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HomeMy WebLinkAboutCivic Center Board Minutes 5-22-23CIVIC CENTER BOARD OF MANAGERS THURSDAY, May 22, 2023 CENTURY CENTER – BENDIX ARENA 8:30 A.M. MEMBERS PRESENT MEMBERS ABSENT Linda Doshi A. J. Patel Randy Kelly Greg Downes Aaron Perri Michael Neises Canneth Lee Jill Scicchitano Heather Goralski The meeting was called to order at 8:30 a.m. by President Perri. CONSENT AGENDA Perri entertained a motion to approve the consent agenda, including the Minutes of the 2/16/23 meeting and approval of the financial reports. Discussion followed on the financial reports regarding a question on the end date of the reports because there are different dates on the reports. Perri responded that the financial reports cover at least through 2023 Q1. Greg Downes motioned to approve; Linda Doshi seconded; and motion carried. PRESIDENT’S REPORT Perri welcomed Canneth Lee, South Bend Common Council member representing District 1 which includes Century Center and the Morris and he is Chairperson of the PARC Committee (Parks, Recreation, Cultural Arts & Entertainment.) Perri also welcomed Heather Goralski, Senior Sales Specialist at the University of Notre Dame and who is heavily involved with the Chamber of St. Joseph County. Perri’s last day as City of South Bend Executive Director of Venues Parks & Arts is 6/1/23. He will continue to serve on the Civic Center Board of Managers until his term expires on 12/31/25. Perri thanked Aladean DeRose. who is retiring from her position as Attorney for the City of South Bend, for her work on behalf of the Board, Century Center and the Morris. Perri reported that Phase One of Morris renovations are complete except for a few soft goods. The Mezzanine chairs have been adjusted by the contractor to allow more leg room. Phase Two is moving forward for the plaza redesign and the new Raclin Murphy Encore Center. The contract has been signed with Ratio for final design and construction documents. The City of South Bend Board of Public Works approved. The total of $16.5 million is held of the estimated $21 million project. The big donors have contributed and now small donations are being received. A bond was issued based on historic averages for the St. Joseph County Hotel-Motel Tax since the Morris is a recipient of ½% of the 8% of the taxes received. A contractor will be hired with a 2024 construction date. Senate Bill 326 on the Professional Sports and Convention Development Area was signed into law and will go into effect starting 7/1/23. The portion of the Indiana Sales Tax captured each year will create up to $5 million per year will be used primarily to expand the baseball stadium. VENUES REPORT Morris Performing Arts Center Andrew Schreiber reported that Morris staff are working on quality of life upgrades such as ticket fraud prevention, seat leg room improvements, and guest feedback. Seat backs were adjusted by the contractor to give a more comfortable experience for patrons. Post-show survey emails are being sent to gather information. The Morris has four house-promoted shows to earn more income including the Rocky Horror Picture Show 10/27/23. There are 96 events booked for 2023 compared to 97 in 2022. Civic Center Board Minutes 5/22/23 Pg. 2 The Palais Royale is also being utilized for events including for an after-party for the International Jugglers’ Association in July. The 2023-2024 Broadway season has been announced including Disney’s Aladdin, Pretty Woman, Cirque Dreams Holidaze, Stomp, Little Women and Mamma Mia! The South Bend Symphony 2023-2024 season includes five Masterworks, three Pops, two Home for the Holidays concert performances and one Dia de los Muertos free community concert. Marvin Curtis, Arts Equity & Public Art Coordinator, is working on this concert. Schreiber reported on the Morris financials and the expansion project. Staff are looking at getting a large screen to show more family movies on weeks. The new plaza will have a new stage area with a fountain on each side. Staff are looking at having food truck Fridays. Century Center Schreiber highlighted major events – Notre Dame Commencement; Sunburst Race 6/3/23; Region 5 Volunteer Protection Program (630 hotel rooms); Church Ministries Conference in July; International Jugglers Association Conference (953 hotel rooms) in July. Meet Me on the Island is coming back this Summer. He reported on year-to-date financials as of 5/18/23. New kitchen equipment ($75,000) has been ordered as well as new event tables and chairs ($55,000.) The new large-scale chiller system ($110,000) is fully functional now. That was higher than the original budget and some of the other item costs have been adjusted lower. A full replacement of the water softener ($40,000) is required as the hard water created issues with faucets and bathroom utilities. The Island park pavers ($25,000), parking lot seal and striping (60,504), and entrance gate automation with ($19,496) are coming up. NEW BUSINESS ASM Global Contract Renewal Extension Perri welcomed Craig Liston, Regional Vice President of ASM Global which manages Century Center. Schreiber reviewed the ASM Global two-year renewal contract extension. The performance based incentive bonus amounts have been adjusted to not reflect 2020 – 2021 as those were off years due to the Pandemic. City Attorney Aladean DeRose stated that there were no concerns. Perri added that the renewal was for two consecutive one-year contract extensions. Greg Downes added that ASM Global has been a very positive relationship, have been very customer centered, have turned around Century Center financially and he would strongly encourage to continue the relationship with ASM Global. Greg Downes motioned to approve the ASM Global two-year renewal contract extension; A.J. Patel seconded; and motion carried. Navarre Hospitality Agreement for Food, Beverage and Catering Service Schreiber reviewed the Navarre Hospitality Agreement for Food, Beverage and Catering Service. He reported that staff are very pleased with their performance and oversight ability to operate the Palais Royale and Morris events as well as Morris concessions and backstage catering. The 3 ½ year contract renewal starts 6/1/23 and runs through 12/31/27. Two three-year extensions of the contract are included starting 1/1/28 through 12/31/30 and the second term starting 1/1/31 and terminating 12/31/33. Navarre Hospitality has agreed to front load the contract with additional funding in capital to a one-time contribution to renovate the floor and ceiling at a cost of $88,000. The revenue share on concessions will increase from 25% to 30% which will be income of $80,000 - $100,000 per year. Navarre Hospitality will continue to make payments into the Joint Licensing Fund which is used for elevator maintenance. Navarre Hospitality will be the vendor for the new VIP area and concessions in the new expansion project. There is a clause regarding high quality of food and service. City Attorney Aladean DeRose added that there is a 90-day termination clause. Discussion followed about Palais Royale customer surveys (currently not the same as the survey used at Century Center) and positive feedback on Navarre Hospitality. Customer surveys will be reviewed at the next meeting. Greg Downes motioned to approve the Navarre Hospitality Agreement for Food, Beverage and Catering Service; Jill Scicchitano seconded; and motion carried. Civic Center Board Minutes 5/22/23 Pg. 3 Invictus Security Contract Schreiber reported that the contract ends 7-1-23 with CSC, the five-year security provider at the Century Center, Morris and Palais Royale. Often there has not been an on-site manager. He reviewed the new three-year contract with Invictus Security which starts 7/1/23 and runs through 7/1/26 with a straight bill rate. Invictus Security is a local minority-owned business which is owned by two South Bend Police officers, Dave Ryans and Randy Goerling. They are currently providing police officer support for the Morris, have been patrolling the two City-owned parking garages and have been a huge help in safety. Invictus Security will cost a couple dollars more an hour than CSC; however, will have more on-site management. The front-of-house and backstage security expenses is passed directly to show promoters or renters with a marked-up rate. City Attorney Aladean DeRose commented that this is a new relationship with a new vendor contractor. Greg Downs motioned to approve the Invictus Security contract; A. J. Patel seconded; and motion carried. Discussion followed on the new entry security system for events at the Morris. Aaron Perri explained that with the new entry security system patrons are no longer required to take out keys and cell phones from pockets, open purses, and take off jackets which moves people through the system quicker, reduces wait time in line to enter the Morris, and is much more welcoming. The new system uses artificial intelligence to detect weapons. A very small number of people entering need to be pulled aside to wand. ADJOURNMENT President Perri announced that the next meeting is Thursday, 8/10/23. With no further business, President Perri adjourned the meeting at 9:10 a.m. AP: mes