2015 Year in Review January 22, 2016 To the Fort Worden Public Development Authority Board of Directors, For the Fort Worden Public Development Authority (PDA) 2014, was a year of transition; 2015, proved to be a year of rapid growth and stabilization. Building on lessons learned and the accomplishments of the past two years’ it is staff’s goal that 2016 be a year of strengthening strategic partnerships and promoting the Fort’s reputation as a Lifelong Learn- ing Center. This report is intended to review the projects and accomplishments of the past two years of operations and to look ahead at our 2016 initiatives and priorities. 2014 ACCOMPLISHMENTS In 2014, we successfully accomplished all 10 of our organizational commitments. • Establish a new Front Desk and improve the Check-In/Out guest experience • Develop a Strategic Marketing Plan • Design and launch a new website: FortWorden.org • Improve overnight accommodations i.e. Alexander’s Castle, Bliss Vista, etc. • Renovate Building 245 & 270 to serve as “cottage” overnight units • Wi-Fi and broadband internet installed throughout the 90-acre campus • Take over and manage all campus food services (formerly Bon Appetite concession) • Buy-out Port Townsend Hospitality Services (and begin operating housekeeping services in Jan.) • Develop maintenance and capital plans in collaboration with State Parks • Move forward with Building 202 and HTCs 2015 CHALLENGES At the end of 2014, we identified four areas of operations that would represent significant challenges in 2015. • Recruiting and retaining key senior staff • Assessing the functionality of the ATRIO Reservation System • Improving financial reporting • Upgrading technology and desktop support Staffing Challenge: As with any start-up business, finding the right staff with the right stuff proved to be a huge challenge in 2015. The PDA retained as many state parks employees as we could to ensure a smooth transition—but many left the organization this past year. Accomplishment: The PDA recruited experienced managers to lead key departments and grew to be one of the largest employers in Jefferson County in 2015, employing 57 individuals in the shoulder season, about 100 employees in the peak season, and maintaining an annual payroll of $1.5 million. In 2015, the PDA recruited: • Todd Gubler, General Manager From Five Star luxury hotels to rustic mountain resorts, Gubler has been engaged in hospitality and customer service for more than 20 years. His resume includes roles on the Olympic Peninsula Visitor Bureau and Olympic Peninsula Tourism Commission as well as numerous management positions. • Diane Moody, Chief Financial Officer Engaged in rural community economic development for more than 25 years, Moody has lead several successful market on business development initiatives with a strong emphasis on sustainability. She has established product developments and community development finance institutions to support unique small businesses and nonprofit organizations. • Larry Sammons, Director of Facilities After 24-years of employment with the Woodland Park Zoo in Seattle, Sammons retired as the Director of Exhibits and Facilities. At Fort Worden he now leads a newly restructured Facilities Department. • Daniele Costello, Director of Guest Services An innovative, flexible “hands on” executive with a background in hospitality, high technology, manufacturing and R&D companies. Costello has over 30 years of diversified experience in human resources, front desk management, strategic planning, people development and organizational development. The PDA also promoted from within, advancing Kristan McCary to Director of Food Services; Gerda Jorgenson to Senior Sales Manager; and consultant Megan Claflin to Public Relations & Grant Writing Specialist. ATRIO Reservation System Challenge: The new cloud-based, “tablet-friendly” reservation system ATRIO was supposed to streamline operations and enhance our customer service functions. Unfortunately, due to the original configuration and user errors it did not function as we had anticipated. Accomplishment: Senior staff met with ATRIO representatives and reconfigured the system from accounting to room types over a couple of months, improved campground reservations, retrained supervisors, and retrained all staff in its use. Consistent SOPs and policy were also reintroduced as part of this roll-out. Todd Gubler immersed himself in this process and became a “superuser” of the ATRIO system. Financial Reporting Challenge: Financial reporting was something of a quagmire in 2014. There was a cascading set of errors due to systems and lack of understanding that compounded the inability to provide adequate billing on time, ensure correct journal entries inputted into ATRIO, and syncing revenues and expenses into two version of QuickBooks. Accomplishment: With leadership from Diane Moody (as a consultant) and oversight from board member Jeff Jackson our finance department made significant progress in resolving financial reporting issues early in 2015. Diane started as CFO in June, and has re-vamped the entire finance system, reviewed all internal policies and has completed an internal financial audit. Diane has also revised administrative, purchasing and contracting policies to ensure that our policies are consistent with the way we conduct our business. She consolidated Quickbooks and completely rebuilt the Charts & Accounts. Technology Challenge: One of the biggest frustrations for staff in 2014, was the transition to get new computers and phone systems set up and synchronized. Aging facilities and wiring, combined with slower than expected NoaNet internet and Wi-Fi installation, created significant obstacles while attempting to establish our computer network, and provide consistent IT and desktop support. Accomplishment: The PDA contracted with NoaNet to complete the computer network configuration and contracted with IntuPlex to provide desktop support. Computer problems went from a daily, constant source of irritation to infre- quent issues. 2015 INITIATIVES In 2015, the Board prioritized six major initiatives. • Business Development Committee • Master Use Plan • Hospitality Facility Assessment • Expanding Food Services • Conduct Energy Audit • Officer Row Renovations 2015 ACCOMPLISHMENTS Business Development Committee The Business Development Committee, led by Norm Tonina, decided that the major goal of its work in 2015 was to work with key stakeholders in a charrette pro- cess to identify future programmatic uses across the campus. A team of design, financial and art consul- tants, representing Seattle-based firms Miller|Hull, Sig- nal Architecture + Research, and ELM Environments, staged a two-day planning meeting (Charrette) in April 2015. It was attended by about 40 key stakeholders, in- cluding the directors of the 12 partner tenants; a repre- sentative from the Washington State Arts Commission; Port Townsend City Manager David Timmons; and other local citizens. Initial discussions centered on how best to redevelop 10 buildings in Fort Worden’s western campus area that are currently underutilized or used as storage facilities (Buildings 373, 370, 365, 325, 324, 308, 309, 304, 300 and 306). In June 2015, Charrette participants and community members were invited to attend a public meeting where the con- sultants presented their findings in a "Master Use Programmatic Plan and Investment Strategy," identifying key priority investments, how to grow business in the colder months, how to build in enough meeting spaces for current tenants and how to grow and evolve with the right tenant mix. This collaborative effort has generated a redevelopment strategy for the campus that fosters spaces of learning, recreation, and cultural activities, reinforcing Fort Worden’s position as a unique destination in the Pacific Northwest. Master Use Plan Utilizing funding from a combination of grants, the PDA contracted with the Charrette consultant team to prepare a master plan for the redevelopment of Fort Worden’s core campus. The resulting document, the Fort Worden Lifelong Learning Center Program Development & Capital Improvement Plan, divides the 90-acre campus area into five study areas and assesses the site analysis and redevelopment strategies and develops overall use proposals and capital im- provements priorities for each of the study areas. Hospitality Facility Assessment As part of the planning process described above, the Fort Worden Lifelong Learning Center Program Development & Capital Improvement Plan involved special studies to further assess our facilities to support long-term growth of Lifelong Learning Center programs. The Plan was expanded to provide several appendices, including phasing recommen- dations for future capital improvement priorities, a market analysis to maximize Fort Worden’s potential as a destination for visitors and conferences within the context of lifelong learning. The appendices also include detailed studies for transforming existing dormitories into new accommodation units, as well as designs for glamping units targeted at attracting low-budget, leisure travelers (such as tiny houses and tent platforms)—a growing trend in the hospitality industry. Detailed renovation plans were also developed for NCO Row, buildings 272, 277, and a portion of 225. Expanding Food Services In September 2014, Bon Appetit— which previously managed the contract food service for conferences, the Local Goods Cafe inside the Commons and the Cable House canteen on the beach for Washington State