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HomeMy WebLinkAboutFY 2008-2009 Huntington Beach Hotel/Motel Business Improveme Council/Agency Meeting Held: Deferred/Continued to: 1 Appr ved ❑ Conditionally Approved ❑ Denied e�o C, ler ignat Council Meeting Date: 9/15/2008 Department ID Number: ED 08-41 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO: HONORABLE MAYOR AND CITY COUNCIL MEMB z SUBMITTED BY: PAUL EMERY, INTERIM CITY ADMINISTRATOR 4 PREPARED BY: STANLEY SMALEWITZ, DIRECTOR OF ECONOMIC DEVELOPMENT SUBJECT: Conduct Public Hearing and Adopt Resolution for Huntington Beach Hotel/Motel Business Improvement District Annual Assessment for Fiscal Year 2008-2009 Statement of Issue,Funding Source,Recommended Action,Alternative Action(s),Analysis,Environmental Status,Attachment(s) Statement of Issue: On August 18, 2008, City Council approved the Resolution of Intent No. 2008-50 to levy an assessment for the Huntington Beach Hotel/Motel Business Improvement District for fiscal year 2008-2009 and authorized the City Clerk to schedule a public hearing. City Council will conduct the public hearing to consider adopting a resolution to approve the annual assessment for the 2008-2009 fiscal year. Funding Source: Fund 709, Hotel/Motel Business Improvement District, account 70980101. Recommended Action: Motion to: 1. Conduct the Public Hearing. 2. Adopt City Council Resolution 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. Alternative Action(s): 1. Deny the request to approve the Resolution; or 2. Modify elements of the proposed Resolution, such as the proposed assessment, or activities and/or improvements to be funded. REQUEST FOR CITY COUNCIL ACTION MEETING DATE: 9/15/2008 DEPARTMENT ID NUMBER: ED 08-41 Analysis: At the request of the Huntington Beach Conference and Visitors Bureau (CVB), the City Council formed a Business Improvement District (BID) on August 19, 2002, including all hotels and motels in Huntington Beach for the purpose of funding activities to promote Huntington Beach as an overnight destination. The Board of Directors of the CVB also serve as the BID Advisory Board. The Huntington Beach Hotel/Motel Business Improvement District requires a 1% levy be assessed on overnight room stays in Huntington Beach. These funds are collected as a separate itemization with the monthly Transient Occupancy Taxes (TOT) paid to the City of Huntington Beach. Assessments collected are used to fund activities to increase overnight business stays and tourist visits to District businesses. In order for the City to levy the BID assessment each fiscal year, the City Council must conduct a public hearing before adopting a resolution confirming the coming year's assessments. On August 18, 2008, the City Council adopted Resolution 2008-50, affirming its intent to approve the proposed assessments for 2008-2009 and setting the public hearing for September 15, 2008 to approve the assessments. As required by the Streets and Highways Code Section 36500 et. seq., copies of the Resolution of Intention were mailed to each of the 18 businesses to be assessed and a notice of public hearing and copy of the Resolution was published in the Huntington Beach Independent on September 4, 2008. The Hotel/Motel BID anticipates assessments of $750,000 for 2008-2009. Combined with reserves of $225,000, the BID Board of Directors has proposed a total budget of $975,000 for FY 2008-2009. For purposes of budgeting, projections of assessment revenue are directly related to anticipated TOT revenue for a given fiscal year. The FY 2008-2009 City of Huntington Beach adopted budget includes anticipated TOT revenue of $7,500,000, which correlates to $750,000 of assessment revenue for the BID. Strategic Plan Goal: L-4: "Create an environment that promotes tourism to increase revenues to support community services and transform the city's economy into a destination economy." Environmental Status: Not applicable. Attachment(sl: Nlumbo, ® o 1. 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 2. Resolution No. 2007-50, approved August 18, 2008, a Resolution of the City Council of the City of Huntington Beach Declaring the City's Intention to Levy an Annual Assessment for Fiscal Year 2008-2009 Within the Huntington Beach Hotel/Motel Business Improvement District. 3. PowerPoint Presentation -2- 9/3/2008 8:02 AM ATTACHMENT # 1 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 12008 e Do%— Cow lAoke Mayor 1' REVIEWED A D AP ROVED: INITIATED AND APPROVED: City Admini ator Director of Economic Dev pment APPROVED AS TO FORM: _ N ity Attorney AV- 7-15-ce 08-1696/24300 2 Hotel#2 ATTACHMENT # 1 HUNTINGTON BEACH HOTEL/MOTEL BUSINESS IIAlIPF2®VEMENT DISTRICT Administered by the Huntington Beach Conference and Visitors Bureau Fiscal Year 2007/08 Annual Report for Fiscal Year 2008/09 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 %2 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 plusl/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 '/2 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.surfcityusa.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 Vt 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 BUSIN999'1 k&WENT 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 (7/1/07 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 2007/08 Annual Report for Fiscal Year 2008109 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 HOTEL/MOTEL BUSIN999!MA-M_kENT DISTRICT Administered by the Huntington Beach Conference and Visitors Bureau Proposed Fiscal Year 2008109 for Fiscal Year 2008/09 Operating Budget Request INCOME Carryover/Reserve FY07/08 $ 225,000.00 Projected Assessment 750,000.00 TOTAL 75 000.00 EXPENSE Carryover/Reserve FY08/09 $ 225,000.00 Marketin /Promotion 720,000.00 Le al Ex enses 30 000.00 TOTAL 975,000.0 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 CD Huntington Surf Inn 720 Pacific Coast Highway Huntington Beach CA 92648 714-536-2444 0 Hyatt Regency Huntington Beach Resort&Spa 21500 Pacific Coast Hi hw Huntington Beach CA 92648 714-374-7291 0 714-845-4604 Z 0 Ocean View Motel 16196 Pacific Coast Highwz Huntington Beach CA 92649 562-592-2700 0 0 Pacific View Inn&Suites 16220 Pacific Coast HighwE Huntington Beach CA 92649 562-592-4959 O0 cis 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 500 Pacific Coast Highway Huntington Beach CA 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 lerk of the City Council of the City of Huntington Beach, California ATTAC H M EN T #2 RESOLUTION NO 2008-50 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH DECLARING THE CITY'S INTENTION TO LEVY AN ANNUAL ASSESSMENT FOR FISCAL YEAR 2008-2009 WITHIN THE HUNTINGTON BEACH HOTEL/MOTEL BUSINESS IMPROVEMENT DISTRICT WHEREAS, the California Legislature, in adopting the Parking and Business Improvement Area Law of 1989 (Streets and Highways Code §36500 et seq) found that cities are authorized to levy assessments on businesses in order to promote economic revitalization and tourism,create jobs, attract new businesses and prevent erosion of business districts,and The California Legislature found that cities are authorized to levy assessments on businesses which benefit from those improvements and activities, and A sizeable majority of the hotel and motel businesses within the City of Huntington Beach requested that the City Council commence proceedings under the Parking and Business Improvement Area Law of 1989 to establish a hotel and motel business benefit area within the City of Huntington Beach and to levy a special assessment to promote tourism and tourist related events, and The City Council formed a business improvement area, known as the Huntington Beach Hotel/Motel Business Improvement District (the "District"), by the passage of Ordinance No 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 activities, and The District's Advisory Board has prepared and filed with the City Clerk an "Annual Report/Operating Budget 2007-2008 Fiscal Year to Date" and "Proposed Budget for Fiscal Year 2008-2009"(collectively, "Annual Report''), and NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Huntington Beach does hereby resolve as follows SECTION l The City Council hereby approves 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 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 To levy and collect assessments within the District area for Fiscal Year 2008-2009 in the amount of 1% on hotel and motel overnight room stays in hotels and motels listed in Exhibit B attached hereto and incorporated herein by this reference 08 1696/24297 1 Hotel 91 Resolution No 2008-50 SECTION 3 The type or types of improvements and activities proposed to be funded by the levy of assessments on businesses within the business improvement area are. specified in Exhibit A, attached hereto and incorporated herein by this reference SECTION 4 A public hearing shall be held before the City Council on September 15, 2008 , at 6 00 p in or as soon thereafter as this matter may be heard,. in the Council Chambers of the City Hall, 2000 Main Street, Huntington Beach, California, at which time the Council will hear all interested persons.for or against levying of the assessment, and the furnishing of specified types of improvements or activities Protests.may be made orally or in writing, but, if written, shall be filed with the City Clerk at or before the time fixed for the hearing and contain sufficient documentation to verify business ownership and validate the particular protest Any protest pertaining to the regularity or sufficiency of the proceedings shall be in writing and shall clearly set forth the irregularity or defect to which the objection is made The City Council may waive any irregularity in the form or content of any written protest, and at the public hearing, may correct minor defects in the proceedings A written protest may be withdrawn in writing at any time before the conclusion of the public hearing set forth above If written protests are received by the owners of businesses within the District,which will pay 50% or more of the total assessments to be levied, no further proceedings to levy the proposed assessment shall be taken for a period of one year from the date of the finding of a majority protest by the City Council If the majority protest is only against the furnishing,of a specified type or types of improvements or activity within the District, those types of improvements or activities shall be eliminated SECTION 5 The City Clerk is hereby directed to provide notice of the public heanng by causing the this resolution of intention to be published once in a newspaper of general circulation at least seven days before the public hearing .SECTION 6 Further information regarding the proposed business improvement district may be obtained at the Huntington Beach City Hall; 2000 Main Street, Huntington Beach, California 92648, telephone (714) 536-5542, .or from the Huntington Beach Conference and Visitors' Bureau, 301 Main Street, Suite 208, Huntington Beach, CA 92648, (714)969-3492 SECTION 7 The City Clerk shall mail a complete copy of this resolution of intention by first-class mail to each business owner in this area within seven days after the Council's adoption of this resolution 08 1696/24297 2 Hotel€f l Resolution No 2008-50 SECTION 8 This resolution shall take effect immediately upon.adoption PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the 18th day of August , 200 Mayor REV IE ND APPROVED INITIATED AND APPROVED ,�4 20� City Admlrustrat r Director of Econo evelopment APPROVED ASTO FORM � C YY Ci Attorney Mv- 08 1696/24297 3 Hotel#l Resolution No 2008-50 Exhibit "A" HUNTINGTON:BEACH HOTEL/MOTEL BUSINESS IMPROVEMENT 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 See, San Jose Mercury News, USA Today in Arizona and Northern California) with total circulation of 867 000 • Coordinated full-page OCTC ad plusl/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 'h 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 surfcityusa travel AdViews though 7/15108 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 2008-50, Exhibit "A" 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 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 14 million and we received a bonus of 66k impression in the value of$1 254 Results 229% overall sales growth total to 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 corn website closes sales 504 have been booked from July 1 Sc 2007 thru July 28 2008 These bookings are in addition to normal hotel click- thrus • Secured www huntingtonbeach corn 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 coins 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 coin 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 1,2-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 Resolution No 2008.-50, Exhibit "A" HUNTINGTON BEACH .HOTEL/MOTEL BUSINESS IMPROVEMENT DISTRICT Administered by the Huntington Beach Conference and Visitors Bureau Fiscal Year 2007108 Annual Report for Fiscal Year 2008109 Operating Budget Request Public Relations • Laid groundwork for heightened local Industry awareness during National Tourism Week with See My HB Photo and YouTube®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 .00eanfront 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 Kann Lepen Buffalo News a Travel Trade Medea FAM for Black Meetings & Tounsm Meetings & Incentive Travel and Travel Weekly Huell Howse'r 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 to 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 (7/1/07 thru 6/30/08) o Answered 924 visitor-related phone calls • Replied to 3 455 visitor inquiries via e-mail Exhibit A Resolution No 2008-50, Exhibit "A" 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 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 2008-50, Ex "A" HUNTINGTON BEACH HOTELIMOTEL BUSINESS IMPROVEMENT 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 750,00000 TOTAL 975.00000 EXPENSE' Carryover/Reserve FY08/09 $ 225 000 00 ' Marketing/Promotion 720 000 00 Legal Expenses 30,000 00 TOTAL 975,00000 Exhibit A 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 7994887 290 Monrovia Avenue Long Beach.. CA 92803 562 621 1910 Hilton Waterfront Beach Resort 21100 Pacific Coast HighwE Huntington Beach CA 92648 714 845 8000 714 6458407 Hotel Euro a 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 3750250 rn Huntin ton suites 727 Yorktown Avenue Huntington Beach CA 92648 714.969 0450 0 i-t Huntington Surf Inn 720 Pacific Coast Highway Huntington Beach CA 92648 714 536 2444 — 0 Hyatt Regency Huntington Beach Resort&-S a 21500 Pacific Coast Hi hw Huntington Beach I CA 92648 714374 7291 z 714 845 4604 p Ocean View Motel 16.196 Pacific Coast Hi hw Huntington,Beach CA 92649 562 592 2700 0 CD Pacific View Inn&Suites 116220 Pacific Coast HighwE Huntington Beach CA 92649 562 5924959 � 1 Starlight Inn 18382 Beach Boulevard Huntington Beach : CA 92648 714 848 8422 0 Sun n Sands Motel 1102 Pacific Coast Hi hwa Huntington Beach CA 92648 714 5362543 x iT 777 Motor Inn 16240 Pacific Coast Hi hw Huntington Beach CA 92649 714 846 5561 rt NEW Opening in.early 2009 Cal Shorebreak Hotel 500 Pacific Coast Highway Huntington Beach CA 92649 714 861 4470 Exhibit B Res No 2008-50 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-offfcio 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 August 18, 2008 by the following vote AYES Hansen, Hardy Bohr Cook Coerper, Green Carchio NOES None ABSENT None ABSTAIN None Clip,Clerk and ex-offfcio Ierk of the City Council of the City of Huntington Beach, California ATTACHMENT #3 Hunti*ngton Beach Hotel/Motel Bus *iness Improve en ..Iistri*ct Renewal FY 2008w2009 r'°' ber 15,, e e2008 Hotel/Motel ® 2002: Formation requested by Huntington Beach Convention and visitors Bureau - 1% Assessment on overnight room stays - Funds used to promote HB as an overnight destination - CVB Board of Directors serves as BID Advisory Board - Funds collected with TOT and distributed to the BID by the City d AMR, �y inmF r BID Hotels/Motels ♦ Beach Inn Motel ♦ Huntington Suites ♦ Best Western ♦ Huntington Surf Inn Huntington Beach Inn Hyatt Regency y 9 y ♦ Best Western Regency Huntington Beach Resort Inn & Spa ♦ comfort Suites ♦ ocean View Motel ♦ Extended Stay America ® pacific View Inn & Suites ♦ Hilton Waterfront Beach ♦ Starlight Inn Resort ® Sun " n Sands Motel ♦ Hotel Europa ♦ 777 Motor Inn ♦ Hotel Huntington Beach ® Shorebreak Hotelf ♦ Howard Johnson Express (opening early Inn & Suites r y r g,, Proposed200SAw2OO9 Budget and G ® Total Budget: $ 975, 000 - $750,000 anticipated assessments - $225,000 reserves from 2007-2008 ® Marketing/promotional activities, various legalexpenses 0- 1 Renewal ® Schedulingof Public Hearingand Resolution of Intention to Levy Annual Assessment - Adopted August 18, 2008 - copies and Notices mailed /published ® Public hearing required to consider all protests against BID renewal ® council to consider written protests - option to renew, not renew, adjust BID f , t Publl"c n Heari* ♦ Written protests: - If written protests are received from affected business owners of 50% or more of assessments, no further proceedings to consider the B I ® can be considered for one year ,9 i F £ € � y ....... • Reco ection ® conduct the public hearing ® Determine percentage of written protests If more than 50% of assessments represented, council cannot approve or consider again for one year ® consider resolution to approve Annual Assessment Within the Huntington Beach Hotel/Motel Business Improvement District for 20o -200 a r i jar i RCA ROUTING SHEET INITIATING DEPARTMENT: Economic Development SUBJECT: Conduct Public Hearing and Adopt Resolution for Hotel/Motel Business Improvement District 2008-2009 COUNCIL MEETING DATE: September 15, 2008 RCA ATTACHMENTS STATUS Ordinance (w/exhibits & legislative draft if applicable) Attached ❑ Not Ap licable Resolution (w/exhibits & legislative draft if applicable) Attached Not Applicable ❑ Tract Map, Location Map and/or other Exhibits Attached ❑ Not Applicable Contract/Agreement (w/exhibits if applicable) Attached ❑ (Signed in full by the City Attorney) Not Applicable Subleases, Third Party Agreements, etc. Attached ❑. (Approved as to form by City Attorney) Not Applicable Certificates of Insurance (Approved by the City Attorney) Attached ❑ Not Applicable Fiscal Impact Statement (Unbudgeted, over $5,000) Attached ❑ Not Applicable Bonds (If applicable) Attached ❑ Not Applicable Staff Report (If applicable) Attached ❑ Not Applicable El Commission, Board or Committee Report (If applicable) Attached ❑ Not Applicable Findings/Conditions for Approval and/or Denial Attached ❑ Not Applicable EXPLANATION FOR(MISSING ATTACHMENTS REVIEWED RETURNED FORS, DED Administrative Staff ( ) ( ) Deputy City Administrator (initial) ( ) City Administrator Initial ( ) ( ) City Clerk ( ) EXPLANATION FOR RETUJRN,OF ITEM: RCA Author: slifman CITY OF HUNTINGTON BEACH PUBLIC NOTICE Huntington Beach Independent has been adjudged PUBLIC HEARING FOR THE HOTELIMOTEL circulation in Huntington Beach and Orange County BUSINESS IMPROVEMENT DISTRICT RENEWAL Court of Orange County,State of California, under d A50479. NOTICE IS HEREBY GIVEN THAT the City Council will hold its Public Hearing on the 2008-09 renewal of the Huntington Beach Hotel/Motel Business Improvement District at its meeting scheduled on September 15,2008 at 6:00 PM or soon thereafter at the Huntington Beach Civic Center,2000 Main Street,Council Chambers as required by the Parking and Business Improvement Area PIROOF OF Law of 1989 as approved by City Council in Resolution No 2008-50 as re-printed below: RESOLUTION NO.2008-50 P�T ��� /Q ��®�1 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF v t i 1 HUNTINGTON BEACH DECLARING THE CITY'S INTENTION TO LEVY AN ANNUAL ASSESSMENT FOR FISCAL YEAR 2008-2009 WITHIN THE HUNTINGTON A �f�Ty BEACH HOTEUMOTEL BUSINESS IMPROVEMENT DISTRICT STATE OF CALIFOA®1'V J WHEREAS,the California Legislature,in adopting the Parking and Business Improvement Area Law of 1989(Streets and Highways Code§36500 et seq.)found that cities are authorized to levy assessments on businesses in order to promote �7 economic revitalization and tourism,create jobs,attract new businesses and prevent erosion of business districts;and COUNTY�� ®� ®� ♦ 1�1 O� The California Legislature found that cities are authorized to levy assessments on businesses which benefit from those improvements and activities;and A sizeable majority of the hotel and motel businesses within the City of Huntington Beach requested that the City Council commence proceedings under the Parking and Business Improvement Area Law of 1989 to establish a hotel and motel am the Citizen Of the U nited S business benefit area within the City of Huntington Beach and to levy a special assessment to promote tourism and tourist related events;and resident of the County aforesaid The City Council formed a business improvement area,known as the Huntington Beach Hgtel/Motel Business the a e of ei hteen ears and Improvement District(the"District"),by the passage of Ordinance No.3569 on August 19,2002. The time has come to continue g g y the existence of the District for fiscal year 2008-2009 by levying assessments on those businesses that benefit from the activities; to or interested in the below enti and The District's Advisory Board has prepared and filed with the City Clerk an"Annual Report/Operating Budget 2007- 1 am a principal clerk of the H UI 2008 Fiscal Year to Date"and"Proposed Budget for Fiscal Year 2008-2009"(collectively,"Annual Report");and BEACH INDEPENDENT, a net NOW,THEREFORE,BE IT RESOLVED that the City Council of the City of Huntington Beach does hereby resolve as follows: general circulation, printed and K SECTION 1. The City Council hereby approves the Annual Re o�rt filed by the Advisory Soard in the City Clerk's office attached hereto as Exhibit A and incorporated herein by this reference,which includes a proposed budget for Fiscal the City of Huntington Beach, Year 2008-2009 and a description of the improvements and activities to be provided for Fiscal Year 2008-2009. Orange State Of California SECTION 2. To levy and collect assessments within the District area for Fiscal Year 2008-2009 in the , amount of 1%on hotel and motel overnight room stays in hotels and motels listed in Exhibit B attached hereto and incorporated attached Notice is a true and cor herein by this reference. as was printed and UbIIShE SECTION 3. The type or types of improvements and activities proposed to be funded by the levy of assess- as p merits on businesses within the business improvement area are specified in Exhibit A,attached hereto and incorporated herein b) following date(S): this reference. SECTION 4. A public hearing shall be held before the City Council on September 15,2008,at 6:00 p.m.,or as soon thereafter as this matter may be heard,in the Council Chambers of the City Hall,2000 Main Street,Huntington Beach, California,at which time the Council will hear all interested persons for or against levying of the assessment,and the furnishing of specified types of improvements or activities. Protests may be made orally or in writing;but,if written,shall be filed with the City Clerk at or before the time fixed for the hearing and contain sufficient documentation to verify business ownership and validate the particular protest. Any protest pertaining to the regularity or sufficiency of the proceedings shall be in writing and shall clearly set forth the irregularity or defect to which the objection is made.The City Council may waive any irregularity in the form or content of any written protest,and at the public hearing,may correct minor defects in the proceedings. A written protest may be withdrawn in writing at any time before the conclusion of the public hearing set forth above.If written protests are received by the September 4, 2008 owners of businesses within the District,which will pay 50%or more of the total assessments to be levied,no further proceed- ings to levy the proposed assessment shall be taken for a period of one year from the date of the finding of a majority protest by the City Council. If the majority protest is only against the furnishing of a specified type or types of improvements or activity within the District,those types of improvements or activities shall be eliminated. SECTION 5. The City Clerk is hereby directed to provide notice of the public hearing by causing the this resolution of intention to be published once iri a newspaper of general circulation at least seven days before the public hearing. SECTION 6. Further information regarding the proposed business improvement district may be obtained at the Huntington Beach City Hall,2000 Main Street,Huntington Beach,California 92648;telephone(714)536-5542;or from the Huntington Beach Conference and Visitors'Bureau,301 Main Street,Suite 208,Huntington Beach,CA 92648,(714)969-3492. SECTION 7. The City Clerk shall mail a complete copy of this resolution of intention by first-class mail to I declare, under penalty of perju each business owner in this area within seven days after the Council's adoption of this resolution. SECTION 8. This resolution shall take effect immediately upon adoption. foregoing is true and correct. PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the 18th day of August,2008. The estimated cost of providing the improvements and activities for Fiscal Year 2008-2008 is$975,000. Copies of the exhibits referenced above are available in the office of the City Clerk or upon request by calling Simone Slifman, Executed on September 4, 2008 project Manager,at(714)375-5186.or through the City's website at: at Huntington Beach, California http://www.surfcity-hb.o2/Government/Agendas/sepl 508.cfm. _. 1 e-t�7 i Sign re Page I of I Esparza, Patty From: Slifman, Simone Sent: Thursday, September 04, 2008 4:26 PM To: Esparza, Patty Subject: RE: BID's Hmmmm....good question...looks like they didn't do it that way last year, but the BID renewal is effective as of October 1, so we can just go with that. Good catch! Also, I will have the scripts for the mayor to your office before the meetingon the 15tn. One more thing...I asked Robin whether the possibility exists of putting these public hearings in a specific order because two of them will be done by me (Downtown, Hotel/Motel), and one by Doris(Auto Dealers) and the only one that may take any amount of time will be the Downtown BID. It is unlikely that the Auto Dealers or Hotel/Motel BIDs will have significant comments, but the Downtown BID may take a while due to some outstanding financial issues, so if there are other public hearings that night which will take less time, if it is possible that those will appear first in the order that might be best. It's my understanding that there are others in charge of how items are ordered on the Agenda, but I thought that if your office had this information in advance it may be helpful for all involved. Thanks again! Simone From: Esparza, Patty Sent: Thursday, September 04, 2008 4:04 PM To: Slifman, Simone Subject: BID's Hi Simone— I have the Downtown & Hotel/Motel BID RCA's on my desk. The resolution on both of them has a blank in it that I am not sure what it should be. It is Section 4. and states "This resolution shall take effect on ." Is there a special date that should go in there other than the Council meeting date? Thanks! Patty Esparza, CMC Senior Deputy City Clerk City of Huntington Beach 714-536-5260 9/4/2008