MICHIGAN STATE FAIR & EXPOSITION CENTER

AUTHORITY BOARD OF DIRECTORS MEETING

December 12, 2007

Pursuant to notice duly given, a meeting of the Michigan State Fair Authority was brought to order by Mr. Edward Deeb, Vice Chairman, on this date, beginning at 1:20 PM, in the Administration Building, Conference Room, at the Michigan State Fairgrounds, 1120 W. State Fair Avenue, in Detroit.

PRESENT: Edward Deeb, President & CEO of MFBA

Kenneth J. DeCock, Partner of DeCock and Sons LLC/Boyka's Farm Market

Pat G. Albright, Owner of Albright Farms

Elaine Driker, Former Director, Detroit Orientation Institute @ WSU

Thomas G. Coon, Ph.D., Professor and Director of MSU Extension

Robert Burns, Representing Lisa Webb Sharpe, Director of DMB

Barbara Hensinger, Representing Don Koivisto, Director of MDA

Steven R. Jenkins, MSF General Manager

ABSENT: Mark T. Gaffney, President Michigan AFL/CIO

Robert G. Porter, Former Mayor of the City of Ferndale

Also Present: Byna Camden, ICARE and surrounding State Fair resident

Margaret Fletcher, MSF Finances

Johnnie Bennett, MSF Secretary

ACCEPTANCE OF AGENDA and APPROVAL OF MINUTES

ON MOTION BY Mr. Coon, supported by Mr. Albright and carried, the agenda was accepted for today' s Board meeting. The MOTION passed unanimously.

ON MOTION BY Mr. Coon, supported by Mr. DeCock, and carried, the minutes of the meeting held on November 19, 2007 were reviewed and approved as written with the following question being discussed. Mr. DeCock asked for clarification regarding the previous motion made by the Board concerning contract extensions. After reviewing the minutes, Mr. DeCock stated his question and concern had been addressed. The MOTION to approve the previous minutes was unanimously passed.

VICE CHAIRMAN'S COMMENTS

Vice Chairman Edward Deeb greeted everyone & welcomed all to today's meeting of the Authority Board. He then wished everyone peace and goodwill for a safe and excellent holiday season.

GENERAL MANAGER'S REPORT

Mr. Jenkins gave a report on the following:

Non-Fair Events and New Attractions

There are three new attractions scheduled for the Fairgrounds, which include the new "Detroit Equestrian Club", (where today's holiday luncheon was held), "Next Shot Golf" located in the northern third portion of the Michigan Mart Building and Dave Bergman's "Hitting Zone" located in the West Mall.

A verbal commitment was made by the Shrine Circus and they have agreed to come in soon and further discuss the details of their event which would be held April 10 -13, 2008. Mr. Jenkins stated that Shrine Circus was held at the Fair for 75 years and he was very happy to announce their return after a six or seven year absence.

Contract Extensions

A list of current contracts exceeding $25,000 was distributed for the Board's review. Included in this report was the Fair Manager's intended action to be taken on each contract. The Board was given time to review the list of contracts and then Mr. Jenkins responded to each of their questions.

The janitorial service contract was written as a one-year contract with the ability to exercise two (2) one-year options scheduled to expire at the conclusion of the 2008 Fair. Information was shared regarding how the invitation to bid (ITB) process works and how information is distributed to the public and interested parties.

Mr. Jenkins reported he is hopeful we will soon be able to bring on new staff members to fill two positions at the Fair. He anticipates we will soon be accepting applications for a Promotional Agent, as well as a departmental supervisor. Mr. Jenkins stated the departmental supervisor position would not serve as an assistant manager but rather this position would serve more as a support staff person to help with daily office duties in the lower section of the Administration Building.

IAFE Report & Upcoming MAFE

Mr. Jenkins recently attended the annual IAFE (International Association of Fairs and Expositions), Convention. Mr. Jenkins stated the IAFE is a one-stop shop for Fair entertainment, musical and ground acts and it serves as a great place to share and exchange Fair ideas with other state and county Fairs throughout the country. Mr. Jenkins attended many workshops while at the IAFE Convention on how to expand ethnic presence at the Fair, increase fundraising, and several networking meetings. Mr. Jenkins stated the one thing that he came away with that was disappointing, is how we, as a State Fair, do not have the agricultural presence at our State Fair or in our school systems as reported by other states.

Mr. Jenkins encouraged the Fair Board to attend the IAFE convention in the future and stated it would prove to be a wonderful and worthwhile experience.

Mr. Jenkins stated Mr. DeCock recently extended an invitation to him to attend the Fruit and Vegetable Expo in Grand Rapids. He stated he attended this event also to gather information and suggestions from others who may be able to offer creative ideas on how we can better enhance and promote agriculture at our State Fair.

Mr. Jenkins reported he will be meeting with the Director of MDA Don Koivisto and Ag Commissioner James Byrum on January 11, 2008 to discuss how we can create a much greater presence of agriculture and how we can do a better job of highlighting agriculture at our State Fair. Mr. Jenkins stated that every single Fair has its foundation in Agriculture and he is hopeful that we will be able to improve our relationships with the agriculture community and be able to encourage others to share their ideas and suggestions on how to increase the presence of agriculture at our Fair.

Mr. Albright expressed appreciation towards the attitude and mentality expressed by Mr. Jenkins and his sincere efforts in trying to improve, capture and really highlight agriculture at the State Fair. Mr. Albright agreed the foundation of the Fair is really in agriculture and he added how delighted and thankful he was to hear the statements offered by the Fair Manager at today's Board meeting.

Mrs. Driker stated that we should emphasize the great opportunity of city-dwellers to experience country life at our Fair every summer. She also shared information on the Greening of Detroit, which has begun a new initiative that deals with Urban Gardens. This could also be an opportunity for the Fair to work with various school groups and have children come and plant and tend to gardens at the Fairgrounds over the spring and summer months. This endeavor could also include special contest and prizes for various garden/plant categories. Mrs. Driker suggested Mr. Jenkins could possibly contact Ms. Jackie Victor, who is very much involved with the Greening of Detroit and could be a good resource for the Fair.

Mr. Jenkins shared information regarding a program he saw at the IAFE Conference called "Grow-a-Pizza". He stated this could be a great educational, agricultural exhibit for the Fair and could also generate additional sponsorship dollars. Grow-a-Pizza is similar to agricultures "Field-to-Fork" concept. Dr. Coon spoke briefly about the possibility of constructing a very inexpensive greenhouse at the Fairgrounds that could also be tied in with a variety of future year round agricultural programs.

MAFE

EJ Brown, Director of MAFE (Michigan Association of Fairs and Expositions) has kindly offered financial assistance for three Fair Staff members to attend the upcoming MAFE conference held in Grand Rapids, January 10th -12th. Mr. Jenkins recommended the Board to attend the MAFE conference.

2008 State Fair Prices

The Board reviewed the 2007 State Fair prices, which included Fair gate admission for adults, children and seniors, seasonal passes and special day promotions such as Free Senior Citizen and Veteran's Day.

ON MOTION BY Mr. DeCock, supported by Dr. Coon, and carried, the Board agreed to keep all of the 2008 State Fair prices the same as they were in 2007. The Motion passed unanimously.

FINANCIAL REPORT

A Draft Budget Report was distributed for the Board's review. The report highlighted monies received and spent in 2006, 2007 and our projected budget for FY 08. Mr. Jenkins stated we are projecting increases in our 2008 sponsorship revenue, building rentals and gate admissions for the annual Fair. A discussion was held at length regarding the financial report presented today. Margaret (Peggy) Fletcher offered additional details and provided explanations to questions raised by the Board. It was suggested that the Board review the financial report and forward to the Fair Manager questions concerning today's drafted budget report. Mr. Jenkins agreed to forward answers and information to Board members before the next meeting.

After a brief discussion regarding the Fair Manager's salary, it was agreed the Authority Board would address this matter at a later date.

OLD BUSINESS

A brief discussion was held regarding the Miracle of Life Birthing Exhibit and the verbal offer made by Wade Shows to provide a $30,000 sponsorship for the Miracle of Life exhibit.

Mr. Albright raised questions about the money and wanted to ensure that Wade Shows was locked in for the Miracle of Life exhibit. Mr. Jenkins stated he had recently spoke with Mr. Zaitshik, President of Wade Shows, and they are fully committed to giving us the $30,000 and they stated we can use the money however best we see fit, should we choose to use the monies to sponsor a different program.

Mr. Jenkins was very pleased to report that with special thanks again to Chairman Gaffney, we now have a new sponsorship arrangement with Strategic Staffing Solutions. Chairman Gaffney introduced Strategic Staffing to the Fair Manager and they have agreed to provide $15,000 to promote and sponsor the Miracle of Life exhibit.

A lengthy discussion was held regarding the location of the Miracle of Life exhibit and the agriculture presence at the Fair. Mr. Jenkins reported that he has deferred to Dr. Dan Grooms of MSU who has indicated there were more positive reasons for keeping the Miracle of Life in the West Mall, than negatives for moving it to another location. Mrs. Driker expressed how pleased she was when the Miracle of Life operated from a large tent with plenty of light and openness. Mr. Jenkins shared ideas and thoughts as it related to developing an agricultural campus at the Fair that would include various commodity groups and possibly large tractor trucks and a variety of farm type equipment.

Mr. Jenkins gave an update on the recent Press Conference held at the State Fair in the Community Arts Auditorium. The conference went very well with media present along with various State Fair partners.

NEW BUSINESS

The State Fair Authority Board and staff expressed their sincere thanks and appreciation to Chairman Gaffney, who could not be present for today's meeting, but was so kind to sponsor today's wonderful holiday luncheon. Many thanks are sent to Chairman Gaffney for his generosity and expression of kindness.

*AS AMENDED AT THE BOARD MEETING OF FEBRUARY 13, 2008:

On Page 5, under New Business, "The Governor's Mansion" will be removed from the report. Chairman Gaffney and Mr. DeCock attended a reception on December 11th at the Michigan Historical Library and Museum.

Mr. DeCock stated he and Chairman Gaffney attended a reception  on December 11th at the Michigan Historical Library and Museum.  and he received information, indicating appointments and re-appointments to our State Fair Board would soon be made.

Vice Chair Deeb was happy to share information regarding the revitalization of certain areas and shelter locations at the Eastern Market. He stated the new developments will really be attractive once completed and he encouraged the Board to come visit and shop the market.

Vice Chair Deeb reported that through the Business and Professionals group, on March 6, 2008, our Director Lisa Webb Sharpe would be honored as one of seven Distinguished Women Leaders in Michigan. Congratulations are in order for Director Webb Sharpe.

PUBLIC COMMENT

Byna Camden gave a brief update on progress of the Eight Mile Road & Woodward Avenue shopping center development. She also asked that the Board and Fair Manager please consider inviting children to come back out to the Fairgrounds again this summer to assist in planting flowers and beautification of the Fairgrounds endeavors. The Board agreed to encourage more efforts of this kind in the future.

DATE for NEXT MEETING

ON MOTION BY Mr. DeCock, supported by Mrs. Driker, and carried, there would NOT be a meeting scheduled for the month of January. The Motion passed unanimously.

The next meeting of the Michigan State Fair Authority Board was scheduled for Wednesday, February 13, 2008, beginning at 1:30 p.m. in the Administration Building Conference Room, at the Michigan State Fairgrounds, in Detroit.

ADJOURNMENT

The meeting was adjourned at 3:02 p.m.