please silence your cell phones · 2018-12-13 · those would need to be agendized for a future...

Board of Directors MeetingDecember 13, 2018

Please silence your cell phones

The Mission of OCFEC is…

Celebration of Orange County’s Communities, Interests, Agriculture and Heritage

(with results justifying resources expended)

5. CEO’s Operational Announcements & Updates

November 2018

Actual Budget VarianceYTD Revenue 48,556,889$ 47,133,993$ 1,422,896$ YTD Expenses 42,925,197$ 42,515,678$ (409,519)$ YTD Net Proceeds 5,631,692$ 4,618,315$ 1,013,377$

CASH & EQUIVALENT

November 30, 2018 November 30, 2017

$ 50,788,899 $ 44,989,631

JUNE 9, 2018 9:30 AM - 11:30 AM

Winter FestDecember 20-January 6

Bride World ExpoSaturday, January 5

Centennial Farm DIY – Bath Fizzies & ScrubsSaturday, January 5

Crossroads of the West Gun ShowSaturday and Sunday, Jan. 26-27

Centennial Farm Discovery DayFriday, Jan. 18

CA State Cheer & Dance ChampionshipSaturday-Sunday, Jan. 19-20

Wed.-Sun., 11a.m.-5p.mMonday-Friday: 1p.m.-4p.m.Saturday-Sunday: 9a.m.-4p.m.

Thursday, 9a.m.‐1p.m.Saturdays/Sundays, 8a.m.‐4p.m.

Speakers are requested to sign in prior to the start of the meeting andare limited to three minutes. Public comment is allowed on issuesNOT on the current Agenda. However, no debate by the Board shallbe permitted on such public comments, and no action will be takenon such public comment items at this time, as law requires formalpublic notice prior to any action on a docket item.

Comments will be accepted on Agenda items during themeeting. Speakers wishing to address the Board on items on theagenda are requested to sign in prior to the start of the meeting andidentify the agenda item[s] on which you desire to address the Board.Speakers are limited to three minutes.

6. Matters of Public Comment

A. Board Meeting held October 25, 2018Action Item

7. Minutes

8. Consent Calendar: (Policy Reference: 4.3.4)

All matters listed under Consent Calendar are operational mattersabout which the Board has governing policies, implementation ofwhich is delegated to the CEO. They will be enacted in one motionby category in the order listed below. There will be no discussion ofthese items prior to the time the Board of Directors votes on themotion, unless members of the board, staff or public request specificitems to be discussed separately and/or removed from this section.

Any member of the public who wishes to discuss Consent Calendaritems should notify the Chair of the Board, at the time requested andbe recognized by invitation of the Chair to address the Board.

9A. Committee/Ad Hoc Committee/Liaison Reports

INFORMATION ITEM:To assure compliance with the Bagley-Keene Act, Committee reportsare only for the purpose of the Committee chair, Ad Hoc Committeemembers or Liaison to provide a verbal update. Should the Boardwant to discuss any Committee work item not already on the agenda;those would need to be agendized for a future Board meeting.

i. Heroes Hall Veterans Foundation Board (Director La Belle, Chair; Vice Chair

Cervantes)

ii. Financial Monitoring Committee (Director Pham, Committee Chair; Director Mouet)

iii. Legislative Monitoring Committee (Director Aitken; Committee Chair; Chair Ruiz)

iv. Tenant Liaison Committee (Director Pham, Committee Chair; Vice Chair Cervantes)

v. Board of Directors Governing Policy Manual Review Ad Hoc Committee (Director

Bagneris, Committee Chair; Chair Ruiz)

vi. Safety & Security Committee (Chair Ruiz, Committee Chair; Vice Chair Cervantes)

9B. Brand Assessment Workshop

During its November, 2017 meeting, the Board ofDirectors approved in the 2018 operating budget funds toconduct a brand assessment project. Through acompetitive bid process, staff identified IMW Agency ofOrange County to facilitate that process. The Boardapproved IMW’s contract in May, 2018.

As part of that process, IMW will take the Board membersthrough a brand assessment workshop. Similarworkshops will also be held with key stakeholders andmembers of the community starting in early January.

Board Meeting, 12/13/18

Branding

Far more than a logo or identity, brands are the total perception of an organization’s “persona” with stakeholders from the community and marketplace.

❑ Brands evoke emotions❑ They delight us❑ Feel familiar or reliable ❑ Earn our trust❑ Distinguish us

Today, many products and services can be easily duplicated. Even a unique organization like OCFEC has multiple competitors who compete for share of mind.

The goal is to assure our stakeholders that we are remaining competitive/relevantby having brands with strongly held beliefs, associations and attitudes that will set you apart.

OCFEC Brand Assessment Project

Assignment: Conduct a qualitative assessment of the OCFEC Brands including a review of the following event/venue brands:

❑ OC Fair, Imaginology, Centennial Farm, Pacific Amphitheater,and Heroes Hall

Current Phase: DISCOVERY

❑ Research & Data Gathering❑ Stakeholder Interviews❑ Competitive Review❑ Insights & Observations❑ Preliminary Brand Assessment Report

The findings could lead to one of the following determinations:

1. No changes needed to current OCFEC brand or positioning2. Slight modifications recommended to better communicate OCFEC’s

offerings3. Changes needed to create better awareness and understanding of OCFEC

Board Questionnaire

OC Tourism Logos

Fairground Brands

Venue Logos

Imagery Association Test

9B. Brand Assessment Workshop

RECOMMENDATION:At the Board of Directors’ discretion.

9C.Review and Approve 2019 OCFEC Operating Budget & Capital / Major Projects

Staff will preset the 2019 OCFEC OperatingBudget and Capital / Major projects plan.

2019 OCFECOperating Budget

Policy 2.5 – Financial Planning & Budgeting

Financial planning for any fiscal year or the remaining part of any fiscal year will not deviate materially from the Board’s Ends priorities, risk financial jeopardy, or fail to be derived from a multi‐year plan.Accordingly, the CEO will not prepare, present or allow budgets that:

1. Risk incurring those situations or conditions described as unacceptable in the “Financial Conditions and Activities” Board policy.

2. Omit credible projection of revenues and expenses for each of the business units (Summer Fair, year‐round events/rentals, Pac Amp and Orange County Market Place), separation of capital and operational items, cash flow, and disclosure of planning assumptions.

3. Plan the expenditure in any fiscal year of more funds than are conservatively projected to be received.

4. Provide less for Board activities during the year than is set forth in the Cost of Governance policy (see policy in Governance Process).

Budget Implementation

• Fiscal year runs January through December• Budgets are created annually for each department and then

consolidated into an organization‐wide budget• Each Department Manager (Supervisor and/or Director) is

responsible for managing his/her budget• Through monthly variance reports, each department’s budget

is closely monitored

Financial Management Structure

• Budgets are created annually for departments which are summarized into five business units:

– Fair/Self Produced Events– Pacific Amphitheatre ‐ Fair– Pacific Amphitheatre ‐ Year‐Round – Year‐Round Events (includes Orange County Market Place)– Support Services (Administration, Accounting, Purchasing, HR, Facilities, Operations, etc.)

• The 58 departmental budgets are directly overseen by 15 management staff

2019 Operating Budget Organizational Initiatives

OCFEC

Facilities

People

Planning

CommunityEngagement

2019 OCFEC Self‐Produced Event Revenue

2019 PROPOSEDBUDGET

2018FORECAST

2017ACTUAL

$39,489,838 $37,420,343 $35,075,050

Primary Growth Areas:

• Pacific Amphitheatre – $1.5M (includes 2 additional year‐round shows)– Signing bonus ‐ $510K– Ticket fees ‐ $305K– Two additional shows ‐ $685K

• Carnival ‐ $166K• Concessions ‐ $109K

2019 OCFEC Rental Revenue Year‐Round Events

Growth is from parking and other services associated with Year‐Round events ($430K)• New Business Development Activities

• Classic Auto Show (March, 2019); Cirque du Soleil back in 2020 ($469K in 2018)• Year Round Parking ‐ $242K, increase of $8 to $9 (last increase was in 2016)

2019 PROPOSEDBUDGET

2018FORECAST

2017ACTUAL

Rental of Facilities $3,780,554 $3,602,080 $3,439,026

Other Event Rental Revenues (including parking, F&B, personnel, equip. rental, misc.)

$7,757,741 $7,334,111 $7,153,972

Total Rental Revenue $11,538,295 $10,936,191 $10,592,998

2019 OCFEC Operating Expenses

Primary Expense IncreasesTEMP LABOR$50K ‐ Contingency for possible recruiting difficulties for fair time seasonal positions$285K ‐ Minimum Wage increase ‐ Approximately 1190 Seasonal Employees impacted by

Minimum Wage increase

PERMANENT LABOR$626K ‐ COLA, Bargaining Unit Contracts, and open positions$720K ‐ State mandated benefits (PERS, Workers Comp, Employer Tax, Medical Insurance)PROFESSIONAL SERVICES$1.48M

2019PROPOSED BUDGET

2018FORECAST

2017ACTUAL

Labor Expenses $18,507,096 $16,852,150 $14,898,921Non Labor Expenses $24,556,729 $23,651,871 $21,291,281

Total $43,073,825 $40,504,021 $36,190,202

Professional Services ExpensesPrimary Expense Increases:

$380K Costa Mesa Police Department Services$95K Brand Assessment Project$75K New Event Production (Fall, 2019)$38K Media Placement and Promotional Services$27K HVAC Services$20K Board of Directors Governance Policy Review Consultant$20K Ticket/Box Office Systems Consultant$20K Fair Feature Exhibit$15K Timeclock System Services

2019 Out‐of‐State TravelCriteria for approval of out‐of‐state OCFEC travel:

1. Survey – An on‐the‐spot review and evaluation of an operation/function to improve/initiate a similar operation/function performed by OCFEC staff.

2. Training – Upgrading specific employee skills to meet job requirements. The need must be urgent and not reasonably available within the State.

3. Conferences and Meetings – Attendance at conferences and meetings with topics directly concerning normal departmental activities.

The 2019 operating budget includes $104,167 for employee and Board member travel/training. 32nd DAA employees will NOT travel to any States currently listed in the AB 1887 travel prohibition.

Provided that the overall travel budget has not been exceeded, out‐of‐state travel to any of the following are considered to be approved by the Board via the budget process. Any out‐of‐state trips which are not included on the following list will be individually approved by the Board.

2019 Out‐of‐State TravelSURVEY TRAINING CONFERENCES/MEETINGS

• Washington State Fair (WA)

• Other members fairs ofWestern Fairs Association

• ShowWorks Training (WY)

• Tools of the Trade (IN)

• USI Training (MO)

• IAVM Venue Mgmt. School (FL)

• Certified Meeting Professional Exam (TBD)

• IAVM Certified Venue Manager Exam (TBD)

• WFA Convention (NV)

• Midwest Fairs Conference (FL)

• Int’l Independent Showmen’s Assoc. (FL)

• HOW Design Conference (IL)

• PRSA Public Affairs Conf. (MI)

• Building Owners & Managers Assoc. (UT)

• USI Users Conference (MO)

Full Budget Summary2019 PROPOSED

BUDGET 2018 FORECAST 2017 ACTUAL

REVENUE $52,176,655 $49,280,969 $46,192,991

Labor Expenses $18,507,096 $16,852,150 $14,898,921

Non‐Labor Expenses $29,983,729 $28,252,289 $24,559,860

TOTAL EXPENSES $48,490,825 $45,104,439 $39,458,781

NET PROCEEDS $3,685,830 $4,176,530 $6,734,210

Depreciation $3,360,000 $3,300,000 $3,279,919

EBITDA $7,045,830 $7,476,530 $10,014,129

Forecasted 2019 Cash Position2018 Ending Cash Position $48.00Plus 2019 Budgeted Cash from Operations 3.70Add Depreciation 3.40Less Capitalized Projects 4.502019 Projected Ending Cash Position $50.60Liquidity Requirement (25%) $12.1Committed Capital 0.00Restricted Capital – RCS (Carnival) 0.70Total Restricted Cash $12.80

Total Cash Available $37.80

(in millions)

2019 Interest Income

DAA’s Pension Liability GASB 68 & GASB 75 (OPEB)

• GASB 68 ‐ PERS actuarial valuations of the total pension liability increased State employer contribution costs.

• GASB 75 ‐ OPEB (Other Post Employment Benefits ‐medical) liability is required to be recognized. The State Controllers Office has not released an estimate to date and no liability is recognized.

Fiscal Year OCFEC PERS Contribution

2017‐2018 28.8%

2018‐2019 31.3%

2019‐2020 34.7%

2020‐2021 36.9%

2021‐2022 38.7%

2019 Operating Budget Organizational Initiatives

OCFEC

Facilities

People

Planning

CommunityEngagement

Development and Implementation of ADA Initiatives

Physical Plant Communications Customer Service

Development and Implementation of Parking/Traffic/Storage Initiatives

Explore On‐site and Off‐site Opportunities

Develop Partnerships Engage City/County/State on Long‐Term Solutions

Development and Implementation of Environment and Energy Stewardship Initiatives

Internal Audits and Actions Energy Performance Contracting Opportunities

Environmental Opportunities

Reduce, Re‐Use, Recycle Program

Storm Water Management Program

Composting Program

Facilities

Full Site and Facility Infrastructure Assessment

Infrastructure Audit Immediate and Long‐Term Project Needs

Detailed Site Survey

Development and Implementation of Safety & Security Initiatives

JHSC Terms of Reference Workplace Inspections Emergency Preparedness Training

Procedure Development and Training

Emergency Property Utilization Initiatives

Contract, MOU, LOU Development

Training Meetings Communications

Facilities

CommunityEngagement

Initiative Project Cost

Pacific Symphony Partnership $75,000

Hatch Culinary Lab $26,600

Vanguard University Partnership $25,000

COR Music Event $25,000

Voices Storytelling Project $10,000

Community Events (various) $10,000

OC Cities Fair Engagement $3,000

Heroes Hall Fair Programming $3,000

Girl Scouts of OC Joint Event $2,500

Future Business Leaders Culinary Event $1,500

2019 Initiatives Executive OversightOrganizational Succession Plan Launch and Implementation CEO

Board of Directors Governance PolicyReview/Board Training CEO

Box Office/Ticketing Best Practices Review

VP Finance

All Grounds Facilities InfrastructureProject*

VP Operations

Planning

*It is estimated that it will take 9 – 12 months to complete the All Grounds FacilitiesInfrastructure Project. If any health and safety issues are identified from this project,assess them on a priority basis. The All Grounds Facilities Infrastructure Project resultswill be the baseline for prioritizing projects and tie into next steps for the Master Site Plandecisions and subsequently the CEQA process.

2019 Initiatives Executive OversightOCFEC Brand Assessment Project VP Business Development

A4 Skyhawk Relocation, Installation and Exhibit Launch

VP Operations, VP Business Development

Parking, Traffic and Storage Initiatives VP OperationsQuarterly updates on Storm Water Program, Fire Marshall compliance VP Operations

Preparation of RFP for Carnival/Midway Services (expires Dec. 2021) *

CEO, VP Operations

Planning

*Begin process of developing the RFP including industry research with goal of issuingthe RFP first quarter of 2020.

Fairtime Employee Retention

2017 Returning Employee Ratio

2018 Returning Employee Ratio

54% 48%

People

Unemployment DataUnemployment Rate in Orange County:

Month comparison: August 2018 3.1 %July 2018 3.2 %

Year comparison: August 2018 3.1 %August 2017 3.9 % 5 Year Average 5.2 percent %(2013 to 2018)

People

CA Unemployment Rate: 4.2% (August 2018)Lowest unemployment rate since 1976

Projected 2019 CA Unemployment Rate:Studies forecast a decrease of 0.2% in Unemployment Rate

CA Minimum Wage

OCFEC 2019 Budget ‐ $12.25 for entry level fair‐time positions

Year Wage (Hourly)

2018 $11.00

2019 $12.00

2020 $13.00

2021 $14.00

2022 $15.00

People

Fairtime Hourly 2019 Rates New Employee

3rd Year 5th Year 10th Year 15th Year

Hourly rate

($12.25)12.75 13.25 13.75 14.25

People

Temp Wage Increase for 2019 - $42K

Department Annual Base Salary (approx):

Health, Safety & Environmental Supervisor• ADA initiatives• environmental and energy stewardship initiatives• inspections, risk management

$65,000

Security & Traffic Supervisor• emergency property utilization initiatives• safety & security initiatives• oversight of 24/7 ‐ 365 seasonal workforce• coordination of event requirements

$61,000

Office Coordinator – Production and Facilities• full site & facility assessment• fair logistics• fair layout• site survey

$49,000

TOTAL: $175,000

2019 Proposed New Civil Service Positions

People

2019 Rental Rate Per Square Foot Year‐Round Events

OCFEC LA FAIRPLEX SAN DIEGO COUNTY FAIR

$$ PER SQ FT $.1215 $.1443 $.1200 in 2018(subject to change)

Exhibit Building Rental Fee Comparison• Above $$ Per Square Foot Based On Comparable/Similarly Sized

Buildings • San Diego County Fairgrounds Requires a 2‐Day Minimum Rental

Year‐Round Venue Rental Rate Increases

Proposed 2019 Proposed 2020 Proposed 2021

Buildings $50‐$75/day $50‐$75/day $50‐$75/day

Grounds $50/day $50/day $50/day

Personnel$1/hr.

(trades increase $2.50/hr.;tech & coordinator by $2)

$1/hr.(trades increase $2.50/hr.; tech & coordinator by

$1.50)

$1/hr.(trades increase $2.50/hr.; tech & coordinator by

$1.50)

Total Increased Revenue

$94,156 (2.94%) $86,631 (2.63%) $82,417 (2.44%)

• 2019 is the first year of a 3‐year rental rate plan

OC Fair Merchant Rate IncreasesProposed 2019 2018 2017

Carnival of Products $0‐$75/space Increased$0‐$75/space

Increased$50‐$100/space

Parade of Products $75/space Increased $75/space Increased $100/space

Festival of Products $50‐$75/spaceIncreased

$50‐$75/spaceIncreased

$53‐$120/space

Outside Space $50‐$75/space Increased $50‐$75/space Increased $75/space

Crafter’s Village $50‐$100/space Increased$60‐$120/space


Green Gate Village $190‐$805/space Increased$345‐$805/space


Total Increased Revenue $25,090 $31,810 $42,845

• Green Gate Village included a multi‐year plan bringing former Market Place Village merchants equal to other similar spaces

General Admission Comparison

Venue Adult General Admission

2018 General Admission:

OC Fair $12/$14

Current or 2019 General Admission:

Los Angeles County Fair $14/$20

San Diego County Fair $19

Ventura County Fair $12

Disneyland $117

Knott’s Berry Farm $82

Parking Fee ComparisonVenue Year‐Round Fairtime

OC Fair$9

(included in budget)

$10

Los Angeles County Fair $12 $15

San Diego County Fair $15 $17

Ventura County Fair $5 $10

Honda Center $20 n/a

Disneyland $20 n/a

Knott’s Berry Farm $19 n/a

The last year‐round parking increase was in 2016 from $7 to $8

2019 OC Fair Gate PromotionsDay(s) Promotion Details

Opening Day “Free ‘Til Three” Free admission and parking from Noon to 3 pm

Wednesdays We Care Wednesday (Noon – 3pm)

Free admission with donation

Thursdays Kids Days Free all day (12 and under)

Fridays Seniors Day $5 admission + free Ferris Wheel and Merry‐Go‐Round rides

Sat/Sun OC Fair Express ‐ OCTA $3 admission; OCTA direct bus $2 each way

Sat/Sun “Best Deal Ever” (11am – 1pm)

$7 general admission plus half the carnival tickets to ride

Sundays “Sunday Funday”(11am‐1pm)

Half price admissions and $35 unlimited carnival ride wristband

Full Run Children 5 and under free Free admission

Full Run Active Military and Veterans

Free admission with military ID

Final Weekend First Responders Free admission for first responders with ID

Full Run Super Pass* Presale Period 1: $30Adult/$23 Youth‐SeniorPresale Period 2: $35 Adult/$33 Youth‐SeniorRegular Price: $40 Adult/$33 Youth‐Senior

Full Budget Summary Options2019 PROPOSED

BUDGET2019 PROPOSED $2 GATE INCREASE

2019 TEMP WAGE INCREASES & NEW

POSITIONS

REVENUE $52,176,655 $52,176,655 $52,176,655

Gate Admissions Increase n/a $1,003,801 $1,003,801

TOTAL REVENUE $52,176,655 $53,180,456 $53,180,456

Labor Expenses $18,507,096 $18,507,096 $18,507,096

Permanent Wages‐new Civil Service positions n/a n/a 175,000

Returning Temp Wage Increase n/a n/a 42,000

Total Labor Expenses $18,724,096

Non‐Labor Expenses $29,983,729 $29,983,729 $29,983,729

TOTAL EXPENSES $48,490,825 $48,490,825 $48,662,825

NET PROCEEDS $3,685,830 $4,689,631 $4,517,631

Cash Flow ProjectionsWITHOUT gate admissions increase

2019 2020 2021 2022 2023CASH FLOWS FROM OPERATING EXPENSES

Excess of Expenses Over Revenues Gain/(Loss) 3,685,830 1,490,821 (821,857) (3,259,364) (5,829,324)

Non‐Cash Charges to Net Income Depreciation Exp. 3,360,000 3,493,000 3,626,000 3,759,000 3,892,000

Net Cash Provided (used) by Operating Activities 7,045,830 4,983,821 2,804,143 499,636 (1,937,324)

CASH FLOWS FROM INVESTING ACTIVITIES

Capital Projects (3,342,500) (3,342,500) (3,342,500) (3,342,500) (3,342,500)

Net Increase (Decrease) in Cash 3,703,330 1,641,321 (538,357) (2,842,864) (5,279,824)

Cash and Cash Equivalent –Beginning of Year 48,000,000 51,703,330 53,344,651 52,806,294 49,963,430

Cash and Cash Equivalent –End of Period 51,703,330 53,344,651 52,806,294 49,963,430 44,683,606

Revised 1December 2018

Cash Flow ProjectionsWITHOUT gate admissions increase


Excess of Expenses Over Revenues Gain/(Loss) 3,685,830 1,490,821 (821,857) (3,259,364) (5,829,324)


Net Cash Provided (used) by Operating Activities 7,045,830 4,983,821 2,804,143 499,636 (1,937,324)



Net Increase (Decrease) in Cash 2,545,830 483,821 (1,695,857) (4,000,364) (6,437,324)



Original

Cash Flow ProjectionsWITH gate admissions increase


Excess of Expenses Over Revenues Gain/(Loss) 4,689,631 2,494,622 181,944 (2,255,563) (4,825,523)


Net Cash Provided (used) by Operating Activities 8,049,631 5,987,622 3,807,944 1,503,437 (933,523)



Net Increase (Decrease) in Cash 4,707,131 2,645,122 465,444 (1,839,063) (4,276,023)



Revised 1December 2018

Cash Flow ProjectionsWITH gate admissions increase


Excess of Expenses Over Revenues Gain/(Loss) 4,689,631 2,494,622 181,944 (2,255,563) (4,825,523)


Net Cash Provided (used) by Operating Activities 8,049,631 5,987,622 3,807,944 1,503,437 (933,523)



Net Increase (Decrease) in Cash 3,549,631 1,487,622 (692,056) (2,996,563) (5,433,523)



Original

2019 Capital Budget2018 Carry ‐forward FY2019

Property survey 80,000

Network server 80,000

Wi‐Fi 30,000

Property Signs 100,000

Storm Water Infrastructure 300,000

2018 Carry‐forward total: 590,000

Capital Expenditure FY 2019 FY 2020 FY 2021

Building 15 HVAC ‐ replace (2) units 35,000

Costa Mesa bldg. ‐ Replace (2) units 70,000

Huntington Beach bldg. ‐ Replace (2) units 60,000

Los Alamitos bldg. office HVAC ‐ Replace (1) unit 17,000

Event Operations ‐ replace flooring 20,000

Hanger ‐ replace vestibule & office flooring 45,000

Pac Amp North Trailer Renovation 20,000

Security Compound Awning 25,000

Gate 10 landscaping renovation 40,000Pac Amp house lighting dimming system 125,000

Pac Amp Box office awning 8000 45,000

Asphalt repair action sport arena pit 50,000 60,000

Parking lot maintenance (seal / Stripe) 150,000 150,000 150,000

Repair parking Lot G (replace approx.. 150,000sq ft. @ $6.50) 900,000 400,000 300,000Exterior parking lot repairs 150,000 150,000 150,000

Interior parking lot repairs 150,000 150,000 150,000Way Finding Signage 100,000 150,000 100,000

Pac Amp roll up doors 150,000 150,000

Automatic door openers 50,000 50,000Plaza West accessibility ramp and stairs 45,000

Wash rack for animals 25,000

Parking lot lighting controls 150,000

Replace shade cloth ‐ Court Yard 50,000

Replace landscaping island at Box Office 250,000

E&E bldg. ‐ roof replacement 18,000

Hanger ‐ resurface concrete floor 90,000

Ranch bldg.‐ roof replacement 25,000

Centennial Farm Welcome Center/Gift Shop 23,000

Berm drain redesign 30,000

Gate 1 landscaping renovation 60,000

Heroes Hall Medallion replacement/repair 150,000

Ranch bldg. ‐ install trellis 35,000

Maintenance yard compactor cover 150,000Sound wall ‐ ASA 1,000,000

Replace ASA block restrooms 200,000

Capital total: 1,965,000 2,221,000 2,435,000

2019 Capital Budget

Major Project FY 2019 FY 2020 FY 2021Sky Hawk relocation 100,000Storage facility rental 200,000 200,000High mass light towers rewire ‐ B,C, D, F (internal) 10,000Security Bollards 45,000Facilities Infrastructure Review 500,000Heroes Hall keyless entry 20,000Solar charging stations 20,000Office changes ‐ administration bldg. 25,000Main gate canopy 45,000Rental building vestibule doors 40,000Replace rusted in‐grounds electrical boxes 30,000 30,000Lot P electrical upgrade 7,500 7,500Repair rental bldg. floors ‐ crack fill / polish or stain 30,000 50,000 50,000Refurbish facility restroom partition 10,000 10,000 10,000Storm Water Management 75,000 75,000 75,000Replace Millennium Barn restroom flooring 15,000Courtyard stucco color coat 35,000Repaint Pac Amp office & kitchen exterior 20,000Repaint Ranch bldg. exterior 25,000Education features in farm 250,000

Major Projects total: 1,157,500 717,500 135,000

2019 Capital Budget

Equipment FY 2019 FY 2020 FY 2021

85' Genie Boom lift 175,000IT emergency generator 450,000Forklift ‐ LP/Gas, 5000 lb. 45,000Centennial Farm Security Camera 8,000Centennial Farm PA system 5,000Folding chairs ‐ 300 units 12,000

Portable Sound monitoring 30,000Board Room AV system 30,000Key watcher system 7,000Road barrier 50,000Electrical sub‐meter monitoring system Costa Mesa bldg. 20,000Digital equipment safety circle check system 5,000Portable rolling bleachers 30,000 30,000Compactor in Main. Yard 45,000 55,000Electrical SO cord storage containers 5,500 5,500Cable ramps 10,000 10,000 10,0002 yard trash dumpsters 25,000 25,000 25,000Crowd control stanchions / carts 10,000 10,000 10,000Portable elect panels 25,000 50,000 25,000Fair Material 20,000 20,000 20,000Exhibit Equipment 50,000 50,000 50,000Picnic Tables 10,000 20,000 20,000Aluminum Barricades 15,000 20,000 20,000All grounds PA 30,000 30,000 30,000Taylor Dunn carts ‐ fleet replacement 20,000 20,000Power monitoring system 100,000 100,000Info Booths 30,000Sweeper truck 65,000

Equipment total: 1,112,500 540,500 330,000

Capital / Major / Equipment project totals: 4,235,000 3,479,000 2,900,000Contingency: 150,000 150,000 150,000

Cap‐X budget: 4,385,000 3,629,000 3,050,000

2018 Carry forward: 590,000

Capital Budget

Category 2019 2020 2021

Capital Expenditures $1,965,000 $2,221,000 $2,435,000

Major Projects $1,157,500 $717,500 $135,000

Equipment $1,112,500 $540,500 $330,000

Contingency $150,000 $150,000 $150,000

Total $4,385,000 $3,629,000 $3,050,000

2019 Capital & Major Projects

• Facility/infrastructure audit• A4 Skyhawk relocation• Storm Water Infrastructure• Bollards/vehicle barrier systems• Solar/Wind charging stations• Board Room A/V system• Emergency Generator

Multi‐Year Contracts Expiring in 2019

Type of ServiceCurrent Contract Expiration Date

Gate Security Services/Bag Check 9/30/18IATSE Payroll Service 12/31/18Grounds Cleaning Services/Refuse Collection

2/28/19

Facilities Janitorial Services 3/31/19Banners and Signs Installation 4/30/19Cash Room Security Services 6/30/19Refuse Disposal 8/14/19

2019 Operating Budget Follow Up

• Community Connections Program (Rental Relief Program)• Fair Feature Exhibit• Operating Deficits Starting in 2021• Board of Directors Governance Policy Review Consultant• Ticket/Box Office Systems Consultant• Costa Mesa Police Department Services Increases• HVAC Services• Facilities Efforts ADA/Storage• Capital/Major Projects

Thank you!Questions/Comments

9C.Review and Approve 2019 OCFEC Operating Budget & Capital / Major Projects

RECOMMENDATION:Review and approve 2019 OCFEC OperatingBudget and Capital / Major projects plan.

9D. Review and Approve Amended 32nd District Agriculture Association’s Cannabis Events Policy Language

“The 32nd District Agricultural Association (OC Fair & Event Center) does not book cannabis-related events at the OC Fair & Event Center for several reasons, including without limitation,the City of Costa Mesa’s Marijuana Ordinance and the OC Fair & Event Center’s closeproximity to schools, parks, day care centers and other areas where minors gather. This policyalso extends to existing events which are prohibited from including cannabis products oractivities, cannabis-related products or activities or drug paraphernalia during events held atthe OC Fair & Event Center. The OC Fair & Event Center does not permit any sponsor, vendoror exhibitor to include in any marketing, advertising or information for an event held at the OCFair & Event Center, any promotion, information or advertisement from cannabis dispensariesor third-parties that sell or promote cannabis-related products or drug paraphernalia. Eventsponsors, vendors and/or exhibitors may not distribute, sell or promote cannabis products,cannabis-related products or drug paraphernalia during any event at the OC Fair & Event

Center.

9D. Review and Approve Amended 32nd District Agriculture Association’s Cannabis Events Policy Language

RECOMMENDATION:Approve the amendment to the District’sCannabis Events Policy.

9E. Update on Relocation of the A4 Skyhawk Aircraft from County Facility in Santa Ana to the

OC Fair & Event CenterAt the October 25th meeting, the Board of Directorsapprove moving forward with perusing the opportunity torelocate the A4 Skyhawk aircraft from the County Facilityin Santa Ana to OC Fair & Event Center and to enter intodiscussions with the County of Orange on aMemorandum of Understanding.

Director La Belle will provide an update on this project.

RECOMMENDATION:At the Board of Directors’ discretion.

10. Closed Session

A. Pending Litigation – The Board will meet in closedsession to consult with legal counsel regarding thefollowing pending litigation. [Gov. Code section11126(e).]i. To confer with and receive advice from legal counsel

regarding potential litigation involving the 32nd DistrictAgricultural Association. Based on existing facts andcircumstances, the Board of Directors will decide whether toinitiate litigation.

ii. To confer with and receive advice from legal counselregarding potential litigation involving the 32nd DistrictAgricultural Association. Based on existing facts andcircumstances, there is significant exposure to litigationagainst the 32nd District Agricultural Association.

11. Board of Directors’ Matters of Information

OC Fair & Event Center – Costa Mesa, California

please silence your cell phones · 2018-12-13 · those would need to be agendized for a future...

Documents