Five Flags SMG_Annual ReportTHE CITY OF
Dui
Masterpiece on the Mississippi
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Five Flags 2012 Annual Report and Activities Update
DATE: January 14, 2013
Dubuque
kital
All- America City
II h/
2012
Leisure Services Manager Marie Ware is transmitting the Annual Report for Five Flags.
Five Flags Manager Joyce White, who is employed by SMG, the private management
company for Five Flags, will make a presentation to the City Council on the update of
activities in the current fiscal year and plans for the future.
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Michael C. Van Milligen
MCVM:jh
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
Teri Goodmann, Assistant City Manager
Marie Ware, Leisure Services Manager
Joyce White, Five Flags Civic Center Manager
THE CITY OF
Dui
Masterpiece on the Mississippi
TO: Michael C. Van Milligen, City Manager
FROM: Marie L. Ware, Leisure Services Manager
DATE: January 7, 2013
SUBJECT: Five Flags 2012 Annual Report and Activities Update
Dubuque
had
All- America City
' I I'
2007
INTRODUCTION
The purpose of this memorandum is to request the opportunity for SMG to make a presentation to the City Council that is the
Annual Report for 2012 and updates of activities in the current fiscal year and plans for the future.
BACKGROUND
SMG was hired as the private management company for Five Flags in 2004. Effective in 2009, the contract was extended for
another five years. Each year the SMG manager shares the Annual Report with the Council. I have asked Joyce White,
SMG's Manager to present to the Council activities in FY 2013 to date and plans for the future.
The Five Flags Center is an important part of our community as you will see. SMG Management has and continues to work
hard as our partner. After hearing Joyce's presentation, I think you will agree the future of Five Flags is bright.
ACTION TO BE TAKEN
I request time on the Council agenda for Joyce to share the Annual Report.
Prepared by:
MLW et
cc:
Joyce White
7'
FIV LAGS
CENTER
"If it's tinportant,
it's at Five Flags;
if it's at Five Flags,
it's important."
YEAR IN REVIEW
JANUARY - DECEMBER , 2012
Five Flags Civic Center, 405 Main Street
Dubuque, Iowa 52001
WbVWWWC tnwnmmCnt one
(Partition Venue Management
THREE YEAR FINANCIAL COMPARISON FY10 -FY12
For the purpose of this report, financial data reflects information from the FY12 Operating Budget -
Event Activity reflects activity and programming from calendar year January - December 2012
Five Flags Civic Center, Dubuque's oldest convention center, arena,
and performing arts center, opened in 1979 and is located at 405
Main Street. The addition of the convention /meeting space and
arena to the iconic and historic Five Flags Theatre has provided a
city block of vibrant activity to generations of Dubuque residents.
The arena can provide flexible, configured seating arrangements in
order to bring a variety of sporting events, concerts, social events,
meetings and conventions to Dubuque.
Owned by the City of Dubuque, Five Flags Civic Center is obliged to
grow economic activity and provide community infrastructure for
future generations. In 2004, the City awarded a five year
management contract to SMG, the world leader in private venue
management, marketing and development. The management
contract was extended in July, 2009 and SMG is currently in the
fourth of a five year extension.
Five Flags operating subsidy is tied to the CPI All Urban which
declined between 2009 and 2010. Consequently, Five Flags
operating subsidy remained flat for both FY09 and FY10. Modest
increases in the CPI were experienced in both FY 11 and FY12. The
entertainment industry's recovery since the economic crash of
2008 is consistent with, and a reflection of, the rest of the economy
and continues to show signs of improvement. Five Flags has held its
own throughout the second year of operation without ice revenue
while continuing to re- define its business model. While new
programming has been introduced to the event calendar, the
nature of the events tends to be labor intensive and zero or
revenue neutral. Management has responded to and operated
within the City's allocated subsidy to consistently come in under
budget for seven consecutive years (every year except year one in
FY05.)
FIVE' FLAGS
CENTER
1,000,000 -
co
co 500,000
J
SUBSIDY
a Budgeted
781,882
797,520
826,230
OActu al
768,191
783,573
803,791
FY10
FY11
FY12
600,000 -
400,000
200,000 -
(200,000)
(400,000)
(600,000)
(800,000)
(1,000, 000)
(1,200, 000)
(1,400, 000)
REVENUE I (EXPENSES)
OREVENUE
391,898
260,159
242,980
OEXPENSE
(1,158,088)
(1,043,732)
(1,046,771)
FY10
FY11
FY12
FIVE FLAGS MANAGEMENT
"Five Flags Center proudly serves the City of Dubuque
and the Tri -State area by enhancing its cultural and
economic environment through the presentation of a
wide variety of sporting, entertainment, and
community events — in a fun, friendly, and safe
environment. " — Five Flags Mission Statement
Joyce White is in the seventh year as General Manager
of Five Flags Civic Center; a total of twelve years with
SMG. An industry veteran, prior experience in venue
and event management includes five years at the
Carlson Center, Fairbanks, Alaska, 10 years with the
University of Arkansas Razorback Athletic Department,
and eight years with the Sam Walton College of
Business at the University of Arkansas.
FIVE FLAGS
CENTER
Don Howes,
Director of Finance /HR
Dan Holtkamp
Technical Director
Ali Levasseur, Marketing Ron Swift
Coord. ADMN Su • • ort Set -u • Su • ervisor
Bob Richardson
Alyson Tasker
Maintenance Supervisor Box Office Manager
Not Pictured: John Richardson, Operations Manager
FIVE FLAGS EXPANDS SOCIAL MARKETING STRATEGIES
FIVE FLAGS
CENTER
In June, 2012, management contracted with Social Sense, a Dubuque consulting firm to review current marketing
practices and to develop new ways to promote and market Five Flags events by incorporating social networking
platforms. Primary objectives were:
• Attracting events that will generate greater attendance, both ticketed and non - ticketed
• Increasing concessions revenues
• Reviewing promotional opportunities with Ticketmaster
• Increasing sponsorships of events
Social Sense performed a SWOT analysis of Five Flags marketing practices and designed and conducted a survey of
Five Flags ticket buyers to evaluate customer experience. Results of the SWOT analysis and the survey were used by
management to improve existing marketing practices and to implement new social networking initiatives. In the last half
of 2012:
• The Five Flags website was redesigned and launched
• The number of posts and content to Facebook were increased
• A Five Flags Twitter account was established
• A Four Square platform was created and prizes established for users
• Pinterest boards were created for weddings and maintained by an intern
Additionally, an effort to develop promotional partnerships with local businesses was launched and resulted in
partnering the national sponsor of Mannheim Steamroller with Dubuque based Doland Jewelers whose owner
presented a Pandora bracelet to a winning ticket holder at the group's December performance at Five Flags.
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EVENT PROGRAMMING CATEGORIES
FIVE FLAGS
CI ;N I'ER
Sports
Community /Other
Meetings /Conv
January — December 2012 Notable Events
■ 7
Events of all types are hosted at the Five Flags Civic Center:
ENTERTAINMENT
Professional Bull Ride Championships
Eastern Iowa Outlaws Roller Derby
USARS Regional Roller Derby Tourney
Night Storm Teen Dance Club
Donzilla "Comedy Monster"
FAMILY
Harlem Globetrotters
George Carden Circus
Sesame Street
Bixby's Inflatable Rainforest
Dock Dogs World Championships
DKC Dog Show
Photo courtesy of Tho Proof Booth and DockDogs. All rights monied.
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:SESAME STREET LIVE.:
•
A VEE CORPORATION PRODUCTION
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January — December 2012 Notable Events (continued)
SPORTS PROGRAMMING
MMA — Pinnacle Combat
Rumble by the River Wrestling Tournament
Loras College Open Wrestling Tournament
Dubuque Soccer Association
MPA (Midwest Pool Players Association)
PERFORMING ARTS
JDIFF (Julian Dubuque International Film Festival)
Multicultural Center presented "Native Spirit Dancer"
Jim McDonough Holiday Grande 2012
Jim McDonough Spring Concert
Dubuque Symphony Orchestra
Dubuque Symphony Orchestra Youth Ensemble
Dubuque Symphony Orchestra Arts Trek
Dubuque Dance Studio
Studio 5 -6 -7 -8
Rising Star Theatre Company — "Hairspray"
Rising Star Theatre Company — "Pinocchio"
Walhert High School Musical — "Zanadu"
Hempstead Variety Show
Fly -By -Night Productions
h�i�!rsGrayl
THEATRE COMPANY
FIVE FLAGS
CENTER
M P H O N Y O R C H E S T R A
WRHLERG CRtHOLIC HIGH SCHOOL PRESERRS:
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MIMS
AMER REMIE
LYRICS BY
Lynn
1
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January December 2012 Notable Events (continued)
CONCERTS
Mannheim Steamroller
Gaelic Storm
January — December 2012 Events (continued)
FIV FLAGS
CENTER
Community and Other Events
Colts Drum and Bugle Corp
Dubuque Senior High Graduation
Dubuque Hempstead High Graduation
Rising Star Theatre Company Summer Workshop
THE CITY OF
DUB
Multicultural Center — "Taste of the World"
Girl Scouts Dream Event
Capri Style Show
City Expo
City Spirit Luncheon
City Civil Service Testing
City Management and Other Meetings
Jaycees Toy for Kid's
Weddings
Masterpiece on the Mississippi
Meetings and Conventions
January — December 2012
Five Flags Center continues to inject
itself into the marketplace of meetings
and conventions after almost a decade
absence. Management reviews and
responds to bid opportunities through
Dubuque Conventions and Visitor's
Bureau in addition to participating in the
CVB's FAM tours. The Holiday Inn and
Five Flags continue to compliment one
another's business model. Exploring and
booking other meeting business is
continuous.
Five Flags is proud to have offered
meeting and /or vendor space to the
following organizations:
• Dubuque Area Labor Management Council -
"Career and Technology Fair"
• Dubuque Public Schools "Kinderpalooza"
FAM Site Visits (Familiarization Visits)
FIVE FLAGS
CENTER
Dubuque
Communi
Schools
To inspire and challenge
Excellence in Education
Featured Special Event - DALMC "Career and Technology Fair"
FIVE FLAGS
CENTER
On November 6 and 7, 2012, Five Flags Civic Center served
as the host site of Dubuque Area Labor and Management
Council "Career and Technical Fair ". Sophomores from the
area high schools interacted with local professionals and
employers including John Deere. Students received
experience on a simulator which included operating a front -
end loader. Other problem solving experiences included a
timed exercise in dismantling and reassembling a computer.
Community Relations
FIVE FLAGS
CENTER
SMG management understands the Civic Center's role to facilitate various groups and non - profit organization and assist them in their
contributions to individuals and the community at large. Five Flags participated in this effort by providing complimentary tickets, program
ads, golf hole sponsorships, venue usage, etc. for numerous organizations fundraising efforts, including those listed below:
• Colts Music on the March Program
• Children Affected by Cancer Event
• Dubuque Chamber of Commerce
• Dubuque Main Street
• Dubuque Symphony Orchestra Program
• Irish Hooley
• Images & Information Breast Cancer Awareness Fundraiser
• Mercy Health Foundation of Dyersville
• McGraw Hill Holiday Giving Project
• Holy Ghost , Resurrection, St. Joe, and St. John Churches
• Shalom Retreat Center
• Seaton School
• Dubuque Catholic Worker, save Hope House
• Tri -State Christian School
• Riverview Center
• Opening Doors Maria House and Theresa Shelter
• Relay for Life
• March of Dimes of North Eastern Iowa
• Various meetings for the City of Dubuque, Boards, and Commissions
Staff Participated Various Boards and Organizations including:
• Rotary Club of Dubuque
• Chamber of Commerce (Board and Executive Board)
— CVB Advisory Board Chair and CVB Sales Committee
— Dubuque Ambassadors
• Dubuque Jaycees
• Dubuque Main Street Board and Executive Board
• Tri- States Human Resources Association
• Leadership Dubuque Alumni Network
• American Legion Local Post No. 6
• Dubuque County Fine Arts Society, Voices from the Warehouse
• Carnegie Stout Public Library Art @ Your Library
• DMS— Falling Into Art Gallery Tour
MULTIPLE USE VENUE - PICTORIAL ESSAY and TIMELINE
The "Facility and Event Management" industry is exciting and demanding. Frequently, event programming can require a
complete building "change- over," within a twenty four hour timeframe, in order to accommodate load -in and staging of multiple,
consecutive events. Below is a pictorial essay and timeline reflecting four consecutive weeks of Five Flags events between
November 10 and December 8, 2012.
Girl Scouts..
Nov 10
i
14 -18
19 -21
10 -11
S Y M P H O N Y O R C H E S T I.
17
Olt Multicultural
Family Center I UUIUQUI
i
23 -25
30
22
Thankgiving
th
25
i
6
Dec 1 -2
S Y M P H C N Y O R C H F S I R A 8
((iTr your child..
DUBUQUE: I QUE: DAN(.i: ,4•r1 :l)It,
n 4i YMNASI'IC. cLL'ft