2008-26829 ResoRESOLUTION NO. 2008-26829
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY
OF MIAMI BEACH, FLORIDA, APPROVING AND AUTHORIZING THE
MAYOR AND CITY CLERK TO EXECUTE AMENDMENT NO. 1 TO THE
AGREEMENT BETWEEN THE CITY OF MIAMI BEACH AND THE
GREATER MIAMI CONVENTION AND VISITORS BUREAU (GMCVB),
DATED OCTOBER 1, 2004; SAID AMENDMENT PROVIDING FOR
ADDITIONAL SERVICES RELATED TO THE PREPARATION OF A
MARKET RESEARCH AND CONVENTION SPACE ANALYSIS FOR THE
MIAMI BEACH CONVENTION CENTER, IN AN AMOUNT NOT TO
EXCEED $66,250, PLUS ADDITIONAL "OUT OF POCKET" PROJECT
RELATED EXPENSES IN AN AMOUNT NOT TO EXCEED $13,000.
WHEREAS, on December 8, 2004, the Mayor and City Commission adopted Resolution No.
2004-25757, approving an Interlocal Agreement between the City of Miami Beach and the GMCVB
for sales, marketing, and public relations services to enhance the City's tourism and convention
industries (the Agreement); and
WHEREAS, in early 2001, the GMCVB began planning and background work for a
convention space study and appointed a steering committee to select a consultant and review the
consultant's findings; and
WHEREAS, on May 22, 2001, in response to a request for proposals issued by the GMCVB,
a number of firms were reviewed and evaluated and the firm of Convention, Sports and Leisure
(CSL) was selected to conduct the study; an agreement with the GMCVB was subsequently
executed; and
WHEREAS, in October 2001, the GMCVB, with input from the City, accepted a report from
CSL analyzing the status of convention and meeting facilities in Miami-Dade County; and
WHEREAS, at its April 11, 2007 meeting, the Mayor and City Commission approved a
resolution approving a proposed expansion of the Miami Beach Convention Center (to include a
ballroom, retrofit of the space to accommodate new meeting rooms, and renovations to the existing
northwest ballroom to create a "junior ballroom"), subject to Miami-Dade County funding all costs for
the project and managing the construction process; and
WHEREAS, since then, the City and the County have had conceptual discussions related to
the proposed expansion project; it was determined that a "master plan" be developed to not only
study the proposed expansion, but to take an overall look at the other options and alternatives to
make the facility more competitive in today's convention and meeting business climate; and
WHEREAS, as the GMCVB has again contracted with CSL to update its October 2001
study, the Administration would recommend that the Mayor and City Commission approve an
amendment to the Agreement; said amendment effectively allowing the City and the GMCVB
(utilizing CSL as sub-consultant) to contract for the preparation of the aforestated market research
and convention space analysis (i.e. the "master plan"), in an amount not the exceed $66,250, plus
related "out of pocket" expenses, in an amount not to exceed, $13,000; and
WHEREAS, the Agreement contemplated and provides for the City to be able to contract
with the GMCVB for the provision of additional services; furthermore the additional services
contemplated pursuant to the proposed amendment are consistent with the intent of the Agreement.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF
THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Commission hereby approve and
authorize the Mayor and City Clerk to execute Amendment No. 1 to the Agreement between the City
of Miami Beach and the Greater Miami Convention and Visitors Bureau, dated October 1, 2004; said
Amendment providing for additional services related to the preparation of a market research and
convention space analysis for the Miami Beach Convention Center, in an amount not to exceed
$66,250, plus additional "out of pocket" project related expenses in an amount not to exceed
$13,000. This is funded from the City's FY 2007/08 Resort Tax Contingency Account to be
reimbursed from the County General Obligation Bonds for Convention Center Enhancements.
PASSED AND ADOPTED this _25th_ day of June , 2008.
AT EST:
CI Y CLERK
Robert Parcher
JMG/HMF/mas
T:IAGENDA120081June 251Consent\GMCVB Amendment 1.RES.doc
MAYOR '
Matti Herrera Bower
APPROVED AS TO
FORM ~ LANGUAGE
F EXECUTION
~" ~ ~ `~
~_ ~ 2
~~tY ! rti to
COMMISSION ITEM SUMMARY
Condensed Title:
A Resolution Approving And Authorizing The Mayor And City Clerk To Execute Amendment No. 1 To The Agreement
Between The City Of Miami Beach And The Greater Miami Convention And Visitors Bureau For Market Research And
Convention Space Analysis For The Miami Beach Convention Center, In An Amount Not To Exceed $66,250, Plus
Additional "Out Of Pocket" Project Related Expenses in an amount not exceed $13,000.
Intended Outcome
Improve availability and accessibility of major events
Supporting Data (Surveys, Environmental Scan, etc.):
57% of businesses and 62% of residents felt the frequency of major events was about the right amount.
Issue:
Should the City Commission approve the Amendment?
Item Summary/Recommendation:
In early 2001, the Greater Miami Convention & Visitors Bureau (GMCVB) began planning and background work for a
Convention Space study. A steering committee to select a consultant to conduct, this work, and review the consultant's
findings, was developed by the GMCVB Board of Directors. On May 22, 2001, in response to a Request for Proposals
(RFP), the Committee recommended the firm of Convention, Sports and Leisure (CSL) to conduct the study, and an
agreement with the GMCVB was subsequently executed. CSL is a firm that specializes in market research associated with
convention centers, arenas, theaters and other meeting and performance facilities, as well as trade show and convention
business trends and analysis. In October 2001, the GMCVB, with input from the City of Miami Beach, accepted a report
from Convention Sports & Leisure (CSL) analyzing the status of convention and meeting facilities in Miami-Dade County, to
include the MBCC. At the April 11, 2007 Commission Meeting, the Commission approved a resolution that supported the
proposed expansion of the Convention Center, subject to the County funding all costs associated with the project, and the
County managing the renovations/construction process. A meeting between County and City representatives took place in
April 2008 which resulted in a new plan of action moving forward relating to the future of the Convention Center, that
involves the development of along-term vision and master plan for this regional convention facility. In order to master plan
the Convention Center area, an update to the 2001 CSL study is required. The GMCVB has already contracted with CSL to
update their 2001 research. This work will include, among other things, identifying current industry trends,
competitive/comparable facility analysis, existing and projected utilization at the convention center, and a market demand
analysis. CSL would work jointly with acompetitively-selected A/E firm, and with the stakeholders, in developing a
proposed master plan that would incorporate research-driven improvements focused on making the convention center
competitive and marketable. This activity is funded from the City's FY 2007/08 Resort Tax Contingency Account to be
reimbursed from the County GOB. Section 1.01 of the Agreement with the GMCVB details a number of tourism and
convention sales and promotion functions for which the City contracted with the GMCVB. Among those, specifically Section
1.01 (d), is "To engage in tourism and convention research and planning, and to conduct campaigns of information,
advertising, publicity, marketing or sales relating to tourism, and conventions." Based upon the aforementioned, the City
Administration recommends exercising the option available pursuant to Section 4.04, entitled "Additional Services" and
amend the Agreement with the GMCVB to perform market research and convention space analysis for the Miami Beach
Convention Center.
~_T_N_G
Source of
Funds:
-_ 0
OBPI
Amount
$66,250 plus 'Out of
Pocket" Expenses,
not to exceed $13.OOi
City's FY 2007/08 Resort Tax Contingency Account to be
reimbursed from the County General Obligation Bonds for
City Manager
m MIAMIBEACH
Financial Information:
City Manager
AGENDA ITEM G7~
DATE ~o~a?J-0~
m MIAMIBEACH
City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfl.gov
COMMISSION MEMORANDUM
TO: Mayor Matti Herrera Bower and Members of the City Commission
FROM: Jorge M. Gonzalez, City Manager
DATE: June 25, 2008
SUBJECT: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI
BEACH, FLORIDA, APPROVING AND AUTHORIZING THE MAYOR AND CITY
CLERK TO EXECUTE AMENDMENT NO.1 TO THE AGREEMENT BETWEEN THE
CITY OF MIAMI BEACH AND THE GREATER MIAMI CONVENTION AND VISITORS
BUREAU, DATED OCTOBER 1, 2004; SAID AMENDMENT PROVIDING FOR
ADDITIONAL SERVICES RELATED TO THE PREPARATION OF A MARKET
RESEARCH AND CONVENTION SPACE ANALYSIS FOR THE MIAMI BEACH
CONVENTION CENTER, IN AN AMOUNT NOT TO EXCEED $66,250, PLUS
ADDITIONAL "OUT OF POCKET" PROJECT RELATED EXPENSES IN AN
AMOUNT NOT TO EXCEED $13,000.
ADMINISTRATION RECOMMENDATION
Adopt the Resolution.
FISCAL IMPACT
The funds are available from the City's FY 2007/08 Resort Tax Contingency Account to be
reimbursed from the County General Obligation Bonds for Convention Center Enhancements.
BACKGROUND
In 1993, the City of Miami Beach formally became a party to an Interlocal Agreement between the
Greater Miami Convention and Visitors Bureau (GMCVB), Miami-Dade County, the City of Miami
and the Village of Bal Harbour. On January 6, 1999, the City negotiated a one year Agreement with
the GMCVB, which ended on September 30, 1999. This agreement has been subsequently
extended following both internal and external review; the current term of the Agreement expires in
September, 2009. In addition to a new term, funding formula and performance measures, and the
creation of a new governance structure, the new agreement also provided for the City to be able to
request certain additional services be performed. More specifically, the City may, at its sole
discretion, "contract with the GMCVB for additional services, which may be funded from the City's
Resort Tax Contingency Account, or such other source of funding that the City may deem
appropriate, and upon prior approval by the Mayor and City Commission."
ANALYSIS
Originally built in 1957, the Miami Beach Convention Center (MBCC) originally encompassed
108,000 square feet. In 1968, an additional 130,500 square feet of exhibit space was added, with
additional support facilities subsequently constructed in 1974. In 1986, as the demand for exhibition
space increased, the facility underwent a $92 million renovation and doubled in size to its current
footprint. The expanded Convention Center opened in 1989. At that time, a master plan was also
developed for the convention center comp-ex area, which included potential future expansion. Since
Page 2 of 3
GMCVB Amendment
that time, the facility has also received over $50 million in continuing upgrades, including complete
renovations of all restrooms, full carpet replacement, and installation of astate-of-the-art
telecommunications and networking infrastructure.
In early 2001, the Greater Miami Convention & Visitors Bureau (GMCVB) began planning and
background work for a Convention Space study. A steering committee to select a consultant and
review the consultant's findings was developed by the GMCVB Board of Directors. On May 22,
2001, in response to a Request for Proposals (RFP), a number of firms were reviewed and
evaluated by the Committee. The Committee recommended the firm of Convention, Sports and
Leisure (CSL) to conduct the study, and an agreement with the GMCVB was subsequently
executed.
In October 2001, the GMCVB, with input from the City of Miami Beach, accepted a report from
Convention Sports & Leisure (CSL) analyzing the status of convention and meeting facilities in
Miami-Dade County, to include the MBCC. The analysis evaluated the competitive standing of the
convention facilities in the County. CSL is a firm that specializes in market research associated with
convention centers, arenas, theaters and other meeting and performance facilities, as well as trade
show and convention business trends and analysis. Given the Miami Beach Convention Center's
geographic draw, recommended improvements to the Miami Beach Convention Center (including a
multi-purpose general assembly/banquet hall) should be made to increase the marketability of the
Convention Center and the region.
At the April 11, 2007 Commission Meeting, the Commission approved a resolution that supported
the proposed expansion of the Convention Center (to include a ballroom, retrofit of space to
accommodate new meeting rooms, and renovations to the northwest ballroom to create a "junior
ballroom"), subject to the County funding all costs associated with the project, and the County
managing the renovations/construction process. The initial expansion necessary to accommodate
the ballroom at the size that was being requested by the industry would require abuild-out of the
Convention Center beyond the current building footprint. This, in turn, has a sizeable impact on the
costs.
Subsequent to the April 2007 Commission meeting, there were several attempts to meet with the
County to discuss the funding availability and the scope of the project. A meeting took place in April
2008 which resulted in a new plan of action moving forward relating to the future of the Convention
Center. Specifically, it was requested that the City and County, in conjunction with interested
stakeholders, reconvene todevelop along-term vision and master plan for this regional convention
facility. This master plan is intended to look "outside of the box" at possibilities to make the facility
competitive in today's convention and meeting business climate. This would involve looking at
existing and potential site amenities, physical renovations to the interior and exterior, expansion of
exhibit space (to include necessary multi-purpose/ballroom space), technology upgrades, parking,
etc.
In order to master plan the Convention Center area, an update to the 2001 CSL study is required.
The GMCVB has already contracted with CSL to update their 2001 research. This work will include,
among other things, identifying current industry trends, competitive/comparable facility analysis,
existing and projected utilization at the convention center, and a market demand analysis. CSL
would work jointly with acompetitively-selected A/E firm, and with the stakeholders, in developing a
proposed master plan that would incorporate research-driven improvements focused on making the
convention center competitive and marketable. The attached documents summarize the history of
the convention space study and provide the scope of work for CSL.
Page 3 of 3
GMCVB Amendment
Section 1.01 of the Agreement with the GMCVB details a number of tourism and convention sales
and promotion functions for which the City contracted with the GMCVB. Among those, specifically
Section 1.01 (d), is "To engage in tourism and convention research and planning, and to conduct
campaigns of information, advertising, publicity, marketing or sales relating to tourism, and
conventions." Based upon the aforementioned, the City Administration recommends exercising the
option available pursuant to Section 4.04, entitled "Additional Services" and amend the Agreement
with the GMCVB to perform market research and convention space analysis for the Miami Beach
Convention Center.
CONCLUSION
The Administration recommends that the Mayor and City Commission adopt this Resolution
approving and authorizing the Mayor and City Clerk to execute Amendment No. 1 to the Agreement
between the City of Miami Beach and the Greater Miami Convention and Visitors Bureau for market
research and convention space analysis for the Miami Beach Convention Center, in an amount not
to exceed $66,250, plus additional "out of pocket" project related expenses, not to exceed $13,000.
This project to be funded from the City's FY 2007/08 Resort Tax Contingency Account and will be
reimbursed from the County General Obligation Bonds for Convention Center Enhancements.
JMG/HMF/MAS
T:IAGENDA120081June 25\ConsentlGMCVB Amendment 1 Memo.doc
June 3, 2008
Mr. Max Sklar
Director, Tourism & Cultural Development
City of Miami Beach
1700 Convention Center Drive
Miami Beach, FL 33139
E: maxskiar ~miamibeachfl.~ov
Dear Mr. Sklar:
At the request of Mr. Talbert, I am writing to recap the process that was used to select Mr. John Kaatz of
the firm "CONVENTIONS SPORTS & LEISURE" as the consultant of choice to conduct the "Convention
Space" study for our destination that started in 2001. Consistent with the acceptance and approval of
the original 2001 study by the GMCVB and the visitor industry, Mr. Kaatz is currently being retained to
update the study and report his findings.
The planning and background work for the Convention Space study project began in early 2001. At the
direction of the Chairman of the Board of the Greater Miami Convention and Visitors Bureau, Mr.
Donald Lefton and Miami Beach City Manager Jorge M. Gonzalez were named co-chairs of the steering
committee to select a consultant and to then review and recommend the consultants' findings to the
full Board of Directors of the Bureau. The Steering committee selected for this project was:
CONVENTION CENTER NEEDS ASSESSMENT
RECOMMENDED STEERING COMMITTEE MEMBERS
Male Female White Hisp Black FOB
Hotels Leo Salom x x x
Stu Blumberg x x x
Chris Aldieri x x x
Marc O'Ferrall x x x
Debbie Castillo x x x
Finance Beth Hicks x x x
Convention Doug Tober x x x
Center Bob Murray x x x
Greg Wright x x x
City/County Jorge M. Gonzalez
or
Christina Cuervo x
x x
x
Christina Abrams x x x
Steve Spratt x x x
Citizen-at-Large Art Hertz x x x
Norm Litz x x x
Chuck Martinez x x x
Donald Lefton x x x
Users Chris Price x x x
Cathy Johnston x x x
A subcommittee of the Steering committee was appointed by the Chairs to review in detail and
formulate a recommendation of firms to be considered to perform the study. The individuals selected
were:
1. Christina Abrams: City of Miami Director of Conferences and Public Facilities
2. Stuart Blumberg: Hotel Association
3. Marc O'Ferrall: Director of Sales and Marketing, Loews Miami Beach (African American]
4. Bill Johnson: Senior Advisor to the Miami Dade County Manager
5. Maria Sastre: Vice President-Total Guest Satisfaction, Royal Caribbean International
6. Doug Tober: General Manager, Miami Beach Convention Center
On May 22, 2001, the following consulting firms were interviewed during the selection phase of the
project. Their responses to the "Request for Proposal" (RFP) were reviewed by the steering committee.
The firms interviewed were:
• C.H. JOHNSON CONSULTING
• CONVENTIONS SPORTS & LEISURE
• DELOITTE & TOUCHE
• ERNST & YOUNG
• KPMG LLP
• PRICEWATERHOUSECOOPERS
• STRATEGY ADVISORY GROUP
The Steering committee recommended the consulting firm of Conventions Sports & Leisure, (CSL)
headed by Mr. John Kaatz to conduct the study. At the Steering committee's request, the law firm of
Greenberg Traurig was requested to draw up an agreement between the Bureau and CSL, which was
executed in June 2001.
On November 15, 2001, Mr. John Kaatz presented to the Steering committee his recommendation
together with an executive summary of the study. The Steering committee unanimously recommended
to the GMCVB Board of Directors acceptance of the study.
As you know, the study led to the Industry and community adopting the recommendation to construct a
(ballroom addition) to the Miami Beach Convention Center. This recommendation was approved and
endorsed by the Miami Beach City Commission and was later approved to be funded through general
obligation bonds, issued by Miami Dade County.
If you have questions or need additional information, please contact me, Alvin West at 305-539-3085 or
Mr. Talbert at 305-539-3040.
Respectfully,
Alvin West
CFO/Senior Vice President
Greater Miami Convention & Visitors Bureau
Cc: Mr. William Talbert III
President and CEO
Greater Miami Convention & Visitors Bureau
19(1'7 Vr'at.am Ik~t~l~:eurd
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V1'acraea, Alinnc~:ol~
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MEMORANDUM
To_ 8i11 Talbert
From: John Kaatz
Date: March 21, 2Q08
subject: Miami Beach Convention Center Market Research
Based on our conversation yesterday, 1 have prepared a summary of the types of services we can
provide with respect to Miami Beach Convention Center planning, the timing of such services
and associated fees/expenses.
1'o start with, conditions within the convention and tradeshow industry change continually, and
cities are investing heavily to secure a share of the market. Uur research as descrilx;d below is
heavily focused on assessing current and projected event planner facility needs. The analysis will
assess current general session/ballroom space plans, and will also go fw-ther to consider other
facility features that could allow the Miami Beach Convention ('enter to compete effectively in
specific target markets.
For example, centers in Boston, Minneapolis and Cleveland are considering constructuig space
with features dedicated solely to the medical industry. In Denver, the convention censer includes
a technologically advanced gencrai session hall seating 5,000. In San Antonio, future convention
center investment may link the center with an adjacent park to create indoor/outdoor event space.
While these types of innovations may be specific to the conditions within each market, there are
creative lectures that could be considered as part of the Miami Beach Convention Center
planning. The research described below }will help reach this objective.
Task t -~ Assessment of Existing and Projected MBCC Utilization
Task 2 - CompetitivelComparable Facility Analysis
Task 3 -Market Demand/Survey Research
Task 4 -Analysis of Industry `l rends
Task 5 -Identification and Analysis of Potential Expansion/Improvement Scenarios ~,
Facility Amenities
1 ask 6 -Analysis of Economic and Fiscal Impacts
'fhe specific scope items for each study component are highlighted on the following pages.
t~4r. Bil! 7alberi
P~~e 2 of 5
Task i. Assessment of IEsistinglProjected f1'liami ~3each ('onvention Center lJtilizatiun
T'he objective of this task is to conduct an assessment of the overall operational characteristic) of
the Miami Beach Convention Center (MBCC). As part of this analysis, we +vili analyze the
current~historical physical and operational characteristics of the existing MBCC. This analysis
will help form the basis for evaluation of future demand that additional and/or improved MBCC
space could accommodate. As the infomration is available, our collection and review of data will
include, but will not be limited to:
• Facility ph}'steal components. configuration, functionality, amenities and related issues
and how they relate to potential future needs;
• Event characteristics including number of events, utilisation days, space used by area,
attendance and other past, current and future booking statistics;
• Square footage and occupancy by type of space;
• went seasonality; and
• lnlormation on "lost" business.
The resu{ts of this task will provide an assessment of the capacity, performance and limitations of
the current MBCC and, importantly. benchmark data for subsequent study tasks.
As par? of this analysis, w•e will conduct electronic surveys of past and current MBCC users to
assess the strengths and weaknesses of the existing MBCC from a customer's perspective. 'I'bis
data is critical in beginning to establish the features and improvements that should he considered
as part of future MBCC investment.
Task 2. CompetitivelComparable Facility Analysis
In evaluating the market demand for MBCC expansion/improvement, it is important to gain an
understanding of the competitive and comparable facility environment In this task, we will
assemble and review the physical and operational characteristics of existing and planned facilities
in the region and throughout the country that compete with the MBCC. Projects around the
country that may offer some element of comparable insight will also be evaluated. The types of
data that will be assembled (as available) for competitive and comparable projects include:
• Exhibit, meeting, genera! sessianimultipurpose space and capacities;
• Fixed and temporary seating components;
• Innovative facility development components and/or plans;
• Future expansion plans;
• Event characteristics (event levels by type, attendance, room nights, utilization, etc);
• Future bookings;
• Available parking; and
• Hotel availability, quality and proximity to the facility.
P:1 r. Bili'1'a{bert
Page 3 of S
'I'ttis analysis ~ti'ifl a`;sist in providing data as to ho~ti as expanded!unprc,ved M;3Cl' coulri improv^
its competitive position within specific event markets, as well as later assist+ng in the evalu,~tio++
of the ~ti;ociated development scenarios.
Task 3. Market Demand/Survey Research
No assessment of future MBCC space needs could be completed without ~ thorough assessment
of current and projected customer needs. The purpose of this task is to develop primary induatrv
research specific to the greater Miami market and. in particular, the ~4BCC. We will interview
(via telephone) a large sample of past and potential users of the MBCC from a state, regional and
national basis. Such interviews are an important component of our study approach, allowing us
to go beyond simply relying on competitive and comparable facility data. Our extensive recent
work in major competitive markets throughout the country provides a strong basis for the
identiFcation of specific groups and organizations that could represent added market potential for
the MBCC.
I/vent organizer survey results will be analyzed to provide summaries of the following data:
• Likelihood of usinb the MBCC;
• Reasons for not choosing the greater Miami area (ifappiicable);
• Space/scaling levels required to attract the event;
• Ucmand for non-traditional event space;
• Ucmand for ancillary facility amenities:
• Overall hotel room requirements;
• Other important community requirements to attract the event;
• Event seasonality;
• length of event data;
• Event attendance data; and
• Perceptions/familiarity with the greater Miami area and other related event information
and relevant opinions.
By combining the results of this task with the resuhs generated in previous tasks, ~~~e will be able
to assess various MBCC facility development and improvement scenarios in teens of~associated
event capture.
Task 4. Analysis of Industry Trends
The convention, tradeshow and meetings industry has undergone significant change over the past
several years. Issues impacting the industry, including increased demand for meeting space,
technological amenities, hotel availability, service levels and other such characteristics, have been
joined by increases in facility supply. The purpose of this task is to evaluate recent trends in the
industry that may impact potential expansionlimprovement of the MBCC. Such trends will likely
h-1r. Bil[ Tcllxn
I'ag~ 4 vi
inclurie chanr~es in t~•pe ref space. used, supply and demand chara~•terict.ics.. canve,itian renter
amenities. seasonality and geographic patterns end related characteristics.
Throughout this step we will evaluate these types of trends and surnmari-re the potential impact
an the MBCC and its associated event activity. An evaluation of these: trends will be important in
"framinb' and placing overall market demand estimates into the context of the industry, both
presently and into the foreseeable future.
Task 5. Identification and Analysis of Potential F,xpansion/lmpmvement Scenarios ~
Facilih~ Amenities
As part of this task, existing expansion planning will be reviewed to ensure conformity to market
demand characteristics unique to the greater Miami area and the MBCC. 'I~he appropriate sizing
and features for any other MBCC expansion and itnprovement features that should be considered
as pan of long-term facility planning will also be assessed.
In some cases, MBCC expansion components may be identified for future phases of
development- We will therefore create along-term MBCC development plan highlighting facility
features and space expansions that should he targeted over a 10 to ~0 year planning horizon.
The types of space that will tk considered as part of this planning process will include but not he
limited to the fallowing.
• Flat floor general session/ballroom space;
• Flexible and specific-use breakout meeting space;
• Fixed seating assembly space;
• Non-traditional event Fund function space;
• Anci]]ary facility amenities;
• Exhibit space;
• Location of added space within the complex;
• Front of house service areas (lobby, drop off, retail areas, etc.); and
• Back of house areas (loading docks, circulation, etc.)-
importantly, in addition to traditional convention center space, our assessment of future facilit}
needs will he designed to include recommendations as to whether new customers ar markets
could be attracted to the MBCC through the creative development of additional types of space.
Options could include, but are not limited to features suitable to the medical industry, research
components suitable for various science and technology events, creative facility space to address
event planner desire for non-traditional learning events, and related options.
Task 6. Analysis of Economic and Fiscal Impacts
The operation of a convention center attracts out-of--town event delegates to the community. The
non-local delegates brought into the community by facility operations represents the basis for
Mr_ F..ili'?alberl
Pace 5 of~ c
added room ni,r_ht ~enrration and economic and fiscal impacts.
Analysis of incrementa! non-local attendees to the area wit! be. ~ ^veloped based on estimates of
added event activity by marke+. segment developed previously in the analysis. ~'hese estink~teti
will he used to calculate total incremental out-of=town delegate spending in greater Miami
generated as a result of recommended expansion and/or improvements outlined in previous tasks.
These estimates will be based on appropriate per-delegate spending estimates using industry data
adjusted to the local area. "('he resulting delegate spending levels would he segmented. by indusu-~
and applied to ecotu~mic impact multipliers.
"f he multipliers, specific to the greater Miami area and provided by leading input/output
multiplier models, would be used to estimate total economic output, earnings and full and part-
time employment generated as a result of an expanded/improved MBCC.
From these economic impact variables, we would apply appropriate local, regional and statewide
tax rates (including, but not limitc;d to hotel/motel- sales, income and franchise taxes) io estimate
the added tax revenue generated as a result of expansion!improvcment_ Estimates of existing and
incremental hotel room night generation will also be prepared. Further, the effect that an
expanded/improved MBCC could have on local hotel tax collections (and potentially an expanded
hotel base) will also he considered.
Project Timing and rFecs
We are prepared to commence our services immediately. It is my understanding that any research
should be completed within a 60 day timeframe. "I'he scope of services outlined above can be
completed within this period, and a preliminary summary report will be prepared. We do not
envision creating a lengthy written document, rather our focus will be on preparing a concise
summary of research, findings and recommendations.
The estimated hours and maximum professional fees required to complete the scope of services
are summarized ix;iow.
Project
Hours
Project Partner 70
Project Manager 70
Project Staff 125
Total professional (tours 265
Maximum professional fees $66,250
Project expenses including travel- telecommunications and report preparation will be billed
separately at cost.