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HomeMy WebLinkAboutC37181 Extension FY19-20 - Marketing SvcsSTAFF REPORT CITY OF PALM DESERT ECONOMIC DEVELOPMENT DEPARTMENT MEETING DATE: June 13, 2019 PREPARED BY: Thomas Soule, Tourism & Marketing Manager REQUEST: Extend by one year the contract between the City of Palm Desert and Ideapeddler to provide marketing services for Fiscal Year 2019/20. Recommendation By Minute Motion that the City Council: Award Contract No. C37181 to Ideapeddler to provide marketing services for Fiscal Year 2019/2020; and 2. Authorize the City Attorney to make non -substantive changes to the contract and the Mayor to execute the agreement on behalf of the City. Strateqic Plan Obiective The City's Media Plan supports the following specific objectives from the City's Strategic Plan: Tourism & Marketing Priority No. 3—Attract new and developing travel/tourism markets; and • Tourism & Marketing Priority No. 4—Support the City's tourism industry through enhancement of its marketing efforts with an allocation of additional City resources, the development of partnerships, and coordination of existing efforts. Committee/Commission Recommendation At its regular meeting on June 04, 2019, the Marketing Committee unanimously voted to recommend that the City extend its contract with Ideapeddler for the first one-year extension. Background Analvsis After an extensive competitive selection process and with the full support of the Marketing Committee, the City Council approved a one-year contract with Ideapeddler in FY 18/19 to provide marketing services for the City. The contract allows the City to unilaterally renew the contract for up to two one-year periods. These services have allowed the City to maintain a robust media presence in our drive and local markets, both in print and online. June 13, 2019 — Staff Report Ideapeddler Contract Renewal Page 2of2 The original contract provides Ideapeddler a monthly retainer of $5,713.40, which includes, but is not limited to, the following services: • Develop and execute a Search Engine Optimization (SEO) strategy for the City's tourism website. Analyze results, optimize based on those results, and report results monthly. • Provide strategic counsel toward furthering the synergy among owned media channels, including website, social media and e-newsletter. • Develop an annual budget that includes a comprehensive, strategic and diversified media plan and account management that promotes Palm Desert to its target audiences. • Negotiate, schedule and maintain media buys in accordance with the approved media plan. • Provide monthly and quarterly reports summarizing project activities and achievements of all services outlined in this scope of work. Hard costs associated with online advertising placement, search engine optimization (SEO), and pay -per -click (PPC) are not included in the monthly service fee and are included within the Marketing Department's budget request for Fiscal Year 2019/20 under "media buys" in the amount of $409,000. Ideapeddler offers creative and production services outside the scope of the contract at an hourly or per project rate. Staff recommends renewing the contract with Ideapeddler for marketing services for a one year period, fiscal year 2019/20. Fiscal Analysis Funds for this contract were budgeted for in the FY 19/20 Marketing budget, and are available in Professional Other Account No. 1104417-4309000. No additional fiscal impact is created by this request. LEGAL REVIEW Robert W. Hargreaves City Attorney ATTACHMENTS: Contract C37181 DEPT. REVIEW Martin Ivarez Director of Economic Development FINANCj4Y VI� Janet oorff Direct r f Finance CITY MANAGER Lauri Aylaian City Manager Contract No. C37181 CITY OF PALM DESERT EXTENSION TO PROFESSIONAL CONSULTANT SERVICES AGREEMENT MARKETING SERVICES CONTRACT No. C37180 This FIRST EXTENSION ("Extension") to the Ideapeddler Professional Consultant Services Agreement for Marketing Services No. C37180 is made as of June 13, 2019, ("Effective Date") by and between the CITY OF PALM DESERT, a municipal corporation, organized under the laws of the State of California, having a principal place of business at 73-510 Fred Waring Drive, Palm Desert, California, (the "Authority") and Ideapeddler, LLC, a Texas Limited Liability Company with its principal place of business at 3012 Corbin Lane, Austin TX 78704 ("Consultant"). City and Consultant are sometimes individually referred to herein as "Party" and collectively as "Parties." RECITALS A. The City of Palm Desert is a municipal corporation, organized under the laws of the State of California. B. The Consultant is engaged in the business of providing professional marketing consulting services to public clients, and has represented to the City that the Contractor is experienced and competent in said business. C. The City and Consultant desire to enter into this Extension to the Agreement. D. The Parties entered into that certain Professional Consultant Services Agreement for Marketing Services Contract No. C37180, by and between the City of Palm Desert and Ideapeddler, LLC, dated June 28, 2018 ("Contract"). NOW, THEREFORE, the Parties agree to amend the Contract as follows: 1. Term. The parties agree that the term ("Term") of the Contract shall be extended, for an additional twelve (12) month term beginning July 1, 2019, and ending June 30, 2020 or to such later date as may be agreed in writing between parties. The Contract allows for an option of an extension based on Contractor's performance and mutual agreement, this Extension is the first Contract extension. Any additional extensions will be contemplated based on performance. 2. Compensation. Consultant shall receive compensation, including authorized reimbursements, for all Services rendered under this Agreement at the rates set forth in Exhibit "B" to this Extension of the Contract, which is attached hereto and incorporated herein by reference. Based on an approved annual media budget of $490,000, the total compensation shall not exceed sixty-eight thousand, five hundred and sixty-one dollars ($68,561) without authorization of the City Council or City Manager, as applicable, per the Palm Desert Municipal Code. Extra Work may be authorized, as described below, and if Contract No. C37181 authorized, will be compensated at an hourly rate of two -hundred and twenty-five dollars ($225). 3. Extra Work. At any time during the term of this Agreement, City may request that Consultant perform Extra Work. As used herein, "Extra Work" means any work which is determined by City to be necessary for the proper completion of the Project, but which the Parties did not reasonably anticipate would be necessary at the execution of this Agreement. Consultant shall not perform, nor be compensated for, Extra Work without authorization from the City Council or City Manager, as applicable, per the Palm Desert Municipal Code. All other terms of the Contract to remain unchanged and in full force and effect. IN WITNESS THEREOF, the Parties have executed this first Extension on the date first above written. CITY OF PALM DESERT LM Attest., Susan Marie Weber Mayor Rachelle D. Klassen City Clerk Approved as to Form: Best Best & Krieger LLP City Attorney IDEAPEDDLER, LLC Cimin Ahmadi Cohen Principal Contract No. C37181 Annual Media Budget 0- $500,000 $500,001 or more EXHIBIT "B" COMPENSATION Monthly Fee 1.166% of Media Bud_ et 1.116% of Media Budget The CITY will pay CONSULTANT a monthly retainer of $5,713.40 for services as outlined in Exhibit "A" of Contract C37180, in an amount not to exceed $68,560.80. In the event more than five revisions are requested to the final annual media plan, CITY shall pay CONSULTANT an additional incremental fee in the amount of $1,500 for each such revision. A revision shall include any of the following: a) Plan change that requires a budget adjustment (incremental or budget cut) of 10% or more; b) Additional markets or DMA's required to be added or removed from the plan; c) A change of more than 10% in the media mix; or d) A publisher or vendor added or removed from the plan after contracts have been issued, with the exception of reasonable digital optimization per the CONSULTANT advisement in monthly analytics reporting. Travel expenses in an annual amount not to exceed $24,000 for visits to Palm Desert required to fulfill the scope of work will be reimbursed by the CITY to the CONSULTANT at cost. Travel costs will be reimbursed for travel and lodging when such travel is authorized in advance by the City's representative and is completed in a cost-effective manner, generally consistent with the City's travel and expense reimbursement policy. Travel costs should not exceed the per diem rates on a daily basis, as provided by the General Services Administration (GSA) website. Consultant shall fly coach class on the lowest cost flight(s) available for the most direct route to the final destination, which could reasonably include scheduled layovers of 1.5 to 2 hours along the route. All invoices for media, travel, or other approved expenses as outlined in this agreement shall be due within 30 days of the invoice date.