HomeMy WebLinkAboutReso 95-155 - Approve funding agreement between COR & Eco Dev Corp for Industrial Promotion in the Redding Area During FY 1995-96 & AUthorize Mayor to sign 4
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FiESOtUTION ��r /��
A RESOLUTiOtV OF THE CITY COUPdCIL OF THE CITY OF REDDING APPROVI(dG
THE FUNDING AGREEMENT BETWEEN THE CITY OF REDDING AND THE
ECONOMIC DEVELOPNIEIVT CORPORATION FOR IIdDUSTRIAL PROnAOTiON IN THE
REDDING �4REA DURlPVG FISCAL YEAR 1995-96, APlD AUTHORIZING THE MAYOR
TO SIGN
IT IS HEREBY RESOLVED by the City Council of the City of Redding as follows:
1. The City Council of the City of Redding hereby approves the Funding Agreement between
the City of Redding and the Economic Development Corporation for industrial promotion in the Redding
area during fiscal year 1995-96, a true copy of which is attached hereto and incorporated herein.
2. That the Mayor of the Ciry of Redding is hereby authorized and directed to sign said
Agreement on behalf of the City of Redding, following approval by the Economic Development
Corporation Board of Directors, and the City Clerk is hereby authorized and directed to attest the
signature of the Mayor and to impress the official seal of the City of Redding.
I HEREBY CERTIFY that the foregoing Resolution was introduced and read at a regular meeting
of the City Council of the City of Redding on the 18th day of July , 1995, and was duly adopted
at said meeting by the following vote:
AYES: COUNCIL MEMBERS: P. Anderson, R. Anderson, McGeorge and Murray
NOES: C�UNCIL MEMBERS: Kehoe
ABSENT: COUNCIL MEMBERS: None
ABSTAIN: COUNCIL N�EMBERS: None
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DAVID KE , Mayor
City of ding
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A?i'EST: FORM APPROVED: `�
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CONNIE STF� � HMAYER, Clerk W. LEONARD WINGA , City Attorney '
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FUNDING AGREEMEfVT
THIS AGREEMENT, made and entered into this day of
1995, by and between the CITY OF REDDING,
a Municipal Corporation and General Law City, hereinafter referred to as "City," and the ECONOMIC
DEVELOPMENT CORPORATION, a non-profit corporation duly organized and existing under and by
virtue of the laws of the State of California, hereinafter referred to as "EDC":
WITNESSETH:
WHEREAS, the City Council of the City of Redding is empowered by the State of California to
appropriate and expend money from City funds for industrial promotion in the Redding area; and
WHEREAS, Ciry has no organized means of its own for conducting the systematic expenditure
of such funds so that City may receive the utmost benefit therefrom; and
WHEREAS, the EDC is particularly well equipped to administer a program for industrial promotion
of the City, including administration and marketing activities associated with the Shasta Metro Enterprise
Zone and Shasta Metro Recycling Market Development Zone; and
WHEREAS, the proposed Mariceting Program by the EDC is an extension of the EDC's business
recruitment project which began in 1980, together with effectuation of the Enterprise and Recycling
Market Development Zones, and will be a continuation and a re-emphasis of the commitment by the Ciry
of Redding and Shasta County to promote the area for new business growth; and
WHEREAS, this cooperative effort of the EDC and the City of Redding will provide a productive
and coordinated program for job creation, business development and Zone administration;
NOW, THEREFORE, IT IS HEREBY NiUTUALLY AGREED by and between the parties hereto
as follows:
1. The EDC does hereby agree during the term hereof to perform the task of industrial
promotion and Enterprise and Recycling Market Development Zones administration as outlined
in the Scope of Work attached hereto and incorporated herein by reference.
2. To partially offset the EDC's costs incurred in providing and maintaining said industrial
promotion and Enterprise and Recycling Market Development Zones administration, the City
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� agrees to pay the EDC for said services, as outlined in the Scope of Work and Budget Summary
attached hereto, and during the fiscal year 1995-96 the sum of One Hundred Twenty-six
Thousand Dollars ($126,000.00) total reimbursement upon submission of invoices to the City's
Director of Finance.
3. The EDC covenants and agrees to submit a summary statement of its income and
expenditures in the performance of its contractual responsibilities herein to the City's Director
of Finance at monthly intervals during the fiscal year 1995-96, and at the end of each fiscal year;
and further agrees to keep a full and complete account of its use of all funds received from City
and agrees to make such account available to City at any and all reasonable time, upon request.
4. The EDC does hereby agree to hold the City of Redding, its officers, agents and
employees, harmless from any and all actions, causes of action, claims, demands, and
damages, costs, loss of services, expenses, and compensation, on account of or in any way
arising out of City's expenditure of said funds to the EDC for industrial promotion outlined above.
5. The term of the Agreement shall be for a period of one (1) year commencing on July 1,
1995, and terminating June 30, 1996.
6. No member of ihe City Council or of any Board, and no officer or employee of City shall
be or become, directly or indirectly, financially interested in this Agreement or in the work or
business to be performed by the EDC as provided herein.
7. In providing its services, EDC will act as an independent contracto�, and no officer or
employee of EDC will be deemed an officer or employee of the City of any purpose.
8. This Agreement is granted upon the express condition that City shall be free from any
and all liability and claims for damages for personal injury, death, or property damage in any way
connected with EDC's services to be performed hereunder, including claims of EDC, its officers,
agents, employees, and members. EDC shall indemnify and save harmless City, its officers,
agents, and employees, from any and all liability, loss, cost, or obligation on account of or arising
out of any such injury, death, or loss caused by the negligence or other legal fault of EDC or its
officers, agents, employees, and members.
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�., 9. It is understooc�and a reed as a condition of this A ree•nt h
g g t at EDC shail, at its own
expense and at all times during the term of this Agreement, obtain from a company authorized
to do business in the State of California and keep in full force and effect public liability insurance
in the minimum amounts of $300,000 for injury or death to any person and $500,000 for injury
or death of more than one person in the same accident, and public liability insurance for property
damage in the minimum amount of$50,000.00; OR, in the alternative, a combined single-limits
policy in an amount of not less than $500,000.00. Said policy shall name City, its officers,
agents, and employees, as additional insured, and shall further contain a provision obligating the
insurance carrier to notify City in writing at least ten (10) days prior to any cancellation or
reduction of such insurance. A Certificate of Insurance evidencing such coverage and notice
requirement shall be approved by the Risk Manager of the City and filed with him prior to the
commencement of this Agreement.
10. It is further underst�ad and agreed as a condition of this Agreement that EDC will provide
workers' compensation insurance on its employees, and furnish the Risk Manager of Ciry with
a Certificate evidencing such insurance, to be approved by him, prior to the commencement of
this Agreement. Said Certificate shall contain a provision obligating the insurance carrier to
notify City in writing at least ten (10) days prior to any cancellation or reduction of such
insurance.
To obtain an exemption from this requirement should EDC have no employees, EDC shall
provide the Risk Manager of City with a letter stating that it is not employing any person or
persons in any manner so as to become subject to the workers'compensation laws of California
provided, however, that should EDC later become subject to the workers' compensation
provision of the Labor Code, it wi11 forthwith comply with the insurance requirements set forth
above.
11. In the event EDC violates the provision of this Agreement for any reason other than the
occurrence of circumstances over which it can exercise no effective control, and such violation
shall not be cured or remedied within sixty (60) days after notice thereof by City, in addition to
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-� any other remedies provided for in the Agreement, City shail have the right to terminate this
Agreement by written notice duly served upon EDC.
12. It has been determined that this matter is not subject to the p�ovisions of the California
Environmental Quality Act.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the day and year
first above written.
CITY OF REDDING
BY:
DAVID KEHOE, Mayor
ECONOMIC DEVELOPMENT CORPORATION
BY:
BY:
ATTEST:
CONNIE STROHMAYER, City Clsrk
FORM APPROVED:
W. LEONARD WINGATE, City Attorney
agree.edc
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� � SCOPE OF SERYICFS
y
The 1995/96 industrial promodon agreement between the City of Redding and the EDC will fund
portions of both the local business development and manufacturing recruitment components.
The following activities are program elements supporting business expansion and retention and
EDC's sales and client services program focused toward the creation of basic industry employment.
BASIC INDUSTRY SALFS AND �tECItUI'I�1ENT PROGRAA�i/CLIENT SERVICFS
EDC's sales program for FY 95/96 is focused on job creation through the recruitment of new basic
industry employers. "Basic industry" is generally considered to be those industries, such as
manufacturing, that add new value to the community. Typically these industries bring new dollars
into the economy through the export of goods and services outside the community.
This program is in the second year of a projected three year effort and continuing with outside sales,
advertising, special promotions, trade shows, and other services.
• TRADE SAOWS
The EDC will participate in the 1996 Medical Device and Manufacturing Trade Show
in Anaheim. This will he the fifth year of participation in this show and the second
year that the EDC will utilize it's own display with it's own separate booth space.
Additionally, the EDC will participate in siz other trade shows including two in
cooperation with Team California.
• SITE VISITS
The thrust of EDC's Sales Program is to generate an increased volume of companies
visiting the County and the City of Redding. Funding through the City's funding
commitment will help offset costs of site visits including travel, accommodations and
promotional activities. EDC staff will qualify prospect companies and concentrate the
site visit on those that are known to be bona fide prospects. Staff will coordinate
these company visits with the City Manager's office.
• II�1TERi`TATIONAL DEVELOP1biENT RESEARCH COUIVCIL
The EDC is a member in good standing with this prestigiaus organization of corporate
real estate professionals, facility managers and site location consultants. The City of
Redding funding will supp�rt EDC's involvement in this organization including two
semi-annual conferenc�s, chapter meetings and possible IDRC promotional activities
in the City of Redding.
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• ADVERTLSI�IG, DIRECT �IAIL
The EDC will coordinate an advertising campaign with selected site location
publications, trade journals and/or business publications. The intention of this
program will be to establish a consistent, focuse� campaign aimed at decision-makers
with companies in California that may be expanding or relocating.
EDC will also continue it's utilization of the J.D. Whitaker and Associates Target
Industry lists for direct mail. Additionally, the direct mail program will focus on
special promotions such as the Top 100 Company lists in the Silicone Valley as
produced by the San Jose Business Journal.
• P1�OSPECT CALLS/P�tOlVfO'I'ION$
The EDC will continue it's aggressive sales effort by utilizing the Client Services
Director for direct company calls. Additionally, the EDC will plan faur (4)
promotional programs in the Bay Area structured to bring business decision-makers
together for focus groups designed to promote the advantages of doing business in
Shasta County.
• DISCOVER S�ASTA COUN'I'Y DAYS
Two events will be planned to bring graups of companies to Shasta County over a two
day period to tour the area including industrial sites, commercial and residential areas
and recreation opportunities. This successful promotion has been udlized in the past
to create a low key hut informative way of showing "qualified” companies the value
of doing business and living in Shasta County. It is expected that 10 to 15 companies
will be included in these promotions.
ENTERPRISE ZONE/RECYCLE ZONE ADMII+tIST'RATION
e EDC's responsibility for the administration of the Shasta Metro Enterprise Zone and
Recycle Zone includes coordination with the Trade and Commerce Agency, the
Franchise Taz Board and Waste Management Board for technical assistance when
needed.
� The EDC will be responsible for coardinating reporting requirements.
� The EDC will sponsor two or three seminars for local businesses relating to
Enterprise Zone and Recycle Zone benefits.
• The Zone Coordinator will administer any Enterprise Zone expansion process in
conjuncrion with the Enterprise Zone Advisory Board.
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• ' EDC staff will continue to market Zone benefits to local business through service club
presentacions, advertising, and coordinated job development activities with the PIC,
EDD, GAIN and chambers of commerce.
ENTERPRISE ZONE GOAIS A'�tD OB.iECTIVES
1) EDC will coordinate two or three educational seminars for Shasta Metro Enterprise
Zone businesses.
2) EDC will coordinate the Business Retenrion Program with the City of Redding and
the SCEDD.
3) EDC will conduct an Enterprise Zone direct mail educadon program to 1500 local
Enterprise Zone businesses in conjuncdon with the Employment Development
Department.
4) EDC staff will make (5) five presentations to local service clubs and business groups
regarding the Enterprise Zone/Recycle Zone program and benefits.
SALFS AND CLIENT SERVICE.S PROGRAM PERFORNiANCE MEASUR.FS
1) EDC will make personal contact with a minimum of 300 qualified basic induscrial
employers.
2) Develop client relationships with a minimum of 50 new basic industrial employers as
a result of our sales prospecting efforts.
3) Coordinate site visits with a minimum of 40-50 basic industrial employers.
4) Site (5) five new basic industrial employers in Shasta County.
5) EDC staff will continue to participate in the Northern California lndustrial Develop-
ment Executives Association regional advertising program and respond to all leads
generate� through that effort. (Estimated lead contacts: 150)
6) EDC staff will respond to all qualified leads generated from trade show activity.
(Estimated lead contacts: 200)
7) EDC will provide a report at the conclusion of the funding year documenting its
success in achieving the goals and objectives set forth above.
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BUDGET SUMMARY
FISCA� YEAR 95/96 �
CITY OF REDDING
CONTRACT SERViCES GENEAAE.. EN7ERPRISE TO7AL
MARKETtNG ZONE �UDGE'C
Site Visits $2,850.00
I.D.R.C. $6,150.00 �
Promotional $450.00 $625.00
Discover Shasta Days $1,225.00
Advertising $12,700.00
Sub Total $23,375.00 625.00
Salaries/Fringe $59,160.00 $42,840.00
TOTALS $82,535.00 $43,465.00 = $126,000.00
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