1993 annual report [1993]

GEORGIA

W 0 R L 0 CON G RES S CENTER

AUTHORITY

Don W Sands, Chairman CEO Emeritus Goldkist

Mary Rose Taylor, Vice Chairman Community Leader

I. Owen Funderburg, Secretary Retired Citizens Trust Bank

Paula Lawton-Bevington, Vice President Servidyne Inc.

Treasurer

John E. Aderhold, Chairman Emeritus Co - Chairman, Committee for Olympic Development in Atlanta

Ovid Davis Retired The Coca-Cola Company
Harold A. Dawson, Sr. President Harold A. Dawson Co., Inc.
Thomas @. %
ChaIrman Dowden Com)nunications
Rubye Mims':,L.ucas Human Resource~~Administrator Turner Broadcasting System, Inc.

Jeanette G. Garrison President &, GEO Healthmaster, Ii1~.
G wee LE G I stoAT I V E
OVERVIEW COMMITTEE
Senator Charles C. Clay, Chairman Senator Paul B.Broun Senator Ronald D. Slotin
Representative,., Larry J. Parrish,
Vice Chairman Representative Roger Byrd Representative Louise McBee

CON TEN T S
2. Director's Report 4. GWCC Income and Expenses 6. GWCC Economic Impact 8. GWCC Sales and Event Attendance 10. DOME Income and Expenses 12. DOME Sales and Economic Impact 14. Authority Balance Sheet 16. Human Resources Report

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2 1993 Annual Reporl

DIRECTOR'S

REPORT

Fiscal year 1992-1993 was a year of dramatic growth for the Georgia World Congress Center Authority. With the August opening of both the 71 ,SOO-seatGeorgia Dome and the Congress Center's 310,000 square foot Phase III expansion, we became one of the world's largest sports, entertainment and convention complexes virtually overnight.
The spectacular opening of the Georgia Dome included a public weekend entitled "Roam the Dome" that drew more than 230,000 visitors from around the state and region, as well as a gala dinner to honor the people who contributed to the success of the project. From there, the Dome immediately moved into its first season and hosted more than one million guests in its first three months of operation .
Phase III, with its dramatic new concourse, will allow the Congress Center to keep up with growth demands of events and host larger events as well as increase the number of simultaneous activities the faCility can host. Overall, the Congress Center is booked at 87 percent of its practical maximum occupancy for the next 10 years.
Both of these new additions are major assets the state of Georgia can be proud of for years to come. The primary goal is for these facilities to serve as economic catalysts for the entire state. Moving into the next year and beyond, we forecast that both the expanded World Congress Center and the new Georgia Dome will be major factors in the success of the state's hospitality industry.
Elsewhere in this report you will note these developments were accomplished with a dedicated staff who continued to offer excellent service to our ongoing business, thus allowing us to post another strong year of financial performance with steady attendance figures.
And the coming year brings new challenges. We are excited about hosting Super Bowl XXVIII for the National Football League. The Dome is the NFL's newest host stadium and allows Atlanta to become one of only 10 cities to host the NFL's ultimate matchup. The Super Bowl is the perfect event to showcase our facilities to the world. In addition, the proposed development of a much-needed parking deck and pedestrian circulation plaza will help alleviate traffic congestion and allow the complex to go forward with planning for continued expansion.
We hope you enjoy this progress report, and we look forward to continuing to playa role in the growth and development of Georgia and our capital city Atlanta.
c;)#~/!:-
Dan Graveline Executive Director Georgia World Congress Center Authority

As part of the grand opening activities, more than 230,000
guests visited the Georgia Dome during
"Roam the Dome" weekend. The open house featured indoor parades, high school bands from across Georgia, competitions for non-athletes and much more.

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4 1993 Annual Reporl

INCOME

AND EXPENSES

Fiscal year 1993, ending June 30, was another strong year for the Georgia World Congress Center. A successful combination of large trade shows, consumer shows, conventions and corporate meetings resulted in a net operating profit of $4.7 million. Even in a less than robust economy, the World Congress Center required no state appropriations for operations. In fact, the GWCC generated $S6 million in new tax revenue for the state.

INCOME

15%

45%

22 %
RENT EXHIBIT UTILITY SERVICE
FOOD SERVICE PARKING
HOTEL/MOTEL TAX OTHER

EXPENDITURES
6% 3%

26%
MGR Food Services, the exclusive 64%
caterer of the Congress Center and

Georgia Dome, provides a vast array of

dining options from casual box

lunches to lavish receptions and sit-down dinners.

PERSONAL SERVICES REGULAR OPERATING

EQUIPMENT

CONTRACTS/FEES

OTHER

INCOME AND EXPENDITURES STATEIVIENT,~01'j ill"!

INCOME Rent Exhibit Utility Services Food Services Parking HoteI!Motel Tax Other Sub-Total HoteI!Motel Tax (~CVB) TOTAL
EXPENDITURES Personal Service Regular Operating Equipment ContractlFees Other Sub -Total... HoteI!Motel Tax (ACVB) TOTAL NET GAIN

FY 1993

$ 9 ,600 , 114

$ 4,747,691

$ 3 ,247,889

$

902,869

$ 1,433,436

$ 1,41S,694

$ 21,347,693

$ S,313,39S

$ 26,661,088

$ 10,S42,833 $ 4,299, S7 S $ 169,6S6 $ 1,030,349 $ S40,971 $ 16,S83,384 $ S,313,39S $ 21,896,779 $ 4,764,309

Meeting space rental, security and technical support are just a few of the services that provide
income for the facility.

GWCC INCOMES

RENTAL Exhibit Hall Rent.. Meeting RoomslBallroom/
Auditorium/Conference Miscellaneous Rent. TOTAL RENT

Center

FY 1993

$ 8,61S,943 $ 697,399

$

286,772

$ 9,600,114

UTILITY SERVICE GROSS INCOME

$ 4,747,691

INCOME BUilding rental income increased slightly, providing 45 percent of the GWCCs total income in fiscal year 1993. Exhibit utility services provided 22 percent of the GWCCs income at $4.7 million. Income derived from food service operations, parking and the hotel/motel tax decreased slightly.

EXPENDITURES In general, operating expenses were in line with projections. The GWCC held regular operating expenses and equipment expenditures steady, while personal services and contract fees grew slight1y. "Other expenses" cover telecommunications and computer costs as well as supplies, equipment leases, travel, printing and minor miscellaneous expenses.

1993 Annual Reporl 5

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contributed more than

$ 1.04 billion into Atlanta's and L
Georgia's economy.
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8 1993 Annual Reporl

ECONOMIC

IMPACT

T he Georgia World Congress
Center Authority is a state authority created to generate economic development. By attracting out-of-town visitors to conventions and trade shows, the state of Georgia realizes millions of "new dollars" as money they spend circulates through the economy.
During FY 93, $62S million "new dollars" were generated from Georgia World Congress Center activity. As this money circulated, it created a total economic impact of appro xima tely $1. 04 billion.
Each out-of-town guest spends approximately $214 per day in Atlanta during the average 4.2S days a visitor stays while attending a convention or

trade show. This amount includes everything from hotel rooms and local transportation to restaurants and shopping.
To calculate the "new dollars" generated by GWCC activity, multiply $214 (average spending per day) x 4.2S (average stay) x 686,739 (the number of FY 1993 out -of-town guests).
The total economic impact is calculated by multiplying the "new dollars" by 1.66. This figure indicates the approximate number of times these "new dollars" generated by the GWCC are turned over in the community to stimulate the economy.

Personal Income Retail Sales Total Dollars

GWCC Activity "New Dollar" Impact
$ llS,S48,987 S09,040,134
$ 624,S89,121

Secondary Impact $ 76,262,331
33S,966,489 $ 412,228,820

Total Economic Impact $ 191,811,318 845,006,623 $1,036,817,941

EMPLOYMENT

S,706

9,301

15,007

TAXES Retail Sales Concessions HotellMotel Personal Income Corporate Income Total Taxes

$ 30,S42,408 30S,424
23,61S,091 2,426,S29 S44,673
$ S7,434,125

$ 20,lS7,989 0 0
1,601,S09 3S9,484
$ 22,118,982

$ 50,700,397 305,424
23,615,091 4,028,038 904,157
$ 79,S53,l07

"New Dollars" Generated
Total Impact of New Dollars

FY90

FY91

FY92

FY93

"

$ 613,1l3,OSO $S80,468,366 $S22,94S,220 $ 624,589,121

1,017,767,663 963,S77,488 868,089,06S 1,036,817,941

TAX REVENUES Georgia State Tax $ Atl. HotellMotel Tax Total Tax Revenue $

41,633,290 19,734,032 61,367,322

$ 39,416,S62 $ 3S,SI0,467 $ S5,938,016

21,40S,664 21,296,3S6

23,615,091

$ 60,822,226 $ S6,806,823 $ 79,553,107

80

78
ECONOMIC IMPACT

78 -------------------~-----~--~---"--"------------------

74

10T~tf1(PENSl

TO GEORGIA "_

72

DEBT SERVICE EXPENSE

OPERATING EXPENSE

70

88

TOTAL INC O~M"",E,----__

TAX I N C=-.;O=-:.M~E=---_

88

OPI :RATING INCOME

64

82

NET PROFIT

58 -----------------------------"------------------

58

54

52

50

48

46
1M! 44
=2
- 42
....I
-....I 40
::E
38

38

34

32

30

28

28

24

22

20

18

18

14

12

10

8

8

4

2
0 FY82 $13.4

FY83 $3.9

FY84 $11.6

FY85 $16.9

FY86 $22.5

FY87 $21.1

NET PROFIT TO STATE

FY88 $37.2

FY89 $43.6

FY90 $49.3

FY91 $47.8

OF GEORGIA IN MILLIONS

FY92 $34.7

FY93 $37.6

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The Festival of Trees, benefitting

Egleston Children's Hospital, is the

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largest annual public event held in

the Congress Center

attracting more than 12S,OOO

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attendees over the

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nine-day celebration.

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8 1993 Annual Reporl

SALES

AND EVENT

ATTENDANCE

A ttendance to events at the
Georgia World Congress Center grew for the third straight year in FY 19921993. The center hosted more than SO trade shows, 22 consumer shows and a myriad of smaller events and banquets of all types and sizes, and bookings for the future are holding steady. Currently, the center is booked at 87 percent of practical maximum through the year 2003.
With the addition of Phase III, which added 310,000 square feet of exhibit space to the west side of the building in August, we expect these numbers to continue to rise. This year's expansion generated excitement in the industry and will make it possible to secure more and larger events for the GWCc.
An "Exhibit Hall Day" is equivalent to all space booked in either exhibit halls ABC, DEF or GH for one full day. "Practical Maximum Bookings" are equivalent to all exhibit hall space booked for 28S days. This number takes into account national holidays, weak seasonal periods in July, August and December, plus three days per month for inherent scheduling gaps between major trade shows.
Conventions, consumer shows and a variety of small meetings and food functions attracted I,S42,80S visitors to the Congress Center, up from 1,330,248 last year. Of that number, 686,739 were out-of-town guests.
Among the largest trade shows and conventions was The Super Show, drawing 9S,977 attendees. The Super Show - the largest trade show in the world for the sporting goods industry and one of the top five largest tradeshows in the United States -

was the first event to occupy both the GWCC and the Georgia Dome. In addition to Comdex, with an attendance of 89,108, Bronner Brothers International Beauty Show and the International Woodworking Machinery &: Furniture Supply Fair - U.S.A. rounded out the top four shows by attendance.
The Festival of Trees had the highest attendance for public shows with 12S,000 visitors, followed by the Atlanta Area Council of Boy Scouts with 86,000. The Atlanta Boat Show, National Sports Collectors and the Spring edition of the Atlanta Home Show were also among the top public shows.
FY 1993 TOTAL ATTENDANCE
1,542,805
11%
44%
45%
50 MAJOR TRADESHOWS & CONVENTIONS (677,332)
22 CONSUMER SHOWS (690,473) MINOR EVENTS (175,000) OUT OF TOWN ATTENDANCE TOTAL (686,739)

GEORGIA WORLD CONGRESS CENTER
HALL BOOKINGS
385

300 285

250

i---

-

--
- r-- -

PRACTICAL MAXIMUM BOOKINGS

r----

r-

200

- '--- ,-

r-- -

f..-.-

f.--.

-

f.--.

-

- r---- -

i-

-

f..-.-

f.--.

I-

f.--.

-

100

'--- f.--.

-

f..-.-

f.--.

f..-.-

r--

r--

50

r-- f.--. r-- r-- -

f..-.-

-

f..-.-

I-

f.--.

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1992* 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002

HALLS ABC

HALLS DEF

HALLS GH

* Days booked for halls G & H reflect bookings August through December 1992

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J"....,... :~. ." T~

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Natalie Cole provided

"An Unforgettable Evening" during

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the Georgia Dome

dedication ceremonies.

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INCOME

AND EXPENSES

Fiscal year 1993, ending June 30, was the Georgia Dome's first year of operation. Even in an abbreviated year, an exciting combination of Atlanta Falcons football games, the Peach Bowl, concerts, tradeshows, basketball and business meetings, the Dome exceeded expectations and produced a profit.

INCOME
A
10%

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1%

...-

15%

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4% M

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45%

RENT FOOD SERVICE (MGR)
PARKING OTHER LICENSE FEES ADVERTISING HOTEUMOTEL TAX

EXPENDITURES
12%
51 %
4% PERSONAL SERVICES REGULAR OPERATING
CONTRACTS/FEES OTHER
DEBT SERVICE

10 1993 Annual Reporl

INCOME AND EXPENDITURESJTATEMENT

INCOME Ren.t. , FoodServices Parking Othe,r License Fees Advertising HotellMoteTlax TOTAL

FY 1993

$ 3,283,S90

$ 2,92S,699

$

3S9,921

$ I,S49,434

$ IS,S61,678

$ 1,473,898

$ 9,280,731

$ 34,434,9S1

EXPENDITURES PersonaSlervice RegulaOrperating ContractlFees Other., DebtService TOTAL ,

$ 4,199,294 $ 3,081,698 $ 8,066,269 $ 1,426,276 $ 17,SIS,246 $ 34,288,783

NET GAIN

$

146,168

INCOME License fees and advertising brought in more than 49percentof total income, with building rental, food services and parkingfollowing closely behind.

EXPENDITURES Operating expenses were in line with projections. Debt service on revenue bonds, at 51 percent, will continue to be the largest single item in this category until the bonds are retired.

As host to a variety of public and private events, the Georgia Dome offers outstanding service
with a knowledgeable staff in the Dome Service Centers. Dining options also run the gamut from game
day fare to fine dining in the "In-Zone Restaurant. II

1993 Annual Reporl 11

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SALES

AND ECONOMIC

IMPACT

Fy 1993 was an excellent initial
year for the Georgia Dome. In addition to grand opening events, the Dome hosted its first season with 10 Falcons' games, high school and collegiate football, the Peach Bowl, the Kuppenheimer Basketball Classic as well as three major concerts and a variety of other sporting and entertainment events. These events attracted nearly two million fans. Currently, the Dome is booked at 87 percent of its practical maximum capacity for 1994 and at S8 percent through the year 2000.
The Georgia Dome's mission, like the adjacent World Congress Center's, is to serve as an economic catalyst for the state of Georgia. In helping to attract major sporting events like Super Bowl XXVIII, the Olympic Games and NCAA basketball tournaments, the Dome is successfully fulfilling its mission.
The economic impact of these events cannot be calculated in the same way as events at the Georgia World Congress Center. Consequently, we
~~~~~~'&..
Jeffrey Humphreys of the Selig Center for Economic Growth at the University of Georgia to develop an econometric modelfor delcrmiDj~1he imy.aCl of
Dome events. The resu(ts from hi's report are expected early in 1994 and will give the Authority specific figures as well as a formula to calculate economic impact for succeeding years.

12 1993 Annual Reporl

GEORGIA DOME BOOKINGS
385
300 PRACTICAL MAXIMUM BOOKINGS
285 250
-: 200 .or: co co
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.:.. 150
1:1
100
50
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1992* 1993 1994 1995 1996 1997 1998 1999 2000 Sporting and Entertainment Events All Other Events
* Days booked reflect August through December only

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AUTHORITY

BALANCE

SHEET

Don W. Sands Chairman
Georgia World Congress Center Authority

14 1993 Annual Reporl

ASSETS
Cash Accounts Receivable Prepaid Expense Inventories Advances to Other Funds (Dome) Deferred Charges Fixed Assets:
Equipment !Building
TOTAL ASSETS

GWCC

$

S,1S6,676

2,S02,689

1,000

148,624

11,8S9,4S0

0

247,S72,922 (2)

$

267,241,361

DOME

$

S3,241,4S8 (1)

3,009,776

0

0

0

4,416,264

212,303,62S

$ 272,971,123

TOTAL

$

58,398,134

S,S12,46S

1,000

148,624

11,8S9,450

4,416,264

4S9,876,S47

$

S40,212,484

LIABILITIES AND FUND BALANCE

lia bili ties:

Vouchers Payable

$

1,236,084

Term LoanIBond Payable

4,216,4S9

Interfund Payable

0

Reserves:

Designated

11,86S,696

Deferred Revenue

0

Investment in Fixed Assets!Bldg.

247,479,91S

Fund Balance

2,443,207

TOTAL LIABILITIES &: FUND BALANCE $

267,241,361

$

I,S37,226

200,411,771

11,68S,284

40,816,766 3,199,438 10,400,986

4,919,6S2

$

272,971,123

$

2,773,310

204,628,230

11,68S,284

S2,682,462 3,199,438
2S7,880,901

7,362,8S9

$

S40,212,484

NOTE: (1) $ 10,000,000 8,850,625
15,426,099

(2)

244,150,000

Investment of Debt Service Reserve Debt Service Interest and Credit Enhancement Fee Security Deposits (Suites and Seats)
Land and Building (Funding provided by State of Georgia General Obligation Bonds)

1993 Annual Reporl 15

HUMAN

RESOURCES

REPORT

fiscal year 1992-1993 saw a

dramatic increase in the number of

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full- and part-time personnel em-

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ployed by the Georgia World Congress Center Authority. These increases

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accommodated the opening of the

Georgia Dome and completion of the

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Congress Center's Phase III expansion.

During this time, the Human

Resources Department processed more

than S,OOOapplications from candi-



dates nationwide. In addition to the

normal recruiting efforts, a job fair

was held in the adjacent Vine City

community to inform the neighboring

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area about employment opportunities.

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As ofJune 30,1993, the World Congress Center had 327 authorized

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full-time positions and the Georgia

Dome had 109. In addition, the Con-

gress Center used 192,SSO hours of

part-time labor, equivalent to approxi-

G mately 92 full-time positions at 40 hours per week; the Dome used

213,6S9 hours of part-time labor,

equivalent to approximately 103 full-

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time positions. This part-time labor

force enabled the Congress Center and

Dome to cover workload peaks and

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valleys created by large events in an efficient manner. During the past

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year, several interns were also

employed in various departments.

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Our personnel continued to

exhibit dedication and commitment to

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excellence in their job performance.

Clients conSistently cited quality cus-

tomer service and the "can-do" atti-

tude of our veteran work force as rea-

sons they return to our facilities year

after year. During this past year four

employees received IS-year service

awards; 10 employees received

lO-year awards and 17 received five

year awards.

Impeccable customer service from the entire Congress Center and
Georgia Dome staff is the key to the success of both facilities.
The Congress Center and Dome continue to stress the importance of training and education in maintaining our industry position. Personnel participated in seminars familiarizing them with the operations of all departments; six employees partiCipated in the Tuition Reimbursement Program; and the Security Department utilized 1O,6S8 hours of training, with five officers earning post certification. Twenty-eight other staffers participated in job-skill and management training courses. At the same time, the Dome conducted initial departmental training for their new work force and held several allstaff town meetings.
Also during the year, the Human Resources Department consolidated their operations for the Congress Center and the Georgia Dome to provide more efficient personnel and training services for all Authority personnel.

AUTHORITY WORK FORCE
14%
39% FEMALE MINORITY FEMALE CAUCASION MALE MINORITY MALE CAUCASION
METRO ATLANTA WORK FORCE
41 %
11% FEMALE MINORITY FEMALE CAUCASION MALE MINORITY MALE CAUCASION Source: Georgia Department of Labor

18 1993 Annual Reporl

GWCC AUTHORITY EXECUTIVE DIRECTOR
Joint Responsibilities

Designed by James Whitely/Covenant Communications

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