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Term SheetsEXHIBIT A TERM SHEET New Agreement between the City of Miami Beach and GMCVB (2009 - 2014) Date: September 17. 2009 TERMS Five (5) years, commencing on October 1, 2009, and ending on September 30, 2014. 1. Term Termination for convenience by City with 60 day notice. 2. Base Fee $5,000,000 per year. Beginning with the 2id contract year of the Agreement, the City's annual contribution will be ad'usted b 3% or the increase in the CPI-U, whichever is less. Sub-Market Initiatives 3 GMCVB agrees that not less than $950,000 will be targeted annually to support and implement . sub-market initiatives developed by the City (in partnership with GMCVB) that market, promote or support activities or events in the City, or that directly benefit the City. These sub-market initiatives will be revisited annually and established by the City, in its reasonable discretion, on an annual basis. GMCVB's Marketing and Tourism Committee must fully reflect and be representative of the sub- market initiatives referenced above. 4. Cultural Arts Council GMCVB will make an annual contribution to the City, in support of its Cultural Arts Council, of $50,000 er year. 5. Performance Objectives The following performance objectives shall be included in the Agreement for achievement during the Term: A. Organizational Improvement o Report on/update the status of the current five-year Strategic Plan (Year 1) o Develop and present for approval a new Strategic Plan (Year 1) o Conduct an annual retreat (Year 1, Year 3) o Report on/update the status of the new Strategic Plan developed in Year 1 (Year 3) B. Develop, plan and/or implement certain mutually agreed upon recommendations from the Mayor's Blue Ribbon Task Force on Tourism C. New Bookings at the Miami Beach Convention Center: o Book a minimum of twenty (20) new conventions/ meetings/Corporate business D. New Bookings at Miami Beach Hotels o Book a minimum of 125 new events/meetings/corporate business E. Achieve no less than a 90% positive rating on customer service surveys for convention bookings (positive =excellent/good) * Note: The term "booking" will be further defined in the Agreement; "new" refers to non- renewal business. 6. Reports Provide at beginning of Term and subsequently, as needed/updated: • Operating Policies and Procedures o Convention Sales Standard Operating Procedures o Convention Services Standard Operating Procedures o GMCVB, Global Spectrum, Messe Schweiz Marketing Partnership Provide Monthly: • Tourism Sales o New Leisure visitor generated and estimated visitor receipts o Visitor Demographics (with breakdown for CMB) • Convention Sales o Conversion of Sales Leads to Booked Business ^ Booked Business Report -sales closed (all) ^ Booked Business Report -sales closed (Convention Center related) ^ Booked Business Report -sales closed (Miami Beach Hotels) o Business targets (leads, including bid opportunities for major events and international business opportunities) o Lost Business Reports (all and Convention Center related o Cancelled Business Re orts (all and Convention Center related) TERMS o In-kind Partnership Reports o Convention Income Survey • Convention Summary Reports • GMCVB Membership o Private Membership participation o Leverage and In-kind support • Marketing o Total number of paid media placements and media impressions (all) o Total number of paid media placements and media impressions (convention- related) o Total number of earned media opportunities and impressions (all) o Total number of earned media opportunities and impressions (convention- related) • Targeted Initiatives o Boutique Hotel ^ Marketing Report (number of media placements, number of media impressions, number of earned media opportunities) ^ Sales Report (number of booked new business - leisure and convention/meetings) o Gay/Lesbian TraveUbusiness ^ Marketing Report (number of media placements, number of media impressions, number of earned media opportunities) ^ Sales Activities (marketing efforts targeted to leisure travel, convention/meetings, leads, etc.) o Survey results as required per agreement • Convention Center Sales Customer Service Feedback Reports Provide annually (within 90 days after end of each contract year) • ROI Analysis o Conventions and Meetings (annual number booked, anticipated visitors/delegates, room nights and total receipts/economic impact) o Advertising (conversion analysis actual new visitors, hotel room nights and visitor receipts) o GMCVB Website (hotel booking results) o Tourism Sales o Revenue Per Available Rooms (Rev Par) 7. Marketing Support GMCVB will participate in monthly Sales and Marketing Meeting held by the CMB and Global Spectrum ^ Minimum of 25% of GMCVB's total convention marketing funds available per the approved GMCVB budget will be used to promote the availability and use of the MBCC. • All convention/meeting industry publication ads are to be drafted and reviewed with the MBCC Director of Sales and Marketing Manager. • GMCVB's Advertising and Marketing Costs shall be at least 50% of the overall GMCVB annual budget. • GMCVB will support and highlight targeted City events and/or amenities (e.g. golf clubs, Slee less Ni t), in GMCVB ublications (in-room ma azines, etc.) 8. European Sales: Partner with Messe Schweiz for European convention sales and marketing. 1. Participate in at least one annual meeting with Messe Schwiez to develop annual international sales and marketin lan. 10. Governance • City representation on the Executive Committee and Board will be not less than 30%. • City's representation on any and all GMCVB committees and/or subcommittees shall be a number proportionate to the percentage amount of the City's total annual financial contribution to GMCVB, but in no event shall be less than 30%. • The City manager or his designee shall be a voting member of the Finance Committee. • The General Manager of the MBCC shall be a voting member of the Convention Sales Committee. ~ . wvcrvur~~cvua~aeptem4er ~4ereguiarwnnwts zuua nngmt i erm sneer (rinaq.aoc