Abandoned by big events since March and hurting for revenue, Ernest N. Morial Convention Center managers on Thursday showcased the building’s protocols for the coronavirus pandemic and said they’re eager to get back to business once Louisiana and New Orleans officials allow it.
Like other convention centers across the United States, the convention center has not hosted an event in eight months — and has seen a steady stream of cancellations stretching well into next year — as the coronavirus has swept across the country in waves this year.
The pandemic has put severe stress on the center’s finances, not only because of the loss in revenue but because management is still spending $3 million to $4 million a month to retain employees at full pay and benefits.
There has been no event revenue, and revenue from the center’s share of New Orleans tourism taxes has plunged about 60%. Also, the center has been obligated to make large payments on debt and for capital projects that are part of a $557 million upgrade project, all of which have drained its reserves.
Still, coronavirus cases in New Orleans are showing signs of stabilizing, and the convention center this month ceased operating as a temporary medical center for patients recovering from COVID-19. Thus management has turned its attention to hosting events in the first quarter of next year.
“We’re ready to get back to business,” said Michael Sawaya, the facility’s president and general manager, pointing to how one of the center’s cavernous halls has been set up to meet social distancing requirements.
The first two events that management hopes will take place in January are the Wizard World Comic Con event, which in ordinary times would attract 15,000 attendees, and the Blastoff 2021 volleyball tournament, which would typically draw 90 teams and their fans.
“They’re both under contract and waiting for the green light,” said Tim Hemphill, the center’s head of marketing, referring to permission from the city and state to be able to hold events that would see thousands of participants go through the halls and lobbies.
Under City Hall’s current Phase 3.3 conditions, the maximum crowd that may gather for an event is 250.
“We’re not in the small-event business,” said Sawaya. “That’s not what we do at a convention center of this size. We need the ability to host thousands.”
The convention center has taken several steps to ready itself, including getting an accreditation from the Global BioRisk Advisory Council, part of an international trade association representing the cleaning industry.
They have also hired an industrial hygienist and a protocol advisory firm. Officials have moved forward a lot of routine maintenance on electrical work and painting and have begun a major renovation project for the hundreds of restrooms in the 3 million square foot complex.
“If we’re going to be able to get people to trust that we have that kind of environment to get them back in again, then we have to be at the forefront of the industry with having these things in place, or else we’re not going to be able to get them back anytime soon,” Sawaya said.
The center wants to be ready for the January events, and Sawaya said it hasn’t yet canceled Mardi Gras season ball events in February, though several parades that end at the center already have canceled for 2021.
The benchmark event currently will be the Helicopter Association trade show and exhibition, which scheduled for March. It typically would see 20,000 participants roaming the halls and looking at the latest aircraft on offer. It also has sentimental significance for the convention center, as it was the first event held there when the buliding opened in 1984.
“The Helicopter Association is on the books for March 2021, and we’re hoping to be able to host that event,” Sawaya said. “Twenty thousand is what is normally expected, and we can accommodate as many as they want to bring, quite frankly, as they’ll have the entire building all to themselves.”