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LG Chambers annual AGR reviewMEETING DATE: 6/16/14 ITEM NO: cos ���os COUNCIL AGENDA REPORT DATE: JUNE 5, 2014 TO: MAYOR AND TOWN COUNCIL FROM: GREG LARSON, TOWN MANAGER SUBJECT: ANNUAL RENEWAL OF AGREEMENT FOR SERVICES WITH THE LOS GATOS CHAMBER OF COMMERCE TO MANAGE THE TOWN'S INFORMATION CENTER AND COORDINATE THE LEADERSHIP LOS GATOS PROGRAM. RECOMMENDATION: Authorize the Town Manager to execute an agreement for services with the Los Gatos Chamber of Commerce in an amount not to exceed $50,000. BACKGROUND: In 2001, the current agreement for services was first executed to include the operation and management of the Town's Information Center, as well as coordination of the Town's annual Leadership Los Gatos program. DISCUSSION: The Town's Information Center provides residents and visitors with a location within the Central Business District to obtain information regarding various Town matters including: events, meetings, Town services information, business directories, relocation information, and various other subjects. The office is open to the public 40 hours per week, 52 weeks a year with the exception of scheduled holidays. The Center is also open on occasional Saturdays in an effort to maximize the Center's availability. Town membership in the Chamber is also included as part of the agreement. The Leadership Los Gatos program is designed to engage, educate and develop service- oriented individuals who live and/or work in Los Gatos for leadership roles in community and neighborhood organizations, schools, places of worship and Town government. The program includes ten sessions and PREPARED BY: MONICA RENN �1/ Economic Vitality Coordinator Reviewed by: Town Manager Town Attorney N:\MGRWdminWorkFi1m\2014 Comcil Reports\Jme 16\StaffReport for Chamber Rmewal 2014 15.docx PAGE 2 MAYOR AND TOWN COUNCIL SUBJECT: ANNUAL RENEWAL OF AGREEMENT FOR SERVICES WITH THE LOS GATOS CHAMBER OF COMMERCE TO MANAGE THE TOWN'S INFORMATION CENTER AND COORDINATE THE LEADERSHIP LOS GATOS PROGRAM JUNE 2, 2014 participants are required to apply and pay tuition for the program. Many employers will often sponsor their employees in this community program. Exhibit A provides a scope of the services above. In June 2013, Town Council requested more information be provided on the services that the Chamber of Commerce provides through the Town's Information Center, and questioned the Chamber's support of a matter before the Town Council given the Town's provision of funds to the Chamber. The Chamber of Commerce provided detailed information in response to the Council's request. This information was in the staff report provided to Town Council for the FY 2014 -2015 budget hearing. Language has been added to the contract with the Chamber of Commerce for FY 2014 -2015, section 2.9, requiring that an annual report and accounting of expenditures of the funds covered by the agreement be provided to the Town at the end of the fiscal year. To address the latter concern of the Council, language has been added to the contract under section 2.13, which disallows the use of any monies received under this agreement for the endorsement, opposition or participation in any political lobbying activity involved in the support or opposition to any candidate for public office or proposed ballot measure. CONCLUSION: It is recommended that the Town Manager execute the attached agreement for services with the Los Gatos Chamber of Commerce in the amount not to exceed $50,000. ENVIRONMENTAL ASSESSMENT: Is not a project defined under CEQA, and no further action is required. FISCAL IMPACT: There are sufficient funds available for this project in Program and Account number 1201 - 67102. Attachments: Agreement for Services including Exhibit A, Scope of Services AGREEMENT FOR SERVICES BY AND BETWEEN THE TOWN OF LOS GATOS AND THE TOWN OF LOS GATOS CHAMBER OF COMMERCE FISCAL YEAR 2013 -2014 THIS AGREEMENT is made and entered into on June 30, 2014, by and between TOWN OF LOS GATOS, a California municipal corporation, ( "Town") and LOS GATOS CHAMBER OF COMMERCE, ( "Consultant "), whose address is 10 Station Way, Los Gatos, California. This Agreement is made with reference to the following facts. I. RECITALS WHEREAS, TOWN appropriated funds in its Fiscal Year 2014/2015 Budget for allocation of funds, and; WHEREAS, Town desires to engage Consultant to provide services as permitted, and TOWN has appropriated funds for this purpose, to be utilized during the time period between July 1, 2014, and June 30, 2015, and; WHEREAS, CONSULTANT represents and warrants the truth of all statements contained in "Assurances" attached as Exhibit A and incorporated herein by reference. WHEREAS, TOWN and Los Gatos Chamber of Commerce has executed an Agreement since Fiscal Year 2001, and; WHEREAS, TOWN desires to engage the Consultant to provide Town Information Center and Leadership Los Gatos with the Town of Los Gatos Chamber of Commerce. 1.2 The Consultant represents and affirms that it is willing to perform the desired work pursuant to this Agreement. 1.3 Consultant warrants it possesses the distinct professional skills, qualifications, experience, and resources necessary to timely perform the services described in this Agreement. Consultant acknowledges Town has relied upon these warranties to retain Consultant. II. AGREEMENTS 2.1 Scope of Services. Consultant shall provide services as described in that certain Exhibit A Chamber of Commerce Scope of Services, which is hereby incorporated by reference and attached as Exhibit A. 2.2 Term and Time of Performance. This contract will remain in effect from July 1, 2014, to June 30, 2015. Consultant shall perform the services described in this agreement as follows: provide Town Information Center and Leadership Los Gatos as outlined in Exhibit A — Scope of Services. 2.3 Compliance with Laws. The Consultant shall comply with all applicable laws, codes, ordinances, and regulations of governing federal, state and local laws. Consultant represents and warrants to Town that it has all licenses, permits, qualifications and N: MMAdminworkfiles\2014 Council ReportsVune 16 \Chamber Agreement FY 14 15.Doc MOB Page I of 6 approvals of whatsoever nature which are legally required for Consultant to practice its profession. Consultant shall maintain a Town of Los Gatos business license pursuant to Chapter 14 of the Code of the Town of Los Gatos. 2.4 Sole Responsibility. Consultant shall be responsible for employing or engaging all persons necessary to perform the services under this Agreement. 2.5 Information/Renort Handling. All documents furnished to Consultant by the Town and all reports and supportive data prepared by the Consultant under this Agreement are the Town's property and shall be delivered to the Town upon the completion of Consultant's services or at the Town's written request. All reports, information, data, and exhibits prepared or assembled by Consultant in connection with the performance of its services pursuant to this Agreement are confidential until released by the Town to the public, and the Consultant shall not make any of the these documents or information available to any individual or organization not employed by the Consultant or the Town without the written consent of the Town before such release. The Town. acknowledges that the reports to be prepared by the Consultant pursuant to this Agreement are for the purpose of evaluating a defined project, and Town's use of the information contained in the reports prepared by the Consultant in connection with other projects shall be solely at Town's risk, unless Consultant expressly consents to such use in writing. Town further agrees that it will not appropriate any methodology or technique of Consultant which is and has been confirmed in writing by Consultant to be a trade secret of Consultant. 2.6 Compensation. Compensation for Consultant's professional services shall not exceed $50,000, for Town Information Center and for Leadership Los Gatos, inclusive of all costs. 2.7 Billing. Billing shall be monthly by invoice within thirty (30) days of the rendering of the service and shall be accompanied by a detailed explanation of the work performed as described in Exhibit A. Payment shall be net thirty (30) days. All invoices and statements to the Town shall be addressed as follows: Invoices: Town of Los Gatos Attn: Accounts Payable P.O. Box 655 Los Gatos, CA 95031 -0655 2.8 Availability of Records. Consultant shall maintain the records supporting this billing for not less than three years following completion of the work under this Agreement. Consultant shall make these records available to authorized personnel of the Town at the Consultant's offices during business hours upon written request of the Town. 2.9 Annual Report. Consultant shall provide an annual report and accounting of expenditures of the funds covered by this agreement at the end of the fiscal year. N:WGR\Adminworkfi1es\2014 Council Reports\June 16 \Chamber Agreement FY 14 15.Doc 052013 Page 2 of 6 2.10 Assignability and Subcontracting. The services to be performed under this Agreement are unique and personal to the Consultant. No portion of these services shall be assigned or subcontracted without the written consent of the Town. 2.11 Independent Contractor. It is understood that the Consultant, in the performance of the work and services agreed to be performed, shall act as and be an independent contractor and not an agent or employee of the Town. As an independent contractor he/she shall not obtain any rights to retirement benefits or other benefits which accrue to Town employee(s). With prior written consent, the Consultant may perform some obligations under this Agreement by subcontracting, but may not delegate ultimate responsibility for performance or assign or transfer interests under this Agreement. Consultant agrees to testify in any litigation brought regarding the subject of the work to be performed under this Agreement. Consultant shall be compensated for its costs and expenses in preparing for, traveling to, and testifying in such matters at its then current hourly rates of compensation, unless such litigation is brought by Consultant or is based on allegations of Consultant's negligent performance or wrongdoing. 2.12 Conflict of Interest. Consultant understands that its professional responsibilities are solely to the Town. The Consultant has and shall not obtain any holding or interest within the Town of Los Gatos. Consultant has no business holdings or agreements with any individual member of the Staff or management of the Town or its representatives nor shall it enter into any such holdings or agreements. In addition, Consultant warrants that it does not presently and shall not acquire any direct or indirect interest adverse to those of the Town in the subject of this Agreement, and it shall immediately disassociate itself from such an interest, should it discover it has done so and shall, at the Town's sole discretion, divest itself of such interest. Consultant shall not knowingly and shall take reasonable steps to ensure that it does not employ a person having such an interest in this performance of this Agreement. If after employment of a person, Consultant discovers it has employed a person with a direct or indirect interest that would conflict with its performance of this Agreement, Consultant shall promptly notify Town of this employment relationship, and shall, at the Town's sole discretion, sever any such employment relationship. 2.13 Use of Funds. The consultant shall not use any monies received under this agreement for the endorsement, opposition or participation in any political lobbying activity involved in the support or opposition to any candidate for public office or proposed ballot measure. 2.14 Equal Employment Opportunity. Consultant warrants that it is an equal opportunity employer and shall comply with applicable regulations governing equal employment opportunity. Neither Consultant nor its subcontractors do and neither shall discriminate against persons employed or seeking employment with them on the basis of age, sex, color, race, marital status, sexual orientation, ancestry, physical or mental disability, national origin, religion, or medical condition, unless based upon a bona fide occupational qualification pursuant to the California Fair Employment & Housing Act. N:\MGR\Adminworkfiles\2014 Council ReportsVune MChamber Agreement FY 14 15.Doc osno1s Page 3 of 6 III. INSURANCE AND INDEMNIFICATION 3.1 Minimum Scope of Insurance: i. Consultant agrees to have and maintain, for the duration of the contract, General Liability insurance policies insuring him/her and his/her firm to an amount not less than: one million dollars ($1,000,000) combined single limit per occurrence for bodily injury, personal injury and property damage. ii. Consultant agrees to have and maintain for the duration of the contract, an Automobile Liability insurance policy ensuring him/her and his/her staff to an amount not less than one million dollars ($1,000,000) combined single limit per accident for bodily injury and property damage. Consultant shall provide to the Town all certificates of insurance, with original endorsements effecting coverage. Consultant agrees that all certificates and endorsements are to be received and approved by the Town before work commences. iv. Consultant agrees to have and maintain, for the duration of the contract, professional liability insurance in amounts not less than $1,000,000 which is sufficient to insure Consultant for professional errors or omissions in the performance of the particular scope of work under this agreement General Liability: i. The Town, its officers, officials, employees and volunteers are to be covered as insured as respects: liability arising out of activities performed by or on behalf of the Consultant; products and completed operations of Consultant, premises owned or used by the Consultant. This requirement does not apply to the professional liability insurance required for professional errors and omissions. ii. The Consultant's insurance coverage shall be primary insurance as respects the Town, its officers, officials, employees and volunteers. Any insurance or self - insurances maintained by the Town, its officers, officials, employees or volunteers shall be excess of the Consultant's insurance and shall not contribute with it. Any failure to comply with reporting provisions of the policies shall not affect coverage provided to the Town, its officers, officials, employees or volunteers. iv. The Consultant's insurance shall apply separately to each insured against whom a claim is made or suit is brought, except with respect to the limits of the insurer's liability. NAMGR\Adminworkfilm\2014 Council Reports\June 16 \Chamber Agreement FY 14 15.Doc MOB Page 4 of 6 3.2 All Coverages. Each insurance policy required in this item shall be endorsed to state that coverage shall not be suspended, voided, cancelled, reduced in coverage or in limits except after thirty (30) days' prior written notice by certified mail, return receipt requested, has been given to the Town. Current certification of such insurance shall be kept on file at all times during the term of this agreement with the Town Clerk. 3.3 Workers' Compensation. In addition to these policies, Consultant shall have and maintain Workers' Compensation insurance as required by California law and shall provide evidence of such policy to the Town before beginning services under this Agreement. Further, Consultant shall ensure that all subcontractors employed by Consultant provide the required Workers' Compensation insurance for their respective employees. 3.4 Indemnification. The Consultant shall save, keep, hold harmless and indemnify and defend the Town its officers, agent, employees and volunteers from all damages, liabilities, penalties, costs, or expenses in law or equity that may at any time arise or be set up because of damages to property or personal injury received by reason of, or in the course of performing work which may be occasioned by a willful or negligent act or omissions of the Consultant, or any of the Consultant's officers, employees, or agents or any subconsultant. IV. GENERAL TERMS 4.1 Waiver. No failure on the part of either party to exercise any right or remedy hereunder shall operate as a waiver of any other right or remedy that party may have hereunder, nor does waiver of a breach or default under this Agreement constitute a continuing waiver of a subsequent breach of the same or any other provision of this Agreement. 4.2 Governing Law. This Agreement, regardless of where executed, shall be governed by and construed to the laws of the State of California. Venue for any action regarding this Agreement shall be in the Superior Court of the County of Santa Clara. 4.3 Termination of Agreement. The Town and the Consultant shall have the right to terminate this agreement with or without cause by giving not less than fifteen days (15) written notice of termination. In the event of termination, the Consultant shall deliver to the Town all plans, files, documents, reports, performed to date by the Consultant. In the event of such termination, Town shall pay Consultant an amount that bears the same ratio to the maximum contract price as the work delivered to the Town bears to completed services contemplated under this Agreement, unless such termination is made for cause, in which event, compensation, if any, shall be adjusted in light of the particular facts and circumstances involved in such termination. 4.4 Amendment. No modification, waiver, mutual termination, or amendment of this Agreement is effective unless made in writing and signed by the Town and the Consultant. 4.5 Disputes. In any dispute over any aspect of this Agreement, the prevailing party shall be entitled to reasonable attorney's fees, including costs of appeal. N:\MGR\Adminworkfiles\2014 Council ReportsVune 16 \Chamber Agreement FY 14 15.Doc MOB Page 5 of 6 4.6 Notices. Any notice required to be given shall be deemed to be duly and properly given if mailed postage prepaid, and addressed to: Town of Los Gatos LOS GATOS CHAMBER OF COMMERCE Attn: Town Clerk Attn: Zack Marks, Executive Director 110 E. Main Street 10 Station Way Los Gatos, CA 95030 Los Gatos, CA 95030 or personally delivered to Consultant to such address or such other address as Consultant designates in writing to Town. 4.7 Order of Precedence. In the event of any conflict, contradiction, or ambiguity between the terms and conditions of this Agreement in respect of the Products or Services and any attachments to this Agreement, then the terms and conditions of this Agreement shall prevail over attachments or other writings. 4.8 Entire Agreement. This Agreement, including all Exhibits, constitutes the complete and exclusive statement of the Agreement between the Town and Consultant. No terms, conditions, understandings or agreements purporting to modify or vary this Agreement, unless hereafter made in writing and signed by the party to be bound, shall be binding on either party. IN WITNESS WHEREOF, the Town and Consultant have executed this Agreement. Town of Los Gatos by: Greg Larson, Town Manager Recommended by: Moni&Kenn, Economic Vitality Coordinator Approved as to Form: Robert Schultz, Town Attorney Consultant, by: Title NAMMAdminworkfiles\2014 Council Reports\June 16 \Chamber Agreement FY 14 15.Doc 0511013 Page 6 of 6 EXHIBIT A CHAMBER OF COMMERCE SCOPE OF SERVICES FY 2014 -2015 SERVICE DESCRIPTION FTOWNFORMATION CENTER The Town Information Center is open 40 hours a week, 52 weeks a year excep n23SI for scheduled holiday closures. The Center will also be open occasionally on Saturdays and will be coupled with scheduled events to maximize the Center's visibility. Events will be posted at the Chamber and advertised in event marketing materials. Services for the Information Office include: • Town's membership in Chamber of Commerce • Responding to general questions about Los Gatos for residents and Town visitors. • Development and distribution of Los Gatos relocation packets. • Coordination and distribution of various Los Gatos marketing materials. Payment to be $2,917 per month, not to exceed $35,000 LEADERSHIP LOS GATOS $15,000.00 Coordination Fee: Town will pay Consultant $10,000 to coordinate the LLG program. Consultant will submit an invoice in the amount of $5,000 after the first session is held. Consultant will submit a second invoice for $5,000 after the final session is held. Tuition: Consultant will invoice Town $400 for each participating Town of Los Gatos employee; maximum tuition fee paid by Town will not exceed $2,000. Expenses: Consultant will use tuition fees paid by participants to offset program expenses. At year -end, Town will reimburse the Chamber up to $3,000 for expenses exceeding total tuition revenues. Payment will be based upon the Consultant's submittal of a year -end expenses sheet, identifying all program costs, and invoice. TOTAL $50,000.00 N: \MGR \Adminworkfi1es \2014 Council Reports \June 16 \Chamber Of Commerce Exhibit A FY 2014- 15.Docx THIS PAGE INTENTIONALLY LEFT BLANK