12-01-2014 Council Work Session Minutes

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CITY COUNCIL WORK SESSION December 1, 2014 APPROVED 46 47 Mayor Reinert remarked that he hears that the council is interested in continuing the 48 discussion. He likes the idea because it connects with the Blue Heron Days and the 49 city's lakes. He suggests that the inclusion of a fireworks display would be good. The 50 council suggested that, considering the location, sponsorships could be sought in the 51 region rather than just the city. 52 53 Staff will report to the council after discussing the concept with Anoka County. 54 55 2. Steve Markuson, Twin Cities Gateway Bureau — Public Services Director 56 DeGardner noted that the council expressed interest in learning more about the 57 organization that handles tourism in the area and receives a lodging tax, Twin Cities 58 Gateway. He introduced the Executive Director of the organization, Steve Markuson. 59 60 Mr. Markuson gave a presentation highlighting the following: 61 The importance of tourism; 62 The benefits of tourism that extend beyond hotel nights to money spent 63 throughout the community; 64 The impact of tourism on Anoka County; 65 - The objectives the Twin Cities Gateway including promoting travel and 66 stimulating economic impacts; 67 - Their focus on on-line marketing and targeting a geographic market; 68 - Their goal of increasing hotel use during traditional downtime and enhancement 69 of website engagement. 70 71 Regarding the organization's budget, Mr. Markuson explained that the entire budget is 72 generated through a state authorized lodging tax that is distributed based on a formula. 73 The organization maintains a conservative financial position with fund reserves and 74 minimizes its overhead/administrative costs. Mr. Markuson added that the hotel 75 occupancy rates in the region continue to rise. He gave examples of their advertising that 76 includes special promotion of community events. 77 78 The mayor discussed the possibility of submitting a grant request for advertising for a 79 power boat racing event in the city. Mr. Markuson explained the grant process and noted 80 that a grant in the area of $5,000 could be requested but he added that such grants are not 81 meant as long term funding sources. 82 83 Council Member Roeser asked for advice on stimulating business to come to the city. 84 Mr. Markuson explained how events chose their venues, noting that banquet space is a 85 must. 86 87 3. Final 2015 Budget Review — Finance Director Rolek noted that the council has 88 received the final budget. He distributed and reviewed the Parks and Recreation budget 89 for discussion, noting that the fund does have a surplus some of which will be transferred 90 to the General Fund. Council Member Kusterman asked about the usual nature of such a 2