Monona Terrace: A Community Gathering Place, a Tourism Destination, and a Catalyst for Economic Activity Thank you for this opportunity to update you on the role that Monona Terrace plays in supporting our downtown, as well as the Greater Madison area. As you can see from the title, I will be discussing the 3 key roles that Monona Terrace play as; 1, 2 & 3. Basically, I will presenting some of the results from our 2005 Community and Economic Impact Study to show you how we are doing in these areas. And I have asked Gregg to join me in this presentation to discuss a couple of new exciting projects. But first, I would like to tell you a little more about Monona Terrace.

About Monona Terrace Our mission: to deliver an exceptional and inspirational experience The vision of this facility is to be a globally recognized facility of distinction, offering endless possibilities and extraordinary service. The facility has become an icon in Madison, having received numerous awards and recognitions Wide geographic draw, attracting local, regional, state, and international events each year. Power Converters 98% Satisfaction Rating As I am sure most of you know, were are a FLW designed building We opened on July 18, 1997, after a nearly 60-year on-and-off effort to construct the FLW designed facility. This is a speech in of itself, so I won’t go there, but our website has the complete history of the struggle to build MT - Read mission statement - The facility has received numerous awards, including Six time Prime Site Award by Facility & Destinations Magazine (which is a national publication) 2005, 2006 & 2007 Readers’ Choice Award for Best Conference Center in Wisconsin by Corporate Report Wisconsin (receive this award at the Kalahari) And just recently, we were awarded by the readers of Knot Magazine (a national wedding publication) as one of the best places to have your wedding. Wide geographic awareness – along with our strong local support No property tax dollars, IN FACT WE PAY PT - $282,220 -And we celebrated our 10th Anniversary this summer on July 20, 2007

Funding Sources City of Madison $12,000,000 Madison Hotel Room Tax $16,500,000 Tax Increment Financing (TIF) Fund $500,000 State of Wisconsin $18,100,000 Dane County Private Contributions (Including Friends of Monona Terrace Tile Campaign) $8,000,000 Grand Total - All Sources $67,100,000 The breakdown of the funding sources is important - because it shows the major collaboration effort it took – between the city, county, state and private sector to get MT built. Gave investors the confidence to invest in downtown Promoters of Monona Terrace said the facility would be An economic catalyst for city of Madison, Dane County, and the state of Wisconsin Create jobs Would help in the revitalization of Madison’s downtown And would become a community gathering place and tourism destination As staff, we believed that we were accomplishing all four of these objectives, and for years have been wanting an independent economic impact study to verify this fact.

Monona Terrace Operational Facts Thanks to the efforts of a privately funded not-for-profit organization know as Monona Terrace Community Programs, Inc this study became a reality on July 18, 2006. This study was done by Virchow Krause & Company The study objectives were to - Conduct an independent analysis of the actual economic impacts of Monona Terrace on the Madison community as a whole, especially the downtown area - Compare the results against previous projections from the 1992 Shilling-Vandell Study, which was a projection or an economic impact study of the then proposed MT Convention Center A summary of this report has been distributed at your seats My remaining remarks will be a brief review of the major findings from this report

First LEED-EB certified Convention Center in the United States 100% of the electricity purchased at Monona Terrace is from renewable resources Monona Terrace generates over 60 tons of waste annually but 50% is recycled Over 18 tons of pre-consumer food waste was composted last year and used in garden areas on the University of Wisconsin Campus We donate about 3 tons of food each year to local food pantries In 2019, we will begin composting post-consumer waste thereby continuing to reduce the amount of waste from Monona Terrace into local landfills Power Converters 98% Satisfaction Rating As I am sure most of you know, were are a FLW designed building We opened on July 18, 1997, after a nearly 60-year on-and-off effort to construct the FLW designed facility. This is a speech in of itself, so I won’t go there, but our website has the complete history of the struggle to build MT - Read mission statement - The facility has received numerous awards, including Six time Prime Site Award by Facility & Destinations Magazine (which is a national publication) 2005, 2006 & 2007 Readers’ Choice Award for Best Conference Center in Wisconsin by Corporate Report Wisconsin (receive this award at the Kalahari) And just recently, we were awarded by the readers of Knot Magazine (a national wedding publication) as one of the best places to have your wedding. Wide geographic awareness – along with our strong local support No property tax dollars, IN FACT WE PAY PT - $282,220 -And we celebrated our 10th Anniversary this summer on July 20, 2007

Inside Monona Terrace Monona Terrace is financed through the Transit Occupancy Tax or Room Tax, which pays for debt service, capital improvements and the annual subsidy. No city tax dollars are used! 60% of the cost to run Monona Terrace is labor The job of hosting events either corporate, community or tourism related is very labor intensive On average, Monona Terrace hosts over 600 events a year, of which about 100 of those events are weddings Our job is to make every event special. Our greatest critic and best inspector is the mother of the bride!! Monona Terrace is a subsidized facility. The revenues do not exceed expenses. Power Converters 98% Satisfaction Rating As I am sure most of you know, were are a FLW designed building We opened on July 18, 1997, after a nearly 60-year on-and-off effort to construct the FLW designed facility. This is a speech in of itself, so I won’t go there, but our website has the complete history of the struggle to build MT - Read mission statement - The facility has received numerous awards, including Six time Prime Site Award by Facility & Destinations Magazine (which is a national publication) 2005, 2006 & 2007 Readers’ Choice Award for Best Conference Center in Wisconsin by Corporate Report Wisconsin (receive this award at the Kalahari) And just recently, we were awarded by the readers of Knot Magazine (a national wedding publication) as one of the best places to have your wedding. Wide geographic awareness – along with our strong local support No property tax dollars, IN FACT WE PAY PT - $282,220 -And we celebrated our 10th Anniversary this summer on July 20, 2007

Monona Terrace was not designed to make money – It was designed to make other people money! Conferences and Conventions at Monona Terrace over the past 10 years have averaged over $40 million each year in Economic Impact for the City of Madison One of the first major findings from the report was that the economic impact of Monona Terrace from our 2005 conventions and conferences was $52.7 million in economic benefits to the community You can also see from this slide that we exceeded the Shilling/Vandell projection by 30%, which is inflated to 2005 dollars ($28.8 million in 1992) We work with the Greater Madison Convention & Visitor Bureau to get this convention business to MT. And they are doing a great job.

Looking to the future -Maximizing our Potential

Judge Doyle Square

Judge Doyle Square The project includes a 252 room Embassy Suites Hotel, Retail and Residential components The massive two block development will activate areas that had previously been fallow. Revenue Real Estate Taxes Room Taxes Sales Tax Land Lease Rental Income Believe this development could be the catalyst that eventually connects the lake with Downtown.

Nolen Waterfront Project

Monona Terrace Madison, Wisconsin