Loading...
HomeMy WebLinkAbout5. MANAGERS REPORT 10/21/2008 Mount Prospect INTEROFFICE MEMORANDUM Village of Mount Prospect Mount Prospect, Illinois FROM: PUBLIC INFORMATION OFFICER tlB4 //),;1. I-o? ~. TO: VILLAGE MANAGER DATE: OCTOBER 16, 2008 SUBJECT: MEMBERSHIP IN CONVENTION & VISITORS BUREAU BACKGROUND For over 20 years, the Village of Mount Prospect has belonged to the Greater Woodfield/Chicago Northwest Convention and Visitors Bureau. Some communities may elect to pay membership fees by allocating their hotel/motel tax to the bureau. However Mount Prospect did not pay a membership fee to Greater Woodfield, the Village merely pledged population numbers for them to apply to their funding formula for the state. The Village's participation in the organization was minimal as its focus was more on the communities like Schaumburg, Hoffman Estates and Arlington Heights that had well known tourist attractions. DISCUSSION When Snow Visions, the organizers of the Snow Sculpting Competition first approached the Village in 2006 to host their event in Mount Prospect, they also contacted other organizations in the area to assist with funding the event. Chicago's North Suburbs/Prospect Heights Convention and Visitors Bureau stepped forward to donate funds toward lodging for the visiting snow sculpting teams. They inquired at the time as to Mount Prospect's interest in joining their bureau, and staff has had internal discussions regarding the benefits of membership with that Bureau as opposed to Greater Woodfield. Earlier this year, Mayor Wilks and staff met with the Pat Wharton, the Director of the Bureau and Pam Arrigoni, City Administrator of Prospect Heights, and they made a formal presentation highlighting the services and opportunities that the Chicago's North Suburbs/Prospect Heights CVB would provide to the Village. While the Chicago NorthwestIWoodfield CVB had a definite focus, staff felt that the Village would have more opportunities by working through the Chicago's North Suburbs/Prospect Heights CVB. Especially in light of the redevelopment of Randhurst, and new restaurants coming on line in the Village. Chicago's North Suburbs CVB is proposing that the Village of Mount Prospect provide a letter stating Chicago's North Suburbs is the Village's Bureau of Record for the State of Illinois, along with the ability to sell memberships to Mount Prospect hospitality businesses. Subject Date, 1998 Page 2 Because of extensive partnerships between the Village of Mount Prospect and the City of Prospect Heights a municipal membership fee will be waived. The Village of Mount Prospect currently has three hotels, numerous restaurants and retail businesses located within the Village. Currently, the Village is not represented by a regional marketing organization. Most adjacent municipalities belong to a regional CVB to market their hotels and hospitality related businesses to leisure, business and group travelers. The Village of Mount Prospect's representation by Chicago's North Suburbs Convention and Visitors Bureau allows the Village to be included in all state and regional publications, CVB publications and marketing projects. Marketing and Sales Programs through the CVB include: . Annual Visitor Guide - 65,000 produced annually and distributed to advertising inquiries, tradeshows, state welcome centers, O'Hare and Des Plaines Visitor Kiosks, hotels, attractions and restaurants. The guides contain descriptions, address, phone number, web site and pictures of CVB members. The guide costs the CVB $38,000 to produce. . Planner Packet - Distributed at tradeshows and mailed to approximately 4,000 meeting and motorcoach planners annually. The Planners Packet contains accommodations, meeting space, restaurants, attractions and meetings services information for meeting, motorcoach and SMERF planners. The original cost ofthe project was $37,000, but updates cost the CVB $7,000 annually to update. . Web Site -Member municipalities have their hospitality businesses listed on the www.chicagonorthsuburbs.com web site. The web site also contains hotel packages, attraction and restaurant promotions. New this year is the on-line option, which allows visitors to books hotel rooms directly on the web site, and the Blog section, which allows customers and residents to comment on area hotels attractions and restaurants. Web site updates and enhancements cost the CVB $10,000 annually. . Meeting and Motorcoach Advertisements -In many ofthe meeting and motorcoach advertisements member hotels have their logo and price offer listed to entice planners to call our office. Most advertisements are used to drive traffic to our web site or to call our office. Fiscal Year 09/10 ad placements include Courier Magazine, Student Youth Tour Magazine, Group Travel Leader, Package Travel Insider, Bank Travel Magazine, Motorcoach Profile Forms, Illinois Meetings and Events Magazine, Midwest Meetings Magazine, Reunion Magazine and Rejuvenation Magazine, Religious Conference Managers Resource Guide, Chicago Wedding Resource Guide. Subject Date, 1998 Page 3 . Leisure Advertisements - Most leisure advertisements are placed to drive leisure travelers to our web site or 800 number. In addition to print ads, the bureau also has on-line guides and advertisements to increase leisure travel to our member municipalities. The Village hospitality businesses are listed in all literature sent to leisure inquiries. . Direct Mail - Mount Prospect hotels and attractions will be listed in direct mail campaigns, where applicable, and are sent to motorcoach operators, group tour leaders, meeting planners, reunion planners and religious planners. Approximately 5 direct mail campaigns are conducted annually with an audience of 50,000 plus planners. . On-Line Advertising - New this year will be an on-line advertising program appearing on various travel sites such as Travelocity, Expedia, etc. RECOMMENDATION Staff recommends that the Village join Chicago's North Suburbs/Prospect Heights Convention & Visitors Bureau. There is no cost involved in the membership, it only means pledging our population to that group. By taking a more active role in a Convention and Visitor's Bureau, the Village will have an expanded audience for promoting local events and businesses and another outlet for our marketing program. Maura EI Metennani Public Information officer Mount Prospect Public Works Department INTEROFFICE MEMORANDUM TO: DIRECTOR OF PUBLIC WORKS GLEN R. ANDLER 1J(j~ /0., ;4/-0'8' ~ FROM: STREETS & BUILDINGS SUPERINTENDENT DATE: OCTOBER 7, 2008 SUBJECT: 2008/2009 ROAD SALT CONTRACT - STATE BID ACCEPTANCE ($83,746) BACKGROUND In the past we routinely purchased road salt for our winter snow and ice control efforts through the State of Illinois Joint Purchasing Program. In 2007/2008 we opted out of the State salt purchase to try to get better pricing and better guaranteed deliveries. However, there proved to be no advantage in a separate bid; deliveries and pricing were similar to the State program. Consequently, staff has elected to participate with the State Joint Purchasing Contract for the upcoming 2008/2009 snow season. Our salt request application was submitted on April 25, 2008 and we were one of the lucky communities to receive a bid on the first State contract award. Several area municipalities received no bids from salt vendors and have been forced to find salt on the open market. Some are paying in excess of $130 per ton. Based on the last two years usage of 5,700 and 6,716 tons respectively, we decided to increase our annual request from 4,000 tons to 5,400 tons. With the State contract we are required to order 70% (3,780 tons) and may go over up to 130% (7,020 tons) if needed and supplies are available, without a penalty or increase in price. By increasing our annual request to 5,400 tons we should have enough salt for an average season and up to and including last years record snows. The current prediction for snow this season is slightly above average amounts with average to slightly colder temperatures. The state contract for road salt was awarded to the Cargill Incorporated Salt Division, in North Olmsted, OH. Cargill has had the low bid in past years and performed satisfactorily. As in the past, deliveries are guaranteed not to exceed seven calendar days from time of order to actual delivery. The rate is $64.42 per ton, delivered ~ last years rate was $45.81 per ton, a 40% increase from last year. There were several reasons for the large price increase compared to last years pricing. Transportation cost increases (barge and truck operating costs) and declining local salt stockpiles due to last years major snow storms in the mid-west and east coast, being the most significant reasons. We anticipate that we will use approximately 4,000 tons of salt this winter. By contract we are obligated to purchase 3,780 tons (70% of our estimated request). On the next page is a chart of salt costs, usage and total dollars expended for the past four years. Page two... 2008/2009 ROAD SALT CONTRACT OCTOBER 8, 2008 Snow Season Supplier Cost/Ton Tons Total Expended Purchased 2004/2005 North $30.64 3,778 $115,748.22 American Salt 2005/2006 North $33.57 3,494 $117,301.63 American Salt 2006/2007 North $44.66 5,700 $254,562.00 American Salt 2007/2008 North $45.81 6,716 $358,536.02 * American Salt *Not all salt was purchased at $45.81/ton in 2008. During the salt shortage prices were substantially higher, up to $165.00/ton RECOMMENDATION It is my recommendation that the Village participate in the State of Illinois Joint Purchasing Program for road salt during the 2008/2009-winter season and enter into a contract for to supply road salt with Cargill Incorporated Salt Division of North Olmstead, Ohio. Purchases for the remainder of 2008 are estimated at $83,746 (1,300 tons) and the 2009 purchase will be in the amount approved by the Village Board. Allocated funds for road salt procurement in the 2008 budget have already been depleted. Consequently, a budget amendment will be necessary to facilitate the proposed expenditure ($83,746). ~ Glen . ndl Director of Public Works QJ GJWWJ Paul Bures Superintendent of Streets & Buildings pb c: Director of Public Works Glen R. Andler Deputy Director of Public Works Selin P. Dorsey file