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HomeMy WebLinkAbout2021-07-27 CGCVB Complete Packet Cottage Grove Convention and Visitors Bureau Board of Directors Meeting AGENDA July 27, 2021, 7:30 A.M. City Hall – Council Chambers 1. Call to Order 2. Roll Call 3. Approval of Minutes 3.1 Meeting Minutes CGCVB 2021-03-23 4. Business Items 4.1 Visitor Bureau Projects Update 4.2 Q1 Lodging Tax Revenue & 2022 Draft Budget Discussion 4.3 Amendment to the rules and regulations of the CGCVB 4.4 Social Media Marketing Plan 4.5 Visitor Guide Ideas 5. Other Business 5.1 CGCVB Comments 5.2 Response to Previous CGCVB Comments 6. Adjournment The next Cottage Grove Convention and Visitors Bureau Meeting will be held on Tuesday, August 24 at 7:30 AM COTTAGE GROVE CONVENTION AND VISITORS BUREAU MINUTES March 23, 2021 A meeting of the Cottage Grove Convention and Visitors Bureau was virtually held via Zoom at https://cottagegrovemn.zoom.us/j/97731183089 on the 23rd day of March, 2021, at 7:30 a.m. CALL TO ORDER The meeting was called to order at 7:31 a.m. by Chairman Steve Dennis. ROLL CALL Director Costello called the roll: Members Present: Steve Dennis, Chair - Here Laurie Levine, Director - Here Justin Olsen, Vice Chair - Here Roshan Patel, Director - Here Matt Wolf, Director (Secretary) - Here Members Absent: None Staff Present: Christine Costello, Economic Developer Director Jennifer Levitt, City Administrator Others Present: None. APPROVAL OF MINUTES 3.1 Approval of Meeting Minutes CGCVB 2021-01-26 Approval of the January 26, 2021 Cottage Grove Convention and Visitors Bureau Meeting Minutes. A motion was made by Director Levine to accept the January 26, 2021 Cottage Grove Convention and Visitors Bureau Meeting Minutes. The motion was seconded by Director Wolf. Director Costello called the roll: Chairman Dennis - Aye; Vice Chair Olsen - Aye; Director Levine - Aye; Director Patel - Aye; Director Wolf - Aye. The motion passed unanimously (5-to-0). BUSINESS ITEMS 4.1 Q4 Lodging Tax Revenue and 2020 Final Revenue and Expenditures Director Wolf stated we started collecting the 3% Lodging Tax on May 1 on all facilities classified as hotels, motels, rooming houses, tourist court, or resort; these are collected quarterly by the Bureau. He reviewed the revenue sources: Q4, 2020: We collected a total of $11,016 from lodging facilities; that revenue fell a bit short, $132, of our projections. In addition, Q4 includes the $14,978 grant that we received from Washington County; so, in total, it’s $25,994. Q3, 2020: We received $12,660 in just Lodging Tax revenue, so we fell a little bit short of that with $11,016 for Q4. Director Patel had previously mentioned that due to COVID we would see a dip in Q4 revenue, and also in Q1 2021, before things start picking up again for the hospitality industry. 2020 Year-End Totals: Total Revenue: $44,736. Final Expenditures: $20,276. Net Surplus: $24,460. The surplus is the result of the Washington County grant that we received, and $4,850 that was budgeted for social media marketing but was unspent; we saved that money to hold off until our website was fully up and running and things got established within the organization. We’ll be talking about social media today in Item 4.3. The Lodging Tax revenue exceeded our projections by $11,186. City of Cottage Grove Convention and Visitors Bureau March 23, 2021 Page 2 of 4 Director Wolf stated in 2020 we’d conservatively proposed Total Revenue of $18,572, as it was our first year; as we were in the midst of the pandemic, it was hard to make those projections. With the grants and the lodging funds, Total Revenue exceeded our expectations at $44,736; this is in line with what we’re projecting for 2021 in just Lodging Tax alone of $44,232. Total Expenses were $20,276, as we saved the money that was previously allocated for social media; however, in 2021, we’re expecting to increase our marketing expenditures by a considerable amount, so we’re at $44,583. We’ve already been accepted to receive a couple grants from Explore Minnesota, so we expect our grant revenue to once again increase in 2021. Recommendation: Carry forward the $4,850 Lodging Tax revenue, unspent in 2020 for social media marketing, to be used for social media marketing in 2021. Keep the remaining $19,610 in cash reserves for future projects or emergency funding. Chairman Dennis asked the Board if there were any questions on the financials and/or any discussion about the recommendation made; there were none. Vice Chair Olsen made a motion to carry forward the $4,850 Lodging Tax revenue, unspent in 2020 for social media marketing, to be used for social media marketing in 2021. Keep the remaining $19,610 in cash reserves for future projects or emergency funding. The motion was seconded by Director Levine. Director Costello called the roll: Chairman Dennis - Aye; Vice Chair Olsen - Aye; Director Levine - Aye; Director Patel - Aye; Director Wolf - Aye. The motion passed unanimously (5-0). 4.2 Visitor Bureau Projects Update Director Wolf stated at our January meeting, we reviewed a number of priorities that were accepted as part of our 2021 budget in November. He wanted to give an update on a number of these: • Photography: We’re aiming for an end of May photo shoot with Sievers Creative. We want to make sure we get photos of our restaurants, lodging facilities, and outdoor recreation. We’re also working to potentially line up a single photo shoot with Parks and Recreation, specifically at the Ice Arena, to get photos when a tournament is taking place. • Let’s Play Hockey Ads: Director Wolf heard from Recreation Facilities Manager Jordan Hirman, who’s working on this publication. He’s working with the Hockey Association on starting those ads in May. • Dasher Board Ad: Completed, as we used the Washington County grant money to help pay for the Dasher Board Ad at the Ice Arena in 2021 and 2022. • Web Advertising: Will be discussed today in Item 4.3. • Logo and Contact Information Marketing: Implementation in April, May, and June. That’s internal marketing, using stickers and other informational items that will be at various parks and facilities in the community. • Hockey Tournament Support and Wedding and Events Video: We’re looking to meet with the Hockey Association again in May for support of the Thanksgiving Hockey Tournament. With COVID, the Wedding and Events Video is still pending. • Visitor Guide: Currently on hold pending internal staffing decisions and what steps we want to take and what direction we’d like to go. It’s quite a large undertaking, and we’re trying to get all of that determined as we move forward. Accomplishments: • One Page Flyer: That was sent to residents in the Cottage Grove Reports to introduce Discover Cottage Grove, as signed off by Chairman Dennis. On the reverse side of the flyer, it asked residents to really support our businesses during the pandemic by eating locally and shopping locally. • Bantam Flyer: We worked with Parks and Recreation Director Zac Dockter, and they put together a Bantam Flyer; the flyer contained an ad that gave a great opportunity for those visiting our community to support our restaurants and eat locally. It also displayed our Discover Cottage Grove logo, as well as our website. That was a great opportunity to promote Cottage Grove for the tournament participants and all visitors enjoying those daylong events. • Snowmobile Map: The Washington County grant that we received helped us fund the redo of a snowmobile map for visitors looking for that outdoor adventure theme that we’re targeting in our Marketing Plan. Director Costello worked a great deal on this map, and it turned out very nicely. It displays the entire area where our snowmobile trails are located; it also highlights our restaurants, convenience stores to purchase gas, and lodging facilities. Retail sales or repair locations are highlighted as well. There’s an overview map of Washington County and it includes a number of tips regarding riding responsibly. So, it’s a great partnership with Discover Cottage Grove, as it has our logo and our name all over it. It was great to get that piece of marketing done, and Director Costello indicated the Snowmobile Club is very happy with our partnership and the new map. The maps will also be distributed locally. City of Cottage Grove Convention and Visitors Bureau March 23, 2021 Page 3 of 4 • HaveFunBiking.com: There’s now a map of Cottage Grove in that publication, thanks to the efforts of Recreation Supervisor Brad Muckenhern; it displays all of our paved trails and amenities. It highlights the Mississippi River trail, as well as others. We wanted to make sure we included our lodging facilities, and it gives a brief overview of Discover Cottage Grove, the Cottage Grove area, and it also highlights the Cottage Grove website. This will begun running soon, as they’re finalizing this map internally. So, it’s great to see another project moving forward. Director Wolf stated he’d take any questions or comments from the Board of Directors. Chairman Dennis stated that was a very nice update, and we’ve made a tremendous amount of progress as we start putting these pieces together. Chairman Dennis asked the Board if they had any questions or comments regarding Director Wolf’s presentation. Vice Chair Olsen stated the City just had its photo contest, and we’d previously spoken about using some of those photos, in addition to the professional photographs. He asked when we’d do the photo shoot, and if the intent was just to do still photographs or if we’d do in-action photographs with real people engaging in activities. Director Wolf replied that we’d be looking to do in-depth photos, in terms of action shots. One of the things we really want to get are restaurant shots with people eating out and enjoying themselves, as we’re very lacking in those types of photos in our library. From the photo contest, we have many shots of exterior, outdoor amenities, which is great. People actually interacting in our parks and doing outdoor recreation are not found in those, though, so we want to try to get some of those. We’ll take the photos we have and will try to complement and add to those, but we’re trying to get many with people actually interacting within the City and with the various activities we want to highlight. Vice Chair Olsen stated he agreed that we didn’t have many action-oriented photos and was glad to hear we’ll be getting those. As these photos are going to be used for marketing the community, he’d want people to look at our community as a place where they want to come, where they’ll feel comfortable, confident, and will have a good time. He’d really like us to focus on having people from all backgrounds, including different ages, males, females, and people of color in those action photographs. We want to try to capture as wide a swath of the public as we can so that when people look at those photos, they see somebody who looks like them and will think that’s a place where they’d feel comfortable. Director Levine asked if somebody could send her both of the pages that were displayed today, as she’d love to publish them in their Chamber newsletter for this month if that’s okay with everybody. She thought that would be another great way to get the information out there. Director Wolf stated he would definitely send her the digital copies of those. Chairman Dennis thanked Director Wolf and Director Costello for all of the great work that’s being done. 4.3 Social Media Brand Awareness Launch Campaign Director Wolf stated at our meeting in January, we spoke about our Explore Minnesota grants that were approved; specifically, we had a $1,000 grant that we needed to spend for Phase I of Explore Minnesota by April 30. It was agreed that we would put those grant funds toward the Social Media Brand Launch Campaign. This campaign would be done in conjunction with Sievers Creative, and it would focus on a 50-mile radius of the community. The campaign would target our marketing segments as we laid them out in the Marketing Plan, including: Outdoor & Family Fun; Sporting Events; Local Events & Festivals; Corporate Travel; Wedding Destinations. Ads will be designed to focus on each of those segments. The April ads will be focused on launching the Discover Cottage Grove brand. It will bring interested individuals who are looking to discover Cottage Grove in terms of our amenities, and it will also highlight our now- completed website. People will be able to click on the ad, which will bring them to our website. It will then give them the opportunity to sign up for our mailing list/email list, and it will give them an opportunity to enter for a chance to win a prize package. The proposed prize package currently includes: • A two-night stay at Country Inn & Suites, valued at $185; • Gift Certificate for Las Margaritas Restaurant, valued at $50; • Gift Certificate for Junction 70 Grill Restaurant, valued at $50; • Gift Certificate for the Muddy Cow Restaurant, valued at $50; • Gift Certificate for The Healing Place of Cottage Grove, valued at $50; • Gift Certificate for Rustic Floral, valued at $25; • Gift Certificate for Zywiec’s Garden Center, valued at $25; • Gift Certificate for a Free Round of Golf (18 Holes) for two people, at the River Oaks Golf Course, valued at $110. As a result of COVID, we’re trying again to highlight locally-owned businesses and locally-owned opportunities as part of this prize package; we want to get as many as possible included in that. City of Cottage Grove Convention and Visitors Bureau March 23, 2021 Page 4 of 4 Director Wolf displayed three of the five rough drafts of marketing ads that we’d be using on Facebook. Right now, each ad shows the total prize package and what’s included in that. He’d like some feedback on if they’d like to include all that verbiage, as it becomes quite wordy, though that could also help to drive interest in people signing up. We’re also trying to incorporate our marketing segment: One is for Wedding Destinations and asks Looking for a Great Location to Host Your Wedding? It encourages people to enter their email for a chance to win the giveaway package to come and explore Cottage Grove, Minnesota. One of the things we’re required to do as part of the Explore Minnesota grant is we have to highlight Explore Minnesota. We may also include the Explore Minnesota logo on the bottom of the pictures, but we’re working with Sievers Creative on that. The second asks Coming to Cottage Grove for Sports? He felt we should change that to read Coming to Cottage Grove for a Sporting Event? The third reads Come Explore Outdoors in Cottage Grove. To assist our local businesses, Discover Cottage Grove will be purchasing the gift cards. The Brand Awareness Campaign promotion will run until April 30, with the winner chosen from those who signed up on our mailing list. If we don’t have 100 people or so signed up by then, we could have the opportunity to continue that promotion for a longer period of time. After April, the ads will continue to run on Facebook, but they’ll be changed from the prize package giveaway to more of a general promotion of the Discover Cottage Grove website and the overall community. Recommendation: Approve the $545 prize package that will be included in the Discover Cottage Grove Social Media Brand Awareness Campaign. Director Wolf stated he’d look for any feedback from the Board Members on what kind of participant numbers they’d like to see for those who signed up for the prize before we officially want it to end; right now, we’re proposing it will end April 30, on the condition that we have a certain number of participants. Chairman Dennis asked the Board if they had any thoughts relative to the number of signups we’d like to see. He felt it needed to be about 250. If it was promoted on other formats, it should be achievable by that time, especially with the number of prizes being given away. Director Levine stated she agreed. Director Levine made a motion to approve the $545 prize package that will be included in the Discover Cottage Grove Social Media Brand Awareness Campaign. The motion was seconded by Vice Chair Olsen. Director Levine stated she agreed with what Director Wolf had said about the wording getting crowded by including all of the prizes in there, but she thought it was worth it. If that’s done, it might be an asset to those businesses to actually tag them in those ads so those links are readily accessible and would drive traffic to those businesses. Director Costello called the roll: Chairman Dennis - Aye; Vice Chair Olsen - Aye; Director Levine - Aye; Director Patel - Aye; Director Wolf - Aye. The motion passed unanimously (5-0). OTHER BUSINESS 5.1 CGCVB Comments - None. 5.2 Response to Previous CGCVB Comments - None. ADJOURNMENT Chairman Dennis mentioned that the next Cottage Grove Convention and Visitors Bureau Meeting will be Tuesday, April 27, at 7:30 a.m. Vice Chair Olsen made a motion to adjourn. Motion was seconded by Director Levine. Director Costello called the roll: Chairman Dennis - Aye; Vice Chair Olsen - Aye; Director Levine - Aye; Director Patel - Aye; Director Wolf - Aye. Motion passed unanimously (5-to-0 vote). The meeting adjourned at 7:58 a.m. Respectfully submitted, Matt Wolf Secretary - Cottage Grove Convention and Visitors Bureau /jar TO: Board of Directors, Cottage Grove Convention and Visitors Bureau FROM: Christine Costello, Economic Development Director Matt Wolf, Assistant to the City Administrator DATE: July 20, 2021 RE: 2021 Q1 Lodging Tax Collections and 2022 Budget Discussion Background Beginning May 1, 2020 all facilities and establishments within the City of Cottage Grove city limits that are classified as a hotel, motel, rooming house, tourist court, or resort, other than the renting or leasing of it for a continuous period of 30 days or more had to start imposing a 3% tax on the gross receipts from the furnishing of lodging. The funds will be collected quarterly and used to fund the Cottage Grove Convention and Visitors Bureau. The collections have a due date of thirty days following the dates listed below: 1st Quarter - April 1st 2nd Quarter - July 1st 3rd Quarter - October 1st 4th Quarter - January 1st Discussion 2021 Q1 Lodging Tax Collections Due to the current COVID-19-19 pandemic and its effects on the lodging industry, the 2021 budget used conservative monthly revenue estimates of $3,686 at a 40% occupancy rate in lodging tax collections for the 1st quarter of 2021. In April of 2021 the City of Cottage Grove collected the 1st quarter lodging tax and received the following amounts: Table 1 1st Quarter Lodging Tax Collections for the City of Cottage Grove In total the lodging tax collections for the 1st quarter of 2021 was $9,468 or $3,156 from Country Inn and Suites, Wakota Inn, and Hope Glen Farm. The total revenue collections were $1,590 below revenue projections for the 1st quarter. These figures were from January 2021 through March 2021 with the COVID-19 shutdown still in full affect. Although not all lodging tax has Business Q1 Q2 Q3 Q4 Total Country Inn & Suites 7,026$ 11,720$ 18,746$ Wakota Inn 1,354$ 1,354$ Hope Glen Farm 1,088$ 680$ 1,768$ Other -1,000$ 1,000$ Total 9,468$ 13,400$ -$ -$ 22,868$ Board of Directors, Cottage Grove Convention and Visitors Bureau July 20, 2021 Page 2 of 4 been collected yet for Q2 (Wakota Inn has not yet to submit their return), revenue figures are trending in the right direction with already $13,400 being collected for a monthly average of $4,467. The current draft of the 2022 Cottage Grove Convention and Visitors Bureau budget uses a projected revenue of $5,529 per month for the entire year. 2022 Budget Discussion A draft budget for 2022 was submitted and is serving as a place holder within the City’s budget. A final 2022 budget for the Cottage Grove Visitors Bureau must be approved for review by the Cottage Grove City Council by November of 2021. The Cottage Grove Convention and Visitors Bureau was started in May of 2020 at the beginning of the COVID-19-19 pandemic. As a result, the Visitor’s Bureau has had to adjust revenue projections to account for the drastic downturn in the lodging and hospitality industry. Initial pre- COVID-19 projections for the Visitor’s Bureau had annual lodging tax revenue between $66,000 to $71,000 using a 60%-65% occupancy rate for Cottage Grove lodging facilities. With the affect of COVID-19 however revenue projections for 2020 were adjusted to 10%-15% occupancy rate for a lodging tax revenue of $18,572. In total final revenue for 2020 equaled $29,758 showing a slow and steady return of occupancy rates over the course of the year. Similarly, as the hospitality industry was still showing affects of the COVID-19 pandemic, 2021 revenue projections used a 40%-45% occupancy rate for an estimate of $44,232 in lodging tax. The Q1 revenue for 2021 is at $3,156 per month slightly lower than projected. However, Q2 numbers are currently at $4,467 per month with Wakota Inn still not accounted for in those numbers. This all makes the case that the Visitor Bureau does not yet have a reliable history to base projections and will not until we can get 2-3 years of numbers post COVID-19. We are seeing numbers however that are steadily increasing and for 2022 the Visitor’s Bureau is using a 60% occupancy rate for total revenue of $66,348. This number does not include grants, which will be applied for through Explore Minnesota and other tourism industries. For expenses the budget breaks these down into three separate categories: marketing, operations and other. Marketing expenses are the main core to the organizations mission of “promoting Cottage Grove as a premier destination for leisure travelers, weddings, and outdoor enthusiasts, a recognized and successful host city for meetings and conventions, and a prominent and respected venue for sporting events.” The Visitor’s Bureau is still in the middle of carrying out its first full year of activities since launching the brand and website in 2020. What works and what needs to be adjusted is still being determined based on marketing outcomes. With that being the case funding levels for each line item and initiative are being carried over into 2022 with increases for each adjusted accordingly given the increase in revenue projections. Board of Directors, Cottage Grove Convention and Visitors Bureau July 20, 2021 Page 3 of 4 In total marketing expenses for 2022 are at $38,460. The organization will continue its focus on carrying out on-line marketing with $18,000 going towards marketing on social media and on- line in 2022. Marketing in publications like Havefunbiking.com or Let’s Play Hockey is budgeted at $7,008. This leaves some areas that allow for flexibility in the budget in Other Types of Advertising and Marketing at Local Events at a total of $10,992. In the past the Visitor’s Bureau has discussed using this money for advertising on a billboard of a major highway or for a small grant program for local events to do more advertising. However, this money could also be used for Collateral Development & Printing which currently is at $3,000 for the year. With the development of the Visitor’s Guide in 2021 more money might be needed for printing of the guide and updating it in 2022. This budget allows for flexibility moving forward as the Visitor’s Bureau continues to determine the best methods for marketing the city to visitors and tourists. The second expense category is operations and represents the funds needed to carry out the mission of the Visitors Bureau. Many of the operations expenditures are for day-to-day expenses like office supplies, postage, and printing that equal $1,280. For 2022 the Visitor Bureau will continue its membership with the Minnesota Association of Convention and Visitors (MACVB) for $390 and has $375 budgeted for a staff member to attend their annual conference. Finally, the largest expense is for contractual services to the City of Cottage Grove to continue to operate the Visitors Bureau for a total of $15,756. These funds make up services that account for management, organizational, clerical, accounting, finance, legal and audit services. Per the establishing Marketing Expenditures Website Hosting/Domain $ 1,260.00 Collateral Development & Printing $ 3,000.00 Marketing at Local Events $ 4,992.00 Social Media $ 9,000.00 Marketing On-Line $ 9,000.00 Advertising in Publications $ 7,008.00 Other Types of Advertising (Magazines, Billboard, etc) $ 6,000.00 Total Marketing Expense $ 38,460.00 Operations Expenditures Office Supplies / Equipment $ 410.00 Phone/Internet Service $ - Postage $ 460.00 Printing $ 410.00 Continuing Education / Classes / Seminars $ 375.00 Dues / Subscriptions $ 390.00 Non-recurring Expenses $ - Contractual Services (City of Cottage Grove) $ 15,756.00 Admin / General Office Expenses - Other $ - Total Operations Expenditures $ 17,801.00 Board of Directors, Cottage Grove Convention and Visitors Bureau July 20, 2021 Page 4 of 4 ordinance these charges shall be $10,000 per year or 25% of the total local lodging tax received by the City annually, whichever is greater. The final expense is the other category. This expense is to reimburse the EDA Trust Fund and EDA Fund for startup costs associated with starting the Visitor Bureau. In total for 2022 this equals $5,954. With two payments of $1,602 each to the EDA Trust Fund for a total of $3,204 and two payments of $1,375 each for a total of $2,750 to the EDA Fund. With a total revenue projection of $66,348 and total expenses of $65,532 in 2022, equates to a net income of $816 for 2022. There are still many unknowns that the Visitor Bureau is working through even after over a year of starting. The economic climate that the hospitality industry still faces makes revenue projections difficult. Additionally, the Visitor’s Bureau is still determining best practices and methods for marketing the city. The 2022 budget is meant as a guide that allows the flexibility to adapt and change as we move forward. Recommendation Review the draft 2022 budget and offer suggestions, additions, or changes. Attachments: 2022 Draft Budget Cottage Grove Convention and Vistiors Bureau 2022 Budget Worksheet Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total Comments Lodging Tax at 3% Country Inn & Suites / Wakota Inn & Suites 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 66,348.00$ Total Lodging Tax Revenue 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 66,348.00$ -$ Grants -------------$ Contributions -------------$ Total Other Revenue -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Total Revenue 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 5,529.00$ 66,348.00$ City of Cottage Grove (5% Administration Fee)276.45$ 276.45$ 276.45$ 276.45$ 276.45$ 276.45$ 276.45$ 276.45$ 276.45$ 276.45$ 276.45$ 276.45$ 3,317.40$ Total City % 276.45$ 276.45$ 276.45$ 276.45$ 276.45$ 276.45$ 276.45$ 276.45$ 276.45$ 276.45$ 276.45$ 276.45$ 3,317.40$ Marketing Expenditures Website Hosting/Domain 105.00$ 105.00$ 105.00$ 105.00$ 105.00$ 105.00$ 105.00$ 105.00$ 105.00$ 105.00$ 105.00$ 105.00$ 1,260.00$ Collatoral Development & Printing 100.00$ 100.00$ 100.00$ 100.00$ 100.00$ 100.00$ 100.00$ 100.00$ 100.00$ 100.00$ 100.00$ 100.00$ 3,000.00$ Marketing at Local Events 416.00$ 416.00$ 416.00$ 416.00$ 416.00$ 416.00$ 416.00$ 416.00$ 416.00$ 416.00$ 416.00$ 416.00$ 4,992.00$ Social Media 750.00$ 750.00$ 750.00$ 750.00$ 750.00$ 750.00$ 750.00$ 750.00$ 750.00$ 750.00$ 750.00$ 750.00$ 9,000.00$ Marketing On-Line 750.00$ 750.00$ 750.00$ 750.00$ 750.00$ 750.00$ 750.00$ 750.00$ 750.00$ 750.00$ 750.00$ 750.00$ 9,000.00$ Advertising in Publications 584.00$ 584.00$ 584.00$ 584.00$ 584.00$ 584.00$ 584.00$ 584.00$ 584.00$ 584.00$ 584.00$ 584.00$ 7,008.00$ Other Types of Advertising (Magazines, Billboard, etc)500.00$ 500.00$ 500.00$ 500.00$ 500.00$ 500.00$ 500.00$ 500.00$ 500.00$ 500.00$ 500.00$ 500.00$ 6,000.00$ Total Marketing Expense 3,205.00$ 3,205.00$ 3,205.00$ 3,205.00$ 3,205.00$ 3,205.00$ 3,205.00$ 3,205.00$ 3,205.00$ 3,205.00$ 3,205.00$ 3,205.00$ 38,460.00$ Operations Expenditures Office Supplies / Equipment 34.00$ 34.00$ 34.00$ 34.00$ 34.00$ 34.00$ 34.00$ 34.00$ 34.00$ 34.00$ 35.00$ 35.00$ 410.00$ Phone/Internet Service -------------$ Postage 38.00$ 38.00$ 38.00$ 38.00$ 38.00$ 38.00$ 38.00$ 38.00$ 39.00$ 39.00$ 39.00$ 39.00$ 460.00$ Printing 34.00$ 34.00$ 34.00$ 34.00$ 34.00$ 34.00$ 34.00$ 34.00$ 34.00$ 34.00$ 35.00$ 35.00$ 410.00$ Continuing Education / Classes / Seminars ---125.00$ ---125.00$ ---125.00$ 375.00$ Dues / Subscriptions 390.00$ -----------390.00$ Non-recurring Expenses -------------$ Contractual Services (City of Cottage Grove)1,313.00$ 1,313.00$ 1,313.00$ 1,313.00$ 1,313.00$ 1,313.00$ 1,313.00$ 1,313.00$ 1,313.00$ 1,313.00$ 1,313.00$ 1,313.00$ 15,756.00$ Admin / General Office Expenses - Other -------------$ Total Operations Expenditures 1,809.00$ 1,419.00$ 1,419.00$ 1,544.00$ 1,419.00$ 1,419.00$ 1,419.00$ 1,544.00$ 1,420.00$ 1,420.00$ 1,422.00$ 1,547.00$ 17,801.00$ Other Expenses -$ Chamber Reimbursement (EDA Trust Payback)--1,602.00$ --1,602.00$ --1,375.00$ --1,375.00$ 5,954.00$ Total Other Expenses -$ -$ 1,602.00$ -$ -$ 1,602.00$ -$ -$ 1,375.00$ -$ -$ 1,375.00$ 5,954.00$ Total Expense 5,290.45$ 4,900.45$ 6,502.45$ 5,025.45$ 4,900.45$ 6,502.45$ 4,900.45$ 5,025.45$ 6,276.45$ 4,901.45$ 4,903.45$ 6,403.45$ 65,532.40$ Net Income 238.55$ 628.55$ (973.45)$ 503.55$ 628.55$ (973.45)$ 628.55$ 503.55$ (747.45)$ 627.55$ 625.55$ (874.45)$ 815.60$ 2022 1st Draft Estimate Revenue Other Revenue EXPENSES TO: Board of Directors, Cottage Grove Convention and Visitors Bureau FROM: Christine Costello, Economic Development Director DATE: July 16, 2021 RE: Visitor Bureau Projects Update Background In December 2019, the City Council established the Cottage Grove Convention and Visitors Bureau (CGCVB) through Resolution No. 2019-134 and in June 2020 amended the resolution to reflect that the City’s Finance Department will issue check for CGCVB expenditures but that the CGCVB Chairperson will sign any documents or contracts related to the operations and marketing of the CGCVB. The resolution establishing the CGCVB provides rules, regulations and requirements for the Board such as Board vacancies and meeting requirements. The CGCVB is a bit unique from other City Boards and Commissions which are made up of Cottage Grove residents. The CGCVB is made up for at least two members from the business community. Since not all community business owners reside in Cottage Grove and may own businesses elsewhere in the metro, they are not always in the community, so it can be difficult to make every meeting. Two changes are proposed to the rules and regulations of the CGCVB to allow some flexibility for business owners. The first proposed change is to move from monthly to quarterly meetings. The Board still has the ability to call for a special meeting if needed but moving to a quarterly meeting will allow for greater agenda content when the CGCVB meets. The second proposed change is to the vacancies for Board members. Currently the resolution states, that if a board member is absent from three or more regular monthly meetings in a twelve-month period action is taken to replace the absent member. It is suggested that the wording be revised to state, “When a Board member is absent from three or more unexcused absences of the Board in any twelve-month period action is taken to replace the absent member.” The revised language would provide Board members more flexibility on whether they want to replace a Board member based on whether that Board member has reached out explaining why they won’t be in attendance. Recommendation Consideration of proposed amendments to Resolution 2020-094 establishing the City of Cottage Grove Convention and Visitors Bureau Attachments 1. Proposed Resolution CITY OF COTTAGE GROVE WASHINGTON COUNTY STATE OF MINNESOTA RESOLUTION NO. 2021- A RESOLUTION AMENDING RESOLUTION 2020-094 ESTABLISHING THE CITY OF COTTAGE GROVE CONVENTION AND VISITORS BUREAU WHEREAS, under the authority of Minnesota Statutes, Section 469.190, the City of Cottage Grove by ordinance has imposed a local lodging tax for the purpose of marketing and promoting the City as a tourist and convention center; and WHEREAS, the City by this Resolution is establishing a convention and visitors bureau, to be known as the Cottage Grove Convention and Visitors Bureau (“Bureau”) for the purpose of marketing and promoting the City as a tourist and convention center; and WHEREAS, the services of the Bureau to market and promote the City as a tourist and convention center are desirous and required in order to efficiently and effectively promote tourism and convention business in the City; and WHEREAS, the expenditures of the Bureau will be paid from the local lodging tax and the Bureau will be responsible for marketing and promoting the City as a tourist and convention center. NOW THEREFORE BE IT RESOLVED by the City Council of the City of Cottage Grove as follows: The City Council of the City of Cottage Grove does hereby establish the Cottage Grove Convention and Visitors Bureau which will function under rules, regulations and requirements as follows: 1. NAME. The Cottage Grove Convention and Visitors Bureau shall generally be referred to as the “Convention and Visitors Bureau” or “Bureau.” 2. MEMBERSHIP. The Bureau shall consist of a Board of Directors of seven (7) persons appointed by majority vote of the Cottage Grove City Council. a. Terms. The terms of the Board members shall be for three (3) years except the terms of the initial Board shall be as follows: 3 persons for terms expiring on December 31, 2022 2 persons for terms expiring on December 31, 2021 2 persons for a term expiring on December 31, 2020 b. Composition of the Board. Board members shall be appointed from the following: 1 person from the major hotels within the City; 3 City representatives (i.e. a Council member, EDA member, City Staff or other person as determined by the City Council); 1 person nominated by the Chamber of Commerce; 2 persons from the business community within the City. c. Termination. A Board member may be removed, at any time, with or without cause, by a majority vote of the City Council. d. Vacancies. Vacancies shall be filled by appointment by the City Council. When a Board member is absent from three (3) or more regular monthly meetings unexcused absences of the Board in any twelve (12) month period, this matter and related information shall be reported by the Bureau to the City Administrator whereupon the City Council may take action to replace the absent member. 3. PURPOSE OF BUREAU. The purpose of the Bureau is to market and promote the City as a tourist and convention center. 4. LEGAL STATUS OF BUREAU. The Bureau shall be considered to be a commission of the City, with the delegated authority to recommend contracts on behalf of the City for marketing and promotion services, subject to the budgetary limitations set by the Council’s approval of the Bureau’s annual budget. 5. ORGANIZATION OF BUREAU. a. Initial Meeting/Election of Officers. Upon being established and upon members being appointed by the City Council, the Bureau shall hold an organizational meeting and elect officers consisting of a Chairperson, Vice Chairperson, Secretary and Treasurer from its members. b. Duties of Officers. i. Chairperson. The Chairperson shall be the organizational head of the Bureau and shall preside at all meetings of the Board. With the approval of the Board, the Chairperson person shall sign contracts and other instruments relating to the operation of the Bureau. The Chairperson shall sign all formal documents of the Bureau and in general perform all duties incident to the office of the chairperson or such other duties as may from time to time be prescribed by the Board. The Chairperson shall not sign contracts that exceed the budgetary limits contained in the Bureau budget as approved by the Council. ii. Vice Chairperson. The Vice Chairperson shall act as Chairperson in the absence of the Chairperson. In the absence of the Chairperson and Vice Chairperson, the Treasurer shall act as Chairperson. iii. Treasurer. In addition to the above, the Treasurer shall monitor the financial records of the Bureau. iv. Secretary. The Secretary shall record and maintain all meeting minutes and forward notices to Bureau members. v. Compensation. There shall be no compensation for the above duties except for reimbursement of out-of-pocket expenses as approved by the Board at a regularly scheduled meeting. c. Meetings. i. Meetings. Regular meetings of the Board shall be held monthly quarterly within the City at such specific place, date and time as the Board may determine. The vote of a majority of the Board present at a meeting shall be the action of the Board, unless the vote of a greater number is required by law or by these policies. Four (4) members of the Board shall constitute a quorum at any meeting. ii. Special Meetings. Special meetings of the Board may be called at the request of the Chairperson or any three (3) Board members. The person or persons authorized to call special meetings must fix the place of the meeting. Board members shall be given at least three (3) days written notice of any special meeting. iii. Notice to City and Public. All meeting notices shall also be forwarded in accordance with the above deadlines to the City Clerk and all meetings shall be open to the general public in accordance with the Minnesota Open Meeting Law. Notice of all meetings shall be posted on the bulletin board at City Hall. d. Insurance. The City shall procure and maintain liability insurance for the Bureau either under the umbrella of a City insurance policy or under a separate policy as deemed appropriate by the City Administrator. 6. DUTIES AND AUTHORITY OF THE BUREAU. The duties and authority of the Bureau are as follows: a. To establish a plan to market and promote the City for conventions and tourism. b. To establish an annual budget. The budget must be presented to the City Council for review no later than July 1st each year for the following calendar year. The initial budget shall be submitted to the City within 60 days after the initial/organizational meeting of the Bureau. c. To prepare advertising information such as brochures, newspaper and magazine advertising, radio or television ads or similar promotional materials. d. To interface with the State of Minnesota and with private organizations that promote tourism. e. To ensure that promotional information is properly disseminated to conventions, visitor centers and similar promotional venues. f. To oversee, monitor and control the budget to support Bureau activities. g. The Bureau shall not hire employees; the Bureau may contract for support services subject to the limitations set forth below. h. On behalf of the City and subject to the limitations set forth below, the Bureau may contract for the following: i. Contracts with public agencies, private organizations, consultants or other vendors in order to accomplish the marketing and promotional activities of the Bureau. ii. Contracts for office space; and iii. Contracts for support services, such as clerical, receptionist, and secretarial services. No contract shall have a term longer than one (1) year, unless first approved by the City Council. All contracts must be approved by the Bureau and must be signed by the Bureau’s Chairperson and Secretary. The contracts entered into by the Bureau on behalf of the City do not require the approval of the Council unless the term of the contract exceeds one (1) year; provided, however, all contracts must be within the budgetary limits that have been approved by the Council as part of the Bureau’s budget. The Chairperson and Secretary shall not sign any contract or other financial instrument or obligation that exceeds the budgetary limits contained in the Bureau’s budget as approved by the Council. 7. FINANCES. a. Budget. The Bureau shall not expend funds in excess of the budget limitations as set by the Council. By December 31st of each year, the Council shall approve a budget for the upcoming calendar year. During the calendar year, the Council may approve an increase to the Bureau’s budget. b. Funding. Ninety-five percent (95%) of the local lodging tax received by the City shall be designated as the funding for the Bureau’s activities. Such monies shall be kept in a separate designated fund identified as the Bureau Fund. The monies may be co-mingled with other City’s monies in a City checking account, savings account or other City investment account. The monies, however, shall only be used by the Bureau for the Bureau’s activities. Interest earned on the money shall be added to the Bureau Fund. c. Expenditures. Expenditures made by the Bureau shall be paid by the City. All Bureau’s expenditures will be paid out of the Bureau Fund and not from other funds of the City, unless the Council otherwise directs. d. Financial Reporting. The City’s Finance Director shall transmit financial reports and other financial information to the Bureau concerning the Bureau Fund at the same time that such reports and information are forwarded to the Council. e. Audit. The Bureau Fund shall be audited at the same time as the other funds of the City are audited. 8. CITY CHARGES FOR SERVICES. To assist the Bureau in its activities, the City shall provide the following services: management, organizational, clerical, accounting, financial and audit services, and legal services. Charges for such services shall be $10,000 per year, or 25% of the total local lodging tax received by the City annually, whichever is greater, and shall be calculated and paid out of the Bureau Fund after the City receives its 5% administrative fee. 9. ANNUAL REPORT. The Bureau shall provide a written annual report to the City Council no later than December 1st of each year. The report shall outline the previous year’s activities of the Bureau. 10. TERMINATION. The Bureau shall continue until otherwise terminated by a resolution of the City Council. 11. AMENDMENT. The City Council may amend or modify this resolution at any time and shall provide thirty (30) days advanced notice to the Bureau when such amendment or termination is contemplated or proposed. Passed this day of , 2020. Myron Bailey, Mayor Attest: Joseph Fischbach, City Clerk Board of Directors, Cottage Grove Convention and Visitors Bureau July 16, 2021 Page 2 of 2 Attachments 1. Discover Cottage Grove Social Media Plan TO: Board of Directors, Cottage Grove Convention and Visitors Bureau FROM: Julie Prior-Miller, Marketing and Communications Specialist DATE: July 16, 2021 RE: Visitor Bureau Social Media Plan Background Social media for the Cottage Grove Convention and Visitors Bureau (CGCVB) should establish and foster relationships in an effort to accomplish one of the main objectives, by bringing people to Cottage Grove whether for business or leisure. Social media allows the CGCVB to continue to grow the volume of consumer engagement to not only the Discover Cottage Grove website but to the CGCVB’s social media accounts. Currently the CGCVB only has a Facebook account. By adding additional social media accounts, it is a simple cost-effective way to promote and increase the destination and brand awareness to Discover Cottage Grove. We all know social media is important, but why? • Our customers are there. • Social media is searchable. When potential customers are searching for places, we want to show up in their results. • Social media is shareable, casting a wider net of potential customers. • Social media is measurable. Analytics from social ads, posts and more can give us a great deal of information about who’s looking at us, buying from us, and more. • Social media is cost effective. Videos, photos, tweets, etc. stay online and in Google results for a long time. This is more cost effective than a print ad with a 1 month run. • Social media is a click away from the ‘book a night’s stay’ whereas if you see a television commercial, hear a radio ad, or flip through a magazine you can’t as easily just ‘buy now’. • Social media can improve brand recognition. • Social media can increase engagement and interaction with customers. • Social media gives us increased customer reach and new visibility. Recommendation By motion approve the formation of a blog and the creation of ‘Discover Cottage Grove’ accounts on the following social media platforms: a. Instagram b. Twitter c. Pinterest d. LinkedIn e. You Tube Board of Directors, Cottage Grove Convention and Visitors Bureau July 16, 2021 Page 2 of 2 Attachments 4.4a Discover Cottage Grove Social Media Plan FIRST PHASE 1. Set-up Instagram account and begin generating content a. Have content calendar ready b. Goal: 3-5 posts/week 2. Set-Up Twitter account and begin generating content a. Have content calendar ready b. Goal: 3-5 tweets/week 3. Add Pinterest account and create boards 4. Set-Up LinkedIn account a. Promote meeting spaces b. Promote places to stay overnight for work travel 5. Set-up a YouTube Channel to house marketing video’s 6. Create ‘Discover Cottage Grove’ Blog a. Siever’s Creative has ability to do this through website. b. Have content calendar ready c. Goal: 2 blog posts per month 7. Add new social links to Discover Cottage Grove website 8. Expand reach by looking for and asking to be included in partners resources a. An example would be to be listed/featured/included on Explore MN’s social media, featured pages, articles, etc.… 9. Send out e-newsletters from sign-ups on website a. This would likely include latest blog post/what’s going on in CG, Special events, exclusive news, amazing deals etc. b. Monthly c. Utilize email sign-ups from our website SECOND PHASE 1. Once the first phase is established and has built up some content, create a social media awareness campaign a. Recommendation would be to have a contest to kick-off #DiscoverCottageGrove and drive awareness to hashtag(s) and new (and current) social media accounts i. Hashtags will help us build a photo library to use down the road for our content creation ii. By generating the photo library, we can feature user generated content (UGC) on our webpage (i.e. great photos people in the community or visiting the community have taken that are ‘Instagram worthy’) iii. UGC is said to be more effective for marketing than ‘selling’ to people, because users now trust word of mouth (WOM) from their friends and influencers more than brands b. Think about partnering with a few ‘influencers’ to help us with some UGC and/or contest promotion THIRD PHASE 1. Once we receive in enough UGC through Instagram etc.…, we can use a company like Crowd Riff to plug in directly to our CVB website and showcase photos 2. When we have enough content and resources built up through our blog and other social media, reach out again to partners for inclusion in their promotions. TO: Board of Directors, Cottage Grove Convention and Visitors Bureau FROM: Julie Prior-Miller, Marketing and Communications Specialist DATE: July 16, 2021 RE: Visitor Bureau Visitor Guide Background As Sievers Creative had completed development of our website, the Board decided to work with them to design the Visitor Guide. Director Wolf had Sievers Creative send a rough layout to him and presented it to the board for feedback. Discussion from members of the board indicated that they would like to see something different on the cover and more action shots. Nothing about it seemed to scream ‘Cottage Grove’ to them. As part of the interview process for the Marketing and Communications Specialist, candidates were asked to create a sample advertisement and a plan of action for developing a visitor’s guide for the CGCVB. Discussion Marketing and Communications Specialist, Julie Prior-Miller’s, ideas, and concepts from her interview with the city of Cottage Grove will be presented at the meeting. In the attachments, you will also find Julie’s sample plan of action for the guide that was part of her interview materials. Recommendation •Review the Proposed content layout for the Visitor Guide and make any suggestions for changes or revisions. •Discuss pros and cons of accepting ads and decide how we would like to move forward. •Discuss possible options for and timeline of visitor guide. Attachments 1. Proposed Content Pages for Visitor Guide Last Updated 7/19/2021 PROPOSED CONTENT PAGES FOR PUBLICATION Please note the following: • Estimated page count – completely depends on ad sales and what we want to showcase. Educated guess, approximately 40-65 pages. • Highlighted in yellow are previously identified key markets from Marketing Plan 1. Cover – 1 page 2. Inside Cover – 1 page a. TOC/what’s inside 3. Full page AD – 1 page 4. Welcome to Cottage Grove, Mayor Bailey – 1 page 5. Events and Festivals – 1 page 6. Full page AD or 2 half page ads – 1 page 7. LET’S MEET – estimate 2-3 pages a. Corporate Travel b. Lodging venues 8. THINGS TO DO a. OUTDOOR ACTIVITIES – estimated 6-10 pages i. Featured Parks and Amenities ii. Ravine, St. Croix Bluffs, Woodridge, Cottage Grove Bike Park iii. Bike Trails Map iv. Snowmobiling map b. FAMILY FUN – estimated 2-4 pages i. Zywiec’s, Afton apple orchard, Whispering Gardens, Whistling Well c. SPORTS & FITNESS – estimated 4-6 pages i. Golf ii. Disc Golf & Kayaking iii. Snowmobiling and Skiing iv. Featured fitness places and amenities 9. FESTIVAL & EVENTS – estimated 6-8 pages a. Strawberry Festival b. Halloween and Fall events c. Holiday Train 10. WEDDINGS – estimated 8-15 pages a. Hope Glen b. Furber Farm c. Cedar Hurst d. River Oaks 11. Back Cover