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Home My WebLink About4.07 TVCVB Agmt CITY CLERK File # 600-30 AGENDA STATEMENT CITY COUNCIL MEETING DATE: July 2, 2002 SUBJECT: Agreement with the Tri-Valley Convention and Visitors Bureau (TVCVB) Report Prepared by: Christopher L. Foss Economic Development Director ATTACHMENTS: 1. Draft agreement with the TVCVB 2. TVCVB FY 2002-2003 Budget RECOMMENDATION: ~..~-Approve the proposed agreement and authorize the City Manager to ~\~· execute the agreement. FINANCIAL STATEMENT: The TVCVB funding of $63,807 was approved in the FY 2002-2003 budget. DESCRIPTION: For the past several years, the City of Dublin has provided financial support to the Th-Valley Convention and Visitors Bureau's (TVCVB) efforts to market the Th-Valley to convention and tourist travel. The TVCVB serves the cities of Dublin, Livermore, Pleasanton and San Ramon as a liaison between potential visitors to the Th-Valley and the hospitality businesses that will host them, and acts as the information clearinghouse, convention consultant, and promotional marketing agency for the area. The proposed agreement with the TVCVB formalizes the expectations of the TVCVB and addresses responsibilities in several areas, including financial record keeping and reporting, annual audits, and ov. ersight respOnsibilities of the TVCVB Board of Directors. The proposed agreement calls for the preparation of an annual Program Budget (see Attachment 2) and detailed monthly financial reports, as well as an annual audit of the TVCVB's financial records. The proposed agreement also provides for City representation on the TVCVB's Finance Committee to review the organization's finances. The City will also disburse funding twice (July and January) each year.. Staff believes that the proposed contract and its financial control mechanisms will protect the City's interests in assuring that the services for which the City of Dublin contracts with the TVCVB will be delivered. RECOMMENDATION: It is recommended that the City Council review and approve the proposed agreement with the Th-Valley Convention and Visitors Bureau, and authorize the City Manager to execute the agreement. COPIES'TO: ITEM NO. H/cc-forms/agdastmt.doc AGREEMENT WITH TRI-VALLEY CONVENTION & VISITORS BUREAU THIS AGREEMENT is made and entered into this day of July, 2002, by and between CITY OF DUBLIN, a municipal corporation (hereinafter referred to as the "City"), and TRI- VALLEY CONVENTION & VISITORS BUREAU, a non-profit corporation (hereinafter referred to as "TVCVB"). WITNES SETFI: A. TVCVB has qualified to receive City funds to provide community services as stated in this Agreement. B. In the judgment of the City Council, it is appropriate and advisable to provide money to TVCVB for fiscal year 2002-2003 to assist it financially in providing specified community services. C. The Th-Valley Conventi°n and Visitor's Bureau (TVCVB), formerly known as the Pleasanton Convention Visitors Bureau (CVB) has expanded its services to include businesses in the Cities of Livermore, Dublin, ~and San Ramon. The City of Livermore, the City of Pleasanton, and the City of San Ramon, have agreed to participate in the TVCVB. Each city has separate contracts, agreements, and conditions. The City and TVCVB agree as follows: NOW THEREFORE, in consideration of the mutual covenants, the parties agree as follows: 1. TVCVB's Services. TVCVB shall attempt in good faith to provide services and furnish the necessary materials, supplies, facilities, and personnel to promote the City of Dublin by increasing convention and visitor trade in Dublin, encouraging Dublin hotel use, supporting special events in Dublin, and performing services that assist Dublin businesses. The TVCVB has the right to act independently regarding funding and related contract issues. 2. Sufficiency of TvcVB's Services. The City's Administrative Services Director shall monitor and review the level of funded services provided during the term Of this contract and shall submit an annual review of the TVCVB's services to the City Council. 3. Term. TVCVB shall attempt in good faith to provide such services stated above during City of Dublin's fiscal year, July 1, 2002 through June 30, 2003. 4. Allocated Funds: The City's financial contribution to the TVCVB is based on a formUla by which each member City contributes its share based on the number of that City's hotel rooms compared to the total hotels rooms in the Tri-Valley area. City has allocated for fiscal year 2002-03 the sum of $63,807 to the TVCVB. City funds shall be disbursed twice each year (July and January) and these funds are not be used for any of the following without the expressed written consent of the City: Donations Political Contributions - 9 ATTACHMENT 1 Gifts Non-business related travel . _ Non-budgeted items _ Depreciation expense of equipment _ Funding for projects requiring matching funds or projects presently supported in part by City funds that would, in effect, result in duplicating City funding. 5. Financial Records and Reports. A. The TVCVB shall be responsible for preparing and maintaining accurate and adequate financial records on a timely basis. B. All financial records shall be made available to the City's Administrative Services Director (or his/her designated r~presentative) upon request during normal working hours. C. The TVCVB's Chief Executive Officer will prepare or cause to be prepared a monthly financial report to the Board of Directors of the TVCVB. D. The Monthly Financial Report shall include at a minimum the monthly check register, copies of the most current month's bank statements, and a worksheet containing monthly and year to date, actual line item revenues and expenditures compared to budgeted line item revenues and expenditures. E. The TVCVB's Chief Executive Officer will prepare or cause to be prepared an annual Program budget for consideration by City members by March 1 of each year (Section 5, Article IX of the TVCVB By-Laws). The proposed budget will be reviewed by a committee made up of City Managers, or their designees, from each contributing city no later than March 30 of each' year. The review of the budget will suggest the level of funding each City Manager will recommend to his or her City Council during the regular budget process, should such funding be recommended. 6. Audit. A. The TVCVB will contract annually with an Independent Auditor for a financial audit. B. The TVCVB will proVide the City with a copy of the audit by October 1 following the close of the fiscal year on June 30. 7. Oversight Responsibilities of the Board. A. The City and TVCVB Board recognize and agree that with the minimum staffing of the TVCVB, the Board must play a significant role in the internal control structure of the financial operations, and must help ensure the proper use and re~orting of City funds. B. The TVCVB shall have in place a Finance Committee at all times. C. The Finance Committee will consist of the Board Treasurer, the Chief Executive Officer, and at least two other Board 'members. One or more City staff representatives (ex. Administrative Services Director), including Financial Officers, may (if one or more City wishes representation) also serve on the Committee. D. The Finance Committee will meet no less than twice per year to review the annual budget, the financial audit, and financial records as necessary and prudent, and to help ensure appropriate internal controls. 8. TVCVB'S Status. In the performance of the services set forth in this agreement, TVCVB shall have the status of an independent contractor and TVCVB shall not be considered to be an employee of the City for any purpose. All persons working for or under the direction of TVCVB are its agents, servants, and employees and are not agents, servants, or employees of the City. 9. Termination of A~reement by Ci .ty. The City may terminate this agreement at any time by mailing a notice in writing to the TVCVB that the City will no longer provide funding. The agreement shall then be deemed terminated, and no further funding shall be required to be allocated by the City for TVCVB. The money allocated to TVCVB may be apportioned either by the number of months or services provided by TVCVB, if the funding is terminated. 10. Indemnify and Hold Harmless. TVCVB shall defend, indemnify, and hold harmless, the City and its officers, and employees from and against all claims, losses, damage, injury, and liability for damages arising from errors, omissions, negligent or wrongful acts of the TVCVB in the performance of its services under this Agreement, regardless of whether the City has reviewed and/or approved the services which have given rise to the claim, loss, damage, injury or liability for damages. 11. Notices. All notices herein required shall be in writing and shall be sent by certified or registered mail, postage prepaid, as follows: Ci.ty of Dublin TVCVB 100 Civic Plaza 260 Main Street Dublin, CA 94568 Pleasanton, CA 94566 12. Conformance to Applicable Laws. TVCVB shall comply with all applicable Federal, State, and City laws, rules, and ordinances. No discrimination shall be made by TVCVB in the employment of persons to work under this contract because of race, color, national origin, ancestry, sex, or religion of such person. 13. Scope of A~reement. This writing constitutes the entire Agreement between the parties relative to the services and modification hereof shall not be effective unless and until such modification is evidenced by a written amendment signed by both parties to this Agreement. THIS AGREEMENT executed the date and year first above written. ATTEST: CITY OF DUBLIN By: Kay Keck,'City Clerk Richard C. Ambrose, City Manager APPROVED AS TO FORM: TRI-VALLEY CONVENTION AND VISITORS BUREAU Elizabeth Silver, City Attorney ~/ajuperson, Board of Directors TrI-Velie¥ Convention & Vl$1tore Bureau Program Bu4get Breakout 2002-03 200~-02 Change v~ Comments Estimate Buret Budget ~st Programs 1. Even~MembershiP 13,645.00 8.000.00 5.645.00 Ti~ke~boo~ s~es pay for ex~ns~ Hosting E~nts CVB ~n~hee~ Re.al Charges 250.00 Catering 3.375.00 Promotional items 520.00 Professional Sewlces 500.00 Suppilss 3,00C SEtppin~s~ge 30~ Miteage 30.O0 Fail Edu~tlonal Mixer 10/02 Renal Ch~s 150.OD CateHng 100.00 ~pltes 30.00 Mi~age Regina! Mixer R~ Cha~es 90C ,00 Catering 4,000,00 S~pplles 150.00 Mileage 20.00 Spring Educational M~er 4~03 Rental Charges 150,C0 Catering 1 D0 Supp[i~ 30.00 M~eage 20,00 ~ard Retreat 3,600.00 3.600.00 0.00 Professionat Seres 1.7~ Rental Charges 350.00 Catering 600 Prom~onal Items 600.00 Su~lies 300.00 M~teage Memb~ship Solicitation 6,315,00 2,500.00 3.8~5.03 Previously only covered at~ndance E~nt Affendance Rents. Char~ 1,0t5,00 Printing 200,00 Shippin~Pos~ge 2,300.00 Supplies 2,0OC ,00 Mileage 300.00 ViCtors Gui~e 2,70G.00 O.0D 2,700,00 Not line ilem in previous budget Shippin~ostage 2,700,30 Dl~ing Guide 170.00 0.DO 170 00 Not line item I~ previous budget Pml~sio~ Se~oes (temp. ~ d~y) 135.D0 Mileage 35,D0 Newsletter (6xinet) 7,11~,00 ~.00 7,110.~0 Not line item in previous budget Prin~ng 1,800.00 ShipplngiPoslage 3,0~0 Professional Sewi~s Supp,i~ 1,710.~0 Spsaking Engage~nis 150.00 O,C0 160.00 Not line Earn in p~ous budget M~eage ~ 50.00 Tli-Vallay CVB Program Budget FY July 1. 2002 - June 30, 2003 Pa[~el ATTACHMENT 2 Brsaku ut 20 02.0 3 2001 - 02 Change vs. CommentS Estimate Budl~et Budget 1, E~,ent=/Membershlp {=ontlnued) PleasBnton Downto~ Walking Tours (with PDA and Chsmbar 2x/year) %200.00 0.00 1.20C.{)0 Not line item in previous budget Supplie~ 40.00 Shipping/Postage 40 Catering ~, ,1 ~0,00 Wheels Bus Tours of the Valley BO,00 0.00 80.00 Not line item In previous budge[ (2xlyea~') Supplies 40.O0 Shipping/Postage 40 Visitor InformetlontServt=lng 3,760.00 (~,00 3,760.00 Not line item In previous budget Supplies 65.00 Shipping/Postage 3,695,00 Subtotal Expenses: 38,730.00 14,100.00 24,630.00 Estimated Staffing Costs: Percentage of Time/Related CompensaEon: Executive Director - 35% 22,400,00 -=vents ;~ Mamt~ershiplSports Corem - 75% 28.500,00 Director Sales & Mklg - 15% 7,050.00 Sales Manager - 7% 2,520.00 .~;~les/VisitDt Coordinator - 20% 4.OO0.DO Administrative AsstJOifioe Mgr - 15% 4,200.00 Benefits: 13,597.00 Subtotal Sterling: 82,267.00 0.00 Total Evenls/Mbt's'np. Expenses: 120,997.00 14,100,00 T~i-V~lley CVB Program Budget FY July 1 2002 - June 30. 2C03 Page2 Breakout 2002-03 2001-02 Change vs~ Comments EstLmate Budget Budget Last FY 2. Setes& Marketing TraCte Shows ~6,115.00 14,o00.00 12,175.00 Only fees estimated previously CSAE Sa=ramento Trade Show Fees 650.00 ' 70.00 Travel Supplies 170. Pramo'Joflal Items 550,00 Meals & Entertainmen[ 25.00 .qhipping/Pastage 155.00 Rental Charges 220,00 NCC:viP[ Santa Care Trade Show' Fees 650.00 Travel 130.00 Supplies 315,0o PrOmotional Items 550.00 Meals & Ente~.ainment 40.00 Shipping/Post, ge 225.00 Rental Charges 380.00 GalTIA SF/Napa Trade Show Fees 1,990,00 Travel Mi~,ege 55.00 Supplies 50.00 Meals & Entertainment 100.00 Rental Charges 300.00 N'rE Shows Trade Show Fees 1,440,C0 Travel 530.00 Mileage 15.()0 Supplies 100,00 ShippmgJPestage 200.00 Meals & Enlertainment 150.00 Rental Charges 300.00 HSMAI Trade Sho~ Fees 1,900,00 Travel 130,00 Supplies '~00,00 Pramatioeai Items 100.00 Meals & Entertainment 100,00 Rental Charges 300.00 SF Ma~4e~r Trade Shew Fees 420.00 Tr~vel 30.00 Mileage 35.00 r~eals & Entertainme~.t 20.00 NT^ Trade Show Fees 2,010.D0 Travel 1,720.D0 Supplies ~00,30 Meai-~ & Entertainment 500.00 Sh[pplngtPeatage 200.00 MPilSacramen[o T~ade Show Fees 250.00 Travel 20.00 Mileage 75.00 Supp'ies ~OO,00 PromOtional Items 800,00 MeaLs & Entertainment 25.00 Shipping/Postage 135,OO RenLal Charges ! 50.00 Tli-Val~ey CVB Piogram Budget FY July 1 2002 -June 3(~, 2003 Page3 Breekout 2002-03 -2001~02- Cltahge'v~ Comments Estimate BUdget 'BUciget ' 'L~st-'FY 2. Saiss& Marketing (eontlnued) Pow Wow Trade Show Fees 4,000.00 Travel 1,560.0~: Supplies 155.00 Meals & Entertainment 350,00 Phone 1 C.0 .O0 · Slapping/Postage 400.00 Rental Charges 450.00 EBM'rG National Press Tours 17,150.00 0.00 17,150.00 Not line item in prevfous budget (2x/year) Professional Serviaes 15,000.00 Catering 1,500.0.3 Mileage 150,00 Promotional Items 400.0.3 Supplies 100.00 Hotel DOS/GM Meetings (4x/year) 350.00 0.0O 350,00 Not line item in previous budget Buppi~es 350.00 Sales Calls/Telemarketlng 1,500.00 0.00 1,500.00 Supplies 1,5D0,00 Advertising 35,000oD0 35.000.0C 0.00 Design Fees 10.000.00 ' One time expense Advertising Placement 25,030,00 Brochures 20,000.00 12,000.00 8,000.00 Design Fees 7,500.00 ' One time expesse Printing ;2.500.00 Web Site 16.200.00 0.00 18,200.00 DeSign Fee (Redesign Website] 15.000.00 ' One time expense Computer Services (Maint, & Hosting) 3,200.00 Admlnistraltve Costs: 1g,300.00 Promotional Ilems 8,000.00 21,500,00 [13,500.00) Spread ~)ut ~ver other programs Dues & Subeerlptions 7,000.00 6.500,00 500.00 Profe~lonal Industry Conferences 4,000.00 3,600,00 40O.0D Subtotal Expenses: ". 37.375.00 92,6C10.00 44,775,00 Estimated Staffing Costs: Percentage of Time~Related Compensaf, ton Executive Director- 35% 22,400.00 Events & IVleml~ership/Sperts Corem - 7% 2,660.00 Director Sales & Mktg - 80% 37,600.00 Sales Manager - 90% 32.400.00 SaleslVtsit=r CDordinat~r - 75% 16,000.00 Administrative Assr/Office Mgr - 5% 1.400.00 Be,refits: 22,069.00 Subtotal Staffing: 133,52g.00 0.00 Total Bales & Marketing Exper~ses: 270.g04,00 g2, S00.00 Tri-VaJley CVB Program Budget FY Juy 1, 2002 - June 30, 2003 Page4 B reako ut :20 02- 0 :~ 2 0 (~ 1 - 02 Change vs, Commants Estlmate 5[lidget Budget '~aet FY 8,500,00 3. Film Commission AFC~ Membership D~es 530.{~0 Membership Dues 500.00 LocationS F~tm Tra6e Sho,a 2,300.00 Trade Show Fees 1 .~.00,00 Travel (1 person x 2 days) 750.00 · PromoUonaJ items 200.00 Meals & Entertainment 250,00 Brochures 1,500.00 Design Fees 500.OD * One time e~pense Printing 1,000.0D Film Location Library 2,400.00 C=mputer Services [k6aintenen~e on 1,100.00 we~oslte database and CD Creation) Supplies S00.00 Shipping/Postage 50D,00 Subtotal Expenses: 6,700,00 8,50g.00 (1,800,00) Lower budget for supplies, promo. Item= Estimated ~taffing Costs: Percentage of Time/Related Cornpensatfon Executive Oire=tor - 5% Events & Membership/Sports Corem - 2% Director Sales & Mktg · 0% 0.00 Sales Manager - 0% 0.00 Sales/Visitor Coordinator - 2% 400.00 Administrative ^sat/Office U[gr - 2% 56CL00 Benefits 4.9~4.00 Subtotal Stalling: 9,854,00 0.00 Total Film Comm. Expenses: 16,554.00 Tri-Vslley CVB Program Budget FY July 1, 20:~2 - Page5 Btsakeut 20 02-0 ~1 20 01.02 Change v~ comment~ ~stlmate Budget Budget 4, sports Commission NASC Membersl~ip §00.~O 0.00 500.00 Membership Dues Teams 2002 Tra~le Shew/ 3.940.00 0.00 tlASC Sports Event Sympoisurr Trade Show Fees 2'1'c'0'00 Trays! (1 person x 3 days) 1,400.00 Promotional Items 200.00 Meals & Entertainment 150.00 Brochures 12,000,00 0.00 Design Fees 7,000.00 ' One time expense Printing 5,000.00 Rdvertialng 1,200,00 0.00 Ad Ptacement %200.00 ~.dmlnlstrsfive Costs *,,230.00 0.00 Supplies 4-80.00 ~hippinglPost&ge 750 Subtotal Expenses: 16,870.00 0,0C' 18,870,O0 No budgs~ far FV 2001-200t Estimated St~fflng Costs: Ps.enrage of Time/Related Cstr]pensation Execut'[ve D~reoter - 5% 3,200.00 Events & ~emb~rsh~p/Sport$ Corem - 15% 5,700.00 Director Safes & Mk~ - 0% Sales Manager - 2% 720.00 Sales/Visitor Coordinatar - 2% 400,00 Administrative Asst/Office Mgr- 1% Benefits 2,03g.00 Subtotal Staffing= 12,339.o0 C.00 Total Sports Cornm.Expenses: 31,209.00 0.00 31.209.00 Ne =udget for FY 2001-2001 Tri-Valley CVB Program Budget FY'Jay 1, 2002 - June 30, 2003 Page6 B rea kout 2 0 0 2 -0 $ 2 0 01 - 0 2 Change v~. Com~nente ~$tirnsta rtudgel Budget Last 5, Prograro Adrotnistratlon SUpport 44,160.00 27,003.00 17,160.00 New lease agreement/rent increase Rent 8,500.00 5,500,00 0.00 Telephone 5,000.00 5,000.00 Repairs and M~intenance Leased Eqaiproe~t 16,000.00 12,000.00 4,000.00 Increase in rata 4,000.00 4,000.00 0,00 Utilities 200.00 5,000.00 {4,800.00} Spread out over other programs Mileage 6,303.00 ~,4,000,00 (7,6c~7,00) Spread out over other programs Supplies 5,000.00 10,500,00 f5,500.00) Spreac[ ou'~ over other programs Printing 2,200.00 9,500.00 (7,300.O0) Spread out ove'r other programs Shipping/Postage B,100.00 7,200,00 900.00 Rate has increased Accountin~,/psyroII 10,5{~0.00 10,5C0.00 0.00 Computer Services 5C0.00 0.00 500.00 Actua]a indicate neect for s budget Terop. Services 3,500.00 0.00 3,500,00 Annual Audit now required Professional Services 7,425.00 ~ 2130,00 1,225.00 Premiums 'nave increased Insurance Human Resource Education 2,500.00 2,500.00 0.00 0.00 200.00 {200,00) Ellroin~ing this category MiscelLea~ous Expense 0.00 12,000.00 (t2,000.00) Spread out over other prrograros Travel 0,00 7,500.00 (7,500.00} Spreao ou~ over ot'~er programs k,~eais & Entertainroent C, ap~t~l Expenditure 0.D0 6,500.00 [6,500.00) Subtotal Espenaes: 123,888.O0 ~48,100,00 (24,212.00) Estimated Stalling Coats: Percentage of Ttme/RalatsCl Gompensation ExeCUtive Di~'ector - 20% 12,600.00 Events & Membemhip!Spons Cororo . 1% SS0.00 Oirector Sales & Mktg- 5% 2,350.00 Sales kf~anager · 1% 380.00 Salss,.'Vlaltor C~ordtnator · I% 200,00 Administrative Ass'dOff]ce Mgr · 77% 24,550.00 Benefits: 8,049,00 Subtotal Stalfing.' 48.699,00 308,951.00 (260,252.00) FY 2001-2002 aroount reflects ~ corop/benefits lot AL[. staff Total Prgm A~min. Supp. Expenses: 172,587,00 457,051.00 Tri-Vailey CVB Progrsro Budget FY ,July 1, 2002 - June 30, 2003 Page7 Breakout 20 02-03 2001-02 Change va Comments Estimate Budget Budget L~it FY B!JDGET ~IMMAR¥ Revenue 40% 195,330.00 205,261.g0 (5,931 Grams P, easanton 25% 122,707.00 115,975.00 6,732.(;0 Grants Liverrnore 13% 63,507,00 65,024,130 (1,217.00) Gren[~s Dublin 22% 107,9B2.00 98,991.00 8,991.00 Crania San Rarrcm 31,000.00 Addificna~ FundTcg/Oue Frorr Lisa D~&I 40,000.00 9,000.00 68,000,00 65~000.O0 3,000,00 Membership Dues 13.425.00 13,00C.00 425,00 pmjeete~ Program Income' Total Revenue: 612,251.00 572,251.00 40,000.00 f-Eventa/1Viembershlp Projected Ln¢ome '13cket .Ssles- LJzn=he~n ($40 x 125) 5,O00.00 Ticket Soles - Regional ($15 x 300} 4,500,00 Booth Soles - Regional ($150 x 10) !,50g.00 Newsletter Inserts (~50 ea x 35) 1,800.00 Ticket Soles o Walking Tour ($15 x 25} 375.00 Ticket Soles - Wheets Tour ($10 x 25) 250.00 Expenses 1, Events/Membership 120,997.o0 14,100.00 2. Sales & I~lerketing 270,g04.00 92°900,00 3, Film Commission 15,554.00 5,500.00 4, Sporls CommiSSTon 31,209.00 0.00 5. Program Acilnln~stration Support !72,657.00 457,051.00 Total Expenses: 612.251.00 572,251.00 40,0,30.00 *Dtflerenee represents one time expenses, Inclu61ng: Sales & Marketing program: ^dvert[s[ng Design Fees: $10,000 Brochures Design Fees: $7,500 Web Site Design fees: S~5.005 FiJnt Commission Program: Broet~ure Design Fees: S500 Sports Commiseio~ Program'. Brochures Design Fees: $7,000 TH.Valley CVB Program Budget ~ July 1, 2002 - June 30, 2,303 Page8