BOARD OF DIRECTORS MEETING

December 21, 2017

Table of Contents

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3

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7

9

11

12

13

Agenda

November Minutes

Board Attendance

Strategic Plan Summary

Annual Report Highlights

Consolidated Budget

Revenue Graph

2018 Budget

Banquet Title Sponsorship Proposal

Dashboard Reporting Example

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Kalispell Chamber of Commerce Regular Board of Directors Meeting

Chamber Conference Room, 15 Depot Park, Kalispell, MT Tuesday, December 21, 2017 - 4:00pm-5:00pm

Agenda

I. 4:00 pm Call to Order: Joe Carbonari, Chairman of the Board II. 4:00 CONSENT AGENDA – Dave Hergesheimer, Secretary/Treasurer

• Minutes of the November 28, 2017 board retreat • Board Attendance 2017 (information only)

III. 4:10 BOARD ACTION AND DISCUSSION ON INITIATIVES AND PROGRAMS

• For Approval: 2018 budget and business plan – Hergesheimer/Carbonari • For Approval: following the decision by the board to establish a brokerage account for

the Foundation, the executive board recommends that we establish a process that includes 1) naming a selection committee, 2) request for qualifications from member firms, and 4) an interview process, in order to make qualified decision.

• For Discussion: Is the Board interested in offering a Title Sponsorship for the banquet? See enclosed letter.

• For Approval: The executive committee recommends the use of a “dashboard” for our meeting package that summarizes progress on our goals and reduces the number of schedules in the meeting package. See attached sample from the Richland Chamber.

IV. 4:45 REPORTS, ACTIVITIES, AND ANNOUNCEMENTS (information only)

• Activities and Programs: Dec 21 Thinking Thursday: Financial Success Planning Dec 30-31 Skijoring at Rebecca Farm Dec 25 Christmas – office closed Jan 1 New Year’s Day – office closed Jan 10-11 Business Days at the Capitol, Helena Jan 16 Luncheon: Kalispell Business Agenda

• Board Announcements

V. 5:00 pm Adjourn. Meeting followed immediately by a Holiday Reception.

Kalispell Chamber of Commerce Board of Directors Retreat First Interstate Bank

Tuesday, November 28, 2017

MINUTES

Board Members Present: Lisa Brown, Joe Carbonari, Jason Cronk, Jesse Davis, Mark Flatau, Dawn Hendrickson, Mark Hensley, Dave Hergesheimer, Doug Houtz, Mark Johnson, Jane Karas, Butch Larcombe, Mike Nye, Brian Pelc, Maria Phelps, Tom Ray, Mike Smith, Courtenay Sprunger, Kary Tonjum, Tagen Vine, Jim Wright Board Members Absent: Bob Herron, Mike Pence, Doug Russell, Laura Taylor, Rick Weaver, Staff Present: Joe Unterreiner, Katie Brien, Kate Lufkin, Diane Medler Notice of the meeting having been given, the meeting was called to order by Joe Carbonari at 1:06pm. Section 1: Environmental Scan - Facilitated by Jodi Smith, FVCC Workforce Training What do you think are the key influencers in the Flathead economy right now? What are pressing issues for your business/organization? • Visitation to the park has significantly increased • Increase in competition in the tourism industry, specifically hotels and retail • Low unemployment rates are creating a stress on companies to retain their talent • Real estate is gaining strength again • Affordable housing stock is low. Affordable rental stock is also low. • Education system is strong • Internet is impacting small, local businesses, yet Kalispell is definitely an established retail hub • Need for improved infrastructure is bigger than ever • Healthcare system is great for the size of the region • Downtown is gaining momentum and attracting workforce to the area • Population in the valley is aging and will impact businesses in ways we do not fully understand • Businesses are facing integration challenges with the mix of generations in the workforce • Homelessness’ impact is growing with shelters and food pantries not keeping up with the demand • Mental health issues are increasing and that is affecting students in the valley’s educational system What are the Chamber’s highest value activities? • Making strides in workforce and connecting businesses and students/teachers (MFG Expo, MFG

month). How can the Chamber become more active in this area? • Providing training opportunities for businesses (Thinking Thursdays). • CVB is making a big impact bringing in large meetings/conferences and managing tourism events. • Great at educating people and informing the public and members of perspectives. Where does the Chamber have additional opportunities to positively impact members? • Making sure there is coordination/communication amongst all organizations in the valley. • What takeaway can the Chamber develop for small businesses? • How can the Chamber become more engaged in economic development to add member value

beyond marketing and network?

• Is there any professional service the Chamber can provide businesses. One on one consulting for members? Opportunities to create partnerships in the valley?

• Expos are a great opportunity to continuing developing its influence in the workforce. • There was a lengthy discussion on the opportunities the Chamber/CVB has to continue bring in large

sport tournaments to the valley. Section 2: Review, Update of Strategic Plan - Joe C, Joe U, Dave H. Joe U. reviewed the provided document covering the 2010 strategic plan, where the Chamber is at with those action items, and asked for recommendations from the board for 2018. • Can/should the Chamber become involved in cost of shipping goods in discussion? • The PIR recently held in the fall was a great success; definitely opportunity there to do more. • Increase/continued partnership with FVCC and advocating for more funding for workforce training. • Could/should the Chamber manage/run a needs assessment on workforce housing? • What about the liquor license issue? Need more information before knowing what can be done. • In the next legislative session Medicare will be a large focus, work comp reform, and invasive species

funding (but not sure how the Chamber can get involved there). Action: Establish a brokerage account for the Kalispell Chamber Foundation. A brokerage account is needed to accept donations in the form of stock. Doug H. explained: a sub-committee of the board will need to form and create a bid for a brokerage account/investment management consultation, review the bids, and make a recommendation. Doug would automatically be removed as a potential brokerage manager since he currently sits on the Board. Tagen motioned the Chamber take the necessary steps to establish a brokerage account, Brian seconded. Tagen stated it will be critical to have this account if the Chamber is going to pursue major donations through the foundation. Mark J. asked what the potential would be in management fees? Doug said it would be dependent on numbers. There being no further discussion, the motion passed. Section 3: Preview of Board Action in 2018 Kalispell Schools operating levy: Mark Flatau, Superintendent The ask for the elementary levy will be between $1M and $1.2M; the ask for the high school levy would be between $1.2M and $1.6M. They would not go out for another tech levy, but would take some from the operating levy. Dave asked how much would be taken; potentially $400k of the $1.6M for technology improvements. Joe U. told the board to expect an agenda item in the first quarter of 2018. 6-mil levy: Bob Nystuen, Montana Board of Regents Bob presented on the upcoming renewal of the six mill levy. This is not a new tax, just a renewal. Nothing that the board of regents allocates goes to the community college system, but Jane said the mill levy is very important to the community colleges because it creates a strong university system across the state for the local students to transfer into. Bob asked for endorsements and contributions to the renewal campaign. Joe U. told the board to expect an agenda item in the first quarter of 2018. Terminal expansion, AERO, state bill: Rob Ratkowski, Airport Director The terminal expansion is voted on by the airports board of directors; there is no cost to the taxpayer. They are currently updating their master plan with a specific focus on facilities. The airport cannot

subsidize new services so there needs to be an outside funding source. Next year’s ask from the AERO group will be $350K to bring in new air service to Dallas, Texas. FVCC progress report: Jane Karas, President An economic impact analysis was just completed and found in 2016 there was a $4.1M impact to the local economy (this all was prior to student housing so the number is expected to be even higher). Next year’s efforts will continue adding four year programs to the curriculum. There will be a library expansion/update to create a better learning environment for the new needs of students. There is also discussion on building a multi-purpose activity center for both college and community use. State budget; preview of next session: Senator Mark Blasdel, Chair of Tax • How can the state collect monies from businesses that do businesses here, but do not have a

physical location, where will that money go? • Sunsetting of the Medicaid bill and what the next steps are for reform? • Governor will continue to push for pre-k education. • Workers comp reform will be back on the table. • What will be the funding for invasive species? • Push for local option again? • How can efforts continue on creating a more transparent prescription industry? Sincerely, Katie Brien Administrative Services Manager

2017 Board AttendanceJan Feb Mar Apr May Jun Aug Sep Oct Nov Dec

Brown, Lisa ~ X X X X ~ X X X X

Carbonari, Joe X X ~ X X X X X X X

Cronk, Jason X X X X X X ~ X X X

Davis, Jesse X X ~ ~ X X ~ X X X

Flatau, Mark ~ X ~ X ~ ~ X X X X

Hendrickson, Dawn X X X X X X X X X X

Hensley, Mark X X ~ X X X X ~ X X

Hergesheimer, Dave X X X X ~ X X ~ X X

Herron, Bob X X X ~ X X ~ X X ~

Houtz, Doug X X X X X X X X X X

Johnson, Mark X X ~ X X X X ~ X X

Karas, Jane X X ~ X X X X X X X

Laracombe, Butch X X X ~ X ~ X X

Nye, Mike X X X X X X X X X X

Pelc, Brian ~ X X X X X X X X X

Pence, Mike X X X X X X X X X ~

Phelps, Maria X X X ~ X X ~ ~ ~ X

Ray, Tom X X X X X X X X ~ X

Russell, Doug X X ~ ~ ~ ~ X X ~ ~

Smith, Mike X X ~ ~ X X X X X X

Sprunger, Courtenay X X X X ~ X ~ ~ X X

Taylor, Laura X X X X X X X X X ~

Tonjum, Kary ~ X X X ~ X ~ X ~ X

Vine, Tagen X ~ ~ X X ~ X ~ X X

Weaver, Rick X X X X ~ X ~ X X ~

Wright, Jim X X ~ X X X X ~ X X

21/25 24/25 16/26 21/26 20/26 21/26 19/26 18/26 22/26 21/26

2017 =

2016 = 77%

2015 = 79%

2014 = 84%

2013 = 82%

2018 Directors

Gillingham, Holly X

Ratkowski, Rob ~ X

Wirtala, Erica X X

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2010-2020 Strategic Plan Status Report December 14, 2017

Promote an active and vibrant downtown Create a Development Information Center: market downtown sites and business development

projects to developers, business owners, and the public to generate confidence and momentum downtown

Extend Small Business Saturday to more businesses especially those downtown Downtown agenda: support the downtown and core area plans in ways that meet the needs of

our membership

Growing Kalispell as a regional trade center Pro-growth land use planning: support for B3, growth policy, downtown plan, retail Regional healthcare center: KRH PUD overlay, H1 zone, economic impact of healthcare industry Education and workforce: support educational system in curriculum for high-wage, high-growth

jobs in manufacturing and healthcare; facility/operating levy support; scholarships

Building in infrastructure momentum Complete the Bypass: open from north to south; needs widening on south half Fund next generation of highway projects: Willow Glen, Reserve, Whitefish Stage Expand commercial air service: $50K contributed over last 5-years to help support new and

expanded airline service to SFO, LAX, ORD, DEN Support Amtrak service

Accelerating non-resident tourism growth Combine bed tax, tourism district, and private funds into a single marketing plan and budget:

75% increase in Kalispell hotel revenue 2010-2016 since combining under Chamber umbrella Create four signature events: Pond Hockey, Spartan Race, MT Soccer, Dragon Boat Races Meeting and convention attraction: Bring it Home campaign, 1 FTE Consumer marketing: seasonal campaigns, social media

Strengthening manufacturing and innovation Strengthen manufacturers through direct support: Manufacturers Alliance, MFG Day,

certificates of origin, scholarships, wine/beer/distillery map, trade support, Timber Tour Manufacturing agenda: reduce work comp rates, eliminate business equipment tax, support

trade, create awareness of the careers in manufacturing trades through MFG Day and Expo Secure the Chamber’s future: The Chamber brand is highly-rated and positively viewed and must be protected and strengthened. Recent successes on the Kalispell Business Agenda include: the Chamber brought in-house two advertising projects with $45,000 of new revenue; net gain of 126 new members over the past 2-years; completion of the Bypass; new seasonal direct air service to SFO, ORD, LAX, . The Chamber will use its reaccreditation process to assess management and operations, improve speed and efficiency, control expenditures, build up staff, and advance the Kalispell Business Agenda.

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NEW PROJECTS, ENDORSEMENTS FOR BACKGROUND AND CONSIDERATION: Development Information Center: Ranked as the top priority by the executive committee, $15,800 was raised towards a goal of $20,000 at the annual banquet. American airline service to Texas: The AERO Group is considering utilizing a small community air service development grant with a local match of around $300,000 to acquire American Airline service to Dallas or Houston. Airport Manager Rob Ratkowski will present at the retreat. Flathead Basin Commission: the Basin Commission is tasked with combating aquatic invasive species and the Flathead state delegation has pledged to help cover the approximate $100,000 to $140,000 annual shortfall that will keep the Commission going until the next legislative session. Sen. Keenan will hold a fundraiser at the Bigfork Inn in January. Manufacturing workforce: The Manufacturers Alliance has identified workforce as the top priority for the Alliance and would like to increase from 30 the number of teachers and counselors taking the PIR day workshops and tours to better understand the excellent careers available with Flathead manufacturers. 6-mil levy: Every 10-years a permissive state-wide levy is voted on for the Montana University System. It generates about $20M of funding for the MUS. The Kalispell Chamber provided a “yes” endorsement in 1998 and 2008. It will be on the Nov 2018 ballot and there will be fundraising campaign for the ballot issue. Regent Bob Nystuen will present on the topic at the retreat. Kalispell Schools operating levy: We will hear from Superintendent Mark Flatau about the possibility of a levy request for Kalispell Schools in 2018. State Budget: There is the possibility of another Special Session in 2018. The passage of federal tax reform now seems likely. The state budget director says the Senate version will reduce state taxes by $123M; fire fund covered for 2018 season, but only at the 10-yeaer average of $22M for 2018. REVENUE STRATEGY

1. More fully utilize the Chamber Foundation through a) direct mail campaign with 9,000 distribution of chamber reps, international travelers, courtesy list, newsletter registrations, and others, 2) form a steering committee with donors $1,000+ and committee members $250+.

2. Create new value in membership tiers that will attract investment in higher tiers.

3. Continue trend of net member growth (starting base): Year Accounts Revenue 2015 598 $296,305 2016 641 $313,545 2017 662 $326,810 2018 721 $349,150 est. 2019 780 $382,060 budgeted

4. Add new hotels to our bed tax and tourism district roster: 2018 Country Inn & Suites

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2017 Report – 2018 Agenda Kalispell Chamber of Commerce

December 13, 2017 2017 Business Highlights

• $75M of healthcare construction is underway on and around the hospital campus, including: Women’s and Children Center, Digestive Health Institute, and several Immanuel Lutheran projects.

• Flathead Valley Community College celebrated their 50th anniversary with the opening of their first student housing project that immediately filled up.

• Glacier National Park sets new visitation record, exceeding 3 million for the first time. • Glacier Park International Airport set new passenger record; announces the start of terminal

expansion planning. • Glacier Rail Park broke ground in August on a project that will allow removal of almost 3 miles of

railroad track through downtown Kalispell creating numerous urban renewal sites . • Kalispell Schools commenced work on $54M of facility work that will create a new elementary

school and major upgrade to Flathead High; Bigfork High completes a major expansion too. • Retail growth continues with opening of Hobby Lobby, Costa Vida, Blue Samurai, Herberger’s

expansion, Montana Coffee Traders, and Kalispell Ford. Snappy’s celebrates 70th anniversary. • Two new hotels are under construction and scheduled to open in 2018: Marriott Townplace in

Whitefish, and Country Inn & Suites in Kalispell. • United Airlines elevates its commitment to Kalispell with summer daily direct service to San

Francisco in 2017 and Los Angeles in 2018.

2017 Chamber Highlights • 4H and FFA Livestock Auction topped $500,000 for the first time to help support student

leadership programs. • Accredited by the U.S. Chamber of Commerce with a 5-star rating, a distinction held by just 70 of

the nation’s 8,000 chambers of commerce, for excellence in operations, advocacy, and programs.

• Added “promote an active and vibrant downtown” as a new area of strategic initiative and announced the creation of the Development Information Center in 2018.

• Completed a new web site with contemporary use of video, blogs, graphics, images, connections to social media, and search engine optimization to better serve our members, visitors, relocators, and the public.

• Formed an affiliate arrangement with the Flathead Area Young Professionals so that we can better serve the leadership, professional development, and skills development goals of this important demographic.

• Launched the 20 Under 40 program in partnership with the Daily Inter Lake and the Flathead Area Young Professionals.

• Recognized nationally by the Association of Chamber of Commerce Executive as a Chamber of the Year finalist, Top 10 chamber in two areas of membership achievement, and Best of Show for the winter campaign to promote San Francisco air service.

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• Recruited and assisted with major conventions include: 2018 International Round Up, 2019 MT Young Professionals, 2018 MT Association of Chamber Executives, 2019 Northwest Public Power Association Board of Trustees, 2017 MT Department of Agriculture AFVISA

• Secured 110 new members to expand the scope of our business network and impact of our federation.

• Signature events thriving: Flathead Manufacturing Day, Small Business Saturday, Spartan Races, Dragon Boat Races, Luncheons, and Pond Hockey. New signature event for 2018: the Montana Indoor Soccer Championship, Mar 2-4, 2018. Youth teams from British Columbia, Idaho and Montana will compete.

• Won legislative victories at the 65th Legislative Session, including: HB 232 revising laws for dual enrollment at community colleges (support), HB 331 revocation of property tax exemption for excessive compensation (oppose), HB 473 Bridge and Road Safety Accountability Act (support), HB 541 revise small brewery laws (support), HB 159 revise laws related to community college bonding (support), HB 567 law to increase lodging tax to combat invasive species (oppose), and, SB 6 temporary increase to accommodation and rental tax (oppose).

2018 Agenda

• Launch the Development Information Center to attract new investment in Kalispell. • Extend AERO successes with service to LAX and other new markets. • Focus federal attention on the next generation of highway projects: widening southern section

of Bypass to 4-lanes, improving Reserve Drive, Willow Glen. • Use healthcare research as the foundation for advancing a community agenda to support the

high-wage, high-growth healthcare industry sector. • Work with Kalispell Schools and Flathead Valley Community College to advance workforce

training in the Flathead’s key Industry sectors: manufacturing, healthcare, tourism, business services.

• Open a brokerage account for the Foundation to open the door to new avenues of support.

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KALISPELL CHAMBER OF COMMERCE AND CVB

2018

CONSOLIDATED BUDGET

INCOME

CHAMBER

GENERAL FUND $1,110,948

ACCOMODATIONS BED TAX $130,024

KCVB PRIVATE FUNDS $218,900

TOTAL CHAMBER $1,459,872

FOUNDATION $25,000

TBID $615,000

TOTAL INCOME $2,099,872

EXPENSE

CHAMBER

GENERAL FUND $1,108,907

ACCOMODATIONS BED TAX $130,024

KCVB PRIVATE FUNDS $218,900

TOTAL CHAMBER $1,457,831

FOUNDATION $25,000

TBID $615,000

TOTAL EXPENSE $2,097,831

NET INCOME (LOSS)

CHAMBER

GENERAL FUND $2,041

ACCOMODATIONS BED TAX $0

KCVB PRIVATE FUNDS $0

TOTAL CHAMBER $2,041

FOUNDATION $0

TBID $0

TOTAL NET INCOME (LOSS) $2,041

0

500,000

1,000,000

1,500,000

2,000,000

2,500,000

3,000,000

3,500,000

1990 1995 2000 2005 2010 2015 2020 2025

Re

ven

ue

($

)

Year

Kalispell Chamber of Commerce Revenue

Actual Data

Projected (excluding airshow years)

Kalispell Chamber of Commerce

2018 Budget Actuals Projected 2018

Jan-Oct 2017 2017 Budget

Income

100 · Administrative

4300.00 · Membership Dues 281,228 349,150 382,060

4025.00 · Program Revenue

4050.00 · Advertising 43,026 43,076 45,350

4100.00 · Affinity Programs 1,385 1,388 1,012

4460.00 · Other Income 19,467 23,267 22,800

4400.00 · Grants & Contributions

4400.10 · Grants 10,000 10,000 0

4450.00 · Interest 1,039 2,068 2,070

4460.00 · Miscellaneous Income

4000.00 · Administrative Fee 6,581 6,581 4,940

4750.00 · Rent 9,400 10,800 8,400

4960.00 · In-Kind Donations 54,167 65,000 65,000

4950.00 · Wage & Benefit Reimburse 236,501 273,791 288,921

100 · Total Administrative 662,793 785,121 820,553

200 · Tourism Development

210 · Bed Tax 95,623 133,125 130,024

220 · Visitor Center 373 436 450

200 · Total Tourism Development 95,996 133,561 130,474

300 · Membership Services

310 · ABC Clinic 4,275 4,275 4,300

320 · Banquet 56,890 98,750 100,750

330 · Luncheon 37,830 37,830 42,400

340 · Unwind 2,228 2,228 2,650

350 · Stock Sale 33,022 33,022 31,300

360 · Open Horizons 250 250 0

370 · Int'l Travel 28,500 40,000 40,000

380 · Newsletter 300 300 300

300 · Total Membership Services 163,295 216,655 221,700

400 · Economic Development

410 · Airshow 0 0 0

450 · KCVB Events 230,357 234,607 218,900

490 · Economic Development 0 0 0

400 · Total Economic Development 230,357 234,607 218,900

500 · Community Development

510 · Leadership Flathead 52,779 53,539 51,600

525 · Young Professionals 770 770 770

530 · Parade 3,840 4,140 6,675

550 · Small Business Saturday 0 0 0

560 · Manufacturing Alliance 7,270 8,000 8,000

570 · Tourism Alliance 1,165 1,165 1,200

560 · Healthcare Alliance 0 0 0

560 · Community Development 0 0 0

500 · Total Community Development 65,824 67,614 68,245

600 · Government Relations

610 · Natural Resources 0 0 0

620 · Issue Advocacy 0 0 0

600 · Total Government Relations 0 0 0

Total Income 1,218,266 1,437,558 1,459,872

Expense

100 · Administrative

5000.00 · Direct Program

5010.00 · Advertising & Marketing 1,398 2,398 1,000

5020.00 · Apparel 39 116 300

5040.00 · Awards & Recognition 175 175 250

5140.00 · Contract Labor 9,496 9,496 0

5180.00 · Catering 0 0 0

5240.00 · Hospitality 30 80 600

5320.00 · Leased Equipment/Space 3,680 4,385 4,536

5460.00 · Permits & Fees 51 51 51

5670.00 · Supplies 90 90 0

5680.00 · Tierred Dues 4,400 5,000 5,000

5600.00 · Salaries & Employee Benefits

5600.10 · Salary & Wages 408,994 477,592 505,532

5610.00 · Employer Taxes 36,450 41,506 44,564

5620.00 · Employee Benefits 67,659 79,941 93,842

5060.00 · Bank Fees & Service Charges

5060.10 · Bank & Credit Card Fees 3,553 4,153 4,000

5280.00 · Interest Paid 0 0 0

5560.00 · Building & Maintenance 21,970 25,735 23,666

5260.00 · Insurance 4,428 5,327 5,219

5520.00 · Professional Fees

5760.00 · Web Site 1,374 1,464 4,656

5520.10 · Professional Services 32,744 39,244 41,175

5320.20 · Rent In-Kind 54,167 65,000 65,000

5700.00 · Training & Education 2,577 3,872 5,220

5360.00 · Meetings 2,770 3,520 2,844

5500.00 · Printing & Publications 2,677 2,677 10,700

5760.00 · Utilities & Phone

5120.00 · Communications 6,440 7,785 7,100

5760.00 · Utilities 3,879 4,915 5,455

5400.00 · Miscellaneous

5200.00 · Dues & Subscriptions 6,272 6,892 7,554

5580.00 · Research & Survey's 0 0 0

5400.10 · Other Miscellaneous 0 0 0

5420.00 · Office 17,977 20,677 19,691

5740.00 · Travel 11,287 12,387 7,555

5050.00 · Bad Debt 0 0 0

120 · Board 814 1,614 1,335

130 · Social Media 0 0 0

140 · Member Drive 0 0 0

150 · Accreditation 400 400 0

160 · Membership 9,713 10,513 7,492

100 · Total Administrative 715,506 837,005 874,337

200 · Tourism Development

210 · Bed Tax 135,178 151,178 130,024

220 · Visitor Center 1,385 1,635 2,140

200 · Total Tourism Development 136,563 152,813 132,164

300 · Membership Services

310 · ABC Clinic 3,361 3,361 3,400

320 · Banquet 7,948 53,782 53,945

330 · Luncheon 37,844 37,844 43,190

340 · Unwind 15 20 75

350 · Stock Sale 33,901 33,901 31,235

360 · Open Horizons 0 0 0

370 · Int'l Travel 4,565 5,265 7,200

380 · Newsletter 0 0 0

300 · Total Membership Services 87,634 134,173 139,045

400 · Economic Development

410 · Airshow 0 0 0

420 · Community Visits 0 0 0

430 · Trade Projects 0 0 0

440 · BEAR 0 0 0

450 · KCVB Events 136,547 153,917 218,900

490 · Economic Development 1,139 1,639 0

400 · Total Economic Development 137,686 155,556 218,900

500 · Community Development

510 · Leadership Flathead 41,078 45,878 51,587

520 · Ambassadors 2,064 2,264 1,982

525 · Young Professionals 2,403 2,423 1,214

530 · Parade 4,269 4,769 9,945

550 · Small Business Saturday 12 812 950

560 · Manufacturing Alliance 8,450 9,125 8,535

553 · Tourism Alliance 569 569 580

554 · Healthcare Alliance 16 16 0

590 · Community Development 0 0 0

500 · Total Community Development 58,861 65,856 74,793

600 · Government Relations

610 · Int'l Trade 474 474 485

620 · Issue Advocacy 19,897 22,657 18,107

600 · Total Government Relations 20,371 23,131 18,592

Total Expense 1,156,621 1,368,535 1,457,831

Net Income (Prior to Depreciation) 61,644 69,023 2,041

5190.00 · Depreciation/Amortization 14,265 17,843 24,000

Net Income (less TBID, Foundation) 47,379 51,180 -21,959

Income:

Airshow 0 0 0

Bed Tax 95,623 133,125 130,024

KCVB Events 230,357 234,607 218,900

Foundation 1,013 36,694 25,000

Chamber 892,286 1,069,826 1,110,948

Total Income 1,219,279 1,474,252 1,484,872

Expense:

Airshow 0 0 0

Bed Tax 135,178 151,178 130,024

KCVB Events 136,547 153,917 218,900

Foundation 13,673 32,118 25,000

Chamber 884,896 1,063,440 1,108,907

Total Expense 1,170,294 1,400,653 1,482,831

Net Income:

Airshow 0 0 0

Bed Tax -39,555 -18,053 0

KCVB Events 93,810 80,690 0

Foundation -12,660 4,577 0

Chamber 7,390 6,386 2,041

Total Net Income (Incl Foundation) 48,985 73,600 2,041

Chamber Events 7,390 6,386

DRAFT

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December 12, 2017

Vicki-Lynn Terpstra Senior Marketing Manager PayneWest Insurance 3289 Gabel Road Billings, Montana 59102

Subject: Letter of Intent: Title Sponsorship of the Kalispell Chamber’s Annual Banquet

Dear Ms. Terpstra:

On behalf of the Kalispell Chamber of Commerce, I am pleased to offer PayneWest Insurance the Title Sponsorship of the Chamber’s 2018 annual banquet and auction.

ABOUT PAYNEWEST INSURANCE: PayneWest is a top-40 nationally ranked insurance agency fiercely committed to its clients, colleagues, and communities. PayneWest has offices in Idaho, Montana, Oregon, and Washington.

ABOUT THE KALISPELL CHAMBER OF COMMERCE: The Kalispell Chamber is a 725 member business and professional association serving northwest Montana. The Chamber’s service area has a population of 150,000 and is the 2nd fastest growing market in Montana. It is accredited with 5-stars by the U.S. Chamber, a distinction held by only 70 of the United States’ 8,000 chambers of commerce.

ABOUT THE ANNUAL BANQUET: Now in its114th year, the annual banquet and auction is a celebratory event recognizing business and community successes and the outstanding contributions of the business men and women who make the Flathead Valley such and outstanding place to live, work, and raise a family. Proceeds of the event support the Kalispell Business Agenda and an auction and direct ask components of the program support the top priorities for the coming year. Next year, the event will be held on Friday, November 19, 2018. Metrics from this year’s event:

Total Revenue: $117,200

Attendance: 525

DRAFT

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Sponsors #: 44 Sponsor $: $50,100

Auction/Raffle: $29,650 Direct Ask: $15,800 TITLE SPONSORSHIP: Logo at Event: Logo placement on event specific enhancements- like dessert pick, swag at

table, flyer, etc. Logo in lights GOBO at the event. Podium Time: Two minute speaking followed by 3 minute video- total of 5 minutes to address

the audience. Media Logo: On all communication promotion the event listed as top sponsor Table: One table of ten (10) to the event Eblast: Email blast to chamber membership with Paynewest specific message

300x200 digital ad on website directing to the PayneWest website. Recognition: Recognized as title sponsor in any printed or speaking engagements. Party Favor: Opportunity to provide giveaway at each seat exclusive to top two sponsors. Mentions: Opportunity to place PayneWest logo on event specific enhancements- like

dessert pick, swag at table, flyer, etc. Investment: $ Payment: Payment shall be made in September 2018. Renewal Option: PayneWest shall have the option to renew this sponsorship at the same rate for

the banquets held in 2019 and 2020. Agenda Credit: $x,xxx of this sponsorship shall be applied to the priority projects of the Kalispell

Chamber for which fundraise at the event. PayneWest will receive sponsor recognition on the project(s) for which this credit is applied.

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Ms. Terpstra, it would be an honor for us to have PayneWest Insurance join the Kalispell Chamber as the Title Sponsor for the annual banquet. Please feel free to contact me if you should have any questions. With Warm Regards, Joe Unterreiner, President and CEO Kalispell Chamber of Commerce Convention and Visitor Bureau ACKNOWLEDGED AND AGREED: PAYNEWEST INSURANCE: ______________________________________ Vicki-Lynn Terpstra, Senior Marketing Manager KALISPELL CHAMBER OF COMMERCE: ______________________________________ Joe Unterreiner, President and CEO