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HomeMy WebLinkAboutItem 4a: Agreement with Arcadia Chamber of CommerceSUMMARY DISCUSSION The Chamber has been providing certain services as follows: STAFF REPORT Arcadia Redevelopment Agency DATE: June 15, 2010 TO: Mayor and City Council FROM: Jason Kruckeberg, Assistant City Manager /Development ServicesZ/c. Director By: Jerry Schwartz, Economic Development Managerf SUBJECT: AGREEMENT FOR SERVICES WITH THE ARCADIA CHAMBER OF COMMERCE FOR FY 2010 -2011 Recommendation: Approve The Chamber of Commerce assists the City's economic development and marketing function pursuant to an annual Agreement for Services contract. The Chamber's proposed services and budget for the FY 2010 -2011 are provided for reference as attachments. The Chamber has requested a continuation of the contribution provided by the City and Agency ($62,000) for services to be provided by the Chamber in 2010- 2011. Staff recommends approval of the Agreement for Services with the Chamber for FY 2010 -2011 (Attachment A). 1. Provides reference and referral information about the City to brokers, realtors, merchants, business operators, interested public, and new Arcadia residents. 2. Prepares the monthly Community Calendar /newsletter (distributed by e- mail), and prepares, prints, and mails quarterly newsletters to members and the City. 3. Prepare the annual Arcadia Business Directory (next issue, fall 2010), the annual Arcadia Civic Directory, and a City map every three years (due in 2010 - 2011). 4. Organizes and operates an annual Business Expo and possibly up to two additional Expos (i.e., Health, Fitness & Safety, Home Improvement, Environmental, Senior Information) to showcase City businesses, and provides the City with one or more tables at each event at no cost. 5. Organization and Staff support for the monthly Government Affairs Forum, Ambassador Club, Strategic Planning Committee, Asian Business Outreach Committee, Business Networking breakfasts and mixers. 6. Promotes and manages the annual Taste of Arcadia event, which has become a signature event for the City. 7. Organize and publicize at least five seminars and training sessions for merchants and business members through groups that include, Small Business Administration (SBA), San Gabriel Valley Economic Partnership (SGVEP), Women at Work, Foothill Workforce Investment Board, and other governmental and educational programs. 8. Works with members and local businesses on ideas to enhance the Gold Line station, and to develop an Art in Public Places program for Arcadia. 9. Works with City Staff to promote the "Shop Arcadia" campaign, promoting the benefits of keeping sales tax dollars in the community. 10. Prepares and submits an annual performance report regarding their activities. One of the new Chamber initiatives for 2010 -2011 is to work with local businesses to create business associations in Downtown, West and South Arcadia. In addition to the $62,000 annual agreement, the City also subsidizes the Chamber's annual rent at the City -owned facility at 388 West Huntington Drive. The current lease agreement is for five (5) years beginning December 13, 2006 and expiring December 12, 2011. The City can terminate the lease upon twelve (12) months notice to the Chamber. FISCAL IMPACT A total of $62,000 ($31,000 in General Funds; $31,000 in Redevelopment Agency Funds) has been included in the FY 2010 -2011 budget. The City also provides below market rent for the City -owned Chamber offices at $400 per month. RECOMMENDATION That the City Council authorize the City Manager to enter into an Agreement with the Arcadia Chamber of Commerce for $62,000 for Fiscal Year 2010 -2011 as shown in the attached Agreement for Services (Attachment A). Staff Report June 15, 2010 Page 2 of 3 Approved: y,a4e0 Donald Penman, City Manager Attachment A: Agreement for Services, FY 2010 -2011 Attachment B: May 18, 2010 Letter from Chamber President and Executive Director Attachment C: Chamber Budget Staff Report June 15, 2010 Page 3 of 3 ATTACHMENT A AGREEMENT FOR SERVICES FY 2010 -2011 RECITALS AGREEMENT FOR SERVICES FY 2010 - 2011 City of Arcadia and Arcadia Chamber of Commerce This Agreement for Services ( "Agreement ") is entered into this 1 day of July, 2010 by and among the Arcadia Chamber of Commerce ( "Chamber"), a not - for - profit organization, the City of Arcadia ( "City "), a municipal corporation and charter city, and the Arcadia Redevelopment Agency ( "Agency "), a public body, corporate and politic. A. The City, the Agency, and the Chamber have long cooperated on areas of mutual interest to the Arcadia civic and business community. B. The Chamber has provided numerous economic development and marketing services to the City and Agency. C. For many years, the City has provided to the Chamber at a below market lease rate the full use of the City -owned building at 388 W. Huntington Drive, Arcadia in recognition of its services to the City, and in 2009 - 10 has further contributed $62,000 to the Chamber as the City's share of the cost of the economic development and marketing services provided that fiscal year by the Chamber, which we would propose to continue for FY 2010 —2011. D. The City and the Chamber have previously extended the Lease between the City and the Chamber, for five (5) years to December 12, 2011. E. The City, the Agency, and the Chamber desire to memorialize their relationship for the fiscal year 2010 -2011. F. The City desires and intends to pay the Chamber the amount of $49,600, and the Agency desires and intends to pay the Chamber $12,400 in FY 2010 -2011 for the business, economic and civic promotion services set forth in Attachment A. G. The Chamber desires and intends to provide the City and the Agency the business, economic, and civic promotion services set forth in Attachment "Al and A2 ". AGREEMENT Now therefore, the City and Chamber do hereby 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 the Agency, 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 assist the City and the Agency in their economic development, civic promotion, and marketing efforts by providing the services and materials to the City and the Agency set forth in Attachment "A" to this Agreement, which is made a part hereof. 3. Within five (5) working days after May 1, 2010, the Chamber shall submit to the City and Agency a progress report describing their performance under this Agreement for the period July 1, 2009 to April 30, 2010. B. Responsibilities of the City and Agency 1. The City and Agency shall assist the Chamber in its business service and development efforts by means of the City leasing to the Chamber for the remainder of the term of the lease described in the Recitals hereof, and any extension, the facility at 388 W. Huntington, and by providing, in the aggregate $62,000 to the Chamber for 2009 -2010 for the products, economic development & civic promotion services set forth on Attachment «A„ C. Review and Inspection of Chamber records 1. The Chamber shall provide to the City and Agency a complete and accurate financial statement of the Chamber by September 30, 2010 for the previous fiscal year ending June 30, 2010, and by September 30, 2011 for the fiscal year ending June 30, 2011. 2. The City and the Agency shall have the right to review and /or audit the records of the Chamber to verify that the Chamber's expenditures of the City's funds are consistent with this Agreement. For this purpose, the Chamber shall make available to the City and the Agency, and their representatives, all records of the Chamber for purposes of review and audit during normal business hours of the City, upon reasonable demand by the City and /or the Agency. D. Amendment 1. This Agreement may be amended by mutual written consent of all parties. E. Termination 1. This Agreement may be terminated by any party giving the others effective written notice of termination 180 days prior to the effective date of termination. The rights, duties and responsibilities of the City, the Agency, and the Chamber will continue for the period between the notice of termination and the effective date of termination, including any prorata portion of the agreed compensation. -2- F. California Law 1. This Agreement shall be governed by the laws of the State of California. G. Attorney's Fees. 1. Should a dispute arise between the parties to this Agreement resulting in legal action, the prevailing party or parties shall be entitled to an award of reasonable attorney's fees and costs incurred. In witness whereof, the parties have executed this Agreement as of the date first set forth hereinabove. CHAMBER: CITY: President Arcadia Chamber of Commerce City Manager City of Arcadia Approved as to form: City Attorney AGENCY: Executive Director Approved as to form: Agency Counsel Services Provided by Chamber of Commerce to the City of Arcadia and Arcadia Redevelopment Agency FY 2009 -2010 and Projected for 2010 — 2011 Attachment "A" The Chamber shall provide the following services to the City and Agency: Public Relations A. Maintain regular office hours with qualified personnel. B. Provide accurate and timely information and market the City and business areas to residents and business people who walk -in, phone, write, e-mail, or fax the Chamber. C. Prepare and maintain the monthly community calendar of civic group events. D. Provide as many new Arcadia residents as requested through the water dept 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, print and circulate the annual civic directory which lists all civic, cultural, social, educational, late than June 30, 2010 and June meeting dates, etc. (Due annually no une 30, 2011)n G. Through the Board and Committee structure (e.g., EXPO Committee, Govemment Affairs Forum, Asian Business Outreach Committee, Ambassador Club, Emergency Preparedness Committee, Strategic Planning Committee), 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. Prepare a tourist map of the entire City of Arcadia and provide as many copies to the City as needed Provide continued assistance to the City and Agency with the East Huntington Drive hotel /restaurant association, e.g., marketing information and materials, coordination of joint activities and programs with the City of Monrovia and the Monrovia Chamber of Commerce. II. Business Development -4- A. Under the Business EXPO Committee, organize and hold the annual "Business Expo" and possible additional EXPOs (Health, Fitness & Safety, Home Improvement, Environmental, Senior Living) to market their products and services to each other and to the community including hanging the Chamber /City banner. 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 (next due 2010 - 2011); provide as many copies to the city and Fire & Police Departments as needed. C. Prepare and print the "Business Directory' (next issue due fall 2010); 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., City Council Candidates forum, School Board Candidate Forum, 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 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. Prepare, print, and mail quarterly newsletters, and monthly email calendar /newsletter to members providing information on business activities and legislation; provide space for a City column; provide 20 copies to City. H. Work actively on business recruitment, expansion and retention efforts throughout the City, e.g., business CEO /Chamber /City official meetings. New hire is in the field everyday meeting our members and recruiting new members. Organize and publicize at least five seminars and training sessions for merchants and business members under SBA, SCORE, SGVED, Foothill Workforce Investment Board, Women at Work, and other governmental and educational programs. -5- J. Work to create business associations in Downtown, West and South Arcadia similar to the former downtown business association (ABA). Letters of invitation for a June meeting of downtown businesses to encourage the formation of an association will be sent soon. III. Government/Legislative 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. C. 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. Based upon historical experience, the Chamber will provide to the City the following approximate number of referrals and other services: Business License - 25 /month Senior Citizens /Recreation 150 /month Economic Development - 10 /month Planning /Building - 8 /month Public Works Services- 20 /month City Attorney - 2 /month City Clerk - 15 /month Maps and /or directions - 100 - 150 /month New resident and business Relocation packets - 30 /month Calls on Utilities (e.g., water, phone, gas, Electric, cable, trash) - 75 /month Civic Directory Information (Service Clubs, legislators Etc.) - 20 -30 /month New Programs and Services 2009 — 2010 Constant Contact email program for members; due to success of E -Waste pick -up program, we will continue to do more; Chamber travel programs, at least one a year; Tourist Board concept and marketing for Arcadia; Breeders' Cup, etc; 75 Anniversary and Diamond Jubilee; Historic marker for Chamber; more educational programs for businesses. Also, Shop Arcadia campaign, and the Gold Line Station upgrades, Art in Public Places, Arcadia Downtown Business Association creation — all began in 2009 -2010. ATTACHMENT B MAY 18, 2010 LETTER FROM CHAMBER PRESIDENT AND EXECUTIVE DIRECTOR email: arcadiac @pacbell.net I N MIII61MA II i ARCADIA CHAMBER OF COMMERCE 388 West Huntington Drive, Arcadia, California 91007 Tel: (626) 447 -2159 • Fax: (626) 445 -0273 www.arcadiachamber.com May 18, 2010 Mr. Don Penman, City Manager Members of the Arcadia City Council 240 West Huntington Drive Arcadia, California 91007 Re: Arcadia Chamber of Commerce & City of Arcadia 2010 -2011 Annual Agreement Dear Mr. Penman and Council Members: The Arcadia Chamber of Commerce is pleased to submit the enclosed annual performance report for services to the City for 2009 -2010 fiscal year, and the proposed budget for 2010 -2011. As a promotional and marketing resource for the business community, the second largest Chamber in the San Gabriel Valley, and the Information Center of Arcadia, it is our desire to continue a high level of professional, quality service to businesses, residents and visitors. Last year, the City of Arcadia invested $62,000 for services provided by the Arcadia Chamber. For the upcoming 2010 -2011 year, the Chamber is requesting that this investment remain the same payable in quarterly installments of $15,500 starting with the July 1, 2010 payment. The Chamber would very much like to continue in a partnership with the City, as it is to our mutual benefit in all areas. For the upcoming year, we plan to continue to focus on areas such as economic development, business relations and information, Asian business assimilation, educating and encouraging small businesses, focusing on legislative affairs, and the Shop Arcadia Campaign. Of special interest in 2010 -2011, the chamber is committed to resurrecting the Downtown Business Association. As a start, we have been intensely recruiting downtown businesses to join the chamber in the anticipation of the Gold Line Station being in forming district. mng a new downtown gather together those businesses to assist business organization. About eight years ago, we formed the San Gabriel Valley Legislative Coalition of Chambers of Commerce to address legislative issues pertaining to the viability of SGV business in general, and we continue to be currently very active in that group. We belong to the Economic Partnership, the Southern California Chambers of Commerce and several other chamber driven organizations. Our goal as always is to serve the City of Arcadia, the businesses & citizens. We think the variety of events that the Chamber hosts such as Taste of Arcadia, various Business Expos, Citizen of the Year, legislative forums, and many business related seminars, serve that purpose very well. The investment from the City will enable us to continue be the "Front Door" to the community — daily an average of some 40 inquiries are answered and /or referred to city departments, schools, businesses and organizations. The annual City investment will also aid in the research of new ideas and programs for business. We still interact with SBDC, SCORE, and SBA to offer consultations for businesses, and those looking for local employment. Invited to participate are both members and non - members Added commitments: Art in Public Places and Gold Line Station Enhancement, both have "grass roots" beginnings funneled through the chamber. Enclosed you will find a copy of the Chamber 2010 -2011 Proposed Budget. We appreciate your continued interest and support of the Arcadia Chamber of Commerce. Beth Costanza Executive Director ` Helen Romero Shaw President, 2010 -2011 Progress Report June1, 2009 — December 31, 2009 Arcadia Chamber of Commerce The Chamber has been very busy — many activities & accomplishments thus far. • Over 3,000 POWER OF CONNECTION Newsletters distributed & flyer inserts • Half of all business Chamber members were contacted • Web site receives thousands of visits each month • EXPO '09, Westfield, 32 booths, over 10,000 visitors • MAD Golf Tournament June 2009 • Chamber Business Awards Luncheon June — 85 attendees • Over 30 Chamber committee meetings • Chamber representatives attended over 29 various civic meetings & events • Hosted 7 "Third" Networking Breakfasts, over 280 attending • Attended monthly SGV Legislative Coalition meetings re: business legislation that the Chamber needs to exert influence • Government Affairs Forum met 7 times presenting informative speakers, elected officials' updates & recommendations regarding pending legislation • 8 Grand Openings, Ribbon Cutting Ceremonies 6 staff meetings • Cooperation with Arcadia Chinese Assn to increase inclusion of Chinese businesses in the Chamber membership • Assisted over 700 walk -in visitors with directions, information, maps, business referrals • Responded via phone, fax, email Internet t co thousands of requests for business referrals and information about • Prepared, mailed or delivered about 50 residential relocation packets • Provided thousands of tourist & visitor information brochures • Distributed over 200 business 350emembe businesses requests during the past 7 months • Ambassador visits /calls t o over • Boardroom rentals ranging from 1 hour to several days • SGV Economic Partnership participation • SCORE,SBA & SBDC counseling services • Added WIB and Women at Work counseling & educational services • Strategic Planning includes Budget/finance Committee • All members receive Pasadena Star News $3.50 per year when requested • 90 New Members in 2009 • Asian Business Night: Over 250 attending. Organized with Chinese Assn. • Gold Line Station /Bridge meetings, workshops, support at Metro Meetings, letters of support sent to Gold Line, Metro, etc. "Arcadia Chamber: Best "cheerleaders" for Gold Line in SGV." • Taste of Arcadia — Over 1200 attended and over 40 restaurants and wineries, breweries participated. Gold Sponsor: Santa Anita, Oak Tree & Breeders Cup • E -Waste pick -up in October: Over 60,000 Ibs of business & residential E -waste collected /diverted from our landfills. Progress Report December 1, 2009 — June 1, 2010 Arcadia Chamber of Commerce The Chamber has been very busy — many activities & accomplishments thus far. • Over 1,000 POWER OF CONNECTION Newsletters distributed & flyer inserts • Half of all business Chamber members were contacted • Web site receives thousands of visits each month • EXPO '10, Westfield, 36 booths, over 10,000 visitors • MAD Golf Tournament planned for June 10 • Installation Dinner & Citizen of the Year Award 150 Attendees • Chamber Business Awards Luncheon planned for July • Over 30 Chamber committee meetings held so far this year • Chamber representatives attended over 20 various civic meetings & events • Hosted 5 "Third" Networking Breakfasts, 195 attending • Attended monthly SGV Legislative Coalition meetings re: business legislation that the Chamber needs to exert influence • Government Affairs Forum met 5 times presenting informative speakers, elected officials' updates & recommendations regarding pending legislation • 4 Grand Openings, Ribbon Cutting Ceremonies 5 staff meetings • Cooperation with Arcadia Chinese Assn to increase inclusion of Chinese businesses in the Chamber membership • Assisted over 500 walk -in visitors with directions, information, maps, business referrals • Responded via phone, fax, email & Internet to thousands of requests for business referrals and information about Arcadia • Prepared, mailed or delivered about 50 residential relocation packets • Provided thousands of tourist & visitor information brochures • Distributed over 200 business packets to businesses requests • Ambassador visits /calls to over 300 members during the past 6 months • Boardroom rentals ranging from 1 hour to several days • SGV Economic Partnership participation • SCORE,SBA & SBDC counseling services • Strategic Planning includes Budget/finance Committee • All members receive Pasadena Star News $3.50 per year when requested • 43 New Members in the Past 6 months! • Concentrated efforts to reestablish a Downtown Business Association • Art in Public Places Committee was organized. • Past President council is forming: First Meeting, 5:30pm June 14, Chamber • Gold Line Station /Bridge meetings, workshops, etc. • MAD Golf Tourney set for June 10, a few openings for golfers still available. ATTACHMENT C CHAMBER BUDGET RECEIPTS: Chamber Member Dues New Member Dues Event Income Directory/Maps City of Arcadia Newsletter/Website Advertising Delegation Letters Pasadena News Promo Income - Other Interest Income TOTAL RECEIPTS DISBURSEMENTS: LABOR EXPENSES: Office Salaries & Wages Employer Payroll Taxes Payroll Service Outside Contracting (1099) Retirement Contributions Health Insurance Workers Comp Ins Long Term Disability TOTAL LABOR EXPENSES ALLOWANCES: President's Expenses Executive Director TOTAL ALLOWANCES OCCUPANCY: Rent Taxes & License Utilities Repair & Maintenance Custodian TOTAL OCCUPANCY INSURANCE.' Auto Director & Officer TOTAL INSURANCE X \ArcCofC \2006 Budget ARCADIA CHAMBER OF COMMERCE 2010- BUDGET 2008 -2009 90,000 18,000 118,000 5,000 62,000 6,000 5,000 500 8,200 4,000 316,700 140,000 11,800 1,400 200 6,800 12,000 1,200 5,400 178,800 1,350 3,000 4,350 5,800 2,400 3,400 1,200 1,920 14,720 1,200 3,800 5,000 ACTUAL 6/30/09 YEAR END 88,153 13,326 116,346 813 62,000 6,483 1,025 1,260 6,277 3,539 299,222 132,384 11,311 1,487 295 7,695 15,954 1,525 4,036 174,687 1,725 2,600 4,325 5,680 2,197 3,384 1,060 1,760 14,081 2011 BUDGET 1,137 3.140 4,277 PROPOSED BUDGET 2009 -2010 92,000 12,000 107,000 5,000 62,000 7,500 1,000 500 7,500 2,500 297,000 133,500 11,300 1,000 200 7,000 13,000 1,500 0 167,500 PROPOSED BUDGET 2010 -2011 90.000 12,000 107.000 5.000 62,000 6.000 1.000 4.200 1.800 289,000 128,000 10.900 1,400 100 7,500 15,500 1.300 164,700 1,500 1,200 1,800 1,800 3,300 3.000 5,000 4.800 2,300 2.500 3,400 3.500 1,000 500 1.900 1.800 13,600 13,100 1,100 1.000 3.200 4.200 4,300 5,200 ARCADIA CHAMBER OF COMMERCE 2009 -2010 BUDGET ACTUAL PROPOSED PROPOSED BUDGET 6/30/09 BUDGET BUDGET 2008 -2009 YEAR END 2009 -2010 2010 -2011 OPERATIONAL SERVICES: Telephone 5,400 5,246 5,500 5,200 Postage 7,500 4,870 5,500 5,500 Newsletter - Printing 9,000 6,137 5,000 6.000 Printing & Reproduction 1,000 692 1,000 1,000 Other Printing 1,500 2,945 1,700 500 Equipment Purchase 1,061 500 Equipment Rent 5,800 4,779 4,800 6.200 Equipment Repair 800 859 1,000 600 Accounting 6,000 7,450 4,800 4,600 Dues & Subscriptions 1,500 1,747 1,500 1,600 TOTAL OPERATIONAL SVCS 38,500 35,786 30,800 31,700 SUPPLIES: Plaques & Awards 1,000 693 1,000 500 Stationery & Supplies 4,000 2,795 3,000 2.800 Hospitality - 2,400 1,397 1,800 1,800 Computer Supplies 1,000 555 1,000 400 TOTAL SUPPLIES MISCELLANEOUS: Training & Conference Newspaper Expense Advertising /P rom o/W ebsite ComputerNVebsite Maint City Event /Program Expense License & Permits Contingencies TOTAL. MISCELLANEOUS X\ArcCofC\2006 -07 Budget 8,400 5,440 6,800 5,500 2,500 7.000 66.000 3,500 2,167 1,500 1,000 877 8.679 7,000 7.200 5,000 52,016 55,000 57,000 20 100 5,203 4,500 4.600 79,000 68,962 68,000 74,900 TOTAL DISBURSEMENTS 328,770 307,558 294,300 298,100 OPERATING INCOME (LOSS) (12,070) (8,336) 2,700 (9,100) Visionary Fund Receipts 10,000 5,550 5,000 3,000 Visionary Fund Disbursements (8.000) (5,000) (3.000) NET INCOME(LOSS) (10,070) (2,786) 2,700 (9,100)