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Home My WebLink AboutCity Council - 2008-57 /0/0/41 008 RESOLUTION NO. 2008-57 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH APPROVING AN ANNUAL ASSESSMENT WITHIN THE HUNTINGTON BEACH HOTEL/MOTEL BUSINESS IMPROVEMENT DISTRICT FOR FISCAL YEAR 2008-2009 WHEREAS, the Parking and Business Improvement Area Law of 1989, codified at Streets and Highways Code § 36500 et seq. (the "Act") authorizes cities to establish parking and business improvement areas for the purpose of imposing benefit assessments on businesses for certain purposes; and The City Council formed a business improvement area, the Huntington Beach Hotel / Motel Business Improvement District (the "District"), by the passage of Ordinance 3569 on August 19, 2002. The time has come to continue the existence of the District for fiscal year 2008-2009 by levying assessments on those businesses that benefit from the improvements, The District's Advisory Board has prepared and filed with the City Clerk a report an "Annual Report/Operating Budget 2007-2008 Fiscal Year to Date" and "Proposed Budget for Fiscal Year 2008-2009" (collectively, "Annual Report"); On August 18, 2008 , the City Council adopted a resolution declaring its intention to levy an annual assessment for Fiscal Year 2008-2009 as proposed by the District's Annual Report. NOW, THEREFORE, the City Council of the City of Huntington Beach does hereby resolve, determine and find as follows: SECTION 1. The City Council hereby approves and adopts the Annual Report filed by the Advisory Board in the City Clerk's office attached hereto as Exhibit A and incorporated herein by this reference, which report includes a proposed budget for Fiscal Year 2008-2009 and a description of the improvements and activities to be provided for Fiscal Year 2008-2009. SECTION 2. The City Council of the City of Huntington Beach hereby authorizes a levy and collection of assessments within the District for fiscal year 2008-2009 as proposed by the Annual Report. The amount of the assessment shall be 1% on overnight room stays and is to apply to all hotels and motel businesses in Huntington Beach as shown in Exhibit B. SECTION 3. The assessments collected will be used to fund activities to increase overnight business stays and tourist visits to District businesses. 08-1696/24300 1 Hotel 42 Resolution No.2008-57 SECTION 4. This resolution shall take effect on October 1, 2008 PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the 15th day of September , 2008 &"4i - Mayor REVIEWED A D AP ROVED: INITIATED AND APPROVED: City Admini j ator Director of Economic Dev pment APPROVED AS TO FORM: ity Attorney AV-7-15-0? _ 08-1696/24300 2 Hotel#2 Resolution No. 2008-57 HUNTINGTON BEACH HOTEL/MOTEL BUSINESS I�MPROVEIVIENT DISTRICT Administered by the Huntington Beach Conference and Visitors Bureau Fiscal Year 2007108 Annual Report for Fiscal Year 2008109 Operating Budget Request The Huntington Beach Conference and Visitors Bureau continued to upgrade its scope of activities and effectiveness as a destination marketing agency during 2007/08 fiscal year. As the official advisory board for the Huntington Beach Hotel/Motel Business Improvement District, which receives an assessment of one percent on all hotel/motel room purchases within the city that are under 30 days in duration, the following highlights/programs would not have been possible without B.I.D. funding: Advertising • Produced cooperative full-page ad for California Visitors Guide with partners Hilton Waterfront Beach Resort, Hyatt Regency Huntington Beach Resort & Spa, and Bella Terra entertainment center. The California Visitors Guide distributed 500,000 copies distributed annually through state tourism offices and another 100,000 though downloads from www.visitcalifornia.com. • Finalized Orange County Tourism Council (OCTC) April/May 2008 print ad campaign including HBCVB's Y2 page cover ad on newspaper insert in five markets (Arizona Republic, Las Vegas Journal, Sacramento Bee, San Jose Mercury News, USA Today in Arizona and Northern California) with total circulation of 867,000. • Coordinated full-page OCTC ad plus1/2 Huntington Beach page ad in annual March 2008 Alaska Airlines in-flight magazine "California Travel Planner" insert. The California Travel Planner insert featured a story on "The OC," and ran 10,000 overprints with a shelf life up to one year. • Coordinated full-page OCTC ad in Southwest Airlines Spirit magazine. The August 2008 destination-related editorial section "Your Adventure In" features Orange County and OC beaches and reaches 3.2 million readers. The average time spent reading Spirit is 36 minutes, and there is no other in-flight entertainment supplied onboard Southwest Airlines. • Produced a '/z page April 2008 ad for Oprah magazine and the affiliated www.vacationfun.com website and Reader Service. Western US Region circulation of 600,000 included California (300,000), Arizona (41,000), Nevada (21,000), Oregon (32,000), Colorado (49,000), Washington (67,000). The ad also included two eCampaigns to 300,000 opt-in subscribers of vacationfun.com. Results thru 7/23/08: o Total Program Leads to Date: 5,248 o Total Website Click-Throughs to Date: 312 o Total www.s u rfcityu sa.travel AdViews though 7/15/08: 115 • Launched first HBCVB month-long online coop advertising campaign for "Spring in Surf City" with Travelocity. Six hotels participated by offering "added value" components. A "Wait Screen" ad unit was Geotargeted to individuals looking to travel to Orange County and Los Angeles (this ad unit is the most viewed ad unit on Travelocity), a key integrated placement on the Travelocity California Store, an unit geotargeted in the Shopping Path to consumers looking to travel to Exhibit A Resolution No.2008-57 HUNTINGTON BEACH HOTEL/MOTEL BUSINESS IMPROVEMENT DISTRICT Administered by the Huntington Beach Conference and Visitors Bureau Fiscal Year 2007/08 Annual Report for Fiscal Year 2008/09 Operating Budget Request Orange County and Los Angeles; a landing page from our www.surfcityusa.com website to support all the six partner hotels. Total Paid Impressions were 1.4 million and we received a bonus of 66k impression in the value of $1,254. Results: 229% overall sales growth total in dollars for the four hotels that saw a sales increase (approximately $40-50,000); 287 additional room nights over June 2007. • Continued OCTC co-op National Geo magazine ad, as well as radio promotional spots with OCTC and with Ronnie Kovach's Radio Fishing University on the Fox radio network. Website • Introduced new "green" version of Virtual Visitors Guide online —downloadable or viewable with page-turning software. • Continued to offer the most informative and reliable event information calendar in the city, adding an average of 43 new events and updating eight existing events per month. • Continued to book rooms online via Travelocity. Last year's new www.surfcityusa.com website closes sales: 504 have been booked from July 1St 2007 thru July 28, 2008. These bookings are in addition to normal hotel click- thrus. • Secured www.huntingtonbeach.com URL for the Bureau • Issued RFP and conducted review to select and contract vendor to develop next generation Bureau website, launching Labor Day 2008. SurfCityUSA.com's 2008 edition will boast state-of-the art search engine optimization, improved navigation, an Immersive Beach Tour, and the ability for bureau staff to manage content in-house on an ongoing basis. E-Mail Marketing • Initiated HBCVB's first-ever monthly series of destination email newsletters distributed to more than 10,883 people who registered to receive more information on the www.surfcityusa.com website. • Conducted year-long trial of contests on home page to build email subscription base before discontinuing. Printed Collateral • Visitors Guide Produced the best Visitors Guide in Bureau history with an expanded distribution of 175,000 copies to local brochure racks, local airports, California Welcome Centers, and selected locations in Phoenix & San Diego. • Rack Brochure Produced 230,000 rack brochures with distribution to over 2,000 locations within 12-hour drive markets. • Dining Guide Produced 20,000 dining guides in conjunction with HB Restaurant Association with local distribution including John Wayne Airport. Exhibit A HUNTINGTON BEACH HOTEL/MOTEL BUSIN'WIMA&EIVIENT DISTRICT Administered by the Huntington Beach Conference and Visitors Bureau Fiscal Year 2007/08 Annual Report for Fiscal Year 2008/09 Operating Budget Request Public Relations • Laid groundwork for heightened local industry awareness during National Tourism Week with "See My HB" Photo and YouTubeO video contests. • Secured spot as one of the top pet-friendly cities for dogs in Fido Friendly magazine. • Kite Party coverage in Westways and Highroads magazines. • Produced five email newsletters for over 700 travel media to pitch story ideas. • Participated in California Travel and Tourism Commission media receptions in LA, New York and San Francisco; OCeanfront press trips; Society of American Travel Writers Marketplace, and many other venues. • Participated in the International Pow Wow Media Marketplace. • Hosted OCeanfront Epicurean press trip; travel journalist and photographer Trish Foxwell; travel journalist Robert Painter; Cooler, a UK publication focusing on female surfing and snowboarding; Up!, WestJet in-flight magazine for Canada's second largest airline; Karin Leperi, Buffalo News; a Travel Trade Media FAM for Black Meetings & Tourism, Meetings & Incentive Travel and Travel Weekly, Huell Howser; Bruce Hawksbee, UK publication; Ranch & Coast Magazine; GoNomad.com editor Max Hartshorne; and a May 4-6 press trip with seven journalists and one photographer. Sales Support • Renewed Bureau participation in the 40th International Pow Wow in Las Vegas, NV with partner OC coastal destinations Newport Beach and Laguna Beach. Pow Wow is sponsored by the Travel Industry Association of America (TIA) and is the premiere international marketplace held in the United States for inbound USA travel, where travel buyers from around the world and USA travel suppliers conduct business during three days of pre-scheduled appointments. Met with more than eighty domestic and international travel buyers. • Delivered 3,849 leads to hotels from leisure travelers planning to visit destination through June 2008. Visitor Center • Secured coastal development permits for construction of a new Pier Plaza Visitor Center where the current Citibank ATM kiosk exists now. This project is on-track to open in January 2009 for year-round seven-day-per-week operation. • Updated and refreshed Kiosk used in Pier Plaza summer program with tiki design and served a record 8,142 guests from July 1, 2007 through June 30, 2008. • Continued weekday visitor center in Bureau offices that o Served 1,144 walk in guests (711/07 thru 6/30/08) o Answered 924 visitor-related phone calls o Replied to 3,455 visitor inquiries via e-mail. Exhibit A Resolution No.2008-57 HUNTINGTON BEACH HOTEL/MOTEL BUSINESS IMPROVEMENT DISTRICT Administered by the Huntington Beach Conference and Visitors Bureau Fiscal Year 2007108 Annual Report for Fiscal Year 2008/09 Operating Budget Request Community Relations • Developed "Tourism Works for Huntington Beach" presentation and began to deliver it before civic and service organizations throughout the community. • Obtained hard data from Dean Runyan & Associates about the economic impact of tourism within the City. Brand Development • Increased total trademark registrations to 12. • Obtained principal register status for financial services trademark and three classes of products/services • Settled lawsuit attempting to cancel registration of Surf City USA® trademarks by exploiting supplemental status. Administrative • To continue our goal of managing cash flow and providing financial stability in the event of inadvertent delays in the receipt of funding from the City in future years, the Bureau maintained a yearend BID cash reserve of approximately $225,000. Note: The boundaries of the improvement and benefit areas within the Hotel/Motel Improvement District (which includes the City of Huntington Beach in its entirety) will not change during the upcoming fiscal year. The Shorebreak Hotel is anticipated to open within the Improvement District in late winter of 2009. Exhibit A Resolution No. 2008-57 HUNTINGTON BEACH HOTEUMOTEL BUSII��IMA-M-UENT DISTRICT Administered by the Huntington Beach Conference and Visitors Bureau Proposed Fiscal Year 2008/09 for Fiscal Year 2008/09 Operating Budget Request INCOME -Carryover/Reserve FY07/08 $ 225,000.00 Projected Assessment 750,000.00 TOTAL 975 000.00 EXPENSE ..Carryover/Reserve FY08/09 $ 225,000.00 Marketing/Promotion 720,000.00 Le al Ex enses 30,000.00 TOTAL 975 000.00 Exhibit B Hotel/Motel BID List July 2008 Hotel Name Address City State Zip Beach Inn Motel 18112 Beach Boulevard Huntington Beach CA 92648 714-841-6606 Best Western Huntington Beach Inn 800 Pacific Coast Highway Huntington Beach CA 92648 714-536-7500 Best Western Regency Inn 19360 Beach Boulevard Huntington Beach CA 92648 714-962-4244 Comfort Suites 16301 Beach Boulevard Huntington Beach CA 92647 714-841-1812 Extended Stay America 5050 Skylab West Circle Huntington Beach CA 92647 714-799-4887 290 Monrovia Avenue Long Beach CA 92803 562-621-1910 Hilton Waterfront Beach Resort 21100 Pacific Coast Hi hw Huntington Beach CA 92648 714-845-8000 714-845-8407 Hotel Europa 7561 Center Avenue,#46 Huntington Beach CA 92647 714-895-5860 Hotel Huntington Beach 7667 Center Avenue Huntington Beach CA 92647 714-891-0123 Howard Johnson Express Inn&Suites 17251 Beach Boulevard Huntington Beach CA 92647 714-375-0250 Huntington Suites 727 Yorktown Avenue Huntington Beach CA 92648 714-969-0450 Huntington Surf Inn 720 Pacific Coast Highway Huntington Beach CA 92648 714-536-2444 0 r. Hyatt Regency Huntington Beach Resort&Spa 21500 Pacific Coast Hi hw Huntington Beach CA 92648 714-374-7291 0 0 714-845-4604 Z 0 Ocean View Motel 16196 Pacific Coast Highwz Huntington Beach CA 92649 562-592-2700 No 0 Pacific View Inn&Suites 16220 Pacific Coast Hi hw Huntington Beach CA 92649 562-592-4959 Starlight Inn 18382 Beach Boulevard Huntington Beach CA 92648 714-848-8422 Sun'n Sands Motel 1102 Pacific Coast Hi hwa Huntington Beach CA 92648 714-536-2543 777 Motor Inn 16240 Pacific Coast Hi hw Huntington Beach CA 92649 714-846-5561 NEW-Opening in early 2009: Shorebreak Hotel 1500 Pacific Coast Highway Huntington Beach CA T 92649 714-861-4470 Exhibit B Res. No. 2008-57 STATE OF CALIFORNIA COUNTY OF ORANGE ) ss: CITY OF HUNTINGTON BEACH ) I, JOAN L. FLYNN the duly elected, qualified City Clerk of the City of Huntington Beach, and ex-officio Clerk of the City Council of said City, do hereby certify that the whole number of members of the City Council of the City of Huntington Beach is seven; that the foregoing resolution was passed and adopted by the affirmative vote of at least a majority of all the members of said City Council at a regular meeting thereof held on September 15, 2008 by the following vote: AYES: Hansen, Hardy, Bohr, Cook, Coerper, Green, Carchio NOES: None ABSENT: None ABSTAIN: None Ci Clerk and ex-officio Jerk of the City Council of the City of Huntington Beach, California