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HomeMy WebLinkAboutC37380 - Consulting Svcs - Retail-Restaurant Recruitmnt STAFF REPORT CITY OF PALM DESERT ECONOMIC DEVELOPMENT DEPARTMENT MEETING DATE: August 23, 2018 PREPARED BY: Martin Alvarez, Director of Economic Development REQUEST: Approve a Contract No. c37380 with Buxton in the amount of $50,000 to provide professional economic development consulting services including development of a retail and restaurant recruitment strategy Recommendation By Minute Motion: 1. Approve Contract No. c37380 with Buxton in the amount of$50,000 to provide professional economic development consulting services including the development of a retail and restaurant recruitment strategy. Funds are available in the Fiscal Year (FY) 2018/2019 Economic Development Budget. Executive Summary Approval of the staff recommendation would approve a one-year contract with Buxton to assist the City to achieve its retail and restaurant recruitment goals. Using data and analytics, Buxton will assist the City to identify its trade area and consumer spending profile. Buxton will match the customer profile developed for the City of Palm Desert trade area against the profiles of 5,000 retailers and restaurants currently held in their database. Staff recommends approval of a one-year contract with Buxton. Buxton's services also include identifying the top twenty (20) retail and restaurant target along with connections to their site selectors. Strategic Plan Objective The professional economic development consulting services proposed by Buxton aligns with the City's Envision Palm Desert Strategic Plan, Priority 1: Expand job and business creation opportunities and Priority 4; Expand and raise awareness of business-friendly services in order to retain and attract business. 2018 Economic Development Strategic Plan — High Priority Initiative: Economic Development Marketing - New collateral materials to support focused business attraction. Staff Report Buxton Contract No. C3738O August 23, 2018 Page 2 of 4 City 2018 Goals: Department Level Goal No. 16 — Identify attraction strategy for "Top 5" retail business categories Background As part of the approved FY 2018/2018 City Goals, staff was tasked with establishing a strategy to recruit new businesses to the City and assist in filling our existing retail and restaurant vacancies. El Paseo vacancies have recently been measured at 11 percent and other retail and restaurant vacancies currently exist along the Highway 111 commercial core, including, the former Elephant Bar site, the former TGIF restaurant site, portion of the former Sports Authority building, the former Alley building and a large portion of the Las Sombras Center (Tilted Kilt site). Although staff routinely works with brokers and property owners to assist in locating tenants, staff believes additional resources are required to identify the best and right tenants for the City's existing vacant spaces. Discussion In order to facilitate the implementation of a retail recruitment and retention strategy, staff has secured a proposal from Buxton, a professional economic development consulting firm. Buxton is a nationally recognized firm that uses consumer data and analytics to match community profiles with new and expanding businesses in the market. Buxton's access to credit card expenditure data in any specific market, allows them to identify consumer trade areas and community and visitor spending habits. Using this data, Buxton assists cities to identify specific retailers and restaurants who seek a market with households purchasing habits like ours. Buxton also provides this type of data analytics to retail and restaurant clients and thus has a connection with thousands of national and regional retailers and restaurants. Buxton services will assist the City with achieving its business recruitment/retention goals and objectives that include: 1. Understanding the current retail and restaurant economic condition 2. Recruit new retailers and restaurant that fit our community profile 3. Retain existing retailers and restaurants Specifically, Buxton's professional service contract will consist of the following components: • Community Research o Buxton uses over 250 consumer and business databases that are updated regularly and compare the City's potential sites to all competing sites operating in the U.S. Buxton will define our current retail situation and those in neighboring communities that potentially impact our retail environment G\Econ Development\Martin Alvarez\2018\SR\CVEP contribution 18-19 08-23-18 doc Staff Report Buxton Contract No. c3738#0 August 23, 2018 Page 3 of 4 • Define and Evaluate City Trade Area o Buxton will conduct a custom drive-time analysis to determine our trade area using their proprietary methodology and knowledge of individual retail clients' actual trade areas. The trade area will be provided on a map that accurately depicts the City's consumer shopping patterns. • Profile Community Trade Area's Residential Customers o The defined community profile will analyze every household in the City's drive-time trade area. Based on more than 7,500 categories of lifestyles, purchase behaviors, and media reading/viewing habits (psychographics), the households in the City's trade area will be assessed to gain an understanding of the types of retailers that would be attracted to our City. • Match Retailers and Restaurants to Market Potential o Buxton will match the customer profile developed for the City of Palm Desert trade area against the profiles of 5,000 retailers and restaurants currently held in their database. • Create Marketing Packages for Prospective Retails/Restaurant o Buxton will assemble individualized marketing packages for up to twenty (20) targeted retailers/restaurants. Buxton will notify each retailer's key real estate decision maker via correspondence, informing them that they been qualified by Buxton as a potentially viable fit for sites in the City of Palm Desert. • On-going Recruitment Support and Business Retention Tool o Throughout the course for the contract year, Buxton will periodically meet with City staff to assist with any follow up generated by the recruitment marketing packages. The consumer data profile and trade area analytics can also be used to assist existing businesses and restaurant connect with resident and visitor consumers. The proposed agreement with Buxton is a one-year agreement in the amount not to exceed $50,000. The agreement is renewable annually with City Council approval. Staff recommends approval of the agreement with Buxton to assist the City to achieve its retail and restaurant recruitment goals. Fiscal Analysis The proposed contract with Buxton is in the amount of $50,000. Funding is available in the City's FY 2018/2019 Economic Development Department Budget. With the assistance of Buxton's services and data, staff will be able to target specific retailers and restaurants looking to open businesses in communities that match the City of Palm Desert's consumer trade area and spending profile. New businesses will assist in filling G\Econ Development\Martin Alvarez\2018\SR\CVEP contribution 18-19 C8-23-18 doc Staff Report Buxton Contract No. c37380 August 23, 2018 Page 4 of 4 the City's existing retail and restaurant vacancies that will potentially increase sales tax revenue to the City's General Fund. LEGAL REVIEW DEPT. REVIEW FINANCIAL REVIEW CITY MANAGER N/A (4/0 ,c" Robert W. Hargreaves Martin Alvarez et Moore Lauri Aylaian` City Attorney Director of Economic Director of Finance City Manager Development VENDOR: Buxton 2651 South Polaris Drive Fort Worth, TX 76137 ATTACHMENTS: Agreement / Exhibit A G\Econ Developrnent\Manin Alvarez\2018\SR\CVEP contribution.18-19 08-23-18 doc CITY OF PALM DESERT PROFESSIONAL SERVICES AGREEMENT 1. PARTIES AND DATE. This Agreement is made and entered into this day of August, 2018, by and between the City of Palm Desert, a municipal corporation organized under the laws of the State of California with its principal place of business at 73-510 Fred Waring Drive, Palm Desert, California 92260- 2578, County of Riverside, State of California ("City") and Buxton Company, a Texas corporation, with its principal place of business at 2651 South Polaris Drive, Fort Worth, TX ("Consultant ). City and Consultant are sometimes individually referred to herein as "Party" and collectively as "Parties." 2. RECITALS. 2.1 Consultant. Consultant desires to perform and assume responsibility for the provision of certain professional economic development consulting services required by the City on the terms and conditions set forth in this Agreement. Consultant represents that it is experienced in providing professional economic development consulting services to public clients, is licensed in the State of California, and is familiar with the plans of City. 2.2 Project. City desires to engage Consultant to render such professional economic development consulting services for the creation of a retail and restaurant recruitment strategy, Contract No. ("Project") as set forth in this Agreement. 3. TERMS. 3.1 Scope of Services and Term. 3.1.1 General Scope of Services. Consultant promises and agrees to furnish to the City all labor, materials, tools, equipment, services, and incidental and customary work necessary to fully and adequately supply the professional economic development consulting services necessary for the Project ("Services"). The Services are more particularly described in Exhibit "A" attached hereto and incorporated herein by reference. All Services shall be subject to, and performed in accordance with, this Agreement, the exhibits attached hereto and incorporated herein by reference, and all applicable local, state and federal laws, rules and regulations. 3.1.2 Term. The term of this Agreement shall be from September 2018 to September 2021, unless earlier terminated as provided herein. The City shall have the unilateral option, at its sole discretion, to renew this Agreement automatically for no more than two (2) additional one-year terms. Consultant shall complete the Services within the term of this Agreement, and shall meet any other established schedules and deadlines. (BB&K 2018) 72500.00001\30613664.2 -1- 3.2 Responsibilities of Consultant. 3.2.1 Independent Contractor: Control and Payment of Subordinates. The Services shall be performed by Consultant or under its supervision. Consultant will determine the means, methods and details of performing the Services subject to the requirements of this Agreement. City retains Consultant on an independent contractor basis and not as an employee. Consultant retains the right to perform similar or different services for others during the term of this Agreement. Any additional personnel performing the Services under this Agreement on behalf of Consultant shall also not be employees of City and shall at all times be under Consultant's exclusive direction and control. Neither City, nor any of its officials, officers, directors, employees or agents shall have control over the conduct of Consultant or any of Consultant's officers, employees, or agents, except as set forth in this Agreement. Consultant shall pay all wages, salaries, and other amounts due such personnel in connection with their performance of Services under this Agreement and as required by law. Consultant shall be responsible for all reports and obligations respecting such additional personnel, including, but not limited to: social security taxes, income tax withholding, unemployment insurance, disability insurance, and workers' compensation insurance. 3.2.2 Schedule of Services. Consultant shall perform the Services expeditiously, within the term of this Agreement, and in accordance with the Schedule of Services set forth in Exhibit "A" attached hereto and incorporated herein by reference. Consultant represents that it has the professional and technical personnel required to perform the Services in conformance with such conditions. In order to facilitate Consultant's conformance with the Schedule, City shall respond to Consultant's submittals in a timely manner. Upon request of City, Consultant shall provide a more detailed schedule of anticipated performance to meet the Schedule of Services. 3.2.3 Conformance to Applicable Requirements. All work prepared by Consultant shall be subject to the approval of City. 3.2.4 Substitution of Key Personnel. Consultant has represented to City that certain key personnel will perform and coordinate the Services under this Agreement. Should one or more of such personnel become unavailable, Consultant may substitute other personnel of at least equal competence upon written approval of City. In the event that City and Consultant cannot agree as to the substitution of key personnel, City shall be entitled to terminate this Agreement for cause. As discussed below, any personnel who fail or refuse to perform the Services in a manner acceptable to the City, or who are determined by the City to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project or a threat to the safety of persons or property, shall be promptly removed from the Project by the Consultant at the request of the City. The key personnel for performance of this Agreement are as follows: Lisa Hill-McCay, Senior Vice President or designee. (BB&K 2018) 72500.00001\30613664 2 -2- 3.2.5 City's Representative. The City hereby designates Martin Alvarez, Director of Economic Development, or his/her designee, to act as its representative in all matters pertaining to the administration and performance of this Agreement ("City's Representative"). City's Representative shall have the power to act on behalf of the City for review and approval of all products submitted by Consultant but not the authority to enlarge the Scope of Work or change the total compensation due to Consultant under this Agreement. The City Manager shall be authorized to act on City's behalf and to execute all necessary documents which enlarge the Scope of Work or change the Consultant's total compensation subject to the provisions contained in Section 3.3 of this Agreement. Consultant shall not accept direction or orders from any person other than the City Manager, City's Representative or his/her designee. 3.2.6 Consultant's Representative. Consultant hereby designates Lisa Hill- McCay, Senior Vice President, or his/her designee, to act as its representative for the performance of this Agreement ("Consultant's Representative"). Consultant's Representative shall have full authority to represent and act on behalf of the Consultant for all purposes under this Agreement. The Consultant's Representative shall supervise and direct the Services, using his/her best skill and attention, and shall be responsible for all means, methods, techniques, sequences, and procedures and for the satisfactory coordination of all portions of the Services under this Agreement. 3.2.7 Coordination of Services. Consultant agrees to work closely with City staff in the performance of Services and shall be available to City's staff, consultants and other staff at all reasonable times. 3.2.8 Standard of Care: Performance of Employees. Consultant shall perform all Services under this Agreement in a skillful and competent manner, consistent with the standards generally recognized as being employed by professionals in the same discipline in the State of California. Consultant represents and maintains that it is skilled in the professional calling necessary to perform the Services. Consultant warrants that all employees and subconsultants shall have sufficient skill and experience to perform the Services assigned to them. Finally, Consultant represents that it, its employees and subconsultants have all licenses, permits, qualifications and approvals of whatever nature that are legally required to perform the Services, and that such licenses and approvals shall be maintained throughout the term of this Agreement. As provided for in the indemnification provisions of this Agreement, Consultant shall perform. at its own cost and expense and without reimbursement from the City, any services necessary to correct errors or omissions which are caused by the Consultant's failure to comply with the standard of care provided for herein. Any employee of the Consultant or its sub-consultants who is determined by the City to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project, a threat to the safety of persons or property, or any employee who fails or refuses to perform the Services in a manner acceptable to the City, shall be promptly removed from the Project by the Consultant and shall not be re-employed to perform any of the Services or to work on the Project. 3.2.9 Period of Performance. Consultant shall perform and complete all Services under this Agreement within the term set forth in Section 3.1.2 above ("Performance Time"). Consultant shall also perform the Services in strict accordance with any completion schedule or Project milestones described in Exhibit "A" attached hereto, or which may be separately agreed upon in writing by the City and Consultant ("Performance Milestones"). Consultant agrees that if the Services are not completed within the aforementioned Performance Time and/or pursuant to any such Project Milestones developed pursuant to provisions of this Agreement, it is understood, (BB&K 2018) 72500.00001\30613664.2 -3- acknowledged and agreed that the City will suffer damage. 3.2.10 Laws and Regulations; Employee/Labor Certification. Consultant shall keep itself fully informed of and in compliance with all local, state and federal laws, rules and regulations in any manner affecting the performance of the Project or the Services, including all Cal/OSHA requirements, and shall give all notices required by law. Consultant shall be liable for all violations of such laws and regulations in connection with Services. If Consultant performs any work knowing it to be contrary to such laws, rules and regulations, Consultant shall be solely responsible for all costs arising therefrom. Consultant shall defend, indemnify and hold City, its officials, directors, officers, employees, agents, and volunteers free and harmless, pursuant to the indemnification provisions of this Agreement, from any claim or liability arising out of any failure or alleged failure to comply with such laws, rules or regulations. 3.2.10.1 Employment Eligibility; Consultant. By executing this Agreement, Consultant verifies that it fully complies with all requirements and restrictions of state and federal law respecting the employment of undocumented aliens, including, but not limited to, the Immigration Reform and Control Act of 1986, as may be amended from time to time. Such requirements and restrictions include, but are not limited to, examination and retention of documentation confirming the identity and immigration status of each employee of the Consultant. Consultant also verifies that it has not committed a violation of any such law within the five (5) years immediately preceding the date of execution of this Agreement, and shall not violate any such law at any time during the term of the Agreement. Consultant shall avoid any violation of any such law during the term of this Agreement by participating in an electronic verification of work authorization program operated by the United States Department of Homeland Security, by participating in an equivalent federal work authorization program operated by the United States Department of Homeland Security to verify information of newly hired employees, or by some other legally acceptable method. Consultant shall maintain records of each such verification, and shall make them available to the City or its representatives for inspection and copy at any time during normal business hours. The City shall not be responsible for any costs or expenses related to Consultant's compliance with the requirements provided for in Section 3.2.10 or any of its sub- sections. 3.2.10.2 Employment Eligibility; Subcontractors, Consultants, Sub- subcontractors and Subconsultants. To the same extent and under the same conditions as Consultant, Consultant shall require all of its subcontractors, consultants, sub-subcontractors and subconsultants performing any work relating to the Project or this Agreement to make the same verifications and comply with all requirements and restrictions provided for in Section 3.2.10.1. 3.2.10.3 Employment Eligibility; Failure to Comply. Each person executing this Agreement on behalf of Consultant verifies that they are a duly authorized officer of Consultant, and understands that any of the following shall be grounds for the City to terminate the Agreement for cause: (1) failure of Consultant or its subcontractors, consultants, sub- subcontractors or subconsultants to meet any of the requirements provided for in Sections 3.2.10.1 or 3.2.10.2; (2) any misrepresentation or material omission concerning compliance with such requirements (including in those verifications provided to the Consultant under Section 3.2.10.2); or (3) failure to immediately remove from the Project any person found not to be in compliance with such requirements. 3.2.10.4 Equal Opportunity Employment. Consultant represents that it is an equal opportunity employer and it shall not discriminate against any subconsultant, employee (BB&K 2018) 72500.00001\30613664.2 -4- or applicant for employment because of race, religion, color, national origin, handicap, ancestry, sex or age. Such non-discrimination shall include, but not be limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination. Consultant shall also comply with all relevant provisions of City's Minority Business Enterprise program, Affirmative Action Plan or other related programs or guidelines currently in effect or hereinafter enacted. 3.2.10.5 Air Quality. To the extent applicable, Consultant must fully comply with all applicable laws, rules and regulations in furnishing or using equipment and/or providing services, including, but not limited to, emissions limits and permitting requirements imposed by the South Coast Air Quality Management District (SCAQMD) and/or California Air Resources Board (CARB). Although the SCAQMD and CARB limits and requirements are more broad, Consultant shall specifically be aware of their application to "portable equipment", which definition is considered by SCAQMD and CARB to include any item of equipment with a fuel- powered engine. Consultant shall indemnify City against any fines or penalties imposed by SCAQMD, CARB, or any other governmental or regulatory agency for violations of applicable laws, rules and/or regulations by Consultant, its sub-consultants, or others for whom Consultant is responsible under its indemnity obligations provided for in this Agreement. 3.2.10.6 Safety. Consultant shall execute and maintain its work so as to avoid injury or damage to any person or property. In carrying out its Services, the Consultant shall at all times be in compliance with all applicable local, state and federal laws, rules and regulations, and shall exercise all necessary precautions for the safety of employees appropriate to the nature of the work and the conditions under which the work is to be performed. Safety precautions, where applicable, shall include, but shall not be limited to: (A) adequate life protection and lifesaving equipment and procedures; (B) instructions in accident prevention for all employees and subconsultants, such as safe walkways, scaffolds, fall protection ladders, bridges, gang planks, confined space procedures, trenching and shoring, equipment and other safety devices, equipment and wearing apparel as are necessary or lawfully required to prevent accidents or injuries; and (C) adequate facilities for the proper inspection and maintenance of all safety measures. 3.2.11 Insurance. 3.2.11.1 Minimum Requirements. Without limiting Consultant's indemnification of City, and prior to commencement of Work, Consultant shall obtain, provide and maintain at its own expense during the term of this Agreement, policies of insurance of the type and amounts described below and in a form that is satisfactory to City. (A) General Liability Insurance. Consultant shall maintain commercial general liability insurance with coverage at least as broad as Insurance Services Office form CG 00 01, in an amount not less than $1,000,000 per occurrence, $2,000,000 general aggregate, for bodily injury, personal injury, and property damage. The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO "insured contract" language will not be accepted. (B) Automobile Liability Insurance. Consultant shall maintain automobile insurance at least as broad as Insurance Services Office form CA 00 01 covering bodily injury and property damage for all activities of the Consultant arising out of or in connection with Work to be performed under this Agreement, including coverage for any owned, hired, non- (BB&K 2018) 72500.00001\30613664 2 -5- owned or rented vehicles, in an amount not less than 51,000,000 combined single limit for each accident. (C) Professional Liability (Errors & Omissions) Insurance. Consultant shall maintain professional liability insurance that covers the Services to be performed in connection with this Agreement, in the minimum amount of $1,000,000 per claim and in the aggregate. Any policy inception date, continuity date, or retroactive date must be before the effective date of this agreement and Consultant agrees to maintain continuous coverage through a period no less than three years after completion of the services required by this agreement. (D) Workers' Compensation Insurance. Consultant shall maintain Workers' Compensation Insurance (Statutory Limits) and Employer's Liability Insurance (with limits of at least $1,000,000). Consultant shall submit to City, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of the City of Palm Desert, its officers, agents, employees and volunteers. (E) Umbrella or Excess Liability Insurance. Consultant may opt to utilize umbrella or excess liability insurance in meeting insurance requirements. In such circumstances, Consultant shall obtain and maintain an umbrella or excess liability insurance policy with limits that will provide bodily injury, personal injury and property damage liability coverage at least as broad as the primary coverages set forth above, including commercial general liability and employer's liability. Such policy or policies shall include the following terms and conditions: (1) A drop down feature requiring the policy to respond if any primary insurance that would otherwise have applied proves to be uncollectible in whole or in part for any reason; (2) Pay on behalf of wording as opposed to reimbursement; (3) Concurrency of effective dates with primary policies; and (4) Policies shall "follow form" to the underlying primary policies. (5) Insureds under primary policies shall also be insureds under the umbrella or excess policies. 3.2.11.2 Other Provisions or Requirements. (A) Proof of Insurance. Consultant shall provide certificates of insurance to City as evidence of the insurance coverage required herein, along with a waiver of subrogation endorsement for workers' compensation. Insurance certificates and endorsements must be approved by City's Risk Manager prior to commencement of performance. Current certification of insurance shall be kept on file with City at all times during the term of this contract. City reserves the right to require complete, certified copies of all required insurance policies, at any time. (BB&K 2018) 72500.00001\30613664 2 -6- (B) Duration of Coverage. Consultant shall procure and maintain for the duration of the contract insurance against claims for injuries to persons or damages to property, which may arise from or in connection with the performance of the Work hereunder by Consultant, his/her agents, representatives, employees or subconsultants. (C) Primary/Non-Contributing. Coverage provided by Consultant shall be primary and any insurance or self-insurance procured or maintained by City shall not be required to contribute with it. The limits of insurance required herein may be satisfied by a combination of primary and umbrella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and non-contributory basis for the benefit of City before the City's own insurance or self- insurance shall be called upon to protect it as a named insured. (D) City's Rights of Enforcement. In the event any policy of insurance required under this Agreement does not comply with these specifications, or is canceled and not replaced, City has the right, but not the duty, to obtain the insurance it deems necessary and any premium paid by City will be promptly reimbursed by Consultant, or City will withhold amounts sufficient to pay premium from Consultant payments. In the alternative, City may cancel this Agreement. (E) Acceptable Insurers. All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance or is on the List of Approved Surplus Line Insurers in the State of California, with an assigned policyholders' Rating of A- (or higher) and Financial Size Category Class VII (or larger) in accordance with the latest edition of Best's Key Rating Guide, unless otherwise approved by the City's Risk Manager. (F) Waiver of Subrogation. All insurance coverage maintained or procured pursuant to this agreement shall be endorsed to waive subrogation against the City of Palm Desert, its elected or appointed officers, agents, officials, employees and volunteers, or shall specifically allow Consultant or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Consultant hereby waives its own right of recovery against the City of Palm Desert, its elected or appointed officers, agents, officials, employees and volunteers, and shall require similar written express waivers and insurance clauses from each of its sub-contractors. (G) Enforcement of Contract Provisions (non estoppel). Consultant acknowledges and agrees that any actual or alleged failure on the part of the City to inform Consultant of non-compliance with any requirement imposes no additional obligations on the City nor does it waive any rights hereunder. (H) Requirements Not Limiting. Requirements of specific coverage features or limits contained in this Section are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any party or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any type. If the Consultant maintains higher limits than the minimums shown above, the City requires and shall be entitled to coverage for the higher limits maintained by the Consultant. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City. (BB&K 2018) 72500.00001\30613664 2 -7- (I) Notice of Cancellation. Consultant agrees to oblige its insurance agent or broker and insurers to provide to City with a thirty (30) day notice of cancellation (except for nonpayment for which a ten (10) day notice is required) or nonrenewal of coverage for each required coverage. (J) Additional Insured Status. General liability and automobile liability policies shall provide or be endorsed to provide that the City of Palm Desert and its officers, officials, employees, agents, and volunteers shall be additional insureds with regard to liability and defense of suits or claims arising out of the performance of the Agreement, under such policies. This provision shall also apply to any excess/umbrella liability policies. (K) Prohibition of Undisclosed Coverage Limitations. None of the coverages required herein will be in compliance with these requirements if they include any limiting endorsement of any kind that has not been first submitted to City and approved of in writing. (L) Separation of Insureds. A severability of interests provision must apply for all additional insureds ensuring that Consultant's insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the insurer's limits of liability. The policy(ies) shall not contain any cross-liability exclusions. (M) Pass Through Clause. Consultant agrees to ensure that its sub-consultants, sub-contractors, and any other party involved with the project who is brought onto or involved in the project by Consultant, provide the same minimum insurance coverage and endorsements required of Consultant. Consultant agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this section. Consultant agrees that upon request, all agreements with consultants, sub-contractors, and others engaged in the project will be submitted to City for review. (N) City's Right to Revise Specifications. The City reserves the right at any time during the term of the contract to change the amounts and types of insurance required by giving the Consultant ninety (90) days advance written notice of such change. If such change results in substantial additional cost to the Consultant, the City and Consultant may renegotiate Consultant's compensation. (0) Self-Insured Retentions. Any self-insured retentions must be declared to and approved by City. City reserves the right to require that self-insured retentions be eliminated, lowered, or replaced by a deductible. Self-insurance will not be considered to comply with these specifications unless approved by City. (P) Timely Notice of Claims. Consultant shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Consultant's performance under this Agreement, and that involve or may involve coverage under any of the required liability policies. (Q) Additional Insurance. Consultant shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the Services. (BB&K 2018) 72500.00001\30613664 2 -8- 3.2.12 Water Quality Management and Compliance. 3.2.12.1 Storm Water Management. Storm, surface, nuisance, or other waters may be encountered at various times during the Services. Consultant hereby acknowledges that it has investigated the risk arising from such waters, and assumes any and all risks and liabilities arising therefrom. 3.2.12.2 Compliance with Water Quality Laws, Ordinances and Regulations. Consultant shall keep itself and all subcontractors, staff, and employees fully informed of and in compliance with all local, state and federal laws, rules and regulations that may impact, or be implicated by the performance of the Services including, without limitation, all applicable provisions of the City's ordinances regulating water quality and storm water; the Federal Water Pollution Control Act (33 U.S.C. § 1251, et seq.); the California Porter-Cologne Water Quality Control Act (Water Code § 13000 et seq.); and any and all regulations, policies, or permits issued pursuant to any such authority. Consultant must additionally comply with the lawful requirements of the City, and any other municipality, drainage district, or other local agency with jurisdiction over the location where the Services are to be conducted, regulating water quality and storm water discharges. 3.2.12.3 Standard of Care. Consultant warrants that all employees and subcontractors shall have sufficient skill and experience to perform the work assigned to them without impacting water quality in violation of the laws, regulations and policies described in Section 3.2.12.2 of this Agreement. Consultant further warrants that it, its employees and subcontractors have or will receive adequate training, as determined by the City, regarding these requirements as they may relate to the Services. 3.2.12.4 Liability for Non-compliance. (A) Indemnity: Failure to comply with laws, regulations, and ordinances listed in Section 3.2.14.2 of this Agreement is a violation of federal and state law. Notwithstanding any other indemnity contained in this Agreement, Consultant agrees to indemnify and hold harmless the City, its officials, officers, agents, employees and authorized volunteers from and against any and all claims, demands, losses or liabilities of any kind or nature which the City, its officials, officers, agents, employees and authorized volunteers may sustain or incur for noncompliance with the laws, regulations, and ordinances listed above, arising out of or in connection with the Services, except for liability resulting from the sole established negligence, willful misconduct or active negligence of the City, its officials, officers, agents, employees or authorized volunteers. (B) Defense: City reserves the right to defend any enforcement action or civil action brought against the City for Consultant's failure to comply with any applicable water quality law, regulation, or policy. Consultant hereby agrees to be bound by, and to reimburse the City for the costs associated with, any settlement reached between the City and the relevant enforcement entity. (C) Damages: City may seek damages from Consultant for delay in completing the Services caused by Consultant's failure to comply with the laws, regulations and policies described in Section 3.2.12.2 of this Agreement, or any other relevant water quality law, regulation, or policy. (BB&K 2018) 72500 00001\30613664.2 -9- 3.3 Fees and Payments. 3.3.1 Compensation. Consultant shall receive compensation, including authorized reimbursements, for all Services rendered under this Agreement at the rates set forth in Exhibit "A" attached hereto and incorporated herein by reference. The total compensation shall not exceed one hundred fifty thousand dollars ($150,000.00) without written approval of the City Council or City Manager as applicable. Extra Work may be authorized, as described below, and if authorized, will be compensated at the rates and manner set forth in this Agreement. 3.3.2 Payment of Compensation. Consultant shall submit to City annual invoices per the schedule set forth in Exhibit "A" attached hereto and incorporated herein by reference. City shall, within 30 days of receiving such invoice, review the invoice and pay all non-disputed and approved charges thereon. If the City disputes any of Consultant's fees, the City shall give written notice to Consultant within thirty (30) days of receipt of an invoice of any disputed fees set forth therein. Consultant shall submit its final invoice to City within thirty (30) days from the last date of provided Services or termination in accordance with section 3.6.1 and failure by the Consultant to submit a timely invoice may constitute a waiver of its right to final payment. 3.3.3 Reimbursement for Expenses. Consultant shall not be reimbursed for any expenses unless authorized in writing by City, or included in Exhibit "A" of this Agreement. 3.3.4 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 written authorization from the City. 3.3.5 Rate Increases. In the event that this Agreement is renewed pursuant to Section 3.1.2, the rate set forth in Exhibit "A" may be adjusted each year at the time of renewal as set forth in Exhibit "A." 3.4 Labor Code Requirements. 3.4.1 Prevailing Wages. Consultant is aware of the requirements of California Labor Code Section 1720, et seq., and 1770, et seq., as well as California Code of Regulations, Title 8, Section 16000, et seq., ("Prevailing Wage Laws"), which require the payment of prevailing wage rates and the performance of other requirements on "public works" and "maintenance" projects. If the Services are being performed as part of an applicable "public works" or "maintenance" project, as defined by the Prevailing Wage Laws, Consultant agrees to fully comply with such Prevailing Wage Laws. City shall provide Consultant with a copy of the prevailing rates of per diem wages in effect at the commencement of this Agreement. Consultant shall make copies of the prevailing rates of per diem wages for each craft, classification or type of worker needed to execute the Services available to interested parties upon request, and shall post copies at the Consultant's principal place of business and at the project site. It is the intent of the parties to effectuate the requirements of sections 1771, 1774, 1775, 1776, 1777.5, 1813, and 1815 of the Labor Code within this Agreement, and Consultant shall therefore comply with such Labor Code sections to the fullest extent required by law. Consultant shall defend, indemnify and hold the City, its officials, officers, employees, agents, and volunteers free and harmless from any claim or liability arising out of any failure or alleged failure to comply with the Prevailing Wage Laws. (BB&K 2018) 72500 00001\30613664.2 -10- 3.4.2 Registration/DIR Compliance. If the Services are being performed on a public works project of over $25,000 when the project is for construction, alteration, demolition, installation, or repair work, or a public works project of over $15,000 when the project is for maintenance work, in addition to the foregoing, then pursuant to Labor Code sections 1725.5 and 1771.1, the Consultant and all subconsultants must be registered with the Department of Industrial Relations ("DIR"). Consultant shall maintain registration for the duration of the project and require the same of any subconsultants. This project may also be subject to compliance monitoring and enforcement by the DIR. It shall be Consultant's sole responsibility to comply with all applicable registration and labor compliance requirements, including the submission of payroll records directly to the DIR. Any stop orders issued by the Department of Industrial Relations against Consultant or any subconsultant that affect Consultant's performance of services. including any delay, shall be Consultant's sole responsibility. Any delay arising out of or resulting from such stop orders shall be considered Consultant caused delay and shall not be compensable by the City. Consultant shall defend, indemnify and hold the City, its officials, officers, employees and agents free and harmless from any claim or liability arising out of stop orders issued by the Department of Industrial Relations against Consultant or any subconsultant. 3.4.3 Labor Certification. By its signature hereunder, Consultant certifies that it is aware of the provisions of Section 3700 of the California Labor Code which require every employer to be insured against liability for Worker's Compensation or to undertake self-insurance in accordance with the provisions of that Code, and agrees to comply with such provisions before commencing the performance of the Services. 3.5 Accounting Records. 3.5.1 Maintenance and Inspection. Consultant shall maintain complete and accurate records with respect to all costs and expenses incurred under this Agreement. All such records shall be clearly identifiable. Consultant shall allow a representative of City during normal business hours to examine, audit, and make transcripts or copies of such records and any other documents created pursuant to this Agreement. Consultant shall allow inspection of all work, data. documents, proceedings, and activities related to the Agreement for a period of three (3) years from the date of final payment under this Agreement. 3.6 General Provisions. 3.6.1 Termination of Agreement. 3.6.1.1 Grounds for Termination. The initial term of this agreement is for three (3) years with services invoiced annually. City may, by written notice to Consultant, terminate the whole or any part of this Agreement at any time and without cause by giving written notice to Consultant of such termination, and specifying the effective date thereof, at least sixty (60) days in advance of a yearly renewal. If the City cancels services prior to the expiration of the initial term, the City will be invoiced 10% of the total remaining balance. Consultant may not terminate this Agreement except for cause. 3.6.1.2 Effect of Termination. If this Agreement is terminated as provided herein, City may require Consultant to provide all finished or unfinished Documents and Data and other information of any kind prepared by Consultant in connection with the performance of Services under this Agreement. Consultant shall be required to provide such document and other information within fifteen (15) days of the request. (BB&K 2018) 72500.00001\30613664.2 -11- 3.6.1.3 Additional Services. In the event this Agreement is terminated in whole or in part as provided herein, City may procure, upon such terms and in such manner as it may determine appropriate, services similar to those terminated. 3.6.2 Delivery of Notices. All notices permitted or required under this Agreement shall be given to the respective parties at the following address, or at such other address as the respective parties may provide in writing for this purpose: Consultant: Buxton Company 2651 South Polaris Drive Fort Worth, TX 76137 ATTN: David Glover, Chief Financial Officer City: City of Palm Desert 73-510 Fred Waring Drive Palm Desert, CA 92260 ATTN: Martin Alvarez, Director of Economic Development Such notice shall be deemed made when personally delivered or when mailed, forty-eight (48) hours after deposit in the U.S. Mail, first class postage prepaid and addressed to the party at its applicable address. Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method of service. 3.6.3 Ownership of Materials and Confidentiality. 3.6.3.1 Documents & Data Licensing of Intellectual Property. This Agreement creates a non-exclusive and perpetual license for City to copy, use, modify, reuse: or sublicense any and all copyrights, designs, and other intellectual property embodied in plans, specifications, studies, drawings, estimates, and other documents or works of authorship fixed in any tangible medium of expression, including but not limited to, physical drawings or data magnetically or otherwise recorded on computer diskettes, which are prepared or caused to be prepared by Consultant under this Agreement("Documents& Data"). All Documents & Data shall be and remain the property of City, and shall not be used in whole or in substantial part by Consultant on other projects without the City's express written permission. Within thirty (30) days following the completion, suspension, abandonment or termination of this Agreement, Consultant shall provide to City reproducible copies of all Documents & Data, in a form and amount required by City. City reserves the right to select the method of document reproduction and to establish where the reproduction will be accomplished. The reproduction expense shall be borne by City at the actual cost of duplication. In the event of a dispute regarding the amount of compensation to which the Consultant is entitled under the termination provisions of this Agreement, Consultant shall provide all Documents & Data to City upon payment of the undisputed amount. Consultant shall have no right to retain or fail to provide to City any such documents pending resolution of the dispute. In addition, Consultant shall retain copies of all Documents & Data on file for a minimum of fifteen (15) years following completion of the Project, and shall make copies available to City upon the payment of actual reasonable duplication costs. Before destroying the Documents & Data following this retention period, Consultant shall make a reasonable effort to notify City and provide City with the opportunity to obtain the documents. 3.6.3.2 Subconsultants. Consultant shall require all subconsultants to agree in writing that City is granted a non-exclusive and perpetual license for any Documents & (BB&K 2018) 72500.00001\30613664.2 -12- Data the subconsultant prepares under this Agreement. Consultant represents and warrants that Consultant has the legal right to license any and all Documents & Data. Consultant makes no such representation and warranty in regard to Documents & Data which were prepared by design professionals other than Consultant or its subconsultants, or those provided to Consultant by the City. 3.6.3.3 Right to Use. City shall not be limited in any way in its use or reuse of the Documents and Data or any part of them at any time for purposes of this Project or another project, provided that any such use not within the purposes intended by this Agreement or on a project other than this Project without employing the services of Consultant shall be at City's sole risk. If City uses or reuses the Documents & Data on any project other than this Project, it shall remove the Consultant's seal from the Documents& Data and indemnify and hold harmless Consultant and its officers, directors, agents and employees from claims arising out of the negligent use or re-use of the Documents & Data on such other project. Consultant shall be responsible and liable for its Documents & Data, pursuant to the terms of this Agreement, only with respect to the condition of the Documents & Data at the time they are provided to the City upon completion, suspension, abandonment or termination. Consultant shall not be responsible or liable for any revisions to the Documents & Data made by any party other than Consultant, a party for whom the Consultant is legally responsible or liable, or anyone approved by the Consultant. 3.6.3.4 Indemnification — Proprietary Information. Consultant shall defend, indemnify and hold the City, its directors, officials, officers, employees, volunteers and agents free and harmless, pursuant to the indemnification provisions of this Agreement, for any alleged infringement of any patent, copyright, trade secret, trade name, trademark, or any other proprietary right of any person or entity in consequence of the use on the Project by City of the Documents & Data, including any method, process, product, or concept specified or depicted 3.6.3.5 Confidentiality. All ideas, memoranda, specifications, plans, procedures, drawings, descriptions, computer program data, input record data, written information, and other Documents & Data either created by or provided to Consultant in connection with the performance of this Agreement shall be held confidential by Consultant. Such materials shall not, without the prior written consent of City, be used by Consultant for any purposes other than the performance of the Services. Nor shall such materials be disclosed to any person or entity not connected with the performance of the Services or the Project. Nothing furnished to Consultant which is otherwise known to Consultant or is generally known, or has become known, to the related industry shall be deemed confidential. Consultant shall not use City's name or insignia, photographs of the Project, or any publicity pertaining to the Services or the Project in any magazine, trade paper, newspaper, television or radio production or other similar medium without the prior written consent of City. 3.6.3.6 Confidential Information. The City shall refrain from releasing Consultant's proprietary information ("Proprietary Information") unless the City's legal counsel determines that the release of the Proprietary Information is required by the California Public Records Act or other applicable state or federal law, or order of a court of competent jurisdiction, in which case the City shall notify Consultant of its intention to release Proprietary Information. Consultant shall have five (5) working days after receipt of the Release Notice to give City written notice of Consultant's objection to the City's release of Proprietary Information. Consultant shall indemnify, defend and hold harmless the City, and its officers, directors, employees, and agents from and against all liability, loss, cost or expense (including attorney's fees) arising out of a legal (BB&K 2018) 72500.00001\30613664.2 -13- action brought to compel the release of Proprietary Information. City shall not release the Proprietary Information after receipt of the Objection Notice unless either: (1) Consultant fails to fully indemnify, defend (with City's choice of legal counsel), and hold City harmless from any legal action brought to compel such release; and/or (2) a final and non-appealable order by a court of competent jurisdiction requires that City release such information. 3.6.4 Cooperation; Further Acts. The Parties shall fully cooperate with one another, and shall take any additional acts or sign any additional documents as may be necessary, appropriate or convenient to attain the purposes of this Agreement. 3.6.5 [Reserved] 3.6.6 Indemnification. 3.6.6.1 To the fullest extent permitted by law, Consultant shall defend (with counsel of City's choosing), indemnify and hold the City, its officials, officers, employees, volunteers, and agents free and harmless from any and all claims, demands, causes of action, costs, expenses, liability, loss, damage or injury of any kind, in law or equity, to property or persons, including wrongful death, in any manner arising out of, pertaining to, or incident to any acts, errors or omissions, or willful misconduct of Consultant, its officials, officers, employees. subconsultants or agents in connection with the performance of the Consultant's Services, the Project or this Agreement, including without limitation the payment of all damages, expert witness fees and attorney's fees and other related costs and expenses. Consultant's obligation to indemnify shall survive expiration or termination of this Agreement and shall not be restricted to insurance proceeds, if any, received by Consultant, the City, its officials, officers, employees, agents, or volunteers. 3.6.6.2 If Consultant's obligation to defend, indemnify, and/or hold harmless arises out of Consultant's performance as a "design professional" (as that term is defined under Civil Code section 2782.8), then, and only to the extent required by Civil Code section 2782.8, which is fully incorporated herein, Consultant's indemnification obligation shall be limited to claims that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Consultant, and, upon Consultant obtaining a final adjudication by a court of competent jurisdiction, Consultant's liability for such claim, including the cost to defend, shall not exceed the Consultant's proportionate percentage of fault. 3.6.7 Entire Agreement. This Agreement contains the entire Agreement of the parties with respect to the subject matter hereof, and supersedes all prior negotiations, understandings or agreements. This Agreement may only be modified by a writing signed by both parties. 3.6.8 Governing Law; Government Code Claim Compliance. This Agreement shall be governed by the laws of the State of California. Venue shall be in Riverside County. In addition to any and all contract requirements pertaining to notices of and requests for compensation or payment for extra work, disputed work, claims and/or changed conditions, Consultant must comply with the claim procedures set forth in Government Code sections 900 et seq. prior to filing any lawsuit against the City. Such Government Code claims and any subsequent lawsuit based upon the Government Code claims shall be limited to those matters that remain unresolved after all procedures pertaining to extra work, disputed work, claims, and/or changed conditions have been followed by Consultant. If no such Government Code claim is (BB&K 2018) 72500.00001\30613664.2 -14- submitted, or if any prerequisite contractual requirements are not otherwise satisfied as specified herein, Consultant shall be barred from bringing and maintaining a valid lawsuit against the City. 3.6.9 Time of Essence. Time is of the essence for each and every provision of this Agreement. 3.6.10 City's Right to Employ Other Consultants. City reserves right to employ other consultants in connection with this Project. 3.6.11 Successors and Assigns. This Agreement shall be binding on the successors and assigns of the parties. 3.6.12 Assignment or Transfer. Consultant shall not assign, hypothecate, or transfer, either directly or by operation of law, this Agreement or any interest herein without the prior written consent of the City. Any attempt to do so shall be null and void, and any assignees, hypothecates or transferees shall acquire no right or interest by reason of such attempted assignment, hypothecation or transfer. 3.6.13 Construction; References; Captions. Since the Parties or their agents have participated fully in the preparation of this Agreement, the language of this Agreement shall be construed simply, according to its fair meaning, and not strictly for or against any Party. Any term referencing time, days or period for performance shall be deemed calendar days and not work days. All references to Consultant include all personnel, employees, agents, and subconsultants of Consultant, except as otherwise specified in this Agreement. All references to City include its elected officials, officers, employees, agents, and volunteers except as otherwise specified in this Agreement. The captions of the various articles and paragraphs are for convenience and ease of reference only, and do not define, limit, augment, or describe the scope, content, or intent of this Agreement. 3.6.14 Amendment; Modification. No supplement, modification, or amendment of this Agreement shall be binding unless executed in writing and signed by both Parties. 3.6.15 Waiver. No waiver of any default shall constitute a waiver of any other default or breach, whether of the same or other covenant or condition. No waiver, benefit, privilege, or service voluntarily given or performed by a Party shall give the other Party any contractual rights by custom, estoppel, or otherwise. 3.6.16 No Third-Party Beneficiaries. There are no intended third party beneficiaries of any right or obligation assumed by the Parties. 3.6.17 Invalidity; Severability. If any portion of this Agreement is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in full force and effect. 3.6.18 Prohibited Interests. Consultant maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Consultant, to solicit or secure this Agreement. Further, Consultant warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working (BB&K 2018) 72500.00001\30613664.2 -15- solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement. For breach or violation of this warranty, City shall have the right to rescind this Agreement without liability. For the term of this Agreement, no member, officer or employee of City, during the term of his or her service with City, shall have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom. 3.6.19 Authority to Enter Agreement. Consultant has all requisite power and authority to conduct its business and to execute, deliver, and perform the Agreement. Each Party warrants that the individuals who have signed this Agreement have the legal power, right, and authority to make this Agreement and bind each respective Party. 3.6.20 Counterparts. This Agreement may be signed in counterparts, each of which shall constitute an original. 3.7 Subcontracting. 3.7.1 Prior Approval Required. Consultant shall not subcontract any portion of the work required by this Agreement, except as expressly stated herein, without prior written approval of City. Subcontracts, if any, shall contain a provision making them subject to all provisions stipulated in this Agreement. [SIGNATURES ON NEXT PAGE] (BB&K 2018) 72500.00001\30613664.2 -16- SIGNATURE PAGE TO PROFESSIONAL SERVICES AGREEMENT BY AND BETWEEN THE CITY OF PALM DESERT AND BUXTON CITY OF PALM DESERT BUXTON COMPANY By: By: Lauri Aylaian Name: David Glover City Manager Title: Chief Financial Officer Attest: Rachelle D. Klassen City Clerk Approved as to Form: Robert Hargreaves Best Best & Krieger LLP City Attorney (BB&K 2018) 72500.00001\30613664 2 -17- EXHIBIT "A" SCOPE OF SERVICES (BB&K 2018) 72500.00001\30613664.2 EXHIBIT "A" • ` 44. ci> Proposal RETAIL RECRUITMENT & RETENTION SOLUTION Prepared by: Lisa McCoy BuNdon OUR VALUE PROPOSITION Page 2 of 12 Since our founding in 1994, Buxton has been a leading force in retail site selection and development. We are recognized for creating solutions that provide results. Buxton began as a service to help retailers make informed site selection decisions by understanding their customers and precisely determining their markets. Buxton soon realized that the company's expertise in retail site and market analysis could also be leveraged to benefit communities desiring retail expansion. BUXTON'S AWARDS & HONORS RFr�arionia� EY Entrepreneur RETAILr FAST@MPANY '� or The Year Named to"The List of People Most Innovative Customer Service Shaping Retail's Future" Company of the Year #2 on the Fast SCE Department of the Year More than simply providing data, Buxton supplies custom marketing materials and strategies targeting the unique site requirements of retailers. developers, and commercial real estate brokers. Buxton clients achieve outstanding success using our tools for retail identification, selection, and recruitment. Clients benefit from Buxton's unique understanding of site selection from the retailer's point of view. • Grow Your Community.Create new, permanent jobs that will satisfy your citizens' desire to shop at home; retain dollars currently spent outside of your community and maximize revenue growth to fund city services • Leverage Buxton's Retail Industry Expertise. Establish credibility with decision makers by providing factual evidence to support your site and gain a competitive position by leveraging our experience: • 4,000+ total clients from the retail, restaurant, healthcare, and public sector industries • 800+ public sector clients nationwide • 40+ million square feet of retail space recruited • 500+ cumulative years of retail management and economic development experience • Access Your Buxton Solution with Ease. Utilize your best-in-class retail recruitment solution via SCOUT" with the touch of a button from any mobile device:gain answers to your retail recruitment and site analysis questions and have the big picture in the palm of your hand • Develop a Long-Term Partnership. Receive personal guidance and ongoing insight into key industry topics 2651 South Polaris Drive Fort Worth, TX 76137 1-888-2BUXTON www.buxtonco.com BU" tOfl Page 3 of 12 BUXTON DIFFERENTIATORS Buxton Strategic Relationships Buxton is engaged in an agreement with one of the largest credit card companies in the world. Buxton's customer analytics have the ability to incorporate aggregated and de-identified data to help you enhance your location and customer intelligence. We also partner with LSMx to provide our public sector clients with complimentary, monthly subscriptions to distribute to local retailers, restaurants and service providers to assist with local store marketing efforts and strengthen the business climate in their communities. Best-in-Class Capabilities Buxton relies on its best-in-class data and technology to provide the best possible experience for all of our clients. Buxton manages ninety (90) terabytes of data with more than 250 national databases.Our data sources allow us to solve the most complex questions in the retail,healthcare, and economic development industries today. Our continual advances in technology, data, and methodology, including our SCOUT platform, have allowed us to outpace and out-think our competition and have kept us at the leading edge of big data analytics. Our best-in-class data and technology also provide us with unparalleled ability to scale our business and solutions to meet our clients' ever-changing needs and to answer their most challenging business questions. DATA SET INCLUDES: • 250 databases • 7,500 data • Lifestyle ■ Granularity to the elements characteristics household-level • 90 terabytes of • 14 million business with 115 million transactional data records households • Demographics • 70+ business data • Up to 8 individuals • Psychographics elements per household SCOUT The most technologically advanced, simple-to-use, data visualization tool in the market, SCOUT, is used by executives to execute real estate, marketing,operational, and economic development strategies and to answer complex business questions.SCOUT is web-based, extremely easy-to-use, and is accessible on any computer or iPad/tablet with an Internet connection. SCOUT provides your team with access to your unique deliverables, both in the field and in the office, to conduct demographic reporting with the click of a mouse or a touch of a finger on an iPadltablet. Customer Service There are a number of things that differentiate Buxton from its competition, but we are most proud of our service to our clients. We are committed to exceeding your expectations and helping you optimize your organization. As a Buxton client you will constantly be impressed by our attention to detail, our responsiveness, and our never-ending drive to assist you. Our number one goal is to ensure you are beyond satisfied with our solutions and that we are able to solve your most pressing and important business questions. First and foremost, at the heart of our company's culture resides a spirit of unparalleled service to our clients.We take pride in our "whatever it takes" attitude and in making you,our client,successful.We go the extra mile to take care of our clients and to ensure their business needs are proactively met. Multiple Data-Driven Solutions Buxton's household-level data can be used to support local government decisions in a variety of areas. Key examples include city services analysis (such as library and fire services) and hotel feasibility studies. These analyses may be conducted under a separate scope of work as part of Buxton's ongoing partnership with the City of Palm Desert. 2651 South Polaris Drive Fort Worth, TX 76137 1-888-2BUXTON www.buxtonco.com Btrao 1 Page 4 of 12 Benefits of Partnership Buxton confirms its ability to provide the following firm differentiators: • Personalized Content - Advance the City of Palm Desert's business recruitment program by providing personal guidance from professional staff and ongoing insight into key industry topics via a variety of channels • Long-term Partnership-Unlimited access to consultant staff throughout the duration of the agreement • Exclusive Access-Ability to utilize Buxton's data relationships to access data and develop an actionable program to recruit retail • Web-based Deliverable - Access to a best-in-class online web-mapping platform with the touch of a button. This application allows screen shots, mobility, and ease of use to assist in business growth objectives.See full description of SCOUT Touch under the Scope of Work. Insight into Retail/Restaurant Concepts One of the elements that sets Buxton apart in the retail recruitment service industry is this: we are a company that was founded by retailers. After nearly a decade of helping retailers and restaurants understand their customers and select sites, we used our inside knowledge of the site selection process to develop a service for city governments. Today,we continue to be the leading customer analytics firm for retailers and restaurants.Our city government clients benefit from using the same type of analytics technology and research that our retail clients depend on to make critical location investment decisions, and our site reports are known and trusted throughout the retail industry. While we do have thousands of unique and regional retailers in our portfolio;some nationally named retail and restaurant clients include, but are not limited to, the following: • Trader Joe's • Edible Arrangements • BJ's Restaurants&Brewhouse • Wingstop • Sally Beauty • Avenue • California Pizza Kitchen • Firehouse Subs • Anthropologie • O'Reilly Auto Parts • Bed, Bath & Beyond • Honeybaked Ham • Zaxby's • Restoration Hardware • Tuesday Morning • Lowe's • Which Wich • McAlister's Deli • Pier 1 Imports • At Home 2651 South Polaris Drive Fort Worth, TX 76137 1-888-2BUXTON www.buxtonco.com BU" _tOfl Page 5 of 12 SCOPE OF SERVICES Buxton is pleased to present this proposal to the City of Palm Desert, CA. The purpose of this proposal is to outline and review your community development objectives and how Buxton's solutions will enhance your ability to effectively meet those objectives. City of Palm Desert's Objectives: 1. Understand current retail and restaurant economic condition 2. Recruit new retailers and restaurants 3. Retain existing retailers and restaurants Retail Recruitment and Retention Solution: Your Community Profile Our solution is a total marketing strategy that enables community leaders to understand the consumer profile of their residents and to identify specific retailers and restaurants who seek a market with household purchasing habits just like yours. This solution provides you with the ability to actively pursue identified retailers, making a compelling case for their expansion to the City of Palm Desert by utilizing custom marketing packages that Buxton will create for you. You will have access to the same analytical information and insights retailers depend on today to make site selection decisions. This knowledge will provide you with instant credibility and the ability to differentiate your community. Step 1 - Research Your Community Buxton uses over 250 consumer and business databases that are updated regularly and compares your potential sites to the universe of all competing sites operating in the U.S. We define your current retail situation and those in any neighboring communities that impact your retail environment. Step 2 - Define and Evaluate Your Trade Area Customers shop by convenience, measuring distance based on time, not mileage. We will conduct a custom drive-time analysis to determine your trade area using our proprietary methodology and knowledge of individual retail clients' actual trade areas.Your drive-time trade area will be provided to you as a map that accurately depicts your consumer shopping patterns. Step 3- Profile Your Trade Area's Residential Customers Your community profile will analyze every household in your drive-time trade area. Based on more than 7,500 categories of lifestyles, purchase behaviors, and media reading and viewing habits (psychographics), the households in your trade area are assessed to gain an understanding of the types of retailers that would be attracted to your site. Step 4- We Match Retailers and Restaurants to Market Potential Buxton will match the consumer profile of your community's trade area against the customer profiles of 5.000+ retailers in our proprietary database. We will identify the similarity between the two profiles analyzed using Buxton's proprietary retail matching algorithm to determine if your site presents an attractive opportunity for each retailer. We then qualify the list of matched results to verify that a retailer is currently operating or expanding, that they operate in similar sites, and that your site affords adequate buffer from competition and cannibalization to be realistically considered. 2651 South Polaris Drive Fort Worth, TX 76137 1-888-2BUXTON www,buxtonco,com BU1Ofl Page 6 of 12 Step 5-We Create Marketing Packages Buxton will assemble individualized marketing packages for up to twenty (20) targeted retailers. We will notify each retailer's key real estate decision maker by letter, informing them that they have been qualified by Buxton as a potential viable fit for your site and should expect to be contacted by a representative of the city. Your marketing packages will be delivered to you in SCOUT and include a: 1. Map of the retail site and trade area 2. Map of the retailer's potential customers 3. Retailer match report that compares the site's trade area characteristics and consumer profile with the retailer's sites in similar trade areas Step 6-We Provide Ongoing Recruitment Support The Buxton account management team is dedicated to your success and a world-class client experience and partnership. Their sole purpose is to help you drive success in your community's retail economic development efforts. In addition to preparing custom reports and introductory letters to inform retailers on your match list of the opportunities in your community, Buxton will expand and sharpen your business development focus by incorporating best practices we have discovered through daily work with local governments across the nation. Items to bolster the recruitment strategy will include: • Provision of updated contacts for retailers • Cross reference the ICSC attendee list with Palm Desert's match list to help with appointment setting. Also, provide use of booth space during the event. • Issuance of warm-up letters on your behalf to "break the ice" with retailers • Attendance to conference calls with community and retailers/brokers, when available • Support in recruiting potential opportunities including recommending methods of contact and assisting with prospect calls to matched retailers • Continued monitoring of progress with retail outreach and advice on how to enhance marketability to retailers Step 7-We Provide Business Retention Tools Buxton will provide reports through SCOUT that can be used to support business retention efforts by helping local business owners to make better business decisions. In addition, Buxton is pleased to offer the City of Palm Desert access to LSMx. LSMx, which stands for Local Store Marketing powered by Buxton, is a customer acquisition solution designed specifically for small business owners and franchisees. The City of Palm Desert can also leverage this tool to support local businesses and entrepreneurs, foster an environment that encourages private-public partnerships, and strengthen the business climate in their community. Upon execution of the LSMx Addendum, the City of Palm Desert will have access to up to 25 complimentary "LSMx monthly subscriptions/license codes to distribute to local retailers, restaurants and service providers. Solution Deliverables: • SCOUT Touch access • Drive time trade area maps • Retail site assessment • Retailer specific marketing packages(for up to twenty(20)retailers) • Mobile tablet device at completion with pre-loaded findings • Recruitment support • *LSMx subscriptions(for up to twenty-five(25)monthly license codes) Multi Year Deliverables: Years 2 and 3 of this agreement will include a Retail Recruitment model refresh, retail marketing packages, ongoing account management support, *LSMx subscriptions,and full access to SCOUT and SCOUT Touch. 2651 South Polaris Drive Fort Worth, TX 76137 1-888-2BUXTON www,buxtonco.com BU\tOfl Page 7 of 12 'LSMx deliverables are subject to the City of Palm Desert executing the LSMx Addendum and the terms and conditions described therein. 2651 South Polaris Drive Fort Worth, TX 76137 1-888-2BUXTON www.buxtonco.com BU' tOfl Page 8 of 12 Access and Use Your Retail Recruitment and Retention Solution via SCOUT Touch Buxton's Retail Recruitment and Retention solution will allow you to actively recruit retailers to your community and support existing businesses with the push of a button in SCOUT Touch, providing you with crucial information about your community, your trade areas, your residents, and much more. SCOUT is a web-based platform that is accessible on any Windows or IOS enabled device with an Internet connection. It is designed to give decision-makers in your community access to the data and solutions that will assist them in making better business decisions. The Retail Recruitment and Retention solution includes one (1)mobile tablet device that will be provided at completion and pre-loaded with all key findings. This mobile tablet device, possession of the City of Palm Desert, enables four (4) SCOUT users with the ability to run demographic and trade area profile reports, and view maps and other data elements. In Buxton's SCOUT Touch you will be able to: • Identify retail matches • See aerial view • Run variable reports • View physician intelligence • View city limit maps • Run comparable reports • Run healthcare reports • Run demographic reports Support local business retention and expansion efforts with reports contained in the SCOUT reporting suite, including but not limited to: Consumer Propensity Report Create Profiles Report Quantifies likelihood of consumers of a given Profiles a specific trade area to determine the trade area to consume various goods and likes/dislikes, spending behavior, and marketing services or possess certain attitudes and opinions. preferences of the households and workers This report can help local entrepreneurs, business within that geography. This report can help local owners and store managers better optimize their businesses evaluate a market's retail potential or merchandise/product offerings or their local enhance marketing efforts. marketing strategies. Retail Leakage and Surplus Report Count Base Daytime Population Report Quantifies the potential surplus or leakage in a Examines the workforce in the study area and trade area. This guide can help businesses provides a count of the workforce population by understand how well the retail needs of residents industry. This report allows retail and restaurant are being met, uncover unmet demand and owners to gain insights about how the population opportunities, and measure the difference in the trade area differs during work hours so local between actual and potential retail sales. businesses can cater to different types of workers. • 44*-141 444> ti.R 2551 South Polaris Drive Fort Worth, TX 76137 1-888-2BUXTON www.buxtonco.com U. tO1l Page 9 of 12 SUPPORT SCOUT Technical Requirements SCOUT can be accessed at the following URL: www.buxtonco.com SCOUT is a web-based application accessible on any desktop, laptop, or mobile tablet device that has an Internet connection. When operating SCOUT, Buxton's recommended hardware configuration is 4-core CPU, 4 GB RAM (or higher). Examples include most modern-day laptops or desktops purchased within the last 3 years, iPad Pro 2017 or newer, Microsoft Surface Pro 2 or newer, or Samsung Galaxy Tab S3. The recommended browser for accessing SCOUT is the latest version of Chrome. Buxton's Helpdesk (1-817-332-3681)is available during normal office hours(8:00 AM-5:30 PM CST,excluding weekends and public holidays). Buxton's Helpdesk team will be available to support all educational, functional, and technical inquiries and will respond to all requests within twenty-four (24)hours of submission. Buxton's Helpdesk Monday-Friday: 8:00 am - 5:30 pm CST 2651 South Polaris Drive Fort Worth, TX 76137 1 888 28UXTON www.buxtonco.com BU' iOfl Page 10 of 12 Preparatory Steps for Project Kick-off To effectively initiate this project, we request that you provide the following: 1. Project Liaisons Please designate a primary point of contact from your community to coordinate with the Buxton team.The Buxton project team will serve as your day-to-day point of contact to ensure you are educated and informed as we are moving through the analytics process to determine which retailers are the best fit for your community. 2. Community Information and Reports • Logo (vector file-request from your ad agency and/or printer) • Addresses and descriptive information for the specified sites that will be evaluated • List of planned retail, commercial or mixed use developments (either proposed or in development) • List of major, national or regional retailers that have closed, left or moved from the community 3. Project Launch A conference call with your representatives and the Buxton project team will officially launch the project. The project launch will occur when: 1. An agreement is executed 2. The initial payment is received, and 3. The Community Information and Reports are received To ensure we deliver our analysis to you within the promised timeline, our account manager will be working directly with a dedicated project manager who oversees the smooth and timely development of all public sector client projects in our internal analytics departments. 2651 South Polaris Drive Fort Worth, TX 76137 1 888 2BUXTON www.buxtonco.com BU'\COn Page 11 of 12 TERM, FEES, AND DELIVERY Annual Fee $50,000 Agreement Term Year 1 Fee(50%invoiced upon execution of this agreement; S50,000 50%invoiced upon targeted retailer identification) Year 2 Fee(Invoiced 1 v anniversary of this agreement) $50,000 Year 3 Fee(Invoiced end anniversary of this agreement) $50,000 Delivery The City of Palm Desert will have access to retail match lists and marketing packages within sixty (60) business days of execution. Your SCOUT access will be enabled within ten(10)business days of the execution of this agreement.The City of Palm Desert will have access to retail match lists and marketing packages within Sixty(60)business days of execution.The initial term of this agreement is for three(3)years with services invoiced annually.However,at any time during this initial 3-year term, the City of Palm Desert may cancel services for the following year by providing written notice to Buxton at least sixty(60)days in advance of a yearly renewal.If the City of Palm Desert cancels services prior to the expiration of the initial term,the City of Palm Desert will be invoiced 10%of the total remaining balance.All service fees associated with this agreement are due in net ten(10)days of the date of the invoice.Execution of this agreement will act as full consent that Buxton may include the City of Palm Desert on its client list and in presentations and public relations efforts. Additionally,Buxton may issue a press release announcing the City of Palm Desert as a client.When doing so,Buxton will not reveal information that is confidential and proprietary to the City of Palm Desert. Buxton City of Palm Desert, CA Signature Signature Printed Name Printed Name Title Date Title Date Please provide us with a primary point of contact Please provide us with a primary point of for invoice receipt. contact. Name: Name: Phone: Phone: Email: Email: Preferred Method of Receipt: Email OR U.S.Mail 2651 South Polaris Drive Fort Worth, TX 76137 1-888-2BU)(TON www.buxtonco.com BU\_tOfl Page 12 of 12 PROJECT TIMELINE •Acquire retail location areas from the City of Palm Desert Within sea o) business days of •SCOUT access executed J agreeement • Research and verify the City of Palm Desert's retail trade area • Define drive-time trade areas I 010 • Evaluate the City of Palm Desert's retail potential •Analyze retail leakage/surplus • Examine local business retention and expansion •Determine customer profile J •Assess retail sites •Determine matching retailers and restaurants market potential • Deliver marketing packages and begin Within sixty(60) communication with retailers business days post data _} acquisition 2651 South Polaris Drive Fort Worth, TX 76137 1-888-2BUXTON www.buxtonco.com BU" tOfl LSMx Addendum Business Retention Supplement Bu ton LSM , � Page 2 of 4 City of Palm Desert, CA This Addendum is entered into between the City of Palm Desert, CA ("Palm Desert"), Buxton Company ("Buxton"), and LSMx, Inc. ("LSMx") (each a "Party" and collectively the "Parties").This Addendum is attached to and made part of the Agreement between Buxton and Palm Desert, dated ("Buxton Agreement"). The purpose of this Addendum is to provide Palm Desert with access to LSMx software subscriptions for the Term of the Buxton Agreement, unless terminated earlier as set forth in the Buxton Agreement, The Parties acknowledge that this Addendum and each of its provisions is expressly contingent upon the Buxton Agreement and associated fees remaining in full force and effect, Background LSMx, which stands for Local Store Marketing powered by Buxton, is a proprietary customer acquisition solution designed specifically for small business owners and franchisees. Local governments and economic development agencies can also leverage this tool to support local businesses and entrepreneurs, foster an environment that encourages private-public partnerships, and strengthen the business climate in their community. For each month of the Term of the Buxton Agreement, Palm Desert will have access to up to 25 complimentary LSMx monthly subscriptions. Deliverables and Terms • Up to 25 LSMx subscriptions will be provided at no additional charge to Palm Desert for designation of access at Palm Desert's sole discretion to local retail, restaurant and service provider subscribers(each a "subscriber")during the Term of the Buxton Agreement. • Any default or termination under the Buxton Agreement will also constitute a default and termination under this Addendum. In the event that the Buxton Agreement is terminated, the 25 monthly subscriptions will be canceled,at which time, each Subscriber will have the option of continuing their subscription at standard rates. Standard rates will be the prevailing rate at the time of concelation. • All fees associated with advertising campaigns executed via the LSMx software by the subscriber are at an additional cost to the subscriber. Each subscriber executing advertising campaigns within the LSMx software are responsible for such costs via the credit card information they provide in the LSMx software. • If Palm Desert requests services not specified in this Addendum, the parties shall enter into an additional Addendum setting forth the additional services, fees, and other mutually agreed upon terms. • The Parties to this Addendum expressly agree to the following terms and conditions: ❑ Each subscriber will be subject to the applicable terms and conditions contained in the LSMx software license agreement accessed via the LSMx software. a The LSMx software is provided to each subscriber under a non-exclusive, non- transferable, limited, non-sublicensable, revocable license to access and use the LSMx software. ❑ The LSMx software is not being sold to Palm Desert or a subscriber and it is not available for resell. o The LSMx software license does not convey any rights in or to the LSMx software or any patent, copyright, trademark or any other intellectual property rights of LSMx. LSMx retains all right, title, and interest in and to the LSMx software (including any upgrades, improvements, modifications, derivatives, and refinements to the LSMx software). 2651 South Polaris Drive Fort Worth, TX 76137 1-888-2BUXTON www.buxtonco.com Bu% CO Page 3 of 4 The parties hereby agree to and accept the terms of this Addendum as of the date written below. Buxton Company City of Palm Desert, CA By: By: Name: David Glover Name: Title: Chief Financial Officer Title: Date: Date: LSMx, Inc. By: Name: David Glover Title: Chief Financial Officer Date: 2651 South Polaris Drive Fort Worth, TX 76137 1-858-2BUXTON www,buxtonco.com BU" tOfl Page 4 of 4 LSM 1Benefits Powered by Bu wn LSMx, Local Store Marketing powered by Buxton, is a simple, but powerful, customer acquisition solution, that allows local business owners to easily see and understand: • Who and where their best potential customers are coming from • How far their most valuable customers are willing to drive to their location • How many potential customers are near or around them LSMx: • Alerts users about upcoming local events that could be driving business • Shows where specific competitors are in relation to potential customers • Highlights traffic congestion that might interfere with performance Key Differentiator LSMx completely executes marketing campaigns to the potential customers users see right from their mobile device in just minutes. Local businesses can target the potential customers that LSMx identifies with any or all the following marketing channels: • Direct Mail • Email • Facebook • Google • Mobile Banner Ads Benefits to the City of Palm Desert • Encourages private-public partnerships • Supports local businesses • Provides local businesses with resources (analytics, application, marketing automation, marketing execution) normally reserved for much larger entities • Supports business retention • Supports localization efforts • Supports increase in local tax income because businesses can be more successful 2651 South Polaris Drive Fort Worth, TX 76137 1-888-2BUXTON I www.buxtonco.com Btraon