HomeMy WebLinkAboutReso - CC - 111-2001RESOLUTION NO. 111- 20 01
RESOLUTION OF THE CITY COUNCIL OF
THE CITY OF BURLINGAME DECLARING ITS INTENTION
TO ESTABLISH ASSESSMENTS FOR THE 2002 YEAR
THE SAN MATEO COUNTY TOURISM BUSINESS IMPROVEMENT DISTRICT
WHEREAS, pursuant to California Streets and Highways Code Section 36500 et sea., the
San Mateo County Tourism Business Improvement District was established for the purpose of
promoting tourism in the District through promotion of scenic, recreational, cultural, hospitality, and
other attractions in the San Mateo County region; and
WHEREAS, the San Mateo County Tourism Business hnprovement District AdvisoryBoard
has filed its 2001 annual report and requested the Burlingame City Council to set the assessments
for the 2002 year; and
WHEREAS, the San Mateo County Tourism Business Improvement District through the
City's agreement withthe San Mateo County Convention and Visitors Bureauhas established a basic
foundation to promote tourism in the District and the programs for the coming year should
significantly help the hospitality industry bridge the current economic slump; and
WHEREFORE, the City of South San Francisco will become a full participant in the
District in the coming year, which will complete the District's inclusion of all significant hospitality
destinations in the County,
NOW, THEREFORE, the City of Burlingame does hereby resolve, determine, and find as
follows:
1. The 2001 annual report of the San Mateo County Tourism Business Improvement
District Advisory Board is approved.
2. The Burlingame City Council intends to levy an assessment for the 2002 year on
hotels in the District, as the District is described in Ordinance No. 1648, to pay for programs and
activities of the District.
3. The types ofprograrns and activities proposedto be funded bythe levy of assessments
on hotels in the District are set forth in Exhibit "A", incorporated herein by reference. These
programs and activities are without substantial change from those previously established for the
District.
1
4. The method, basis, and amounts for levying the assessments on all hotels within the
District are set forth in Exhibit "B", incorporated herein by reference, and would retain the same
basic formulas as those used in the previous year but with a reduction in the occupancy factor for all
hotel categories except hotels with less than 20 sleeping rooms in Zone A. This means that the
assessments for most hotels would be reduced on an annualized basis in the coming year. The
proposed assessments for the 2002 year for each hotel currently in business in the District is
described in Exhibit "C", incorporated by reference. The definitions of classifications from
Ordinance No. 1648 are attached as Exhibit "D", for convenience only.
5. New hotels shall not be exempt from assessment.
6. A public hearing on the proposed assessments for the year 2002 is hereby set for
November 5, 2001, at 7:00 p.m. before the City Council of the City of Burlingame, at the Council
Chambers at 501 Primrose Road, Burlingame, California.
7. The Council will receive testimony and evidence at the public hearing, and interested
persons may submit written comments before or at the public hearing, or they may be sent by mail
or delivered to the City Clerk at 501 Primrose Road, Burlingame, CA 94010.
8. Oral or written protests may be made at the hearing. To count in a majority protest
against the proposed assessment for the 2002 year, a protest must be in writing and submitted to the
City Clerk at or before the close of the public hearing on November 5, 2001. A written protest may
be withdrawn in writing at any time before the conclusion of that public hearing. Each written
protest shall identify the hotel and its address. If the person signing the protest is not shown on the
official records of the City of Burlingame as the owner of the hotel, then the protest shall contain or
be accompanied by written evidence that the person is the owner of the hotel. Any written protest
as to the regularity or sufficiency of the proceeding shall be in writing and clearly state the
irregularity or defect to which objection is made.
9. If at the conclusion of the public hearing, there are of record written protests by the
owners of hotels within the District which will pay fifty percent (50%) or more of the total
assessments of the entire District, as to the proposed assessments for the 2002 year, no assessment
for 2002 year shall occur. If at the conclusion of the public hearing there are of record written
protests by the owners of hotels within the District which will pay fifty percent (50%) or more of the
total assessments of the entire District only as to a program or activity proposed, then that type of
2
improvement or activity shall not be included in the District for the 2002 year.
10. Further information regarding the proposed assessments and changes andprocedures
for filing a written protest may be obtained from the City Clerk at City Hall, 501 Primrose Road,
Burlingame, California, phone 650 - 558-7203. The annual report ofthe San Mateo County Tourism
Business Improvement District is on file and available at the Office of the City Clerk at 501 Primrose
Road, Burlingame, California.
11. The City Clerk is instructed to provide notice of the public hearing by publishing the
this Resolution in a newspaper of general circulation in the City of Burlingame in accordance with
the requirements of the Government and Streets & Highways Codes and mailing them in accordance
with those requirements and Ordinance No. 1648 as applicable.
Le 419,0a�
OR
I, ANN T. MUSSO, City Clerk of the City of Burlingame do hereby certify that the foregoing
Resolution was introduced at a regular meeting of the City Council on the 16th day of
October 2001, and was adopted thereafter by the following vote:
AYES: COUNCILMEMBERS: COFFEY, GALLIGAN, JANNEY, O'MAHONY, SPINELLI
NOES: COUNCILMEMBERS: NONE
ABSENT: COUNCILMEMBERS:NONE
(�y(Aw�'D
CITY CLERK
C:\FB,ES\HotelB id\2002intro.res.wpd
0.411111IM41
ACTIVITIES, PROGRAMS AND SERVICES TO BE FUNDED BY THE
SAN MATEO COUNTY TOURISM BUSINESS IMPROVEMENT DISTRICT
1. Increased Generation of Group Leads
a. Additional Sales Staff. Increase the Bureau's sales staff from two full -times sales
representatives to six (6) or more.
i. One sales representative to be located on the East Coast to represent the
Bureau in the Washington, D.C. area;
ii. One sales representative to be located in Sacramento;
iii. One sales representative to be located in Southern California to represent
the Bureau in the Los Angeles Area;
iv. Three sales representatives in-house.
2. Marketing Program for Meetings and Tourism
a. Invest in extensive Web advertising, creating links from key travel sites;
b. Host annual receptions in Sacramento;
C. Add a cooperative advertising manager and create additional cooperative
advertising pieces;
d. Participate in additional trade shows of interest to member hotel properties;
e. Enhance/update trade show booth decor and marketing materials;
f. Increase memberships in organizations/attendance at meetings with key, potential
target visitors;
g. Enhance advertising in publications/web programs aimed at meeting planners;
h. Create specialty guides/promotional pieces aimed at target market segments (e.g.
golf);
i. Conduct familiarization trips for meeting planners, film/ad/catalogue producers
and travel writers;
j. Use a part-time film commissioner to proactively recruit production crews to the
area;
k. Create additional collateral and marketing materials;
1. Add a part-time publications manager to write specialty pieces and articles for
distribution;
M. Add state -of the art software designed for convention and visitor bureaus;
n. Enhance web site;
3. Program to Extend Stays
a. Create collateral/promotional materials to encourage extended stays;
b. Add a part-time manager of meeting services to create special packages/offers,
marketing plans to encourage extended stays.
4. Consumer Reservations Program/Market to Travel Industry
a. Create an on-line reservations system for travelers;
b. Dedicate one new sales representative's time to the transient market;
C. Develop an alliance with tour operators;
d. Create an awareness of the Bureau on the part of international travelers;
e. Have key brochures translated into German and Korean.
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EXHIBIT D — CLASSIFICATION DEFINITIONS FROM ORDINANCE NO. 1648
— Hotel means any structure, or any portion of any structure, that is rented for dwelling, lodging, or
sleeping purposes on a transient basis, andgincludes anyhotel, motel, inn, tourist home or house, studio,
bed and breakfast, lodging house, rooming house, or other similar structure or portion thereof.
— Full service means a hotel that offers all of the following: an on-site restaurant, meeting space, room
service, bell service, and catering.
— Limited service means a hotel that offers meeting space but does not necessarily have an on-site
restaurant, room service, or catering.
— Standard service means a hotel without any meeting space, and generally does not have bell service,
room service, on-site restaurant, or catering.
— Meeting space means a room or space dedicated for group and social meetings, meals, and/or functions.
— Sleeping room means a room or suite of rooms that is rented on a transient basis as a unit for sleeping
or occupancy.
San Mateo County Business Improvement District Annual Report for the year 2001
September 28, 2001
In keeping with the requirements of Business Improvement District law, as spelled out in the California Streets
and Highways Code, we hereby submit our annual report to the Burlingame City Council as lead agency of the
organization. With leisure and individual business travel currently at an all-time low throughout the U.S., our
efforts to generate leads have become more important than ever.
Report on Accomplishments of the San Mateo County Tourism Business Improvement District
Since the formation of the San Mateo County Business Improvement District earlier this year, the BID/County
Convention & Visitors Bureau has made tremendous progress. While the BID did not receive the first
installment of any assessments until June 30 of this year and did not have an improved cash flow until July, the
organization has managed to honor its commitments to the hotel community. Listed below are some of our
accomplishments to -date:
• Hired five additional sales staff members by August 10, covering the SMERF (Social, Military,
Education, Retiree/Religious, Fraternal), Corporate, Tour and Travel/International, Southern California,
Washington, DC and Sacramento markets. We now have representatives in Los Angeles, Washington,
DC and Sacramento, greatly increasing our reach. Total sales staff is now six.
As of July 16, we have a film commissioner whose time is entirely devoted to film recruitment and
assistance. The county will have seven pages in a new state -produced photo book for producers. In
addition, we are fully integrated into the state's film commission database as a certified film
commission and have attended the American conference for film commissioners and producers, as well
as the Cannes Film Festival. The film commissioner generates contacts with approximately ten new
producers/film scouts/corporate film departments per week. A complete reorganization of our photo
library began July 16.
• In an effort to entice more groups into the county and to entice meeting attendees to extend their stays,
we have hired a meeting/event assistance manager to put together packages and coupons, as well as to
work on membership recruitment. She is currently pulling together a book of 30 visitor value coupons to
encourage visitors to spend their dining/shopping/entertainment dollars locally.
In an effort to increase the number of "fam"(familiarization) trips we conduct, our tour and travel sales
manager has already joined a bay area tour operator group and our southern California representative is
also working with tour operators to increase their knowledge of the county. We have scheduled a large
"fam" trip of the county for travel writers and tour operators on November 7 of this year. hi addition,
we have been conducting "firm" trips on an individual basis for tour operators, meeting planners, travel
writers and film scouts, building relationships with these groups.
• In response to the hotels' suggestion that we attend additional trade shows and meeting planner
conferences, sales managers have attended or made plans to attend every trade show recommended at a
meeting of directors of sales. We were a major sponsor of the NCCMPI (Northern California Certified
Meeting Planners) golf tournament, worked an NCCMPI trade show, and have joined multiple meeting
planner groups, including PCMA, SGMP, ASAE, NCSAE, GWSAE, Black Meeting Planners, and
more.
• Our East Coast sales manager regularly attends all GWSAE (Greater Washington Society of Association
Executives) events, plus attended the Institute for Organization Management at University of Delaware.
She has also just enrolled in the Meeting Planners International group headquartered in DC. In October
of this year, she will attend two conferences for minority meeting planners, as well.
• We are breaking into the sports and recreation market, creating inventory of the county's sports
facilities, and participating in a US sports conference (October, 2001).
• As an interim step, we have added hotels' "hot" or need dates to our website. We will be signing a
contract with an online reservation service no later than mid-October, allowing individuals to book
through the Bureau's website. We are coordinating ads in target markets to drive individual/leisure
travelers to our web and booking site.
• We have installed and trained employees on brand new state-of-the-art software for CVBs. The
software not only saves staff time and allows us to serve meeting planners better, but
generates detailed reports.
• Our East Coast sales manager has joined a group of approximately 50 CVBs with offices in Washington,
DC and will be a co-host/exhibitor at a reception for association executives in DC in October.
• A long-time Bureau employee has been assigned to create target pieces of collateral, e.g. things to do
along mass transit routes, self -guided film sites/celebrities tour, historical sites, etc. She has just finished
the copy for our new visitors guide, and will be tackling one brochure at a time.
• Coordination and cooperation with HMB/Coastside Chamber and Visitors Bureau has continued. We
have an excellent working relationship and are in constant communication, particularly re: film crews
and travel writers. Both sides of the hill have benefited from the relationship.
• We have restructured our relationship with our inherited web company to create more "pop -ups" of our
site. Currently, we are gathering proposals for a new website, to be implemented in early 2002. We
have begun plans for a state of the art website to be completed in early 2002.
• Our presence in publications aimed at film companies, meeting planners and sports groups has
increased. We advertised in the MPI directory, the first California Locations book, California's Visitors
Guide and Meetings West. Just contracted with Travel and Leisure and the National Tour Association
for ads in their publications. Cooperated in a CNN ad with the Cow Palace in conjunction with a
visitors' incentive package for San Mateo County.
We have held meetings with member and non-member venues to create more travel package ideas and
to generate leads for groups
We have worked very closely with leaders from WITHIN the county to generate leads for potential
conference and convention groups.
• We have begun preliminary planning for a February reception in Sacramento. The reception will bean
annual event.
Zones and Assessments
We are proposing no changes in zones. We are, however, proposing a reduction in the annual assessment
formulas for most properties for the year 2002, as outlined in the attachment.
In Zone A, all assessments for properties with more than 20 rooms shall be calculated at a formula using 60
percent as the multiplier, rather than 70 percent. Zone A properties with under 20 sleeping rooms should have
their assessments calculated using the current 30 percent. In Zone B, assessments for Full Service Properties
with more than 20 sleeping rooms should continue to be calculated using 50 percent. Zone B limited service
properties whose assessments are currently calculated using 50% should now be calculated using 40% and
properties whose assessments are currently calculated using a formula with 30%, should use 25 percent. (Please
see Attachment.)
We are enclosing a list of affected properties in the county, including their new monthly and annual
assessments, per annual report requirements. (Please see Attachment.)
Activities/Improvements to be provided in the year 2002
Now that the BID has the appropriate sales staff and software in place, we will be concentrating on extending
our reach. Sales and marketing will be our focus, and we will expand into the tour and travel, leisure traveler
and international markets.
Our website will be redesigned and our new on-line reservations system made available to all member
properties wishing to participate in on-line reservations. This system will allow anyone coming to our website
to make real-time reservations with our properties, or in the case of participating B&Bs not wishing to input
inventory, to book within 24 hours. We will be directing meeting planners, sports group leaders and individual
business travelers to the site, through marketing and advertising efforts.
Our staff will be attending many additional trade shows and meeting planner events to build relationships and
create an awareness of our area. In addition, we will focus on our marketing outreach, now that operational
issues are resolved and the organization operating smoothly. We will be hosting a reception on Sacramento for
meeting planners at the beginning of the year, something we have not been able to do in the past. We will also
put more emphasis on the tour and travel and international markets, as we will have the mechanisms to track the
business those outreach efforts generate.
We will also boost our relationships with the exposition and conference centers in the county, the airlines and
the California Travel Industry Association, working on coop advertising and mutually beneficial referrals. We
will continue to strengthen our eastern and southern California markets, as well as generate more state leads out
of Sacramento.
Specialty guides aimed at target markets will be published throughout the year, allowing us to focus on the most
productive market segments. With our new CVB software in place, we will also be tracking leisure traveler
leads and creating data bases by areas of interest, allowing us to target market in conjunction with specific
activities or events within the county. We will continue to build our relationship with San Francisco
International Airport and county venues suitable for filming.
Our new events services manager will create extended stay packages. Our Film Commission will continue to
generate room nights by building relationships and marketing our services to several new production companies
every month.
The estimated cost to provide these new improvements and activities, all of which are dependent upon being
fully staffed, will be approximately $1.85 million.
While it is too early to determine the size of any projected surplus or deficit for the year 2002, we budgeted for
a surplus of approximately $300, and anticipate being approximately $5000 ahead of budget. Because we are a
sales oriented organization, we anticipate putting any surplus into advertising and marketing.
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