NOTICE OF MEETING The 22nd DAA Board of Directors meeting is scheduled for Tuesday, October 9, 2018 at 1:30 p.m., in the Board Meeting Room, Del Mar Fairgrounds, 2260 Jimmy Durante Blvd., Del Mar, California, to consider the attached agenda. 22nd District Agricultural Association Board of Directors Steve Shewmaker, President Russ Penniman, Director Richard Valdez, Vice-President Frederick Schenk, Director Lisa Barkett, Director Pierre Sleiman, Director Lee Haydu, Director David Watson, Director Kathlyn Mead, Director *This notice is also available on the Internet at: www.delmarfairgrounds.com MISSION STATEMENT To manage and promote a world class, multi-use, public assembly facility with an emphasis on agriculture, education, entertainment, and recreation in a fiscally sound and environmentally conscientious manner for the benefit of all. BOARD OF DIRECTORS MEETING OCTOBER 9, 2018 @ 1:30 p.m. AGENDA Persons wishing to attend the meeting and who may require special accommodations pursuant to the provisions of the Americans with Disabilities Act are requested to contact the office of the General Manager, (858) 755-1161, at least five working days prior to the meeting to insure proper arrangements can be made. Items listed on this Agenda may be considered in any order, at the discretion of the chairperson. This Agenda, and all notices required by the California Bagley-Keene Open Meeting Act, are available on the internet at: www.delmarfairgrounds.com I. CALL TO ORDER – PRESIDENT STEVE SHEWMAKER II. ROLL CALL PAGE III. CONSENT CALENDAR 5 The items on the Consent Calendar will be enacted in accordance with recommended action under one motion unless trailed from the Consent Calendar by the Board. Any member wishing to trail an item from the Consent Calendar should notify the General Manager prior to the meeting. Trailed items will be considered after the motion to approve the Consent Calendar. A. Minutes, Regular Meeting, September 11, 2018 6-10 B. Out of State Travel Approval --- C. 22nd District Agricultural Association (DAA)/Sponsorship Contracts Approval 11 IV. MANAGERS REPORT 12 The Board may take approval action on the Manager’s Report: A. Employee Recognition for “Years of Service” (Informational) 13 B. Events Report (Informational) 14-16 C. Scream Zone Update (Informational) --- D. Don Diego Scholarship Foundation Report (Informational) --- E. Other (Informational) 17 V. COMMITTEE REPORTS 18 The Board may take approval action on Committee Reports and New Committee Assignments: A. Fair Operations Committee – Frederick Schenk, Chair 1. 2018 San Diego County Fair Wrap-Up (Informational) --- 2. 2019 San Diego County Fair Grandstand Entertainment Contracts Approval (Action) 19 3. 2019 San Diego Fair Proposed Theme Logo Approval (Informational/Action) 20 COMMITTEE REPORTS continued B. KAABOO Ad Hoc Committee – Richard Valdez, Chair --- 1. KAABOO Wrap Up Report (Informational) C. DMTC/Satellite Wagering Committee – Russ Penniman, Chair 1. DMTC Race Meet Report Wrap Up(Informational) 21-22 2. Satellite Wagering Report (Informational) 23-24 D. Finance Committee – Russ Penniman, Chair 1. Approval of NEW IBank Resolution for $15 million (Informational/Action) 25-26 E. Contracts Oversight Committee – Steve Shewmaker, Chair 1. Cirque du Soleil (Informational/Action) 27-63 2. Good Life Seminar Series Contract (Informational/Action) 64-73 F. Food & Beverage Committee – Lisa Barkett, Chair 1. Premier P&L Statement – August 2018 (Informational/Action) 74 G. SSRP Alternative Uses Committee – Steve Shewmaker, Chair 1. Surfside Race Place renovation update (Informational) --- H. Land Use/Environmental/Master Plan Committee – David Watson, Chair 1. Committee Report (Informational) --- I. Community Relations Committee – David Watson, Chair 1. Committee Report (Informational) --- J. Agriculture/Livestock Committee – Pierre Sleiman, Chair 1. Committee Report (Informational) 75-76 K. Legal Committee – Richard Valdez, Chair 1. Committee Report (Informational/Action) --- VI. PUBLIC COMMENT Speakers are requested to sign in prior to the start of the meeting and are limited to three minutes. Speaker’s time may be modified based on the number of public speakers. Public comments on agenda items will be accepted during the meeting as items are addressed. Public comment on issues NOT on the current Agenda is allowed. However, no debate by the Board shall be permitted on such public comments and no action will be taken on such public comment items at this time, as law requires formal public notice prior to any action on a docket item. VII. DIRECTORS REQUEST A. Future Agenda Items VIII. CLOSED EXECUTIVE SESSIONS (NOT OPEN TO THE PUBLIC) Pursuant to the authority of Government Code section 11126(a), (b), and (e), the Board of Directors will meet in closed executive sessions. The purpose of these executive sessions is: CLOSED EXECUTIVE SESSIONS (NOT OPEN TO THE PUBLIC) continued A. To confer with and receive advice from legal counsel regarding potential litigation involving the 22nd DAA. Based on existing facts and circumstances, there is significant exposure to litigation against the 22nd DAA. B. To confer with and receive advice from legal counsel regarding potential litigation involving the 22nd DAA. Based on existing facts and circumstances, the Board of Directors will decide whether to initiate litigation. C. To confer with counsel, discuss, and consider the following pending litigation to which the 22nd DAA is a party. Guillermo Munoz v 22nd DAA, Claim No. 7030090048. D. To confer with counsel, discuss, and consider the following pending litigation to which the 22nd DAA is a party. Gillian Brown v 22nd DAA, United States District Court, Southern District of California, Case No. 15CV2578. E. To confer with counsel, discuss, and consider the following pending litigation to which the 22nd DAA is a party. Aegis Software, Inc. v 22nd DAA, United States District Court, Southern District of California, Case No. 15CV2956. F. To confer with counsel, discuss, and consider the following pending litigation to which the 22nd DAA is a party. Arthur Senteno v 22nd DAA, San Diego County Superior Court, Case No. 37-2016-00005557-CU-WT-CTL. G. To confer with counsel, discuss, and consider the following pending litigation to which the 22nd DAA is a party. Zweig v. 22nd DAA, San Diego County Superior Court, Case No. 37-2018-0024143 IX. RECONVENE TO OPEN SESSION A. Report on actions, if any, taken by the Board in closed executive session. X. DIRECTORS CLOSING COMMENTS XI. FOR YOUR INFORMATION 77 A. 22nd DAA Financial Statements 78-79 B. Satellite Wagering Operating Statement 80 C. RTA & RTLC Financial Reports 81-82 D. Correspondence 83-121 E. November Board Meeting will be held on Wednesday, November 14 due to the --- Veteran’s Day Holiday. F. Other 122-123 XII. ADJOURNMENT 10/3/2018 1:24 PM PAGE III. CONSENT CALENDAR 5 The items on the Consent Calendar will be enacted in accordance with recommended action under one motion unless trailed from the Consent Calendar by the Board. Any member wishing to trail an item from the Consent Calendar should notify the General Manager prior to the meeting. Trailed items will be considered after the motion to approve the Consent Calendar. A. Minutes, Regular Meeting, September 11, 2018 6-10 B. Out of State Travel --- No out of state travel this month C. 22nd DAA / Sponsorship Contracts Approval 11 Page 5 22nd DISTRICT AGRICULTURAL ASSOCIATION Board of Directors Meeting Del Mar Fairgrounds 2260 Jimmy Durante Blvd. Del Mar, Ca 92014 September 11, 2018 MINUTES The 22nd District Agricultural Association(DAA), Board of Directors met in the Sports Club at Surfside Race Place at the Del Mar Fairgrounds on September 11, 2018 at 10:00 a.m. OFFICERS PRESENT: Steve Shewmaker, President Richard Valdez, Vice President Tim Fennell, Manager, Secretary-Treasurer DIRECTORS PRESENT Lisa Barkett, Lee Haydu, Kathlyn Mead, Russ Penniman, Frederick Schenk, Pierre Sleiman, and David Watson DIRECTORS/OFFICERS ABSENCE NONE OTHERS PRESENT Josh Caplan, Deputy Attorney General Katie Mueller, Deputy General Manager - 22nd DAA Gary Reist, Deputy General Manager - 22nd DAA Rita Walz, Chief Financial Officer – 22nd DAA Donna O’Leary, Executive Assistant - 22nd DAA CALL TO ORDER President Steve Shewmaker called the meeting to order at 10:00 a.m. with a quorum present. ROLL CALL All Directors were present except for Frederick Schenk who arrived at 1 p.m. during the lunch break and Kathlyn Mead who arrived at 10:20 a.m. DIRECTORS REQUEST Future of Gun Shows at the Del Mar Fairgrounds President Shewmaker gave the ground rules for Public Comment. It was two minutes per speaker and no ceding of time. CEO Timothy Fennell stated in his opening remarks that the safety and security of the patrons and employees is the number one priority of the District. Mr. Fennell said that the security protocols continue to be evaluated in the every-changing event-security landscape. Vice President Valdez gave a detailed power point presentation that outlined the Board’s recommendation regarding Gun Shows at the Fairgrounds as listed on page 99 of the Board Packet. After the presentations Vice President Valdez moved to approve the recommendation from the Contracts Oversight Committee. Director Watson seconded. Page 6 22nd DAA Board Meeting Minutes September 11, 2018 Page 2 of 5 PUBLIC COMMENT – GUN SHOW RELATED The following people gave their public comment on Agenda item IV. A In Favor of Recommendation • Mayor Dwight Worden, Del Mar, Opposed to Recommendation Other presented City Council’s resolution. • Carl Geddes • William Espino, Carlsbad resident • Ellie Haviland, City of Del Mar. • Bill Knoff spoke about the shooting on Sunday, • Judy Hegenauer, representing the • Gary Brennan, SD County Wildlife September 9 before Ice Cube Solana Beach City Council. Federation president concert. • Catherine Blakespear, Mayor City of • Tracy Olcott, B&L Productions • Bob Macomber spoke on need for Encinitas president and Crossroads of the increased awareness of bullying in • Stephen Hill, representing Assembly West Gun Shows general manager schools. member Todd Gloria • Jim Riegelman • Seth Miller spoke on drugs being • Debra Schade, Solana Beach School • John Dupree cause of problems, not guns.