HomeMy WebLinkAboutCHOCVB Board Meeting Minutes 011520 For Approval February 19, 2020
Chapel Hill/Orange County Visitors Bureau Board of Directors Meeting
January 15, 2020
The Chapel/Orange County Visitors Bureau met at
The Hampton Inn & Suites , 370 E . Main Street, Carrboro, NC 27510
Board Members Present : Pam Hemminger, Dixon Pitt, Tanya Moore, Anthony Carey, Kayla Dempsey, Sam Vadgama ,
Lydia Lavelle, Mark Sherburne, Tim Hoke, Annette Stone, Matt Gladdek, Penny Rich, and Jamezette Bedford .
Not Present : David Brooks, Mark Bell , Libbie Hough , Spring Council .
Staff Attendance : Steve Brantley, Laurie Paolicelli, Marlene Barbera, Leslie Wilcox
Also present : Clean , Inc . — Jessica Herrschaft, Zack Thompson , Jon Parker, and Hannah Beckner. Sarah Parris , Executive
Director, The Alliance for Historic Hillsborough . Randi Emerman , Founder & Executive Director, Film Fest 919 .
Guest : Alexa Nota , President, Chapel Hill Short -Term Rental Alliance .
Call to Order
Chair Anthony Carey called the meeting to order at 8 : 05 a . m .
Introductions were given by all .
Approval of Minutes
Chair Carey requested a motion to approve the November 20, 2019 minutes . Mark Sherburne so moved and Tim Hoke
seconded the motion . With all members in favor, the minutes were approved as submitted .
Finance Report Executive
Commissioner Rich gave a brief description of the financial report for new members . The source of Visitor Bureau
financial information is Gary Donaldson , Chief Financial Officer, Orange County Finance and Administration Department
and the Tax Administration Department of Orange County .
Our goal with the financial report is to give an overall view, sort of like at the 30, 000-foot level . We do not want to get
lost in the weeds and talk about every single dollar.
Penny reminded the board that occupancy tax revenues are two month ' s in arrears so today' s report is on November
occupancy taxes . Collections were $ 160, 000, up about $ 14, 000 from November 2018 representing a 9 . 55 % increase .
Almost $ 11, 000 ( $ 10, 948 . 55 ) was Airbnb occupancy tax collections . Total occupancy tax collected year -to - date through
November is roughly $ 760, 000 ( $ 758, 414 . 83 ) up $ 46, 807 from last year, which represents a 6 . 58% increase . Our largest
expenditures , as always, is advertising . We recently designed and published our new Visitors Guide and Neighborhood
Guide, which Laurie will discuss in her Executive Director' s report . We anticipate the budget will be uneventful over the
next couple of months if not the remainder of the fiscal year, which is a good thing . We do not expect any dip in
occupancy tax revenue and are on trend to stay steady . Mark Sherburne shared that the October/ November flip -flop
was due to this year' s game schedule resulting in a healthier November. Penny inquired on whether that was a good
thing and Mark responded that it can and can 't be depending on the weather which is iffier in November and having a
game during the Thanksgiving week isn ' t always a good thing.
In recent years, Laurie and Penny started focusing on the information from the Tax Office with the increase in short -
term rentals and realizing there was not a balance between occupancy and tax collections . Laurie and Penny met with
Nancy Freeman who, at the time was the Assistant Tax Collector . Laurie shared that we receive occupancy tax data from
not only the Orange County Tax Office but also the Town of Chapel Hill and through AirDNA, a service that provides
Airbnb data .
Honoring County Commissioner Penny Rich
Anthony Carey thanked Penny for her last financial report and her service to the Visitors Bureau board . Anthony read
the proclamation and presented to Penny . Photos were taken . Penny explained the importance of tourism as it relates
to Economic Development of our community .
Guest Presentation
Clean Design presentation ( see attached pdf) . Clean Design ' s presentation was of the current digital and social media
( Facebook, Instagram ) advertising and website refresh . " Hoop Dreams " ad added to the "Just Do You " advertising
campaign and will be running in March . Laurie mentioned on the slide showing " Picture Perfect" that the feedback is it
feels a little too elite so we are adding scenes from a street festival and we have had requests from the retail community
to add retail .
Executive Director ' s Report
Laurie Paolicelli discussed the Visitors Bureau relocation . Our building has been a part of this fantastic economic
development opportunity for the Town and County under Steve Brantley' s direction and the Commissioners support .
Healthcare technology company Well , currently where the old Ale House was, will be expanding into the County' s Skills
Development Center and Visitors Center as soon as we will let them . That puts a lot of pressure on our Facility
Management Director to get all these moving parts together. We have done an exhaustive search for a new home .
Everywhere from the 1 -40 and Caraway Village to Carrboro , refurbishing the car wash , to various different places in and
around town . Where it stands right now is we are moving forward to present to the Commissioners moving to the
CholaNad building, 308 W . Franklin St . , originally a Trail Shop . Joe Coates owns the building . We do not know the
details but they are not renewing CholaNad ' s lease that expires March 31, 2020 . The County Manager' s biggest concern
is the flood plain . We have done exhaustive research and review of historic reports . There is one horrific photo out
there in internet land from Hurricane Irene but none of us got through that without water damage . They have never
had flooding there . The building sits higher than the parking lot and surrounding ground level . It is 4, 000 square feet of
space and currently we have around 3 , 600 square feet . It comes with seventeen parking spots which rules for Welcome
Centers . "What' s the point of having a Welcome Center if your guests can ' t park? " It is very ADA accessible . It has
some wonderful features . It is in the heart of a commerce area and close to everything . We would not be the predatory
towing mentality that currently exists there . Although we would safeguard our spots for our guests , for our veteran ' s,
for the people who use our conference center . The up fit charges are all currently being negotiated . We will have two
months of free rent in order to handle all the up fit . The next requirement is a construction drawing . Friday I meet with
two local architects . One from the County, I don ' t recall their names, that the team is very excited about and then Josh
Gurlitz who has dealt a lot with permitting and the Town and built The Franklin Hotel across the street . Years ago, Joe
Coates put in a whole drain system of his own that the Town ended up reimbursing him for half to help the storm water
drainage . The County Sustainability Department, Brennan Bouma , Steve Arndt, and Alan Dorman felt great after that
last walk thru . Laurie asked for comments to share with Travis Myren before this is addressed on the Board of County
Commissioners meeting agenda .
Penny advised that the agenda comes out tomorrow so anyone who pays attention to the BOCC meeting agenda will see
that tomorrow . She further advised that there is a timeline on that agenda . If things move according to plan,
renovation can start March 15t and the goal is to move in June . The partnership Asset Management and Joe Coates have
settled on seems to work well for both the County and Joe Coates .
Penny advised that, worst case scenario in which CholaNad building is not ready we could buy some time from Well .
Once Well' s lease starts , there will be a little bit of leeway because you just do not know . When you start renovating a
building, you just do not know what can happen . So Steve Brantley and Travis Myren are negotiating with Well to do a
month - by- month if we need it . The goal is to get Well into our building as soon as possible because they are leasing our
building but will be doing upgrades to our building which is taxable . The building itself does not go back on the tax roll
until they take the building but as soon as they start upgrading, that is taxable . Therefore, we want to keep that train
moving also .
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Laurie mentioned that last time she presented building options, including the Aveda building, Mark Sherburne had sent
a letter stating what good is a Welcome Center if you do not have any place for your guests to park? So , the County
went back and said we really do need parking here . Travis Myren worked with Steve Arndt and they have been very,
very, helpful
Pam Hemminger shared a comment that the Town is very excited about the positioning of the Visitors Center in the
CholaNad building because we can be a very welcoming spot . The number one complaints the Town gets is from the
towing situation there . There currently is not an area to park in order to do things near there . The Town also hears that
in our current location visitors do not know where we are, they cannot find us and are not sure they can park .
Laurie shared that she and Tanya Moore, who is overseeing the new UNC Visitors Center, have a collaborative
relationship, sharing our guides and other information and the feeling is with UNC Visitors Center on the East end and
the Chapel Hill/Orange County Visitors Bureau on the West end of Franklin .
Laurie commented that this building has an outdoor patio space in which visitors can sit, linger, and talk. The
accessibility is phenomenal . Also, you may remember when it was the Trail Shop there is all this natural light . An early
plan right now is for us to collaborate with Orange County Parks and Recreation to use the wall space for maps of all the
local trails . That is the number one request we get, "Where can I go and explore this green area ?" We are going to be
moving into more functional maps, trails, helpful information for visitors, accessibility, and parking . It really is a lovely
building and that is where we stand .
Annette Stone asked Matt Gladdek if he is aware of what is the plan for the old Mellow Mushroom location since that
was the biggest conflict around parking. Matt responded that the building is up for lease but the biggest conflict around
predatory parking was , during non - peak times, people would park and try to run in and do something that only takes a
few minutes and within a few minutes they would have a boot on their car and it would cost them $ 300 . Matt is not
aware that it was a major conflict during peak lunch hours . He is optimistic that someone parking there for five or ten
minutes at two o' clock in the afternoon is not going to hurt anyone . It will be a culture shift . A gentle reminder on
someone' s windshield vs . a $ 300 boot .
There was a question about the length of the lease . Laurie responded she believes it is a five -year lease .
Laurie wrapped -up the discussion stating that Joe Coates has been in the community a long time . He graduated in 1972
from Duke . He knows Orange County very well and his wife runs a very successful school for autistic children in Durham .
They have been very involved in Orange and Durham . He has been terrific to work with . You will be hearing more about
our relocation from the County Commissioners meeting .
Tanya Moore asked about the process for up fitting and whether we get to pick who we work with on design , layout,
look and feel ? Laurie explained it is in partnership with our Facility Management Director, Steve Arndt and that there
are certain specs we have to maintain but we do have flexibility in design and whatnot . The space will be totally
reimagined as it was fifteen years ago for a cozy, vintage welcome in keeping with the building. In our new location , we
will be moving to more touch , tactical , maps, guides, etc . We will be doing less print distribution because our visitors are
not taking as much print . It is definitely time to get with the time . Clean had done a design on a kind of building wrap
we may revisit .
Laurie expressed one area of concern . If there is flooding on Franklin , who do we work with as the Department of
Transportation is responsible for Franklin St . but the Town controls Rosemary St . behind us because it is a State
Highway ?
Penny asked if we will keep the conference room ? Yes . She then asked how complicated getting rid of the kitchen area
will be . Laurie responded that CholaNad and Joe Coates will handle all that . Lastly, Penny asked how many of the
seventeen parking spots will be used by staff during the day? Laurie responded that we have six staff members .
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Laurie' s second topic for her Executive Report ,
The Visitors Bureau sponsors a major festival every year . TerraVita has ceased . Our guest today, Randi Emerman ,
Founder and Executive Director, Film Fest 919 is proposing that we step in and help with the 919 Film Festival . Laurie
invited Randi to present to the board because Laurie has some hesitations about it and wanted to give Randi the fairness
of talking to the board about it . The whole point of tourism marketing is to get the word out early . We are not able to
do that with Film Fest 919 because the movies that are vetted and showed cannot have publicity until they go through a
certain process . Randi, Art Chansky, and Phil Ford started this and do a marvelous job . They have met with us and
showed us the tremendous response in the media globally from 919 Film Festival . As you know, I started in Palm
Springs, California , Sonny Bono was our mayor, he was insistent on a film festival , and there was a lot of pushback for
this same reason . You really cannot talk about it until very late which sometimes negates the visitors sell . It ended up
being one of the biggest film festivals in the Country . I talked to the Executive Director out there recently and he said
they are booked early for that film festival . It has become a huge event . Laurie turned it over to Randi .
To answer your question about how film festivals are marketed , now that we have two under our belt, you use past film
festivals . You market the event, not what is going to be there . A little history on the last two film festivals . We started
this last year at Silver Spot . I lived in Palm Beach and helped start the Palm Beach International Film Festival and I was
there for twenty years . The County Commissioners started the Palm Beach Film Festival because they wanted Palm
Beach to be known for something besides rich , old people . This is going back a while ago when we started it in the
1980s . When I came here to build Silver Spot, Chapel Hill was always on our mind to put a film festival here because of
the University and because you do not have a major film festival in this market . At the time, there were still some tax
credits, which are back now, for filmmakers to come into the area, and we knew the success of and support that the Full
Frame Documentary Film Festival, one of the largest documentary film festivals in the world . At the time, we started
building Silver Spot, so we had a theater now . We are going to bring in the best of the best . Films you are going to see
go onto the awards cycle . Films like you see at Cannes , Toronto, Venice, and Telluride . HB2 came along so we had to
backtrack and put it on hold for a while . Then that all changed and we jumped in and did it . In our first year, last year,
we had 22 films go onto 247 major awards, 7 being Oscars . Those filmmakers were here at our festival . A reason why so
many people want to start a film festival is that they are great tourism vehicles . I ' ll use Palm Beach as an example
because I was there for so long, our average hotel room count for the same amount of days would be around 1, 200 -
1, 500 people . Palm Beach was not on the same level of films . They were the really independent, higher and medium -
level . In looking at Telluride Film Festival does something like 60, 000 people . We book our lodging ahead not even
knowing if we are going to get a ticket to the festival . You go on March 1" at 12 : 01 to buy your pass, which is $ 1, 000,
the cheapest ticket . That only gives me the right to stand in line for two hours to see if I get in to a movie . That is an
example of a little town , family-oriented that holds an annual film festival . Last year we had 3 , 000 in attendance . We
are restricted to Silver Spot and the amount of seats, which is something to look at in the future to deal with . This year
we had 4, 200 people in attendance . Last year, only rooms I can account for, we used 112 hotel rooms . This year 133 .
People are eating out while they are here . They are people with money . It is not your down and dirty independent
filmmakers that are coming . Between last year and this year, we had almost 300, 000, 000 worldwide impressions . We
brought in 38 journalists from around the world and the country . Not as much interaction with local media . We are
working on it . This year we were on two t . v . stations . Its hard now with media . It is influencers to get the word out .
Especially when you are doing it with no budget . We just won four Golden Globes last week and we have eight films
that are up for 28 Oscars coming up February 9th . Andrew McCarthy who wrote The Two Popes was here and he was
just nominated for an Oscar. He loved the Sienna ! It is only something that can grow . We have the momentum from
Hollywood . That is the first and foremost . We can get the product . Now it is getting a way to put it on here . I have
many friends helping me from outside the area . We need a team . These are people who make good salaries as you go
forward . I do not really want to use people from outside the area but I need time to grow the infrastructure . We are
thrilled to be here . The industry is thrilled we are here . The media loves it . I was at the L. A . Film Critics Awards over the
weekend . Everyone is on to it . It is just getting the area to catch onto it .
Mayor Pam Hemminger shared her thoughts . " It 's a big deal , a big experience in a small community . Not only the hotel
rooms but also dining and other retail . People were eating in restaurants at two in the afternoon . They were doing
things between films . I overheard conversations indicating people came from around the state and that this was a big
4 1 P a g e CHOCVB BOD Meeting January 15 2020
deal . They wanted to come experience these films in Chapel Hill , this artist community . The FRANK gallery was busy
with walk- in business of people who wanted to experience art along with film . We have talked about what kind of
demand generators can we get in this community . This one could grow to be absolutely huge . It attracts a different
crowd from our sports crowd . We love our sports energy . This will bring more people who are not going to come for
sports events . They will spread the word about coming here . We want to be that arts community. We want that
creative energy . This would support those goals . Getting more people involved will help this explode off the map for
this area . The opportunity is right here with people willing to do the work . We see it as a win , win , win . We were trying
to promote it as best we could as a town . "
Penny asked what time of year is the festival, how many days, and are all the shows at Silver Spot . It is in October, it is
five days, and yes , right now all the shows are at Silver Spot . Penny offered a suggestion to tap into Katie Murray' s, Arts
Commission Program Coordinator, knowledge on more marketing, etc .
Question about expanding . Limited by available equipment
Mark Sherburne inquired on what the financial ask is ? Laurie clarified that, at this time, what she is asking this board
for, is if there is interest, to make a motion for staff to proceed with Randi and talk about different financial levels and
bring it back to this board at next month ' s meeting .
Mayor Lydia Lavelle inquired if, in addition to the films , would there be breakouts like TerraVita offered ( Meet with the
Chefs , etc . ) . Randi responded you are not just watching films . We bring a lot of the filmmakers . We are really focusing
on filmmakers . Next year' s festival is going to have a composer' s aspect to it . We are always going to focus on the
screenwriter because that is where the heart and soul of the movie comes from . It is so interesting to hear them talk .
Lydia suggested that anything that could be away from the theater, away from University Square, be held in Carrboro or
Hillsborough would help distribute the excitement and the aura .
Mark Sherburne motioned for the staff of the Visitors Bureau to continue having conversations with Randi Emerman and
return to this board to report on it . Mayor Pam Hemminger seconded .
Penny commented before the vote : "While I loved TerraVita and was so involved with TerraVita I didn ' t see in the end
TerraVita bringing in the rooms . I think what we are hearing now, just from the two years data, that we do get the
rooms . I think we need to keep that in mind . The film festival is great but we are bringing the rooms in . I think with
Lydia ' s question about expanding and bringing in some of the restaurateurs into the film vs . food , which always goes
wells together.
Anthony Carey called for a vote on Mark Sherburne' s motion and the motion passed unanimously .
New Business / Roundtable
Chair Carey motioned to reappoint Kayla Dempsey, Mark Bell , and Lydia Lavelle to the board . Tim Hoke seconded .
Motion was passed unanimously .
Chair Carey, who chairs the nominating committee, motioned to recommend Spring Council to the Board of County
Commissioners to serve her first full term . Mayor Pam Hemminger seconded . Motion was passed unanimously .
Chair Carey advised of changes as we move into 2020 and our efforts to move away from paper . Opting out of paper
agendas and board packets is now an option . Just let Leslie Wilcox know . Along with that, we have really great
discussion in this room and we do not want to let that stop or stymie or have people leave the room , as we have seen
already . We have a lot of great information to share . So to help us capture what is being shared , it is hard for Leslie to
take what is recorded and transcribe all the different contributions in the roundtable sharing of information . In an
attempt to be better in 2020, we would like submission of your comment previous , if at all possible , so it can go officially
into the minutes, as you would like . It is then in your words rather than relying on transcription of the recording to
capture your meaning . This will help us streamline our reporting out . We have great representation from Hillsborough ,
the Arts, Carrboro, for example . Multiple people sit from each sector on our board . So instead of trying to respect
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everybody around the room and not forgot somebody, we are looking to have an individual representative from each
sector as we do the roundtable . Not that we do not want to hear from everyone but to have individuals from the same
organization/sector have one report and report together . Just a thought, an ask, a try . Anthony gave an example of
when the Arts lists out lot of great dates of opportunity, we are all feverishly writing down those dates thinking I want to
go to that, I want to go to this . If you could submit these kind of dates/ bullet points of what you are going to be talking
about, then we have the dates captured and can work from that . Commentary could be added . Anthony mentioned
that our 2019 meetings have been going over by 15 minutes or so and this could help us keep meetings on track and
within the hour and a half allotted .
Chair Carey acknowledged all for updates in their respective fields and several board members shared recent events and
upcoming events .
• Tanya Moore for UNC Visitors Center : The UNC Visitors Center is opening early March . In February, look for an
invitation to drop by .
• Matt Gladdek for Downtown Chapel Hill Partnership : Lightup Festival is coming up February 2 "d from 12 : 30 — 6 : 00
p . m . in Antoine Puech ' s old Aveda building at 140 W . Plaza , Gizmo Brew Works has opened . Dame' s Chicken and
Waffles is opening soon . Schoolkids Records is going to be opening a bar that they hope to have open for record
store day, which is in April . Kind of like Volume in Hillsborough . We have a business that has just signed a permit for
the old Hops space . We have pop- ups at the 140 W . Plaza in the interior suite there that we are doing with Carolina
Arts Everywhere . We are programming the next pop-ups to go in 109 E . Franklin space next to Epilogue . I am hiring
a new marketing person who will hopefully give me a report of things I should be mentioning here which should
make this move smoother. Rescue Santa went well . We hired The Daily Tar Heel to do a market study for
downtown Chapel Hill . In addition , I worked with four teams of students from UNC Kenan - Flaglerto understand the
relationship of students with downtown Chapel Hill . Some of the takeaways . There is a lot of fear that delivery
services are taking student' s money . Students do not like paying for delivery services because it is an extra fee .
Even if they spend $ 20 on food , if it is a $ 4 delivery fee, they will cancel the order . There is demand for students to
be able to order on an app or online and pick up their food . Some possibilities there . Another big takeaway is
students want businesses that are not just eating or drinking downtown . More other activities . The big takeaway
for Matt is the student market is not as big as we expect . We need to focus on non -students and make sure our
businesses are not just focused on students . We are going to be doing a bigger presentation of all of this data
• Mayor Lydia Lavelle and Annette Stone for the Town of Carrboro : Two new restaurants opening in downtown
Carrboro . Luna , which is a South American cuisine and another Thai restaurant . Several runs coming up in March ,
including a new one called Color the Hill that used to be in Chapel Hill . The biggest news from our Tourism
Development Authority is a collaboration with the Carrboro Business Alliance ( CBA) to launch a website for visit
Carrboro . Right now if you google Visit Carrboro it is going to take you to a landing page within the Town 's website .
Hillsborough ' s is kind of the Golden Standard . We all love how Hillsborough ' s website looks . We are working with
the CBA to relaunch a website and then have ongoing creative content . Reminder of all the events going on during
MLK weekend including a ribbon cutting for MLK Park on Monday at 3 : 00 p . m .
• Sarah Parris for the Alliance for a Historic Hillsborough : Winter, typically a quiet season in Hillsborough with many
sites closed due to weather, has been busy . We are gearing up for the "Year of the Woman " , the hundred -year
anniversary of women gaining the right to vote . The Alliance is coordinating with a bunch of partners in town and
there will be many activities with Burwell School and others .
• Tim Hoke for Orange County Arts Commission : The Winter Solstice walk this year had over 2, 000 people attend . Our
State Magazine was here filming it for a feature article that will be coming out this next year . Still working on Eno
Mill . The owners are in the process of doing some minor renovations for us for the spaces . We have a bunch of
applications for those spaces, which we are vetting right now to make our final decisions .
• Steve Brantley for Orange County Economic Development : Anthony Carey congratulated Steve on the
announcement of a business that manufactures sheet metal opening in Orange County . Steve said they anticipate
some more good news this year from projects that lingered from last year. Steve gave kudos to Annette and
Carrboro as they have some amazing economic development coming on - line . Steve shared that Orange County
economic forecast from a budgetary standpoint this coming year is not anticipating any recession or downturn .
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• Kayla Dempsey for the North Carolina High School Athletic Association : Basketball is March 14th at the Smith Center
and there will be four games . Football went great . We love the turf field . Things are going well .
• Mayor Pam Hemminger for the Town of Chapel Hill : On Friday, Chapel Hill Council was presented with the 35 active
projects going on around town . There is a lot of activity going on in Chapel Hill . We are seeing a lot of shifting and
changing . Commercial opportunities mostly, to provide jobs and places to work . The University is putting on a
series of input sessions later this month on January 27th and 28th about moving the admissions office to the Franklin
St . area , which would be good for tourism , in our opinion . They have hired a firm out of Philadelphia who has dealt
with integrating historic university downtown to new age admissions and those kinds of challenges . It is more than
just admissions . UNC calls it Porthole Alley renovations . Their goal is to have a plan by July .
West End restriping is moving along .
Next meeting : Wednesday, February 19t'' at UNC Hospital Hillsborough Campus.
Meeting adjourned at 9 : 29;a`. m . .. '
Min eviewecl Minut s acceptetirman
y :
Laurie Paolicelli, Exe utive Director Anthony Carey,
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Date Date
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