DEPARTMENT OF BUSINESS, ECONOMIC DEVELOPMENT & TOURISM (DBEDT)MINUTES OF THE COMMISSION ON THE 13th FESTIVAL OF
PACIFIC ARTS & CULTURE (FESTPAC) MEETINGWEDNESDAY, OCTOBER 9, 2019, AT 9:00 A.M.

HAWATI CONVENTION CENTER
1801 KALAKAUA AVE., BOARD ROOM AHONOLULU, HAWATI 96815

Commission Members Present were:

J. Kalani English, Chair
Mapuana de Silva
Mehanaokala Hind
Kalani Ka ana ana
Monte McComber

Richard Onishi
Randy Tanaka

Senate President s Designee
Community Member At-Large

Office of Hawaiian Affairs
HawaTi Tourism Authority Designee
Governor’s Designee

House Speaker’s Designee
Department of Business, Economic Development &Tourism (DBEDT’s) Designee
Guests:Jacob Aki

Senator English’s Office

Maka Casson-Fisher

Michael Pili Pang
Jay Rojas
Vicky Takamine

HawaTi Tourism Authority
Pacific Rim Concepts, LLC
Mayor’s Office of the Culture and Arts (MOCA)
Strategies 360
Pacific Islands Institute
PAT Foundation
PAT Foundation
PAT Foundation

Dorrett Tarmo

Royal Hawaiian Center

John White

Strategies 360

Margaret Ahn

Attorney General’s OfficeDennis Ling

DBEDT
DBEDT
DBEDT

LeeAnn Choy
Lawson Fe andes
Honey Maltin-Wisot
June Matsumoto

Staff:

Jamie Lum

Selma Malcolm (Recording) Apologies:
Snowbird Bento

Commissioner - Community Member At-Large

Misty Kela i

City & County of Honolulu Designee

Minutes of the Commission on the 13lh Festival of Pacific Arts & Culture
Wednesday, October 9, 2019, Hawai i Convention Center, Board Room A
1801 Kalakaua Avenue, Honolulu, Hawai'i 96815
Page 2 of 6

CALL TO ORDER:
The meeting was called to order by Chair English on Wednesday, October 9, 2019, at 9:10 a.m.,
who welcomed everyone present.

APPROVAL OF SEPTEMBER 26. 2019 MEETING MINUTES:
Minutes of the meetings held on Thursday, September 26, 2019, were unanimously approved
unamended on a motion by Representative Richard Onishi and seconded by
Mr. Kalani Ka ana ana.

OLD BUSINESS:
A. DBEDT Report:
Mr. Dennis Ling presented DBEDT s report. He reported the following:
2017, 2018 and 2019 Expenditure/Encumbrance Report of State Funds Appropriated for

FESTPAC 2020:
FESTPAC Revenues and Expenditures/Encumbrances for 2017, 2018 & 2019; the total
amount appropriated for each year; the percentage set aside; amount reserved for auditand administration; amount encumbered for PA I Foundation; contracts with PacificIsland Institute and the Hawaiii Convention Center; payments for travel to Fiji andadministrative expenses, etc. From the 2019 appropriation of $1 million, currently there
is a balance of $895,166 that is not yet encumbered or spent. Copies of the report weredistributed to the Commissioners. During discussion, Representative Onishi suggested
that a letter be sent to Governor Ige requesting the release of the 10 percent sent aside

from the 2019 budget.
Motion was made by Representative Richard Onishi and seconded byMr. Kalani Ka anal ana recommending that DBEDT prepare a letter on behalf ofthe Commission to Governor Ige requesting the release of the set aside funds in2019.
Motion was passed unanimously.
Regarding the FESTPAC Commission Delegation to Te Matatini, Aoteraroa, New

Zealand in February 2019 to promote FESTPAC, Chair English requested thatMr. Ling/DBEDT research what fund the reimbursement to PAT Foundation came out ofand if it came from the wrong fund, to correct the matter.

Minutes of the Commission on the 13th Festival of Pacific Arts & Culture
Wednesday, October 9, 2019, Hawai'i Convention Center, Board Room A
1801 Kalakaua Avenue, Honolulu, Hawai'i 96815
Page 3 of 6

Allowable Features for FESTPAC Website:
Mr. Ling reported that he contacted the Enterprise Technologies Services (ETS) while
Ms. Ahn contacted the Ethics Commission and they were advised that the Commission

can include on the FESTPAC website the list donors and their logos and links to hotels at
which attendees may book their rooms. Regarding the sale of merchandise on thewebsite, Chair English stated that the Commission proposes selling logo merchandise
created in HawaTi as a means of fundraising. Ms. Ahn indicated that she would ask theEthics Commission and report at the next meeting. She also stated that the Ethics
Commission affirmed that the State can receive the rebates back from the hotel rooms
subject to approval/confirmation from the State Procurement Office. Mr. Ling stated that
DBEDT may be able to establish a trust fund for FESTPAC to receive these rebates. Mr.
Ka ana ana requested something in writing from the Ethics Commission.
Other Reports:
Pacific Island Institute (Logistics Contractor) Update on:
Housing - University of Hawaii, East-West Center:
Mr. Tanaka stated that Ms. Matsumoto of Pacific Island Institute has been working with
the University of Hawaii (UH) and the East-West Center on housing. He stated that thetotal cost for the 1800 rooms including meals is approximately $1.5 million and a

preliminary deposit of $258,000 is required to hold the beds and that the remainingbalance of approximately $1.2 million is due on December 16, 2019. However, he istrying to negotiate a new payment arrangement with the UH for February or March 2020.
Linens will be required for the rooms and they are trying to maximize the number of beds
with rollaways, but that the UH does not carry rollaways, so this will incur an additionalcost. Ms. Matsumoto stated that recently the UH advised that the meal price will beadjusted to reflect an increase. The menu will be reviewed.
Regarding hotel accommodations, Ms. Matsumoto stated that the Ala Moana Hoteloffered the lowest price per night ($205.78 per night all inclusive). She is currently
working on in-kind sponsorship opportunities. Mr. Tanaka advised that the total package
for housing and meals is approximately $1.8 to $1.9 million. He noted that he iscurrently working on the indemnification clause and the schedule of payments for thecontract with the UH. Chair English stated that government agencies (both sides) don t
indemnify and the Commission needs to find someone to take on liability and insurance.
Mr. Ka ana ana inquired whether there were any contingencies for damages to linens,etc., as it is not reflected in any budget. Ms. Matsumoto stated that each delegation isrequired to make a security/key deposit of $25.00 per person to cover certain damages.
She stated that due to the nominal deposit, the UH is requesting 6-8 weeks after the eventfor the reimbursement.

Minutes of the Commission on the 13th Festival of Pacific Arts & Culture
Wednesday, October 9, 2019, Hawai 1 Convention Center, Board Room A
1801 Kalakaua Avenue, Honolulu, HawaFi 96815
Page 4 of 6Motion was made by Representative Onishi and seconded by Mr. Kalani
Ka ana ana to expend the $258,000 for the deposit to the University of Hawai i.
The motion was passed unanimously.
Ms. Takamine reported that the New Zealand delegation is ready to make a deposit on
their accommodation and suggested that PAT Foundation bill them for the deposit, givethem a general idea of what the total is going to be and then invoice them for the total atthe end. The Commission concurred.
PA Foundation:Ms. Takamine reported the following:
Strategies 360 and PAT Foundation met with Mr. McComber to resolve issues relating tooutstanding deliverables and invoices in their contract. Ms. Takamine informed theCommissioners that Strategies 360 agreed to provide PAT Foundation with all thedeliverables by the end of October 2019 and that a payment plan proposed by Mr. Whiteof Strategies 360 was agreed upon. Chair English stated that the next Commissionmeeting will be held on October 23, 2019 and requested a written agreement between

PAT and Strategies 360 by October 22, 2019, so that the document will be available fordiscussion and approval at the next meeting.
Regarding continuing the services of Strategies 360, Mr. KaAna ana inquired who will
be developing the Scope of Service to work with the Commission and the Secretariat forcommunication policy and strategy. Ms. Takamine stated that PAT Foundation will bedeveloping that contract and that discussion was held with Strategies 360 about thecontract that DBEDT sought approval for at the last meeting and both parties agreed thatmoving forward, PAT Foundation should assume that responsibility because they areproviding all the information for the website. The new contract will be presented to theCommission for its approval.
Representative Onishi stated that the new contract between PAT Foundation andStrategies 360 should have a completion date at the end of FESTPAC, so funds can beexpended. He also requested the details of this new phase two contract, as well as thewritten agreement between PAT Foundation and Strategies 360 to settle the first contract
based on the meeting at which Mr. McComber was the mediator.
Mr. McComber stated that for the first phase one contract, the outstanding amount is$38,198.63, and for the outstanding reimbursements, PAT Foundation agreed to pay

Strategies 360 $20,378.81 and the remaining balance of $18,819.82 will be paid upon thecompletion of the launch of website 2.0. Also, PAT Foundation and Strategies 360 are
discussing the final contents of a donors strategy which was agreed to be augmented at alater date under the guidance of a fundraising professional to be agreed upon by PAT

Minutes of the Commission on the 13lh Festival of Pacific Aits & Culture
Wednesday, October 9, 2019, Hawai'i Convention Center, Board Room A
1801 Kalakaua Avenue, Honolulu, Hawai'i 96815
Page 5 of 6

Foundation and Strategies 360; and the development of a communication strategy to becompleted by October 22, 2019, to close out the first contract.
Ms. Ahn stated that regarding accountability, the subcontractor is considered anemployee of the contractor and if the subcontractor is not fulfilling its duties, thecontractor is ultimately responsible for the subcontractor.
Ms. Takamine reported that PA I Foundation ill extend its contract with Strategies 360
and include the deliverables and request a status report to submit to the Commission onOctober 22, 2019.
Representative Onishi asked Ms. Takamine if a professional fundraiser is one of thepositions that PAT requested to hire and if they will be working with Strategies 360.
Ms. Takamine stated that Strategies 360 will be developing sponsorship opportunities.

Mr. White explained that Strategies 360 will play a supporting role to assist in thesponsorship recruitment and marketing strategy, but the primary role will be played byPA Foundation.
Mr. Ka ana ana expressed that PAT has reported on developing these fundraisingstrategies before and requested that they get done.
At this point, Chair English requested an Executive Session to discuss the contract withPA Foundation and its fundraising requirements.
Motion was made by Representative Richard Onishi and seconded by Ms.
Mehana Flind that the Commission go into an Executive Session to consult theCommission s Attorney pursuant to section 92-5(a)(4) of the Hawaii Revised
Statutes.

Motion was passed unanimously.
The Executive Session was from 10:39 a.m. to 11:27 a.m.
Mr. Kalani Ka ana ana left the meeting at 11:27 a.m.
In open meeting, Chair English advised Ms. Takamine that the Commission will
negotiate the terms of the contract with PAT Foundation and appointed Mr. McComber
to represent the Commission, and Mr. Tanaka and Mr. Ling to represent DBEDT.
DBEDT will submit a report at the next Commission meeting.

Minutes of the Commission on the 13lh Festival of Pacific Arts & Culture
Wednesday, October 9, 2019, Hawai 1 Convention Center, Board Room A
1801 Kalakaua Avenue, Honolulu, Hawaii 96815
Page 6 of 6NEW BUSINESS:
A. Public Relations/Communications and Marketing for the Festival:

hile reporting on his trip to the region, Chair English indicated that several of thePacific Island nations requested new invitation letters to FESTPAC due to changes ingovernment and/or political unrest. He then suggested that invitations be sent to all theparticipating nations to remind them of the FESTPAC. In the case of Tonga, a personal
invitation should be sent to their King in addition to the government. The estimatednumber of delegates from the following countries that will be attending the Festivals are:Tuvalu 30-60; Tonga 50; Palau 50 and the Marshall Islands 30-40.
Chair English advised the Commis ioners that the Indigenous People of Taiwan indicatedthat they will be visiting Hawaii i before the end of the year for a walk-through.
He thanked everyone for attending the meeting especially Ms. Hind for her assistanceduring the trip in the region.

DATE OF NEXT MEETING:
The next meeting was scheduled for Wednesday, October 23, 2019, at 11:00 a.m., at the Hawaifi
Convention Center, Executive Boardroom B.

ADJOURNMENT:The Meeting adjourned at 11:39 a.m.

Respectfully Submitted,

Senator J. Kalani English

Chair

Date