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HomeMy WebLinkAboutItem 8.1 TVCVB AgmtSUBJECT: ATTACHMENTS: CITY CLERK File# 600-30 AGENDA STATEMENT CITY COUNCIL MEETING DATE: August 7, 2001 Agreement with the Tri-Valley Convention and Visitors Bureau (TVCVB) Report Prepared by: Christopher L. Foss Economic Development Director 1. Draft agreement with the TvcvB RECOMMENDATIO~hat the City Council approve the proposed agreement and authorize the City Manager to execute the agreement. FINANCIAL STATEMENT: The TVCVB funding of $65,024 was approved in the FY 2001-02 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 Tri-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 City of Dublin has supported the Th-Valley Convention and Visitors Bureau (TVCVB) through a financial stipend since 1996. The activities of the Th-Valley Convention and Visitors Bureau have recently come under public scrutiny with the resignation of the TVCVB's President and CEO amid allegations of financial imprOprieties. In an attempt to address certain issues that have arisen about the operation of the TVCVB, staff from the four member cities have agreed that a "model agreement" should be developed to formalize the expectations of the TVCVB and to institute additional internal financial controls. The proposed agreement addresses TVCVB responsibilities in several areas, including financial record keeping and reporting, annual audits, and oversight responsibilities of the TVCVB Board of Directors. The proposed agreement calls for the preparation of an annual Program Budget (with certain performance dates) and detailed monthly financial reports, as well as an annual audit of the TVCVB's financial records, instead of the current 3-year audit cycle. The proposed agreement also provides for City representation by the City's Administrative Services Director on -the TVCVB's Finance Committee to review the organization's finances. The City will also disburse funding twice each year. Staff from the four member cities have reviewed their individual contracts with the TVCVB and have agreed that the standardization of a~eements will help to formalize the City's relationship with the H/cc-forms/agdastmt. doc COPIES TO: ITEM NO. TVCVB and will provide controls on the expenditure of the City's financial contribution. A similar agreement was approved by the San Ramon Redevelopment Agency on July 31, 2001. Staff is confident that the Board of Director~ of the TVCVB, which is made up of fifteen (15) volunteer representatives of the Tri-Valley's hospitality industry (Dublin is represented by Outback Steakhouse), is taking their responsibilities to protect the public funds invested in their organization very seriously. 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 Tri-Valley Convention and Visitors Bureau, and authorize the City Manager to execute the agreement. AGREEMENT WITH TRI-VALLEY CONVENTION & VI SITORS BUREAU THIS AGREEMENT is made and entered into this day of August, 2001, 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"). WITNESSETH: 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 2001-2002 to assist it financially in providing specified community services. C. The Th-Valley Convention 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 matehals, 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, 2001 through June 30, 2002. 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 Th-Valley area. City has allocated for fiscal year. 2001-02 the sum of $65,024 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 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 representative) 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 reporting 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) 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 Agreement 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 terminate, d, 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, injm-y, 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 100 Civic Plaza Dublin, CA 94568 TVCVB 260 Main Street 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 Agreement. This writing constitutes the entire Agreement between the parties relative to the services and modification-hereof shall not be effective unless and until such modifi cation 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 Kay Keck, City Clei'k By: Richard C. Ambrose, City Manager APPROVED AS TO FORM: TRI-VALLEY CONVENTION AND VISITORS BUREAU Elizabeth Silver, City Attorney (TVCVB FY02 contract. DOC) By: Chairperson, Board of Directors