HomeMy WebLinkAbout08.26.1999COUNCIL WORK SESSION
August 26, 1999
9:00 a.m.
Council Chambers
Members present: Mayor John Rooff, Getty, Jordan, Krizek, Gronen, Collier, Anders.
Members absent: Murphy.
Moved by Jordan, seconded by Gronen that the Agenda, as proposed, be approved. Ayes: Six.
Absent: Murphy. Motion carried.
Mayor Rooff stated that the purpose for today's meeting is to determine where the Waterloo
Convention and Visitors Bureau and the Waterloo Chamber of Commerce are with discussion on
separation of the Convention and Visitors Bureau from the Chamber of Commerce and to focus
on a specific date to accomplish the separation. Mayor Rooff commented that the council would
like to move forward on the separation very soon.
Scott Nelson, member of the Waterloo Chamber of Commerce, updated the council on the
progress of the Transition Committee appointed by Mayor Rooff on the separation of the
Waterloo Convention and Visitors Bureau (CVB) from the Waterloo Chamber of Commerce.
Mr. Nelson reported that the Chamber of Commerce Ad Hoc Committee and the Transition
Committee have held two joint meetings. Ross Christiansen chaired the first meeting, and he
asked Mr. Nelson to take over the chair. The committees are working on an agreement between
the city, CVB and the Waterloo Chamber of Commerce. Mr. Nelson stated that on June 30,
1998, the Chamber of Commerce, the CVB and the city reached an agreement to separate CVB
from the Chamber of Commerce as a separate, legal entity by January 1, 2000 or "sooner." The
Transition Committee met separately prior to meeting with the Chamber of Commerce Ad Hoc
Committee. On July 7, 1999 the first joint Transition Committee and Chamber of Commerce Ad
Hoc Committee was held, with little if any consensus. The next joint meeting scheduled for
August 3, 1999 was canceled due to vacations, etc. Mr. Nelson stated that he asked the Chamber
Ad Hoc Committee to meet separately to identify feelings they were trying to do in the joint
meeting. A meeting was held on August 11, 1999, and after two hours there seemed to be a
common ground. A resolution was drafted on August 11, 1999 calling for a separate, legal entity
of the CVB. Mr. Nelson reported that the draft resolution has not gone back to the joint
committee.
Mr. Nelson reported that they are in the process of redrafting the By -Laws and Articles of
Incorporation for CVB to follow the spirit of the draft resolution. The Transition Committee and
Chamber Ad Hoc Committee agreed that this was the path they would follow and recommend to
the council. The joint committee has not seen the draft resolution and proposed By -Laws and
Articles of Incorporation. The new CVB would be able to change the By -Laws, if necessary.
The next joint meeting is scheduled for September 2, 1999 to review the proposed resolution, By -
Laws and Articles of Incorporation.
Mr. Nelson stated that the joint committee still needs to create an operating agreement between
the Chamber of Commerce, CVB and the city. Mr. Nelson stated that CVB will receive the
hotel/motel tax funds, and he would like the taxes to be used as efficiently as possible. Mr_
Nelson commented that a working relationship between CVB and the Chamber of Commerce is
good for the entire city. Mr. Nelson stated that there is nothing wrong with sharing, such as
office space, staff, etc., and he would like to see some sort of continued working relationship
because of the joint purposes of CVB and the Chamber. The proposed 15 member board
proposed in the draft resolution is the group that will be responsible for the new CVB, and the
operating agreement will talk about other things. The new CVB will be responsible for
expenditure of the hotel/motel tax dollars.
Mr. Nelson asked the council to let the joint committees finish their work and come back to the
council with an entire package including the resolution, By -Laws, Articles of Incorporation and
operating agreement. Mr. Nelson stated that there is no reason the committees cannot come up
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August 26, 1999
Page 2
with a complete package by the end of September. If not by the end of September, it is unlikely
they will come to a consensus.
Mayor Rooff stated that the city would like the resolution to be brought back to the council by
September 23, 1999.
Councilperson Anders stated that he would like to have a council work session prior to the
resolution being placed on the council agenda to review the information.
Mayor Rooff stated that one of the questions that came up was should the city control CVBs
budget and require council approval of the budget, appoint CVBs staff and put CVB on the city's
payroll. The city felt it was best to leave that decision to the people who bring citizens to our
hotels. Mayor Rooff stated that the resolution creates a 15 member board comprised of five
representatives from the city, five representatives from the Chamber of Commerce and five
representatives appointed by CVB_ Mayor Rooff stated that the city would like the committees to
reach a consensus on the members of the board. Mayor Rooff commented that the other question
is who manages CVB. Does the city by resolution still appoint management of CVB.
Mr. Nelson stated that a deadline of September 23, 1999 will help the committees. Mr. Nelson
stated that the Board of Directors will manage CVB, such as hiring. Mr. Nelson commented that
the fact that they are having problems should not affect the entire future. Mr. Nelson stated that
they need to better define that relationship and move forward.
Bruce Meisinger, Finance Manager, stated that the day-to-day operations and long-term planning
will be governed by the Board of Directors, but it was felt that it was important that financial and
budgetary accountability be brought back to the council. CVB will be required at the end of the
year to report expenditures of previous year. Mr. Meisinger stated that hotel/motel tax funds will
go directly to the new CVB for their management. Mr. Meisinger reported that allocation of
hotel/motel tax fiznd proceeds will continue as currently specified in Ordinance No. 4052, and that
the process does not change and cannot change without an amendment of the ordinance.
Councilperson Krizek asked if the Transition Committee had come to a consensus prior to
meeting with Chamber of Commerce Ad Hoc Committee. Mr. Meisinger stated that there was a
consensus at that point of the process, but there were some changes in viewpoint when presented
to the joint committees.
Councilperson Krizek stated that the city has always reviewed CVBs budget, marketing plan and
allocation of hotel/motel taxes. Councilperson Krizek stated that CVB is going to be a separate,
legal entity but the agreement and funding will be governed by the board. Councilperson Krizek
noted that the original board consisted of people from historic background, tourism, etc.
Councilperson Krizek asked if the draft resolution changes the makeup of the board, and that
usually the city appoints the board. Mayor Rooff stated that no official action is taken by the
council on the appointment of the board.
Mr. Meisinger stated that the current contract allocates the hotel/motel tax funds to the Chamber,
and that the agreement needs to be changed to allocate the funds to the new CVB.
Councilperson Getty stated that he would like the draft resolution, By -Laws, Articles of
Incorporation and agreement ready by September 20, 1999 and between September 20 and
September 27, 1999 hold a council work session so that the resolution can be placed on the
council agenda of September 27, 1999. Councilperson Krizek stated that she would like the
separation completed by September 30, 1999.
Councilperson Krizek stated that there is a Search Committee in the process of hiring a new
director for CVB, and she asked who will hire the new director, the city, CVB or the Chamber of
Commerce. Councilperson Krizek feels CVB should hire the new director. Mr. Nelson stated
that ultimately the new board will do the hiring. Councilperson Krizek stated that if a new
director is going to be hired, the new entity should be involved in the process.
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August 26, 1999
Page 3
Councilperson Getty stated that he hopes they will wait until the new board is in place to hire.
Mr. Nelson stated that he was not aware of the hiring process. Mr. Nelson stated that we need to
adopt the resolution creating CVB as a separate entity so that the Articles of Incorporation can be
filed with the Secretary of State, appoint the board and hire the new director.
Mayor Rooff stated that Mr. Nelson needs to take those items back to the committees.
Councilperson Anders commented that it makes no sense to proceed with hiring a new director,
but to let the new board do the hiring.
Mr. Nelson stated that there have been general discussions on who should serve on the new
board. Mr. Nelson stated that he would like to complete the By -Laws, Articles of Incorporation
and new operating agreement. Mr. Nelson stated he would like a committee of the new board to
do interviews for the new director.
Mayor Rooff stated that Mr. Nelson should take back to the joint committees that he feels the
new board should be involved in the hiring process.
With no further business before the committee, it was moved by Getty, seconded by Jordan that
the meeting be adjourned at 9:50 a.m. Ayes: Six. Absent: Murphy. Motion carried.
Nancy Eckert
City Clerk