Feb 25, 2025 Visit McKinney

TAKE TWO.

[00:00:04]

[CALL TO ORDER]

TODAY IS TUESDAY, FEBRUARY 25TH, 2025, AND IT IS 8:15 AM THE FOLLOWING BOARD MEMBERS ARE PRESENT.

BRIAN MEDINA, PATRICK MCGUIRE, WHITNEY NASH, JILL BARNES, WYNDHAM, AND MYSELF.

WE ARE JOINED BY CITY COUNCILMAN JUSTIN BUTLER, CITY STAFF.

PAUL GRIMES, CITY MANAGER.

MIKE KOWSKI, MEDC, PRESIDENT.

AND CHRIS WILKES, MCDC, BOARD LIAISON.

VISIT MCKINNEY.

STAFF PRESIDENT ARE ERIN WERNER, ALICIA HOLMBERG, EMILY MYRICK, AND PAULA MARTIN.

WE ARE TAKING TIME FOR PUBLIC COMMENTS ON AGENDA ITEMS. NO ONE FROM THE PUBLIC IS PRESENT AND THERE ARE NO FURTHER REQUESTS TO SPEAK.

SO WE'LL MOVE TO CONSENT ITEMS.

[CONSENT ITEMS]

MAY I GET A MOTION TO APPROVE THE MINUTES? I MAKE A MOTION.

WE HAVE A MOTION BY PATRICK MCGUIRE.

MAY I GET A SECOND MOTION? I'LL SECOND.

DID THAT COME FROM BRIAN ? WE GOT A SECOND FROM BRIAN MEDINA.

UH, PLEASE CAST YOUR VOTE.

ALL RIGHT.

MOTION PASSED.

MOVING TO BOARD

[Board and Liaison Reports City of McKinney MEDC MCDC McKinney Main Street / MPAC McKinney Parks and Recreation Visit McKinney Finance Committee Visit McKinney Marketing Committee]

TWO FIVE DASH 2 4 7 2.

CITY OF MCKINNEY, PAUL GRIMES, CITY MANAGER.

AND THANK YOU FOR BEARING WITH ME WHILE I FIGURE ALL THIS OUT.

.

NO PROBLEM.

GOOD MORNING, MADAM CHAIR, MEMBERS OF THE BOARD, MR. EXECUTIVE DIRECTOR.

MY NAME IS PAUL GRIMES, CITY MANAGER.

FEW ITEMS TO SHARE WITH YOU THIS MORNING.

UH, IT'S A LITTLE DIFFERENT, DIFFERENT SETUP HERE, SO I'M TRYING TO FIGURE OUT HOW TO .

YEAH.

UM, WORK THIS OUT.

I GUESS I'LL JUST HOLD IT.

.

UM, A FEW ITEMS. UH, SO AS YOU ALL KNOW, KIMBERLY FLOM, ASSISTANT CITY MANAGER, IS LEAVING VERY SOON.

HER LAST DAY IS, I BELIEVE MARCH 4TH.

AND SHE IS GONNA BE A CITY MANAGER IN HER HOMETOWN.

SORT OF, IT'S HER HOME STATE FOR SURE, BUT SHE CAME HERE FROM DE PERE, WISCONSIN.

WE HIRED HER.

SHE DID AN OUTSTANDING JOB HERE.

NOW SHE'S GONNA GO BACK AND BE A CITY MANAGER IN THE TOWN THAT SHE CAME FROM.

SO, UH, AND IT'S A GREAT OPPORTUNITY FOR HER AND HER FAMILY.

THEY'RE, THEY'RE ALL FROM WISCONSIN AND SO ONCE A CHEESE HEAD, ALWAYS A CHEESE HEAD , AS THEY SAY, PERHAPS.

UM, ANYWAY, WE ARE IN THE PROCESS OF REPLACING HER POSITION.

WE HAD AN, UH, FIRST ROUND OF INTERVIEWS OF OUR SEMI-FINALISTS.

WE HAD SIX OUTSTANDING CANDIDATES.

WE HAD 160 APPLICANTS FOR THE POSITION, UH, NATIONWIDE SEARCH.

UM, WE HAD, LIKE I SAID, SIX OUTSTANDING CANDIDATES.

WE'VE NOW NARROWED IT DOWN TO THREE AND OUR, UH, FINAL INTERVIEWS WILL BE ON MARCH 4TH.

UM, AND THEN FROM THAT POINT, WE WILL MAKE A SELECTION FOR WHO, UH, KIM'S REPLACEMENT WILL BE, UH, FOR ASSISTANT CITY MANAGER.

SO, UH, WE'RE MAKING OUR WAY THROUGH THAT PROCESS.

UM, WE ARE LOOKING TO HAVE, RIGHT NOW WE'VE PENCILED IN APRIL 19TH, WHICH IS A SATURDAY FOR SORT OF A GRAND OPENING OF CITY HALL.

MM.

UM, WE'RE GONNA DO THIS, I THINK, UH, OUR COMMUNITY GARDEN, UH, FOLKS ACROSS THE WAY BY TUFTS ARE GONNA HAVE SOMETHING AS WELL ON THAT DAY.

UM, SO IT SHOULD BE KIND OF A FUN FESTIVAL EVENT, FESTIVE EVENT, I SHOULD SAY.

UM, UH, ON THE 19TH THAT IS RIGHT BEFORE EARLY VOTING, SO WE SHOULDN'T HAVE TO BE COMPETING WITH CAMPAIGN SIGNS EITHER YET.

UH, AT THAT TIME, A COUPLE OF OTHER ITEMS TO SHARE WITH YOU HERE.

SO WE WILL BE, I WILL BE PARTICIPATING IN, BUT UH, WE WILL BE HOSTING IN MCKINNEY, THE NORTH COLLIN COUNTY, NORTH COLLIN COUNTY NEIGHBORHOOD CONFERENCE.

THIS WILL BE AT THE MISD CONFERENCE CENTER COMMUNITY EVENT CENTER, WHICH IS ALSO KNOWN AS THE FOOTBALL STADIUM.

UM, AND THAT WILL BE SATURDAY, MARCH 8TH FROM 9 45 IN THE MORNING TO 1:00 PM AND I BELIEVE THE LAST ITEM I WANTED TO MENTION ON HERE IS, YES, I COULD NOT GO WITHOUT MENTIONING THE IMPENDING RETIREMENT OF PAUL SPARKMAN.

SO FOR THOSE OF YOU WHO KNOW, PAUL PAUL'S BEEN WITH THE CITY OF MCKINNEY FOR 37 YEARS, THE ASSISTANT DIRECTOR FOR PUBLIC WORKS.

HE'S THERE FOR EVERY EVENT PLANNING CLEANUPS IF YOU HAVE STORMS, MOVE THROUGH.

AND WE GOT LIMBS DOWN, MY FIRST TEXT TO PAUL SPARKMAN, 'CAUSE HE'LL HAVE HIS CREWS OUT THERE IN NO TIME WORKING AND, AND, UH, SERVING THE COMMUNITY.

AND PAUL HAS BEEN AN UNBELIEVABLY DEDICATED PUBLIC SERVANT FOR, FOR ALL THESE YEARS.

AND HE'S DECIDED IT'S TIME FOR HIM TO HANG IT UP, SO TO SPEAK.

AND, UH, HE'LL BE GREATLY MISSED.

BUT WE WILL CERTAINLY AT THE NEXT COUNCIL MEETING ON MARCH 4TH, WE'LL GIVE HIM A PUBLIC SENDOFF AS WELL, JUST AS WE'VE DONE WITH

[00:05:01]

SO, UH, WITH THAT I WILL STAND FOR ANY QUESTIONS.

WHAT'S THE POPULATION? I DON'T HAVE THE NUMBER TODAY.

NO, THIS LAST I SAW WAS 225,000, BUT, UM, I'LL TRY TO HAVE THAT FOR THE NEXT ONE.

.

ANYONE ELSE? OKAY.

THANKS SO MUCH.

ALL RIGHT, THANK YOU, PAUL.

CITY COUNCILMAN.

UM, BELLA, DO YOU HAVE ANYTHING FOR US? OKAY.

ALL RIGHT.

WE'LL MOVE ON TO MIKE KAKI, EDC.

GOOD MORNING, MADAM CHAIR.

BOARD MEMBERS, MR. EXECUTIVE DIRECTOR.

UM, MY FIRST TIME PRESENTING HERE, SO I'M GONNA PRACTICE AS LIKE PAUL, LOOK AT THE LAY OF THE LAND HERE.

YOU MAY HAVE HEARD THE CITY OF ALLEN ANNOUNCED A POTENTIAL NEW PROJECT, KALAHARI RESORT.

THAT'S GOOD FOR MCKINNEY, RIGHT? MM.

UM, IT HELPS INSPIRE MORE HOTELS, MORE ANCILLARY USES TO SUPPORT THAT USE.

I HAVE A LUNCH WITH DAN BOWMAN, THE PRESIDENT OF ALLEN'S EDC, IN ABOUT A WEEK AND A HALF TO GET THE FULL SCOOP ON IT.

BUT, UH, YOU KNOW, WE ALWAYS CHEER ON OUR NEIGHBORS AS THEY DO GREAT STUFF AS WELL.

UH, SOME MORE TO COME ON THAT WITH CONVENTION CENTERS.

OVERALL, I GET MORE CALLS ON THAT THAN YOU CAN IMAGINE.

SO WE'RE SEEING MORE INTEREST IN CONVENTION SPACES AND EVENT SPACES IN THE CITY OF MCKINNEY.

SO STAY TUNED FOR MORE, UH, INFORMATION ON THAT.

I WILL ALSO ADD THAT WE ARE IN BYRON NELSON PLANNING OVERALL.

THE BYRON NELSON FOR US IS EDC.

WE HOST A SUITE, UH, FOR ALL FOUR DAYS.

WE INVITE MANY, MANY PEOPLE TO COME FROM AROUND THE COUNTRY TO VISIT US.

AND THE INTEREST HAS BEEN OVERWHELMING.

UH, IN FACT, THE GOVERNOR'S OFFICE, TEXAS, EDC, UH, THEY WHO RUN ECONOMIC DEVELOPMENT FOR THE ENTIRE STATE, THEY NAMED THREE SIGNATURE EVENTS FOR THEIR ENTIRE CALENDAR YEAR.

UH, THE KENTUCKY DERBY, NCAA FINAL FOUR, AND THE BYRON NELSON.

SO THEY WILL HAVE REPRESENTATIVES THERE AT OUR BYRON NELSON, UH, FROM THE GOVERNOR'S OFFICE.

SO IT'S A BIG WIN FOR MCKINNEY OVERALL.

IF YOU WANNA LEARN MORE ABOUT WHAT WE'RE DOING WITH THE MEDC, I ENCOURAGE YOU TO WATCH A VIDEO FROM, UH, LAST WEEK BE FEBRUARY 18TH.

MM-HMM .

WE HAD A JOINT MEETING WITH THE CITY COUNCIL WHERE I OUTLINED EVERYTHING WE'RE WORKING ON FOR 2025 AND CELEBRATED 2024.

UH, SO WITH THAT, I WILL STAND FOR ANY QUESTIONS.

QUESTION I SAW ON THE NEWS ABOUT A RESORT IN MCKINNEY.

IS THAT SOMETHING IN MCKINNEY? MCKINNEY IS COMING, RIGHT? YES, SIR.

SO THAT'S THE CANNON BEACH.

OKAY.

A SURF RESORT.

OKAY.

YOU MAY HAVE SEEN THE SURFING COMPONENT OF IT, BUT DON'T FORGET THERE'S A BIG HOTEL COMPONENT AS WELL.

MM-HMM .

150 ROOMS, PLUS OR MINUS, LET'S SAY 15,000 SQUARE FEET OF EVENT SPACE INSIDE THERE ON THE BEACH.

SO RIGHT ACROSS THE STREET FOR WHERE THEY ANNOUNCED THE KALAHARI PROJECT, THERE WAS SOME COOL SYNERGY THERE AS WELL.

MM, OKAY.

THANKS.

AND IN FACT, A VIDEO, I JUST GOT A VIDEO FROM OUR FOLKS IN MESA WHO ARE DEVELOPING THAT PROJECT THERE.

THEY'RE OPEN AND OPERATIONAL.

THEY HAD A LINE OF OVER A HUNDRED PEOPLE THERE IN THE MIDDLE OF THE DAY ON SUNDAY WAITING TO GET INTO THE SURF PARK BECAUSE THEY'RE AT CAPACITY.

AND IT'S BEEN OPEN NOW FOR THREE WEEKS, A MONTH PERHAPS.

SO THAT'S REALLY SHOWING.

GOOD.

GOOD.

YEAH.

ALRIGHT.

THANK YOU.

THANK YOU.

THANK YOU.

CHRIS WILKES WITH MCDC.

GOOD MORNING.

MORNING.

CHRIS WILKES, MCDC.

I SHALL START BY AGREEING WITH PAUL THAT WE NEED SOMETHING HERE.

SO MCDC, UH, REPORT FROM CINDY.

I'LL GO OVER SOME OF THE THINGS IN THAT.

FIRST OF ALL, WE WRAPPED UP THE PROMOTIONAL AND COMMUNITY GRANTS AT THE LAST BOARD MEETING, AND I WANT TO HIGHLIGHT WHAT YOU KNOW, WHAT THAT'S ABOUT.

UM, SO THE GRANTS PROVIDE FINANCIAL SUPPORT NOT TO EXCEED $15,000 PER GRANT FOR INITIATIVES AND ACTIVITIES AND EVENTS THAT SHOWCASE MCKINNEY TO PROMOTE TOURISM IMPORTANT TO THIS BOARD, UH, AND OR DEVELOP NEW OR EXPANDED BUSINESS OPPORTUNITIES AND ENHANCE THE QUALITY OF LIFE FOR MCKINNEY RESIDENCES.

SO WE ENDED UP GRANTING, I DIDN'T COUNT THEM.

THERE'S PROBABLY A DOZEN ON HERE, UM, THAT YOU'LL HAVE IN THE REPORT FROM CINDY.

AND THEY, UH, UH, RANGE FROM MILLHOUSE FOUNDATION TO, UH, THE MCKINNEY, UH, ASIAN, UH, FESTIVAL TO EMPTY BOWLS.

UM, THIS IS MY OPINION, A VERY SMALL DOLLAR AMOUNT THAT HAS A BIG TOUCH FOR, UH, THE PEOPLE OF MCKINNEY.

UH, LOTS OF VARIETY AND THE TYPE OF EVENTS THAT, THAT WE HELP WITH.

AND AS A PROMOTIONAL GRANT OF, YOU KNOW, LESS THAN 15,000, IT, IT, IT MEANS A LOT TO THEM THAT THEY CAN PROMOTE THOSE EVENTS.

SO, UH, THAT WAS WRAPPED UP LAST MONTH.

UH, WE ARE NOW IN THE MIDDLE OF THE PROJECT GRANT CYCLE AND WE HAVE 8 1 2, 3, 4, 5, 6, 7, 8 PROJECTS THAT ARE UNDER CONSIDERATION.

UM, THEY, UH, YOU KNOW, RANGE ALL OVER.

[00:10:01]

OKAY.

THEN WE ARE NOW TAKING APPLICATIONS FOR THE RETAIL, UH, INFRASTRUCTURE APPLICATIONS.

SORRY, OUR FIRST HEARING IS ON THAT.

APPLICATIONS WERE ACCEPTED UP THROUGH JANUARY 31ST.

AND SO WE'LL BE ADDRESSING RETAIL INFRASTRUCTURE GRANTS.

AND THOSE PRESENTATIONS, UH, WILL BE MADE.

UH, THERE'S THREE OF THOSE THAT'LL BE MADE AT THE NEXT BOARD MEETING ON THURSDAY.

ALSO ON THE REPORT, THERE ARE A LOT OF UPCOMING EVENTS THAT WE ARE HELPING SPONSOR ON HERE.

UM, THERE'S ABOUT 12 OF THEM JUST IN THE MONTHS OF FEBRUARY AND MARCH.

SO THAT'S WHAT'S GOING ON AT MCDC.

I WILL STAND FOR ANY QUESTIONS.

NO QUESTIONS.

ALL RIGHT.

OKAY.

YOU, YOU, CHRIS.

THANK YOU.

OKAY.

WE'LL BE MOVING ON TO THE, UH, VISIT MCKINNEY FINANCE COMMITTEE.

BUT RIGHT BEFORE THIS, I WOULD LIKE TO JUST MAKE AN ANNOUNCEMENT, UM, AFTER CONVERSATIONS WITH BOTH PARTIES, UM, ABOUT LIFE AND HOW BUSY SOME THINGS CAN BE, UH, WE HAVE MADE THE DECISION TO PASS THE TORCH FROM PATRICK TO KEITH GA, UH, FOR TREASURER AND FINANCE CHAIR.

SO EVERYBODY KNOWS GOOD ALICIA WILL NOW PRESENT.

GOOD MORNING.

HOW IS EVERYONE TODAY? GOOD.

UH, WE'RE JUST GONNA BRIEFLY GO OVER OUR FINANCES AND GET THOSE.

OKAY.

ON OUR FIRST, THE FIRST SHEET HERE THAT WE USUALLY SHOW, THE BALANCE SHEET, UM, THE ONLY THING WE USUALLY TOUCH ON HERE IS THE, UM, THAT FIRST NUMBER THERE, THE 72,000.

UH, THAT'S THE REVENUE FROM OUR STORE.

SO, UM, AS YOU CAN EXPECT, JANUARY'S KIND OF A SLOW MONTH FOR RETAIL.

UH, SO IT WAS JUST A, A QUIETER MONTH FOR US AFTER THE HOLIDAYS, BUT WE ANTICIPATE AS WE GET CLOSER INTO THE SPRING THAT THINGS WILL KIND OF BOUNCE BACK.

UM, THERE.

SO ON OUR NEXT PAGE HERE, WE HAVE, THIS IS, UM, OUR SUMMARY OF WHERE WE ARE IN OUR BUDGET.

WE'RE 33% COMPLETE, UM, THROUGH OUR YEAR.

UM, AND THE, UH, COLUMNS OF NOTE THERE ARE THE SERVICES IN SUNDRY, UM, WHICH IS ABOUT MIDWAY DOWN THE PAGE.

YOU'LL SEE WE HAVE SPENT ABOUT, UM, 34, 30 5% OF THAT.

THAT'S THE BULK OF OUR BUDGET THAT HAS ALL OF OUR MARKETING, UM, ANY KIND OF CONTRACTS AND THINGS IN THAT.

SO WE ARE ON TRACK THERE.

WE, AS WE'VE TOLD YOU, EVERY MONTH, WE DID A LOT OF PAULA WORKED ON ENCUMBERING.

A LOT OF THOSE FUNDS THAT WE KNOW ARE GOING TO BE, UM, TAKEN OUT THROUGHOUT THE YEAR.

SO WE MAKE SURE THAT WE STAY WITHIN OUR BUDGET.

UM, WE'VE BEEN DOING SOME NEW THINGS INTERNALLY MEETING, UH, ABOUT BUDGET.

PAULA HAS, THIS IS HER FIRST NOW FULL YEAR WHERE IT WASN'T A SPLIT OF SOMEONE ELSE TOUCHING, YOU KNOW, WHEN SHE STARTED SOMEONE ELSE MANAGING THE BUDGET.

SO SHE'S TAKING FULL OWNERSHIP OF THAT AND HELPING ALL OF THE REST OF US STAY ON TRACK.

AND WE'RE INTERNALLY MEETING, UM, TO MAKE SURE THAT WE'RE ALL, UH, ON THE SAME PAGE AND WHERE WE ARE WITH OUR SPENDING SO WE CAN STAY UNDER BUDGET AND MAKE SURE THAT WE'RE, UM, YOU KNOW, DOING THE MOST WITH OUR MONEY, WHAT WE HAVE AND NOT GOING OVER.

SO THAT'S WHERE WE ARE WITH OUR BUDGETS.

WE'RE ON TRACK FOR THAT.

UM, SO HERE'S OUR HOTEL OCCUPANCY REVENUE.

YOU CAN SEE FOUR JANUARY.

UM, WE HAD ABOUT $22,000, UM, REPORTED IN, WHICH IS JUST SLIGHTLY UP FROM LAST YEAR.

SO WE'RE ABOUT 1% UP FROM LAST YEAR, WHICH IS GOOD.

UM, AGAIN, FOR, UH, JANUARY, SLOWER, SLOWER TIME, NOT PEOPLE, NOT QUITE BOOKING AS MUCH, BUT WE ARE STILL ON TRACK TO BE, UH, ABOVE WHAT WE WERE FOR LAST YEAR'S FISCAL YEAR.

SO WE'RE, WE'RE GOOD WITH THAT.

THAT'S WITH THE ADDITION OF THE, UM, DENISON HOTEL AS WELL AS ADDED IN THERE.

UM, THEY DO, THEY ARE REPORTING THEIR FULL OF ROOM AMOUNT.

YOU'LL SEE, I THINK ON THE NEXT SLIDE.

UM, THEY'RE FULL 102 ROOMS, BUT THEY'RE NOT QUITE BOOKING THAT MANY YET.

SO THERE IS, YOU KNOW, ROOM FOR THEM TO GROW THERE.

SO HOPEFULLY AS THEY CONTINUE TO GET THE WORD OUT AND WE TRY AND GET THE WORD OUT ABOUT THEM, THAT WE'LL SEE SOME MORE PICKUP FROM, FROM THE DENISON, AND THAT'LL HELP OUR, OUR NUMBERS GO UP AS WELL.

GO TO THE NEXT SLIDE OF THE NEXT REPORT.

YEAH, SO THIS REPORT, UM, THIS IS JUST A REPORT OF ALL OF EVERY, UH, EVERY HOTEL AND, UM, AIRBNB AND THINGS THAT ARE REPORTING THEIR SPECIFIC NUMBERS.

UH, I KNOW IT'S KIND OF HARD TO SEE, MAYBE ON YOUR SCREEN YOU CAN SEE IT BETTER, BUT THE DENISON IS JUST, UM, A LITTLE WAYS DOWN,

[00:15:01]

AND YOU CAN SEE WHERE THEY SHOW, UH, 102 ROOMS AND THE ROOM NIGHTS AVAILABLE WERE, UH, 31 62, BUT THEY ONLY BOOKED THAT 684 FOR THE MONTH, UM, ROOM NIGHT.

SO YOU CAN SEE WHERE THEY HAVE SOME ROOM TO GROW.

UM, SO HOPEFULLY WE'LL SEE THAT BUMP UP AGAIN WHEN THIS, AS THE SPRING COMES.

AND OUR LAST DOCUMENT IS OUR, UM, STAR REPORT THAT WE SEE EVERY MONTH TO SHOW OUR OCCUPANCY.

UM, THIS IS SHOWING THAT WE HAD FIT PRETTY FLAT COMPARED TO LAST YEAR.

WE'RE, WE WERE NOTICING IN OUR, UM, FINANCE COMMITTEE YESTERDAY MORNING THAT THERE MIGHT BE SOME ISSUES.

WE MIGHT HAVE TO CHECK WITH STAR BECAUSE IF YOU LOOK AT LAST YEAR'S NUMBERS FROM TIER 1, 2, 3, UM, UH, THEY ARE A LITTLE BIT LOWER THAN THIS YEAR'S, BUT YET IT'S SHOWING THE TOTAL WAS A LITTLE LOWER, JUST SLIGHTLY LOWER.

SO THERE MIGHT BE SOMETHING OFF THERE SO WE CAN CHECK IN WITH THEM TO SEE IF, IF THAT'S ACCURATE NUMBER, IF THERE WAS, UM, SOME KIND OF MISTAKE THERE.

SO, UM, BUT EVEN IF IT'S NOT A MISTAKE, WE'RE STILL FLAT IS OKAY.

BETTER THAN BEING TOO FAR DOWN.

UM, AND IF THAT IS THE ACCURATE NUMBER, WE WOULD BE JUST BELOW, UM, PLANO AND FRISCO.

UM, WHICH THAT'S PROBABLY THE FIRST TIME THAT'S HAPPENED FOR US.

BUT AGAIN, WE'LL DOUBLE CHECK ON THAT.

'CAUSE IF YOU'RE LOOKING AT THE MATH, IT DOESN'T QUITE ADD UP.

SO, UM, THAT WAS A GOOD NOTE PATRICK CAUGHT YESTERDAY IN OUR, IN OUR FINANCE COMMITTEE MEETING.

SO WE'LL TAKE A, WE'LL TAKE A DOUBLE CHECK ON THAT.

UM, BUT THAT'S ALL I HAVE FOR YOU TODAY, AND I'LL STAND FOR ANY QUESTIONS, ANYONE.

THANK YOU.

ALL RIGHT, THANKS, ALICIA.

OKAY, VISIT MCKINNEY MARKETING COMMITTEE, BRIAN MEDINA.

GREAT, THANK YOU.

UH, WE HAD A GREAT, UH, MEETING YESTERDAY.

UH, SOME OF THE KEY THINGS THAT WE DISCUSSED, UH, WE WELCOMED EMILY TO THE TEAM, SO WE'RE EXCITED TO HAVE EMILY GO FROM PART-TIME TO FULL-TIME.

SHE'S ALREADY DOING SOME GREAT THINGS, CONTENT CALENDARS AND THINGS OF THAT SORT.

UH, THE SOCIAL MEDIA NUMBERS ARE LOOKING GOOD, UH, HOLDING STRONG.

UM, HAD ROUGHLY 1200 NEW FOLLOWERS ON INSTAGRAM.

AND THEN, UH, IN DECEMBER, THE FOOTBALL TURN, UH, FOOTBALL GAME, UH, REALLY DROVE SOME GREAT TRAFFIC FOR THE, UM, ON OUR FACEBOOK PAGE.

UM, UH, THE WEBSITE, UH, THE TEAM'S WORKING WITH A, A SIMPLE VIEW, SO THEY'RE GONNA BE START IMPLEMENTING THEIR, UH, SOCIAL MEDIA STRATEGY.

SO WE'RE EXCITED TO SEE HOW THAT WILL CONTINUE TO HELP, UH, ORGANIC TRAFFIC FOR THE SITE.

UM, NEWSLETTERS GETTING GREAT, UH, TRACTION AND OPEN RATES.

THE VISIT WIDGET PLATFORM IS JUST, AGAIN, ANOTHER TOOL THAT'S DRIVING, YOU KNOW, UH, ACTIONS A AMONGST TOWN.

AND THEN, UH, AARON WILL PROBABLY TALK ON A LITTLE BIT MORE ABOUT THE PR AGENCY ON HOW THINGS ARE GOING WITH WEIR STEWART, BUT SOME REALLY COOL THINGS ARE ON THE HORIZON FOR THAT.

SO THAT'S WHAT'S, UH, GOING ON IN THE MARKETING DEPARTMENT.

OKAY, THANK YOU, BRIAN.

ANY QUESTIONS FROM ANYONE? OKAY.

WE'LL MOVE ON

[Executive Director’s Report]

ITEM TWO FIVE DASH 24 7 3 EXECUTIVE DIRECTOR'S REPORT WITH AARON WERNER.

ALRIGHT, THANK YOU MADAM CHAIR.

UH, A FEW QUICK COMMENTS FOR, UH, THE BOARD THIS MORNING.

UM, JUST TO START THOUGH, I WANTED TO, UH, TALK ABOUT CITY HALL AND, UM, JUST, IT'S KIND OF A MONUMENTAL MOMENT TO ACTUALLY BE IN THIS BUILDING, UH, AS CITY STAFF TO, TO WATCH THE PROJECT GO UP.

BUT THERE, THERE ARE SO MANY, UM, THANK YOUS THAT NEED TO GO AROUND, UH, ESPECIALLY OUR CITY SECRETARY'S OFFICE, OUR ADMINS LIKE PAULA, WHO ARE FIGURING OUT ALL THE BEHIND THE SCENES FOR US AND FIGURING OUT HOW TO MAKE ALL OF THIS WORK.

AND SO I JUST WANTED TO MAKE SURE THAT, UM, WE PASSED ALONG THOSE THANK YOU CITY COUNCIL, CITY MANAGER'S OFFICE HAD THE VISION FOR THE PROJECT YEARS AGO AND HAVE BEEN, UM, UH, FIGHTING FOR IT FOR THAT LONG.

AND, UM, IT'S A PRETTY COOL THING TO SEE, AND WE'RE EXCITED TO KICK IT OFF AND WATCH ALL THE GREAT THINGS THAT HAPPENED IN THIS BUILDING FOR THE NEXT FEW DECADES.

UH, 2025 STARTED OFF KIND OF FAST AND FURIOUS FOR US.

THERE'S A LOT, UH, COMING UP.

UH, THE, THE SOONEST EVENT THAT WE HAVE COMING UP IS THE TEXAS OPEN, UH, BY, UH, PPA PROFESSIONAL PICKLEBALL ASSOCIATION THAT IS TAKING PLACE MARCH 12TH THROUGH THE 16TH.

SO RIGHT BEFORE SPRING BREAK OVER AT THE COURTS OF MCKINNEY, IT'S A, UH, 1500, UM, UH, PLAYERS, APPROXIMATELY 3000 ATTENDEES PER DAY.

UH, THIS IS A TELEVISED EVENT WITH RAISED, UM, STADIUM SEATING BUILT OUT AROUND THE COURTS AND VIP SECTIONS AND ALL THE THINGS.

SO, UM, A REALLY COOL EVENT.

ANOTHER GREAT WAY TO SHOWCASE MCKINNEY, NOT ONLY, UM, UH, HERE LOCALLY, UH, FROM A PICKLEBALL STANDPOINT, BUT INTERNATIONALLY FOR PEOPLE WHO FOLLOW THE SPORT.

UH, SOME OF THE TOP FIVE PLAYERS, TOP 10 PLAYERS IN THE WORLD WILL, UM, BE IN ATTENDANCE COMPETING IN HERE IN MCKINNEY, TEXAS.

SO, UM, UH, WE'LL BE SENDING OUT MORE INFORMATION TO OUR BOARD, UH, ABOUT THAT EVENT, UM, JUST THIS WEEK.

SO STAY TUNED.

UH, IMMEDIATELY FOLLOWING THAT IN APRIL, WE HAVE THE INTERNATIONAL GIRLS CUP, AN EVENT WE'VE ACTUALLY BEEN WORKING ON FOR A COUPLE YEARS TO, UH, FULLY SECURE IN MCKINNEY.

UH, ONE OF THE, THE BIGGEST HURDLES IN THAT WAS GETTING PHASE ONE OF CRAIG RANCH SOCCER COMPLETE.

UM, SO WE HAVE A, UH, UM, A REALLY STATE-OF-THE-ART FACILITY CURRENTLY OVER AT CRAIG RANCH SOCCER.

WE HAVE MORE PEOPLE WANTING

[00:20:01]

UM, IN FACT, PHASE TWO OF THAT PROJECT GOES ON THE COUNCIL AGENDA FOR, UM, CONSTRUCTION APPROVAL AT THE NEXT COUNCIL MEETING.

SO, UM, IT IS RIGHT AROUND THE CORNER, BUT THAT ONE IS, UH, AGAIN, INTERNATIONAL.

IT'S YOUTH, UH, YOUTH GIRLS SOCCER, A BIG KICKOFF PARTY OVER AT TUFTS BREWERY, UM, BEFORE THE EVENT STARTS.

AND, AND THEY EXPECT 3,500 PEOPLE, UH, TO COME AND GO TO THAT EVENT.

AND, UM, WE'RE, WE'RE EXCITED TO SEE IT HAPPEN.

AND THEN LITERALLY, LIKE A WEEK AFTER THAT IS THE BYRON NELSON.

AND SO OUR TEAM IS ALSO WORKING ON THE, UM, CITY SIDE OF THE PLANNING FOR THE BYRON NELSON.

UH, TYPICALLY WE DO A BOOTH.

UM, YOU'VE ALL SEEN US AT OUR BOOTH.

WE'RE WORKING WITH THE BYRON STAFF CURRENTLY.

IN FACT, I THINK WE MEET LATER TODAY, UM, TO, TO TALK ABOUT SOME POTENTIAL CHANGES IN HOW WE OPERATE THAT BOOTH AND MAYBE, UH, A DIFFERENT WAY TO REPRESENT MCKINNEY WHILE WE'RE OUT ON SITE.

AND SO WE'VE BEEN WORKING WITH THE, THE TEAM AND HOPE TO HAVE EVERYTHING FINALIZED AND MOVE FORWARD WITH OUR PLANNING.

SORRY, I'VE BEEN, UH, FIGHTING A LITTLE BIT OF A COLD, SO, EXCUSE ME.

UM, STAFFING.

SO STAFFING CHANGES OVER THE PAST, UH, COUPLE MONTHS SINCE, UM, DECEMBER, WE DID, UM, HAVE A, UH, PART-TIME POSITION THAT OPENED UP AND WE HAD OUR DIGITAL, UH, UH, COMMUNICATIONS COORDINATOR OPEN.

UM, UH, IT WAS ALREADY ANNOUNCED, BUT I'M REALLY EXCITED TO OFFICIALLY ANNOUNCE FROM MY SEAT.

UH, EMILY MYRICK HAS BEEN PROMOTED TO OUR DIGITAL, UH, COMMUNICATIONS COORDINATOR FROM HER, UH, STAFF ASSISTANT ROLE.

SO, UM, SHE'S, LIKE BRIAN SAID, SHE'S JUMPED RIGHT IN.

AND, AND YESTERDAY WAS TECHNICALLY HER OFFICIAL FIRST DAY IN THE NEW POSITION.

AND SO IT'S ALWAYS EXCITING TO SEE, UH, PEOPLE MOVE UP IN THE ORGANIZATION.

UM, SHE WAS ALREADY A GREAT PART OF THE TEAM, AND NOW SHE'S JUST GOT SOME NEW RESPONSIBILITIES, SO EXCITED TO WATCH HER, UH, GROW THERE.

UM, WE ALSO REHIRED, UH, A PAST EMPLOYEE FOR ONE OF OUR PART-TIME POSITIONS.

SO AMY BERTINO IS BACK ON OUR TEAM.

AND SO IN A SEASON WHERE WE COULD HAVE HAD A FEW NEW FACES, WE FEEL LIKE WE ARE RIGHT BACK AT HOME.

AND SO, UH, WE'RE EXCITED TO, UH, TO BE PUTTING OUR TEAM BACK TOGETHER A LITTLE BIT.

AND WE, WE HAVE ONE POSITION THAT WE'RE GETTING READY TO INTERVIEW FOR, AND WE'LL BE BACK TO FULLY STAFFED.

UM, BUT DURING THOSE TIMES, UH, THAT MEANS THAT THERE'S MORE WORK ON, UM, THE OTHER STAFF MEMBERS.

AND SO, UH, AGAIN, JUST KUDOS TO OUR TEAM.

WE, I COULDN'T DO WHAT I DO, UH, WITHOUT A STRONG TEAM BEHIND ME.

UM, PAULA, WITH THE, UH, STAFF ASSISTANT SUPPORT THROUGHOUT THE, UH, UH, TIME BEING SHORT STAFFED, THAT WHAT, WHAT ALICIA MENTIONED ON THE BUDGET AND ALL THE THINGS SHE'S DOING, UM, BETH, UH, RUNNING SOCIAL MEDIA WHILE WE WERE DOWN IN PERSON FOR, UH, OVER A MONTH, UH, MORE LIKE TWO MONTHS, I THINK IS HOW LONG SHE, SHE TOOK ON THOSE DUTIES.

AGAIN, ALICIA, UH, LEADING OUR TEAM, UH, UH, WHILE I WAS GONE.

I ACTUALLY HAVE TRAVELED FOUR TIMES, UM, SINCE MID-JANUARY, AND THAT MEANS I'M NOT IN THE OFFICE.

AND, UH, AND SO SHE IS AT THE HELM BACK HOME.

UM, AND SO IT'S, UH, IT'S BEEN A BUSY, UH, BUSY MONTH FOR US.

UM, AND THEN LASTLY, I'LL JUST TOUCH ON THE WEIR STEWARD PROJECT.

UM, WE ARE, UH, NEARING THE END OF PHASE ONE OF OUR PROJECT WITH WEIR STEWARD, OUR AGENCY OF RECORD, UH, WORKING ON A BRAND POSITIONING PROJECT.

UM, SO WE'RE REALLY WORKING ON THE WORDING PART OF HOW WE TALK ABOUT VISIT MCKINNEY AND WHAT TYPE OF CAMPAIGN MESSAGING WE USE.

WE'RE REALLY EXCITED ABOUT WHERE WE'RE AT WITH THEM.

UM, PHASE TWO WILL BE ROLLING INTO CREATIVE ONCE WE GET SOME OF THAT PACKAGE TOGETHER, WHERE YOU GET THE, THE BRAND POSITIONING CREATIVE TOGETHER, WE WILL BE BRINGING IT FORWARD, UM, TO SHOW THE FULL BOARD.

UM, BUT MARKETING COMMITTEE HAS BEEN A HUGE HELP, UH, THROUGHOUT THE PROCESS OF JUST KIND OF KEEPING THEIR EYE ON IT AND, UM, GIVING US ADVICE.

AND I'LL STAND FOR ANY QUESTIONS? NONE.

ALL RIGHT.

THANKS, ERIN.

THANK YOU.

OKAY, MOVING ON TO REGULAR AGENDA

[Consider/Discuss/Act on the Festival & Event Hotel Occupancy Tax Grant Policy and Procedure Updates]

CONSIDER DISCUSS, ACT ON THE FESTIVAL AND EVENT, HOTEL OCCUPANCY, TAX GRANT POLICY AND PROCEDURE UPDATES.

AND I BELIEVE THIS GOES TO WHITNEY.

THANK YOU.

SO THE GRANT COMMITTEE HAS MET, UH, THREE TIMES WITH STAFF TO REVIEW THE CURRENT GRANT PROCESS, UH, WITH A LOT OF WORK BY THE STAFF TO REVIEW AND BENCHMARK WHAT OTHERS IN THE CVB SPACE ARE DOING.

WE'VE COME UP WITH A PROPOSAL FOR HOW TO HANDLE GRANTS MOVING FORWARD.

I'LL TURN IT OVER TO STAFF TO PRESENT THE PROPOSAL.

ALL RIGHT, THANK YOU, VICE CHAIR.

UM, FOR THE RECORD, AGAIN, AARON WARNER, EXECUTIVE DIRECTOR OF VISIT MCKINNEY.

I'M GOING TO GO THROUGH A FEW SLIDES TO, UM, SHOW THE FULL BOARD SOME OF THE RECOMMENDATIONS FROM, UH, THE, UH, GRANT COMMITTEE AND OUR STAFF.

UH, AGAIN, HUGE THANKS TO, UM, THE COMMITTEE.

UH, IT WAS, UH, WHITNEY NASH, KEITH GALL, BRIAN MEDINA, AND THEN OF COURSE, OUR TEAM.

WE MET, I WANT TO SAY THREE TIMES, UH, SINCE THE COMMITTEE WAS PUT TOGETHER.

UM, THE FIRST MEETING, IN FACT, MAYBE, MAYBE MEETING AND A HALF, WAS JUST DIVING INTO A LOT OF DATA.

UM, WE'VE BEEN DOING THIS GRANT PROGRAM SINCE 2021, UM,

[00:25:01]

AND, UM, SO WE HAVE A LOT OF DATA TO LOOK AT AS FAR AS, UM, HOW IT'S BEEN UTILIZED BY OUR PARTNERS.

DOES IT MEET THE MISSION OF, UH, VISIT MCKINNEY AND DOESN'T MEET THE STATE REGULATIONS ON HOW HOT TAX IS UTILIZED? UM, AND SO I DID PUT A QUICK NOTE UP HERE JUST AS A REMINDER AND FOR THE RECORD, THAT VISIT, WELL, WHICH ONE SECOND? .

OKAY.

OKAY.

IT'S OKAY.

THERE IT IS.

VISIT MCKINNEY, UH, IS, UH, DBA, OUR FULL NAME, ACTUALLY, IT'S MCKINNEY CONVENTION AND VISITORS BUREAU, IF YOU EVER SEE THAT, WE ARE FUNDED, UH, BY THE CITY OF MCKINNEY VIA A PORTION OF THE LOCAL HOTEL OCCUPANCY TAX.

WE CALL IT HOT TAX IN THE INDUSTRY, UM, WHICH IS COLLECTED FROM OVERNIGHT ACCOMMODATION.

SO EVERY TIME SOMEONE STAYS IN MCKINNEY, UM, 7% STAYS WITH THE CITY.

IN THE END, WE GET A PORTION OF THAT TO FUND OUR DEPARTMENT.

UM, THE VISIT MCKINNEY FESTIVAL AND EVENT HOT GRANT APPLICATIONS HAVE TO ADHERE TO THE STATE REQUIREMENTS, UM, AS WELL AS ADDITIONAL, UH, REQUIREMENTS IMPLEMENTED BY THE VISIT MCKINNEY BOARD STATE REQUIREMENTS FOR HOT TAX USAGE.

THIS IS A VERY SHORT, UH, DESCRIPTION OF WHAT IT IS, BUT WE CALL IT THE TEXAS TWO STEP.

THERE'S A LOT OF INFORMATION THAT GOES INTO, IN DETAIL ON EACH OF THESE, BUT, UM, WHAT THAT LOOKS LIKE IS CRITERIA ONE, EVERY EXPENDITURE MUST DIRECTLY ENHANCE AND PROMOTE TOURISM IN THE CONVENTION AND HOTEL INDUSTRY.

SO IF IT MEETS THAT, THEN YOU HAVE TO GO TO, UH, STEP TWO, WHICH IS EVERY EXPENDITURE OF THE HOTEL OCCUPANCY TAX MUST CLEARLY FIT INTO ONE OF THE NINE STATUTORILY PROVIDED CATEGORIES FOR EXPENDITURE OF LOCAL HOTEL OCCUPANCY TAX REVENUES.

I DON'T HAVE THE NINE LISTED TODAY, UM, BUT THAT IS SOMETHING THAT SCOTT JOLO, WHEN HE MET WITH OUR BOARD, UH, LAST YEAR IN 2024, HE SPOKE ABOUT, UM, TO US, UM, AGAIN, SCOTT JOSS LOVE, UH, TEXAS HOTEL AND LODGING ASSOCIATION, THEY ESSENTIALLY HELPED WRITE THE HOT TAX, UH, BILLS FOR THE STATE OF TEXAS.

UH, THIS PARAGRAPH RIGHT HERE IS DIRECTLY PULLED FROM, UM, THAT, UH, INFORMATION.

AND IT SAYS, IF THE FUNDED EVENT OR FACILITY IS NOT RESPONSIBLY LIKELY TO DIRECTLY ENHANCE TOURISM IN THE HOTEL AND CONVENTION INDUSTRY, THE LOCAL HOTEL OCCUPANCY TAX REVENUES CANNOT LEGALLY FUND IT.

MM-HMM .

HOWEVER, IT IS IMPORTANT TO NOTE THAT EVENTS AND FACILITIES THAT DO NOT QUAL, UH, QUALIFY FOR HOTEL OCCUPANCY TAX FUNDING ARE OFTEN STILL LEGALLY ELIGIBLE FOR CITY FUNDING FROM MOST OF THE OTHER FUNDING SOURCES AVAILABLE FROM THE CITY GENERAL PROPERTY TAX REVENUES, GENERAL SALES, TAX REVENUES, FRANCHISE FEES, ET CETERA.

UM, A GOOD EXAMPLE OF THIS WOULD BE LIKE, UH, WHAT, UM, MR. WILKES TALKED ABOUT WITH THE MCDC GRANT, UM, THAT THAT DOES HAVE A PORTION OF THE MISSION THAT DOES TALK ABOUT TOURISM IN THERE, BUT IT IS NOT TIED TO HOTEL MOTEL, UM, UH, HOT TAX.

AND SO, UH, STATE LAWS ARE STRICTER IN TERMS OF HOW LOCAL, UH, HOTEL OCCUPANCY TAX REVENUES CAN BE SPENT.

SO WHAT DID WE REVIEW? WE, WE LOOKED AT DATA, AGAIN.

WE LOOKED AT, UH, SINCE 2021, THERE'S BEEN $81,750 DISTRIBUTED WITH OUR, UM, UH, OUR EVENT, UH, MARKETING GRANT.

IN THAT, UH, TIMEFRAME, THERE HAVE BEEN 72 ROOM NIGHTS GENERATED.

AGAIN, WE ARE FUNDED THROUGH HOTEL MOTEL TAX, NOT JUST, UM, SALES TAX.

SO WE DO HAVE TO LOOK AT THIS PRETTY HEAVILY, UM, OF THAT ONE EVENT, UM, THAT CAME TO US, UH, OVER THE THREE YEARS, GENERATED 65 ROOMS OF THAT 72.

UM, AND SO OUTSIDE OF THAT EVENT, IF WE REMOVE THEM, UM, THE REST OF THE ROOM NIGHTS WERE, WERE SPREAD OUT OR TRICKLED THROUGHOUT THE REST OF THE, THE APPLICANTS.

UM, AGAIN, MOST APPLICANTS, UM, REPORTED ZERO ROOM NIGHTS.

UM, THAT WAS THE, THE COMMON, UH, DENOMINATOR IN OUR APPLICATION SINCE 2021.

UM, AND THAT WAS WHERE, UH, WE FELT AS A BOARD AND MYSELF AS EXECUTIVE DIRECTOR, THAT WE NEEDED TO REVIEW OUR GUIDELINES TO MAKE SURE THAT ONE, UH, WE ARE MEETING THE STATE REQUIREMENTS.

AND TWO, UM, WE ARE BEING THE BEST, UH, ADVOCATES IN, IN USING OUR DOLLARS IN THE BEST WAYS, UM, FROM A A HOT TAX STANDPOINT.

SO AFTER A LOT OF CONVERSATIONS LOOKING AT ACROSS THE STATE AT DESTINATIONS ALL OVER THE STATE AND HOW THEY'VE MODELED THEIR, UM, HOT TAX GRANTS, UH, THE VISIT MCKINNEY, UH, GRANT COMMITTEE AND BOARD HAVE, UH, PUT FORWARD A FEW, UM, UH, TWEAKS TO OUR GRANT PROCESS.

NUMBER ONE BEING THAT EVERY EVENT MUST GENERATE A MINIMUM OF 25 ROOM NIGHTS STAYS TO QUALIFY FOR THE GRANT PROGRAM.

AND YOU ARE ASKING PROBABLY WHY 25 ROOM NIGHTS? IT'S A GOOD QUESTION.

UM, WE LOOKED AND, UH, WE SAW A COMMON, UH, THEME WAS 50 ROOM NIGHTS ACROSS THE STATE, STATE AS A MINIMUM ROOM NIGHTS, UH, TO QUALIFY FOR HOT TAX GRANTS.

AND KNOWING THAT, UM, WE WERE GONNA BE CHANGING THE APP OR CHANGING THE GUIDELINES ON, UM, LOCAL, UH, GROUPS, UM, WE DECIDED TO CUT THE, THE KIND OF THE MEDIAN NUMBER THAT WE SAW ACROSS THE STATE FROM CITIES THAT ARE A THIRD OUR SIZE, UM, DOWN TO 25

[00:30:01]

AND WE FELT THAT WAS, UH, PRETTY GENEROUS, UM, IN HOW WE WOULD GO ABOUT, UM, THOSE FUNDS.

UM, THE CITIES THAT DID NOT USE A MINIMUM ROOM NIGHT, UM, COUNT, THEY WOULD DO, UH, KIND OF A PERCENTAGE CALCULATOR WHERE YOU COULD GET 50% OF THE HOT TAX YOU GENERATE BACK INTO THE, TO THE COMMUNITY.

WELL, IF YOU PICK UP ONE ROOM NIGHT OR THREE ROOM NIGHTS, YOU'RE GONNA BE GETTING LIKE $25.

AND SO, UH, IT'S NOT WORTH IT.

IT, IT, THAT, THAT DOESN'T WORK FOR, UM, THE WAY THAT OUR GRANTS HAD BEEN USED PREVIOUSLY.

UM, SO AGAIN, 25 ROOM NIGHT MINIMUM TO QUALIFY, UM, FOR OUR GRANT APPLICATIONS, UH, THIS IS TO DRAW EVENTS THAT HAVE OVERNIGHT, UH, POTENTIAL FOR OVERNIGHT STAYS.

TYPICALLY THAT'S GONNA BE A MULTI-DAY EVENT.

IT'S NOT GONNA BE A SINGLE DAY EVENT THAT DRAWS PEOPLE TO STAY OVERNIGHT IN OUR CITY.

UM, AND THEN APPLICANTS, UH, THAT HAVE, UH, NUMBER TWO IS, UM, KIND OF A, A RULE ABOUT, UM, RECEIVING, UM, GRANT FUNDS FIVE YEARS CONSECUTIVELY.

UM, YOU, YOU, WE PREFER THAT AFTER FIVE YEARS YOU'RE UP AND RUNNING AND YOU'RE ON YOUR OWN AND YOU GO OUT AND, UM, AND CONQUER YOUR EVENT.

AND THEN THE, THE NEXT EVENT THAT'S COMING UP CAN, CAN GO AFTER THE FUNDS.

UM, BUT THERE IS A CAVEAT IN THE, IN THE APPLICATION, AND I DID PUT THAT THERE, THAT IF YOU COME BACK AFTER FIVE YEARS AND YOU ARE ABLE TO SHOW AN INCREASE IN GENERATED ROOM NIGHTS, UM, YEAR OVER YEAR, THE BOARD HAS THE ABILITY TO LISTEN TO THAT GRANT APPLICATION IF IT DESIRES.

AND SO, UM, THEY, THEY'RE WELCOME TO COME BACK.

WE JUST NEED TO SEE THAT THEY'RE INCREASING ROOM NIGHTS AND KIND OF GROWING THEIR EVENT.

SO, UH, THROUGHOUT THE PROCESS AS WELL, WE LOOKED AT THE GRANT APPLICATION ITSELF AND, UM, KIND OF, UH, SOME OF THE TIMES IT CAN BE A LITTLE TEDIOUS AND, UH, AND TAKES A WHILE TO GO THROUGH THE FULL PROCESS.

SO IN CHANGING IT FROM A MARKETING GRANT WHERE WE'RE LOOKING AT REIMBURSING BASED ON MARKETING DOLLARS, WE'RE NOW LOOKING AT IT AS A HOTEL OCCU, A HOTEL GRANT BASED ON ROOM NIGHTS GENERATED FROM THE EVENT.

UM, WE GET A PICKUP REPORT FROM THAT SO THAT THERE'S NO QUESTION TO HOW MANY ROOM NIGHTS WE'RE GENERATED.

WE GET IT DIRECTLY FROM THE HOTEL.

AND SO NOW, UM, WE WERE ABLE TO SIMPLIFY THE PROCESS TO ALLOW LESS PAPERWORK FOR THE GRANT, FOR THE APPLICA, UH, APPLICANT.

UM, SO IT'S EASIER TO APPLY.

IT'S ON OUR WEBSITE.

THEY HAVE TO APPLY WITHIN 90 DAYS OF THEIR EVENT.

UM, ONCE THEY APPLY, UM, THE STAFF WILL REVIEW IT.

IF IT MEETS OUR CRITERIA, WE WILL SET UP A CALL WITH OUR, UM, GRANT COMMITTEE.

THE GRANT COMMITTEE WILL LOOK AT EVERYTHING SUBMITTED, DO A RUBRIC, UM, THAT WE'VE CREATED THAT HAS A, A SCALED RUBRIC, UM, BASED ON DIFFERENT CRITERIA THAT WE WERE INTERESTED IN.

UM, IF IT PASSES THAT TEST, WE'LL PUT IT ON THE NEXT COUNCIL AGENDA.

UM, AT THAT POINT, THEY WILL PRESENT TO THE FULL BOARD, THE BOARD, UM, BASED ON THE, THE, UH, ESTIMATED ROOM NIGHTS CAN APPROVE THAT GRANT AT THE BOARD MEETING.

AND THEY'RE, WE DON'T HAVE TO WAIT AN EXTRA 30 DAYS TO, UH, FOR THE APPLICANT TO COME BACK AND, UM, HEAR WHETHER OR NOT THEY WERE APPROVED BECAUSE WE'RE DOING IT BASED ON, UH, ESTIMATED ROOM NIGHTS GENERATED IN THE END.

UH, THE FINAL PAYMENT WILL BE BASED ON VERIFIED HOTEL ROOM NIGHTS, DAYS.

UM, SO IF MORE ROOM NIGHTS ARE GENERATED AND ADDITIONAL FUNDING IS AVAILABLE IN OUR, IN OUR, UH, POOL OF FUNDS, UM, THEN THE FUNDING AMOUNT CAN INCREASE, UM, TO WHATEVER, UM, CATEGORY THAT THEY GENERATED.

UM, HOWEVER SAME, SAME CRITERIA GOES THAT IF LESS ROOM NIGHTS ARE GENERATED, THEN WE WOULD ALSO, UM, FOLLOW THAT SUIT AND WE WOULD PAY OUT BASED ON THE ACTUAL ROOM NIGHTS GENERATED.

UM, THAT UP THERE, UH, THE KIND OF THE SCALED, UH, FUNDING MECHANISM, UM, IT, WE ALWAYS, WE HAVE A $5,000, UM, MINIMUM.

UM, AND SO THAT'S KIND, I MEAN, SORRY, $5,000 MAXIMUM, UM, FOR THIS GRANT.

THAT'S SOMETHING WE'VE, UH, WE'VE TRIED TO STICK TO, UM, IN THE PAST AS WELL, JUST 'CAUSE FUNDS ARE LIMITED AND WE WANNA SPREAD OUT THAT.

UM, AND THEN, UH, WE DID KIND OF A, A SCALE FROM THERE.

UM, AGAIN, IF YOU DO THE MATH ON, UH, HOW MUCH HOT TAX IS GENERATED FROM 25 ROOM NIGHTS, UH, IN MCKINNEY YOU'LL SEE THAT THE A THOUSAND DOLLARS GRANT IS STILL, UH, THREE OR FOUR TIMES THE AMOUNT OF MONEY THAT IT ACTUALLY GENERATES BACK INTO THE CITY OR THE HOT TAX COFFER.

AND SO IT IS STILL VERY MUCH A GRANT AND IT'S, UH, IT'S MORE, UM, THAN IT BRINGS BACK.

BUT WE, WE FEEL THAT, UM, THAT THAT IS A, A GOOD WAY TO START.

AND, UM, SO, UH, MYSELF AS DIRECTOR AND, AND THE COMMITTEE, UH, WOULD LOVE TO STAND FOR ANY QUESTIONS THAT YOU MIGHT HAVE BASED ON THIS.

I HAVE A FEW THINGS.

YEAH, PLEASE DO.

UM, FIRST OFF, THANK YOU FOR DOING THAT DEEP DIVE INTO THOSE NUMBERS.

I'M SURE THAT WAS A BLAST .

UM, BUT AFTER BEING ON THE BOARD FOR A WHILE, IT IS NICE TO HAVE A RUBRIC TO GO BY, UM, THAT'S MORE BLACK AND WHITE.

UH, I HAVE A COUPLE QUESTIONS.

WHAT HAPPENS IF NOBODY MEETS THEIR CRITERIA? DOES THE FUNDING AMOUNT JUST SIT THERE? DOES

[00:35:01]

YEAH.

IT, IT WOULD NOT ROLL OVER.

IT'S A, IT'S NOT A BIG DOLLAR AMOUNT AND IN THE CITY YOU HAVE TO HAVE, I, YOU TYPICALLY NEED MORE THAN THAT TO REQUEST A ROLLOVER.

OKAY.

UM, AND SO IT WOULD, IT WOULD SIT, IT WOULD BE IN OUR BUDGET THE NEXT YEAR, OBVIOUSLY WE WOULD HAVE THAT, THOSE FUNDS.

UM, UH, AND SO WE WOULD JUST KEEP GOING.

UM, I, ONE THING I FAILED TO MENTION IN, IN MY PRESENTATION, WE ALSO ARE, ARE PRESENTING THIS, UH, INSTEAD OF HAVING TWO CYCLES, THIS IS A BIG CHANGE, SO I APOLOGIZE.

UH, WE'RE NO LONGER DOING TWO CYCLES.

THIS IS A ROLLING GRANT, SO THEY CAN COME IN, UM, AS NEEDED.

LAST YEAR WE HAD A GREAT EVENT COME THROUGH, BUT THEY CAME IN, UM, DURING A TIME PERIOD WHEN OUR CYCLE WAS NOT OPEN.

AND SO WE COULDN'T ACCEPT AN APPLICATION FROM THEM AND THEY GENERATED ENOUGH ROOM NIGHTS TO QUALIFY FOR THIS, BUT WE COULD NOT SUPPORT THEM BASED ON THAT.

SO WE'VE REMOVED THE GRANT CYCLES, IT'S ROLLING, AS LONG AS THEY GET US THE APPLICATION IN TIME TO GO THROUGH OUR PROCESS AND GET IN ON A BOARD AGENDA, UM, WE HAVE THE ABILITY TO FUND THAT.

I THINK THAT'S GREAT.

SO WE'RE NOT EXCLUDING ANYBODY FROM IT.

UM, THE OTHER QUESTION WAS, UM, WHAT WAS THE OTHER QUESTION? ANOTHER QUESTION.

IT WAS THERE.

OH, THE FUNDING.

SO THE, THE FUNDING THAT THEY GET, IS IT STILL JUST FOR PROMOTIONAL ONLY OR? SO TECHNICALLY WE ARE FUNDING IT NOW BASED ON ROOM NIGHTS GENERATED SPECIFICALLY.

SO WE ARE NOT ASKING FOR, UH, MARKETING RECEIPTS.

OKAY.

LIKE, WE'RE NOT DOING IT AS A REIMBURSEMENT BASE SPECIFICALLY ON MARKETING.

BUT YOU WILL SEE IN THE GRANT APPLICATIONS BECAUSE MARKETING, I MEAN, YOU'RE NOT GONNA GET OVERNIGHT STAYS NECESSARILY UNLESS YOU'RE MARKETING TO A VISITOR.

IN OUR INDUSTRY, THE INDUSTRY DEFINITION OF A VISITOR IS SOMEONE COMING FROM 50 MILES OUT AND GREATER.

UM, WE DO RECOGNIZE THOUGH, IN NORTH TEXAS, THERE ARE SOME VISITORS WITHIN THAT 50 MILES THAT WILL STAY OVERNIGHT.

MM-HMM.

SO WE'RE, WE'RE NOT NECESSARILY CONCERNED SOLELY WITH THAT DEFINITION.

UM, THE DFW METROPLEX IS JUST SO COMPACT AND PEOPLE DO STAYCATIONS.

UM, THAT SAID THOUGH, UM, WE DO ASK FOR A GENERAL MARKETING PLAN, UM, AND THAT'S SOMETHING THAT THE COMMITTEE CAN TALK TO 'EM ABOUT, HEY, WE DON'T, WE SEE THAT YOU'RE ONLY ADVERTISING LOCALLY IN MCKINNEY.

YOU'RE GONNA DRAW, YOU KNOW, THOSE VISITORS, BUT HOW ARE YOU GONNA GET PEOPLE THAT ARE GONNA STAY OVERNIGHT? SO WE CAN TALK TO 'EM ABOUT THAT ONCE WE SEE THAT PLAN.

WE'RE PROVING THE JUSTIFICATION OF FUNDS BY THE ROOM NIGHTS, ROOM NIGHTS GENERATED.

THAT'S THEIR PROOF.

EXACTLY.

AND SO, UH, UH, THE COMMITTEE CONVERSATION WAS, MOST LIKELY ROOM NIGHTS AREN'T GENERATED UNLESS THEY ARE MARKETING TO A TRUE DEF DEFINED, UH, VISITOR, UM, TO, TO GET THAT PERSON HERE ANYWAY.

OKAY.

THANK YOU.

I'D LIKE TO ADD, YOU KNOW, THE RUBRIC, WE'LL GET THAT TO THE FULL BOARD TO SEE.

IT'S REALLY TIES INTO THE QUALIFICATIONS.

SO I THINK YOU GUYS WILL SEE SOME VALUE THERE.

AND THEN, UH, IT'D ALSO BE A GOOD TOOL FOR THE TEAM AS THEY DO SALES AND KIND OF SAYING, BY THE WAY, WE KNOW YOU'RE GONNA HAVE SOME HOTEL STAYS.

HERE'S A GRANT THAT WE HAVE.

SO THEY'RE GONNA USE IT KIND OF AS A MARKETING TOOL TO ENTICE, YOU KNOW, FOLKS TO, YOU KNOW, LEVERAGE THE, THE DOLLARS THAT WE HAVE AVAILABLE TO THEM.

THAT'S GREAT.

ANYONE ELSE HAVE ANYTHING? IF THIS IS APPROVED TODAY ON THE STAFF SIDE, WE ARE PREPARED TO, UM, GET IT LIVE AND GOING ASAP, UH, WITH A KIND OF A PRESS RELEASE THAT THE GRANT IS BACK AND THIS IS HOW, THESE ARE THE, UH, CHANGES THAT HAVE BEEN MADE AND HAVE THE, UM, APPLICATION LIVE ON OUR WEBSITE.

UM, AND SO WE, AND WE KNOW THAT THERE ARE SOME EVENTS COMING UP AND SO WE'RE EXCITED TO, TO GET THAT MOVING FAIRLY QUICKLY.

SO, UM, BUT AGAIN, I'M HAPPY TO ANSWER ANY ADDITIONAL QUESTIONS.

AND JUST TO CLARIFY TO THE BOARD, THE ONLY PEOPLE THAT WILL BE ABLE TO COME AND PRESENT TO US, THEY WILL HAVE TO PRE-QUALIFIED FOR, CORRECT? YEAH, THEY'LL GO THROUGH A CONVERSATION, UH, WITH THE GRANT COMMITTEE.

THAT IS, THAT ISN'T ONE THING THAT WE TALKED ABOUT POTENTIALLY LEAVING AS A STANDING COMMITTEE.

UM, UH, AND THAT'S SOMETHING THAT THE BOARD CAN DISCUSS, UM, IS HAVING THE GRANT COMMITTEE, UM, KIND OF MEMORIALIZE AS A STANDING COMMITTEE.

THEY WOULD BE ON CALL ESSENTIALLY.

UM, SO IF A, AN APPLICATION ROLLS IN, UM, WE WOULD, UH, HAVE KIND OF A, A SET MEETING ON THE CALENDAR AND WE, AND WE WOULD NOTIFY THE COMMITTEE THAT WE NEED TO JUMP ON THAT CALL AND, AND REVIEW AN APPLICATION SO THAT WE CAN GET IT ON THE BOARD MEETING.

QUESTION I'M, I JUST THOUGHT ABOUT A QUESTION.

UH, THE 24 ROOMS, I THINK IT'S 24 ROOMS MINIMUM 25 ROOMS. 25.

YES SIR.

DOES IT HAVE TO BE AT ONE HOTEL OR COULD THAT BE SPREAD OUT THROUGH A COUPLE OF DIFFERENT HOTELS? LIKE IT CAN BE SPREAD OUT ACROSS THE CITY? UM, AGAIN, 25 ROOM NIGHTS AS WELL.

SO, UH, YOU CAN HAVE, YOU KNOW, 13 ROOMS, TWO NIGHTS AND YOU CAN QUALIFY FOR THE GRANT.

AND SO IF THAT, IT DOESN'T HAVE TO BE AN EXTREMELY LARGE EVENT, IT CAN BE, IT CAN BE FAIRLY SMALL, UM, OVER TWO NIGHTS.

SO TOTAL ROOM NIGHTS GENERATED.

OKAY.

AT ANY HOTEL.

OKAY.

ARE THERE ANY PROCEDURES FOR EVENTS THAT ARE VERY PROMISING BUT DON'T QUITE FIT THOSE GUIDELINES? AND SO THAT WAS A CONVERSATION WE HAD A LOT ACTUALLY.

AND, UM, AND THAT WAS WHERE, UH, WE DO FILL

[00:40:01]

UM, AGAIN, UH, MR. WILKES READ THE, THEIR MISSION STATEMENT TODAY, UM, WHICH DIRECTLY MENTIONS TOURISM AND, UH, AND SO THEY, THEY EXIST FOR THAT VERY REASON.

UM, AND IT ALLOWS EVENTS TO GROW, UM, INTO AN EVENT THAT POTENTIALLY COULD HAVE ROOM NIGHTS GENERATED, UH, DOWN THE ROAD.

BUT, UM, UH, IN THE END, EVERY ATTENDEE AT THAT EVENT MEETS THAT CRITERIA 'CAUSE THEY GENERATE SALES TAX FROM MCKINNEY.

UH, I THINK THE, THE, THE HARD THING WE HAD WAS THAT MOST OF, WELL, WE HAVE THE DATA FROM 2021 AND OUR KIND OF OUR SINGLE DAY, UM, FIVE HOUR EVENTS HAVE GENERATED, UH, ZERO ROOM NIGHTS SINCE 2021.

AND, UM, AND WE HAVEN'T SEEN A CHANGE THERE.

AND, UH, WE ARE FUNDED THROUGH HOTEL MOTEL TAX AND SO, UM, WE JUST KIND OF LET DATA SPEAK FOR ITSELF.

UM, AND UH, AND ALSO KNOWING THAT THEY DO HAVE, UH, FUNDING AVAILABLE THROUGH MCDC ARTS COMMISSION, UM, AND SOMETIMES OTHER, OTHER SOURCES IF THEY ARE IN THAT BOAT.