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HomeMy WebLinkAbout06-188 Resolution No. 06-188 RESOLUTION AUTHORIZING EXECUTION OF A PROMOTIONAL AGREEMENT WITH EUCLID BEVERAGE, LTD. (2006-2007 Performing Arts Season) BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN,ILLINOIS,that Olufemi Folarin,City Manager,and Dolonna Mecum,City Clerk,be and are hereby authorized and directed to execute a promotional agreement on behalf of the City of Elgin with Euclid Beverage Ltd. for the Hemmens 2006-2007 Performing Arts Season,a copy of which is attached hereto and made a part hereof by reference. s/Ed Schock Ed Schock, Mayor Presented: August 9, 2006 Adopted: August 9, 2006 Omnibus Vote: Yeas: 7 Nays: 0 Attest: s/Dolonna Mecum Dolonna Mecum, City Clerk EUCLID BEVERAGE LTD. The Hemmens Cultural Center 2006-2007 through 2007-2008 Performing Arts Seasons PROMOTIONAL AGREEMENT THIS AGREEMENT is hereby made and entered into this 9TH day of /e{-u C. ,2006,by and between the CITY OF ELGIN, ILLINOIS, a municipal corporation (hereinafter referred to as "City") and Euclid Beverage Ltd., of North Aurora,Illinois, a Delaware corporation(hereinafter referred to as"Euclid Beage). WHEREAS,City owns and operates a theater commonly known as the Hemmens Cultural Center, and WHEREAS,the parties hereto have each determined it to be in their best interests to enter into an agreement by which Euclid Beverage shall purchase advertising from City for display through the aforementioned Hemmens Cultural Center and shall provide promotional support as provided herein. NOW,THEREFORE,in consideration of the mutual promises and covenants contained herein,the s u ff i c i e n c y of which is h e r e b y mi m rally acknowledged,the parties hereto hereby agree as follows: 1. Euclid Beverage shall pay City the sum of$15,000 on or before July 14, 2006; and shall pay City an additional sum of$15,000 on or before July 13,2007. 2. In addition to the $30,000 provided for in paragraph 1 herein, Euclid Beverage shall provide City with free advertising and on-site marketing equal to not less than $15,000 in value between April 27, 2006 and May 18, 2007 at commercially reasonable values in the industry as reasonably determined by Euclid Beverage. Euclid Beverage shall also provide additional free advertising and on-site marketing equal to not less than $15,000 in value on or before June 30, 2007 at commercially reasonable values in the industry as reasonably determined by Euclid Beverage. 3. City shall provide Miller Lite with logo placement listing it as a season sponsor in 250,000 editions of City's season broduefxeach sponsored season. 4. City shall credit Miller Lite as a season sponsor fir each sponsored season on the Hemmens/Centre electronic marquee located at the corner of Kimball Street and North Grove Avenue,Elgin,Illinois. 5. City shall provide Euclid Beverage with a full page ad in all program books fir 2006-2007 and 2007-2008 seasons. 6. City shall provide Euclid Beverage with up to ten(l0)tickets to all Hernmens Performing Arts Season shows for each sponsored season. A guest list shall be provided to The Hemmers Box Office at least two (2)weeks prior to the scheduled performance. All remaining tickets shall be released for sale. 7. City shall provide Miller Lite with logo placement and hyperlink on the Hemmens'Performing Arts Season webpage for the length of the applicable seasons. A 8. City shall credit Miller Lite as a season sponsor on Elgin's Government Access TV Channels on Comcast and Wide Open WeEtfcreach sponsored season. 9. City shall include Miller Lite's logo on all print advertising for sponsored Hemmens Performing Arts Season shows(newspaper,magazines,newsletters,etc)freach sponsored season. 10. Miller Brewing shall have exclusive signage rights in the Hemmens Lobby and on the Hemmens exterior(reach sponsored season. Exclusivity will be limited to beer-related products. 11. This agreement shall be subject to and governed by the laws of the State of Illinois. Venue for the resolution of any disputes and the enforcement of any rights arising out of or in connection with this agreement shall be in the Circuit Court of Kane County,Illinois. 12. The terms of this agreement shall be severable. In the event any of the terms or conditions of this agreement are deemed to be void or otherwise unenforceable for any reason, the remainder of this agreement shall remain in full force and effect 13. This agreement shall not be construed so as to create a joint venture,partnership,employment, or other agency relationship between the parties hereto except as specifically provided herein. 14. Unless terminated pursuant to paragraph 15 herein or due to breach by either party, this agreement shall terminate on June 30,2008. 15. Annual Termination Option. Either party for any reason without liability may terminate this agreement by giving written notice to the other party within thirty (30)days prior to the printing of the 2007-2008 Hemmens Performing Arts Season Brochure. Printing schedule of such brochures to be determined exclusively by City staff and schedule to be provided to Euclid no later than sixty(60)days prior to printing. Further,that in absence of such notice of termination this agreement shall remain in full force and effect for the remaining term hereof. CITY OF ELGIN Euclid Beverage City M• VW 36 - , 6'.A. Attest: Attest: 11-9-4-14,AAL City Clerk - 2 - c, City of Elgin �`�4, OF Et. Agenda Item No. G- July 21, 2006 — TO: Mayor and Members of the City Council - __ FROM: Olufemi Folarin, City Manager /CAaariot,if,1.e;firr, and Randy Reopelle, Parks and Reci/eation Director (:,rf.um7 Opporruruiec for All Cuzons SUBJECT: Euclid Beverage/Miller Brewing Sponsorship of The Hemmens Cultural Center 2006-2007 Performing Arts Season PURPOSE The purpose of this memorandum is to provide the Mayor and members of the City Council with information to consider a sponsorship agreement with Euclid Beverage/Miller Brewing for The Hemmens 2006-2007 Performing Arts Season. RECOMMENDATION It is recommended that the City Council approve the promotional agreement with Euclid Beverage/Miller Brewing as presented. BACKGROUND The staff of The Hemmens Cultural Center has developed a sponsorship program for City sponsored shows. The goal of the sponsorship program is to enable the Hemmens to bring in different acts, offer competitive ticket prices, and broaden the theatre's exposure in the community and beyond. To this end, an effort was made to target local and regional businesses for sponsorship opportunities. Euclid Beverage/Miller Brewing expressed interest in participating by sponsoring The Hemmens 2006-2007 Performing Arts Season. The main items of the sponsorship agreement are as follows: 2006-2007 Performing Arts Season Sponsor Hemmens Cultural Center will provide: 1. Prominent placement of Euclid Beverage/Miller Brewing's logo in 250,000 brochures The Hemmens' 2006-2007 Performing Arts Season, distributed through the Daily Herald, Courier News, Kane County Chronicle, Subscriber mailing list and around town. 2. A full page Euclid Beverage/Miller Brewing ad in program books for all Hemmens 2006- 2007 Performing Arts Season shows, valued at$1000. ,ow.. Euclid Beverage Co-Sponsorship of The Hemmens Cultural Center July 21, 2006 Page 2 3. The Euclid Beverage/Miller Brewing's logo on all print advertising and tagline for all radio advertising for each Hemmens 2006-2007 Performing Arts Season show. The 2006-2007 Performing Arts Season will also be co-sponsored by The Courier News and all ads placed in The Courier News for The Hemmens' 2006-2007 Season will mention Euclid Beverage/Miller Brewing as a Season co-sponsor. 4. Up to ten (10) tickets to each Hemmens 2006-2007 Performing Arts Season show. valued at $8,525. 5. Logo and link (if applicable) on Hemmens' Performing Arts Season webpage for 2006- 2007 Performing Arts Season. • 6. Credit as a season sponsor on Elgin's government access Cable TV channels. 7. Space for signage in lobby of the Hemmens Center the night of each show. Euclid Beverage/Miller Brewing will provide their own signage for display and will have exclusive beer-related products signage rights. Euclid Beverage/Miller Brewing will provide: 1. The City with $15,000 on or before July 14, 2006. 2. Promotional support in the form of advertising and on site marketing equal to, not less than $15,000 in value for the 2006-2007 Performing Arts Season. The agreement is similar to the 2005-2006 Season except for the elimination of Sponsor Receptions and a reduction in the number of tickets per event. Euclid Beverage/Miller Brewing has expressed an interest in an extended sponsorship that is reflected in this agreement. In the absence of objections by either the City or Euclid Beverage/Miller Brewing, the agreement will continue through the 2007-2008 Performing Arts Season. COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED None. .401.■ Euclid Beverage Co-Sponsorship of The Hemmens Cultural Center July 21, 2006 Page 3 et..._ FINANCIAL IMPACT The sponsorship agreement with Euclid Beverage/Miller Brewing stipulates that the City will provide tickets and program advertising totaling a value of $9,525 to Euclid Beverage/Miller Brewing. Euclid Beverage/Miller Brewing will pay the City $15,000 and provide $15,000 in advertising and promotional support. L ,GAL IMPACT None. ALTERNATIVES 1. Approve the promotional agreement as presented. 2. Do not approve the promotional agreement as presented. ,,,^ Respectfully submitted for Council consideration. bw Attachments 4010. Euclid Beverage Co-Sponsorship of The Hemmens Cultural Center July 21, 2006 Page 4 EUCLID BEVERAGE LTD. The Hemmens Cultural Center 2006-2007 through 2007-2008 Performing Arts Seasons PROMOTIONAL AGREEMENT THIS AGREEMENT is hereby made and entered into this day of ,2006,by and between the CITY OF ELGIN, ILLINOIS, a municipal corporation (hereinafter referred to as "City") and Euclid Beverage Ltd., of North Aurora, Illinois, a Delaware corporation(hereinafter referred to as "Euclid Beverage"). WHEREAS, City owns and operates a theater commonly known as the Hemmens Cultural Center, and WHEREAS, the parties hereto have each determined it to be in their best interests to enter into an agreement by which Euclid Beverage shall purchase advertising from City for display through the aforementioned Hemmens Cultural Center and shall provide promotional support as provided herein. NOW,THEREFORE,in consideration of the mutual promises and covenants contained herein,the sufficiency of which is hereby mutually acknowledged,the parties hereto hereby agree as follows: 1. Euclid Beverage shall pay City the sum of$15,000 on or before July 14, 2006; and shall pay City an additional sum of$15,000 on or before July 13, 2007. 2. In addition to the $30,000 provided for in paragraph 1 herein, Euclid Beverage shall provide City with free advertising and on-site marketing equal to not less than $15,000 in value between April 27, 2006 and May 18, 2007 at commercially reasonable values in the industry as reasonably determined by Euclid Beverage. Euclid Beverage shall also provide additional free advertising and on-site marketing equal to not less than $15,000 in value on or before June 30, 2008 at commercially reasonable values in the industry as reasonably determined by Euclid Beverage. 3. City shall provide Miller Lite with logo placement listing it as a season sponsor in 250,000 editions of City's season brochu of reach sponsored season. 4. City shall credit Miller Lite as a season sponsor it each sponsored season on the Hemmens/Centre electronic marquee located at the comer of Kimball Street and North Grove Avenue,Elgin,Illinois. 5. City shall provide Euclid Beverage with a full page ad in all program books for 2006-2007 and 2007-2008 seasons. h► Euclid Beverage Co-Sponsorship of The Hemmens Cultural Center July 21, 2006 Page 5 6. City shall provide Euclid Beverage with up to ten (10) tickets to all Hemmers Performing Arts Season shows for each sponsored season. A guest list shall be provided to The Hemmens Box Office at least two (2)weeks prior to the scheduled performance. All remaining tickets shall be released for sale. 7. City shall provide Miller Lite with logo placement and hyperlink on the Hemmens'Performing Ms Season webpage for the length of the applicable seasons. 8. City shall credit Miller Lite as a season sponsor on Elgin's Government Access TV Channels on Comcast and Wide Open Westir each sponsored season. 9. City shall include Miller Lite's logo on all print advertising for sponsored Hemmens Performing Ms Season shows(newspaper,magazines,newsletters,etc.)for each sponsored season. 10. Miller Brewing shall have exclusive signage rights in the Hemmens Lobby and on the Hemmens exterior ir each sponsored season. Exclusivity will be limited to beer-related products. 11. This agreement shall be subject to and governed by the laws of the State of Illinois. Venue for the resolution of any disputes and the enforcement of any rights arising out of or in connection with 40,,,, this agreement shall be in the Circuit Court of Kane County,Illinois. 12. The terms of this agreement shall be severable. In the event any of the terms or conditions of this agreement are deemed to be void or otherwise unenforceable for any reason, the remainder of this agreement shall remain in full force and effect 13. This agreement shall not be construed so as to create a joint venture,partnership,employment, or other agency relationship between the parties hereto except as specifically provided herein. 14. Unless terminated pursuant to paragraph 15 herein or due to breach by either party, this agreement shall terminate on June 30, 2008. 15. Annual Termination Option. Either party for any reason without liability may terminate this agreement by giving written notice to the other party within thirty (30) days prior to the printing of the 2007-2008 Hemmens Performing Arts Season Brochure. Printing schedule of such brochures to be determined exclusively by City staff and schedule to be provided to Euclid no later than sixty (60) days prior to printing. Further,that in absence of such notice of termination this agreement shall remain in full force and effect for the remaining term hereof CITY OF ELGIN Euclid Beverage By By City Manager • agmb- Euclid Beverage Co-Sponsorship of The Hemmens Cultural Center July 21, 2006 Page 6 Attest: Attest: City Clerk