GALLATIN COUNTY FAIR BOARD
APRIL 21, 2009 MINUTES
As approved at the May 19, 2009 meeting.
ATTENDANCE:
Fair Board Members Present: Chris Budeski, Dennis Farnham, Linda Warner, Jeff Wade and Chuck Busta
Absent Fair Board Members: Bob Brekke, Misty Radue
County Commissioner: Joe Skinner - Absent
4H Agent: None
Fairgrounds Foundation: No members present
Bozeman Roundup Rodeo: No committee members present
Staff: Sue Shockley, Manager and Linda Blomback, Secretary
Guests: Mike Harris - Open Lands
Tim Stefan, Marc Louw & Rob Pertzborn - BAHA
Public: Sonja Berg
CALL TO ORDER: Chris Budeski called the meeting to order at 5:32 pm.
PUBLIC COMMENT: None
APPROVAL OF MINUTES: Linda Warner moved to approve the minutes of the March 25, 2009 meeting. Chuck Busta seconded. Unanimous for. None against. Motion carried.
COUNTY COMMISSION UPDATE: None
FAIRGROUNDS FOUNDATION UPDATE: None
4H UPDATE: None
GUEST PRESENTATIONS:
A. Kristi Wetsch from Career Transitions who runs the Farmers’ Market expressed concern over the 150% increase in the rental fees without being notified in advance. They have had to raise their vendors’ fees and the vendors are worried that the Fairgrounds are trying to get rid of them. In the past, the City kept increasing their rates until they had to leave. She would like the Fair Board to consider a 5-year contract. Chris Budeski explained that the Pricing Committee looked at the complete cost of the facility and with the Farmers’ Market $200 rental fee the Fairgrounds was losing money. He stated that there shouldn’t be another big jump because the Haynes Pavilion rent is now in line with other Fairgrounds’ facilities. Chris also stated that the Fairgrounds needs to continue to strive to make money on facilities even though the Fairgrounds are non-profit and that it is a perfect venue for the Farmers’ Market. Kristi agreed. Dennis Farnham agreed that the Fair
Board could look into a 5-year contract with the Farmers’ Market. Chris invited Kristi to come back in the fall to discuss a 5-year contract.
B. Tim Stefan, Marc Louw and Rob Pertzborn with Bozeman Amateur Hockey Association requested approval of an addition to the Haynes Pavilion (Locker Room E) in the northwest corner of the building. The purpose of the addition was the need for another locker room. The new locker room would be the Ice Dogs “home” so they could get rid of the Ice Dogs trailer. They also stated that when the second sheet of ice is built, this locker room could become a daycare facility. The addition would be 1200 sq ft with office space, restroom, shower and locker room (see Haynes Pavilion Locker Room Addition handout). It works well with the master plan. An intern at Martel Construction has estimated that it would cost $105,594. They also told the Board that a good facility will draw in good coaches which make good players like one of the Ice Dogs that is going professional soon. A good facility makes a great recruiting tool. The Fairgrounds could also use the showers in the
summer and also hold meetings in the room. They will be using Gallatin Ice Foundation funds along with in-kind donations. They would like to start ASAP, but will not be working during the Fair and hope to be completed by their first game. Chris Budeski asked if one person will be in charge and they responded that yes, Martel Construction would possibly be the General Contractor. Chris also asked if BAHA was anticipating asking the Fair Board to put the cost of the addition in the BAHA contract toward future rent? Tim said yes, it’s a $100,000 improvement that will also benefit the Fairgrounds across the board.
DECISION ITEMS:
A. Chuck Busta made a motion to recommend the Fair Board approve the plan (for the locker room addition) contingent on city approving the plans and that guarantees construction would not interfere with planned Fairgrounds activities. Dennis seconded. Tim Stefan asked that there be a completion date added and suggested a four-month completion date from start of construction. Chuck suggested they finish by Thanksgiving. Tim agreed to the four months as long as they get started.
Chuck Busta made an amended motion to recommend the Fair Board approve the plans contingent on city approving the plans and that construction schedule does not interfere with any planned Fairgrounds events and that they negotiate a completion date after permitting is approved. Dennis Farnham seconded.
Discussion followed with Sue Shockley saying there will be other events other than the Fair that may affect the construction schedule like the Montana State High School Rodeo Finals in June and Farmers’ Market. Tim said they will be out side of the building during construction. Chris Budeski asked that they designate someone to update the Fair Board. Tim Stefan volunteered to keep the Board updated. Sue mentioned that the Fair Board is working on the BAHA rental contract. Dennis Farnham called for question. Unanimous for. None against. Motion carried.
B. 2009-2010 Budget – A meeting needs to be set up to have Fair Board approve the budget before it goes to the Commissioners. Chris suggested May 5 for going through the budget. Sue reported that Ed Blackman with County Finance is cutting $69,000 from the Fairgrounds operating budget and $62,000 or 1 staff positions. Sue said she has met with Ed to look at options as she can’t lose 1 people and it will be hard to cut $69,000. Ed said he is not cutting the Fairgrounds mils, but thinks the Fairgrounds need to increase their non-tax items. The special Fair Board budget meeting was set for April 30 at 6pm.
C. Open Space Deed – Mike Harris asked if there were any questions about the Open Space Deed? Tim Stefan asked if the recreational use had been changed and Sue stated that yes, it had been changed. Chuck Busta made a motion that the Fair Board approve the Open Lands Deed. Linda Warner seconded. Four members for. One member, Dennis Farnham, abstained. Motion carried.
Chuck Busta left for hour.
D. Special Fair Board Meeting regarding WinterFest, April 30 at 5:30. Sue said that since the WinterFest only made $6,000 that the Board needs to decide if it’s worth having it again. Linda Warner commented on the time conflict with the budget meeting. The Board agreed to meet on April 30 at 5:30pm to discuss WinterFest and then continue to meet at 6:30pm to discuss the budget. Sue will send out justification numbers for the WinterFest.
Note: Chris Budeski left the meeting at this time so Dennis Farnham took over the meeting. (With no quorum the board continued with committee reports until Chuck returned).
Once Chuck returned the Board continued with Decision Items:
E. Reconsider rental rates for 2009-2010. Jeff commented that the county will be cutting 12 people total which is a result of the Commissioners not raising taxes. Sue said the we usually raise our rental rates 5% each year, but the Board chose to freeze the prices for 2009-2010 except for the Haynes and concerts. She said due to the economy, she is requesting that the Fairgrounds raise the rental rates. Chuck commented that the 5% will not make up $120,000. Sue agreed that it won’t, but it will help. Sue said that the WinterFest made $6,000 but the Fairgrounds would save $26,000 by not having it. She also said that the Fairgrounds could have one-day events that could make $6,000 and that the Fairgrounds
also needs to cut costs. Dennis asked how much revenue would be brought in with a 5% increase? Sue said that $300,000 in rental revenue would equal $15,000. She also commented that the increase would cause some events to go away but then the Fairgrounds would save on labor. Chuck asked if it would affect ticketed events? Sue said no because there is a $1/ticket in place but it would affect building rent. Sue reported that the Fair made $94,000 last year and that no one event will be able to make up the budget difference. The Fairgrounds is going to start charging for everything they do like cleaning up after concerts.
Dennis Farnham made a motion that the Fair Board increase rental rates by 5%. Chuck Busta seconded. During discussion Sue mentioned that the Fairgrounds at least has some options. Other departments don’t have the option to make more money. Unanimous for. None against. Motion carried.
COMMITTEE REPORTS:
A. 2009 Fair and Bozeman Roundup: Sue said that a concert could bring in $40,000 for the Fair and they are trying to get John Michael Montgomery. Linda Warner and Dennis Farnham are scheduled to paint the numbers on the seats in the grandstand the first week of June.
B. Contract Committee: Sue said they had their first meeting with BAHA and they want credit for work done. She also said Ed Blackman is interested in the BAHA and baseball contracts to be able to get more money from them. There was a question about baseball having games during the Fair. Sue said they are supposed to get their schedule approved through the Fair Board, but they never do. Dennis asked if the baseball contact is signed and Sue said yes. Dennis recommended that they pull the contract and look at what it says about baseball games during the Fair.
C. Capital Improvement Committee: Sue reported that the HKM contract was finally approved today. Sue said that there is some confusion with County Grants Administration.
D. Policy/Bylaws Committee: Sue reported that the County Administrator, Earl Mathers, will facilitate the May 2 meeting to work on establishing proper goals and to work on regenerating policies and procedures. It will take 4-5 hours. Sue will let the committee know the time of the meeting once she talks to Earl.
E. Parking Committee: No Report, but Sue commented that this Committee needs to meet.
F. Pricing Committee: Misty Radue is now off the Pricing Committee and Chuck Busta is on.
G. Grounds Safety Committee: Meeting set for May 20, 7am, Holiday Inn. Sue will contact whoever needs to be there.
H. Volunteer Committee: Sue reported that the committee is making progress.
I. Marketing Committee: Jeff reported that there is a meeting at noon tomorrow to discuss the newsletter that will promote the web site. Sue said that some of the office staff met with IT and Joe Skinner about having our own separate web site and that she will have a proposal from a web designer for the meeting tomorrow.
J. WinterFest Committee: Already covered.
CORRESPONDENCE: Sue has emailed any correspondence to the Board.
MANAGER’S REPORT: Sue had emailed out updates throughout the month.
FINANCIAL REPORT: None
DISCUSSION ITEMS:
A. Concession stand update – Sue reported that Sally Shea has been working on behalf of the High School Rodeo and has gotten almost everything donated. We have to take out one of the overhead doors and put in block and a window that has a slider. We will need a hood and range. It will cost $20,000 for a brand new range, grill, and fire suppression and $5,000 to install. Fire Suppression is giving us leads and Bob Arrotta with Pepsi is also looking into possibilities. Dennis asked if we will get money back from the overhead door? Sue said the company doesn’t have use for it anymore. We will need to sell it. Chuck asked how fundraising is going. Sue said Jaime has raised $10,000 so far for
the Fair and that Jaime went to a seminar on fundraising in Helena. Jaime has also met with the Fairgrounds Foundation about the Event Center and asked if they would pay her a commission if she found donors for the Event Center.
B. 2009 Legislative Issues - $302,000 stimulus money for restrooms. Sue hasn’t heard anything from Commissioners or from the State yet.
C. Discussion and clarification on Fair Board members’ responsibilities during Signature Events – Included in policy/bylaws meeting.
D. County Audit Review of Fairgrounds procedures – Not back from Jennifer yet.
E. Update on charging for parking at large Fairgrounds events – Dennis reported that money is needed to get started to purchase vests, flashlights, etc. Chuck said he would ask NW Energy to donate the vests and flashlights. Sue said we need to contact the Boy Scouts, Optimists, Lions Clubs and Farmers’ Market. She has a staff member running the numbers to see if we could pay someone. Dennis said the Optimists want to do it with Dennis overseeing their involvement.
F. Personnel – Sue reported that the Fairgrounds has a good team working outside and inside. She is not sure where she could cut someone. Ginger is doing a great job at half time although the front office is missing another person to cover in the office. Sue said she met with the FACT committee, County Accounting and County Auditor to discuss changing our bookkeeping system and figuring out how to put our barter on the books.
G. RFP for Alcohol Vendor – Sue reported that we have been talking about the RFP but nothing is happening. There was discussion about current vendors using volunteers to sell alcohol and problems with “fly-by-night” vendors. It was also mentioned that if staff was used to sell drink tickets the Fairgrounds would have a better accounting of what was sold. It was decided to re-create the committee with Jeff, Chuck, Dennis and Sue and a meeting was set for April 29, 6:30am at the Holiday Inn. Sue will bring the documents needed.
H. Fairgrounds Business Plan – Can we use left over money from Storm Water Plan to hire someone to do this for us? – Linda Warner asked how much was left over. Sue said $16,000 was leftover and that she has worked on the business plan with Karlene’s husband in the past. Sue said it is something that needs to get done and that with Ginger doing better profit/loss reports we could possibly do it ourselves. Linda asked if the money could be used for retention ponds? Sue said it could be used to grade property or put in culverts.
I. Haynes and BAHA Update – Already covered.
J. Changes to Fairgrounds General Lease Agreement – tabled until after Policy Committee reviews.
K. Other items not on agenda –
a. Dennis asked about the Pepsi and Coke pour rights. Sue said that she needs to meet with them. They would like the same number of products, i.e. 5 Coke products and 5 Pepsi products, but there is no room for 10 products. She suggested that we use Pepsi at the concession stand for a set time and then Coke for the same amount of time. People using the concession stand would need to buy the product from the Fairgrounds who have bought it from Pepsi and Coke.
b. Dennis asked how the new mechanic is doing. Sue said that he is the best mechanic and has saved us so much money although he gets frustrated with the operations guys but is working with them. Bob is a great fabricator and has made a rack for us to put the 150 chairs that we received from the City. He has also got the lawn mowers up and running.
ANNOUNCEMENTS: None
AGENDA ITEMS FOR NEXT MONTH’S MEETING: Policy Committee Report, Contract Committee Report and Fair Board members missing meetings.
NEXT MEETING DATE: May 19, 5:30pm
ADJOURNMENT: Meeting adjourned at 7:30pm.
Respectfully Submitted,
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