meeting Motion to approve the previous minutes as presented MOTION: Commissioner Hall SECOND: Commissioner Robison MOTIONED CARRIED VI. REPORTS A) Chairperson – Maureen McNulty-Saxton Reports that the whole board has been highly attentive to and focused on the FY27 budget. B) Legends Global Report- General Manager / Regional VP a) Staffing i. Lansing Center is still looking for a sous chef. It's been difficult to find qualified applicants for that position. ii. Lansing Center is putting a hold on hiring, pending budget approval for next year, unless it’s an essential staff position. b) Operations i. Sales team is continuing to explore new strategies to increase facility rentals during the traditional slower months—January, June, and December. ii. Additionally, they are in the process of reviewing overall pricing when it comes to building rental rates and food and beverage. They are trying to better align with the local market and with other facilities within their network, to keep them competitive. c) Sustainability Report i. The Lansing Center received their sustainability report. It is very positive and has good recommendations for moving forward. LEPFA Board of Commissioners Meeting March 24, 2026 P a g e | 2 d) Charity Donation i. According to the Legends-LEPFA contract, Legends will be donating $10,000 per year to charities of the Lansing Center staff’s choosing, with board approval. They are aiming to get that done within the next couple of months. If anybody has any recommendations for charities, please send Tony those suggestions. e) Lansing Center 2025 Annual Report Highlights i. He thanked Mindy and Kristy for working hard on the report. ii. There were 191 total events with 427 event days, 2,984 exhibitors, 109,451 attendees, and 19,612 room nights, 2,432 from sporting events. The center hosted several special events and saw the return of the Grand Concert Series on the Riverfront Plaza. iii. Groesbeck had 27,541 rounds played, with 597 of those being in the youth division and 585 high school rounds. 17,808 total carts were rented in 26 leagues. 16 tournaments took place with about 682 participants. The simulator had 113 rounds, 75 lessons, and 72 league rounds last year. This is equivalent to an economic impact of about 2.2 million. iv. Jackson Field had an attendance of 275,713 attendees with an average of about 4,200 sports fans per game. This is about 21.6 million to the local revenue and economy. v. They also made some upgrades and improvements, such as new energy efficient LED lighting, repairs to the suite gutters to mitigate some of the water intrusion, and elevator upgrades to meet mandatory fire safety codes. Several enhancements to the club spaces were made in preparation for the 100th year anniversary. They are also moving forward with carpet replacement throughout the building as soon as dates are available. Painting has been done on the upper floor and will soon be done in the 200 rooms. vi. Marketing communications continues increasing their audience to reach and engage across more platforms and brands. Total media across venues and special events was about 2.9 million. vii. They received several awards, such as the City Pulse Top of the Town Awards for Best Golf Course and the Lansing State Journal Community Choice Awards for Best Golf Course. Also, Silver Bells received the Addie Awards for Pro Bronze Addie for Poster Campaign and the Addie for Consumer Campaign. C) Finance Committee – Paul Collins & Kirby Doidge a) Paul Collins i. The finance committee met several times to discuss the financials and the budget. Paul turned it over to Kirby for the report. b) Kirby Doidge i. January Financials 1. Lansing Center a. Revenue i. January was one of the slower months. They still brought in $384k. That is $20k under the anticipated budget, which keeps them under at $119k overall. b. Expenses i. It was $558k, which was under the anticipated budget by $128k. Year-to-date, they are still under by $256k. The total after non-operating is under the anticipated budget by $138k. 2. Groesbeck a. Revenue i. They were under by $400, but it was anticipated. Year-to-date is $73k. b. Expenses i. It was over by $2200, but still under by $30k year-to-date. Overall, it was a positive $42k, which will contribute towards paying the minimum wage increase. 3. Jackson Field a. Expenses i. They pulled out the following categories: maintenance and supplies and materials of the capital projects that were part of the grant but are not part of the operating expenses. Those are the transition expenses that are left behind and not part of the contract. After adding in non-operating, they LEPFA Board of Commissioners Meeting March 24, 2026 P a g e | 3 are over the expenses by $166k. A lot of that is from the capital projects. ii. February Financials 1. Lansing Center a. Revenue i. Rental is over by $11k and at $151k year-to-date and is beating the budget by $17k. ii. Food and Beverage is behind by $37k. The center did have some cancellations that did affect that overall revenue, but year-to-date, they are still ahead by $14k. iii. Other than the signage and promotion from Silver Bells (which was pulled out) and security, which was anticipated, they are over in all categories year-to-date. It is cutting into the $300k deficit. b. Expenses i. Wages and salaries are under by $122k; the leftover will be used for the IATSE contract. ii. Utilities are a continued item of concern. The last two months have been $130,145 in utilities, which was over budget by $71k. iii. Professional services was under by $145K, but that also has appropriation for the incentives for Legends Global, which still are yet to be determined. Question from Chairperson McNulty-Saxton: Can you expand on the information about professional services? Kirby explained that in the contract, there is a quantitative and qualitative incentive fee, $150k available. Legends Global must agree what the terms for that are by the end of the year, and then they can be judged on those metrics. Question from Chairperson McNulty-Saxton: Is there a deadline for the board and/or Legends Global to establish the quantitative and qualitative? Kirby said that they really need it by the end of the year. Legends Global is working on reports to show what other venues do so that those involved can see the options. iv. Overall expenses are $640k, which is under by $25k and, year-to-date, is under by $268k. After adding in non-operating, they are only behind by $59k. There are a few items still pending. v. Compared to the prior year, they are up close to $1,000,000 compared to last year at this time. vi. In revenue and expenses, the center is up by $200k total. 2. Groesbeck a. Revenue i. It is consistent but behind by $800k. Year-to-date, it is ahead by almost $73k. b. Expenses i. The equipment maintenance and supplies categories are for recognizing some of the chemicals and items purchased early for the season. They anticipate more, such as for fuel and sand for the greens. ii. Year-to-date, they are over by $28k, and a lot of that is due to staffing the course and help covering for the additional revenue. They are monitoring payroll and are putting some strategy in place for efficiencies for the remainder of the year with the minimum wage increase. 3. Jackson Field a. Expenses i. Maintenance facility and supplies are at zero, which was not anticipated. They always budget for the leaky pipes and any maintenance needed. It was too cold to open the stadium in February and are instead opening it right now. There are some extensive HVAC items that need to be done. The last quote was $30k, and it’s for the visitor team’s locker room. Question from Chairperson McNulty-Saxton: Would the LEPFA Board of Commissioners Meeting March 24, 2026 P a g e | 4 HVAC be done in April, like before? Kirby stated that it needs to be done before the season starts. The quote is signed; they are waiting on them to get in and do the emergency fix. Tony noted that it doesn't include all the other capital expenses for updating the facility. Maureen asked if HVAC was a capital expense, and Kirby confirmed that it was. ii. Year-to-date, they are under by $24k, but that will be utilized for allocating salary and wages across. iii. As a pass-through, they will spend the city operating contribution, which is $767k. Anything after that gets pushed to the city as Legends Global is the steward. They never take losses but cannot generate revenue or gain savings. Motion to approve the January and February financial reports as presented MOTION: Commissioner Collins SECOND: Commissioner Hall MOTIONED CARRIED c) FY2027 Budget The board met extensively together and with the city to go over the budget. i. Obstacles 1. There is roughly about a 25% increase to the health insurance. The old plan is no longer offered, so they transitioned over to the Legends Global insurance, Blue Cross Blue Shield. 2. The minimum wage increase will affect the budget, especially out at Groesbeck. The union contracts will affect it too. Rising utility costs and the aging of the building affect it, which is outside of their control. ii. Overall 1. They increased at the golf course from 5-12% depending on the categories. They are asking for $1.49 million, which is an increase of $50k, but $50k is capital per the TMO at Jackson Field. They are decreasing the operating contribution at the Lansing Center by 13% and staying consistent at 0% at Groesbeck. They are increasing significantly at Jackson Field just due to the nature of the capital. They are also allocating an additional maintenance employee, due to the large amount of work needed. Question from Commissioner Howard: Why is marketing being cut so much from The Lansing Center? Kirby explained that the category was broken into “marketing”, “special events for marketing”, and “sales and service”. Also, CRM is covered by a different revenue stream. iii. Lansing Center 1. Revenue a. Food and beverage is increasing 3% compared to the previous year. Building rental has been raised to 15%. In 2024, it was 10%, and in 2025, it was 5-10%, depending on the category. b. Equipment rental is seeing the increase from Chase Creative as well as the internet and other ancillary items, which is 5-12%, depending on the category. Everything else is consistent. c. There is a difference in sponsorship. In the previous year, there was $300k originally allocated to Silver Bells, that was pulled out as negotiated in the contract. The new $75k sponsorship is in addition to what is or what would have been the Silver Bells allocation. d. There was a request to add special events to produce $40k for this year. e. They are increasing 5% compared to the previous year at $7,057,000 in total revenue. 2. Expenses a. There is an 8% increase in personnel services. That is largely made up of the UAW IATSE contracts, the increase to salaried staff, and the increase to benefits. b. Food and beverage is increasing by 1% and will have to be monitored. They are under budget, and it can be modified depending on the price of goods. c. Utilities will see an increase. Hopefully, the 3% is adequate for this year, but utilities tend to increase every year. d. Events will increase because of the price of goods as well. e. Professional services is decreasing the amount of professional or LEPFA Board of Commissioners Meeting March 24, 2026 P a g e | 5 contracted services that they have. Supplies and maintenance is decreasing anything that is customer-facing in any event space. That is a capital in nature. They will push more towards using the Choose Lansing dollars. The capital is ultimately the responsibility of LEPFA and the City of Lansing. f. The Lansing Center property insurance is now in the budget, but it is not something that Legends Global is judged on when the incentives come out. But they are covering those expenses for this year and working with the city to see if they can cover it, since it’s already insured by them. g. They were asked to add in the Silver Bells revenue and expenses. It is a net neutral event, so there is roughly $300k in revenue and $300k in expenses. h. The LEPFA interest category is outside of the Legends Global-LEPFA contract, but since they are covering the professional services of LEPFA, they are going to recognize the interest on account to kind of offset those expenses. i. Overall, they are at a decrease of 13% at the Lansing Center year over year. iv. Groesbeck 1. Revenue a. It is increasing by 7% from $949k to $1,019,000. The biggest change is the decrease in the “Other” category, which is made up of merchandise and miscellaneous revenue. Previously, sponsorship was in that category, and it was pulled out because it was $25k in the original budget. Question from Chairperson McNulty-Saxton: Asked to repeat what “Other” was. Kirby repeated it and clarified that they also recognize credit card transactions here. The expense for credit card transactions comes out in another category. b. There is also an increase in play and an increase in prices. 2. Expenses a. Payroll increase is largely due to the minimum wage increase. b. Utilities and supplies and materials are consistent; additional, unnecessary items aren’t included in these categories. Cleaning and treating ponds can be anywhere from $5-10k and will probably be held off this year due to budget constraints. c. Professional services cover more of the Legends Global fees as well as some technology. Also included is the LEPFA expense, which does net to zero with the interest on accounts. d. There is an increase in the need for technology at Groesbeck. But communications are decreased as they are finding some that is off suite and are changing it. e. Marketing decreased by $3k. That's a cost saving measure as well as for merchandise. If gas prices stay high, the car rental fee will have to increase too. Question from Chairperson McNulty-Saxton: Are the Lansing Center utilities being monitored too? Kirby confirmed that they track that monthly and look for every way possible to decrease their overall spend. They will need to upgrade their infrastructure too, and Maureen added that it pairs with gas, energy, and fuel costs too. Question from Commissioner Thomas: Are there any programs to help with utilities for businesses? Consumers Energy will come look over individual homes and businesses and do a sort of audit. They will wrap pipes, put in aerators, change faucets, etc. Have they looked at anything like that to help with the cost of utilities? Kirby said he would need to see what’s been done in the past at the Center. Honeywell was there and did an extensive study on the utilities and any recommendations they’ve had in the past. Crystal added that the Consumers service is free and municipal. Question from Chairperson McNulty-Saxton: Are they in fixed rate programs for businesses, which usually can be negotiated? She explained that it may be a fixed annual plan with a negotiated rate for 3-5 years. LEPFA Board of Commissioners Meeting March 24, 2026 P a g e | 6 Kirby said that he doesn’t know if that’s a possibility but will check. Ultimately, the best solution is to get away from steam. In the projections, it would save them $400k+ a year. Tony added that they are in communication with the city to assist with paying for some of the repairs. v. Jackson Field 1. Expenses a. An additional portion went into maintenance to cover some of the ongoing items that need to be fixed. b. Utilities have increased, and there will be more home games this year too, which will contribute to that. c. A part of the Legends Global incentive goes to professional services and the contractors for the turf. The LEPFA professional services is $75k for a facility study that will be in conjunction with Lugnuts. Per the TMO, that must be done this year, as it was supposed to be done in 2025. It's a one-time expense as well as pulling out the property insurance, and because they are covering portions of the LEPFA expenses, they are now recognizing the interest for the properties. Per, the TMO, they have $50k that has to be spent, which is recognized for capital from the city. d. Insurance has a decrease, which is the property insurance from last year being pulled out. e. For communications, phones must be provided for the elevators. Kirby believes that, although extensive, this is a manageable budget. Question from Commissioner Collins: What are the next steps? The board approves it today, and then on Monday, it goes to the city council for review. Question from Chairperson McNulty-Saxton: When it goes to the city council, are they asked to vote on it too? Kirby believes that they just accept it as a component of the overall city budget. They’ll ask specific questions, like what's changed, what are the three major increases, things they are proud of, etc. Question from Chairperson McNulty-Saxton: The city introduces the budget next week. Then does city council break into committees to break up the budget and examine it? Answer from Sherrie Boak, City of Lansing: The mayor proposes the budget and did so last night for the city. Then the council will start their budget process reviewing each different department. They do this process individually every week, and then they must adopt it by the end of May. Kirby will handle the city’s questions on their end. Kirby added that if the city council asks for changes to the budget, the board would work in committee meetings to make those cuts. Motion to approve the proposed FY2027 budget as presented MOTION: Commissioner Collins SECOND: Commissioner Robison MOTIONED CARRIED D) Personnel Committee- Dustin Howard Nothing to report because they worked on the budget. E) Strategic Planning Committee- Charles Mickens Nothing to report because they worked on the budget. F) Director /Staff Report a) Kristy Doak, Director of Sales & Service i. They hosted several high-level site visits, such as with Meyer Corporation. Also, they brought in Spartan Fire for a potential new RV chassis event, and they are one of the largest events hosted in the center. They also hosted Dykema, who has taken on association management and some third-party meeting planning. At this event, sales & service got to know some of the new associations, how to work with them, and the opportunity to potentially partner with some other Lansing Center events. ii. Elaine, one of the sales managers, attended the Society of Government Meeting Professionals, the annual conference for the government sector, which hosted about 200 meeting planners and partners. She had one-on-one discussions with many government meeting planners. iii. Madi and Elaine, the sales managers, have secured over $300k indefinite rental dollars now and into the future. If Sales & Service can close out on those, that will be over $600k in rental sales in the first three months of the year. iv. A new event coordinator, Meghan Fleser, started on Monday last week, and she LEPFA Board of Commissioners Meeting March 24, 2026 P a g e | 7 comes from the Fraternal Order of Eagles. She also has a medical background. v. Sales & Service started a new customer evaluation survey on the Qualtrics platform. They have taken over evaluations as well. There was not a good response rate before, and they are trying to increase it. “In the Moment” surveys are also new and posted around the Lansing Center. People in the center can give feedback right away or report an issue, like if the restrooms need attention. Maureen suggested having these surveys in conference rooms, so that people in sessions can fill them out throughout the day. Question from Commissioner Mickens: Is there a way to give feedback to the person who filled out a survey? Tony replied that part of the survey has the question “Would you like to be contacted or responded to about your survey?”. If they say yes, they can leave their contact information. Then staff can reach out and have a one-on-one conversation if they’d like. After Paul Ntoko spoke, Tony brought up an example of a completed “In The Moment” survey. Question from Commissioner Hall: Are these surveys done in other Legends properties? Tony confirmed that they are. Mindy confirmed that Groesbeck has these surveys too. Question from Commissioner Hall: Are the surveys recapped and provided to the event planner at the end? Tony explained that it is shared with all staff, the client, and anybody who would need to see it. A commissioner asked if they would get a monthly report of these evaluations, and Tony said yes. Question from Chairperson McNulty-Saxton: When did the center roll these out? Tony explained that they started the survey system in February, and the events side of it just went live. They sent the first one out first last week, and they won't see any traction at Groesbeck until the season starts. Only the “In The Moment” survey is out at Groesbeck. Question from Chairperson McNulty-Saxton: Does the post-event survey go to every registered participant who comes in? Tony confirmed that it is sent to every client. vi. Departmental crossovers were increased to help with the engagement of event information, so that customer experience can improve. vii. Sales and marketing made a new plan, initiated at the end of January. One of its successes was securing the Deer and Turkey show for 2027. It's an event that brings in over $40k in room rental and is projected to bring in about 5,000-7,000 individuals over a three-day large public event. Question from Commissioner Hall: It seems like we had a meeting planner from Dykema that was on our review board. Is that right? Kristy confirmed that it was Kate but that now she is with Kelly Hawthorn. Paul Richardson is still with Dykema. b) Paul Ntoko, Director of Foodservice i. Groesbeck had about 79 people out the first week. The weather is going back and forth, and the goal is not to shut down for too long before the season ends. ii. The Groesbeck manager is talking to the league presidents. Every league from last year, which is 23 in total, is returning, and one more of about 12 will be added on Wednesday evening. One league on Friday last year was tough to keep, but this year, they might get one with 12 people on Sunday evening. iii. The single day season was not as strong as last year. They had about the same number of lessons and leagues. However, the public side of things was tricky. There are a lot of alternatives, some in their homes, some that are open 24/7, etc. iv. The first round of golf carts will be delivered next week into storage until the superintendent gives them the green light. v. He expects a good spring conference season; they’ve had a solid March. He thanks the staff for everything they’ve done to keep this happening. c) Ryan Tess, Director of Operations Ryan is on vacation, so Tony took over for him. i. The new fire alarm system went fully operational in February. There were a few complications, but inspections have been passed. ii. They are modernizing the elevators, and three of the six elevators are done. Two elevators are being worked on, and the large freight elevator is scheduled for work in May. It does not impact too many of the operations. iii. Internet sales are up. LEPFA Board of Commissioners Meeting March 24, 2026 P a g e | 8 Question from Chairperson McNulty-Saxton: When was the internet upgraded here in the building? Kirby said it was almost a year ago. Question from Chairperson McNulty-Saxton: Have we heard positive feedback from customers and clients and has it improved the ability to work within the building? Tony admitted that there have been a few pushbacks. But he and Kirby confirmed that they can now adjust the speeds, even increase them to ten times the Level 1 speeds. If a client wants to provide lower cost coverage for their attendees, they can work with them on that. They also explained that there is a free option for a certain amount of time, but the client can purchase more speed and time. d) Mindy Biladeau, Director of Marketing & Special Events i. It is the centennial season for Groesbeck, which has been open since 1926. Save the date for April 15th at 1pm. Tim Stout will be the MC. Mayor Shore will talk about centennial significance, and there’ll be a flag raising. They will open a commemorative exhibition with the Historical Society of Greater Lansing and the Clubhouse. They’ll announce the centennial season schedule of events, which will be robust and exciting. They also will have dignitaries and local golf legends that will take ceremonial drives. They're doing a series of testimonials to share history with the community for social media, which they filmed last week. ii. Grand Concert Series returns on Thursdays between June 18th - August 27th on the riverfront. They’re trying to bring back Margarita Fest; the tentative date is August 14th. It all depends on restaurants' involvement and checking their temperatures since COVID. iii. Fundraising has begun for Silver Bells. VII. COMMISSIONERS AND STAFF COMMENTS A) Tony Watson a. Legends Global reorganized their upper tiers of management. Brian Crow will no longer be the regional VP; it is now John Page. He's been with the company for 28 years. He has been the regional general manager and general manager of the Columbus Convention Center for almost 20 years. He has since been removed from the Columbus Convention Center and oversees 12 different buildings, but he still lives in Columbus. He will be here next Monday and Tuesday for the city council meeting and to spend time with staff. Tony will try to get a meet-and-greet scheduled for next week with him and with anybody that might be available. Question from Chairperson McNulty-Saxton: I think Brian also headed up Huntington Place, so would he still be around? Tony clarified that Brian is still in Detroit and that his new region is the Pacific Coast. He will be still around if we need him. B) Maureen McNulty-Saxton a. Before adjournment, Maureen asked how the board would feel about changing the 8am meeting time. No one spoke up, so she asked them to send her their thoughts on it. b. Maureen and Tony also received a message from Rawley Van Fossen (EO). Rawley said he needed to meet with the two of them later. He also said that the city asked if the board would like to meet quarterly instead. Committees would still meet monthly, but if the board meetings were quarterly, they would have to be two hours long. Comment from Commissioner Robison: I would like to understand the rationale behind that. Maureen and Tony agreed, unsure of the reasons why. Question from Commissioner Mickens: What do the other entities do? Tony and others said they were unsure. VIII. OLD BUSINESS None IX. NEW BUSINESS A. Review and Approval of the IATSE Collective Bargaining Agreement a. Kirby Doidge i. Details & Updates 1. He believes that the old CBA expired on 6/30/2025. 2. There are wage increases, which are 444 and consistent with other unions. There are also now hot and dietary-restricted meals available, within reasonable accommodation. 3. They are adding two part-time house positions, which were in place back in the 90s. AMTA was a third-party AV union, but they are no longer recognized. These two positions will help monitor the other IATSE members and their first on call. LEPFA Board of Commissioners Meeting March 24, 2026 P a g e | 9 4. They are implementing a new dress code. If they do not meet the CBA standard dress code, they will be removed from work, but they can change and come back. 5. They added a safety section to help with the work conditions. In its best practices, with the riggers for example, the equipment must also be adequate, inspected, and safe. 6. It’s been almost a year of negotiation, but he believes they have come to good terms. Question from Commissioner Hall: What's the term of the grant? Kirby confirmed it to be three years—July 1st, 2025, through June 30th, 2028. There will be retro pay for their wages. Motion to approve the IATSE Collective Bargaining Agreement as presented MOTION: Commissioner Mickens SECOND: Commissioner Howard MOTIONED CARRIED X. ADJOURNMENT - Date, Time, Location of Next Meeting: At 9:19 AM, meeting was adjourned. MOTION: Commissioner Hall SECOND: Commissioner Robison MOTIONED CARRIED NEXT MEETING IS SCHEDULED FOR: APRIL 28, 2026 8:00 a.m. Location: Governor’s Room- Lansing Center Respectfully submitted, Emily Shaull, Recording Secretary