TO:
Honorable Mayor Powell and Members of the City Council
THROUGH:
David N. Carmany, City Manager
FROM:
Richard Thompson, Director of Community Development
SUBJECT:Title
Agreement with the Manhattan Beach Chamber of Commerce to provide certain economic services in exchange for $75,000, and a Lease Agreement with the Chamber for property located at 425 15th Street.
APPROVE
Body
_____________________________________________________________________
RECOMMENDATION:
Staff recommends that the City Council approve: a) a service contract totaling $75,000, and b) a no-cost office space lease.
FISCAL IMPLICATIONS:
The City Council allocated $75,000 in this year's budget to fund economic activities that are sponsored by the Chamber of Commerce.
BACKGROUND:
On June 5, 2012 the City Council allocated $75,000 in the fiscal year (FY) 2012-2013 budget as a placeholder for economic development. The City Council requested the Chamber meet with City staff to draft an agreement describing the services that will be performed in exchange for the funding.
The City has funded the Chamber over many years at various amounts. In 1998 the City provided $98,822 with continued increases each year to $195,996 in 2009. Due to budget constraints funding was reduced to $50,000 in 2010 and $25,000 in 2011. No funding was provided in FY 2011-2012, with the exception of free office space.
DISCUSSION:
Staff met with the Chamber on several occasions to discuss possible services that would benefit City businesses. Attached is an agreement proposed by the Chamber and supported by staff that is intended to support economic services in the City. The agreement includes scope of services for the period of July 1, 2012 through June 30, 2013. Three main tasks are identified in the agreement, followed by deliverables, timeline, and estimated cost. The three tasks are:
1. Create partnerships with the local business community to facilitate and enhance economic development. Work with the city and local businesses to increase business attraction and retention.
a. Complete Leakage study
b. Host Economic Forum
2. Develop Manhattan Beach Visitors Bureau to promote the city as the premier destination in Southern California.
a. Design website
b. Design destination guide and promotional material
3. Promote and implement economic development of Manhattan Beach by increasing visits from business travelers and visitors.
a. Host trade show
b. Host concierge event
The Chamber has been responsible for the Santa Float for many years. The float is owned and operated by them and stored at the city yard. Inasmuch as the Chamber is shifting their efforts toward more business services they would like another organization to take over the operation of the float. They are working toward finding another suitable group, not the city, to operate it and will continue to be responsible until that time.
The former agreement approved in 1989 is attached. It included both the services to be provided and a lease agreement for free office use. It was determined that the agreements should be separated into two separate documents. The lease agreement covers the Chamber's use of City facilities located next to Joslyn Center and the Post Office as their headquarters.
Attachments:
1. Chamber of Commerce Agreement 1989
2. Chamber of Commerce Agreement 2012
3. Agreement to Lease Office Space to Chamber of Commerce 2012