Letter of Confirmation between Virginia Beach Convention & Visitors Bureau and Name of the Organization Date This letter confirms that (Name of Organization) has selected Virginia Beach as the host city for your (Name of Event) over the dates of (dates). The Virginia Beach Convention & Visitors Bureau (VBCVB) and our entire hospitality community are very excited to have this opportunity to assist in planning and executing a highly successful event in our coastal destination. With this letter, we hope to confirm in writing, the key elements that have been mutually agreed to in order to secure this event for the city of Virginia Beach. Basic Requirements: The following outlines the Virginia Beach room block that we understand you are contracting for with our various hotel partners based on your RFP and past historical performance by your organization. The exhibit and meeting space held at the Virginia Beach Convention Center is outlined in the Center’s proposal dated insert date; space is confirmed when the Center’s Use Permit Agreement is fully executed. Day Date Block Total Room Nights:
____________________
Projected Out of Town Attendance: _______________ # of Hotels Being Used: _____________ Financial Contributions & Concessions: We are happy to offer the following concessions for this event: 1. Virginia Beach Convention Center Rental Incentive: Virginia Beach and its Center are excited to partner with you in the success of your program. To that end, we will invest $XX,XXX .00 in rental costs based on your projected room night use of XXXX and your F&B commitment of $XX,000.00 (exclusive of tax and gratuity) at the building. As with our hotel partners, the terms and conditions of this offer are subject to an executed Use Permit Agreement with our partner at the Virginia Beach Convention Center and will include a performance clause; rest assured that the full incentive will be received with 85% room night pick-up actualized; a direct correlation between your actual pick-up and the incentive % will apply once you fall under the 85% threshold. Example: client is offered a 25% rental discount based on picking up
1200 room nights. Group actualizes 860 total room nights or 71.66% of the block. 71.66% of 25% = 17.9% discount applied to rental.
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2. VBCVB Transportation Funds: We will also invest $XX,XXX.00 in transportation fees to ensure fluid movement between our venue and the official designated convention hotels. 3. VBCVB Special Promotion (if applicable): This booking qualifies your organization to participate in our Love the Moment Incentive that promises a credit to your Master Account at the (Hotel Name or VBCC) based on your utilized room nights at the conclusion of your event. Based on projections, the VBCVB will be crediting your master account with the following figures: With X,XXX room nights actualized, $X,XXX.00 will be credited to your Master Account at (XXX) Venue and $XXX.00 will be awarded to your Charity of Choice. 4. Promotional Assistance The VBCVB will supply you with information on facilities, attractions and entertainment to assist with the marketing of your event; including a virtual office on-line to build post cards and awareness; ideas will be available at the year prior’s event to promote Virginia Beach. (Where applicable: our Convention Services Team will do an “Attendance Builder” at the site of your event one year prior – this is an additional investment of $X,XXX.00). 5. On-Site Assistance VBCVB will provide welcome items to include on-site registration material, welcome tables, over–street banner and ribbons for hotel staff and welcome desk personnel. (If Applicable) 6. Other: (Sponsorships; other offers where one must be specific and identify limits such as items along parade route, logistics and what is not included to be paid for by Virginia Beach CVB ( i.e.: bleacher seating along parade route). Hotel Rebates: In addition to the above incentives, your convention hotels have included a $X.00 per paid room night rebate, that will be used to offset (whatever applies) expenses. Mention here if rates are commissionable and at what percentage. Based on your projected use of guest rooms and given a 15% margin of error for slippage of rooms that may go around the block, this rebate is projected to generate $XX,XXX.00 in revenue to offset your expenses. See the calculations below for more details: __XXXXX__ = Total projected hotel roomnights __XXXXX__ = Total projected hotel rooms less 15% industry standard margin of error __XXXXX__ = Less projected comp. rooms (1 per 50/or whatever the ratio is…) __XXXXX__ = Total projected rooms eligible for rebate x $_X_ per paid room rebate __XXXXX__ = Projected rebate revenue to be collected by hotels and paid to (Name who, client or CVB) and paid to (Name of organization/VBCC/etc.). Hotel rebates are the responsibility of the hotels you have contracted and not the VBCVB (TBD). Rebates should be noted in your contractual agreements with the hotels you have selected. Organization’s Commitment: It is hereby understood that the (Name of Organization) agrees to bring this (Name of Event) to Virginia Beach, VA over the stated dates. VBCVB asks in return for these concessions listed above, that the (Name of Organization) mail a letter to the VBCVB reflecting your experience at the conclusion of this event.
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This document outlines the overall mutual expectations of your organization and the VBCVB with regards to the upcoming event. VBCVB and its hospitality partners will plan to make the following financial commitments based on the information provided in your request for proposal: TYPE OF CONTRIBUTION Incentive/ In Kind Hotel Rebate Total
VALUE TO GROUP $ XX,XXX.00 $ X,XXX..00
TOTAL
$XX,XXX.00
This document contains confidential information and is intended only for the (Name of Organization). Please note that while this letter of confirmation is not a legal binding contract, the signatures below signify agreement and measurements of good faith by all parties involved to achieve the obligations herein detailed above in return for meeting in the City of Virginia Beach. If the above specifications are correct and agreed upon, please sign, date and return an original copy to the VBCVB offices (by option date). Thank you again for choosing Virginia Beach to host your (Name of Convention). We look forward to working with you.
_________________________________________________________ Client’s Name, Title
___________________ Date
_________________________________________________________ Convention Sales Manager
___________________ Date
___________________________________________________________ Director of Sales
____________________ Date
___________________________________________________________ VP of Sales & Marketing
___________________ Date
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