Loading...
HomeMy WebLinkAbout10-08-97 Finance Committee MinutesFINANCE COMMITTEE OF DUBLIN CITY COUNCIL Tuesday, October 8, 1997 City Hall Present: Committee Members: Joel Campbell, Chair John Reiner Staff Bryan Thurman Mr. Campbell called the meeting to order at 7:05 p.m. He noted that committee member, Cathy Boring, was out of town and unable to attend. Originally, the agenda had eight applications for 1998 grants from the bed tax fund. The Dublin Arts Council representative called and indicated that the request they were making would have to be tabled to a later date pending the outcome of the ordinance that is soon to be introduced to Council regarding a funding change for Arts Council. If that is approved, then they would not move forward on this request. If it is not approved, they would like to address the committee at a later date. Mr. Campbell received a similar request from the Convention Bureau that their request be held on the basis that their need may be affected by the outcome of the stadium vote. The agenda tonight has five items: Team Columbus, Dublin Women's Club, Dublin Youth Athletics, Mid -Ohio Soccer League, and Dublin Chamber of Commerce. Team Columbus The Team Columbus request was presented by Tym Tyler. Mr. Tyler gave a brief background. Tour of Ohio is an 18 -city bicycle race similar to the Tour de France. Dublin has hosted at least one day of this event since the early 1990's. Their request for the 1998 "Bikes, Bands & Barbecue," which will be held June 23, 1998, is for atotal of $11,500. That amount would duplicate the funding provided by the City last year of $5,000 for in-kind City services and $3,000 for prize money, with an additional $3,500 proposed for live television coverage by remote. A number of television networks, ESPN2 and Outdoor Life, covered it live this year, as well as local coverage; however, they would like to provide better coverage in 1998. WBNS is interested, but it will cost $3,500. Total budget for the event is $20,000+. Sponsorship dollars cover a significant portion of the remaining cost. He has met with Mr. Hansley and Ms. Puskarcik about the annual event, and was given the impression that the City wants to get more involved with the event, making it a City event. They would like to focus it particularly in Old Dublin, making it a signature event for Old Dublin. Mr. Reiner asked Mr. Tyler to comment on his comparison of this event to the Tour de France. Mr. Tyler responded that although the race is still in its infancy, it is the fifth largest in the United States in terms of prize money. Currently, the cyclists race in a specific city, then pack up and drive to the next city to race. When the event eventually progresses to the next level, they will race from city to city, as the French do. To take that next step, Team Columbus will October 8, 1997 Dublin City Council Finance Committee page 2 need a major sponsor. Mr. Reiner inquired if the cyclists stay overnight in Dublin hotels. Mr. Tyler responded that most of them do. In 1993, when the Nationals were held here, they had 600 room nights in Dublin. Mr. Reiner requested Mr. Tyler to commit to promoting Dublin hotels to participants. Mr. Tyler agreed to do so. Mr. Campbell reminded him that the funding rules stipulate that they provide recognition for the City of Dublin. Mr. Reiner asked if he was willing to commit to holding an annual event in Dublin for the next ten years. Mr. Tyler agreed, saying the Dublin event is a main event on their tour. It is also centrally located and near the airport. Mr. Tyler suggested that Dublin consider asking the Cyclist Federation to hold Olympic trials here. Dublin Women's Club Ruth Reiss represented Dublin Women's Club in their application for bed tax funding for the 1998 Arts Festival. Mr. Campbell asked her to give a brief overview of projections for the 1998 festival. Ms. Reiss said that 1998 is expected to be a year of transition. The Women's Club is reviewing the project. All the numbers are not in yet for the 1997 event, but from 1996 figures, it is evident that they would have lost money. The main expenses are for City services and equipment, approximately 40% of the total budget. They do not negotiate those rates. The Women's Club has slightly altered their application for next year asking that Council approve funding for actual City expenses, whatever they are -- police, security, Parks and Rec. fees, maintenance, and major equipment (mobile stage, generator, and pop-up canopies) and $2600 cash for additional expenses (rental of City tents, tables, chairs, port -a -potties, dumpsters, as required by City ordinance, Health Department and Fire Department inspection fees, etc). Mr. Reiner asked for a forecast for the event and if exhibitors are happy with the results. Ms. Reiss responded that they are very happy; people turn out to shop. However, the Women's Club is considering returning the Festival to a one -day event. A two-day event may again find Saturday to be in competition with an O.S.U. home game, the Old Hilliard street fair, or Worthington Market Day. The first twelve years, the Festival was held in Old Dublin and more recently in Coffman Park. Exhibitors like the new set-up, although they vy for prime locations. The Club will limit the number of participating artists to 125, so as not to overcrowd. Mr. Reiner asked if the exhibitors stay overnight in Dublin motels. Ms. Reiss said some exhibitors have come from Florida, Colorado, Pennsylvania, Wisconsin, and Kentucky, so the Women's Club includes information on Dublin's restaurants and hotels in the promotional brochure. MID OHIO SOCCER LEAGUE: Jim Sturm, Alan Shepherd, and Jim Cline, manager of Soccer First, represented Mid Ohio Soccer Select League in a $50,000 bed tax application. 2 October 8, 1997 Dublin City Council Finance Committee page 3 Mr. Sturm presented a background on the soccer league. MOSL represents the higher skilled, more competitive soccer players from Mansfield to Kentucky. The League has approximately 5000 players on 350 teams. One of the subdivisions of MOSL is KIDS (Kids Inter -city Developmental Soccer), which has around 450 kids. Jim Cline is the president of KIDS; Mr. Sturm is the president of MOSL. For the purpose of the bed tax application, MOSL, acting as the fiscal intermediary, is a 501C-3 organization. The League is projecting to have four tournaments, hosted by KIDS, at the Soccer First. With the projected increase of two additional fields, they will be able to expand the number of teams who can participate. Soccer First is the largest indoor facility; no other facility in the country has three fields. Most are single fields, a few are dual. Because of its uniqueness --a brand-new, soccer -specific facility with three fields, it is attracting quite a few people. To attract out-of-town teams, major advertising and a mail campaign are necessary. The purpose of their application for bed tax is to cover the costs of that mail campaign. Mr. Shepherd explained that the mailing is repeated for each scheduled tournament. They include information on Dublin's hotels and restaurants. Mr. Shepherd provided a spreadsheet projecting the economic impact of the soccer tournaments for the community. They calculated four people per room multiplied by room nights (smaller number first night, largest number second night, decreased number last night), and calculated $5.00 per mealtimes number of visitors. Ty Stroh, Convention and Visitors Bureau, estimates $100 per person per day, plus the cost of tournament participation, for atotal of $1.8 million in economic impact for the community. Mr. Shepherd works from a lower estimate of $33.00 per person per day, which is still a significant economic benefit for the community. Mr. Shepherd pointed out that the numbers show that the organized soccer tournaments are the second largest producer of bed tax (following only corporations) in the community. Mr. Shepherd added that the League is currently working on a scholarship 501- C-3 for these kids. Mr. Campbell asked for a pro -forma on the intended promotion, including specific numbers for specific media, etc., and Mr. Thurman noted that, typically, a budget for each tournament would be provided. Mr. Shepherd responded that he could provide those verbally. He estimated $6,000-$7,000 in direct mailing costs for each tournament ($3,500 per mailing X two mailings per tournament) and $5,000 in media advertising for each tournament. Mr. Campbell inquired if they could promote all 4 tournaments in a one-shot mailing. Mr. Cline explained the publication advertising costs: Soccer America = $1,000 for '/z page ad x 4 tournaments for a total of $4,000 (This is the "Wall St. Journal" of Soccer); Soccer Ohio = $400 x 4 tournaments, total of $1600; NSCA (National Soccer Coaches of America) magazine = $1000 per tournament x 4 tournaments, $4,000. October 8, 1997 Dublin City Council Finance Committee page 4 Mr. Sturm added that, in addition to the mailings and media publications, some events are targeted for promotion, such as the National Coaches Convention held January 16 -18th in Cincinnati, which approximately 3,000 coaches attend. Through a booth there, they can advertise free. Another event is the workshop for coaches held in Kentucky near the end of November. Printed materials are also sent to that event for distribution. Mr. Campbell requested that an itemized budget be submitted in the next few days. Mr. Reiner asked for a forecast for this league. How far can they take it in Dublin? Mr. Shepherd said he could break the projection into two divisions --indoor and outdoor, or summer and winter. The indoor is limited by hours in the day, number of fields, and availability of motel rooms. The need to schedule tournaments during off-peak times for area hotels limits the potential number of indoor tournaments to four, a maximum of five. The outdoor or summer play is limited only by the number of soccer fields. Mr. Shepherd owns 180 acres that he has potentially earmarked for this. This would enable a major tournament to be held. There is one in Minneapolis, MN that brings in a huge crowd. Mr. Reiner asked how far he could max out the current facilities, for instance at Thanksgiving, if they improved the marketing. What is the potential growth? Mr. Shepherd said that they could potentially run the tournament 24 hours a day, but Dublin does not have sufficient hotel accommodations, so there would be no advantage to the City. Mr. Shepherd commented there is unlimited profit potential to investors and to Dublin, through the bed tax, in sporting events. He has calculated that Soccer First, the Chiller and local gymnastic competitions provide approximately 20,000 rooms nights per year. Since the other applicants were not present, those applications were tabled. Mr. Campbell and Mr. Reiner will schedule a meeting with Ms. Boring for further bed tax application consideration. The meeting was adjourned at 8:15 p.m. Acting Clerk of Council 4