HomeMy WebLinkAboutC37061 Extension of Advertising Service for El Paseo Parking Business Improvement District (EPPBID)STAFF REPORT
CITY OF PALM DESERT
ECONOMIC DEVELOPMENT DEPARTMENT
MEETING DATE: July 11, 2019
PREPARED BY: Thomas Soule, Tourism & Marketing Manager
REQUEST: Extend by one year the contract between the City of Palm Desert and
FG Creative, Inc. to provide Advertising Services for the El Paseo
Parking & Business Improvement District
Recommendation
By Minute Motion that the City Council:
1. Approve a one year extension of Contract No. C37060 to FG Creative, Inc. to
provide advertising services for the El Paseo Parking & Business Improvement
District; 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.
Funds are available in Account No. 2714491-4321500.
Committee/Commission Recommendation
At its regular meeting on June 20, 2019, the El Paseo Parking & Business Improvement
District (EPPBID) Board of Directors recommended to the City Council that the contract with
FG Creative to represent the district as its advertising agency be renewed for one year.
Backqround Analvsis
After a competitive selection process and with the full support of the EPPBID Board, the City
Council approved a one-year contract with FG Creative for FY 18/19 to provide advertising
services for the EPPBID. The contract allows the City the unilateral option, at is sole
discretion, to renew the agreement automatically for up to two additional one-year terms. This
would be the first one-year extension of the agreement.
The original contract provides FG Creative a monthly retainer of $2,000, which includes, but
is not limited to, the following services:
• Develop an annual budget that includes a comprehensive, strategic and diversified
media plan.
• Negotiate, schedule and maintain media buys.
• Develop an annual branding campaign and create all graphic assets as needed to
fulfill the media plan.
July 11, 2019 —Staff Report
Renew EPPBID Marketing Contract with FG Creative
Page 2of2
• Organize and manage two merchant meetings per year.
• Manage public relations efforts on behalf of the EPPBID.
Hard costs associated with online advertising placement and other media buys are not
included in the monthly retainer and are accounted for in Exhibit "C" of the original contract.
The total amount of the contract for FY 2019-20 is $245,000.
Based on the recommendation of the EPPBID Board, staff recommends renewal of the
contract with FG Creative for advertising services for a one-year period, from July 1, 2019, to
June 30, 2020.
Fiscal Analvsis
The cost of the subject contract and media buys are funded through the EPPBID annual
assessments collected from district members and there is no impact to the City's General
Fund. Funds are available in Account No. 2714491-4321500.
LEGAL REVIEW DEPT. REVIEW FINANCIAL REVIEW CITY MANAGER
Robert W. Martin Alvarez
Hargreaves Director of Economic �aWet Moore Lauri Aylaian
City Attorney Development Director of Finance City Manager
VENDOR: Stephanie D. Greene
FG Creative, Inc.
74-020 Alessandro, Suite E
Palm Desert, CA 92260
ATTACHMENT: Contract C37061
Contract No. C37061
CITY OF PALM DESERT
EXTENSION TO
PROFESSIONAL CONSULTANT SERVICES AGREEMENT
MARKETING SERVICES
CONTRACT No. C37060
This FIRST EXTENSION ("Extension") to the Ideapeddler Professional Consultant
Services Agreement for Marketing Services No. C37060 is made as of June 27, 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 FG Creative,
Inc., a corporation in California with its principal place of business at 74-020 Allesandro,
Suite E, Palm Desert, CA 92260 ("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. C37060, by and between
the City of Palm Desert and FG Creative, Inc., dated May 24, 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 "C" to this Extension of the Contract, which is attached hereto and incorporated
herein by reference. The total compensation shall not exceed $245,000, without
authorization of the City Council or City Manager, as applicable, per the Palm Desert
Municipal Code.
Contract No. C37061
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
am
Attest:
Susan Marie Weber
Mayor
Rachelle D. Klassen
City Clerk
Approved as to Form:
Best Best & Krieger LLP
City Attorney
FG CREATIVE, INC.
LM
Stephanie Greene
CEO
Contract No. C37061
EXHIBIT "C"
COMPENSATION
The CITY's budget for advertising and publicizing the EPBID's facilities, services and
events is established as part of the CITY's fiscal year budget for the period of July 1,
2019 - June 30, 2020 at $250,000. The CITY's liability for advertising materials and
services under this Contract shall not exceed the contracted amount of $245,000. The
CITY reserves the right, at any time during the term or any extension thereof, to adjust
the amount budgeted for advertising and promotion services. Prior to performing any
services or furnishing any material contemplated by this Contract to be undertaken and
furnished by FG CREATIVE, the CITY or its designee, after conferring with FG
CREATIVE, shall authorize the services rendered and materials to be furnished, the
agreed compensation to be paid for their services, the manner of payment (lump sum or
periodic progress payments), the description and estimate of reimbursable expense,
and such other matters as may be deemed proper. Subject to the limitations and
provisions set forth in this section, the CITY shall compensate and reimburse FG
CREATIVE as follows:
(a) The CITY will pay FG CREATIVE a flat fee of $2,000 per month to cover
advertising services in accordance with the proposal presented by FG CREATIVE as
attached in the Addendum to the EPBID and/or any marketing mutually agreed to by the
parties hereto. The fee covers not less than 40 hours per month; such services include,
but are not limited to, meetings, account planning and service, production management,
media planning and buying, and clerical.
(b) FG CREATIVE will purchase media at the lowest rate available. All billings
will be submitted at net costs for payment by the CITY. FG CREATIVE will not markup
billings or receive commissions.
(c) FG CREATIVE shall bill the CITY monthly for the previous month's activities.
Each invoice shall contain, in reasonable detail, the projects and services worked on
and rendered with supporting documentation of reimbursable costs and expenses.
Payment and reimbursements provided for in this Section 4 will be made in due course
by the City of Palm Desert.
(d) FG CREATIVE shall keep full and accurate books of account and records and
other pertinent data in accordance with generally accepted accounting principles
reflecting all transactions contemplated by this Contract.