HomeMy WebLinkAboutItem 1f - Chamber Services Agreemento =o11il`
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DATE: July 1, 2014
TO: Honorable Mayor and City Council
STAFF REPORT
Development Services Department
FROM: Jason Kruckeberg, Assistant City Manager /Development Services Director
By: Jerry Schwartz, Economic Development Manager
SUBJECT: AGREEMENT FOR SERVICES WITH THE ARCADIA CHAMBER OF
COMMERCE IN AN AMOUNT NOT TO EXCEED $72,000, AND
AMENDMENT TO THE LEASE BETWEEN THE CITY AND THE
ARCADIA CHAMBER OF COMMERCE
Recommendation: Approve
SUMMARY
The Arcadia Chamber of Commerce ( "Chamber ") provides programming and activities
that benefit its members and the business community. The City of Arcadia and the
Chamber execute an annual Agreement for Services ( "Agreement "). In the Agreement
for Fiscal Year 2014 -15, the City will provide the Chamber with $72,000 for its efforts on
behalf of the business community and to complement the City's marketing activities.
The City will also provide $40,000 from the Capital Improvement Fund to fund needed
improvements to the Chamber's offices, located in a building owned by the City.
Sufficient funds were included in the adopted FY 2014 -15 Budget for these efforts.
The City owns the property at 388 West Huntington Drive that the Chamber uses for its
offices. The Chamber utilizes the site subject to a Lease between the parties. The
proposed amendments will ensure that the Chamber properly maintains the new digital
signs that are currently being installed.
BACKGROUND
The City's FY 2014 -15 Budget includes $72,000 in funding for the Chamber of
Commerce. This is the third year since the end of Redevelopment that the General
Fund has absorbed the entire cost of the agreement with the Chamber of Commerce. In
prior years, the cost was split between the two funds. Last year, the City Council
agreed to a three year, $120,000 package to fund improvements to the Chamber
building that is owned by the City. Fiscal Year 2014 -15 will be the second year of that
program; sufficient funds are budgeted in the Capital Improvement Program.
Chamber of Commerce Agreement for Services
July 1, 2014
Page 2 of 3
The current Lease with the Chamber was approved in November 2011 and would next
be up for renewal in November 2016. It is subject to amendment from time to time as
needed.
DISCUSSION
The Chamber of Commerce offers a variety of services to the business community in
Arcadia, including:
• Providing reference and referral information about the City to brokers, realtors,
merchants, business operators, and interested public.
• Communicating frequently via e -mail with Constant Contact monthly event
calendars and weekly event reminders, and regular website updates.
• Utilizing new media, including Facebook, Twitter, and Instagram, to expand
outreach for events, including mixers, business breakfasts, and ribbon cuttings.
• Promoting and managing the annual Taste of Arcadia event, which has become
a signature event for the City.
• Developing and operating an annual business expo, which in FY 2014 -15, will be
held in conjunction with the Taste of Arcadia for the third consecutive year.
• Organizing and providing staff support for the monthly Government Affairs
Forum, Ambassadors meeting, Taste of Arcadia Committee, Business
Networking Breakfasts, and business mixers.
• Working with and supporting the Arcadia Improvement Association (AIA).
Assistance was provided to the Downtown businesses through the completion of
the formation of the Community Benefit District. Efforts are continuing to support
the AIA with various planning activities in the Downtown.
• For the monthly Business Networking Breakfasts, the Chamber names a
business icon that gets honored for its longevity in Arcadia, and has a business
or non - profit member speak about a topic of interest to the attendees.
• The Chamber C.E.O. has joined the Economic Development Manager on several
business visits. The visits present opportunities to learn about the different
businesses in Arcadia, and provide the business owner with contact information
and services available through the City and the Chamber.
The Chamber's accomplishments during FY 2013 -14 (Attachment "A ") and their
financial report (Attachment "B ") are provided as attachments. An Agreement for
Services with the Chamber for FY 2014 -15 is included as Attachment "C ". The
Agreement provides for the annual financial support and the second year of funding for
improvements to the Chamber offices. .
Chamber of Commerce Agreement for Services
July 1, 2014
Page 3 of 3
During a 2013 City Council Study session regarding Chamber funding, the City Council
agreed to increase the annual payment to the Chamber for FY2013 -14 by $10,000 to
$72,000. The City Council also agreed to commit $120,000 over three years for interior
improvements to the Chamber offices in a building owned by the City. One item that
was discussed was to provide a CPI increase annually to the amount the City provides
to the Chamber. The Chamber agreed to forgo the CPI increase in the FY 2014 -15
Agreement for Services as it was not included in the recently- approved budget.
Starting with the FY 2015 -16 budget, an annual increase based on CPI will be included
in the Chamber Agreement for services.
One of the provisions of the Lease with the Chamber is that the City maintains the
outside of the building and the Chamber is responsible for the inside. The Chamber has
received two sign modifications from the City Council for Digital Display signs to replace
the existing Chamber monument signs. It is appropriate for the Chamber to be
responsible for the maintenance of the new signs even though they are outside.
Therefore, to amendment to Sections 7 and 10 of the Lease is necessary to clarify that
the Chamber will maintain the Digital Display signs.
FISCAL IMPACT
A total of $72,000 for the Chamber Agreement was included in the adopted FY 2014 -15
General Fund Budget. The second year allocation of $40,000 for improvements to the
Chamber offices was included in the Capital Improvement Fund. The City also provides
below market rent for the City -owned Chamber offices at $400 per month. The current
five year lease was approved on November 15, 2011. There is no fiscal impact from the
amended Lease with the Chamber.
RECOMMENDATION
It is recommended that the City Council authorize and direct the City Manager to
execute an Agreement for Services with the Arcadia Chamber of Commerce for Fiscal
Year 2014 -15 in an amount not to exceed $72,000; and Amendment to the Lease
between the City and the Arcadia Chamber of Commerce.
Dominic Lazzarettd
City Manager
Attachments: "A" - Chamber Services Summary July 1, 2013 — June 9, 2014
"B" - Chamber of Commerce Financials
"C" - Agreement for Services for FY 2014 -15
"D" — Amendment No. 1 to Lease
ATTACHMENT A
CHAMBER SERVICES SUMMARY
JULY 11 2013 THRU JUNE 9, 2014
Chamber Services Summa July 1 2013 — June 9 2014
Arcadia Chamber of Commerce
Just a few of the Chamber's activities / accomplishments this past year:
Activities /Events
Taste of Arcadia 1 Business Showcase at the Taste: Record- setting
attendance of 1,300 attendees, 80 -plus food /business vendors; first -ever Red
Carpet Experience, face - painting, Monday Night Football Lounge, Classic Car
Show.
• Citizens of Year 1 Corporate Community Contributor Award 1 Installation
Dinner — nearly 200 attended; great reviews at first -time venue of Doubletree
Hotel
• Planning Conference, including State of City report from new City Manager,
Gold Line update; hosted by Embassy Suites and sponsored by Post Alarm
• Networking Breakfasts: 10 events, including Biz Awards — Avg of 40 attendees
• Chamber Business Awards scheduled for July 17: Rusnak Mercedes
• Government Affairs Forum met 10 times presenting informative speakers,
elected officials' updates & recommendations regarding pending legislation
Improvement Projects (thanks to City funding)
• Building Interior Improvement: Phase 1 Conference Room remodel complete
• Preparing for Phase 2 Lobby and Storage Room remodel summer /fall 2014
Initiatives
• Business Visits: Friendly check -in visits of half -dozen businesses in southeast
industrial area of Arcadia with City Economic Development Manager and rep
from San Gabriel Valley Economic Partnership
• New Chinese Consumer Outreach Committee of top marketing execs from
Rusnak, Westfield, Santa Anita, Rose Hills launched June 18
Love Lunch launched May to get more members to more restaurants
• Visit Arcadia web site / app to launch summer 2014
Community support
• Woman's Club: Full -page ad /attendance /publicity for Woman's Club Centennial
• ACA: President Letter in Yearbook, attendance /certificates at events
• Methodist Hospital: ad in Mardi Gras program, attendance Crystal Ball
• Arcadia Business Icon tribute monthly; includes non - members
• Downtown Arcadia: host meetings / sit on boards / committees
Member /Community services
• All Access Pass: dozens sold again — discounts to big entertainment events
• Media publicity: 65 stories in print/online about Chamber and Chamber
members, not counting Chamber web site /social media (15 Taste/ 20 Special
Olympics)
Boardroom rentals: More than 159 bookings ranging from one -time to monthly
• Small Business Development Center at PCC: Initiating projects w/ new Exec
• 2nd year of direct mail to new residents (ChamberMail)
Milestones /Successes /Fund raising & financial prudence
• Taste of Arcadia 2013: Record # of sponsors
• Taste of Arcadia 2014: Already broke 2013 record for sponsor commitments
• Westfield renewed for 2 "d, 3rd years as Community Builder Presenting Sponsor
• Rose Hills 2nd year as Keystone sponsor Networking Breakfast, $2,500
• Rose Hills 2nd year as Business Showcase at the Taste sponsor, $2,500
• Foothill Credit Union Keystone sponsor conference room $6k per year, 3 years
75 New Members joined this year!
• Ambassador visits /calls to nearly 200 members during the past year
• 13 Business Mixers and Ribbon- Cuttings
• Financial Reports: added area on web site for public review of finances
• Digital LED sign upgrade: To be operational July 2014
-- Westfield premium LED sign sponsor $2,500 per year 2014 -15
-- Rose Hills premium LED sign sponsor $1,250 2014 -15
• 2nd year w/ more efficient and cost - effective phone, e-mail and IT systems
Ongoing Services
Assisted more than 2,000 walk -in visitors with directions, information, maps,
business referrals, Certificates of Origin
• Responded via phone, fax, email & Internet to more than 5,000 requests for
business referrals and information about Arcadia
• Provided thousands of tourist & visitor information brochures
• Weekly e-mail newsletters
• More than 1,000 postings on web site, Facebook, Twitter
• Supporters of SGV Economic Partnership, SCORE, Foothill Workforce Board
seminars, etc.
ATTACHMENT B
CHAMBER OF COMMERCE FINANCIALS
Arcadia Chamber of Commerce
Financial Overview July 1, 2013 May 31, 2014
The current fiscal year represents the culmination of a long three -year financial
turnaround for the Arcadia Chamber of Commerce. After seven consecutive
years in the red, the Arcadia Chamber will be in the black in 2013 -14.
After bottoming out during the peak of the recession with net losses in 2009 -10
and 2010 -11 of 420,000 and - $24,000, respectively (- $92.4k cume loss from
2007-13), the Arcadia Chamber halted the increasing losses in 2011, stabilized,
and continued to increase income each of the past three years. Simultaneously,
expenses were cut each of the first two years. This year expenses increased for
first CEO salary raise in three years, and otherwise only when substantial new
net revenue was attached:
2009 -101 2010-11/
2011-12/
2012-131
2013 -14*
Income $285k / $283k 1
$283k 1
$286k 1
$316k*
Expenses $304k/ $307k/
$298k/
$297k/
$292k*
Net Income -$20k/ -$24k/
-$16k 1
- $11 k I
+$24 +*
* Through first 11 months of FY 2013 -14, not including depreciation
Note A: Im ortance of City fee for Chamber services - Without this $72, 000 fee,
the Chamber would have to eliminate either.- a.) two primary staff positions of
CEO and Office Manager, which would leave only one part-time staff, or b.)
Taste of Arcadia and all events/activities, which would result in loss of additional
$35, 000 plus in net profit revenue.
The biqqest contributors to the increased income so far in FY 2013 -14:
• +$11.5k increase in member dues (largest single revenue stream)
-$11 k cut in labor expenses (biggest single expense)
• +$1 Ok increase in City contracted service fees
• +$8.75k Digital LED Sign premium sponsors
+$7k increase in net profit on Taste of Arcadia / Biz Showcase at Taste
• +$6k Conference Room sponsor Foothill Credit Union
• +$5.7k grant from Gas Co. to educate community about Advanced Meters
Note B: Expenses already earmarked for 2014 -15 (depreciation value TBD):
$12, 000 in Digital LED sign payments; $10k for Phase 2 building remodel
furniture; $8k for second Digital LED sign installation; and likely additional
staffrngAabor costs.
Attached are three financial reports:
• Balance Sheet
• P &L Budget vs Actual
• P &L Prev YR Comparison
5:za Arcadia Chamber of Commerce
06/09/14 Balance Sheet
Cash Basis As of May 31, 2014
May 31, 14
ASSETS
Current Assets
4,964.00
Checking /Savings
6,638.00
1000 - Citizens Checking 9771
49,102.23
1010 • Cash on Hand
900.15
1047 - National Financial Services
25,000.00
1700 - Visionary Fund - FFCU - 2900
12,569.05
1710 • Chamber Reserve Fund -CBB -0655
891.08
Total Checking /Savings
88,462.51
Other Current Assets
1203 • Prepaid Expenses
10,873.70
Total Other Current Assets
10,873.70
Total Current Assets 99,336.21
Fixed Assets
1400 - Furniture & Fixtures
4,964.00
1410 - Equipment
6,638.00
1450 • Computer
5,165.00
1490 - Accumulated Deprec.
- 11,097.66
Total Fixed Assets 5,669.34
TOTAL ASSETS 105,006.65
LIABILITIES & EQUITY
Liabilities
Current Liabilities
Other Current Liabilities
2600 - Access Pass Liability 8,437.80
Total Other Current Liabilities 8,437.80
Total Current Liabilities 8,437.80
Total Liabilities 8,437.80
Equity
3110 - Retained Earnings 50,320.44
Net Income 46,247.31
Total Equity 96,567.75
TOTAL LIABILITIES & EQUITY 105,005.55
6:26 PM Arcadia Chamber of Commerce
06/09/14 Profit & Loss Budget vs. Actual
Cash Basis July 2013 through May 2014
Gross Profit
Jul '13 - May 14
Budget
$ Over Budget
Ordinary Income /Expense
28.2%
6100 • Bad Debts
0.00
Income
6000 - Labor Expenses
138,490.37
152,166.68
4010 - Member Dues
96,855.00
83,875.00
12,980.00
4020 - New Member Dues
16,882.50
18,333.33
- 1,450.83
4025 - Visionary Fund Income
4,696.00
3,666.67
1,229.33
4030 • Event Income
1,090.00
19,250.00
- 18,160.00
4031 • Networking Breakfast
6,265.00
6400 • Printing Expenses
4,643.10
4032 , Award & Installation Dinner
13,834.00
0100
11833.33
4033 - Business Awards Breakfast
500.00
4,491.67
6412 • Equipment Repair
4034 • Directory/Maps
2,608.86
2,500.00
108.86
4035 - Chamber Trips
800.00
1,833.33
- 1,033.33
4036 - Planning Conference
1,060.00
916.67
6510 • Stationery & Supplies
4040 - City of Arcadia
72,000.00
72,000.00
0,00
4045 - Access Pass Income
51000.00
2,291.66
2,708.34
4067 • Electronic Sign Sponsorship
2,000.00
8,250.00
6600 • Training & Conference
4061 • Taste of Arcadia Revenues
84,294.28
65,083.25
19,211.03
4070 • Delegation Letters
200.00
5,890,00
4080 • Income - Other
15,845.38
4,858.34
10,987.04
4090 • Interest Income
321.11
6720 - Licenses & Permits
11.00
4100 - Advertising Income
443.14
3,575.00
- 3,131.86
Total Income
324,895.27
277,266.58
47,628.69
Cost of Goods Sold
458.33
7056 • Building Fundraising Renovation
1,000.00
4031a • Networking Breakfast Expenses
4,218.74
211,506.13
232,925.00
4032a • Award & Installation Dinner Exp
6,750.13
4,441.58
4033a - Business Awards Breakfast Exp
84.69
4038 • Hoedown Expenses
1,494.00
40695 • TOA Expenses
39,967.90
39,900.00
67.90
Total COGS
52,515.46
39,900.00
12,615.46
Gross Profit
272,379.81
237,366.58
Expense
- 1,975.10
28.2%
6100 • Bad Debts
0.00
6000 - Labor Expenses
138,490.37
152,166.68
6150 • CEO Expenses
774.90
2,750.00
6160 - Chamber Trip Expense
413,70
6200 - Occupancy Costs
13,381.06
15,583.33
6300 - Insurance
7,408.00
6,416.67
6350 • Teiephone 1 Internet 1 Email
3,710.73
4,583.33
6360 - Postage and Delivery
1,450.38
1,833.33
6400 • Printing Expenses
4,643.10
4,125.00
6410 • Equipment Purchase
0100
11833.33
6411 • Equipment Rental
3,684.50
4,491.67
6412 • Equipment Repair
0.00
458.33
6420 - Accounting & Legal
10,185.00
4,125.00
6430 • Dues and Subscriptions
798.87
916.67
6500 - Plaques & Awards
423.82
916.67
6510 • Stationery & Supplies
3,562.45
2,750.00
6520 - Hospitality
1,138.54
1,100.00
6630 - Computer Supplies
0.00
458.33
6540 - Computer I Website Maintenance
6,419.23
8,250.00
6600 • Training & Conference
0.00
458.33
6620 - AdvertisinglPromolWebsite
2,773.25
1,833.33
6630 - TOA Event Expenses
5,890,00
6640 • Event Expenses
0100
14,666.67
6700 - Automobile Expense
2,214.19
6720 - Licenses & Permits
11.00
55.00
6730 • Bank & CC Charges
2,448.93
2,658.33
6740 • - Income Tax
85.00
36.67
6800 - Miscellaneous
599.11
458.33
7056 • Building Fundraising Renovation
1,000.00
Total Expense
211,506.13
232,925.00
Net Ordinary Income
60,873.68
4,441.58
115.5%
92.1%
133.5%
5.7%
104.4%
43.6%
100.0%
218.2%
129.5%
326.1%
12.4%
117.2%
100.2%
131,6%
35,013.23
114.8%
- 13,676.31
91.0%
- 1,975.10
28.2%
- 2,202.27
991.33
- 872.60
- 382.95
518.10
- 1,833.33
- 807.17
- 458.33
6,060.00
- 117.80
- 492.85
812.45
38.54
- 458.33
- 1,830.77
- 458.33
939.92
85.9%
115.4%
81.0%
79.1%
112.6%
0.0%
82.0%
0.0%
246,9%
87.1%
46.2%
129.5%
103.5%
0.0%
77.8%
D.0%
151.3%
- 14,666.67 0,0%
-44.00 20.0%
- 209.40 92.1%
48.33 231.8%
140.78 130.7%
- 21,418.87 90.8%
56,432.10 1,370.5%
5.25 PM Arcadia Chamber of Commerce
06/09114 Profit & Loss Budget vs, Actual
Cash Basis July 2013 through May 2014
Jul'13 - May 14 Budget $ Over Budget % of Budget
Other Income /Expense
Other Income
7000 - Bldg Int donations non -city
7005 - Biding Fund Reserve -City
7015 • Electronic Sign Display
Total Other Income
Other Expense
7020 - Visionary Fund Disbursements
7060 • Building Renovation Expenses
7070 - Electronic Sign Expenses
Total Other Expense
Net Other Income
Net Income
4,494.00
0.00
0.00 458.33 -458.33 0.0%
12,720.37
15,150.00
27,870.37
458.33
27,412.04
6,080.9%
- 14,626.37
-458.33
- 14,168.04
3,191.2%
46,247,31
3,883.25
42,264.06
1,161.0%
Page 2
6:22 PM Arcadia Chamber of Commerce
06/09114 Profit & Loss YTD Comparison
Cash Basis July 2013 through May 2014
Net Ordinary Income 60,873.68 60,873.68
Other IncomelExpense
Other Income
7000 - Bldg int donations non -city 4,494.00 4,494.00
Jul'13 -May 14
Jul'13 -May 14
'
Ordinary IncomelExpense
Income
4010 • Member Dues
96,855.00
96,855.00
4020 - New Member Dues
16,882.50
16,882.50
4025 - Visionary Fund Income
4,896.00
4,896.00
4030 - Event Income
1,090.00
1,090.00
4031 - Networking Breakfast
6,265.00
6,265.00
4032 - Award & Installation Dinner
13,834.00
13,834.00
4033 • Business Awards Breakfast
500.00
500.00
4034 • Directory/Maps
2,608.86
2,608.86
4035 - Chamber Trips
800.00
800.00
4036 - Planning Conference
1,060.00
1,060.00
4040 - City of Arcadia
72,000.00
72,000.00
4045 - Access Pass Income
5,000.00
5,000,00
4067 - Electronic Sign Sponsorship
2,000.00
2,000.00
4061 • Taste of Arcadia Revenues
84,294.28
84,294.28
4070 • Delegation Letters
200.00
200.00
4080 • Income - Other
15,845.38
15,845.38
4090 - Interest Income
321 .1 1
321.11
4100 - Advertising Income
443. ,4
443.14
Total Income
324,895,27
324,895.27
Cost of Goods Sold
4031a - Networking Breakfast Expenses
4,218.74
4,218.74
4032a - Award & Installation Dinner Exp
6x750.13
6,750.13
4033a - Business Awards Breakfast Exp
84.69
84.69
4038 - Hoedown Expenses
1,494.00
1,494.00
40695 - TOA Expenses
39,967.90
39,967.90
Total COGS
52,515.46
52,516.46
Gross Profit
272,379.81
272,379.81
Expense
5100 - Bad Debts
0.00
0.00
6000 - Labor Expenses
138,490.37
138,490.37
6150 - CEO Expenses
774.90
774.90
6160 - Chamber Trip Expense
413.70
413.70
6200 - Occupancy Costs
13,381.06
13,381.06
6300 • Insurance
7,408.00
7,408.00
6350 - Telephone I Internet 1 Email
3,710.73
3,710.73
6360 - Postage and Delivery
1,450.38
1,450.38
6400 - Printing Expenses
4,643.10
4,643.10
6411 - Equipment Rental
3,684.50
3,684.50
6420 - Accounting & Legal
10,185.00
10,185.00
6430 • Dues and Subscriptions
798.87
798.87
6500 - Plaques & Awards
423.82
423.82
6510 - Stationery & Supplies
3,562.45
3,562.45
6520 - Hospitality
1,138.54
1,138.54
6540 • Computer I Website Maintenance
6,419.23
6,419.23
6620 - Advertisinglpromo[Website
2,773.25
2,773.25
6630 - TOA Event Expenses
5,890.00
5,890.00
6700 - Automobile Expense
2,214.19
2,214.19
6720 • Licenses & Permits
11.00
11.00
6730 • Bank & CC Charges
2,448,93
2,448.93
6740 - - Income Tax
85.00
85,00
6800 • Miscellaneous
599.11
599.11
7055 - Building Fundraising Renovation
1,000.00
1,000.00
Total Expense
211,506.13
211,506.13
Net Ordinary Income 60,873.68 60,873.68
Other IncomelExpense
Other Income
7000 - Bldg int donations non -city 4,494.00 4,494.00
6 :22 PM Arcadia Chamber of Commerce
06/09/14 Profit & Loss YTD Comparison
Cash Basis July 2013 through May 2014
7005 • Biding Fund Reserve -City
7015 • Electronic Sign display
Total Other Income
Other Expense
7060 • Building Renovation Expenses
7070 • Electronic Sign Expenses
Total Other Expense
Net Other Income
Net Income
JUI'13 - May 14 Jul '13 - May 14
0.00 0.00
8,750.00 8,750.00
13,244.00 13,244.00
12,720.37
12,720.37
15,150,00
15,150.00
27,870.37
27,870.37
- 14,626.37
- 14,626.37
46,247.31 46,247.31
Page 2
ATTACHMENT C
AGREEMENT FOR SERVICES FOR
FY 2014 -15
AGREEMENT FOR SERVICES
FY 2014 -2015
City of Arcadia and Arcadia Chamber of Commerce
This Agreement for Services ( "Agreement ") is entered into this day of July, 2014
by and between the Arcadia Chamber of Commerce ( "Chamber "), a not - for - profit
organization, and the City of Arcadia ( "City "), a municipal corporation and charter city.
RECITALS
A. The City and the Chamber have long cooperated concerning issues and projects of
mutual interest to the Arcadia civic and business community.
B. The Chamber has in the past provided, and desires and intends to provide in the
City's fiscal year ( "fiscal year ") 2014 -2015, various services to the City, as described
hereinafter.
C. For many years, the City has, pursuant to a certain lease entered into by the City
and the Chamber in or about December 2011 (the "Lease "), provided to the Chamber at a
below market lease rate the full use of a certain City -owned building at 388 W. Huntington
Drive, Arcadia ( "Leased Premises "), in support and recognition of the Chamber's ongoing
services to the City, and the Lease extends through December 2, 2016.
D. The City desires and intends to make payment to the Chamber in the amount of
$72,000 for certain business and economic development, marketing, civic promotion and
similar services to be provided by the Chamber to the City during fiscal year 2014 -2015, as
set forth in Exhibit "A" attached hereto (the "Services ").
E. As additional consideration for the provision of the Services by the Chamber to the
City, the City separately desires and intends to make available the sum of $40,000 for
purposes of the City undertaking certain additional improvements to the Leased Premises
( "Improvements "); provided that the Improvements shall be specifically described and
proposed in writing by the Chamber and shall be subject to the City's review and approval
in its sole and absolute discretion, shall meet the budget limitation of $40,000 in the
aggregate, and shall be deemed to comprise the second year improvements of a three
year $120,000 program to upgrade the Leased Premises.
F. The Chamber desires and intends to provide the Services to the City in
consideration for the City's payments and appropriation of funds as described herein.
AGREEMENT
Now, therefore, the City and the Chamber do hereby agree that the foregoing Recitals are
true and correct and are incorporated into this Agreement and made a part hereof as if
fully set forth herein, and further agree as follows:
A. Responsibilities of the Chamber
1. The Chamber is and shall serve as an independent organization entirely
separate from the City, and shall operate under its own bylaws as a
membership organization serving the interests of business in the greater
Arcadia area. For purposes of this Agreement, the Chamber is and in all
respects shall be deemed to be an independent contractor.
2. The Chamber shall provide to the City during fiscal year 2014 -2015 the
Services set forth in Exhibit "A" attached hereto and incorporated herein by
reference.
3. On or before May 15, 2015, but no sooner than May 1, 2015, the Chamber
shall submit to the City a written progress report describing in reasonable
detail the Chamber's performance and provision of the Services under this
Agreement for the period July 1, 2014 through the date of said report.
B. Responsibilities of the City
1. In consideration of the provision of the Services by the Chamber to the City
during fiscal year 2014 -2015, the City shall (1) make payment to the
Chamber of the sum of seventy -two thousand dollars ($72,000), payable in
equal quarterly installments, the first of which is due on or before July 21,
2014 (the "Payment for Services "); and (2) make available for expenditure
by the City the sum of forty thousand dollars ($40,000) for purposes of the
City undertaking and completing the Improvements, and thereafter
completing the Improvements, as described in and subject to the conditions
set forth in the Recitals hereinabove.
C. Review and Inspection of Chamber Records
1. On or before September 30, 2014, the Chamber shall provide to the City a
complete and accurate financial statement of the Chamber for fiscal year
2013 -2014 (i.e., ending June 30, 2014). On or before September 30, 2015,
the Chamber shall provide to the City a complete and accurate financial
statement of the Chamber for fiscal year 2014 -2015 (i.e., ending June 30,
2015).
2. The City and its representatives shall have the right to review and/or audit
the records of the Chamber to verify that the Chamber is providing the
Services and making reasonable and appropriate expenditures from the
Payment for Services in furtherance of providing the Services For this
purpose, the Chamber shall make available to the City and its
representatives all records of the Chamber to allow the accomplishment of
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review and audit during normal business hours of the City, upon reasonable
demand by the City.
D. Amendment
This Agreement may be amended by mutual written consent of the parties.
E. Termination
This Agreement shall be deemed to commence on July 1, 2014 and shall
extend through June 30, 2015 (the `Term "). This Agreement may be terminated
earlier by either party giving the other party written notice of termination;
provided that such notice of termination shall be given at least 180 days prior to
the effective date of termination and shall be transmitted by email, facsimile,
U.S. mail or personal delivery to the person or persons occupying the indicated
position(s) of the other party signing this Agreement.. The rights, duties and
responsibilities of the City and the Chamber shall continue for the period
between the notice of termination and the effective date of termination. Any
portion of the Payment for Services due and owing to the Chamber following
such notice of termination shall be prorated to cover only the period up to the
effective date of termination, and any portion of the Payment for Services
already made to the Chamber for the remainder of the period following the
effective date of termination shall be prorated and promptly refunded to the City
by the Chamber to cover the period following the effective date of termination.
Notwithstanding any provision of this Agreement to the contrary, Section C of
this Agreement entitled, "Review and Inspection of Chamber Records" shall
survive the Term and any termination of this Agreement.
F. California Law
This Agreement shall be governed by the laws of the State of California.
[SIGNATURE ON THE NEXT PAGE]
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In witness whereof, the parties have executed this Agreement as of the date first set forth
hereinabove.
CHAMBER:
President
Arcadia Chamber of Commerce
Dated:
Chief Executive Officer
Arcadia Chamber of Commerce
Dated:
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CITY.
City Manager
City of Arcadia
Dated:
ATTEST:
City Clerk
APPROVED AS TO FORM:
Stephen P. Deitseh
City Attorney
EXHIBIT "A"
Services Provided by Arcadia Chamber of Commerce
to the City of Arcadia
FY 2013 -2014 and Projected for 2014 — 2015
The Chamber shall provide the following services to the City:
Public Relations
A. Maintain regular office hours with qualified personnel.
B. Provide accurate and timely information and market the City and business
areas to hundreds of residents and business people who walk -in, phone,
write, e -mail, or fax the Chamber each month.
C. Prepare and maintain the monthly community calendar of civic group events.
D. Provide as many new Arcadia residents as requested through the water
department statement with a "welcome" package within one month of City
notification; the package shall include materials provided by the City.
E. Provide information on Arcadia to realtors for a "business relocation"
package which commercial agents give to new businesses in the City.
F. Prepare and make available a civic directory which lists all civic, cultural,
social, educational, and business groups, addresses, meeting dates, etc.
G. Through the Board and Committee structure (e.g., Taste of Arcadia
Committee, Government Affairs Forum, Ambassador Meetings), and
Chamber functions (Business Mixers, Networking Breakfasts, various
legislative gatherings and forums, Citizen of the Year Award & Installation
Dinner, Business Awards Lunch, and Taste of Arcadia) bring civic leaders
and City /Agency staff together with business people and citizens every
month.
H. Develop and maintain social media network to promote Chamber, City, and
business activities and news, including Chamber web site with calendar,
Facebook, Twitter, and lnstagram, and any new technologies that develop.
1!. Business Development
A. Under the Taste of Arcadia Committee, organize and hold at least one
annual "Business Expo' as part of the Taste of Arcadia. Consider holding
additional business expos as demand dictates to market Chamber business
member products and services to each other and to the community. The
City will be provided free and prominent space at the Expos.
B. Prepare and print (approximately every third year) a City Map, including
economic and civic information on Arcadia; provide as many copies to the
city and Fire & Police Departments as needed.
C. Prepare and print the "Business Directory'; provide copy to all Arcadia
businesses, and to residents; provide as many copies to the City as needed.
D. Conduct special community and business forums, e.g., Trash /Recycling
pick-up events, or assist City to inform the community of meetings, e.g.,
community workshops on large development projects, proposed city
measures, initiatives and propositions, transportation concerns, including
Gold Line /Metro, etc.
E. Assist the City during emergencies, by providing a liaison at Emergency
Operations Center; coordinate with the City EOC & Red Cross and
Emergency Centers throughout the City in the event of earthquake or
disaster; working with Chamber Emergency Business Preparedness plan for
emergencies,
F. Provide ambassadors to existing and new businesses throughout the year to
monitor concerns, assist in resolving problems with the Chamber or the City,
meet other Arcadia businesses (e-g,, monthly networking / orientation /
breakfasts).
G. Work actively on business recruitment, expansion and retention efforts
throughout the City, e.g., accompanying City staff on business visits to
existing businesses and potential now businesses.
1. Organize and publicize seminars and training sessions for merchants and
business members under SBA, SCORE, SGVEP, Foothill Workforce
Investment Board, Women at Work, and other governmental and
educational programs.
J. Continue to work with Arcadia Improvement Association on the recently
established downtown community benefits district, improve parking and
wayfinding signage, and support marketing efforts.
K. As needed or requested by the City, conduct membership survey on general
business topics, e.g., parking, ride - share, recycling, signage, etc, to inform
the City of business concerns.
L. Work with other business area on Live Oak, Duarte and other sectors to
initiate regular events and marketing.
M. Continue to develop new media marketing opportunities for business
members through Chamber.
Ill. Govern ment/Leaislative
A. Through the Legislative Committee, provide business information to
Chamber members and serve as a forum for City, County, State and
Federal interrelationships and dialogue.
B. Review and recommend proposed business legislation and concerns to City.
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Ill
N
ATTACHMENT D
AMENDED LEASE
AMENDMENT NO. 1 TO LEASE BETWEEN THE CITY OF ARCADIA
AND ARCADIA CHAMBER OF COMMERCE
This Amendment No. 1 ( "Amendment No. 1 ") is executed on the day of July,
2014 by and between the CITY OF ARCADIA, a Municipal Corporation in the County of
Los Angeles, State of California, hereinafter referred to as "Lessor," and the ARCADIA
CHAMBER OF COMMERCE, a non - profit California corporation, hereinafter referred to
as "Lessee," with respect to that certain Lease by and between Lessor and Lessee
executed in or about December, 2011 (the "Lease ").
Lessor and Lessee agree as follows:
1. AMENDMENT OF SECTION 7 OF LEASE CONCERNING WASTE, Section
7 of the Lease is amended to read in its entirety as follows:
" 7. WASTE. Lessee shall neither cause nor permit any waste to be committed
upon the premises and said property and shall keep said property at all times in a neat
and orderly condition, free of debris and refuse. Lessee shall at its own expense pay
any and all possessory interest taxes and other taxes, pay for all utilities, and repair and
maintain the interior (e.g., utility systems, floors, walls, ceiling, windows, HVAC system),
and at its own expense shall repair all damage thereto from any cause whatsoever
resulting. Lessor shall repair and maintain at its own expense the landscaped areas on
said property, including trees, shrubs, turf, grass, irrigation, and the parking lot surface,
striping, lighting, building roof and structure. Notwithstanding any provision in this
Lease to the contrary, Lessee may remove and thereafter shall replace, solely at its cost
and expense and without causing cost or expense to Lessor, one or both of the signs
presently located on the property, subject to the requirements set forth in Section 10 of
this Lease. In the event Lessee removes and replaces one or both of the signs, Lessee
shall thereafter be solely responsible for the cost and expense of repairing and
maintaining such signs, without causing cost or expense therefor to Lessor. Lessee
shall provide to Lessor written notice, and obtain approval of Lessor, in advance of any
repair or alteration involving trenching on the property or electrical panels inside the
structure on the property resulting from the replacement of one or both of the signs."
2. AMENDMENT OF SECTION 10 OF LEASE CONCERNING
ALTERATIONS. Section 10 of the Lease is amended to read in its entirety as follows:
"10. NO ALTERATIONS. Lessee shall cause neither structural alterations to be
made to any building, nor alteration, removal or replacement of any sign, on said
property without prior consent of Lessor's City Council upon such terms and conditions
as Lessor's City Council may prescribe; nor shall Lessee either cause or permit any
other work to be performed upon said property or the improvements thereon for which a
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lien for labor or materials may be lawfully filed without the prior consent of Lessor's City
Manager and upon such terms and conditions as he or she may prescribe."
3. REAFFIRMATION OF TERMS AND PROVISIONS OF LEASE. Except as
otherwise expressly set forth in this Amendment No. 1, Lessor and Lessee hereby
reaffirm all terms and provisions of the Lease.
IN WITNESS WHEREOF, the parties hereto have executed the within instrument
the day and year first hereinbefore set forth.
CITY OF ARCADIA
"Lessor"
By:
Dominic Lazzaretto
City Manager
ATTEST:
in
City Clerk
APPROVED AS TO FORM:
By:
Stephen P. Deitsch
City Attorney
z
ARCADIA CHAMBER OF COMMERCE
"Lessee"
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Executive Director
President