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HomeMy WebLinkAbout(4) MARDI GRAS/CITY SERVICESUnbilled Mardi Gras Expenditures 2002 2001 Water 1,675.44 1,438.20 Fire 498.22 1,112.12 Police 1,566.56 2,273.60 Public Works Streets 10,068.00 6,330.94 Drainage 1,558.90 1,529.72 EJectrical 4,439.11 5,030.56 Solid Waste 2,941.68 1,829.13 Total Estimated Unbilled 22,747.91 19,544.27 Total Billed Costs 47,693.83 53,486.03 Unbilled Costs for other activities Juneteeth MLK Bethlehem Water 309.98 Solid Waste 81.20 40.60 40.60 Electrical 2,432.23 6,381.52 Drainage 392.53 Streets 1,632.68 463.83 451.30 4,848.62 504.43 6,873.42 INTEROFFICE MEMORANDUM TO: FROM: SUBJECT: DATE: STEVE FITZGIBBONS, CITY MANAGER DALE L. WATSON, DIRECTOR OF PLANNING MARDI GRAS 02/13/03 The City Council at its meeting of January 28, 2003 raised several questions concerning Mardi Gras. I will attempt to pmvide answers to those questions. 1. Is Mardi Gras a tax-exempt organization? Mardi Gras of Southeast Texas was established as a 504 C (4) tax-exempt organization in 1992 by eighteen Port Arthur non-profit organizations. Each of these organizations contributed $5,000 to pay the cost of conducting the first Mardi CJras. These organizations also provide many of the hundreds of volunteers that it takes to put on this event every year. Representatives fiom these organizations make up the board of directors and make all decisions relative to Mardi Gras. 2. Was Mardi Gras donated land at 601 Procter Street to build their storage building? In 1993, the building on this property was in the process of being demolished by the owner. As a result of a fire and in the interest of public safety, the Fire Department halted demolition. This created a controversy between the owner and the City. This was complicated by the fact that the owner had been paid in advance for bricks and other salvage items from the building. The City asked Mardi Gras to assist in this problem. Mardi Gras agreed to buy the building fi'om the owner and settle the claims of approximately 20 citizens who had paid for salvage materials. Mardi Gras purchased the property and donated it to the City. The City then demolished the building. As a result of the assistance provided by Mardi Gras, they were granted right of first refusal should the City later wish to dispose of the property or should Mardi Gras have a use for it. Mardi Gras later requested that they be permitted to construct the present structure on the property and donate it to the City in return for a 25-year lease at $1.00 per year. Mardi Gras is responsible for all maintenance and insurance. 3. What organizations make up Mardi Gras and who is on the board of directors? Org~niTation American Italian Club Golden Triangle Cajun Club Knights of Peter Claver # 18 Knights of Peter Claver #182 Lindley Foundation Port Arthur Chamber of Commerce Port Arthur Evening Sertoma Port Arthur Noon Sertoma South Jefferson County Center Sacred Heart Catholic Church Board Member Mary Colletti Lou Boudain Sylvester Chavis Arthur Pillette Felix Ramirez Kris Adam Donald Varing Joe Collette Raymond Depwe Rosa Chavis St. Catherine Catholic Church Barbara Norwood St. Catherine Catholic PTO Alice Robbins St. Catherine Catholic School Ann Marceaux Foundation St. James Catholic Church Pete Manuel St. Johns Catholic Church St. Joseph Catholic Church St. Mary Catholic Church St. Mary Hospital Fo.ndation Mary Bell Lewis Joe Richard Harold Manuel Emily Taylor Officers of the Board are: Chairman Treasurer First Vice President Vice President Secretary Second Vice President President Mary Bell Lewis Joseph Richard Mary Bell Lewis Laura Childress Emily Taylor Sylvester Chavis Floyd Marceaux The Retail Merchants Association has recently been added as the nineteenth member organization. Retail Merchants has provided staff'mg at no cost to Mardi Gras since its inception. 4. Does Mardi Gras make money? Mardi Gras of Southeast Texas has taken in more money than it spends on the event each year. This money is used to fund the event for the following year, establish a reserve fund that would provide funding for the event in case there is a year in which the event has a bad year, establish a capital fund for the purchase of additional assets 2 and the payment of money to each of the founding organizations for use as they see fit, as permitted by their non-profit stares. These organizations have received the following repayments: 1993 $500 1994 $500 1995 $1,000 1996 $1,000 1997 $1,000 1998 $1,000 1999 $2,000 2000 $2,000 2001 $2,500 2002 $4,000 A copy of the Mardi Gras accountant's revenue and expense statemem is attached (Exhibit "A") covering FY2001 and FY2002. 5. Are there other Mardi Gras festivals? Do they charge an entry fee? I have only been able to idemify two other Mardi Gras celebrations similar to the celebration we have here. Those are in Galveston and Lafayette. I have attached (Exhibit "B") an article about the Galveston Mardi Gras that explains how it is funded and the fees that they charge. To summarize the article, until this year the City of Galveston has funded the entire cost and charges an entry fee roughly twice that of our local Mardi Gras and still lost $350,000 last year. Starting this year the Galveston Mardi Gras will be funded by the Park Board. While not the City, the Park Board is a public board funded primarily by parking fees on Galveston's public beaches. The Lafayette Mardi Gras is funded by donations, sponsorships and the Lafayette Convention and Visitors Commission. They do not charge an entry fee for any activities but do charge $5.00 for parking. Most Mardi Gras celebrations consist of parades only and do not charge. The cost of security and traffic control is normally provided at no charge by the City. It should be noted that of the approximate 300,000 people who attend local Mardi Gras of Southeast Texas each year only 40,000 are paid attendees. The majority of those enjoying the Mardi Gras celebration attend on the free night Thursday or watch the parades outside the compound. In effect, those 40,000 are funding the Mardi Gras celebration for the other 260,000. 6. Is sales tax paid on purchases made at Mardi Gras? All vendors at Mardi Gras are required to have a sales tax certificate fi.om the State Comptrollers office. The Comptrollers Office asks Mardi Gras for a list of vendors each year to determine if they have all applied for a sales tax certificate. In addition, for the past several years the Comptrollers Office has made an onsite check of vendors during Mardi Gras to verify all vendors had the required tax certificate. 7. Is Mardi Gras a benefit to the City? A survey (Exhibit "C") conducted during the 2000 Mardi Gras showed that approximately only 22% of the attendees are fi.om Port Arthur and 50% of those attendin4g were from outside the area. These attendees bought gasoline, stayed in local motels and spent money at local businesses. The Lafayette Convemion and Visitors Commission was the subject of a study (Exhibit "D") to determine the economic benefit to the City. This study shows that the average visitor spent $56 per day. Even if one makes the most conservative estimate and assumes that all attendees outside of the gates are Port Arthur residents, visitor spending in Port Arthur would be $1.6 million. 4 EXHIBIT A MAZ Ja & CERTIFIED ~BLIC ACCOUNTANTS 2931 PARKP~ RO. BOX~ Po~ AmuR. TEXAS 77~3 Terepuo~ (409) 982-9405 May 9, 2002 To The Board of Directors Mardi Gras of Southeast Texas, Port Arthur, Texas Inc. We have compiled the accompanying statements of assets, liabilities, and nee assets income uax basis of Mardi Gras of Southeast Texas, Inc. (a nonprofit corporation) as of April 30, 2002 and 2001, and the related statements of unrestricted revenues and expenses income tax basis for the twelve months ended April 30, 2002 and 2001, and the accompanying supplementary information contained in the schedule, which is presented only for supplementary analysis purposes, in accordance with Statements on Standards for Accounting and Review Services issued by the American Institute of Certified Public Accountants. These financial statemenus and supplementary information have been prepared on the accounting basis used by the organization for income tax purposes, which is a comprehensive basis of accounting other than generally accepted accounting principles. A compilation is limited to presenting in the form of financial statements and supplementary schedules information that is the representation of management. We have not audited or reviewed the accompanying financial statements and the supplementary schedule and, accordingly, do not express an opinion or any other form of assurance on them. Management has elected to omit substantially all of the disclosures ordinarily included in financial statements and supplementary information prepared on the income tax basis of accounting. If the omitted disclosures were included in the financial statements and supplementary information, they might influence the user's conclusions about the organization's assets, liabilities, net assets, revenues, and expenses. Accordingly, these financial statements and supplementary information are not designed for those who are not informed about such matters. Ce~l~ied Public Accountants MARDI GRAS OF SOUTHEAST TEXAS, INC. STA%~MENTS OF UNRESTRICTED REVENUES AND EXPENSES FOR THE TWELVE MONTHS AND TWELVE MONTHS ENDED APRIL INCOME TAX BASIS 30, 2002 AND 2001 This Year Last Year Variance REVENUES Admission - Gate Admission - Advance tickets MKA dues MKA costumes Mardi Gras store Munchkin parade Truck parade - Sponsors - General Concessions - Arts & Crafts Concessions - Food vendors Concessions - Games Concessions - Beverages Parking Rentals Teen Aurora Interest income Gain (loss) on sales of assets Miscellaneous income TOTAL REVENUES EXPENSES Advertising Artwork/Poster Bank service charges Barricades City services Concerts - Music Concerts - Staging Concessions - Beverages Concessions - Equipment Contributions Credit card fees Depreciation expense Dues and subscriptions Entertainment and fireworks Fencing supplies Insurance - General Legal and professional MKA expenses Mardi Gras store Office expense Permits Port 0 Lets Postage & Freight Printing - Outside services Private security Rental - Floats Rental - Others Rental - Events $ $ 202,019 $ 167,041 $ 34,978 63,044 77,663 (14,619) 33,020 41,868 (8,848) 19,666 16,623 3,043 29,223 32,310 (3,087) 215 580 (365) 6,500 4,800 1,700 88,750 79,300 9,450 16,125 15,895 230 34,485 32,075 2,410 18,250 23,705 (5,455) 104,285 117,187 (12,902) 940 1,128 (188) 20,150 26,330 (6,180) 2,475 2,000 475 17,860 11,780 6,080 0 1,050 (1,050) 0 4,916 (4,916) 657,007 5 656,251 $ 756 33,904 $ 25,980 5,330 5,393 33 45 10,101 0 50,455 60,594 24,700 31,793 14,899 16,600 36,540 41,961 0 6,455 77,000 45,000 616 628 40,225 42,401 588 237 17,634 13,908 4,450 3,615 13,708 12,567 1,250 1,525 93,510 84,706 25,834 26,943 37 2,000 730 888 4,200 4,200 238 0 1,576 1,321 52,613 38,324 15,550 19,450 10,800 0 6,789 11,567 $ 7,924 (63) (12) 10,10i (10 139) (7 093) (1 701) (5 421) (6 455) 32 000 (12) (2,176) 351 3,726 835 1,141 (275) 8,804 (1,109) (1,963) (158) 0 238 255 14,289 (3,900) 10,800 (4,778) See accountants' compilation report. MARDI GRAS OF SOUTHEAST TEXAS, INC. ~STA%~MENTS OF UNRESTRICTED REVENUES AND EXPENSES - INCOME TAX BASIS FOR THE TWELVE MONTHS AND TWELVE MONTHS ENDED APRIL 30, 2002 AND 2001 This Year Last Year Variance Repairs and maintenance Taxes - Sales Taxes - Property Teen Aurora expenses Utilities TOTAL EXPENSES NET INCOME 10,940 12,798 (1,858) 3,701 2,075 1,626 1,710 1,696 14 3,926 1,896 2,030 2,150 3,719 (1,569) 565,737 $ 520,285 $ 45,452 91,270 $ 135,966 $ (44,696) See accountants' compilation report. EXHIBIT B Page 1 of 2 Subj: Galveston slashes Mardi Gras budget Date: 10/27/02 1:13:29 PM Central Standard Time From: dub42435~,yahoo.com Reply-to: dub42435(~.ih2000, net To: benii(~.portarthu r. net, Fmarceaux~,aol.com Sent from the Intemet (Details) Thousands slashed from Mardi Gras budget By Richard Massey The Daily News Published October 27, 2002 GALVESTON -- City councilman Johnny Smecca announced Friday that about $115,000 has been shaved off the Mardi Gras budget. The cuts were made in the area dedicated to essential city services: public safety, sanitation, traffic control and emergency operations. The preliminary budget is $600,000, down from last year's figure of $715.000. The cuts ara not expected to compromise the safety of the thousands who come here each year to drink, party and jockey for beads. The annual push to secure public safety and entertainment arrangements for Mardi Gras is in full swing, as city officials and park board staffers ara solidifying the budget, sponsors and entertainment lineup. The event, which will celebrate the r~jAu:u~sts of the world, is expected to attract up--people to the island over bNO weekends. "---'7/~',, Smecca. who serves as council representative to the park board, is working with city officials to create a tight budget that still meets security and sanitation needs. This is the first year the park board would pay for all expenses and receive all revenues. The city will front the money for city services and be compensated shortly after the event by the park board. In November, the city and the board are supposed to ratify an agreement outlining the reimbursement terms. The agreement cedes $1 of ticket sales -- ~3rojected to generate $60,000 -- back to the city. The money is to be used to provide city services for smaller events that focus on the local community. "At this point. we've put a lot of work into making this happen." said Smecca. He said that in the past, city department heads basically set aside a pile of money similar to what Monday, October 28, 2002 America Online: Fmarceaux Page 2 of 2 had been set aside in the previous year. "V¥~ don't accept that," said Smecca, who on Friday huddled with park board trustee Gemj DelPrete, park board administrator Lou Muller, police chief Bob Pierce, fire chief Danny V~ber, traffic manager Mike Ddcks and emergency management director Eliot Jennings. The individual budge~;s for police, fire protection, traffic control, sanitation, the shedffs department, code enforcement and emergency operations were reviewed. Extra attention has been paid to the budget this year because the city is assuming a risk by fronting Mardi Gras dollars to the park board. City Manager Steve LeBlanc has been blunt in his goal that the city "be made whole" after the event. Last year, the city lost about $350,000. Smecca said he was pleased with what he and the Mardi Gras team had accomplished. "That's what you're supposed to do as a council member," he said. Chris W3olwine, special events manager for the park board, along with special projects coordinator Brett Foley, is handling the bulk of the planning at the staff level. VVoolwine and Foley have wrangled sponsorships and have lined up nine acts for the first weekend of Mardi Gras. Mardi Gras: First weekend: Feb. 21-23 Second weekend: Feb 28 - March 2 Fat Tuesday: March 4 ay: $15 -- ~ Saturday: $20 ~ '"---........~ay: $5, 12 and under free ~ Proposed budget for city services during Mardi Gras: Police: $253,000 Fire: $12,500 Sheriffs department: $88,000 Code enforcement: $4,000 Emergency operations center. $12,500 Sanitation: $80,000 Traffic control: $80,000 Supplies: $70,000 Do you Yahoo!? Y! V~b Hosting - Let the expert host your web site http://webhosting.yahoo.corn/ Monday, October 28, 2002 America Online: Fmarceaux EXHIBIT C CREDIT BUREAU 001 E S E A R C H, I N C, PIIo~ILE$ TH,ROUGH REStEARCH~ l:~rinw a* period of March 2 * $, 2000, Da~Sase lte~ch, Inc. P~o~hJc ~ ~ch we ~ ~m~ m ~Mde you wi~ ~ M~h ~Jeat ~ysis by Zip ~e. ~e ~h D~h~ 'An~ys~ pm~ follo~n8: ~' income ~M~o~ o~ ~M~ ~s of ~S~nt ~ °f ~ut ~ w~ ~sO~on~ ~ foll~q~ons: ~Y ~ wzll you ~slt ~ ~ ~ie y~ ~ach r, port, a~ well as your da~ei~cd client i~fonnafioA, bas ~c obj~v~. ~ ~h ~c A~ysis is ~ ~ ~ve a qui~ ~c ~' ~ ~flle of your c~ ~, ~is ~ of yo~ c~ ~ ~]t u ~ir ~c ~fion ~d li~ ~s, ~diflon~, ~ ~ ~ ~not ~. to m~ of ~ ~ w ~ve you a c~ I y u~fu] w~ ~ tn co,un,on wl~ ~e ~c prof~e Of YO~ ~ 02/07/2003 09:06 FAX 4097218700 R.RA CREDIT BUREAU ~002 survey ,..ed in ~ ~mdy wee d~i~nOd by DB~ ~d ~v~ by ~i ~ Sou~m Te~ ~ ~ol~y ~si~ is ~o~l in ~ - one ~ ~ls ~or ~ =otJe~ou o~ ~ ~ I ~1~ ~ ~ As wi~ any mm'kef t~se, a~b. proj~ ~*re are ~n ~mi~o~s ~ y~ ~ c~ ~ you m~ yo~ m~. Foe ~pi*. dupl~ cn~ ~d m on, by ~i~]y clien~ We arc very pl~zod to be able to provide fltis information to you Md we a~ sure you will find it useful in yo~r futm~ mariasting d i- EXHIBIT D THE ECONOMI(~ IM A(~T | OF MA~I 6RAS O~ TIIE CITY OF lAFAYETTE 2000 · This study would not have been successful without the generous support of Mr. Gerald Breaux, Executive Director of Lafayette Convention and Visitors Commission and Mr. Val Domingue from the Greater Southwest Louisiana Mardi Gras Association. A task of this magnitude could not be conducted by one's self and I would like to recognize those who helped produce this study. First, John Tanner, Ph.D., the Melvin R. Boesch Regents Professor in Business Administration and Professor of Business Systems Analysis, and Technology, who performed the pain staking task of looking at all the survey responses and using statistical analysis to make sense so we can understand the results; Ms. Melanie Meche, Instructor of Business Systems Analysis, and Technology, and Ms. Becky Noto, Instructor of Hotel, Restaurant and Tourism Management for their time consuming task of entering the survey data; Ms. Coty Begnaud, Graduate Research Assistant, for all her help and organizational skills; Ms. Wendy Coats for all the time and patience to put all the charts and graphs together; and the students in the School of Human Resources who helped survey tourists during the Mardi Gras parades when most of their classmates were partying and enjoying the festivities. A special thanks to the hotels of Lafayette who allowed us to place the surveys in their lobbies so the tourists could fill them out at their leisure during their stay. I hope the results of this research project are beneficial to the Greater Southwest Louisiana Mardi Gras Association, LCVC and the City of Lafayette. Sincerely, Dr. Jerome F. Agrusa Principal Investigator TABI~ O1~ comPActS . RESULTS OF THE STUDY.'INTRODUCTION EXECUTIVE SUMMARY. ! PREFATORY NOTE ........ ...... ..... ........ i ....... i ..............iii24 1 PART ONE: Tourists & Day-Trippers ................... 4 PART TWO: Krewe Members ......................... 9 SUMMARY OF RESULTS... 12 COMPARISON OF RESULTS: 1998, 199 ~& 2000 ............ 15 REFERENCES ............................ 24 ii PREFATORY NOTE This report was developed fi.om primary data collection by interviews ofkrewe members as well as tourists. That is, the figures Used in the analysis of The Economic Impact of Mardi Gras on Lafayette were derived fi.om surveys collected and do not represent speculative estimates. iii ( ( ( : For the third consecutive year a study was undertaken to determine the economic impact of the 2000 Mardi Gras season to the Lafayette area. The overall total spending and tax revenues that are generated during the carnival season are tremendous. The premise of this research report was to determine how much money was spent by krewe members and guests for the balls and parades, as well as, how much money was spent by tourists who visit and participate in the Lafayette Mardi Gras. The study was conducted fi.om March 3 to March 7, 2000, and 774 surveys were collected during that time. Slightly more than half (50.4%) of the respondents reported that this was their f~rst visit to Lafayette for Mardi Gras. Forty-siX states, the District of Columbia and eight different countries were represented in the sample. Most of the visitors came fi.om neighboring states with Texas providing the largest pementage of all visitors (23.4%). As fo~ international visitors, Canada had the highest representation with over 3% (3.4%). Most of the respondents (62.4%) indicated that family and friends provided the greatest influence on their decision to attend Lafayette Mardi Gras. Other sources of information were comparatively marginal. Word of mouth, mentioned by 12.8% of the respondents, and the Internet (8.2%) were the other most influential sources of information. Most visitors stay with friends and family (39.7%), followed by people staying in commercial acco. mmodations such as hotel and motels (38%). When asked the number of nights they were staying on this excursion to Lafayette, 85.4% reported 2 oO, r more nights _a~_,d over half (52.9%) reported to staying 4 nights or more. The majority (72.7 ~) of the visitors means of transportation to Lafayette was by automobile, while the second largest means of transportation reported was airplane (16.7%). There are approximately 25 non-parading krewes and 16 parading krewes with an average membership of 125 members in each krewe in the Lafayette area. Information gathered from the krewe members in this study reported that the average float rider spends $354.76 on throws. When asked how much money krewe members spent on the parade float itself, the average response was $237.02. A~,,Ithough ~ ~s the parades that lure tourists, much of the money is spent on the balls and dinners. ~ne size of the ball can be from a few hundred guests to over 2,000 celebrants and guests, which has to be ,held in a large arena. When asked how many balls the krewe member attended during this years Mardi Gras season, the response was an average of 2.44 balls, with over 17.4% of the respondents reporting they attended 4 or more balls. According to the responses, krewe members spent an average of $268.80 to attend each ball. when asked how much money they spent on clothes (i.e. tuxedo rental, ball gowns, etc.) during the Mardi Gras season, the krewe members indicated an average of $387.97. Tourism has become very significant, both socially and economically. It is one of the fastest growing economic activities in many regions of the United States. Travel and tourism is Louisiana's second largest industry and has helped to stabilize the local economy that was once dominated by the petroleum industry. In 1997, the Louisiana travel industry generated travel- related spending of $7.3 billion on transportation, lodging, food, entertainment, recreation, and shopping (Louisiana Welcome Center Vis~tors Survey 1999 Final Report). Total estimated statewide employment for the tourism industry in 1996 was 94,190 (Lafayette Convention and Visitors Commission 1998 Marketing Report). Over the past few years, tourism in Louisiana has increased significantly. This is due to the vast amount of festivals and special events that the state holds annually. Many of these festivals are centered around the tradition and culture of the state and are held in New Orleans. One of the largest festivals held in New Orleans is Mardi Gras. According to the Greater New Orleans Tourist and Convention Commission, Mardi Gras is defined as a period when hundreds of thousands of citizens and visitom give expression to their festive feelings before the Lenten period of fast (1966). Mardi Gras in New Orleans is without a doubt, the largest, happiest and most widely known festival throughout the year, where all revelers say "Laissez les bun temps rouler" or "Let the good times roll". It has also been said, "People in Louisiana know how to throw a party. They always do it "well". Most of the time they do it "better". Once a year they do it "best" ("Mardi Gras," 1993, p.1). Mardi Gras in New Orleans has always brought tourists from far and wide and, because of its high popularity, has had a strong economic impact on the city of New Orleans. A recent study conducted by James McLain, an economics professor at The University of New orleans, has shown that New Orleans is impacted each year by Mardi Gras in the $800-900 million range (1998). However New Orleans is not the only area in Louisiana where Mardi Gras is celebrated. Some claim that Lafayette, Louisiana has been recognized as having one of the largest Mardi Gras celebrations in the state. (Mamalakis, 1975). The parish of Lafayette serves as the focal point of the Southwestern region of Louisiana, also known as Acadiana. This portion of Louisiana is an area that is rich in local culture. This area came to be known as Acadiana when French-speaking Acadians from Nova Scotia were forced from their homeland for refusing to swear allegiance to the British crown in 1755 (National Parks Service, 1992). Those who were exiled journeyed to the Louisiana territory to fred new homes along the fertile bayous and prairies of South Louisiana. By the turn of the 19th century, between three thousand and four thousand Acadians had arrived and settled in the Southern region of Louisiana now known as Acadiana (National Parks Service, 1992). Lafayette is called the capital of Acadiana, an eight-parish area in Southwest Louisiana that was settled by the Acadians. The culture and traditions of Lafayette remain uniquely "Cajun" (Acadian). The city has a large number of French-speaking inhabitants and is renowned for its Cajun and Creole cuisine (The Encyclopedia Americana, 1996). The area also has numerous festivals that are unique to its Cajun, Creole, and German cultures. One of the largest festivals in this area is indeed Mardi Gras. Because of its increasing popularity, Mardi Gras in Lafayette has grown over the past years and has consequently had an impact on the city of Lafayette (Campbell, 1998). For purposes of this study, a tourist or visitor was defined as a Mardi Gras parade viewer who is not a resident of Lafayette or the Lafayette area. The official definition of a "tourist," according to the U.S. Department of Commerce, is one who has traveled 100 miles or farther and who stayed overnight at the destination. However, the researchers agreed that a Mardi Gras visitor who is not a resident of Lafayette or the Lafayette area should be categorized as a tourist. Due to the difficulty of estimating the size of the study population (i.e. number of non-Lafayette resident visitors) and pragmatic constraints of time and money, a convenient, quota sample of 500 was determined as the target sample size. The completed questionnaire surveys were treated with data coding and analysis using Statistical Package for the Social Sciences (SPSS) was performed. Purpose: The purpose of this project was to establish a base line of data information relative to the following questions. (1) What is the profile of visitors who attend Mardi Gras in Lafayette? (2) What type of communication channels were effective (or not effective) in publicizing and promoting Mardi Gras in Lafayette? (3) What is the estimated tourist spending associated with Mardi Gras? (4) What is the estimated la'ewe member spending associated with Mardi Gras? 4 OF Ttli)Y PART ONE: TOURISTS & DAY-TRIPPERS There were 774 tourists interviewed during the 2000 Mardi Gras parades. Forty-six states, the District of Columbia and eight different countries including Spain; Belgium, Sweden, Puerto Rico, Venezuela, France, Great Britain, and Canada were represented in the sample. Again in 2000 as in 1999, Canada had the highest representation with over 3.4 percent. Of the 46 states Of origin, an overwhelming majority of tourists came from Texas, representing over 23 percent (23.4%) of the sample population. First Visit to Lafayette Mardi Gras When asked if this was their first visit to Lafayette for Mardi Gras, over 50 percent of those surveyed stated "yes" (see Table 1). Table 1 First Visit to Lafayette Mardi Gras 390 50.4 380 49.1 4 .5 774 100.0 S_Sources of Information about Lafayette Mardi Gras When asked how they heard about Mardi Gras in Lafayette, 62.4% stated family and fi'lends, 12.8% stated word of mouth, 2.7% stated newspaper, only 4% stated Iravel brochure, and the remaining 17.7% responded to other with almost half (8.2%) of the 17.7% stating the intemet was their source of information (see Table 2). Table 2 Sources of Information 31 4.0 99 12.8 483 62.4 21 2.7 137 17.7 3 .4 774 100.0 Travel Itinerary of Mardi Gras Guests When asked the number of nights that hotel guests were staying on this excursion to Lafayette, over 85% (85.4%) stated two or more nights and over 52% (52.9%) reported to staying four or more nights. The longer the tourist stays in the Lafayette area, the greater the economic impact will be. When asked about the number of people they were traveling with, 73% of the respondents stated two or more, with 22.4% stating five or more traveling companions. When asked about their means of transportation t? Lafayette, 72.7% of tourists stated automobile and 16.7% stated airplane, which allows the Lafayette airport to collect airport taxes that are directly related to Mardi Gras. When asked where the respondents stayed, 38% of the respondents stayed in hotels or motels. Visitor's Accommodations Most visitors (39.7%) stay with friends and familY, followed by people staying in commercial accommodations such as hotels and motels (38 %) (see Table 3). Table 3 Visitor's Accommodations 38.0 1.7 39.7 8.5 9.9 2.2 774 100.0 L~afayette Mardi Gras Parade Attendance Every year there seems to be more tourists coming to celebrate Mardi Gras in Lafayette. The Lafayette parades are much more family-oriented than those in New Orleans, and with the increase in crime, violence, and expense in New Orleans, The Lafayette Mardi Gras will continue to grow even larger for years to come. When surveyed, tourists' number one concern when traveling is safety, not price, especially those who travel with families. To determine the direct economic impact of Mardi Gras 2000 in Lafayette, the number of parade hewers (people attending the Mardi Gras parades) has to be established. With the increased popularity ofLafayette's Mardi Gras and the time of the year, early March (3-7), it was determined that just over a million people (1,039,554) viewed the four days of parades in Lafayette. This was an increase of 8% over 1999's Mardi Gras parades' attendance (see Table 4). The 1998 Mardi Gras, was the first year that Lafayette had a Friday night parade. The Friday night parade was established to help lower the congestion during parade days by spreading the parades fxom three days to four days. Due to the success of the Friday night parade in 1998 and 1999 it was continued again in 2000. Table 4 Mardi Gras Parade Attendance 447,120 201,204 No Parade 257,094 134,136 1,039,554 Hotel Guests' Expenditures There are 4165 hotel rooms in Lafayette and according to the survey, an average of 2.8 persons stayed in each hotel room. The hotels were at 87% occupancy for the Mardi Gras weekend celebration (Friday through Tuesday). (4165) (.87) = 3623 rooms where there were minimum night stay restrictions placed on the hotel guests by some of the hotels. The Mardi Gras celebration lasts four days in Lafayette: (3623) (4) = 14,492 room nights. Due to the number of businesses in Lafayette that close during the Mardi Gms holiday, it is established that 86 percent of the occupied hotel rooms were occupied as a direct result of the Mardi Gras festival. Therefore there were 12,463 occupied rooms as a direct result ofMardi Gras [total rooms occupied 14,492 (.86) = 12,463 Mardi Gras room nights]. The average hotel rate for the Mardi Ca'as season is $83.00. There was (12,463) ($83) = $1,034,429.00 in hotel spending for Mardi Gras, which generated $108,615.04 in taxes [($1,034,429) (10.5%) hotel tax = $108,615.04] and generated $20,688.58 in tax revenue for the city of Lafayette [($1,034,429 (.02) = $20,688.58 direct city taxes]. ~ The number of tourists who stayed in hotel rooms during the four day Mardi Gras celebration was (12,463) (2.8) persons = 34,896.4. The 34,896 visitors who stayed in hotels for the carnival season, according to the survey responses, spent an average of $37.10 per day on food and $23.26 per day on drinks and miscellaneoUS items for a total of $60.36 per day [($60.36) (34,896) = $2,106,322.50 in food and miscellaneous spending]. Tax revenue generated to the city of Lafayette was $42,126.45 [($2,106,322.50) (.02) -- $42,126.45]. The survey determined that hotel guests spent an average of $104.95 on gifts [(3,623) (.86) = 3,115 ($104.95)] -- $326,919.25 in total spending and ($326,919.25) (.02) = $6,538.38 in direct tax revenue for the city of Lafayette. There were a total of 1,039,554 parade-viewers over the four days ofMardi Gras parades, and if one subtracts those who stayed in hotels, a total of 1,027,091 parade-viewers were day-trippers, visitors staying at campgrounds, and visitors staying in local families' homes or with friends in college dorms. According to the survey responses, these two groups of parade-viewers spend $28.46 per day on food and $28.50 per day on miscellaneous items (snacks and drinks) for a total of $56.96 per day. It is estimated that 80 percent of the food, drink, and miscellaneous items that parade viewers purchased was done in Lafayette. With these figures, a total of $936,049.64 [(1,027,09'1) ($56.96) = ($58,503,103) (.80) = $46,802,482 (.02) = $936,049.64] in direct city tax dollars were generated by these two categories of parade viewers. Consideration to Return to Lafayette Mardi ~ras Of all the tourists, day-trippers and visitors staying in local families' or friends' homes, less than 3 percent (2.8%) stated that they would not return to Lafayette to celebrate Mardi Gras (see Table 5). Table 5 Consideration to Return to Lafayette Mardi Gras 716 92.5 22 2.8 36 4.7 774 100.0 PART TWO: KREWE MEMBERS There are approximately twenty-five non-parading krewes and sixteen parading krewes (another parade was added this year) with an average membership of one hundred twenty five members in each krewe in the Lafayette area. Individual Parade Expenditures Information gathered from krewe members in this study stated that the average float rider spends $354.76 on throws. With 149 floats and an average of twenty riders per float, $1,054,920 [(149) (20) = 2980 ($354) = $1,054,920] was spent on throws. It is assumed that 70 percent of the dollars spent on throws represents spending within the city of Lafayette. Direct city tax dollars from throws is $14,768.88 [($1,054,920) (.70) = $738,444 (.02) = $14,768.88] (see Table 6). Table 6 Money Spent by Krewe Members on Mardi Gras Throws 54 24 41 18.2 60 26.7 30 13.3 13 5.8 12 5.3 15 6.7 225 100.0 When the survey asked how much money krewe members spent on the parade float, the average response was $237.02. This amount multiplied by the 2,980 parade riders yields $706,319.60 of direct spending on the floats, which will account for $14,126.39 [($706,319.60) (.02) = $14,126.39] in taxes for the city of Lafayette. 10 Number ofMardi Gras Ball~ Attended When surveyed how many balls the krewe member attended during the 2000 Mardi Gras season, the response was an average of 2.44 balls~ with 17.6 percent of the respondents stating they attended four or more balls (see Table 7):' Table 7 Number of Balls Attended thistMardi Gras Season 53 70 55 21 17 7.6 9 4 225 100.0 Krewe Members' Expenditures at Mardi Gras Balls Although it is the parades that lure tourists, a great deal of the money is spent on the balls and dinners. The size of the ball can nm fi.om a few hundred guests to over two thousand celebrants and guests which has to be held in a large arena. The figures generated in this section are extremely conservative and include only those that were received from the survey responses by krewe members. These figures do not include the mount of money that was spent by invited guests to the balls. According to the survey, krewe members spent an average of $268.80 to attend each ball, wh/ch generated $67,226.88 [(41) (125) = 5125 ($268.80) = $1,377,600 (2.44) = $3,361,344 (.02) = $67,226.88] in direct city tax dollars. When asked how much money krewe members spent on clothes (i.e. tuxedo rental, ball gowns, etc.) during the Mardi Gras season, the krewe members' response indicated an average of $387.97. The ladies wear gowns and long dresses to balls and dances. Some of the balls and dances are highly formal, including elbow-length white gloves and accessories. It is assumed that each lady attending any ball would purchase a new gown or dress. As for the male krewe : : : : ,, lB I ! ! IJ ! ! ! ! ! ! ! 11 members, committeemen, or invited guests who rent or purchase their tuxedo or formal wear, their spending per ball is much lower than that of the lady. It is assumed that 70 percent of all clothes bought for Mardi Crras are purchased in the city of Lafayette. Therefore, $67,921.90 [($387.97) (5,125) = $1,988,346.20 (2.44) -- $4,851,564.70 (.70) = $3,396,095.20 (.02) = $67,921.90] in direct taxes were generated for the city of Lafayette. When asked how much krewe members spent on hairstyles, haircuts, nails, etc. during this Mardi Gras season, the survey indicated an average of $148.81. Hence ($148.81) (5,125) = $762,651.25 (.02) = $15,253.03 was generated in Lafayette city taxes. It is assumed that 100 percent of the halrstyling, haircuts, nails, etc. are purchased in the city of Lafayette. When asked how much krewe members spent on presents or gifts (ball favors), the survey indicated an average of $295.40 per krewe member and that $22,708.87 in direct taxes generated for the city of Lafayette. It is assumed that 75 percent of the gifts are purchased in the city of Lafayette [($295.40) (5,125) = $1,513,925 (.75) = $1,135,443.70 (.02) = $22,708.87]. Krewe Members' Guests Exnenditures at Mardi Gras Ball~ When considering the mount of money spent by ball guests on ball gowns, tuxedo rentals, halrstyling, and food and drinks, a very conservative figure of $125 is used. Considering also that each krewe member invited three guests and that only 50 percent of the spending was done in the City of Lafayette, $19,218.75 [(5,125) (3) = 15,375 ($125) = $1,921,875 (.50) =$960,937.50 (.02) = $19,218.75] in city tax dollars would be generated. SUSOO_RY OF RESULTS Total SDendine and Local Government Revenues fi.om Lafayette Mardi C~ras Parades Through the surveys collected, it has been shown that the total amount of money generated directly and indirectly by the parade goers by applying a spending multiplier of 2.1 is $108,601,324.30. Thereby generating a total of $2,172,026.40 total tax revenue for the city of Lafayette by applying the same multiplier of 2.1. 12 Table 8 2000 Total Spending and Local Government Revenues from Lafayette Mardi Gras Parades $1,034,429 $ 2,106,322.50 $ 326,919.25 538.38 $ 46,802,482 $ 936,049.64 $ 738,444 $14,768.88 $ 706,319.60 $14,126.39 $ 51,714,916.35 $1,034,298.30 $ 108,601,324.30 $ 2,172,026.40 Although a figure of 2.1 may appear low, it is justified by the small geographical area of the study and is supported by current regional and urban economic research, theory, and practice. The following table shows the breakdown of spending in Lafayette and tax revenue to the city of Lafayette. 13 Mardi Gras Ball Spending by Krewe Members The same multiplier of 2.1 was used with carnival ball spending by krewe members as was used when estimating the multiplier effect for the carnival parades. A total of $18,176,620.25 of spending in Lafayette by krewe members who attended carnival balls generated $ 363,532.40 in direct tax dollars for the city of Lafayette. The $18,176,620.25 of spending indicated in the table below is attributed to krewe members for Mardi Gras balls only, and is exclusive of any money spent by their guests for Mardi Gras balls. The following table shows the breakdown of Krewe Members' spending at Mardi Gras Balls in Lafayette and tax revenue to the city of Lafayette. Table 9 Mardi Gras Ball Spending by Krewe Members $ 3,361,344 $ 67,226.88 $ 3,396,095.20 $ 67,921.90 $ 762,651.25 $15,253.03 $ 22,708.87 $173,110.66 $18,176,620.25 $ 363,532.40 Total Spendin~ of Mardi Gras 2000 Overall, the spending for Mardi Gras Balls in the city of Lafayette is $8,655,533.45 from krewe members and $960,937.50 from invited ball guests, which is an extremely conservative estimate, for a total of $9,616,470.95. There was $173,110.66 in direct city taxes generated by krewe members and $19,218.75 estimated taxes by ball guests for a total of $192,329.41 in direct city taxes. 14 Table 10 Total Spending ofMardi Gras 2000 $ 51,714,916.35 $1,034,298.30 $ 8,655,533.45 $173,110.66 $ 960,937.50 $ 61,331,387.30 $128,795,913.30 $19,218.75 $1,226,627.74 $ 2,575,918.26 The total spending associated with Lafayette carnival parades is $51,714,916.35, which generated $1,034,298.30 in direct taxes for the city of Lafayette. By applying a multiplier of 2.1, the total spending generated in the city of Lafayette is $128,795,913.30 with $ 2,575,918.26 generated in total tax revenue for the city. The following table outlines the total spending and tax revenue generated during the 2000 Mardi Gras. COMPARISON OF TIlE RESETS OF THE STUDY 1998, 1999 & 2000 15 OMPARI$ON OF THE RESULTS STUDY The purpose of this study was to do a comparison of the estimated tourist spending and krewe member spending associated with the 1998, 1999 and 2000 Mardi Gras in Lafayette, Louisiana. A total of 899 in 1998, 696 in 1999 and 999 in 2000 usable surveys were collected and analyzed for this report. To help limit the confusion with the comparison of this report, all figures reported in bold were collected from the 1998 Mardi Gras surveys, all figures reported in black were collected from the 1999 Mardi Gras surveys and all figures reported underlined were collected from the 2000 Mardi Gras surveys. PART ONE: TOURISTS & DAY-TRIPPERS There were 553 (571) (774) tourists interviewed during the Mardi Gras parades. Thirty- five (39) (46) states and 8 (4) (8) different counthes were represented in the sample. Mexico, Canada, Italy, France, Germany, Great Britain, Rio De Janeiro, and England (Spain, Greece, Great Britain, Canada) (Spain. Belgium. Sweden. Puerto Rico. Venezuela. France. Great ~were the originating countries of the international tourists. Again in 2000 as in 1999 and 1998, Canada had the highest representation with over two percent. Of the 35 (39).~6) states of origin, an overwhelming majority of tourists came from Texas, representing almost 17% (16.9%) (over 25%(25.9%))vLqXIL2~2~~ of the sample population. When asked if this was their first visit to Lafayette for Mardi Gras, over 38% (50%) (50%) of those surveyed stated "yes". Table 1 First Visit to Lafayette Mardi Gras? When asked how did they hear about Mardi Gras in Lafayette, 47.4% (61.8%) (62.4%) stated family and friends, 19.7% (15.1%) (12.8%) stated word of mouth, only 4.5% (3%) (4%~ stated travel brochure, 4.2% (5.4%) (2.7%) stated newspaper and the remaining 21.3% (14.7%) (17.7~) responded to other. 16 17 Table 2 Sources of Information Travel Itinerary of Mardi Gras Guests When asked the number of nights they were staying on this excursion to Lafayette over 76% (74%) (85%~ stated two or more nights and almost 40% 08.7%) (37% (36.2%)) (53% (52.9%B responded to staying 4 or more nights. The longer the tourist stays in the Lafayette area, the greater the economic impact will be. When asked about the number of people they were traveling with, over 75% (82.8%) (73%~ of the respondents stated two or more, with 29.3% (31.2%) (22.4%) stating five or more traveling companions. When asked about their means of transportation to Lafayette, 75.2% (79%) (72.7%) of tourists stated automobile and 12.8% (9.3%) (16.7°,/o) stated airplane, which allows the Lafayette airport to collect airport taxes that are directly related to Mardi Gras. When asked where the respondents stayed, 39.8% (34%) (38%) of the respondents stayed in hotels or motels. 18 Table 3 Visitor's Accommodations Lafayette Mardi Gras Parade Attendance To determine the direct economic impact ofMardi Gras in Lafayette, the number of parade hewers (people attending the Mardi Gras parades) has to be established. With the increased popularity of Lafayette's Mardi Gras and the time of the year, mid-February (20-24) (12-16) (early March 3-7), it was determined that just short of a million people (930,000) (962,550) just over a million oeoole (1.039.554) viewed the four days of parades in Lafayette. Table 4 Mardi Gras Parade Attendance 19 There are 3,450 (4000) (4165) rooms in Lafayette and according to the survey, an average of 2.5 (2.5) (2.8) persons stayed in each hotel room. The hotels for the Mardi Gras weekend celebration (Friday through Tuesday) were at 87% (84%) (87%) occupancy. (3455) (.87) = 3005.85 (4000) (.84) = 3360 (4165) (.87) = 3623 rooms where there were minimum night stay restrictions placed on the hotel guests by some of the hotels. The Mardi Gras celebration lasts four days in Lafayette: (3005.85) (4) = 12,023 (3360) (4) = 13,440 (3623) (4) = 14.492 room nights. Due to the number of businesses in Lafayette that close during the Mardi Gras holiday, it is established that 85% (85%) (86%) of the occupied hotel rooms were occupied as a direct result of the Mardi Gras festival. Therefore there were 10,219 (11,424) (12.463) occupied rooms as a direct result of Mardi Gras [total rooms occupied 12,023 (.85) = 10,219 13,440 (.85) = 11,424 ~ Mardi Gras room nights]. The average hotel rate for the Mardi Gras season is $78.00 ($83.00) ($83.00). There was (10,219) ($78) = $797,082 (11,424) ($83) = $948,192.00 (12.463) ($83) = $1.034.429.00 in hotel spending for Mardi Gras, which generated $83,693.61 in taxes [($797,082) (10.5%) hotel tax = $83,693.61] and generated $15,941.64 [($797,082) (.02) = $15,941.64 direct city taxes] $99,560.16 in taxes [($948,192) (10.5%) hotel tax = $99,560.16] and generated $18,963.84 [($948,192) (.02) = $18,963.84 direct city taxes] $108,615.04 in taxes [($1.034.429) (10.5%) hotel tax = $108.615.04] and generated $20.688.58 [($1.034,429 (.02) - $20.688.58 direct ci_ty taxes] in tax revenue for the city of Lafayette. The number of tourists who stayed in hotel rooms during the four day Mardi Gras celebration was (10,2!9) (2.5) persons = 25,547 (11,424) (2.8) persons = 31,987.2 (12.463) (2.8) nersons = 34.896.4. The 25,547 (31,987.2) (34.896) visitors who stayed in hotels for the carnival season, according to the survey responses, spent an average of $43 ($41.50) ($37.10) per day on food and $27 ($24) ($23.26) per day on miscellaneous items for a total of $70 ($65.50) ($60.36) per day ($70) (25,547) = $1,788,325 ($65.50) (31,987) = $2,095,148.50 ($60.36) (34.896) = $2.106.322.50 in food and miscellaneous spending]. Tax revenue generated to the city of Lafayette was ($1,788,325) (.02) = $35,766.50 ($2,095,148.50) (.02) = $41,902.97 ($2.106.322.50) (.02) = $42.126.45. The survey stated that hotel guests spent an average of $56 ($88) ($104,95) on gifts (3,005) ($56) = $168,280.00 (3,360) ($88) -- $295,680.00 (3.115) ($104.95) = $326.919.25 in total spending and ($168280.00) (.02) = $3,365.60 ($295,680.00) (.02) = $5,913.60 ($326.919.25) (.02) = $6.538.38 in direct tax revenue for the city of Lafayette. There were a total of 930,000 (962,550) (1.039.554) parade-hewers over the four days of Mardi Gras parades, and if one subtracts those who stayed in l}otels, a total of 899,943 (930,563) (1.027.091) parade-hewers were day-trippers and visitors staying in local families' homes or with friends in college dorms. According to the survey responses, these two groups of parade- viewers spend $34 ($27) ($28.46) per day on food and drinks and $15 ($25) ($28.50) per day on miscellaneous items for a total of $49 ($52) ($56.96) per day. 2O With these figures, a total of $705,555.31 [(899,943) ($49) = ($44,097,207) (.80) = $35,277,765.60 (.02) = $705,555.31l $774,228.42 [(930,563) ($52) = ($48,389,276) (.80) = $38,711,420.80 (.02) = $774,228.42] $936.049.64 [(1.027.091) (56.96) = ($58.503.103) (.80) = $46.802.482 (.02) = $936.049.64] in direct city tax dollars were generated by these two categories of parade viewers. Of all the tourists, day-trippers and visitors staying in local families' or friends' homes, less than 3% (2.7%) 2% (1.1%) 3% (2.8%~ stated that they would not return to Lafayette to celebrate Mardi Gras. Table 5 Consideration to Return to Lafayette Mardi Gras PART TWO: KREWE MEMBERS Official Krewe Spendim, There are approximately twenty- five non-parading krewes and fifteen fifteen sixteen parading krewes with an average membership of one hundred twenty five members in each krewe in the Lafayette area. Individual Parade Ext~endit~'es Information gathered from krewe members in this study stated that the average float rider spends $314.80 rounded to $315 ($356) ($354.76) on throws. With 137 (137) (149) floats and an average of twenty riders per float, $863,100 [(137) (20) = 2740 ($315) = $863,100.00] $975,440 [(137) (20) = 2740 ($356) = $975,440.00] $1.054.920 [(149) (20'} = 2980 ($354) = $1.054,920] was spent on throws. It is assumed that only half the dollars spent on throws represents spending within the city of Lafayette. Direct city tax dollars fi'om throws is $8,631 [(863,100) 650) = $431,550 (.02) = $8,631] $12,680.72 [(975,440) (.65) = $634,036 (.02) = $12,680.72] $14.768.88 [($1.054.920) (.70) = $738,444 (.02) = $14.768.881. 21 Table 6 Money Spent by Krewe Members on Mardi Gras Throws When the survey asked how much money la'ewe members spent on the parade float, the average response was $272.60 ($231) ($237.02). This mount multiplied by the 2,740 (2,740) (2.980~ parade riders yields $746,924 ($632,940) ($706.319.60) of direct spending on the floats, which will account for $14,938.48 [($746,924) (.02) = $14,938.481 $12,658.80 [($632,940) (.02) = $12,658.80] $14.126.39 [($706319.60) (.02) = $14.126.39] in taxes for the city of Lafayette. Individual Ball and Dinner-Dance Spending Although it is the parades that lure tourists, much of the money is spent on the balls and dinners. The size of the ball can run fi.om a few hundred guests to over two thousand celebrants and guests which has to be held in a large arena. The figures generated in this section are extremely conservative and include only those that were received from the survey responses by krewe members. These figures do not include the amount of money that was spent by invited guests to the balls. When surveyed how many balls the krewe member att6nded during this years' Mardi Gras season, the response was an average of 2.56 (2.62) (2.44) balls, with almost 20% (over 21%) (17.6%~ of the respondents stating they attended four or more balls. Table 7 Number of Balls Attended this Mardi Gras Season According to the survey, krcwe members spent an average of $257 ($267) ($268.80) per ball, which generated $65,792 [(40) (125) = 5000 ($257) -- $1,285,000 (2.56) = $3,289,600 (.02) = $65,7921 $69,954 [(40) (125) = 5000 ($267) = $1,335,000 (2.56) = $3,497,000 (.02) = $69,954] $67.226.88 [(4D (125) = 5125 ($268.80) = $1.377.600 (2.44} = $3.361.344 (.02) = $67,226.88] in direct city tax dollars. 22 As for the male krewe members, committeemen, or invited guests who rent or purchase their tuxedo or formal wear, their spending per ball is much lower than that of the lady. It is assumed that 70 percent of all clothes bought for Mardi Gras are purchased in the city of Lafayette. Therefore, $68,069 [($380) (5000) = $1,900,000 (2.56) = $4,864,000 (.70) = $3,404,800 (.02) = $68,096] $72,844.60 [($418.89) (5000) = $2,095,000 (2.62) = $5,488,900 (.70) = $3,842,230 (.02) = $72,844.60] $67.921.90 [($387.97) (5.125~ = $1.988.346.20 (2.44) = $4,851,564.70 (.70) = $3.396.095.20 (.02'} = $67,921.901 in direct taxes were generated for the city of Lafayette. When asked how much krewe members spent on hairstyles, haimuts, nails, etc. during this Mardi Gras season, the survey indicated an average of $109 ($106) ($148.81). Hence {$109) (5000) = $545,000 (.02) = $10,900 ($106) (5000) = $530,000 (.02) = $10,600 ($148.8D (5,125) = $762.651.25 (.02~ = $15,253.03 was generated in Lafayette city taxes. It is assumed that 100 percent of the hairstyling, haircuts, nails, etc. are purchased in the city of Lafayette. When asked how much they spent on clothes (i.e. tuxedo rental, ball gowns, etc.) during the Mardi Gras season, the krewe members response indicated an average of $380.33 ($418.89) ($387.97). The ladies wear gowns and long dresses to balls and dances. Some of these are highly formal, including elbow-length white gloves and accessories. It is assumed that each lady attending any ball would purchase a new gown or dress. 23 Krewe Members' Guests Expenditures at Mardi Gras Ball~ When considering the mount of money spent by ball guests on ball gowns, tuxedo rentals, hairstyling, and food and drinks, a very conservative figure of $125 is used for 1998, 1999 and 2000. Considering also that each krewe member invited three guests and that only 50 percent of the spending was done in the City of Lafayette, $18,750.00 [(5000) O) -- 15,000 ($125) -- $1,875,000 (.50) ~- $937,$00 (.02) -- $18,750.001 $18,750.00 [(5000) (3) = 15,000 ($125) = $1,875,000 (.50) -- $937,500 (.02) -- $18,750.00] $19.218.75 [(5.125) (3) -- 15.375 ($125) = $1.921.875 (.50~ = $960.937.50 (.02) -- $19.218.75] in city tax dollars would be generated. Campbell, D.A. (1998, February). Mardi Gras in Cajun Country. ~ 33(2), 14-16. Greater New Orleans Tourist and Convention Commission. (1966). The Story of the New Orleans Mardi Gra~q~ pp. 1-2. New Orleans, Louisiana. Lafayette Convention and Visitor's Commission. (1998). ~, p. 6. Lafayette, Louisiana. Mamalakis, M. (1975, January). Lafayette Mardi Gras Celebration Second Largest in South. The Dail Advertiser, p. 23. Mardi Gras: Bawdy, Boisterous, and Beautiful. (1993, January 28). The Daily Advertiser, p. 1. National Parks Service & Parks Canada (Producer). (1992). The Cajun Way-Echoes of Acadia [Film]. (Available bom The Jean Lafitte Cultural Center, 501 Fisher Road, Lafayette, Louisiana 70508). POLICE DEPARTMENT PORT ARTHUR TO: Steve Fitzgibbons, City Manager FROM: Colonel Mark Blanton DATE: February 14, 2003 [x] For your information [] For comment & recommendation [] File for future reference [] Please discuss with me [] Please take appropriate action [] Please prepare draft for my reply [] Please reply on my behalf [] Please return RE: Mardi Gras Report The following is my report on Mardi Gras billings in the past by the Police Dept. The Police Dept. maintains records on Mardi Gras for each year of the event. I was able to locate all records for each year of Mardi Gras except 1995 which is missing. The method of billing and the rates charged have changed over the years. In 1994, the Police Dept. billed Mardi Gras $43,635.24 in salaries and $612.00 in equipment for a total of $44,247.24. Of the $43,635.24, $14,181.82 was to pay for the officers benefit package (48.15%). All officers including the Co~nd Staff were paid at their overtime rate. Delta Security, Beaumont PD and the Constables Offices were paid directly by Mardi Gras therefore there is no record of the amount paid. The off-duty rate for Officers at that time was $15.00 per hour for these officers and $18.00 for supervisors outside our Department. Captain Brough was the Field Operations Division Cem~nnder and co~piled these records with my assistance. In 1995, there are no records found. Major Wright was the Field Operations Division Commander and has since retired. A complete booklet was ccaapleted but cannot be located. The billing rate and method re~ained the sam~ except that the off duty rate for out of town officers rose to $18.00 p~r hour and $21.00 for supervisors. The Jefferson County Sheriff's Department was used this year in place of Beaumont PD and has been ever since. In 1996, I became the Field Operations Division Coa~nder and b~gan keeping these records. At that time, I began additional record keeping to track all Mard/ Gras costs and billing. This would provide a mechanism to verify all security costs to Mardi Gras. Beginning this year, I submitted the outside agencies bills for payment and tracked the~ for cost keeping purposes as Mardi Gras was growing each year and the Costs were going up. Mardi Gras costs that year were $54,974.70. A breakdown of the cost is attached. In 1997, Mardi Gras Security costs were $52,605.65. Ail Police Department employees were paid their overtime rate except the exempt employees who were paid cash this year after the Personnel Dept. stated they could no longer be paid at their overtime rate. The exempt ~-~.loyees were the Police Chief, the Assistant Chief the two Deputy Chiefs and the Support Director (five employees). These employees were paid cash as was the Sheriff's Dept. and the Constables Depts. A breakdown of the costs is provided. In 1998, Marcli Gras Inc. incurred a substantial increase in costs from the Police Dept. Mardi Gras Inc. made the decision to make Thursday night a full night of activities with no gate charge. This included entertai-ment and vendors being open. All Department Heads were instructed to reduce costs if possible to off-set the increase for this free night of Mardi Gras. This caused the Police Dept. to hire officers for securit~ for the entire compound and to open the sub-county jail staffed with Sheriff's personnel. Total cost to Mardi Gras rose to $60,168.28 (14.38%). This increase has been seen ever~ year since due to having this night of Mardi Gras. Costs for exempt employees went down due to a Lieutenant working in my place some of the time, the Support Director no longer having to supervise c~--~unications and the Chief of Police working less hours after discussions with Mardi Gras concerning his high overtime rate. I made the decision that uniformed supervisors could handle the responsibility of the Support Director concerning the dispatchers hired overtime for Mardi Gras. In 1999' several things took place that changed Mardi Gras billing reducing the costs to $55,902.03. First, Port Arthur Police Officers were allowed to have the option of choosing to be paid their off-dut~ rate rather than strictly their city overtime rate after negotiations between the Police Association and the Chief of Police. Second, outside police agencies were ~loyed to handle the gates rather than Port Arthur Police officers. Third, the south county jail was no longer opened due to the low amount of arrests and the Sheriff's Dept. agreeing to send a prisoner van to pick up any mass arrest situation. City overt/me dropped dramatically as many officers chose the off-duty rate versus the city overtime rate. Officers were paid cash after their tour of duty with Mardi Gras. Officers that work many hours of Mardi Gras choose a combination of some city overtime, so~e off-dut~ rate pay, and some compensatory time. As I will explain later, Mardi Gras is also charged for the compensatory t/me. A cop~ of my cost analysis is attached. (At some point in t/me the off-duty rate had been raised to $20.00 per hour for officers and $23.00 for supervisors. This was the rate used to pay officers and was paid by Mardi Gras.) In 2000, several changes were made. Lt. Swann was placed in charge of Marcli Gras with myself training him in the aspocts of it. Mardi Gras Costs rose to $61,983.79. Officers were paid b~ check after the event by Mardi Gras for hours worked. This caused numerous problems due to the delay in checks for several agencies. After complaints by officers to the Mayor and several councilpersons, I was instructed that outside officers were to be employed prior to forced city overt/me. This had to be so as it is considered an off-duty job. This year, officers from our agency, the Jefferson County Sheriff's Dept., the Precinct 3 Constables Office, the Precinct 8 Constables Office, the Port Arthur Fire Dept. Arson Investigators, the Port Neches Police Dept., the Groves Police Dept. and the Texas Department of Public Safety were utilized in an off-dut~ capacity to work Mardi Gras. Eight Police agencies worked Mardi Gras that year. This year, we kept up with the n-m~er of hours each officer worked at the off-duty rate and turned them over to Mard/ Gras Inc. who issued checks so that we could account for all hours billed. This was the first year of such accounting and several errors occurred due to the large n~,m~er of officers both out of town and from Port Arthur PD working the event. It caused confusion over the correct n,,~er of hours worked versus those paid and took several days to correct. A co~y of the billing is attached. In 2001, Mardi Gras billing was reduced to $57, 372.83. This was accomplished by reducing the ~--~er of Police Supervisors for several days of Mardi Gras and more officers taking the off-dut~ rate of pay. Much controversy took place concerning the off-duty rate being paid to officers. A Port Arthur Officer was injured while directing traffic at an unrelated off-duty job. The ruling was that off-duty officers from other agencies were covered by state workmen's condensation but our own were not as the injury took place in our jurisdiction while they were not actively working for us as they were not being paid by the City. The Police Association balked at officers working for the off-duty rate. Murdi Gras Inc. agreed to take out an insurance policy for all officers working at the off-duty rate. A notice was sent out concerning this by then Association President Alton Baise, a of which is attached. He recommended that officers take the City Overtime Rate which would insure that officers were covered if injured. Ail officers from any Department that selected the cash payment method were paid at the end of their tour of duty. A bill was presented to Mardi Gras at their Money Booth at the end of their tour of duty and payment was received at the end of their tour of duty. I then disbursed it by name and any errors had to be noted at that t/me. In 2002, Mardi Gras costs rose to $67,116.10. The largest single cause was that the off-dut~ rate for officers rose to $25.00 per hour and $28.00 per hour for supervisors. Assignments changed that affected Mardi Gras billing. Private Security guards were again utilized at the gates instead of police officers as it was determined that since a police officer was only a half block away, the need for an officer at the gate itself was not necessary. This was not allowed at gates were money was taken in to deter robberies. This year was also unique in that it took hiring officers frc~ numerous different agencies with police powers so that I did not have to force city overtime. These agencies included the Jefferson County Sheriff's Dept., Precinct 8 Constables Office, Precinct 2 Constables Office, Precinct 6 Constables Office, the Jefferson County District Attorney' s Office, Port Arthur Police Dept., Port Arthur Fire Dept. Arson Investigators, Groves Police Dept., Nederland Police Dept., Port Neches Police Dept. , the Texas Department of Public Safety, Bridge City Police Dept., and the Orange County Sheriff's Dept. As ~ou can see 13 agencies worked Mardi Gras this ~ear. This caused me numerous logistical and c¢.......unication problems to fill Mardi Gras without forced overtime. This caused a large increase in the cash payment method as there is no other way to compensate out of town officers. More than half of the officers working Saturday came frum other entities. City overtime only accounted for $15,614.87 for all of Mardi Gras including the benefit package. As you can also see, and as I have complained, more out of town officers work Mardi Gras on Saturday night than do Port Arthur Officers. Mardi Gras Billing as it stands now: Councilman Gillam made inquiry as to how Mardi Gras overt/me is decided or rotated. I have attached a copy of the memorandum sent out the last three years to the officers. The date of issuance and the sign-up date are the only changes every year. As you can see, all Mardi Gras overtime is rotated through our off-duty employment syste~. Once that is done, I begin contacting outside agencies. The Port Arthur Fire Dept. is contacted first as they have jurisdiction inside the city of Port Arthur. Then the Jefferson County Sheriff's Dept. is contacted as they have county wide jurisdiction. Then DPS as they have State wide jurisdiction. Finally, I started asking for officers from surrounding cities that we have inter-local agreements with. This process is determined by the city that is closest and working outward. Forced overtime is reserved as a last resort. I have not been m~de to use a force~ overtime situation in several years. Ail officers from outside agencies are paid at the cash rate of $25.00 per hour and supervisors acting in the capacity of a supervisor at $28.00. I keep no individual records of cash or check payments for this event or any other. I keep a running total for each day and ty~e for planning purposes. I know of no Police Dept. that keeps individual off-duty payment records. That is the responsibility of the officer and the employer. Our officers have a three-prong choice. They may choose from day to day whether they want city overtime, compensatory time, or the off-duty overtime rate. This is done b~ contract with the Police Association. The Police Dept. bills Mardi Gras Inc. for all hours no matter what the selection of rate of payment. Mardi Gras Inc. is billed for overtime hours worked even if an officer chooses to be compensated with compensatory time as we suffer the lost time from work. (In one year alone this exceeded $3500.00) I bill Mardi Gras Inc. for everything dollar for dollar that is associated with Mardi Gras including and up to the making of additional keys for the Com~nd Post, coffee supplies for all city employees, and 1,~er and labor costs to secure city owned buildings (the Sabine Hotel) . Mardi Gras Inc. has purchased sullies such as metal detectors, ice chests, and coffee m~kers that they have then donated to the Police Dept. to be used at any time by any organization. Further, their fencing and metallic barricades are used to date by several entities for their events including Shrimp-Fest, the Pleasure Island Music Festival (when it was still taking place) , Junetaenth, and the Janis Joplin Birthday Celebration among others. Juneteenth now has Mardi Gras fencing set up for its celebration. I--~te labor is used to assist in the set-up. The Police Dept. does not bill Juneteenth for any set-up costs. In the past all Cav-Oil-Cade overtime was absorbed into the Police Dept. · s budget. This changed several years ago. Ail overt/me for Juneteenth is still absorbed into the Police Dept. 's budget as it has always been. Last year Juneteenth's cost went down as we sent officers h~ne when the crowds did not materialize. I have sent a breakdown of the cost of Juneteenth for the last two years with this memorandum. In reference to unbilled hours to Mardi Gras, I submit the following: The only hours s,,~mitted for this officer are those that go over my mandated 60 Hrs. in a week for additional compensation. This means that I charge Mardi Gras for any hours that surpass 60 hrs. in a work week. I do this as a way to reduce costs to Mardi Gras Inc. I am not compensated by the City in any fo=m until I surpass 60 hrs. in the work week. Therefore, Mardi Gras Inc. is not billed for my active work until I surpass these hours. This only takes places the actual weekend of Mardi Gras. In 1996, I computerized all of Mardi Gras. When Mardi Gras time approaches, I am able to complete most Mardi Gras planning at ho~e with my lap-top. I am able to concentrate more their with no distractions and it does not take away fr~a my regular duties. Sgt. Withrow is not co~ensated for planning the parades as he does each year. His hours actually directing the parades each day are billed as overtime to Mardi Gras Inc. He is not compensated for planning any parade all year. (Sgt. Withrow handles all parades). No entity is billed for planning any activity as it usually means a 5 minute phone call or a few minutes out of their regular scheduled duty. The officers that assist me in set up either take vacation or compensatory leave so that Mardi Gras can be billed for their time. I am not compensated nor are any of my officers for planning Mardi Gras. This includes the rotating of the overtime and contacting other agencies. No entity such as Shrimp-Fest, the Pleasure Island Music Festival, the MLK Parade, Cav-Oil-Cada, the Janis Joplin Birthday Bash, Juneteeth, events on Pleasure Island or elsewhere are charged for planning security for their event. This has always been considered part of your responsibility as a supervisor. In the past, we have not charged Mardi Gras incorporated for Officer Gillen assisting in set-up with inmate labor unless it requires hiring overtime to replace him on patrol. If this occurs (and it has) Mardi Gras is charged for the overtime hours for the replacement officer. As always, I will mske my records that are of a public nature available to any councilperson upon request. Colonel W. M. Blsnton Assistant Chief of Police Police Department Security Costs for MARDI GR^S 1994 Friday 281.00 6,522.99 3,140.62 9,663.81 Saturday 575.25 13,365.55 6,435.51 19,801.06 Sunday 415.00 9,564.88 4,605.49 14,170.37 Totals 1,271.25 29,453.42 14,181.82 43,635.24 Salaries & Benefits from above... Equipment (Golfcart Rental)... TOTAL MARDI GRAS SECURITY COST= 43,635.24 612.00 $44,247.24 * Delta Security, Beaumont Officers, and Constables were paid directly by Mardi Gras. * Department of Public Safety Troopers were paid by the State. Page Port Arthur Police Department Security Costs for MARDI GRAS 1996 Salaries & Benefits Golf Cart Rental Supplies TOTAL MARDI GRAS SECURITY COST-- $45,674.95 $54O.OO $295.75 $46,510.70 **Patriot Security, Sheriff's Deputies and Constables were paid directly by Mardi Gras. ***Department of Public Safety Troopers were paid by the State. Total Police Security Costs for MARDI GRAS 1996 PORT ARTHUR POLICE DEPT. $46,51 0.70 JEFFERSON COUNTY SHERIFF'S DEPT. $4,488.00 CONSTABLES OFFICES $684.00 PATRIOT SECURITY $3,292.00 ITOTAL COST TO MARDI GRAS $54,974.701 PORT ARTHUR POLICE DEPT. SECURITY COSTS for MARDI GRAS 1997 Salaries & Benefits Golf Cart Rental Supplies TOTAL,MARDI GRAS SECURITY COST= $40,791.29 $576.OO $248.97 $41,616.26 **Delta Security, Sheriff's Deputies and Constables were paid directly by Mardi Gras. ***Department of Public Safety Troopers were paid by the State. ****Police Dept. Exempt Employee's Paid Directly by Mardi Gras Total Police Security Costs for MARDI GRAS 1997 PORT ARTHUR POLICE DEPT. $41,61 6.26 JEFFERSON COUNTY SHERIFF'S DEPT. $5,220.00 CONSTABLES OFFICES $61 2.00 OFFDUTY OFFICERS AT GATES $3,870.00 EXEMPT POLICE EMPLOYEES 2601.39 LESS FRI. PARADE COST (PAID BY KREWE OF MON AMI) $1,314.00 TOTAL COST TO MARDI GRAS $52,605.65 Sheet3 Port Arthur Police Dept. for Mardi Gras 1998 Security.Costs Salaries & Benefits Golf Cart Rental Command Post Supplies Total Mardi Gras Security Cost PAPD $ $ 45,541.85 820.00 256.00 213.44 46,831.29 Total Police Security Costs for Mardi Gras 1998 Port Arthur Police Dept. Jefferson County Sheriff's Office* Constables Offices (parades) Off-duty Officers at Gates Exempt Police Employees Total Cost to Mardi Gras** $ 46,831.29 5,992.00 1,020.00 4,520.00 1,804.99 60,168.28 *Includes Jail and Parade Costs ** DPS Paid by the State Page 1 0 Mardi Gras 2000 Security Costs Check Payments by Mardi Gras City Overtime ( See Breakdown) Related Security Costs Total $ 32,471.00 $ 28,152.32 $ 1,360.47 $ 6t,983.79 FEB-14-09 FRI 09:i2 AM CITY OF PORT ARTHUR FAX:40998~829I PAGE 2 FEB-i4-03 FRI 09:13 AM CITY OF PORT ARTHUR FAX:40998~8291 PAGE FEB-Ig-03 FRI 09:I4 AM CITY OF PORT ARTHUR FAX:4099835291 PAGE April 10, 2000 of southeast texas, Inc. Mr. Steve Fitzgibbons, City Manager City of Port Arthur 444 4th St. Port Arthur, TX 77640 Dear Steve, At our meeting today of City and Mardi Gras officials, the following topics were discussed. 1) A number of requests for shuttle service have been received. Our insurance company informs us that the City transit can be named as additional insured on bus service liability but that the bus service would be primary should claim(s) be filed. We hereby request that the City provide this service for Mardi Gras 2001. We are available at your convenience to work out the details. 2) Police officials and others are concemed with expansion of the entertainment area. This is a complex issue and a comprehensive discussion was held on this matter. The conclusion was that the public is not under undue risk provided that we continue to maintain adequate security. The police department will continue to regulate crowd flow whenever it appears that the entertainment area is nearing capacity. Usually this occurs on Saturday as we approach the evening hours. As we agreed, the issue here is the health and safety of the public. 3) Police officials are concerned with Thursday being a free admission night and its effect on crowd control due to uncontrolled gate entrance. Again this is a health and safety issue. Mardi Gras is reluctant to impose an entrance fee as it wishes to continue offering free entrance to those who cannot afford the fee. It is understood that the fee could be substantially reduced. It was decided that this matter would be referred to City Attomey. Thank you for your assistance. Sincerely, Floyd Marceaux, President cc: Mark Blanton, Steve Curran, Mark Sokolow - 3830 Hwy. 365 · Port Arthur, Texas 77642 · (409)721-8717 · Fax (409)721-8700 · of southeast texas, inc. April 13, 2000 Ms. Rebecca Underhill City of Port Arthur 444 42 Street Port Arthur, TX 77640 Dear Becky, Enclosed is payment in full the mount billed to Mardi Gras for Mardi Gras 2000. Thanks to you and your staff for the excellent service provided to Mardi Gras. The amount billed reflects a 23% increase over last year. However, the water department was reduced by 66 %. All of this increase is labor as the materials billed are virtually the same as last year. Because of this, I am taking the liberty of writing each department supervisor a letter expressing our concern and requesting their assistance. As discussed, I appreciate your help in distributing the letters to each supervisor. Sincerely, Floyd Marceaux President cc: Steve Fitzgibbons, City Manager Mardi Gras Southeast Texas, Board of Directors 3830 Hwy. 365 · Port Arthur, Texas 77642 · (409)721-8717 · Fax (409)721-8700 of southeast texas, Inc. Apfill3,2000 City of Port Arthur Mardi Gras Supervisors: Mark Blanton, Steve Curran, Jeny Jones, Bryan Linthicum, Mike Kuykendall, Harriet Byrd, Gerald Robertson, Mike Davis, Pat Jones. Dear Friends, Enclosed is a copy ofMardi Gras Work Request Activity Report. As I am not personally acquainted with all personnel, a list of all hours billed is included. Please review these for accuracy and report any changes to the Finance Director. I wanted to share some Mardi Gras information that I hope is helpful in providing a financial perspective on the organization. Mardi Gras is a not- for- profit organization that donates generously to eighteen non- profit organizations in the local community. We also are involved with the City to build a pavilion downtown and eventually a permanent stage. We have made substantially capital investment in downtown buildings and acquiring unimproved property in order to stage the event. It is understood by most people that Mardi Gras benefits the city in other ways not mentioned in this letter. Mardi Gras pays no salaries to those who work year around on organizing the event. Many volunteers help us. Actually, without our sponsors and those who con~xibute their time, the event would be hard pressed financially. An adequate reserve fund is required to deal with contingencies. We especially want to hold down gate ticket prices. The only salaries paid are to city employees and security personnel on a contract basis. City employees are critical partners. Without them Mardi Gras in downtown would not be possible. Mardi Gras believes that, as a whole, city employees have done an excellent job and that your efforts are well worth the investment. We are concerned with the cost escalation rate of city personnel and your help is needed. As virtually all pay is on an overtime basis, we are asking that schedules for future events be on a strictly as needed basis. As one employee humorously aptly stated, "I'm having all this fun at Mardi Gras and being paid oven/me. It just doesn't seem right." Your cooperation and support are needed. Thanks again for the good work. Floyd Marceaux cc: Steve Fitzgibbons, City Manager Mardi Gras Board of Directors 3830 Hwy. 365 · Port Arthur, Texas 77642 · (409)721-8717 · Fax (409)721-8700 CITY of PORT ARTHUR OSCAR G. ORTIZ, MAYOR ROSE M. CHAISSON~ MAYOR PRO-TEM COUNCIL MEMBERS: WILLIE LEWIS, JR. RONNIE LINDEN BILL WORSHAM W.A. (DUB) BROWN THOMAS&HENDERSON BOB BOWERS TOM GILLAM, III POLICE DEPARTMENT April 14, 2000 STEPHEN FITZGIBBONS, CITY MANAGER M.E. "DUKE" GORRIS CHIEF OF POLICE Dear Mr. Marceaux: I received your letter concerning the increase in costs for Mardi Gras 2000 over the previous year. I calculated the mount to be $3051.00. This mounts to an increase of 5.36% over last year. Ithen set about finding where the increase occurred as I had been able to reduce costs the two previous years. I discovered that in previous years, we were able to utilize some on-duty personnel to assist in set-up both on Wednesday and Thursday. This calculated to be $746.00 of this increase. The current personnel shortage did not allow for the Police Dept. to utilize any on-duty personnel to assist in set-up. Officers received a 2% wage increase in April of 1999 and this resulted in an increase of $710.00 over last year. I also reviewed all payroll expenses for police employees both processed as city overtime and as contractual security paid directly to the officers. A substantial number of officers chose the overtime payment method over the contractual method this year. This increased costs $3189.00 over last year. I recalculated the costs and found that if the same number of officers had chosen the contractual payment method as last year, the cost for Merdi Crras would have decreased from last year by $1119.00 The method of paying the officers at the end ofMardi Gras by check rather than daily re. ay have caused more officers to choose overtime. We should sit down early next year and evaluate whether or not to return to the daily payment method. It appears it may save Mardi Gras some expense. I look forward to working with you again next year. Sincerely, · / w.42.,dy Criminal Investigations Division 645 4th STREET P.O. BOX 1089 PORT ARTHUR, TEXAS 7764%1089 AREA CODE 409-983-8600 · FAX ti 983-8662 Aphl21,2000 Major W. M. Blanton Port Arthur Police Department 645 4th Street. Port Arthur, TX 77640 of southeast texas, inc. Dear Major Blanton, I appreciate your response to Mardi G-ras' concern of cost escalation for the Mardi G-ras event. Especially appreciated is your professional and comprehensive analysis as well as the suggestion of a possible solution. Mardi Gras recognizes the excellent work of the PAPD and city departments evidenced by its Mardi Ch'as track record and safety results. We have no problem with necessary expenses. As you mentioned, the method of paying officers by check at the end of Mardi Gras rather than daily may have caused the increase in overtime. For this reason, officers chose overtime pay rather than on a contractual basis. I believe we changed because paying daily in cash was time consuming during hectic times. If you believe it is a good idea and for simplicity purposes, Mardi Gras would prepare cash payment envelopes in advance. A list of names and amounts would be needed. We would deal with adjustments in schedules. One reason that another city department had increased costs was security related. We requested three (3) additional people to help with the crowds during parades in the entertainment area. This was part of the barricade group who clocked in an average of thirty (30) plus overtime hours per employee apparently for this purpose alone. There may have been other duties involved that I am not aware. If this does not present a safety issue, then I would like to eliminate these extra people in the future. As an alternative, perhaps we could invite the volunteer law enforcement group that has assisted at past events. I believe they are based in Port Acres. The news that next year, DPS may be sending an additional ten (10) officers to assist along the parade route is welcomed. It's a great deal for us as only room and board is expected. I realize that I may be presumptuous in thinking that officers are willing and readily available to work Mardi Gras and that it may be necessary for you to order them to work. I hope that is not the case. Also recognized is that you and your staff and the other city department personnel spend considerable administrative time in advance planning for which you are not billing Mardi Gms. City leadership has always recognized the value of Mardi Gras to the community and I believe for this reason, they have been generous in this regard. Thanks again. Sincerely, Floyd Marceaux, President cc: Steve Fitzgibbons, City Manager 3830 Hwy. 365 · Port Arthur, Texas 77642 · (409)721-8717 · Fax (409)721-8700 · Mardi Gras 2001 Security Costs Cash Payments Wednesday - Thursday Set-up Thursday Compound Thursday Parade Friday Parade Friday Compound Saturday AM Compound Sauurday AM Parade Saturday PM Compound Saturday Overlap Saturday PM Parade Sunday AM Compound Sunday PM Compound Sunday PM Parade Gates Total Cash Payments City Overtime (See Breakdown) Related Security Costs $ 893.46 $ 1,215.48 $ 330.00 $ 2,447.00 $ 3,137.93 $ 965.00 $ 1,698.00 $ 5,683.30 $ 3,500.00 $ 3,073.00 $ 190.00 $ 3,709.20 $ 2,094.00 $ 5,710.00 $ 28,936.37 $ 27,039.92 $ 1,396.54 Total Security Costs $ 57,372.83 0 0 0 PORT ARTHUR POLICE ASSOCIATION INFORMATION REGARDING MARDI-GRAS DATE: 02/16/2001 After conversing for several weeks with the director of Mardi-Gras, Floyd Morso, he agreed to provide SPECIAL RISK ACCIDENT INSURANCE for Police Officers who wish to be paid cash money for working Mardi-Gras. There will be a $100,000.00 Maximum Medical Insurance Policy for each Officer with a $50,000.00 Accidental Death/Dismemberment. There is a $1,000.00 Deductable, which is to be paid by the Officer, included within this Policy. This Insurance Policy only covers an Officer who is injured during Mardi-Gras as a result of a slip and fall or similar type non-triggering event Injury. Copies of the policy's Coverages And Exclusions are attached to this information letter. *** Officers are encouraged to accept payment for Mardi-Gras Services by way of City Overtime to avoid any problems with Workman's Compensation in case a long term injury is obtained by an officer during Mardi-Gras Services. RESPECTFULLY SUBMITTED, ALTON J. BAISE 82/15/2881 1G:88 2813284119 2813284119 LaNE P.O. Box 1724 PH: (281) 328-8111 Products for Financial Securi~ F-Mail lane~worbitebeuefitsgrp.com FAX 'TRANSMISSION CROSBY, TEXAS 77~32 FAX: (281) 328-4119 COMPANY: SALTER INS ATTENTION: STUART FAX NUMBER: 409-962-0247 FROM: PAT SUBJECT: DATE: NO.'OF PAGES: MARDI ORAS OF SOUTHEAST TX,.INC. 2-12-01 THE FOLLOWING PROPOSAL FOR THE ABOVE NAMED INSUIi~k'~ IS AS FOLLOWS: THE POLICY IS TO COVER ALL SECURITY GUARDS OF THE POLICYHOLDER. ACCIDENT COV'ER,4GE AMERICAN NATIONAL LIFE INS. CO. OF TX. $100,000 MAX. Mi~T}. BENEFIT $ 50,000 ACCIDENTAL DEATH/DISMEMBERMENT $ 1,000 DEDUCTIBLE PKIMARY COVERAGE POLICY TERM: 2-22-01 TO 2-25-01 02/15/2001 1G:00 2S1328allS LANE P.O. Box I724 PB[: (281) 328-8111 Products ~r Fina~al Securi~/ E-MAil lane~worksitebeuefitsgrp.com FAX 'TRANSMISSION CROSBY, TEXAS 77S32 FAX: (281) 328-4119 COMPANY: A] I~NTION: FAX NUMBER: SALTER STUART 409-962-0247 2-,,~,2~1 NO.'OF PAGES: FROM: SUBJECT: PAT m~.i GRAS o~' SO ,Um~ST rx,.mc. THE FOLLOWING PROPOSAL FOR THE ABOVE NAM]~D INSURED IS AS FOLLOWS: THE POLICY IS TO COVER AI J. SECURITY GUARDS OF THIE POLICYHOLDER. ACCIDENT COVERAGF~ TX. ~.~ ~ ~C~ AM~C~,~ ~ATIONAL LL'~ rSS. CO. O~ ~ fl; 50,000 ACCIDENTAL DEATH/DIS~E~ $ 1,000 DEDUCTIBLE P~Y COVERAGE POLICY TERM: 2-22-01 TO 2-25-01 02/15/2~01 ~1~:00 28~328~11S LAHE llisk Accident Insurance In today's fast-paced society, accidents can happen anytime, anywl~ere.., while traveling with a busi hess group,"~ acatiooing, attending school, ~nicipating In athletics or a v~riety of other situation. Many families have little or no mcdi~l i~u~nce, and those who hive cover~e be ~qui: ed to meet large d~uctibles be~ore their Insuran~ pays ~ny Insurance Progr~s are s~eia]l? desired m help eliminate the financial burden ~at one incurs ss a r~dt of costly medical bills. Medi :al Expense Benefit Ifthe Person incurs eligible expenses es die result of ii covered injury, dire,'tly and (i~voted indel:,.ndenfly of all other causes, the Company will ply the charge~ incurred for such expense withi/l $ 2 weeks beginning on the date of accident. Payment will be made for ~ll/lble exp~nses in excess cf the applicable Deductible Amount, not to exceed the Maximum Medical Benefit. The first such e~enae must be incurred within 60 days after the date of the a~ddant. "Eligibh expenses" means charges for the following necessary treatment and service, not to exceed ~he usual and customary charges in the a:ea where provided, [ Medical and sot/goal care by a physician I Eediology (X-rays) I~ Ih'ascription drugs and medicines l[ Dental [reatmen[ of sound natural teeth I1 Hospital care and service in semi-private accommodations or as an outpatient · Ambulance service from the scene of die ac~dent I:o the nearest hospital · Orthopedic appliances necessary, to promote he,lint · Physiotherapy Accidental Death and Dismemberment Benefit If a c~ vered Injury results in any of the losses specified below within one year after the date of th~. acctdent,"'~.he Company will pay the applicable amount: · Full Principal Sum ~or loss of life · Full Principal Sum for double dismemberment · 50% of the Principal Sum for loss of one hand, one foot or sight of one eye "Memi~ er" means hand, foot or eye, Loss of hand or foot meane complete severm~ce above the v-fist ~r ankle Joln~. Loss of eye means the [otal, permanent loss of sigh~ Ii the Principal Sum ia payabl :, no indemnity will be paid/or diemembermant. In any event, the Double Dismemberment indem dry is the maximum amount payable under this Benefit for all losses resulting from one accide at. 16:88 2813284119 LANE Special RiSk Accident Insurance · Excl.sions Choice of Coverage C hoo~=e from the plans available, as shown on the separate inserts enclosed. Select the plan ~ which best suits your organization's needs. Primary Coverage pays bene3its under the plan without off, et for other · insurance (except Workers' Compensation). Excess Coverage does not cover treatment or service for whioh b~eneftta are payable or if service Is available under any other Insurance or medical sea, toe plan available to the insured. This !'lan does not cover any loss contributed to or resulting, from ~iokness or disee~e in any for~t (except pyoienic infections due to an accidental out or wound); the use of drugs or narcoti ts, unle~ administered on the advice of a physician, was or any so! Of war, whether or not deelaret, or participation in any riot or civil commotion; air travel or the use of any device or equiprr an: for aeri~] navigation, except as a fare.-payin~ p~ssen~,er on a re~ularly-sohedu[ed ~omme rossi airline; suloide or any attempt ~hereat, or an intentionally ~lf-ini'lio~ed injury. Nor doe~ tkls Pi, an oover: ser'.'ice provideci b}' (a) any person of faoility employed or retained by the Polio%.'? older or member or&anizition, or (bi an}' member o[ the Insured Per~on's family or house- hold; d ~tal ~re.~tment, except as the result of a covered Injury; examination ior, presortption or the i~urchsse of eye,lasses or contact lenses or hearini aids; Lhe repair of replacement of any orlhop.~tic apphenee or arti~oial dental reetorstlon; expenses payable under an}' Worliers' Com- penset on law or similar letislation; injury sustained while ridint in or on any two or three- wheeled endive-driven motorized vehicle. Note: ;~]ertain of these exclusions and limitations may bc modified to meet individual state requtr :meats. Mardi Gras 2002 Security Costs Cash Payments Wednesday- Thursday Sat-up Thursday Compound Thursday Parade Friday Parade Friday Compound Saturday AM Compound Saturday AM Parade Saturday PM Compound Saturday Overlap Saturday PM Parade Sunday AM Compound Sunday PM Compound Sunday PM Parade Total Ca,sh Payments City Overtime (See Breakdown) Lofton Security Services Related Security Costs ISee Breakdown) $ 2,446.75 $ 3,t37.50 $ 412.50- $ 3,289.50 $ 4,736.98 $ 1,206.25 $ 2,293.00 $ 9,127.12 $ 5,462.00 $ 3,672.O0 $ 1,282.50 $ 4,832.90 $ 2,911.50 $44,810.50 $15,614.87 $ 5,214.00 $ t,476.73 Total $ 67,116.10 0 0 TO: FROM: SUBJECT: PORT ARTHUR POLICE DEPARTMENT Memorandum CITY OF PORT ARTHUR ALL SWORN PERSONNEL Colonel Mark Blanton Mardi Gras Overtime DATE: 02~03~03 Overtime for Mardi Gras will be rotated through the off-duty overtime rotation system beginning February 3, 2003. One slot per officer per sign up sheet will be allowed. Every attempt at the first rotation will be made so that officers from each shift will have an opportunity to sign up. Subsequent rotations will be rotated on availability as well as much as possible. This is the third year of 10 Hour Shifts and Mardi Gras and allowances are being made. ICOP and Administration personnel will sign up with CID. Each rotation will last four days due to three consecutive days off. Depending on how quickly the various lists are filled, they will be rotated through other groups in such a manner as to try to achieve equal opportunity for all who want to work. Once everyone has had the opportunity to sign up, the lists that are not filled will be opened for anyone to sign up - limited to two slots each. After a period of four days, anyone can sign up for anything, including supervisors. Sergeants may sign up only in the open slots marked Assistant Mardi Gras Shift Commander on the first rotation. Sergeants and Lieutenants may sign up in any slot posted for their assigned shift on all subsequent rotations. An attempt will be made to hire officers from other agencies for the remaining open slots pdor to any forced overtime. Mardi Gres Shift Commander assignments will be made at a later date. Each Shift Lieutenant will insure that their personnel are notified of the overtime availability on each rotation. Officers on days off or vacation will need to be notified. Officers will be asked at Mardi Gras Shift Briefings whether they wish overtime, comp. time or cash payment. Cash payment this year will be at the rate of $25.00 per hour for patrol grade and $28.00 for supervisors. Further indicate (requests) any request you may have regarding work assignment, ie: bike, patrol unit, gate, etc. The Mardi Gras Commander will make work assignments. THERE WILL BE NO REMOVAL OF NAMES OR TRADING OF NAMES BETWEEN LISTS WITHOUT CONTACTING MAJOR BLANTON FOR APPROVAL. ONCE YOU SIGN UP~ YOU ARE EXPECTED TO REPORT FOR DUTY. AMOUNT OF OVERTIME PAID FOR JUNETEENTH 2001 OFFICER HRS WORKED OT RATE AMOUNT ANTOINE, R 4 $24.00 $96.00 ARNETT, P 9 $27.29 $245.61 BONEAU, K 3 $26.76 $80.34 CLARK, R 12 $36.74 $440.88 COOPER, G 9 $27.43 $246.87 FLORES, S 2 $26.82 $53.64 FONTNETTE, J 6 $24.46 $146.76 FREDERICK, K 4 $28.88 $115.52 JACKSON, J 9 $30.97 $278.73 LEGNON, T 8.5 $28.23 $239.96 MINGO, N 9.5 $29.63 $281.49 ROBINSON, T 3 $26.14 $78.42 STAFFORD, J 11 $21.62 $237.82 TOTAL AMOUNT $2,542.03 AMOUNT OF OVERTIME PAID FOR JUNETEENTH 2002 OFFICER HRS WORKED OT RATE AMOUNT BILLIOT, W 0.5 $29.66 $14.83 CLARK, J 16 $24.59 $393.44 COOPER, G 9 $28.41 $255.69 CRAIN, W 5.5 $26.70 $146.85 LEGNON, T 6 $29.88 $179.28 SNOWDEN, C 10.75 $31.47 $338.30 TOTAL AMOUNT $1,328.39