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10/10/1989 - Joint Meeting CRA & DDB JOINT MEETING OF THE COMMUNITY REDEVELOPMENT AGENCY AND DOWNTOWN DEVELOPMENT BOARD October 10, 1989 Members present: Community Redevelopment Agency Rita Garvey, Chairman Richard Fitzgerald Lee Regulski William Nunamaker (arrived 8:35 a.m.) Don Winner Downtown Development Board Tyler Grady, Chairman (arrived 8:20 a.m.) Tom Thompson (arrived 8:10 a.m.) Chuck Finegan Mary Vaughn C. David Carley John W. Homer Terry Flowers Also present: Ron H. Rabun, Executive Director Michael Wright, Assistant City Manager/Community Services Cyndie Goudeau, Secretary The meeting was called to order at 8:01 a.m. with the purpose of having presentations by advertising agencies. I. Lipphardt Advertising Bill Lipphardt introduced members of his staff and stated they are one of the fastest growing agencies and are on the cutting edge of creativity. He stated they were one of the top three award winning agencies for the year. They have a lot of business to business advertising programs, were active in the Manatee County Tourism campaign and they also deal with real estate and developers. He stated for downtown Clearwater their strategies would be to research regarding target groups, to enhance consideration by those target groups, to build an image and awareness that cause people to rethink downtown Clearwater, create a unique position for downtown Clearwater, position Clearwater based on the growth of Florida in general and to position downtown Clearwater as a vital part of the growth. They would emphasize the lifestyle advantages of Clearwater and communicate downtown Clearwater's unique characteristics. Media, collateral, direct mail, promotional events and public relations would be used in the campaign. It was stated that downtown Clearwater needs a dynamic logo, will need collateral brochures and advertisements. Other members of the Lipphardt advertising staff gave brief overviews of the media plan and public relations plan. Two slogans suggested were: "Downtown Clearwater - where Florida's business climate is on the rise" and "Downtown Clearwater - where Florida's west coast is reaching new heights." In response to a question, Mr. Lipphardt indicated they would require a time frame of six to eight weeks to prepare the program if chosen as the ad agency for downtown Clearwater. Various questions were raised regarding how the agency would deal with any negative media coverage, and it was stated they would need to address the negative image but, as new development arrives, the negatives will diminish. It was stated that lifestyle in the Clearwater area would be emphasized and they would be pointing out the positives of the area. In response to questions regarding the agency, Mr. Lipphardt indicated he has 14 people on staff, and this account would not require additional people. They have 11-12 accounts now and this would be one of their smaller, but prestigious, accounts. He stated he has also worked with the City of Lakeland. He stated two or three of his staff live in Pinellas County. In response to questions regarding downtown Clearwater, he stated he is comfortable with that term and he sees potential for the area. The meeting recessed from 8:45 a.m. to 9:00 a.m. II. Pearson, Thomas, Levy, King and White Mike Thomas, President of the agency, introduced other staff members and stated they have experience in the economic development area, they are large enough to serve Clearwater and they have many business to business accounts, are growth oriented and have the appropriate members on staff. He stated they can establish a position for Clearwater, target the market, provide creativity and secondary research, and they would be providing direct mail and public relations programs. Jean Sherey, Vice President that will be mainly in charge of this account, stated they would be recruiting through state and county economic development councils and they foresee the 89/90 budget being used to produce essential sales tools and local ads, and the 90/91 budget for recruitment and marketing. He stated phase 1 would establish a logo, promotional brochures, mini-brochures, an audio visual program, direct media placements in the local market, marketing services and public relations. Phase 2 would provide for targeted direct mail, trade show booths, more public relations and an expanded direct media effort. Greg Truax reviewed the public relations plan that would include such things as a news media kit, feature stories and case histories, news releases, special events, speakers bureau and newsletters. Dick Soyer, who will be working in the creation of the various programs, stated they wanted to take steps to create a new image in the business community as Clearwater is already well known for its tourist attraction. Two suggested slogans were: "Clearwater is bringing a new view to business" or "Everyday people see another good reason to do business in Clearwater." He stated a logo, brochures, media productions and direct mail will be needed. They presented some examples of the types of mailings they would do. In response to a question, it was indicated they would be able to begin their program within 8-10 weeks of being chosen for the project. Some concerns were expressed that they have focused on Clearwater instead of downtown Clearwater, and some concerns were expressed regarding the use of a bathing suit clad woman on the beach for some of the mailings. In response to a question regarding why an agency of this size would be interested in the Clearwater $100,000 account, it was indicated it was a matter of personal pride and they believe this is a growth situation. III. Clearwater Ferry Service Ground Breaking Ceremonies. The meeting recessed from 9:45 a.m. to 10:32 a.m. in order for people to attend the ceremonies. John Homer returned at 10:39 a.m.; Tommy Thompson did not return. IV. Chenoweth and Faulkner Ken Baker, General Manager, introduced Kim Golombisky who will be the account executive should Chenoweth and Faulkner be chosen for this project. A video of some of the work done by the company was presented. Miss Golombisky explained they will clearly convey messages to the target market regarding downtown Clearwater. She stated at this time the target is not known, and market research is in process. She stated there is a need to unify the message by providing a positioning statement, and that a graphic identity created by a logo is also necessary. Collateral including letterhead, brochures and pocket folders would be developed and they would be producing media advertising and public relations. She stated the 1990 budget would propose to use 35% for collateral, 50% for media and 15% for public relations. In response to a question, it was indicated they would be ready to begin the project four to six weeks after being chosen. In response to a question, it was stated they have 17 people on staff and they have $5-6 million worth of clients per year. The meeting recessed from 11:00 to 11:05 a.m. V. Ranking of the Agencies Jerry Sternstein, Economic Development Director, stated there were interesting presentations given this morning, however he was impressed with the Pearson, Thomas, Levy, King and White presentation. He stated the Lipphardt presentation was also good but, if they were chosen, would have to go back and look at the budgets presented. He stated the third presentation was no quite what was needed. Concerns were expressed regarding Pearson, Thomas, Levy, King and White in that a bikini clad woman was used and there were constant references to business"men". Dennis Echol, a member of the Community Redevelopment Agency advisory committee, stated there is always a danger of making a presentation that something will be slightly off mark. He stated he felt Pearson, Thomas, Levy, King and White were slightly more stable than Lipphardt, but that Lipphardt was also good. He stated all three agencies were in a good, sound financial position. He indicated that Pearson, Thomas, Levy, King and White would be interested in a project of this size because it would be a growth account and would give them high visibility. In response to a question regarding when the market study would be completed, Mr. Sternstein indicated there was already a general idea target group from the Halcyon report, however it needed to be updated. He stated there is also a Pinellas Economic Development study underway which should be completed by the end of November. He stated hopefully we will have ours updated within eight weeks. Discussion ensued regarding the presentations and the budgets that had been proposed. It was stated that budgets would actually be confirmed in negotiations after the firms have been ranked. A count was taken regarding the members ranking of the agencies with Pearson receiving seven (7) No. 1 votes and Lipphardt receiving four (4) No. 1 votes. Therefore, the ranking of the agencies is Pearson, Thomas, Levy, King and White #1, Lipphardt #2 and Chenoweth & Faulkner #3. It was indicated that as we go into negotiations, we will be working out the strategies with the agency. VI. Amendment to the Agreement for Purchase and Sale of real property between the Community Redevelopment Agency and Mas One Limited Partnership. At a CRA meeting on September 29, 1989, the CRA approved an agreement for purchase and sale between the CRA and Mas One Limited Partnership. When the provisions of the agreement were initially reviewed by the developer no objections were raised; however, the developer's lending institution subsequently found a problem with the use restriction and buy-back provision. Specifically, page 4, paragraph G, element 3, the terminology "when earth-moving equipment has been engaged in moving the soil upon said property", was found to be a restriction on the title. The lending institution informed the developer that so long as that terminology remained in the agreement they would be unable to advance funds because they felt that the City would have a right to reclaim the property after the lender had advanced the funds. If the lender does not advance the funds, the developer cannot close on the property. After reviewing the situation with the City's Legal Department, it was concluded that the City's interest would be adequately protected by elements 1 & 2, page 4, paragraph G. Discussion ensued regarding how this provision would cloud the title and whether or not the agreement should be amended. It was stated that the earth-moving provision provides us little protection as moving earth does not guarantee construction of the building. It was stated that staff did feel that the people are serious and ready to go forward with the project. Member Winner moved to approve the Amendment to the Agreement removing the phrase "when earth-moving equipment has been engaged in moving the soil located upon said property." The motion was duly seconded and carried unanimously. The meeting adjourned at 11:45 a.m.