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M:\MasterFiles\1999 thru 2010\2001\City Council\Work Session Packets\03-05-2001 W. S\Item 03--Banquet Center Agreement Memo--Kathleen Miller.doc <br /> <br /> <br /> <br />TO: MOUNDS VIEW CITY COUNCIL <br /> <br />FROM: SHARIE LINKE, GENERAL MANAGER <br /> MOUNDS VIEW BANQUET & CONFERENCE CENTER <br /> (INNOVATIVE IMAGES MARKETING & MANAGEMENT LLC) <br /> <br />DATE: MARCH 5, 2001 <br /> <br />SUBJECT: REQUEST FOR AMENDMENT TO CONTRACT FOR SERVICES <br />TO MARKET AND MANAGE THE MOUNDS VIEW BANQUET CENTER <br />AND OVERVIEW OF BANQUET CENTER OPERATIONS <br /> <br /> <br />REQUEST: As President of Innovative Images Marketing and Management LLC, I <br />am requesting that the Mounds View City Council amend the contract <br />between the City of Mounds View and Innovative Images to include a <br />guaranteed payment for management services in the amount of $24,000 <br />per year with additional commission to be paid when gross revenues <br />reach $80,000. I further request that this guaranteed amount be <br />retroactive to January 1, 2000. Furthermore, it is requested that <br />payments be made to Innovative Images every two months in the <br />amount of $4,000.00. <br /> <br />BACKGROUND INFORMATION: Over the last 27 months, Innovative Images has been <br />paid only $44,000 for the management of the Banquet and Conference Center. This <br />includes a full-time manager, myself, often working seven days and evenings per week at <br />a minimum of 40 –50 hours per week and Kathy Harrer, my administrative assistant <br />working 40 – 50 hours per month as a paid employee of Innovative Images. Which means <br />Innovative Images pays her social security, workers compensation and unemployment <br />taxes as well as corporate taxes. The approximate breakdown of hours are as follows: <br /> <br />Sharie Linke November, 1998 – January, 2001 4440 hours (figured at only 40 hrs./week) <br />Kathy Harrer January, 1999 – January 2001 1340 hours (figured at only 40 hrs/month) <br />Total hours 5780 hours <br /> <br />$44,000 divided by 5780 hours equals $7.61 per hour. Kathy gets paid $10.00 per hour. <br />This doesn’t include her benefits or Innovative Images corporate taxes. Why has <br />Innovative Images invested so much time and effort into the project? Because the <br />Banquet Center has possibilities if the City is willing to continue to support our efforts. <br /> <br />Innovative Images has NOT been paid since November of 2000. But, in good faith, we <br />have continued to operate the Banquet Center due to numerous commitments for 2001 <br />and a high volume of clients requesting space for upcoming events. Unfortunately, it’s <br />impossible to continue to operate without a guaranteed income.