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KERN: Any questions for the applicant? <br /> <br />DOMINGO: Yes. <br /> <br />KERN: Commissioner Domingo. <br /> <br />DOMINGO: Mr. Anderson, according to this submittal any group or individuals who play and does <br />not donate a minimum of 20% of the gate proceeds to a 501(C)(3), that is considered to be a fund- <br />raiser, I mean, a concert. But then if a party comes in and they donate a more, 20% or more to a <br />501(C)(3) or some local worthwhile event, then it will be a fund-raiser. That’s the difference I see. <br /> <br />ANDERSON: That’s the suggestion. <br /> <br />DOMINGO: Okay. <br /> <br />KERN: Commissioner Ono? <br /> <br />ONO: Pardon my ignorance on this, but when there is a nonprofit activity, in my mind nonprofit is <br />nonprofit. So is there a gain on your part as the promoter or whatever it is in terms of using your <br />facility? I mean is there an income for you? <br /> <br />ANDERSON: We rent the facility for $400 a night. <br /> <br />ONO: I see. And that’s it? <br /> <br />ANDERSON: That’s it. <br /> <br />ONO: So the vendors keep whatever? They donate their 20 percent and they keep the difference? <br /> <br />ANDERSON: In the market it’s a little different cause in the markets we put the market on and they <br />pay $25 a booth. So depending on how many vendors are there, we don’t get $400 rental, we just get <br />what the rental stalls pay for the market. The problems with the markets are, you know, two years <br />when we started this quest it wasn't a unique idea but there was more exclusivity to doing markets. <br />Now, I mean, there's a farmers market in just about every community. So we have had a hard time <br />getting people out to the farmers market. We used to hold it once a month, and we had a hard time, or <br />twice a month, and then we went to once a month to try and get people out. And then we found to get <br />them out we really needed more of a draw; and that’s when we started the hoe downs, to get people out <br />to come support the vendors. <br /> <br />ONO: So when this group from Maui comes over, as an example, they charge the ticket, I suppose, to <br />enter your facility? <br /> <br />ANDERSON: In that case, I think the 501(C)(3), Kumu Na Lio handled the, they hired the music, <br />they ran, they did the production. They rented it from us. <br /> <br />ONO: So just for my clarification then, the 20 percent is the minimum contribution/donation to the <br />nonprofit group and that’s it, the rest of the money is profit? <br /> <br />ANDERSON: Well, it depends on if there’s an outside producer. I’m trying to just quantify <br />something so -. Mr. Arai is trying to be very conscientious on the planning. I’m trying to quantify <br />something, and I’m looking for your suggestion on how to quantify what a concert is versus a fund- <br />raiser. I came up with 20 percent, just trying to quantify it. If there’s a better, you know, I put this out <br />to you to help clarify these terms. So we don’t, I don’t want to get into a constant discussion with the <br />5 <br /> EXHIBIT A <br /> <br /> <br />