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Home My WebLink AboutC29212 Fiscal Year 2011 / 2012 Amendment Advertising Services for El Paseo Business Improvement District (EPBID)CITY OF PALM DESERT STAFF REPORT REQUEST: APPROVE CONTRACT AMENDMENT NO. C29212 FOR FURINO GREENE CREATIVE INC. dba FG CREATIVE OF PALM DESERT, CALIFORNIA, IN THE AMOUNT OF $210,000 FOR ADVERTISING SERVICES AND EXPENDITURES FOR THE EL PASEO BUSINESS IMPROVEMENT DISTRICT FROM: Ruth Ann Moore, Economic Development Manager CONTRACTOR: Furino Greene Creative Inc. 74333 Highway 111, Suite 106 Palm Desert, CA 92260 DATE: June 23, 2011 CONTENTS: Contract Amendment C29212 Original Contract C29210 Recommendation By Minute Motion: 1. Approve Contract Amendment No. C29212 in the amount of $210,000 ($42,000 in Agency services and $168,000 in advertising and promotional expenditures); and 2. Authorize Mayor to execute said Contract Amendment. Funds have been included in the proposed Financial Plan for 2011/2012 Other Advertising, Account No. 271-4491-464-3215. This expenditure is not part of the General Fund. Executive Summary At the June 16, 2011, meeting of the El Paseo Business Improvement District (EPBID), the Board of Directors voted to approve recommending to the City Council a one-year extension pursuant to the provisions of the Furino Greene Creative, Inc. (FGCI) dba FG Creative contract that represents the district as its advertising agency. The total advertising budget to be administered by FGCI is $210,000 for the period of July 1, 2011 through June 30, 2012. FGCI's retainer fee of $3,500 per month will be paid from the $210,000 budget with the remainder going for advertising and promotional expenses. The retainer fee has remained the same for the past four years. FGCI has incorporated several production and event costs into their retainer fee in order to save on the budget. Funds are collected from the businesses through a special assessment fee and do not impact the General Fund. GArda\Agenda Items\2011\6-23-11\FurinoGreeneContractAmendment2 FY11-12 SR 6-23-2011.doc Staff Report Approval of Contract Amendment No. C29212 (Furino Greene Creative, Inc.) June 23, 2011 Page 2 Background In 2009, the EPBID was required to go out to bid for advertising services for the district, and City Council awarded the contract to Furino Greene Creative Inc. FGCI is responsible for overseeing the marketing and public relations plan for the EPBID, web page oversight, internal merchant communications, and event duties. The provisions in the contract allow for extensions up to two years and in 2010, the contract was extended for the first year. At the regular EPBID Board of Directors meeting on June 16, 2011, the Board voted to recommend a second, one-year extension to the City Council for the contract with FGCI. Therefore, staff recommends that City Council authorize the Mayor to execute the contract amendment with FGCI. Fiscal Analysis Fees for this contract are collected through a special assessment to the businesses. This contract does not impact the General Fund. SubBy: l ' uth nn Moor conomic Development Mgr. Paul S. Gibson, Finance Director Department Head L rthy, ACM for Rede lopment CITY COUNCIL ACTION APPROVED a�// DENIED RECEIVED OTHER MEETING DATE AYES: rLt r_tf 4,, hrntK ^Da;., -""� 7 NOES: Ne✓7c- AI3SF,NT: NDO e- ABSTAIN: ti'619 - VERIFIED E3Y: Original on File with City Clerk's 01fice GArda\Hgenda Items\2011\6-23-11\FurinoGreeneContractAmendment2 FY11-12 SR 6-23-2011.doc CONTRACT NO. C29212 AMENDMENT This agreement is entered into this 1st day of July 2011, by and between the City of Palm Desert, California ("City") and Furino/Greene Creative, Inc., dba FG Creative, for services and materials related to the advertising and promotions of the El Paseo Business Improvement District (EPBID"). RECITALS The City and Furino/Greene Creative, Inc. entered into an Agreement on September 1, 2009, for services and materials related to the advertising and promotions of the EPBID; 2. Per that agreement, the City Council has the right to extend the agreement for one year up to a three year period; and 3. The EPBID Board of Directors has recommended the services to the City Council. THEREFORE, for good and valuable consideration, including, without limitation, the mutual promises, conditions, and agreements set forth herein, the City and Furino/Greene Creative, Inc., agrees as follows: A. TERM The term of this Contract Amendment shall commence on July 1, 2011, and end on June 30, 2012. B. COMPENSATION The City's budget for advertising and publicizing the EPBID's facilities, services and events is estimated yearly at the sum of Two Hundred Thousand Dollars ($210,000). The City's liability for advertising materials and services under this Contract Amendment shall not exceed the amount budgeted therefore. 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 the Contract Amendment to be undertaken and furnished by Furino/Greene Creative, Inc., the City or its designee, after conferring with Furino/Greene Creative, Inc., 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 Furino/Greene Creative, Inc., as follows: C:\Users\jstanley\AppData\Local\Microsoft\Windows\Temporary Internet Files\Content.Outlook\Z8N72AB5\Furino Green Contract Amendment (2) 11-12.doc (i) In addition to the flat fee of $3,500 per month to cover services, Furino/Greene Creative, Inc., will bill for production of services such as radio production, print production, website updates and revisions, monthly newsletter production at costs approved by the City or its designee, after review and approval by the EPBID Board of Directors. This fee is inclusive of the total dollar figure of the contract as stated in Section 4 of the agreement. (ii) The City retains the right to increase, decrease, or with thirty (30) days notice to suspend or cancel the service for any period at any time. (iii) Should the contract be suspended or canceled or not renewed, all advertising materials, contracts taken on behalf of the EPBID, merchant newsletters, merchant contact lists and social media account information will be turned over to the City or its designee within thirty (30) days of the notice to cancel, suspend or non -renewal of the contract. The undersigned represents that they are authorized to execute this Contract Amendment on behalf of the parties hereto on whose behalf they purport to sign. This Contract Amendment shall be deemed executed on the date first above written. CITY OF PALM DESERT JEAN BENSON, MAYOR ATTEST: RACHELLE D. KLASSEN CITY CLERK Approved as to Form: DAVID J. ERWIN, CITY ATTORNEY Furino/Greene CREATIVE, INC. dba FG Creative STEPHANIE D. GREENE, CMD 2 C:\Users\jstanley\AppData\Local\Microsoft\Windows\Temporary Internet Files\Content.Outlook\Z8N72AB5\Furino Green Contract Amendment (2) 11-12.doc CONTRACT NO. C29212 AMENDMENT This agreement is entered into this 1st day of July 2011, by and between the City of Palm Desert, California ("City") and Furino/Greene Creative, Inc., dba FG Creative, for services and materials related to the advertising and promotions of the El Paseo Business Improvement District (EPBID"). RECITALS The City and Furino/Greene Creative, Inc. entered into an Agreement on September 1, 2009, for services and materials related to the advertising and promotions of the EPBID; 2. Per that agreement, the City Council has the right to extend the agreement for one year up to a three year period; and 3. The EPBID Board of Directors has recommended the services to the City Council. THEREFORE, for good and valuable consideration, including, without limitation, the mutual promises, conditions, and agreements set forth herein, the City and Furino/Greene Creative, Inc., agrees as follows: A. TERM The term of this Contract Amendment shall commence on July 1, 2011, and end on June 30, 2012. B. COMPENSATION The City's budget for advertising and publicizing the EPBID's facilities, services and events is estimated yearly at the sum of Two Hundred Thousand Dollars ($210,000). The City's liability for advertising materials and services under this Contract Amendment shall not exceed the amount budgeted therefore. 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 the Contract Amendment to be undertaken and furnished by Furino/Greene Creative, Inc., the City or its designee, after conferring with Furino/Greene Creative, Inc., 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 Furino/Greene Creative, Inc., as follows: C.WsersqstanWy%WDab&ocaP,MicrasoftlWindomITempomry Internet ResTontent IAdboMZ8N7 OSWunno Green Con"ct Amendment (2)11.12.doc (i) In addition to the flat fee of $3,500 per month to cover services, Furino/Greene Creative, Inc., will bill for production of services such as radio production, print production, website updates and revisions, monthly newsletter production at costs approved by the City or its designee, after review and approval by the EPBID Board of Directors. This fee is inclusive of the total dollar figure of the contract as stated in Section 4 of the agreement. (ii) The City retains the right to increase, decrease, or with thirty (30) days notice to suspend or cancel the service for any period at any time. (iii) Should the contract be suspended or canceled or not renewed, all advertising materials, contracts taken on behalf of the EPBID, merchant newsletters, merchant contact lists and social media account information will be turned over to the City or its designee within thirty (30) days of the notice to cancel, suspend or non -renewal of the contract. The undersigned represents that they are authorized to execute this Contract Amendment on behalf of the parties hereto on whose behalf they purport to sign. This Contract Amendment shall be deemed executed on the date first above written. CITY OF PALM DESERT JEAN BENSON, MAYOR ATTEST: By: RACHELLE D. KLASSEN CITY CLERK Approved as to Form: DAVID J. ERWIN, CITY ATTORNEY Furino/Greene CREATIVE, INC. dba FG Creative STEPHANIE D. GREENE, CMD 2 C:%Usmr stankq AppOeta%LOCSNAcrosoft%Windows%Temporary tntemat Fibs%CoManLOutlook%UN72AB5%Furino Green Cw*W Amendment (2)11.12.doe