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AGENDA
SPECIAL MEETING OF THE
CITY COUNCIL AND THE REDEVELOPMENT AGENCY
AZUSA LIGHT AND WATER MONDAY,JULY 27,2009
729 NORTH AZUSA AVENUE Following the Utility Board Meeting
which will begin at 6:30 p.m.
A. PRELIMINARY BUSINESS
• Call to Order
• Roll Call
B. PUBLIC PARTICIPATION-Please note that public comments are welcomed by recognition of the
Mayor.
C. REPORTS,UPDATES,AND ANNOUNCEMENTS FROM STAFF/COUNCIL
1. Mayor Rocha-Discussion regarding Chamber Contract.
2. Mayor Pro-Tern Macias — Request for Boys Scout of America, Trail of the Valley District to use front lawn of City
Hall on August 8, 2009 for Pinewood Derby event.
D. JOINT CITY AND AGENCY AGENDA ITEM
1. AZUSA I-210 FREEWAY READER BOARD FINANCING AND ADVERTISING: RECOMMENDED
ACTION: City Council and Agency Board approve a loan between the City (Light and Water Fund) and the
Agency, authorize the City Manager to finalize and execute the necessary documents for the loan, and authorize the
City Manager to enter into agreement with the most qualified firm to represent the City in selling advertising on the
reader board.
E. CITY AGENDA ITEMS
1. APPROVAL OF USE/LEASE AGREEMENT WITH AZUSA PACIFIC UNIVERSITY FOR THE
SLAUSON PARK COMMUNITY POOL/AZUSA AQUATICS CENTER. RECOMMENDED ACTION:
Approve the Use/Lease Agreement with Azusa Pacific University for Slauson Park Community Pool/Azusa
Aquatics Center from September 9, 2009—April 22, 2010.
2. AGREEMENT WITH THE AZUSA CHAMBER OF COMMERCE FOR FY 2009/10. RECOMMENDED
ACTION: Select a subsidy payment option, authorize any budget amendments necessary for the subsidy payment,
and authorize staff to finalize and execute the Agreement Regarding Chamber of Commerce Funding and Support
between the City of Azusa and the Azusa Chamber Of Commerce for Fiscal Year 2009/10.
F. CLOSED SESSION
1. REAL PROPERTY NEGOTIATIONS (Gov. Code Sec. 54956.8)
Agency Negotiators: City Manager Delach and Assistant City Manager Makshanoff
Under Negotiation: Price and Terms of Payment
Address: 622 N. San Gabriel Avenue
Negotiating Parties: City of Azusa and City of Azusa Redevelopment Agency/Gonzalez John A/Miller
Christine A(Owners)
G. ADJOURNMENT
1. Adjourn
"In compliance with the Americans with Disabilities Act, if you need special assistance to participate in a city meeting,
please contact the City Clerk at 626-812-5229. Notification three (3) working days prior to the meeting or time when
special services are needed will assist staff in assuring that reasonable arrangements can be made to provide access to
the meeting."
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CONSENT CALENDAR
TO: HONORABLE MAYOR/CHAIRMAN AND CITY COUNCIL/AGENCY
BOARD MEMBERS
FROM: JAMES MAKSHANOFF, ASSISTANT CITY MANAGER
ALAN KREIMEIER, DIRECTOR OF ADMINISTRATIVE SERVICES
VIA: F.M. DELACH, CITY MANAGER` jU
DATE: JULY 27, 2009
SUBJECT: AZUSA I-210 FREEWAY READER BOARD FINANCING AND
ADVERTISING
RECOMMENDATION
The City Council and Agency Board approve a loan between the City (Light and Water
Fund) and the Agency, authorize the City Manager to finalize and execute the necessary
documents for the loan, and authorize the City Manager to enter into agreement with the
most qualified firm to represent the City in selling advertising on the reader board.
BACKGROUND.
On June 1, 2009, the City Council authorized staff to finalize a 5 year lease purchase
agreement with a private lender for the acquisition and installation of a new freeway
reader board on Azusa Ave. Subsequently, the selected lender (First Bank) backed out of
the deal citing a lack of experience and understanding of California Redevelopment
Finances.
Staff therefore proposes to utilize a loan from the City's Light and Water Fund to fund
the project under the same terms that were offered by the private lender.
• In the amount of$450,000 (Nominal Annual Interest Rate 5.5%) for a term of five
years with five annual payments of$99,885.
This loan would be an investment for the Light and Water Fund that would earn interest
at a substantially higher rate than currently offered by other qualified investments of
reserve funds.
Staff is currently in the process of reviewing proposals from advertising firms interested
in selling/managing advertising on the proposed reader board. The City has received the
following proposals from Lamar Advertising and Van Wagner:
• Lamar's proposal would yield the City 37.5% of gross revenues for advertising
sold. Based on Lamar's gross revenue projections of $25,000 - $45,000 per
month, Azusa's revenues projects to be from $112,500 to $202,500 per year.
• Van Wagner's proposal is on a sliding scale based on the amount of gross
revenues generated, and will yield the City 60%- 70% of gross revenues for
advertising sold. Based on Van Wagner's gross revenue projections of$18,000 -
$35,000 per month, Azusa's revenues project to be from $151,200 to $252,000
per year.
There are additional factors that staff will need to consider and possibly negotiate, such
as the length of the agreement, general qualifications, and the firm's ability to outreach to
local businesses. As a result staff needs additional time to finalize a contract. Due to the
cancellation of City Council & Utility Board meetings in the month of August, it is
recommended that the City Council authorize the City Manager to select and enter into an
agreement with the most qualified advertising firm in order to ensure that we have
sufficient lead time to maximize the earning potential of the reader board. The lead time
on construction of the sign is approximately 8-10 weeks, placing completion sometime
around October. Secured advertising for the completed reader board will ensure we
capitalize on premium holiday season advertisements.
FISCAL IMPACT
$499,425.00 is to be repaid to the City's Light and Water Fund by the Redevelopment
Agency from proceeds earned from the sale of advertising space on the reader board.
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AGENDA ITEM
TO: THE HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: JOE JACOBS, DIRECTOR OF RECREATION AND FAMILY SERVICES
VIA: F. M. DELACH, CITY MANAGER
DATE: JULY 27, 2009
SUBJECT: APPORVAL OF USE/LEASE AGREEMENT WITH AZUSA PACIFIC
UNIVERSITY FOR THE SLAUSON PARK COMMUNITY POOL/AZUSA
AQUATICS CENTER
RECOMMENDATION:
It is recommended that City Council approve the Use/Lease Agreement with Azusa Pacific
University for Slauson Park Community Pool/Azusa Aquatics Center from September 9, 2009 —
April 22, 2010.
BACKGROUND:
APU approached city staff with reference to renting the pool during the 2009-2010 School Year for
student swim classes and as a practice site for the new Intercollegiate Women's Water Polo Team.
In this collaborative effort, APU will have sole liability and responsibility for staffing the facility
during this period. Maintenance of the facility will be shared as per attached agreement.
FISCAL IMPACT:
The fiscal impact is minimal. APU would be responsible for all utility costs that would have been
necessitated with their use, specifically heating the pool at approximately$3,000/month.
Attachment: Use Lease Agreement
09-088
cc: James M. Candy T.
Fran D. Bill Odell, APU
Alan K. Terry Franson, APU
Joan A. Cary K.
CITY OF AZUSA
USE/LEASE AGREEMENT
(SLAUSON PARK COMMUNITY POOL/AZUSA AQUATICS CENTER)
THIS SWIMMING POOL USE AGREEMENT ("Agreement") is entered into this 9th
day of September, 2009, by and between the CITY OF AZUSA, a municipal corporation in the
County of Los Angeles, State of California, ("City") and AZUSA PACIFIC UNIVERSITY, a
religious, non-profit California corporation ("University"). City and University are sometimes
referred herein individually as "Party" and collectively as "Parties."
RECITALS
A. City is fee owner of that certain real property commonly known as Slauson Park,
located at 501 North Cerritos Avenue in the City of Azusa, County of Los Angeles, State of
California, herein by reference ("Property").
B. University desires to use the James Slauson Community Pool/Azusa Aquatics
Center located on the Property and City is willing to allow University use for the sole purpose of
Azusa Pacific's Aquatics Program which shall include courses in aquatics in addition to practices
for University's aquatics athletic teams.
NOW, THEREFORE, in consideration of the above facts and for the promises and
mutual covenants contained herein, the receipt and adequacy of which are hereby acknowledged,
the Parties agree to the following:
TERMS AND CONDITIONS
1. Effective Date; Term; Termination.
1.1 Effective Date. This Agreement shall become effective on September 9,
2009.
1.2 Term. Upon the effective date, City hereby allows University to use the
Property according to the terms and conditions set forth in this Agreement. The term of this
Agreement ("Term"), shall commence on the effective date and shall end no later than April 22,
2010.
1.3 Termination. Either party may terminate this Agreement if the other party
breaches any of its obligations provided for in this Agreement and the breaching party fails to
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cure such breach after receipt of a thirty (30) day notice to cure. Notwithstanding the foregoing,
this Agreement shall automatically terminate without any action or notice by either Party upon
the end of the Term.
2. Rent; Utilities; Other Fees
2.1 Rent. University shall pay rent to the City in the amount of City's actual
costs to heat, clean and maintain the chemical balance of the swimming pool located on the
Property; provided, however, that the total amount of such rent shall not exceed the sum of
Twenty Two Thousand, Five Hundred Dollars ($22,500) during the term of this Agreement.
2.2 Utilities. City shall pay the appropriate suppliers for all water, gas,
electricity, light, heat, telephone, power, and other utilities and communications services used by
University on the Property during the Term of this Agreement. City shall send monthly invoice
to University, which shall be responsible for payment to the City within thirty (30) days for
directly related gas costs. In addition University shall be responsible for any additions to
existing utilities (such as telephone service) if requested by University and approved by City
with respect to use and occupancy of the Property.
3. Use.
3.1 Permitted Use. The Property shall be used solely for the purpose of_APU
aquatics program (including aquatics classes). A schedule of practice times is attached hereto as
Exhibit A and may be modified as mutually agreed upon by University and City. University
shall not change the type of use of the Property without obtaining the prior written consent of the
City, which may be withheld in its sole and absolute discretion. The foregoing notwithstanding,
University in its possession, use and occupancy of the Property, agrees to observe and comply
with all restrictions, laws and ordinances affecting the Property or occupancy thereof. University
further agrees that no use shall be made of the Property which will cause cancellation of any
insurance policy covering the Property.
3.2 Permits and Licenses. University shall keep any and all applicable permits
and licenses required by the City or any federal, state or local authority in connection with the
permitted use of the Property, in good standing at all times during the term of this Agreement.
3.3 Standard of Care. University agrees to use all care and attention in use of
the Property consistent with standards applicable to public swimming facilities.
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4. Insurance.
4.1 Minimum Requirements. University shall, at its expense, procure and
maintain for the duration of the Agreement insurance, acceptable to the City, against claims for
injuries to persons or damages to the Property which may arise from or are in connection with
this Agreement.
4.1.2 Minimum Scope of Insurance. Coverage shall be at least as broad
as the latest version of the following: (1) General Liability: Insurance Services Office
Commercial General Liability coverage (occurrence form CG 0001); (2) Automobile Liability:
Insurance Services Office Business Auto Coverage form number CA 0001, code 1 (any auto);
and (3) Workers' Compensation and Employer's Liability: Workers' Compensation insurance as
required by the State of California and Employer's Liability Insurance.
4.1.3 Minimum Limits of Insurance. University shall maintain limits no
less than: (1) General Liability: $1,000,000 per occurrence for bodily injury, personal injury and
property damage. If Commercial General Liability Insurance or other form with general
aggregate limit is used, either the general aggregate limit shall apply separately to this
Agreement/location or the general aggregate limit shall be twice the required occurrence limit;
(2) Automobile Liability: $1,000,000 per accident for bodily injury and property damage; and
(3) Workers' Compensation and Employer's Liability: Workers' Compensation limits as required
by the Labor Code of the State of California, if applicable. Employer's Liability limits of
$1,000,000 per accident for bodily injury or disease.
4.1.4 Endorsements. The insurance policies shall contains the following
provisions:
(a) General Liability. The general liability policy shall be endorsed to
state that (1) the City and its directors, officials, officers, employees and agents shall be covered
as additional insureds with respect to the performance of the Agreement by the University and its
officials, officers, agents, representatives, employees or volunteers, including materials, parts or
equipment furnished in connection with such services; and (2) the insurance coverage shall be
primary insurance for the City and its directors, officials, officers, employees and agents, or if
excess, shall stand in an unbroken chain of coverage excess of the University's scheduled
underlying coverage. Any insurance maintained by the City or its directors, officials, officers,
employees and agents shall be excess of the University's insurance and shall not be called upon
to contribute with it in any way.
(b) Automobile Liability. The automobile liability policy shall be
endorsed to state that: (1) the City and its directors, officials, officers, employees and agents shall
be covered as additional insureds with respect to the ownership, operation, maintenance, use
loading or unloading of any auto owned, leased, hired or borrowed by the University or for
which the University is responsible; and (2) the insurance coverage shall be primary insurance as
respects the City and its directors, officials, officers, employees and agents, or if excess, shall
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stand in an unbroken chain of coverage excess of the University's insurance and shall not be
called upon to contribute with it in any way.
(c) Worker's Compensation and Employers Liability Coverage. The
insurer shall agree to waive all rights of subrogation against the City and its directors, officials,
officers, employees and agents for losses paid under the terms of the insurance policy which
arise from work performed by the University.
(d) All Coverages. Each insurance policy required by this Agreement
shall be endorsed to state that: (1) coverage shall not be suspended, voided, reduced, or canceled
without thirty (30) days prior written notice by first class mail has been given to the City.
4.1.5 Separation of Insureds., No Special Limitations. All insurance
required by this Section shall contain standard separation of insured provisions. In addition, such
insurance shall not contain any special limitations on the scope of protection afforded to the City
or its directors, officials, officers, employees and agents.
4.2 Verification of Coverage. University shall furnish City with original
certificates of insurance effecting coverage and endorsements required by this Agreement on
forms satisfactory to City. The certificates for each insurance policy shall be signed by a person
authorized by that insurer to bind coverage on its behalf, and shall be on forms provided by
University if requested. City reserves the right to require complete, certified copies of all
required insurance policies, at any time.
4.3 Personal Property. University shall, at its sole cost and expense and at all
times during the term of this Agreement, keep all University personal property on the Property
insured for its full replacement value by insurance companies authorized to do business in the
State of California against loss or destruction by fire and the perils commonly covered under the
standard extended coverage endorsement to fire insurance policies in the United States. No
provision of this Agreement shall be construed to impose any obligation upon City to insure
University's personal property.
4.4 Increases in Coverage. City may, from time to time, require University to
obtain (at University's expense) increases in both the types and amounts of coverage provided by
the insurances required to be maintained by University hereunder, upon City's determination that
such increases are reasonably necessary to maintain the level of protection provided to City
hereunder as of the effective date.
6. Cleanliness,Waste and Nuisance.
6.1 University shall keep the Property in a neat, clean and sanitary condition,
free from waste or debris and shall neither commit, suffer nor permit any waste or nuisance in or
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about the Property nor store materials hazardous to health or safety, and shall not permit the use
of the Property for any illegal purposes.
6.2 University agrees to keep Property in proper order and agrees to provide
all cleaning of inside restrooms, office, entry ways and pool deck as well as provide all supplies
necessary to operate its aquatics program during its use of Property. University will be
responsible for covering and removing pool cover on a daily basis.
7. Supervision; Security
7.1 Lifeguards. University agrees to provide, at its own cost, supervision by
certified lifeguards at all times of use. At least one lifeguard per twenty (20) individuals shall be
present and supervising the Program. University will maintain additional supervision of
participants while using the Property pursuant to existing requirements and policies established
by the City or University.
7.2 Security. University agrees to take responsible for security in the
pool and locker room areas during at all times of University use.
8. Assignments; Subleases; Transfers
University shall not voluntarily or by operation of law assign, transfer, sublet,
mortgage, or otherwise transfer or encumber all or any part of University's interest in this
Agreement or the Property, without City's prior written consent, which consent may be withheld
in its sole and absolute discretion. Any attempted action described above without the prior
written consent of City shall be void and University shall be deemed in default of this
Agreement. Any permitted assignments shall not relieve the assigning party from its liability
under this Agreement.
9. Condition of Property.
University represents that University has inspected and examined the Property
and accepts the Property in its present condition and agrees that City shall only make repairs or
improvements to Property on an as needed basis.
10. Damage to Property; Abandonment.
University agrees that University is jointly and severally liable for all damages to
the Property caused or permitted by the University or the guests, invitees, visitors, agents,
employees and independent contractors of University. University shall not vacate or abandon the
Property at any time during the Term of the Agreement.
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11. Alterations and Improvements
Notwithstanding University's obligations under Section 12.2, University shall not,
without the prior written consent of City, make any alterations, improvements or additions in or
about the Property.
12. Surrender of Leased Property; Improvements
12.1 Surrender. Upon the termination of the Agreement, University shall
surrender the Property in good order and condition, ordinary wear and tear or condemnation
excepted.
12.2 Improvements. All improvements on the Property at the expiration of the
term or earlier termination of this Agreement shall, without compensation to University, then
automatically and without any act of University or any third-party become City property.
University shall surrender the improvements to City at the expiration of the term or earlier
termination of this Agreement, free and clear of all liens and encumbrances, other than those, if
any, permitted under this Agreement or otherwise created or consented to in writing by City.
University agrees to execute, acknowledge, and deliver to City any instrument requested by City
as necessary in City's opinion to convey or otherwise perfect City's right, title, and interest to the
improvements and the Property.
13. Right of Entry; Inspection.
University shall permit City or City's agents, employees and representatives to
enter the Property at any time and without notice for the purpose of inspecting the Property.
14. Indemnification.
University shall defend, indemnify and hold 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, in law or equity, to property or persons,
including wrongful death, in any manner arising out of or incident to any alleged acts, omissions
or willful misconduct of the University, its officials, officers, employees, agents, consultants,
students, contractors and subcontractors arising out of or in connection with this Agreement. If
any action or proceeding is brought against City, its successors or assigns by reason of any claim,
University, upon notice from City, shall defend the claim at University's sole expense with
counsel satisfactory to City.
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15. Anti-Discrimination.
University agrees that this Agreement is made an accepted on and subject to the
conditions that there be no discrimination against or segregation of any person or groups of
person, on account of race, color, sex, age handicap, marital status, religion, nation origin or
ancestry in the use, occupancy, tenure or enjoyment of the Property, nor shall University, or any
person claiming under or through it, establish or permit any practice or practices of
discrimination or segregation with reference to the Property.
16. Events of Default.
Either of the following occurrences shall constitute "Events of Default"under this
Agreement:
16.1 University files a petition in bankruptcy or insolvency or for
reorganization or arrangement under the bankruptcy laws of the United States or under any
insolvency act of any state, or is dissolved, or makes an assignment for the benefit of creditors;
16.2 University breaches any of the other agreements, terms, covenants, or
conditions that the Agreement requires University to perform, and the breach continues for a
period of thirty (30) calendar days after notice by City to University; and
17. Remedies.
If any one (1) or more Events of Default set forth in Section 16 occurs and
University has not cured in the time provided for, then City may, at its election, terminate this
Agreement and recover possession of the Property. Nothing contained herein shall limit City
from pursuing, at any time, any remedy available to it at law or equity.
18. Miscellaneous.
18.1 No Waiver. No waiver or any condition or agreement in this Agreement
by either City or University shall imply or constitute a further waiver by such Party of the same
or any other condition or agreement.
18.2 Authority. Each of the persons executing this Agreement on behalf of
University warrants to City that Agreement is a duly authorized and existing California non-
profit corporation, that University is qualified to operate in the State of California, that
University has full right and authority to enter into this Agreement, and that each and every
person signing on behalf of University is authorized to do so. Upon City's request, University
shall provide evidence satisfactory to City confirming these representations.
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18.3 Notices. Any notice, request, demand, consent, approval, or other
communication required or permitted under this Agreement shall be written and shall be deemed
to have been given when personally delivered, sent by overnight delivery, or sent by certified or
registered mail, return receipt requested, addressed to:
City:
University:
Bill Odell
Athletic Director
Azusa Pacific University
With a copy to:
Mark S. Dickerson
Vice President for Legal and Community Affairs
Azusa Pacific University
901 E. Alosta Ave.
Azusa, CA 91702-7000
City or University may change its address for notification under this Agreement
by giving the other Party ten (10) calendar days' notice prior to the change.
18.4 Attorneys' Fees. In the event of the bringing of an action or suit by a
Party hereto against another Party hereunder by reason of a breach of any of the covenants or
agreements or any inaccuracies in any of the representations and warranties on the part of the
other Party arising out of this Agreement, then in that event, the prevailing Party in such action
or dispute, whether by final judgment, or out of court settlement shall be entitled to have and
recover of and from the other Party all costs and expenses of suit, including actual attorneys'
fees.
18.5 Binding Effect. This Agreement shall inure to the benefit of, and shall be
binding upon, City's successors and assigns. This Agreement shall inure to the benefit of, and
shall be binding upon, the University's successors and assigns so long as the succession or
assignment is permitted by Section 8.
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18.6 Governing Law; Venue. This Agreement shall be governed by the laws of
the State of California. Venue for any action filed with respect to the Agreement shall be in the
courts of the County of Los Angeles and all Parties agree to submit to the jurisdiction of said
courts.
18.7 Entire Agreement. This Agreement supersedes any prior agreements,
negotiations and communications, oral or written, and constitutes the entire agreement between
City and University as to the subject matter hereof. No subsequent agreement, representation, or
promise made by either Party hereto, or by or to an employee, officer, agent or representative of
either Party shall be of any effect unless it is in writing and executed by the party to be bound
thereby.
18.8 No Obligations to Third Parties. Except as otherwise expressly provided
herein, the execution and delivery of this Agreement shall not be deemed to confer any rights
upon, nor obligate any of the Parties thereto, to any person or entity other than the Parties hereto.
18.9 Amendment to this Agreement. The terms of this Agreement may not be
modified or amended except by an instrument in writing executed by each of the Parties hereto.
18.10 Fees and Other Expenses. Except as otherwise provided herein, each of
the Parties shall pay its own fees and expenses in connection with this Agreement.
18.11 No Partnership or Joint Venture. Nothing in this Agreement shall be
construed to render the City in any way or for any purpose a partner,joint venture, or associate in
any relationship with University other than that of City and University, nor shall this Agreement
be construed to authorize either to act as agent for the other.
18.12 Execution of Agreement; No Option. The submission of this Agreement
to University shall be for examination purposes only and does not and shall not constitute a
reservation of or option for University to lease, or otherwise create any interest of University in
the Property. Execution of this Agreement by University and its return to City shall not be
binding on City notwithstanding any time interval until City has in fact signed and delivered this
Agreement to University.
18.13 Partial Invalidity. If any provision of this Agreement is held by a court of
competent jurisdiction to be either invalid, void, or unenforceable, the remaining provisions of
this Agreement shall remain in full force and effect unimpaired by the holding.
18.14 Time of Essence. Time is expressly declared to be of the essence of this
Agreement.
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18.15 Recording. City may at any time during any term of this Agreement,
execute and record either this Agreement or a memorandum of this Agreement, which
memorandum University shall execute and acknowledge upon City's written request.
18.16 Severability. In the even any one or more provisions in this Agreement
shall, for any reason, be held invalid, illegal or unenforceable, such provision(s) shall be severed
from the Agreement but shall not affect any other provision of this Agreement.
IN WITNESS WHEREOF, City and University have executed this Agreement as
of the date first written above.
CITY OF AZUSA AZUSA PACIFIC UNIVERSITY
By: By:
City Manager/ or Designee Senior Vice President
ATTEST:
By:
City Clerk
CFO/Treasurer
APPROVED AS TO FORM:
City Attorney
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AZUSAL
AGENDA ITEM
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: F. M. DELACH, CITY MANAGER*
DATE: JULY 27, 2009
SUBJECT: AGREEMENT WITH THE AZUSA CHAMBER OF COMMERCE FOR FY
2009/10
RECOMMENDATION:
It is recommended that the City Council select a subsidy payment option, authorize any budget
amendments necessary for the subsidy payment, and authorize staff to finalize and execute the
Agreement Regarding Chamber of Commerce Funding and Support Between the City of Azusa
and the Azusa Chamber Of Commerce for Fiscal Year 2009/10.
BACKGROUND:
The Chamber has been an active principal advocate for business and has historically been
recognized as the representative of all businesses, which contribute substantially to the City's
revenue base. The Chamber's mission is "to serve as a catalyst in transformation of business and
economic climate, resulting in a healthier, more prosperous Azusa". Over the years the City has
partnered with the Chamber in playing a key support role in economic development and business
retention efforts.
As per previously approved agreements, the Azusa Chamber of Commerce ("Chamber") has
agreed to:
• Employ competent, professional personnel to carry on the promotional and advocacy
activities of the City.
• Represent the interests of all Azusa businesses in promoting economic development and
lawful and positive business and local sales revenue.
• Participate in marketing the City's advantages inside and outside the community to retain
and attract business and local sales revenue.
• Promote improvement strategies that enhance the value of property and stimulate
investment and development of vacant or underutilized properties.
Page 2
July 27,2009
To: Honorable Mayor and Members of the City Council
Re: Agreement with the Azusa Chamber Of Commerce for FY 2009/10
• Promote trade and business meetings and activities that further these goals.
• Expand services by including a Business Recognition Program, providing educational
programs, disseminating legislative and other information to the business community on
behalf of the City, and increasing marketing activities to promote the City.
In FY 2008/09, the Chamber met their primary goals, evidenced by their progress reports to City
Council during the year.
In 2007, contribution reduction benchmarks to encourage the Chamber to become self-sufficient
were added to their Agreement. For FY 2009/10, the City's contribution was to be decreased by
20% to $70,560 annually. However, the Chamber has requested that funding be maintained at the
FY 2008/09 level of $88,200 annually. At the 2009/10 budget meetings, Council and staff
discussed considering a more gradual financial reduction than the 20% originally agreed to in
their prior year Agreement. They also indicated that because the City has decreased its overall
budget by a minimum of 5%, the Chamber should also make every effort to decrease its budget.
As a result, the Chamber decreased it budget by 6%, from $258,290 to $243,000.
In order to continue the City/Chamber partnership in promoting the City of Azusa, staff requests
that the City Council select a level of subsidy for FY 2009/10 from the following:
1. Provide the same subsidy amount of$88,200 as provided in FY 2008/09.
2. Provide a 5%reduced subsidy in the amount of$83,790.
3. Provide a 10%reduced subsidy in the amount of$79,380.
4. Provide a 20%reduced subsidy in the amount of$70,560.
Upon selection of the subsidy amount, staff will finalize the Agreement and have it executed.
FISCAL IMPACT:
In the adopted FY 2009/10 operating budget, a total of$70,560 was budgeted for the Chamber
subsidy - $41,760 from Light & Water (59%) and $28,800 (41%) from the Redevelopment
Agency. Any changes to the subsidy amount will reflect the same percentage allocations shown
above, in a budget amendment.
Attachments:
1. Draft Agreement Regarding Chamber of Commerce Funding and Support Between
the City of Azusa and the Azusa Chamber Of Commerce
AGREEMENT REGARDING CHAMBER OF COMMERCE
FUNDING AND SUPPORT
BETWEEN
THE CITY OF AZUSA AND
THE AZUSA CHAMBER OF COMMERCE
This Agreement Regarding Chamber of Commerce Funding and Support ("Agreement") is entered
into as of this lst day of July 2009 ("Effective Date")by and between CITY OF AZUSA ("City") and the
AZUSA CHAMBER OF COMMERCE (the"Chamber"). The City and Chamber are sometimes
individually referred to herein as "Party" and collectively referred to as "Parties". This Agreement shall be
effective for the duration of one year, until the day of June 30, 2010.
RECITALS
A. City is desirous of promoting business, residential and economic development opportunities within
the City of Azusa, disseminating information relative thereto, and of properly following up and
giving consideration to inquiries made relative to the various activities of the City and its business,
residential and economic development opportunities; and
B. City is also desirous of forming joint legislative advocacy opportunities with other entities.
C. The Chamber has special knowledge, experience and facilities for disseminating such information
and legislative advocacy, is organized for and equipped to carry on promotional activities on behalf
of City and to publicize and exploit the economic and regional advantages that City has to offer to
business, residential and industrial interests; and
D. The Chamber has for more than a century been the principal citywide advocate for business and has
historically been recognized as the representative of all businesses, which contribute substantially to
the City's revenue base.
E. The Chamber's activities are recognized by lawas being in the public interest and serving a public
purpose.
AGREEMENT
NOW, THEREFORE, it is agreed by and between the Parties as follows:
A. Services
Chamber shall undertake, during the term of this Agreement,promotional and advocacy activities on
behalf of City and render the following services:
1. Maintain suitable quarters and employ competent, professional personnel to carry on the
promotional and advocacy activities of the City as herein stated.
2. Represent the interests of all Azusa businesses in promoting economic development and
lawful and positive business and local sales revenue.
3. Participate in marketing the City's advantages inside and outside the community to retain and
attract business and local sales revenue as part of the City's "Red Team".
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4. Promote improvement strategies that enhance the value of property and stimulate investment
and development of vacant or underutilized properties.
5. Promote trade and business meetings and activities that further these goals.
B. Responsibilities
Chamber shall undertake, during the term of this Agreement,promotional and advocacy activities on
behalf of City in the following areas:
1. Business
a. The Chamber shall hereby increase the current Membership of active Members by 10%.
b. Serve as an advocate for the business community and as a City liaison when appropriate.
This shall be accomplished by operating as a visible and approachable representative of
business, and by disseminating legislative and other information to the business community on
behalf of the City.
c. Attend meetings of the Azusa City Council on a regular basis.
d. Maintain and continue to improve the image of the Chamber within the City of Azusa and
surrounding areas.
e. Assist the City in the attraction, retention and expansion of business in Azusa through the
work of an Economic Development Committee, which shall reach out to businesses and offer
workshops and assistance to the business community.
f. Provide Chamber Members with an avenue to announce their presence in the community at
large, through groundbreaking events, ribbon-cutting ceremonies and open houses.
g. Serve as a Member on the San Gabriel Valley Coalition of Chambers to provide a voice for
the business community within Azusa.
h. Host the Annual State Address for members of the community, employees of the City, and
business owners.
i. Provide educational programs to Chamber Members including: Internship Programs with
our Business Partners, Legislative Matters i.e., Legal Labor Laws for Small, Home Based and
Large Businesses, provision of a Community Resource Information Center; and Promotion of
Multicultural Markets specializing in Business Type, Industrial, Retail and all member
classifications.
j. Develop a Business Recognition Program in conjunction with the City of Azusa to include
all sizes of business. Develop criteria, plan and venue of recognition, e.g., Beautification of
Business in Azusa, Volunteer Award, Business of the Year, and Business Person of the Year.
Additionally, enhance our current New Chamber Member Reception for new members in
conjunction with the current increase of membership.
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2. Community
The Chamber shall continue to improve the quality of life in Azusa by participating in the following
Community events and/or organizations:
a. Serve as a community volunteer on the "Kids Come First" golf tournament.
b. Serve as a liaison for the City in encouraging local businesses to participate in community
events.
c. Be an active Member of the Community Coordinating Council, and assist in the formation of
a directory listing non-profit and service organizations that shall serve as a welcome and
resource guide for new residents to Azusa.
d. Serve as a point of contact for the local business community to obtain information,
volunteer, or donate funds in support of the Vietnam Memorial Moving Wall.
e. Continue to take an active role in the President's Community Council at Azusa Pacific
University.
f Promote community spirit by coordinating and attending the annual Azusa Day at the
Pomona Fairplex.
g. Support the City of Azusa's Annual Golden Days festivities by coordinating an event on one
evening of the weeklong festival.
h. Continue an increase in the following programs and events: Presidents Club; Membership;
Networking Events; New Member Receptions; Collaborative Mixers with adjoining cities;
Taste of the Town; State of the City; Job Shadow; and Meet the Mayor Reception.
3. Marketing and Business Development
The Chamber will increase its activities to market the City by performing the following:
a. I.C.S.C. —Partner with the City to support and promote Azusa
b. Include City staff from Economic Development in the Business Visitation Program with the
Chamber and Economic Development Committee.
c. Create anew City Map which includes the new Rosedale Development area.
d. Upgrade and improve the Design of the Chamber's Website
e. Update the marketing materials for the Chamber. Create a new marketing packet to include
folders, brochures, City information, maps, Chamber directory, and marketing giveaways. Also
design and create a"New Residential Packet" for new residents moving into Azusa.
f. Expand the publication of The Azusan (The Chamber's Newsletter) by increasing pages and
volume of advertisement, include a Mayor and/or City Council column, increase editions from
bi-monthly to monthly, include testimonials and case studies from businesses in Azusa, include
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City maps and information, increase the quality of the publication to include color, increase
distribution to all businesses within the City of Azusa, and add residential distribution.
C. Consideration (TO BE UPDATED)
In consideration of the valuable services performed by the Chamber for City, as set forth above in
Section A hereof, City hereby agrees to pay Chamber, during the term of this Agreement, the sum of
($88,200.00) eighty-eight thousand two hundred dollars. This represents a 10% decrease in the City's
contribution from FY 2007/08. The City shall make payment, to the Chamber in twelve monthly
installments of$7,350.00. The Chamber agrees not to fund The Azusan or any other Chamber
newsletters or publications with any compensation provided by the City.
D. Duties of Executive Director
The Executive Director shall prepare and submit to the City Manager or his designee a written report
every sixty (60) days specifying the activities of Chamber during the preceding sixty(60) days. Said
report shall be prepared in format acceptable to the City Manger. Executive Director shall promptly
furnish City, upon the completion of Chamber's operating year, certified copies of its annual operating
statement.
E. Self-Sufficiency of the Chamber (TO BE UPDATED)
The Chamber will develop a strategy and plan which will enable it to become financially self sufficient
within five(5)years from the ending term of this Agreement. The City proposes this self-sufficiency
plan as a plan only and,to facilitate this, the Chamber will be subject to contribution reduction
benchmarks. In 2008/09, the City's contribution will be decreased 20%, to $78,400. In 2009/10, the
City's contribution will be decreased 40%, to $58,800. In 2010/11, the City's contribution will be
decreased 60%, to $39,200. In 2011/12,the City's contribution will be decreased 80%to $19,600. And
in 2012/13,the Chamber will have achieved self-sufficiency. However, this is not a guarantee of future
funding. A report and action plan will be presented to the Azusa City Manager during the term of this
Agreement detailing how this goal will be achieved.
F. Indemnification
Chamber agrees that it will defend, indemnify and hold harmless City, and its elected officials, officers,
employees and agents from and against all claims, demands, cause of action, costs, expenses, losses,
injuries, damages or liabilities to property or persons, including wrongful death, in any manner arising
out of or in connection with any alleged acts, omission or willful misconduct of Chamber, its officials,
officers, employees, agents, consultants and contractors arising out of or in connection with the
performance of the Services or this Agreement, including without limitation, the payment of all
consequential damages, attorneys fees and other related costs and expenses to the maximum extent
allowed by law.
G. Insurance
Chamber shall secure from a good and responsible company or companies doing insurance business in
the State of California, pay for and maintain in full force and effect for the duration of this Agreement a
policy of comprehensive automobile and worker's compensation and employee's Liability Insurance in
which the City is the named insured or is named as an additional insured with the Chamber and shall
furnish a Certificate of Liability Insurance to the City Manager before execution of this Agreement by
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the City or within a reasonable time after execution. Notwithstanding any inconsistent statement in the
policy or any subsequent endorsement attached thereto, the protection offered by the policy shall:
1. Include the City as the insured or named as an additional insured covering the services to be
performed under this Agreement against all claims arising out of, or in connection with, this
Agreement.
2. Include the City, its officers, employees and agents while acting within the scope of their
duties under this Agreement against all claims arising out of, or in connection with, the Agreement.
3. Provide the following minimum limits:
a. General Liability: $1,000,000.00 combined single limit per occurrence for bodily injury,
personal injury and property damage.
b. Automobile Liability: $1,000,000.00 combined single limit per accident for bodily injury and
property damage.
c. Worker's Compensation and Employees Liability, Worker's Compensation limits as required
by the Labor Code of the State of California and Employer's Liability of limits of
$1,000,000.00 per accident.
4. This insurer shall agree to waive all rights of subrogation against the City, its officers,
officials, employees and volunteers for losses arising from work performed by the Chamber for the
City.
5. Bearer and endorsement of shall have attached a rider whereby it is provided that, in the
event of expiration or proposed cancellation of such policy for any reason whatsoever, the City shall
be notified by registered mail, postage prepaid,return receipt requested, not less than thirty(30) days
before such date.
H. Self-Insured
Any deductible or self-insured retentiin.must be declared to and approved by the City. At the option of
the City, either the insurer shall reduce or eliminate such deductible or self-insured retention as respect
of the City, its officers, officials and employees; or the Chamber shall procure a bond guaranteeing
payment of losses and related investigation claim administration and defense expenses.
I. Attorney's Fees
Should any litigation be commenced between the Parties hereto concerning the provision of this
Agreement, the prevailing party in such litigation shall be entitled to reasonable attorney's fees, in
addition to any other relief to which it may be entitled.
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J. Term
This Agreement shall be effective for a twelve (12) month period commencing upon effective date of
this Agreement.
K. Termination
This Agreement may be terminated by either party upon thirty (30) days written notice with any sums
due and payable hereunder.
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IN WITNESS WHEREOF, the Parties have caused this Agreement to be executed as of the date(s)
written below.
CITY OF AZUSA AZUSA CHAMBER OF COMMERCE
F.M. Delach Anthony Glassman,Chairman of the Board
City Manager of Directors for Azusa Chamber of Commerce
DATE: DATE:
ATTEST:
Vera Mendoza `w tg
City Clerk "W:
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APPROVED AS TO FORM:
Best,Best& Krieger, LLP
City Attorney
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