HomeMy WebLinkAboutReso. 1987-374 - Approving the 1987-88 Industrial Promotion Agreement Between the City of Redding and the Economic Development Corporation, and Authorizing the Mayor to Sign Same w•
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RESOLUTION NO. 7•'7 f
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING
APPROVING THE 1987-88 INDUSTRIAL PROMOTION AGREEMENT BETWEEN
THE CITY OF REDDING AND THE ECONOMIC DEVELOPMENT
CORPORATION, AND AUTHORIZING THE MAYOR TO SIGN SAME .
IT IS HEREBY RESOLVED by the City Council of the City of
Redding as follows:
1 . That the City Council of the City of Redding hereby
approves the Industrial Promotion Agreement between the City of
Redding and the Economic Development Corporation, a true copy of
which is attached hereto and incorporated herein; and
2 . That the Mayor of the City of Redding is hereby
authorized and directed to sign said Agreement and all necessary
documents in connection therewith on behalf of the City of
Redding, 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 on the aforesaid documents , when
appropriate .
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 15th day of December , 1987 , and
was duly adopted at said meeting by the following vote :
AYES : COUNCIL MEMBERS : Carter , Fulton , Gard , Johannessen , & Dahl
NOES : COUNCIL MEMBERS : None
ABSENT : COUNCIL MEMBERS: None
ABSTAIN : COUNCIL MEMBERS : None ,
MIKE DAHL, Mayor
City of Redding
ATTEST: FORM PPROVED :
v-�acace-agate
VETHEL A. NICHOLS , City Clerk RA DALL A. HAYS , City Attorney
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ECONOMIC . DEVELOPMENT
ORPORATION CSHASTA
OUNTY
AGREEMENT
THIS AGREEMENT made and entered into this day of December, 1987,
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":
WITNESSET•
H:
WHEREAS, the City Council of the City of Redding is empowered to appro-
priate and expend money from City funds for industrial promotion in the Redding
area; and
WHEREAS, the EDC is particularly well equipped to administer a program for
industrial promotion; and
WHEREAS, the proposed Marketing Program by the EDC is an extension of EDC's
business recruitment project, which began in 1980, and will be a continuation of
the City of Redding's and Shasta County's commitment to promote the area for new
business growth; and
WHEREAS, this new partnership of EDC, the City of Redding and Shasta County
will provide a productive and coordinated program for job creation and business
development;
NOW, THEREFORE, IT IS HEREBY MUTUALLY AGREED by and between the parties
hereto as follows:
,— 737.'Auditorium,Drive+ Suite)D}- Redding;, 96001:.-•916/225-53007 •
BUDGET SUMMARY
1 . EDC does hereby agree during the term hereof to perform the task
of industrial promotion as outlined in the Executive Summary attached hereto and
incorporated herein by reference.
2. To offset the EDC's costs and expenses incurred in said indus-
trial promotion, City agrees to pay EDC for the fiscal year 1987-88 the total
sum of Fifty Thousand Dollars ($50,000.00), payable in installments, for the
services, including salary and benefits, estimated below, upon submission of
invoices thereof:
(a) FOUR INDUSTRIAL OR PRODUCT RELATED SHOWS $19,500.00
Estimated two persons per show. All transporta-
tion and lodging arrangements are made and the
expenses covered by the EDC. Other expenses for
shows include round trip shipping of promotional
materials, booth space rental, electric outlets,
booth furnishings, etc. EDC has participated in
three product related shows to date ( California
State Fair-Sacramento, L.A. County Fair-Pomona,
and U.S. National R.V. Show-Louisville,Kentucky.
(b) PAID ADVERTISING 5,000.00
Future Ad placements are pending. Past examples
include the May '87 issues of the San Francisco
Focus and Los Angeles Magazine, and the August/
September '87 issue of Western Outdoors.
(c) DIRECT MAIL CAMPAIGNS, VISITATIONS, REFERRALS 6,500.00
AND INQUIRIES
Travel and/or per diem where deemed necessary
for highly regarded prospects, stationery and
postage and telephone.
(d) AMBASSADOR PROGRAM 4,100.00
Purchase of additional Ambassador kits for local
community and business leaders to market area
industrial and business opportunities to pros-
pective clients.
BUDGET SUMMARY CONTINUED
(e) BROCHURES/FLYERS - "SHASTA COUNTRY" 14,500.00
Development of promotional literature as part of
a regional economic development campaign. This
strategy will focus on developing a theme promo-
ting the Shasta Cascade Region, integrating
tourism, industrial, commercial and agricultural
development. The City of Redding serves as the
regional commercial, industrial, transportation,
health care, retirement and governmental head-
quarters.
(f) VIDEOTAPE (follow-up and promotional) 400.00
Cost includes reprinting of existing videotapes,
postage paid packages to prospective clients who
are invited to view the video as part of EDC's
promotional literature, etc.
TOTAL: $50L000.o0
3. EDC covenants and agrees to submit a summary statement of its
costs and expenditures in the performance of its contractural responsibilities
herein to City at quarterly intervals during the fiscal year, and further agrees
to keep a full and complete account of its use of all funds received from City
and to make such account available to City at any time and all reasonable times,
upon request.
4. 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, costs, loss of services, expenses and compensation, on account
of or in any way growing out of the City's expenditure of said funds to EDC for
the industrial promotion outlined above.
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5. The term of this Agreement shall be for the period of one (1 )
year beginning July 1 , 1987, and terminating June 30, 1988.
6. No member of the City Council or of any Board, and no officer or
employee of the City shall be or become, directly or indirectly, financially
interested in this contract or the work or business provided herein to be
performed by EDC.
7. It has been determined that this matter is not subject to the
provisions of CEQA.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement on
the day and year first above written.
CITY OF REDDING
BY:
MIKE DAHL, Mayor
ECONOMIC DEVELOPMENT CORPORATION
BY:
BY:
ATTEST:
ETHEL A. NICHOLS, City Clerk
FORM APPROVED:
RANDALL A. HAYS, City Attorney
EXECUTIVE SUMMARY
"SHASTA COUNTY MARKETING PROGRAM:
A STRATEGY WITH BUSINESS AND
GOVERNMENT TO CREATE NEW JOBS FOR OUR RESIDENTS"
I. BACKGROUND
The proposed Marketing Program is a continuation and combination of two
local industrial recruitment efforts. The proposed Marketing Program is
an extension of EDC's business recruitment project which began in 1980.
The Marketing Program will also be a continuation of a commitment by the
City of Redding and Shasta County to promote the area for new business
growth.
This partnership of EDC, Redding and Shasta County will provide a comp-
rehensive program for job creation and business development.
II. BUDGET
Please see the attached budget summary which delineates the program costs
with participants.
III. FOUNDATION OF THE MARKETING PROGRAM
The foundation will be a combination of the traditional elements of a
commercial marketing campaign: personal, print, and visual marketing
techniques; staff follow-up and technical assistance; professional sales
and closing techniques.
IV. PRIMARY MARKETING TECHNIQUES
The highest priority of the various marketing techniques will be the
"personal" approach in developing and closing prospects: 1 ) product or
industry shows, 2) visitations, 3) local ambassadors, 4) companies that
come in "contact" with expanding businesses and 5) communicating with the
local development community for leads and marketing assistance.
Follow-up assistance will primarily include personal assistance in site
location research; business financing; and introductions to local employ-
ment and training programs and the development community (real estate,
contractors, planning and regulatory agencies, etc.) .
Targeting of the Market Program will be divided into four major areas:
1 ) business retention, 2) business expansion, 3) start-ups, and 4) location
of new business. Emphasis will be placed on manufacturing and companies
which complement existing industry.
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EXECUTIVE SUMMARY CONTINUED
V. GOALS
2,000 companies and/or individuals contacted through the various direct mail
campaigns.
Four major product or industry shows will be attended representing Shasta
County's benefits for industrial locations.
12 company visitations to Shasta County by qualified business prospects.
200 new or retained jobs from EDC's recruitment process and local business
assistance programs.
Target marketing research and follow-up of at least the following categories:
a. retirement
b. lumber and wood products (SIC 24)
c. furniture and fixtures (SIC 25)
d. health services
e. tourism
f. printing, publishing and allied industries (SIC 27)
g. industries now serving local manufacturers
h. government
i, food and kindred products (SIC 20)
j. miscellaneous plastics products (SIC 30)
k. non-electrical machinery (SIC 35)
1. electrical and electronic machinery, equipment & supplies (SIC 36)
m, transportation equipment and defense (SIC 37)
n. measuring, analyzing and controlling instruments (SIC 38)
o. housing
p. chemicals and allied products (SIC 28)
q. aviation