SBI Could Leave KW

[Bobcat]

Powerboat races could leave Key West
Possible move to Clearwater would be 'tremendous' financial blow to Key West
BY TIMOTHY O'HARA Citizen Staff
tohara@keysnews.com
One of Key West's biggest, most profitable and longest-standing events is in danger of moving out of the Florida Keys.

Organizers of the annual Key West World Powerboat Championships, which has been held in the Southernmost City for 33 years, are in discussions with city leaders in Clearwater and other cities, about moving the races, said John Carbonell, a founder of the event in Key West.

Carbonell cited declining revenues and reduced sponsorships for with the week-long event in Key West as a reason to look elsewhere. Also, the Monroe County Tourist Development Council recently decided to reduce its funding of next year's races by $20,000, going from $120,000 to $100,000, Carbonell said.

"We won't take it away from Key West unless we have to," Carbonell said. "I am weighing several different options."

Carbonell confirmed he is discussions with boat race event organizers in Clearwater, which holds a smaller national championship boat race. Carbonell is also in discussions with other cities, but declined to name them.

This year's races, scheduled for Nov. 3 through Nov. 10, will still occur as planned, Carbonell said.

He estimates the races generate upwards of $13 million in revenue and advertising exposure for the Keys.

"This would be a tremendous economic blow to the city of Key West," said Key West City Commissioner Mark Rossi, who also sits on the board that organizes the races. "John [Carbonell] does a great job and brings a lot of money to the city of Key West. I hope the races stay in Key West."

City leaders and tourism officials say the week-long boat races rival Fantasy Fest for the top spot when it comes to attendance and revenue brought back to the city.

"It has a considerable economic impact for November," TDC Director Harold Wheeler said. "We would like to keep this event in Key West."

tohara@keysnews.com

 

[Ratickle]

That would be foolish on both sides to move them somewhere else over $20,000.

 

[Buoy]

This is political strong arm bullchit, that's all.

They won't move the Worlds from KW.

 

[Ratickle]

Didn't they move them one other year?

 

[Serious News]

Key West wants five-year deal for boat races

SEAN KINNEY

skinney@keynoter.com

Posted - Saturday, October 19, 2013 10:30 AM EDT


Faced with the possibility that the annual Super Boat World Championship races could be held elsewhere, the Key West City Commission on Wednesday directed city staff to work out a five-year deal with the event's producers.

The 33rd running of the high-octane boat races is set for Nov. 3 through 10 in waters off the Southernmost City.

For years, the event put on by Key West native John Carbonell has garnered $120,000 in funding from the Monroe County Tourist Development Council.

But a reduction in that to $100,000 prompted Carbonell to consider alternative host cities, including Sarasota and Clearwater, which also hosts the Super Boat National Championship.

"I've been approached over the last few years by cities that want the world championship race," Carbonell said, "and I have to look at that."

"The main thing that's happening in Key West, it's not only the TDC, it's all of the businesses. When you go and ask them for a sponsorship or an ad in the program, the answer we get is, 'Why should we? [The event] is gonna happen anyway.' "

Smith Travel Research, a voluntary reporting group, said that using average hotel occupancy and daily rates for the 2012 races, running Nov. 4-11, Key West lodging revenue was $7,247,069 according to a report provided by the TDC.

But Carbonell estimates that, based on hotel occupancy and room rates, ticket sales and things visitors buy such as meals, the draw is 80,000 people generating local revenue of around $30 million.

According a permit application filed with the city, last year, Carbonell's outfit spent $437,870.69, including the TDC money and other sponsorships, on the 2012 races compared to receiving $440,661.72 in revenue.

That's a profit of $2,791.03. If expenses stay the same and the $20,000 reduction in TDC funding is factored in, the 2014 event would cost Carbonell around $18,000.

"It's just a bad situation," he continued. "My intent has been to try to keep it here."

Commissioner Tony Yaniz called the boat races a "clean event. We don't have a problem with nudity; we don't have a lot of problems with public drunkenness" in contrast with Fantasy Fest.

"I think we need to reach a hand out," he said, "to encourage them to keep coming to Key West and let them know we appreciate those dollars."

Commissioner Mark Rossi said he "wholeheartedly" supports the idea of a five-year agreement "to push this race and keep it here in Key West. This is a money generator for everybody here."

Bill Spottswood, who sits on the Conch Republic Offshore Powerboat Racing Association board, said he welcomes a detailed analysis of the event's local economic impact.

"I think the numbers would speak for themselves," he said. "I don't think there's any question that the dollars spent on the powerboat races, you'll see the bang for the buck."

"As a community, we have to get behind the race," said Mayor Craig Cates, a former powerboat racer himself. He noted the value of international media exposure "showcasing our beautiful waters and the town of Key West."

Asked about his interest in a five-year deal, Carbonell said: "At this juncture, that'd only make it harder," reinforcing the notion, "We're gonna get it anyway so why should I give you anything? If I lock myself into a five-year deal, it's reopening the same thing I'm going through right now."

http://www.keysnet.com/2013/10/19/491535/key-west-wants-five-year-deal.html

 

[Bobcat]

From Today's Citizen www.keysnews.com

Race officials still weighing venue options
BY TIMOTHY O'HARA Citizen Staff
tohara@keysnews.com
Organizers plan to talk to other Florida cities before making any decision about signing a five-year agreement to keep the powerboat races in the Southernmost City.

The Key West World Powerboat Championship has been held here for 33 years, but founder John Carbonell is talking to leaders in Sarasota and Clearwater about moving the races to one of those towns, he said.

Following a meeting last week with Carbonell to discuss logistics of this year's event, Key West commissioners directed staff to negotiate a deal to keep the races here. However, Carbonell wants "something attached to it," but declined to tell The Citizen exactly what he wants.

"I don't just want something that is going to tie me to Key West for five years," Carbonell said. "I need to know what all three cities have to offer. I want something that is conducive to myself and the racers as well."

After this year's event, which takes place Nov. 3-10, Carbonell and his crew plan to meet with the leaders of all three cities to determine what is in the best long-term interest of the races, Carbonell said.

"We are still in the midst of this year's event," Carbonell said. "Right now, I just want to get through this year's races. I will announce something as soon as I can. I want this resolved."

Carbonell cited declining revenues and reduced sponsorships for the event as a reason to look elsewhere. He has had to haggle with many of the hoteliers to get free rooms for boat race event staff, and some businesses that benefit from the influx of visitors are not willing to pitch in to make the races happen, he said.

Also, the Monroe County Tourist Development Council recently decided to reduce its funding of next year's races by $20,000, going from $120,000 to $100,000, Carbonell said.

During last year's races, Key West hotels were operating at between 70 to 98 percent occupancy levels. Tourist Development Council records indicate hotel revenue was $7.2 million during that week, but staff could not attribute all of the occupancy directly to the boat races, they said.

The races bring in 30,000 people from outside of the Keys, according to the organizers' application for Tourist Development Council funding.

"It's a great event, and we want to keep it," Tourist Development Council Director Harold Wheeler said. "It's one of Key West's signature events."

"This would be a huge economic loss," City Commissioner Mark Rossi said of the races, one of the city's most profitable and longest-standing events.

Mayor Craig Cates called the races a locals' favorite.

"I'm hoping it stays," Cates said. "The city is behind them. The hotels, bars and restaurants need to chip in as well. I know John (Carbonell) wants to keep it here."

tohara@keysnews.com