2009 Annual Report

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2009 ANNUAL REPORT

2009 Highlights POINTS OF INTEREST: Board of Directors

2

Board Chair and President & CEO

3

Local Mayors

4

Committees

5

Departments

6

Financials

18

2009 was a challenging year for the travel industry in Fairbanks as well as throughout Alaska and the nation. For the first time since 2002, our bed tax revenues are down. 2010 looks to be equally challenging. This winter, Japan Airlines will halve the number of charters to Fairbanks from 18 to nine. And next summer, we anticipate a 30% reduction in capacity for cruise land tours using the rail belt due to the redeployment of two ships from the Gulf of Alaska waters to outside of Alaska.

In October, we hosted the Alaska Travel Industry Association’s annual convention. In preparing for the 500-plus attendees, we reflected on the past five years since the group last met here. Some of the infrastructure improvements that have been made in our community, primarily because of a successful travel industry, included: new Alaska Railroad Fairbanks passenger depot expanded/new University of Alaska Museum of the North expanded/new Fairbanks International Airport five new hotels (although two others have closed, there is a net increase in guest rooms)

Morris Thompson Cultural & Visitors Center Fountainhead Antique Auto Museum Despite the global recession, FCVB has had multiple achievements in 2009 including: Frontier Airlines just announced that it would service the Fairbanks market four times a week from May 14 through September 12, 2010. This decision was the culmination of years of collaboration between the Fairbanks International Airport and FCVB to lure a low-cost carrier to our community. We hope that you will contribute to the success of these flights by choosing to fly Frontier this summer!

Bed Tax Receipts YEAR

FNSB

CITY

COMBINED

2003

1,413,876

1,805,682

3,219,558

2004

1,553,132

2,142,759

3,695,891

2005

1,520,968

2,376,095

3,897,063

2006

1,584,038

2,606,629

4,190,667

2007

1,803,678

2,685,417

4,489,095

2008

1,815,223

2,750,492

4,565,715

2009

1,562,807

2,364,118

3,926,925


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Highlights (continued)

2009 Executive Officers Andy Anger, Chair UAF Tanana Valley Campus Mary Richards, Chair Elect All Seasons Bed & Breakfast Inn Suzy Fischer, Treasurer Riverboat Discovery & El Dorado Gold Mine Buzzy Chiu, Secretary Bridgewater Hotel Kristin Wells, Past Chair Denali Princess Wilderness Lodge Deb Hickok, President & CEO Fairbanks Convention & Visitors Bureau

2009 Board Members

FCVB had its first full year of being in the Morris Thompson Cultural & Visitors Center and is open seven days/week from 8am – 9pm in summer and until 5pm winter. In May, the Alaska Federation of Natives Board of Directors chose Fairbanks as the site of the 2010 Convention. We look forward to the continued support of the Fairbanks community in hosting this important gathering. The FCVB contracted – in collaboration with the Fairbanks Arts Association – with Conventions, Sports & Leisure (CSL) conduct a feasibility study for a convention center and/or performing arts center. A powerpoint of a preliminary report was presented by CSL to a variety of stakeholders in September. The FCVB successfully won the bid for 2012 Outdoor Writers Association of America annual conference. Inquiries are up 28% over 2008. A conversion study conducted by an outside research firm deemed that the FCVB generation of inquiries through our promotional efforts was incredibly efficient and costeffective. FCVB nominated Condor Airlines for the Governor’s 2009 North Star Award for International Excellence. Once awarded, the FCVB accepted on behalf of the Frankfurt-based airline because Condor representatives were unable to attend a May ceremony. The FCVB coordinated a reception in Fairbanks to present

the award to Condor dignitaries in July. FCVB launched a new state-of-theart website www.explorefairbanks.com in October. Staff is creating demand from the visitor of the future by tweeting, blogging and increasing our fans on Facebook. Check us out on-line! The FCVB hosted a total of 29 press tours for domestic and international media. Japan Airlines saw their most ambitious winter 2008/2009 charter season in with a total of 18 groups in Fairbanks, carrying more than 4,000 Japanese visitors. Additionally in August and September 2009, JAL operated five flights to Fairbanks accommodating nine different groups totaling over 2,700 passengers, an increase of 300 passengers compared to 2008. FCVB staff is involved in Rotary, Kiwanis, Lions and serve in many other volunteer capacities throughout our community. In addition, the FCVB coordinated the Alaska Travel industry’s Walk for Charity on May 8. Since 2001, seven Charity Walks here have raised $178,156 for local charities. Due to an anticipated decline in bed tax, the Administration worked diligently with the FCVB Management Team to reduce the 2009 projected budget by $500,000. Five-and-onehalf year-round positions who left through attrition were not replaced, putting additional workload on FCVB existing staff.

June Rogers Fairbanks Arts Association

Ramona Oxendine Santa’s-Vagabond Travel

Rebecca Morse If Only…A fine store

Matt Atkinson Northern Alaska Tour Company

Michael Davis Denali ATV Adventures

Mark Clark Holiday Inn Express Hotel & Suites

Matt Divens Princess Tours

Adam Barth Gray Line of Alaska

Tammie Wilson (Ex Officio) FNSB Representative

Shelbie Umphenour Interior Alaska Fish Processors

Susan Kramer Executive Events

Emily Bratcher (Ex Officio) Fairbanks City Council Representative


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2009 Board Chair and President and CEO ―Persistence‖ and ―forward thinking‖ were the underlying themes driving the activities of the Fairbanks Convention and Visitor Bureau in 2009. In 2008, the tourism industry world-wide was hit hard by the global economic recession. Fairbanks and the Interior of Alaska were no exceptions. Clearly, the aim for 2009 was to stop the slide, turn it around and aim the bow of our tourism ship back into the prosperous waters of a growing industry. In order to succeed we – the membership, staff and the board of the FCVB - concluded that we needed to be persistent, forward thinking and just simply continue to work hard with fewer resources in the marketing activities in which we knew we were able to make a difference. Embracing persistence was essential as sliding bed tax receipts meant substantial cuts to the overall budget of our organization forcing hard choices while competing in an even fiercer marketing environment of a temporally shrinking market. We also knew that to outpace the competition we needed to be aggressively forward thinking in exploring and implementing new marketing strategies in order to capitalize on the changing behavior of the traveling public as a result of the economic downturn. Taking shorter vacations, traveling closer to home, booking short notice or last minute and shopping for bargains were the apparent consumer trends in the industry in 2009. Responding to these trends, 2009 saw the launch of the completely redesigned FCVB website ―ExploreFairbanks.com‖ incorporating our new branding message ―Light, Energy and Warmth‖ and new sections for shorter vacation options, in-state travel, value options and last minute specials. In addition Twitter, YouTube and blogging were even more substantially incorporated into FCVB’s online messaging and marketing tools. A convention study was executed to analyze the effectiveness of the FCVB advertising and direct mail efforts to insure the highest return for each dollar spent. The success of the Condor / Thomas Cook direct air service from Germany in the summer and the direct air service by JAL from Japan during the winter months encouraged us to pursue direct air services via a low cost carrier from the ―Lower 48 States.‖ Several years of collaboration between the Airport and FCVB paid off with the announcement of seasonal summer service from Denver by Frontier Airlines. In an effort to reach all corners of the world, but with limited resources, the FCVB Advertising and Public Relations Department attracted a record number of media and press professionals to Fairbanks and the Interior in 2009. Based on their experiences, these professionals are spreading the message of beautiful Fairbanks and Interior Alaska on a global dimension through their articles and publications. While visitation in most tourism sectors was down, the persistent and tireless efforts of the FCVB Meeting and Convention Department increased the meeting events booked for 2009 over previous years. In addition, the department secured the AFN Convention to be held in Fairbanks for 2010 and the Outdoor Writers Association of America Convention for 2012. The above are just a few examples of the many activities pursued by the FCVB staff on a day-to-day basis. At the end of the day for 2009 ―persistence‖ and ―forward thinking‖ paid off in curbing a deeper slide and setting the groundwork for turning the tourism ship around. As a positive sign for what the future may hold, inquiries into Fairbanks as a destination was 28% over 2008. FCVB’s reaction to new trends and the development of new strategies to capture the changing market is paying off. Thank you FCVB staff for your tireless efforts, FCVB membership for continuous broad based support, and fellow board members for direction and input in guiding the FCVB for the benefit of our community and tourism industry. Warm Regards, Andy Anger 2009 Chair, FCVB Board of Directors

Deb Hickok FCVB President and CEO


2009

ANNUAL

REPORT

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Fairbanks North Star Borough Fairbanks Convention and Visitors Bureau’s continued successful efforts to market Fairbanks and the Interior has helped stabilize our local economy from the effects of national economic trends. The tourism and convention sector of our local economy creates significant opportunities for all our citizens. The community investments in FCVB are funds well spent

which continue to attract visitors and business to our community. Congratulations on another good year. Thank you for your vision, achievement and professionalism. Luke Hopkins, Mayor Fairbanks North Star Borough

City of Fairbanks The Fairbanks Convention and Visitors Bureau continued to successfully draw visitors to the interior despite the recent economic downturn. The collaborative efforts of the staff make magic happen for visitors and businesses alike and the results are noteworthy and visible.

information and resources available to all through the Fairbanks Convention and Visitors Center. Thank you, FCVB!

The 2009 year was one of achievement and fulfillment for FCVB. The energy and heart put into marketing the interior shows through in the comprehensive and technologically up-to-date

Terry Strle, Mayor City of Fairbanks

City of North Pole Greatly aided by the FCVB helping to spearhead support in the Interior, the Governor and the Legislature appropriated more funds for tourism and positive news in the national press helped to bring a bounce to otherwise declining Interior Alaska tourism forecasts. North Pole relies heavily on tourism, whether from the local population or from the traveler to the Interior. Working with the FCVB helps the City of North Pole generate more tour-

ist traffic for our local businesses. Thank you for your ongoing, successful efforts, and how it benefits our Interior culture, economy and employment opportunities. Douglas W. Isaacson, Mayor City of North Pole

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2009

ANNUAL

REPORT

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2009 FCVB Committees Advertising & Public Relations Committee Buzzy Chiu, Chair, Fountainhead Hotels Carter Crawford, Crawford Communications Kerynn Fisher, University of Alaska Museum of the North Christina Jensen, First National Bank Alaska Jill Marshall, Marshall Arts Shelbie Umphenour, Interior Alaska Fish Processors Tourism Committee Buzzy Chiu, Chair, Fountainhead Hotels Scot Baer, Golden North Motel Matt Divens, Princess Tours Suzy Fischer, Riverboat Discovery & El Dorado Gold Mine Scott Reisland, Denali Grizzly Bear Resort Yvonne Temple, Alpine Lodge Mike Davis, Denali ATV Adventures Meetings & Conventions Committee Mark Clark, Chair, Holiday Inn Express Dustin Adams, Regency Fairbanks Hotel Berta Amico, Fairbanks Springhill Suites by Marriott Denise Ferree, Chena Hot Springs Resort Deborah Hansen, Pike’s Waterfront Lodge Becky Kunkle, Fountainhead Hotels Scott Covington, Westmark Hotel & Conference Center Helen Renfrew, Fairbanks Princess Riverside Lodge Diane Shoemaker, Fountainhead Hotels Yvonne Temple, Alpine Lodge Rita Valentine, Avis Rent A Car Patty Weaver, Pike’s Waterfront Lodge Vivian Bubbel, The Pumphouse Restaurant and Saloon Kalinka Guffaston?, River’s Edge Resort Matt Tonnies, Silver Gulch Brewery Karren Pearson, Fairbanks Springhill Suites by Marriott Visitor Services & Membership Committee Jason Avery, Chair, Pioneer Park Amy Geiger, Fairbanks Downtown Association Alison Short, Holland America Princess Alaska Tours Irene Meyer, GoNorth Alaska Travel Center Rebecca Morse, If Only...A fine store Ramona Oxendine, Santa’s-Vagabond Travel

Urban/Rural Committee * Matt Atkinson, Chair, Northern Alaska Tour Company * Note: This committee was not active in 2009 to allow the staff to focus on the move to the Morris Thompson Cultural & Visitors Center. Finance & Planning Committee Mary Richards, Chair, All Seasons Bed & Breakfast Inn Andy Anger, UAF Tanana Valley Campus Buzzy Chiu, Fountainhead Hotels Suzy Fischer, Riverboat Discovery & El Dorado Gold Mine Rebecca Morse, If Only…A fine store Kristin Wells, Denali Princess Wilderness Lodge June Rogers, Fairbanks Arts Association Matt Atkinson, Northern Alaska Tour Company Mark Clark, Holiday Inn Express & Suites Audit Committee June Rogers, Chair, Fairbanks Arts Association Matt Divens, Princess Tours Jennifer Imus, Wells Fargo Christina Jensen, First National Bank Alaska Public Policy Advisory Committee Matt Divens, Chair, Princess Tours Andy Anger, UAF Tanana Valley Campus Adam Barth, Gray Line of Alaska Buzzy Chiu, Fountainhead Hotels Amy Geiger, University of Alaska Museum of the North Mary Richards, All Seasons Bed & Breakfast Inn


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Administration Department The Administration Department manages the Bureau’s strategic planning and marketing functions, budgets and finances, contract management, purchasing, building and facilities, personnel policies and procedures, staff development and training, special projects, and represents the Bureau to the community. The Department facilitates

an efficient, effective working environment and provides administrative and technical support to the entire organization. Administration directs and manages the day-to-day financial, accounting and purchasing functions of the Bureau, receivables, payables, revenues, and expenses.

A successful nomination by FCVB yielded the Governors North Star Award for International Excellence for Condor Airlines. Administration Department Staff President and CEO: Deb Hickok Director of Finance & Administration: Lisa Auvil, Cathi Wojtanek Data Entry and Accounting Coordinator: Corinne Jankowski

Finance and Administrative Coordinator: Janet Thorpe Executive and Tourism Coordinator: Karen Gaunt, Ashley Ritenour Executive Coordinator: Lynn Fanjeaud


2009

ANNUAL

REPORT

Alaska Travel Industry Association (ATIA) Fairbanks Chapter and the FCVB worked collaboratively to host a successful Community Night at the Morris Thompson Cultural & Visitors Center for ATIA’s annual convention.

Working to Build a Better Fairbanks Frontier Airlines announced that it would service the Fairbanks market four times a week from May 14 through September 12, 2010. This decision was the culmination of years of collaboration between the Fairbanks International Airport and FCVB to lure a low-cost carrier to our community. The FCVB contracted – in collaboration with the Fairbanks Arts Association – with Conventions, Sports & Leisure (CSL) in 2008 to conduct a feasibility study for a convention center and/or performing arts center. A powerpoint of a preliminary report was presented by CSL to a variety of stakeholders in September. Due to an anticipated decline in bed tax, the Administration worked diligently with the FCVB Management Team to reduce the 2009 projected budget by $500,000. Five-and-one-half year-round positions who left through attrition were not replaced, putting additional workload on FCVB existing staff.

Provided Statewide and Local Leadership President and CEO served as Treasurer of the Board of Directors of the Alaska Travel Industry Association (ATIA) and as Chair of the organization’s Membership Committee and in October, was made Vice Chair of ATIA President and CEO was appointed to the Board of Directors of the National Council of Destination Organizations, a council of the Washington D.C.based United States Travel Association Maintained a fiscally-responsible budget. The Director of Finance and Administration implemented more sophisticated use of financial reporting software. The Audit Committee met regularly.

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Advertising and Public Relations and Public We sell Fairbanks aggressively to all Relations Department executes target markets – domestic, internaThe Advertising

a proactive, year-round public relations program to ensure ongoing, positive coverage of Fairbanks as a visitor destination.

tional and in-state. In everything we do, we strive to generate increased inquiries from independent travelers. We continually refine our programs to maximize editorial in all mediums and to evaluate based on research.

The FCVB’s targeted advertising program successfully reached potential visitors, meeting planners and the local community as examples, through eblasts, websites, magazines and newspapers.

Advertising and Public Relations Department Staff Vice President of Marketing: Karen Lundquist Public Relations Coordinator: Susan Keltner, Julia Jacobson

Advertising Coordinator: Kasey Nightingale Internet Coordinator: Chris Harper Branding and Production Coordinator: Angie Cerny


2009

ANNUAL

REPORT

AP Travel Editor visit to Fairbanks yields significant results worldwide.

PAGE

Outdoor Writers Association of America (OWAA) selected Fairbanks as the site of its 2012 annual conference. Conference planners visit Fairbanks yields significant results worldwide.

Public Relations Efforts Yield Results Facilitated 9 international and 22 domestic press tours Participated in 3 media marketplaces – Outdoor Writers Association of America (OWAA), Northwest Outdoor Writers Association (NOWA) and Alaska Media Road Show Secured the 2012 OWAA national conference for Fairbanks – first time ever in Alaska

Conversion Study Reflects Exceptional Numbers Overall visitor conversion rate increased by 3% FCVB generated visitors increased by 26% Overall cost per conversion decreased by 34% Overall return on investment increased by 43%

Website Finishes Strong Launched new explorefairbanks.com website in conjunction with Louder Design Experienced first positive growth to the website in all areas in third quarter of 2009 Added value vacations section in response to economic downturn

Advertising Expands Its Reach Increased cooperative marketing programs in seasonal/event campaigns, mileage auctions and consumer publications Visitor inquiries up by 28% over 2008 100,000 visitors guides sent out in direct mail program

Key Collateral Produced 35,000 2009-2010 Winter Guides executed

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Tourism Department The Tourism Department’s objective is to promote Fairbanks and Interior Alaska as a visitor destination, both domestically and internationally. The goal is to increase the number of independent visitors and package tour visitors to the Fairbanks area and increase the length of their stay. To accomplish this, Tourism reaches independent travelers through domestic and international advertising placements with direct mail campaigns targeted at tour operators,

travel agents and potential independent travelers to Alaska. The Department also manages a new contract for representation in German Speaking Europe. In addition, the Tourism Department attends travel and consumer trade shows to promote Fairbanks as a visitor destination. Tourism brings the Fairbanks message to tour operators and travel agents through direct sales and trade shows and serves as the link between members and these markets.

Tourism Department staff work a variety of different venues to include travel shows, sales missions, marketplaces and trade shows.

Tourism Department Staff

Director of Tourism: Colin Lawrence Tourism Sales Manager: Liz Johnson Executive and Tourism Coordinator: Karen Gaunt, Ashley Ritenour


2009

ANNUAL

REPORT

International tour operator FAMs (familiarization tours) showcase both summer and winter product and provide hands-on activities and site inspections.

AAA, Travel Agent, and Tour Operator Contacts 39 contacts with AAAs 113 contacts with Travel Agents including both international and domestic 7 Niche Club and Bank Travel contacts 23 new and 37 repeat domestic and international contacts (not including all trade show contacts)

International Sales Missions China Outbound Travel and Tourism Market (COTTM) in Beijing, China ATIA Korea and Japan (Seoul, Tokyo, Nagoya, Osaka, Fukuoka) TIA See America Week in Japan and exhibited at the JATA World Fair in Tokyo, Japan International Travel Fair (ITF) in Taipei, Taiwan ATIA Europe Sales Mission to Zurich, Switzerland, Munich, Hamburg, Dusseldorf, and Frankfurt in Germany, and London in the United Kingdom ITB in Berlin, Germany

Domestic Sales Missions Adventures in Travel Expo in New York City American Bus Association Marketplace in January in Charlotte, North Carolina Go West Travel Summit in Albuquerque, New Mexico Travel Industry Association of America International Pow Wow held in Miami, FL National Tour Association annual convention in Reno, Nevada

Familiarization Tours (FAMs) Japan Airlines winter Tour Operator FAM ATIA International winter FAM in March with participants from Australia, Germany, Switzerland, and the United Kingdom Dertour summer FAM for top selling agents Nippon Travel Agency LA office FAM ATIA German Speaking Europe representative Condor Airlines summer Tour Operator FAM Canusa FAM (with All Alaska Tours) ATIA International summer FAM in August and September with participants from Switzerland, Germany, Australia, and the United Kingdom

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Meetings and Conventions The mission of the Meetings and

Conventions Department is to sell Fairbanks as a meeting destination, thereby filling hotel rooms and benefitting our community’s economy. The main meetings and convention season in Fairbanks runs from October through

April, and provides year-round facilities a solid business base when the summer visitor season is over. The department focuses on direct sales efforts, supported by our business partners, and on offering exemplary customer service to all meeting planners.

University meeting planners benefited from learning about the planning and support services tailored by the FCVB to meet the needs of groups large and small.

Local organization meeting ambassadors are recognized for their contributions of bringing groups to Fairbanks.

Meetings & Conventions Department Staff Director of Meetings and Conventions: Jennifer Jolis Sports and Meetings Sales Manager: Jamal Brown (until June 12)

Meetings and Conventions Senior Sales Manager: vacant Conventions Services Coordinator: Ginessa Peter


2009

ANNUAL

REPORT

PAGE

Sales Leads

Groups 48

Attend 5,973

Rooms 12,040

Spending $3,917,760*

Bookings Lost Opportunities Completed Events

37 16 54

8,601 2,532 6,208

9,590 5,438 2,429

$7,130,800 $1,793,680 $3,608,600

* Total estimated direct spending if Fairbanks were to win both the 2009 and 2010 AFN Conventions. ** Total estimated direct spending for all other leads combined, without the AFN. *** Includes AFN 2009 loss to Anchorage

Meetings, Conventions and Conferences, Sporting Events Pacific Northwest Girls/Women’s Hockey Tournament, Estimated Economic Impact (EEI) of $378,000 Pacific NW Regional Forum, EEI of $216,000 25th Infantry Division Reunion, EEI of $151,900 UAF Geophysical Institute: Japan-Kamchatka-Alaska Subduction Processes, EEI $180,000 American Society of Mammalogists, EEI of $425,000

Setting the stage for 2010 and Beyond The Alaska Federation of Natives Convention and the First Alaskans Institute Elders & Youth Conferences will be back in Fairbanks in October 2010 Alaska Charter School Association, 2010 DOT Community Transportation Meeting, 2010. We have been pursuing this group since 2005. National Assn. of Social Workers, AK Chapter, 2010. We have been pursuing this group since 2005. Association of Natural Resource Extension Professionals, 2010 Alaska Power Association, 2010 Museums of Alaska & the Alaska Historical Society joint meeting will take place in Fairbanks in 2010, the first time it has been here since 2000. US Curling Jr. Nationals, 2011 Mycological Society of America, 2011 Outdoor Writers Association of America will meet at Chena Hot Springs Resort, 2012 International Congress on Circumpolar Health, 2012

Highlights of the 2009 Efforts The department coordinated 7 major fams and 3 site inspections The department completed three sales blitzes—one to Anchorage, one to Juneau, and one to the UAF campus targeted to support staff who often do the planning for campus events Fairbanks was a sponsor at the 2009 AFN Convention in Anchorage The new meeting planning guide was presented at a City Council Meeting; a Chamber of Commerce GML; and a Fairbanks North Star Borough Assembly Meeting FCVB began offering online meeting registration as a service to meeting planners In 2009, the NCAA barred all national championships from Alaska and Hawaii because of transportation costs

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Visitor Services Department Visitor Services is the consumer information source for the Fairbanks region. In addition, the FCVB provides Visitor Services for Interior Alaska providing travel information to visitors. It is the priority of the Visitor Services Department to provide the highest level of service possible to visitors while they are planning their vacation to Interior Alaska and while they are in Fairbanks.

The staff follows up on all requests from potential visitors; provides courteous in-person and telephone support with prompt, accurate information; welcomes individuals and groups, large and small, to the Visitor Information Center. This staff is known for hospitality and knowledge of the area, which ensures the success of each visitor’s experience.

FCVB Yearly Visitation # of Visitors

150,000 Independents

100,000

Tours 50,000

Totals

0 2004 2005 2006 2007 2008 2009

Please note: the chart above does not indicate the number of tourists in the community. The 2009 drop in visitation at the FCVB visitor center is a combination of decline of visitors in summer 2009 as well as the transition to a new location for the center which will take a few years to gain awareness.

First Fridays at the Morris Thompson Cultural & Visitors Center have been popular with the local community.

Visitor Services Department Staff

Vice President of Visitor Services and Membership: Karen Lane Manager of Visitor Services and Membership: Charity Gadapee Data Entry and Accounting Coordinator: Corinne Jankowski Visitor Information Specialists: (FT) Steven Bigler, Yuki Kawano

(PT) Shelly Smith, Susan McMahon, Matt Hayes, Karl Swenor, Karen Norris, Melanie Stuart, Pia Speck Visitor Information Volunteers (year-round): Hollis Hall, Al Knapp, Dale Yoder


2009

ANNUAL

PAGE

REPORT

Visitor Industry Walk for Charity drew great participation from local nonprofit organizations.

The FCVB’s successful Golden Heart Greeter program recognized the contributions of its many volunteers.

Department Works Collaboratively Worked with the Downtown Association to coordinate group tour schedules with downtown based restaurateurs and shops. Implemented training Downtown for employees of Holland America Princess Alaska Tours and Royal Celebrity Tours Assisted at the World Eskimo Indian Olympics in July Had 40 active Golden Heart Greeters who contributed 850 hours Greeted 60,221 independent and 4,000 tour group visitors to the Morris Thompson Cultural & Visitors Center for our first full year at the new center Participated in the 2009 Relay for Life, raising money for the American Cancer Society Coordinated the Alaska Travel Industry Association Convention that showcased Fairbanks Increased our presence at Eielson Air Force Base with giving Fairbanks information two times a month at the Eielson First Term Airmen Briefings and participated in winter presentation at the Eielson Winter Briefings for new arrivals. We also presented winter activities and attractions at the Eielson Town Meeting with 90 attendees Participated in the UAF Fall Orientation with two different seminars and a tour of Fairbanks The Department coordinated the Fairbanks 7th Alaska Visitor Industry’s Walk for Charity on May 8. The walk raised $14,334 for 43 local charities. Since 2001, seven Charity Walks have raised $178,156 for local charities. In coordination with the Alaska Public Lands Information Center, hosted First Friday artist receptions at the Morris Thompson Cultural & Visitors Center for 1,529 people.

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Membership Department Membership acts as the Bureau’s nesses to large corporations. Staff conmember liaison. Membership works to increase member support and involvement and fosters relationships with member businesses while generating revenue from membership services. Membership remains focused on maintaining close working relationships with all Bureau members from small busi-

tinually updates their knowledge of member products and services to better serve and maximize each member’s business investment. By working together, the Bureau and its members can strengthen the Interior’s visitor industry and economy.

The FCVB honored visitor industry leaders and staff at its annual awards banquet.

Membership Department Staff

Vice President of Visitor Services and Membership: Karen Lane Visitor Services and Membership Coordinator: Anna Richmond


2009

ANNUAL

REPORT

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Membership Department staff provide AlaskaHost, cross-cultural communications, ask me about winter training and more to local visitor industry businesses.

Department Works Collaboratively The Membership Department coordinated the Second Interior Tourism Conference. The conference focused on Customer Service and Dennis Snow, formerly of Disney, presented some great workshops. Coordinated the Alaska Highway Neighbors Conference in Fairbanks in April Continued partnership with the Downtown Association by offering a joint membership program The Annual Awards Banquet was held at the Morris Thompson Cultural & Visitors Center.

Annual Awards Banquet honored individuals & industry businesses The Golden Heart Award - Dixie Alexander, Athabascan Design, for her exceptional hospitality, commitment and effort on behalf of Fairbanks visitors. The Aurora Award - Mayor Jim Whitaker, Fairbanks North Star Borough, for all of his effort and support of the local Tourism Industry. The Jim and Mary Binkley Award - Mok Kumagai, Aurora Borealis Lodge, for his creativity, innovation, courage and entrepreneurialism in the introduction of new and improved products and services for the benefit and enjoyment of visitors to Fairbanks. The Raven Award - Mike Cox, Fairbanks North Star Borough Parks & Recreation Department, for all of his hard work at Pioneer Park. President’s Awards - Stan Stephens, Stan Stephens Glacier & Wildlife Cruises, for more than 30 years of running a reputable and generous business in the Interior. The Gold Pan Award & FCVB Vest - Kristin Wells, 2008 FCVB Board Chair, for her exceptional commitment to the organization. Special FCVB staff service awards for five years of service to Shelly Smith, Kasey Gillam, Yuki Kawano, Jennifer Jolis. Karen Lundquist received recognition for 10 years of service with FCVB.

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FAIRBANKS CONVENTION AND VISITORS BUREAU STATEMENTS OF FINANCIAL POSITION December 31, 2009 and 2008

ASSETS 2009

2008

768,241

840,667

36,323 64,088 14,581

4,170 38,325 221,744 -

19,802 1,019 92,725 98,944 1,095,723

220,236 123,401 1,448,543

595,655 379,903 215,752

586,618 353,827 232,792

1,311,475

1,681,335

CURRENT LIABILITIES Accounts payable Conference fee payable Payroll liabilities Deferred income Unearned revenues Total current liabilities

131,595 19,147 43,047 65,034 82,889 341,712

44,942 99,175 118,344 262,461

NET ASSETS Unrestricted Investment in property and equipment Board designated for subsequent years Board designated working capital reserve Undesignated Total net assets

215,752 422,391 246,609 85,011 969,763

232,792 720,235 351,868 113,979 1,418,874

1,311,475

1,681,335

CURRENT ASSETS Cash Receivables Accounts receivable, less allowance for doubtful accounts of $-0- and $-0Contribution receivable from City of Fairbanks Grant receivable from Fairbanks North Star Borough Contract receivable from Fairbanks International Airport Receivable from Morris Thompson Cultural and Visitors Center Other receivables Inventory Prepaid expenses Total current assets

$

PROPERTY AND EQUIPMENT Less accumulated depreciation

Total assets

$

LIABILITIES AND NET ASSETS

$


FAIRBANKS CONVENTION AND VISITORS BUREAU STATEMENTS OF ACTIVITIES Years ended December 31, 2009 and 2008

CHANGES IN UNRESTRICTED NET ASSETS Revenues, gains, and other support: Hotel/motel contribution from City of Fairbanks Grants from Fairbanks North Star Borough Fairbanks International Airport contract Program income: Advertising and Public Relations

2009

2008

$ 1,444,150

1,731,631

780,522

1,488,679

14,581

15,310

35,877

27,943

Visitor Services

15,366

14,860

Tourism

26,251

41,299

Meetings and Conventions

22,911

32,432

250,531

188,687

Membership Interest

141

1,618

Total revenues, gains and other support

2,590,330

3,542,458

Advertising and Public Relations

1,200,258

1,149,933

Visitor Services

519,859

563,596

Tourism

370,722

363,032

Meetings and Conventions

332,979

463,762

Membership

153,968

195,577

General Administration

461,656

659,353

Total expenses

3,039,442

3,395,253

Change in net assets

(449,111)

147,205

1,418,874

1,271,669

969,763

1,418,874

Expenses: Programs:

NET ASSETS, January 1

NET ASSETS, December 31

$


FAIRBANKS CONVENTION AND VISITORS BUREAU STATEMENTS OF CASH FLOWS Years ended December 31, 2009 and 2008 2009

2008

CASH FLOWS FROM OPERATING ACTIVITIES Cash received from contributions, grants, and contracts

$

2,485,687

2,813,732

262,507

344,569

141

1,618

(2,811,725)

(3,429,745)

(63,390)

(269,827)

(9,036)

(213,923)

(72,426)

(483,750)

840,667

1,324,417

768,241

840,667

(449,111)

147,205

26,077

29,129

Accounts receivable

(52,974)

7,104

Contribution receivable from City of Fairbanks Grant receivable from Fairbanks North Star Borough Contract receivable from Fairbanks International Airport

(25,762)

(4,408)

221,744

(221,744)

Inventory

127,510

(175,108)

Prepaid expenses

24,458

30,457

Accounts payable

86,653

12,538

Conference fee payable

19,147

Cash received from program revenue Interest received Cash paid to employees and suppliers Net cash provided (used) by operating activities CASH FLOWS FROM INVESTING ACTIVITIES Additions to fixed assets

Net increase (decrease) in cash

CASH, January 1

CASH, December 31

$

RECONCILIATION OF CHANGE IN NET ASSETS TO NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES Change in net assets Adjustments to reconcile change in net assets to net cash provided (used) by operating activities: Depreciation Changes in:

(14,581)

Payroll liabilities

(56,128)

68,492

Deferred income

65,034

(195,736)

(35,455)

32,244

(63,390)

(269,827)

Unearned revenues Net cash provided (used) by operating activities

$



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