2021 Annual Report

Page 1

COBB GALLERIA CENTRE COBB ENERGY PERFORMING ARTS CENTRE ARTSBRIDGE FOUNDATION ANNUAL REPORT 2021



INTRODUCTION There is light at the end of the tunnel for the hospitality and entertainment industries. After being shuttered for over 18 months, our beloved Cobb Energy Performing Arts Centre reopened. While corporate meetings did not return in fiscal 2021, attendance was steady for trade shows and consumer shows at Cobb Galleria Centre. That doesn’t mean things are back to normal, or even “new normal,” but we have rebounded to a place that is vastly improved from last year.

ANNUAL REPORT / 2021 / 3


ONE TEAM. ONE COMPANY.

4 / ANNUAL REPORT / 2021


DEDICATION Historically, it has been our tradition to assign a theme or to dedicate our Annual Report to a special person. This year we are celebrating ONE TEAM. ONE COMPANY – the women and men with Cobb Energy Performing Arts Centre, Cobb Galleria Centre and ArtsBridge Foundation who navigated us through the pandemic and worked tirelessly to make the impossible, possible.

ANNUAL REPORT / 2021 / 5


COBB-MARIETTA COLISEUM & EXHIBIT HALL AUTHORITY Joseph B. Atkins Lisa Cupid Connie Engel Jerry Nix Derek Norton Steve “Thunder” Tumlin Robert P. Voyles

THE AUTHORITY The seven-member Cobb-Marietta Coliseum & Exhibit Hall Authority is a body corporate and politic created by the Georgia General Assembly in 1980 for the purpose of acquiring, constructing, operating and maintaining facilities for the general purpose of promoting cultural growth, education and welfare. The Authority owns and operates the Cobb Galleria Centre, Cobb Energy Performing Arts Centre, ArtsBridge Foundation and Galleria Specialty Shops.

6 / ANNUAL REPORT / 2021


LETTER FROM THE CHAIRMAN A year ago, we wrote in this Annual Report about the challenges that the COVID-19 pandemic brought to the leisure and hospitality industry. At that time, we looked forward to 2021 as a strong year of recovery. While 2021 has been just that in some respects, the pandemic still lingers, and our recovery has been slower than originally anticipated. Cobb Galleria Centre – hosting almost 100 events – was one of the busiest convention centers in the country over the past year. The convention industry, particularly corporate business, has been slow to return. The doors of the Cobb Energy Performing Arts Centre remained closed for most of the fiscal year, and the ArtsBridge Foundation continued with virtual programming and has yet to return in person. Strict financial management continues to be critical in ensuring our continued recovery. We were fortunate to receive two pieces of government assistance: a Paycheck Protection Plan (PPP) loan for the ArtsBridge Foundation as well as the Shuttered Venue Operators Grant for the Cobb Energy Performing Arts Centre. Thank you to the staff and government partners who helped to make it happen. We are pleased to welcome two new members of our Authority. Lisa Cupid, chairwoman of the Cobb County Board of Commissioners, and Joseph Atkins, appointee from the Cobb County Recreation Board, who have already made valuable contributions. We also continue to expand the ArtsBridge Foundation Board of Directors, with the addition of Imara Canady, Charles A. Chesnutt and Matt Westmoreland bringing diverse backgrounds and expertise to the Foundation’s leadership. Thank you to our staff, my fellow members of the Authority, and the Foundation board for your leadership in guiding us through these most challenging times.

JERRY NIX Chairman Cobb-Marietta Coliseum & Exhibit Hall Authority

ANNUAL REPORT / 2021 / 7


LETTER FROM THE CEO

air flow and circulation are critical to creating a safe

As you will note after reading

the venues’ heating, ventilation, and air conditioning

this Annual Report, like last

systems, rebalanced the mix of recirculated and fresh

year, the COVID-19 pandemic

air and maximized recirculation times. To further

took a tremendous toll on

improve the transaction times while respecting social

our fiscal year 2021 financial

distancing, as well as health and safety measures, we

performance. Since opening

installed a touchless point of sale system for food,

Cobb Galleria Centre in 1994,

beverage, and parking.

we have had our share of severe economic downturns, but nothing has devastated our operations like the pandemic has. After reopening Cobb Galleria Centre in July 2020, and Cobb Energy Performing Arts Centre in August 2021, we were fortunate to gradually bring back 63 percent of our workforce who were furloughed in the early months of the pandemic. This Annual Report illustrates the resiliency of our staff as we navigated through a challenging economic environment alongside our leadership, clients, and partners and how at the end of this fiscal year, we came out stronger together. We are incredibly proud of our ONE TEAM, ONE COMPANY culture and the way we supported one another by going above and beyond to execute our mission.

environment, we upgraded all our filters throughout

2021 has certainly been a year of transition for our company. Walter Kiley, Director of Sales & Marketing, retired after serving 23 years, and we welcomed John Hill, formerly with the Renaissance Atlanta Waverly Hotel, as our new Director of Sales & Marketing. Ellen McGonagil, Executive Assistant, who was one of the first employees hired by the Authority in 1992, will retire at the end of this year. In the early 1980s, Cobb County visionaries and elected officials created the Cobb-Marietta Coliseum & Exhibit Hall Authority through legislative action by the Georgia General Assembly. Those same visionaries dedicated themselves to building a convention center that became a catalyst for tourism and economic development. Fast

The effects of the pandemic brought about several

forward 40 years, and the time is now to reinvest in this

cancellations and lower than expected booking activity at

key asset to ensure the long-term viability of hospitality

Cobb Galleria Centre. On the bright side, the second half of

and tourism in Cobb County. We are working with

the year showed improvement as compared to the prior year.

Cobb County elected officials to extend the funding

Despite the fact that the Cobb Energy Performing Arts Centre

agreements necessary to keep Cobb Galleria Centre as

was closed to live events for over 18 months, Vickie Hubbard

one of the industry’s premier destinations. The timeliness

and her team worked creatively with our resident companies

of this initiative is critical to our future success.

to execute outdoor events. During this unprecedented year, the closure of our venues allowed us to implement new practices designed to enhance safety and minimize risk for guests, artists, and staff. Because

MICHELE L. SWANN General Manager & CEO Cobb-Marietta Coliseum & Exhibit Hall Authority

8 / ANNUAL REPORT / 2021


INTERGOVERNMENTAL REVENUES Debt service for Cobb Galleria Centre is provided for by a portion of the Hotel/Motel and Liquor by the Drink Taxes collected by Cobb County and the municipalities within the county. The Authority has entered into separate agreements with the county and municipalities in which all or a portion of the Hotel/Motel and Liquor By The Drink Tax collections are remitted directly to the Authority’s Bond Trustee to cover debt service. Remaining amounts fund the Authority’s contractual payments to the county and municipalities and provide funding for Cobb Travel & Tourism. Fiscal year ended September 30, 2021 (unaudited) Gross Tax Revenues Remitted to the Bond Trustee: Hotel/Motel Tax

$

13,800,000

Liquor By The Drink Tax

1,101,000

$ 14,901,000

Debt Service

(6,514,000)

$ 8,387,000

Contractual Payments to the County/Municipalities

(5,427,000)

Cobb Travel & Tourism Funding

(1,062,000)

Intergovernmental Revenue Surplus

1,898,000

$

HISTORICAL ECONOMIC IMPACT An Economic Impact Study for the Authority’s venues is prepared annually by a third party firm. The table below provides a 10-year history of the Total Economic Impact on the State of Georgia (including Cobb County). Total Economic Impact is the total direct, indirect and induced spending effects generated by each facility’s operations. The decreases for fiscal years 2020 and 2021 are pandemic related.

FISCAL YEAR ENDED SEPTEMBER 30

COBB COBB GALLERIA CENTRE ENERGY CENTRE COMBINED

2012

$ 92,756,000

$ 19,504,000

$ 112,260,000

2013 115,445,000 21,828,000 137,273,000

2014 122,786,000 24,218,000 147,004,000

2015 122,702,000 19,820,000 142,522,000

2016 131,227,000 24,184,000 155,411,000

2017 135,754,000 25,357,000 161,111,000

2018 172,228,000 25,402,000 197,630,000

2019 144,885,000 28,851,000 173,736,000

2020 70,055,000 15,737,000 85,792,000

2021 36,058,000 2,664,000 38,722,000

ANNUAL REPORT / 2021 / 9


SAFE AND SUCCESSFUL EVENTS

COBB GALLERIA CENTRE “With gatherings such as the Atlanta Home Show, the Cobb Galleria Centre is not only demonstrating excellence in hosting safe in-person events, but also in clearly and strategically communicating that message.” - The Meeting Professional magazine, Meeting Professionals International Throughout 2021, leading industry publications have marveled at how the Cobb Galleria Centre has recovered from the COVID-19 pandemic. While many convention centers around the country remained shuttered for most of the year, Cobb Galleria Centre has been open and hosting events since July 2020. Among the almost 100 safe and successful events were legacy semi-annual trade shows The Atlanta Shoe Market, the Atlanta Jewelry Show and the Atlanta Home Show, which returned to thriving markets.

10 / ANNUAL REPORT / 2021

While many convention centers around the country remained shuttered for most of the year, Cobb Galleria Centre has been open and hosting events since July 2020.

The Galleria Safety First Guidelines have provided a blueprint for staff, clients, exhibitors and guests to participate in safe in-person gatherings. Creativity has been key, especially for food and beverage menus. One of our valued non-profit clients made the difficult decision this spring to move their in-person fundraiser from the Cobb Galleria Centre ballroom to a virtual format. The charitable event was held online, but patrons still experienced part of the Cobb Galleria Centre through a creative to-go menu exquisitely prepared by Culinary Director & Executive Chef Nicholas Walker. The upcoming robust lineup of conventions, trade shows, meetings and social events at Cobb Galleria Centre indicate a positive outlook moving forward.


COBB GALLERIA CENTRE Fiscal year ended September 30, 2021 (unaudited)

OPERATING REVENUES

$ 4,368,000

OPERATING EXPENSES (5,148,000) OPERATING RESULTS

$

MONTHLY OPERATING REVENUES

(780,000)

2020

2021

$1,800,000 $1,600,000 $1,400,000

The bar chart shows the second half increase in monthly revenue when compared to the first half of the year and prior year.

$1,200,000 $1,000,000 $800,000 $600,000 $400,000 $200,000 $0 SE PT

Y

BE

ST

H

AR

R

ER

RY

EM

GU

LY

NE

AU

JU

JU

RIL

RC

RU

Y MA

AP

MA

FE B

MB

ER

R

MB

BE

UA

CE

JA N

DE

VE

TO

NO

OC

ANNUAL REPORT / 2021 / 11


LONG INTERMISSION IS FINALLY OVER

COBB ENERGY PERFORMING ARTS CENTRE

Cobb Energy Performing Arts Centre reopened for ticketed events in October with a full lineup of shows, many of which were rescheduled from 2020.

With the doors to the Cobb Energy Performing Arts Centre remaining closed for most of the 2020-2021 fiscal year, the Centre stayed relevant with a series of film shoots and outdoor performances by its resident companies.

music-themed television productions. Cobb Energy Centre can be seen in the recent National Geographic

Following the Atlanta Ballet’s successful Drive-In Nutcracker

bioseries about Aretha Franklin called Genius: Aretha. In

– a series of movie screenings in the Centre’s parking lot in

late March another TV shoot was conducted in the theater

December 2020 – The Atlanta Opera was in residence this

for an ABC pilot series, “Queens.”

spring in the same parking lot for its Big Tent Series. The run included acclaimed and popular productions of

Now, the long intermission is finally over. After 18 months

The ThreePenny Carmen and The ThreePenny Opera

of dark stages and empty seats, the Cobb Energy

as well as three Saturday afternoon concerts. Incredible

Performing Arts Centre reopened for ticketed events in

pre-ordered tailgating packages put together by Culinary

October with a full lineup of shows, many of which were

Director & Executive Chef Nicholas Walker were a huge hit

rescheduled from 2020. The Atlanta Opera will celebrate

as well as a concessions tent that offered pre-show drinks

its triumphant return to the Cobb Energy Centre with a

and snacks.

season of escapist mainstage productions, and the Atlanta Ballet finally debuts Yuri Possokhov’s The Nutcracker in

The Centre has also remained popular in the film industry,

December, along with a mix of classics, contemporary

with the theater and stage being used for several

works and world premieres in Spring 2022.

12 / ANNUAL REPORT / 2021


COBB ENERGY PERFORMING ARTS CENTRE Fiscal year ended September 30, 2021 (unaudited)

OPERATING REVENUES

$

1,969,000

OPERATING EXPENSES

(2,564,000)

OPERATING RESULTS

$

(595,000)

Operating results do not include depreciation expense of $2.4 million or the Shuttered Venue Operators Grant.

MONTHLY OPERATING REVENUES

2020

2021 The Cobb Energy Performing Arts Centre remained shuttered for most of the 2021 fiscal year. The performing arts center did host a few non-ticketed events late in the fiscal year.

$1,400,000 $1,200,000 $1,000,000 $800,000 $600,000

The bar chart shows monthly revenue compared to prior year and the uptick toward the end of the fiscal year.

$400,000 $200,000 SE PT

Y

BE

ST

H

AR

EM

GU

LY

NE

AU

JU

JU

RIL

RC

RU

Y MA

AP

MA

FE B

R

ER

RY

MB

ER

R

MB

BE

UA

CE

JA N

DE

VE

TO

NO

OC

$0

ANNUAL REPORT / 2021 / 13


NO MATTER THE CHALLENGE, ArtsBridge will continue to do what it can to meet its mission and vision of providing high-quality arts education to the next generation of leaders, artists, and innovators.

ARTSBRIDGE FOUNDATION For the first time in its history, ArtsBridge Foundation held a completely virtual slate of programming. The 2020-2021 program season offered students a variety of professional development from acclaimed Broadway and television stars. All components of the 2021 Georgia High School Musical Theatre Awards – Shuler Hensley Awards® program were reconfigured to occur in a virtual manner. The new Name-Your-Own Shuler Scholarship initiative provided a record-breaking $18,000, and an inaugural Meet & Greet allowed recipients and donors to connect. Even more, the Foundation received its fourth Southeast Emmy® Award for the virtual 2020 Shuler Hensley Awards® production! Abiding by the Cobb Energy Performing Arts Centre’s Safety First Guidelines, ArtsBridge will hold a hybrid slate of in-person and virtual programming for the 2021-2022 program season. The upcoming season will include professional development, field trips, and Shuler Hensley Awards® programs. Additionally, ArtsBridge will launch an outreach program in partnership with the YMCA of Metro Atlanta to improve the accessibility of arts education. Last year ArtsBridge had resiliency. This year, ArtsBridge has flexibility. No matter the challenge, ArtsBridge will continue to do what it can to meet its mission and vision of providing high-quality arts education to the next generation of leaders, artists, and innovators.

ARTSBRIDGE FOUNDATION, INC. Due to the lingering effects of the pandemic, all 2021 ArtsBridge programs were virtual, including the 13th annual Georgia High School Musical Theatre Awards – Shuler Hensley Awards®. Additionally, there was not a fundraising event in fiscal year 2021. ArtsBridge did however exceed revenue and expense goals for the year, resulting in a $93,000 increase in net assets.

14 / ANNUAL REPORT / 2021

Fiscal year ended September 30, 2021 (unaudited) Support and Revenues

$ 433,000

Expenses

$ (340,000)

Change in Net Assets

$

93,000


BOARD OF DIRECTORS

President Clare Richardson Dian Fossey Gorilla Fund

Vice-President Joanne Truffelman Chemistry Atlanta

Secretary and Treasurer Larry Dingle Wilson Brock & Irby, LLC

Imara Canady

Helen S. Carlos

Charles A. Chesnutt Barbarella Diaz SVP & Treasurer Genuine Parts Company

Executive VP of Community Affairs Diaz Foods

Jerry Nix

Sam Olens

Samit Roy

Kessel D. Stelling

Jack Ward

Matt Westmoreland

Barbara E. Williams

National Director, Communications Community Volunteer & Community Engagement AIDS Healthcare Foundation (AHF) Chair, Black Leadership AIDS Crisis Coalition

CFO (Retired) Genuine Parts Company

(Emeritus) President & CEO JF Ward Enterprises, LLC

Counsel, Public Policy Dentons

Post 2 At-Large Member Atlanta City Council

CEO Scicom Infrastructure Services, Inc.

(Emeritus) President & CEO Synovus Financial Corp.

Fran Friedrich

Vice President, Commercial Relationship Manager Renasant Bank

Percy Vaughn

(Emeritus) Director, Southern Regional Operations Kia Motors America, Inc.

(Emeritus) Former State Farm Agent & Cobb County Commissioner

ANNUAL REPORT / 2021 / 15


ARTSBRIDGE FOUNDATION / 2020-2021 DONORS PRODUCER $25,000+ Georgia Lottery Robert Lee Arko* Estate Walton Communities Zeist Foundation DIRECTOR $10,000 – $24,999 Archer Western Contractors Bobbie Bailey Foundation Jimmy & Helen S. Carlos Delta Community Credit Union Emerson Climate Technologies The Imlay Foundation The Martha and Wilton Looney Foundation Microsoft Jerry & Cheryl Nix SelectCobb DESIGNER $5,000 - $9,999 Helen A. Carlos Genuine Parts Company Georgia Council for the Arts Dr. & Mrs. Ronald Goldstein John & Mary Franklin Foundation KIA Motors America, Inc. Radow Family Foundation Synovus Foundation Tyler Perry Studios Jack & Jean Ward Wells Fargo & Company PLAYWRIGHT $2,500 - $4,999 Benson Family Foundation Fund René & Barbarella Diaz Lockstep Technology Group Publix Super Markets Charities Renasant Bank Ken & Bernette Sherman Tull Charitable Foundation The Vinings Rotary Charity Fund

PRESENTER $1,000 - $2,499 J Ronnie & Toni Andrews Children’s Healthcare of Atlanta Larry M. Dingle Doug & Lynn Flanders Tarun & Ranjana Goel Allen Gula Gene & Patricia T. Henssler Rajan Hooda Jubilee Cultural Alliance Job Kakkasseril Mrs. Peter G. Kessenich, Sr. Scicom Infrastructure Services, Inc. Deborah Lee Wachsman Trust LEAD ACTOR $500 - $999 Anand Julka Craig McMahon James L. Rhoden, Jr. Clare Richardson Bennie Shaw Luci Sunshine ENSEMBLE $250 - $499 Gary & Susan Berntson Jennifer D. Dobbs Stacy J. Dobbs Joanne Truffelman AUDIENCE $1 - $249 Anonymous (298) Judith M. Alembik Jo Ann P. Ard Julie Arnold Maria Bowes Cobb EMC Community Foundation Cobb Energy Centre Ushers Rosemarie Crosse Sondra Dillon Dawn Eskridge Georgianna Ferrero Fran Friedrich Narasimha Guduru Elaine Hendrix

Hannah Hunt Delores Kennedy Susan Levy Deborah Lundquist Kelli McDonald Barbara McLain Mightycause Charitable Foundation Virginia Miller Mark Mitchell Barbara Munger Thomas & Janice Nowakowski Sam & Lisa Olens Alyce Paul Gabi Rican Tama Tanowitz Nicholas Wolaver IN-KIND Alliance Theatre Aurora Theatre Bennett Thrasher Foundation Broadway Dreams Foundation Chick-Fil-A Clear Channel Outdoor Cobb Energy Performing Arts Centre Cobb Galleria Centre Diaz Foods Encore Fifth Third Bank Broadway in Atlanta Fine Line Productions Fox Theatre Atlanta Georgia Public Broadcasting Georgia State University Gibbs Creative Manning Entertainment Music Theatre International Nicholas Wolaver/NEW’s Public Relations Orbit Arts Academy Pamela Pimpleton Subway * Deceased This list reflects gifts given between October 1, 2020 and September 30, 2021.

16 / ANNUAL REPORT / 2021


2021 ECONOMIC IMPACT The Authority engaged a third party firm to perform an Economic Impact Study for the fiscal year ended September 30, 2021. The study provides an independent analysis of the total financial impact of the combined operations of Cobb Galleria Centre and Cobb Energy Performing Arts Centre on Cobb County and the State of Georgia. COBB COUNTY

COBB COBB GALLERIA CENTRE ENERGY CENTRE COMBINED

Total Economic Impact

$ 23,298,000

Employment (number of FTE jobs)

$ 1,930,000

220

$ 25,228,000

16

236

STATE OF GEORGIA (Includes County) Total Economic Impact

$ 36,058,000

Employment (number of FTE jobs)

$ 2,664,000

320

$ 38,722,000

20

340

Total Economic Impact is the total direct, indirect and induced spending effects generated by each facility’s operations. Employment represents the number of full and part time jobs supported by each facility’s operations.

TAX REVENUE IMPACT COBB COUNTY Local Option, Liquor by the Drink, Hotel/Motel Tax

COBB COBB GALLERIA CENTRE ENERGY CENTRE COMBINED

$

408,000

$

9,000

$

417,000

STATE OF GEORGIA Sales & Use Tax, Personal and Corporate Income Tax

1,232,000

46,000

Total Tax Revenue Impact

1,640,000

55,000

$

$

1,278,000

$ 1,695,000

ANNUAL REPORT / 2021 / 17


THANK YOU We wish to express our appreciation to the members of the Cobb-Marietta Coliseum & Exhibit Hall Authority and to the numerous business leaders who continue to support us. We also wish to thank LevelOne Design for their efforts designing this Annual Report. The Atlanta Opera photography by Ken Howard. Atlanta Ballet photography by Kim Kenney.