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HomeMy WebLinkAbout7/25/2007 - STAFF REPORTS - 2.Q. FPPLMSao i2 c u v N� 4�IFORa�P City Council Staff Report DATE: July 25, 2007 Consent Calendar SUBJECT: Event Sponsorship Agreement with Parades of Palm Springs for Sponsorship of the 2007 Festival of Lights Parade FROM: David H. Ready, City Manager BY: Parks and Recreation Department SUMMARY The City has been the Title Sponsor of the Festival of Lights Parade since its inception over sixteen years ago. This action will approve a Sponsorship Agreement with Parades of Palm Springs to produce the 2007 Festival of Lights Parade, which is scheduled for the first Saturday in December. In addition, staff is requesting that the City Council approve a resolution amending the current year budget to reflect the correct sponsorship amount for this parade. RECOMMENDATION: 1. Adopt a Minute Order No -- approving a Sponsorship Agreement with Parades of Palm Springs to produce the 2007 Festival of Lights Parade. 2. Adopt Resolution No "A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA AMENDING THE BUDGET FOR THE 2007-08 FISCAL YEAR." 3. Authorize the City Manager to execute all documents necessary to effectuate the agreement. STAFF ANALYSIS: The City Council recognizes the intrinsic value of cultural and promotional events and the role they play in enhancing and expanding the economic vitality and image of the City. The City has been the Title Sponsor of the Festival of Lights Parade since its inception in 1995. This perennial event, which is held at night along Palm Canyon Drive, draws tens of thousands of people to the downtown area to view the wonderfully illuminated floats, equestrian units, and marching bands. ITEM NO. City Council Staff Report July 25, 2007-- Page 2 Sponsorship Agreement with Parades of Palm Springs The 2007 Festival of Lights Parade will be held on the first Saturday in December, Under the proposed Sponsorship Agreement, Parades of Palm Springs, which is a local non-profit public benefit corporation, will organize, manage and produce the parade. In addition, Parades of Palm Springs will be responsible for all promotional activities related to the parade. This includes arranging and buying advertising space in local newspapers, preparing press releases and marketing materials to promote the parade, and coordinating local and regional public relations. To plan and produce the parade, the City pays a sponsorship fee to Parades of Palm Springs. Last year, Parades of Palm Springs requested and the City Council approved an increase in the sponsorship. The current sponsorship fee is Forty Thousand Dollar ($40,000) cash sponsorship payable in three (3) separate installments. In addition to the cash sponsorship, the City provides, at no cost to Parades of Palm Springs, all public services, including police, fire, street maintenance and other City services deemed necessary to produce the parade. Finally, the City will make available, at no cost to the parade's organizer, its portable stage and entertainment unit. The total budget for these in-kind services is set at $38,000. Last year, the City spent the entire budgeted amount to support the parade. FISCAL IMPACT: Under the proposed Sponsorship Agreement, the City will provide a $40,000 cash sponsorship to Parades of Palm Springs to plan, manage and produce the Festival of Lights Parade. Unfortunately, the current year budget was not adjusted to reflect the new sponsorship amount that was approved by Council last year. As a result, a resolution amending the current year budget has been attached for Council consideration. Sharon Heider, Director Parks and Recreation T Butzla is . City Manager David Ready, City' a� e Attachments: 1. Minute Order 2. Resolution Amending Budget 3. Event Sponsorship Agreement 0660 2 MINUTE ORDER NO. APPROVING A SPONSORSHIP AGREEMENT WITH PARADES OF PALM SPRINGS TO PRODUCE THE 2007 FESTIVAL OF LIGHTS PARADE I, James Thompson, City Clerk of the City of Palm Springs, hereby certify that this Minute Order, approving a Sponsorship Agreement with Parades of Palm Springs to Produce the 2007 Festival of Lights Parade, was adopted by the City Council of the City of Palm Springs, California, in a meeting thereof held on the 25th day of July, 2007. James Thompson, City Clerk 06006J, RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA,AMENDING THE BUDGET FOR THE 2007-08 FISCAL YEAR. WHEREAS Resolution approving the budget forthe fiscal year2007-08 was adopted on 2007; and WHEREAS the City Manager has recommended, and the City Council desires to approve, certain amendments to said budget; NOW THEREFORE BE IT RESOLVED that the Director of Finance is authorized to record inter-fund cash transfers as required in accordance with this Resolution,and that Resolution adopting the budget for the 2007-08 fiscal year is hereby amended as follows.- SECTION 1. ADDITIONS Fund Activity Account Amount 112 Parades of Palm Springs 2018-45623 $10,000 Purpose: To provide additional funds for building repairs. SECTION 2. SOURCE Fund Activity Account Amount 101 Fund Balance 0000-29301 ($10,000) Adopted this day of 2007. AYES: NOES: ABSENT: Mayor ATTEST: James Thompson, City Clerk AGREEMENT FOR EVENT PROMOTION Parades of Palm Springs This Agreement governed by the laws of the State of California is made and entered into this 25th day of July, 2007 by and between the City of Palm Springs, a municipal corporation, hereinafter called "CITY' and Parades of Palm Springs, Incorporation, a California nonprofit corporation, hereinafter called "POPS", RECITALS WHEREAS, the City Council recognizes the intrinsic value of cultural and promotional events and the role they play in enhancing and expanding the economic vitality and image of the CITY; WHEREAS, the City Council provides funding assistance to eligible organization for the purpose of providing cultural and promotional events and/or activities that generally benefit the community; WHEREAS, POPS plans to produce the 2007 Festival of Lights Parade as described herein (hereinafter "LIGHTS PARADE"), WHEREAS POPS is a California Nonprofit Public Benefit Corporation authorized to engage in charitable and education activities as well as those activities permitted to be carried out by a corporation exempt from federal income tax under Section 501(c)(4) of the Internal Revenue Code and under Section 170(c)(2) of the Internal Revenue Code; WHEREAS, POPS needs financial assistance to produce the LIGHTS PARADE and has requested CITY sponsorship; WHEREAS, the City Council has determined that sponsorship of the LIGHTS PARADE would be of public benefit. NOW, THEREFORE, IT IS AGREED AS FOLLOWS: 1.0 PARADE DATE AND LOCATION 1.1.1 POPS shall organize, manage and produce the LIGHTS PARADE as generally described in Exhibit "A" and attached hereto and incorporated herein by this reference. 666065 AGREEMENT FOR EVENT PROMOTION Parades of Palm Springs 1.1.2 The Festival of Lights Parade shall be held on the first Saturday in December. The route and staging of this Parade shall be submitted to CITY for approval at least sixty (60) days prior to the event. In the event of inclement weather, POPS may request an alternate date for the Parade. In no event shall an alternate date be set without the express written approval of CITY. 2.0 TITLE SPONSOR 2.1.1 The parties hereby agree that the CITY shall be named the exclusive "title sponsor" of the LIGHTS PARADES and that no other sponsor shall appear in the title of the LIGHTS PARADE sponsored under this agreement. 2.1.2 The City shall be recognized as the "Title Sponsor" in all advertising. For promotional purposes the LIGHTS PARADE shall include the following credit line in all paid media (advertising), publications, and signage: "The City of Palm Springs Festival of Lights Parade." 3.0 SPONSORSHIP TERMS FOR THE CITY 3.1 To produce the LIGHTS PARADE contemplated under this Agreement, the CITY will provide POPS with Forty Thousand Dollar ($40,000) cash sponsorship (herein "Contract Sum"). POPS is responsible for raising all funds necessary to produce the LIGHTS PARADE in excess of the Contract Sum. 3.2 Provided POPS is not in default under this Agreement, the Contract Sum shall be paid as follows: (i) $15,000 at such time as this Agreement has been fully executed by both parties; (ii) the sum of $15,000 on or before October 15, 2007; and (iii) the sum of *10,000 on or before February 1 , 2003, City shall have no obligation to make the payment Lo POPS due February 1 , 2008 unless POPS has provided to City a written assessment of the LIGHTS PARADE as set forth in Section 4.1 .8 below. 4.0 PRODUCTION SERVICES TO BE PROVIDED BY POPS As the producer of the LIGHTS PARADE, POPS will provide production services including but not limited to the following and will accept full financial responsibility for such services: 4.1.1 Securing the necessary venues for the LIGHTS PARADE and related activities including, but not limited to the Volunteers Orientation Meeting/Party, Participant's Meeting, Post-Parade Sponsor Appreciation Ceremony, and other possible special events as approved by CITY. 4.1.2 Develop and submit a preliminary budget, schedule and list of entries participating in LIGHTS PARADE to CITY's Special Events Planning Team (herein 2 060O 0 AGREEMENT FOR EVENT PROMOTION Parades of Palm Springs "SEPT") at least Thirty (30) days prior to LIGHTS PARADE. Submit a final list of entries to SEPT no later than ten (10) days prior to the LIGHTS PARADE. 4.1.3 Coordinate routing and staging (pre and post) of the LIGHTS PARADE with SEPT. POPS shall be responsible for providing written notification to all property and business owners along the route of the LIGHTS PARADE concerning the anticipated date, time and length of any street closure. 4.1.4 Contracting and paying for all service vendors and technical support including, but not limited to sound, including a public address system, lighting (if applicable), bleachers, portable restrooms, shuttle bus service and security services at the LIGHTS PARADE and related activities described in Section 4.1.1. 4.1.5 Recruit, coordinate and supervise all volunteers and all their activities. 4.1.6 Obtain certificates of insurance and liability release forms from all entries, volunteers, sub-contractors and vendors participating in the LIGHTS PARADE. 4.1.7 POPS shall be responsible for all promotional activities related to the LIGHTS PARADE including: a) Arranging and buying advertising space in local newspapers and other publications to promote the LIGHTS PARADE and the CITY. Minimum advertising for the LIGHTS PARADE shall be provided in a geographical area which includes the High Desert, Inland Empire (San Bernardino and Riverside counties), San Diego County and the Coachella Valley. b) Preparing press releases and marketing materials to promote the LIGHTS PARADE. c) Coordinating local and regional public relations including the distribution of press materials to entertainment and travel writers. d) Coordinating with the CITY's Bureau of Tourism to promote LIGHTS PARADE. e) Promoting LIGHTS PARADE through personal appearances and/or the distribution of collateral materials. 4.1.8 POPS will provide a post event report summarizing the specific revenues and expenses associated with the production of the LIGHTS PARADE and a media listing, by publication and amount spent, of all advertising purchased by POPS to promote the LIGHTS PARADE. The post event report and media listing for the LIGHTS PARADE shall be delivered to the CITY's representative on or before February 1, 2007. 3 AGREEMENT FOR EVENT PROMOTION Parades of Palm Springs 4.2 DESCRIPTION OF SERVICES TO BE PROVIDED BY CITY 4.2.1 CITY agrees to provide, at no cost to POPS, all public services, including police services, emergency medical services, street maintenance services and other public services as may be deemed appropriate by SEPT, to produce the LIGHTS PARADE. 422 CITY agrees to make available, at no cost to POPS, the CITY'S portable stage and entertainment unit also know as the "Showmobile". 4.2.3 The CITY will make a concerted effort to promote the LIGHTS PARADE on the CITY's government access channel, website and other advertising and marketing vehicles as deemed appropriate. 4.2.4 The CITY shall direct its Bureau of Tourism to provide up Lo Five Thousand Dollars ($5,000) of in-kind marketing and advertising support (non-monetary) to POPS to promote and marketing the LIGHTS PARADE. The type and level of support shall be [he sole discretion of the Bureau of Tourism and may include, but is not limited to the preparation and distribution of press materials, collaborative promotions with other advertising efforts, and assistance with public relations. 5.0 TERM OF AGREEMENT 5.1 AGREEMENT PERIOD. Unless earlier terminated in accordance with Section 5.3 below, this Agreement shall be until June 30, 2008. Such term may be extended upon the mutual written consent of the parties hereto. 5.2 BREACH OF AGREEMENT. Any material deviation by POPS for any reason from the requirements hereof, or from any other provision of this Agreement, shall constitute a breach of this agreement and may be cause for termination at the election of CITY. CITY may terminate this Agreement, for cause, by giving ten (10) days' notice to POPS. In the event of termination by whatever means, CITY shall have the option to produce the LIGHTS PARADE itself or assign that responsibility to a third party. CITY reserves the right to waive any and all breaches of this Agreement, and any such waiver shall not be deemed a waiver of all previous or subsequent breaches. In the event CITY chooses to waive a particular breach of this Agreement, it may condition same on payment by POPS of actual damages occasioned by such breach of Agreement and shall make every effort to resolve the same quickly and amicably. 5.2 AGREEMENT TERMINATION. In the event POPS is unable to fulfill its responsibilities under this Agreement for any reason whatsoever, including circumstances beyond its control, CITY may terminate this Agreement in whole or in part in the same manner as for breach hereof and be entitled to the same rights on termination. t 4 AGREEMENT FOR EVENT PROMOTION Parades of Palm Springs 5.3 REIMBURSEMENT. All amounts paid to POPS pursuant to this Agreement shall be subject to reimbursement upon the occurrence of any of the following events: (a) POPS loses its tax-exempt status under Section 501 (c) (4) and 170 (c) (2) of the Internal Revenue Code, or (b) The dissolution of POPS; or (c) POPS terminates or attempts to terminate this Agreement for any reason other than City's failure to make payments as provided hereunder; or (d) POPS fails to fulfill the responsibilities, duties, and obligations set forth herein. 6.0 GENERAL 6A INDEMNITY. POPS and City agree that City, (its officers, employees and agents) should, to the extent permitted by law, be fully protected from any loss, injury, damage, claim, lawsuit, cost, expense, attorneys fees, litigation costs, defense costs, court costs or any other cost arising out of or in any way related to the performance of this agreement. Accordingly, the provisions of this indemnity provision are intended by the parties to be interpreted and construed to provide the fullest protection possible under the law to the City. POPS acknowledges that City would not permit the event described herein in the absence of this commitment from POPS to indemnify and protect City as set forth here. To the full extent permitted by law, POPS shall defend, indemnify and hold harmless City, its officers, agents, employees, and volunteers from all loss, cost, and expense arising out of any liability or claim of liability for personal injury, bodily injury to persons, contractual liability and damage to property sustained or claimed to have been sustained arising out of activities of the POPS or those of any of its officers, agents, or employees, whether such act is authorized by this Agreement or not; and POPS shall pay for any and all damage to the property of the City, or loss or theft of such property, done or caused by such persons. City assumes no responsibility whatsoever for any property placed on the premises. POPS further agrees to waive all rights of subrogation against City. The provisions of the Article do not apply to any damage or loss caused solely by the negligence of the City or any of its agents or employees. POPS agrees to obtain executed indemnity agreements with provisions identical to those set forth here in this section from each and every subcontractor, sub-tier contractor or any other person or entity involved by, for, with or on behalf of POPS in the performance or subject matter of this agreement. In the event POPS fails to obtain such indemnity obligations from others as required here, POPS agrees to be fully responsible according to the terms of this section. Failure of City to monitor compliance with these requirements imposes no additional obligations on City and will in no way act as a waiver of any rights hereunder. This obligation to indemnify and defend City as set forth herein is binding on the successors, 5 AGREEMENT FOR EVENT PROMOTION Parades of Palm Springs assigns, or heirs of POPS and shall survive the termination of this Agreement or this section. 6.2 INSURANCE POPS shall procure and maintain, at its sole cost and expense, in a form and content satisfactory to City, during the entire term of this Agreement including any extension thereof, the following policies of insurance (a) Commercial General Liability Insurance. A policy of commercial general liability insurance written on a per occurrence basis with a combined single limit of at least $1,000,000 bodily injury and property damage including coverages for contractual liability, personal injury, independent contractors, broad form property damage, products and completed operations. The Commercial General Liability Policy shall name the City of Palm Springs as an additional insured. (b) Worker's Compensation Insurance,. A policy of worker's compensation insurance in such amount as will fully comply with the laws of the State of California and which will include $1,000,000 employer's liability. (c) Additional Insurance. Policies of such other insurance may be required by the City's Risk Manager, 6.3 INSPECTION OF RECORDS. CITY shall have the right to monitor and inspect all work or records under this Agreement. 6A COMPLETE AGREEMENT. This Agreement contains all the terms and conditions agreed upon by the parties. No other understandings, oral or otherwise, regarding the subject matter of this Agreement shall be deemed to exist or to bind any of the parties hereto. This Agreement supersedes all previous agreements, if any, between the parties. 6.5 AMENDMENTS. Any alterations, variations, modifications or waivers of provisions to this Agreement shall be valid only when reduced to writing duly signed and attached to the original of this Agreement. 6.6 NOTICES. Communications among the parties hereto shall be addressed as follows: PARADES OF PALM SPRINGS Stan Barnes, President 255 N. El Cielo Road, Suite 402 Palm Springs, CA 92262 (760) 325-5749 FAX (760) 778-1090 CITY OF PALM SPRINGS David H. Ready, City Manager P.O. Box 2743 Palm Springs, CA 92262 (760) 322-8336 FAX (760) 323-8207 6 GG�r7 �j AGREEMENT FOR EVENT PROMOTION Parades of Palm Springs 6.7 CITY REPRESENTATION.The City Manager or his designee shall be designated the "Liaison Representative of City." POPS shall work closely with the Liaison Representative of City and provide regular updates to keep the CITY currently advised on the status of the LIGHTS PARADE. 6.8 COMPLIANCE WITH LAWS. POPS shall comply with all applicable federal, state, and local laws, ordinances and regulations. 6.9 STANDARD OF CARE. CITY relies upon the professional ability of POPS as a material inducement to entering into this Agreement. POPS agrees to use reasonable care and diligence in rendering services under this Agreement. POPS agrees that the acceptance of its work by CITY shall not operate as a waiver or release of said obligation of POPS. The absence, omission, or failure to include in this Agreement, items which are normally considered to be a part of generally accepted professional procedure or which involve professional judgment shall not be used as a basis for submission of inadequate work or incomplete performance. 6.10 DEMAND FOR ASSURANCE. Each party to this Agreement undertakes the obligation that the other's expectation of receiving due performance will not be impaired. When reasonable grounds for insecurity arise with respect to the performance of either party, the other may in writing demand adequate assurance of due performance and until he/she receives such assurance may, if commercially reasonable, suspend any performance for which the agreed return has not been received. "Commercially reasonable" includes not only the conduct of a party with respect to performance under this Agreement but also conduct with respect to other agreements with parties to this Agreement or others. After receipt of a justified demand, failure to provide within a reasonable time, but not exceeding ten (10) days, such assurance of due performance as is adequate under the circumstances of the particular case is a repudiation of this Agreement. Acceptance of any improper delivery, service, or payment does not prejudice the aggrieved party's right to demand adequate assurance of future performance. 6.11 THIRD PARTY BENEFICIARIES. Nothing contained in this Agreement shall be construed to create and the parties do not intend to create any rights in third parties. [SIGNATURE BLOCK NEXT PAGE] 7 AGREEMENT FOR EVENT PROMOTION Parades of Palm Springs IN WITNESS WHEREOF, the parties have executed and entered into this Agreement as of the date first written above CITY OF PALM SPRINGS ATTEST: a municipal corporation By: By: City Clerk City Manager CONTRACTOR: Check one:_Individual_Partnership_Corporation By: BY: Signature (notarized) Signature (notarized) Name:•,, Name: Title. Title (This Agreement nwst be nt,7ncd in the above space by one of -1 his A grecment must he signed to the above sp cc by one of the following:Chairman of the board, President or xrry VICC the follnwin, Scrrcizry,Chid Financial Offrrcr or,ny Presidenr) AssistmiTreiswcr) l sm of } State of 1l County of— lss counry i'l lss On ` bclore me. On. hefore nxo, _ personally appealed _ personally ippcnrn•d personally krwnm to me (or prnvm.l in me um the haws of sansfacrniy persunally knowm to me (ni proved w me on the has-is Of>lirhraury evidence) to he the person(s) whose name(,) Vi,e su6scnhed to the cvi&neo) ti)he thi pcnon(e) whose ngnm(s) rs/are sul+serncCJ to rho wuhrn instrument and ocknowludµd to me that he/she/nccy,xianiJ withua mauunitnt end wknowledged to me that executed the same in lvs/her/their authorize] eipinty(res), and that l+y tht, norm uz lus,hit/thou authuireil capanty(res), and that by his/hir/their sijmarwc(+) un di,, uistnunant the pL11111�(w), ur dac his/her/rhLu eislol[Hro(n) on the in trwncnt the ponun(s), or the entity upon behalf of which Ell. acted, uxecuicd the uiuuy upon buhall of whielt dl,, penon(a) acted, cxecuitJ the msttament meti uuwlr. WITNESS my hand and official nerd WITNESS my hand and of iuml seal Not iry Signature: Norary Si%;n tttirr• Notary Seal: Notary Seal 8 � krlJ6 2 AGREEMENT FOR EVENT PROMOTION Parades of Palm Springs EXHIBIT "A" SCOPE OF SERVICES Parades of Palm Springs ("POPS") shall organize, manage and produce an annual Festival of Lights Parade ("LIGHTS PARADE") along Palm Canyon Drive on the first Saturday in December of each year during the term of this Agreement. LIGHTS PARADE shall include no less than 50 entries consisting of lighted floats, big rigs equestrian units, marching bands, walkers, and automobiles.