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HomeMy WebLinkAbout03-52 Resolution No. 03-52 RESOLUTION AUTHORIZING EXECUTION OF A PURCHASE OF SERVICE AGREEMENT WITH THE ELGIN AREA CHAMBER OF COMMERCE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that Ed Schock, Mayor, and Dolonna Mecum, City Clerk, be and are hereby authorized and directed to execute a Purchase of Service Agreement on behalf of the City of Elgin with the Elgin Area Chamber of Commerce for the purpose of fostering economic growth through the expansion and redevelopment of existing business and industry and the attraction of new business and industry, a copy of which is attached hereto and made a part hereof by reference . s/ Ed Schock Ed Schock, Mayor Presented: February 26, 2003 Adopted: February 26, 2003 Omnibus Vote : Yeas : 6 Nays : 0 Attest : s/ Dolonna Mecum Dolonna Mecum, City Clerk r Final 01/27/03 SERVICE AGREEMENT THIS AGREEMENT is made and entered into on this S�'(f of 441ai4, 2003 , by and between the ELGIN AREA CHAMBER OF COMMERCE, an Illinois not-for-profit organization, (hereinafter referred to as the "Chamber" ) and the CITY OF ELGIN, ILLINOIS, a municipal corporation, (hereinafter referred to as the "CITY" ) . WHEREAS, the City of Elgin, Illinois has determined it to serve a beneficial public purpose to foster economic growth within the community through the expansion and redevelopment of existing business and industry; and WHEREAS, the City of Elgin has further determined it to serve a beneficial public purpose to foster economic growth through the attraction of new business and industry; and WHEREAS, the Chamber has developed an economic development program to be implemented by the Economic Development staff (hereafter referred to as the "ED" ) ; and NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein, the sufficiency of which is hereby acknowledged, the parties hereto agree as follows : 1. The City shall pay to Chamber the sum of$172,000 to be made in four equal payments. The first payment will be made following the execution of this agreement. The second payment shall be made by April 1, 2003. The third payment shall be made by July 1, 2003. The fourth payment shall be made by October 1, 2003. 2. Chamber shall address all inquiries and requests made pursuant to this agreement to City's Director of Economic Development and Business Services. 3. Chamber shall apply the$172,000 contribution to operating expenses such as staff salary and benefits, rent, meeting expenses, and expenses associated with sponsorship of community events. See Attachment A for a line-item budget. 4. The City of Elgin will commit $100,000 in additional funding for the Enhancing Elgin Marketing Program, matching $50,000 in Chamber and private contributions. 5. The Chamber shall follow its Years 2000-2004 prioritized five-year strategy focusing on five priorities: Workforce Development,Business Retention&Expansion,Enhancing the Elgin Area, Government Relations, Business Recruitment. F:\City Manager_Office\Moller 03\2003 PSA Chamber.doc - 1 - 6. Workforce Development Initiatives proposed for Year 2003. The Chamber shall: a) Continue collecting labor market information; wage, benefit and salary data; and performing analysis as required. b) Continue as an active participant of the River Valley Investment Development Board (hereinafter referred to as the "Workforce Investment Board (WIB)"), the primary workforce oversight agency of the State of Illinois. c) In coordination with the WIB Marketing Committee,further enhance the marketing of Elgin Area workforce and training partners for the purpose of creating a true"One- Stop"partnership; providing coordinated services to employers. d) Use the Workforce Development Committee,established in 2000,to assist in items a)through c). e) Coordinate on Elgin's behalf with other county,state and federal workforce agencies. f) Continue to facilitate the workforce and training requests made by new and existing Elgin employers. 7. Business Retention&Expansion Initiatives proposed for Year 2003. The Chamber shall: a) Visit a minimum of 30 specific businesses and industries where retention efforts will likely be most productive. b) Conduct no less than four round tables with Elgin employers,to be coordinated with the City. c) Prepare an annual report to City of Elgin in the first quarter of 2004. 8. Enhancing Elgin Initiatives proposed for Year 2003. The Chamber shall: a) Raise $50,000, matching the City's commitment of$100,000. (See Item 4 above.) b) Provide additional staff support, as necessary, to steer the process. c) Complete the second year of the Enhancing Elgin Campaign.A Project Schedule for the Enhancing Elgin Campaign revised January 13,2003 is attached hereto as Exhibit B. The tasks for the second year of the Enhancing Elgin Campaign shall consist of those tasks in Exhibit B listed in the Months of January 2003 through December 2003. The Chamber shall provide the City a written report regarding the completion and effect of the Enhancing Elgin Campaign on or before January 31, 2004. The Chamber shall also make an in-person presentation to the City Council regarding the Enhancing Elgin Campaign at a time as requested by the City.For the services related to second year of the Enhancing Elgin Campaign the City shall pay to the Chamber the lump sum of$100,000 for all fees, costs and expenses related thereto. Such F:\City_Manager_Office\Moller 03\2003 PSA Chamber.doc - 2 - payment shall be made by the City to the Chamber within thirty (30) days of the execution of this agreement. 9. For the Year 2003, The Government Relations Committee of the Chamber shall: a) Plan and conduct an "Elgin" community advocacy campaign in Washington, D.C. during the first quarter of 2003. b) The Chamber will contribute $10,000 to the campaign. c) Continue to monitor legislation affecting the City and community, coordinating efforts and information with City staff. 10. Business Recruitment Initiatives proposed for Year 2003. The Chamber shall: a) Conduct at least one development-related special event. b) Develop and conduct a marketing campaign to attract businesses impacted by the proposed O'Hare expansion. c) Attend the following trade shows in partnership with Kane County Economic Development and the Illinois Department of Commerce & Community Affairs (hereinafter referred to as DCCA): International Council of Shopping Centers (ICSC),Association of Industrial Real Estate Brokers(AIREB),and at least one other show designated by the partners. d) Explore collaborative marketing efforts with the Elgin Area Convention and Visitors Bureau, and the Downtown Neighborhood Association(DNA). e) Continue the economic development marketing efforts with the U.S.-China Chamber of Commerce, including the feasibility of a trade mission in 2003. 0 Continue to write and distribute quarterly press releases highlighting Elgin. g) Continue a pro-active industrial recruiting program to targeted markets. 11. In order to complete items six through ten, Chamber volunteers will contribute more than 2,400 hours of time, based upon actual hours logged in the years 2000, 2001 and 2002. 12. Other Economic Development (ED) activities and reports not specified under the above mentioned committees. The Chamber shall: a) In collaboration with the City of Elgin, develop a strategy for attracting desirable retail businesses Randall to the anda 1 Road Corridor. This includes, but not limited to, reviewing current marketing data,actively marketing the Randall Corridor to various corporate retail representatives. Estimated time of 50 hours. b) Continue to respond to prospective and existing business inquiries on a daily basis, F:\City_Manager_Office\Moller 03\2003 PSA Chamber.doc - 3 - providing data, information and technical advice regarding business growth and development. Typically, 300 such inquiries are made annually with many requiring follow up. Based on 2002 logs, staff will provide 582 hours of assistance. c) Continue the maintenance of an Elgin employer database. This database provides the information to produce industrial reports, including a manufacturing list, on any of the eight SIC/NAIC sectors. Estimated at 52 hours of staff time. d) Maintain the building and sites databases on the following Internet services:Ameren Economic Development/Location One and Development Alliance.com. Continue collecting and maintaining building and site information for Chamber members and Challenge 21 investors,and through a license agreement with Loopnet.com.Average time allowance. Estimated at 100 hours of staff time. e) Maintain customized data of the Elgin market not provided above to address prospect requests. Information is maintained on demographics, wage, salary and benefit information,labor information and other data gathering as required. (This year,data is being converted to National Data Standards and posted on Location One and Site Selection Network websites.) Estimated staff time: 446 hours. f) Continue to provide marketing assistance for the Fox River Plaza site.Estimated time of 26 hours. g) Provide technical support to DNA, as requested by Ray Moller, City Economic Development Director. Estimated at 30 hours of staff time. h) Provide additional support to the City staff, including attendance at Development Review Team meetings. Estimated at 135 hours of staff time. i) Continue to provide monthly and quarterly ED reports to City representatives and semi-annual reports to the City Council. Estimated time of 178 hours. j) Continue to serve small and minority businesses by maintaining membership on the Fox River Micro Loan Program Board and the Fox River Micro Loan Review Committee. Estimated at 48 hours of staff time. k) Maintain an international marketing presence by continuing participation with World Business Chicago,the Illinois Trade Office and the U.S.-China Chamber. Estimated at 40 hours of staff time. 1) Maintain formal relationship with the Kane County Economic Development Advisory Commission and staff. Estimated at 20 hours of staff time. m) Maintain formal relationship with the WIB and seat on the Executive Committee. (Monthly meetings and related committee work fulfills many of the workforce committee requirements). Estimated at 100 hours of staff time. n) Maintain formal relationship with the Elgin Employers Council of the Illinois Employment Training Center. Estimated at 8 hours of staff time. o) Represent the City at required DCCA functions. (In 2002, these activities ranged from participation on the Five Year Economic Development Strategic Plan to attending prospecting meetings). Estimated at 50 hours of staff time. p) Prepare and conduct the annual economic development session of the Elgin Leadership Academy. Estimated at 25 hours of staff time for preparation. q) Other duties as circumstances require. F:\City_Manager_Office\Moller 03\2003 PSA Chamber.doc -4 - 13. The Chamber shall facilitate the activities and meetings of the Economic Development Council (EDC). The ED staffs hall function c onsistent with the budget provided attached a s Attachment A. 14. The Chamber shall provide two written reports detailing the disbursement of$272,000. These reports shall be provided to the City Council by July 31,2003 and January 31,2004,and shall be submitted to the City Manager's Office, City Hall, 150 Dexter Court, Elgin, IL 60120. 15. The City shall have the right to review all accounting records related to the use of the $272,000, given 72 hours notice, and at a time agreed upon by both parties. 16. Failure to perform the above services to the satisfaction of the City Council shall result in a termination of this agreement. 17. The Chamber shall to the fullest extent permitted by law indemnify, defend and hold harmless the City,its officers,employees,agents,boards and commissions from and against any and all claims, suits,judgments, costs, attorney's fees, damages or other relief arising out of or in any way connected with the existence of or the performance of this agreement including but not limited to as a result of any negligent or unlawful actions by the Chamber,its officers,employees or agents in the performance of this agreement. Nothing herein affects the Chamber's duty to defend the City. In the event of any action against the City, its officers, employees, agents,boards or commissions covered by the foregoing duty to indemnify,defend and hold harmless such action shall be defended by legal counsel of the City's choosing. The provisions of this paragraph shall survive any termination and/or expiration of this Agreement. 18. In the event this agreement is terminated or in the event the program for which City funds provided hereunder to be applied is discontinued or the Chamber ceases operations prior to December 31,2003,the Chamber shall refund to the City on a prorated basis funds paid hereunder for the portion of the year remaining after any such termination or for the portion of the year such programs or the Chamber operations were not conducted. 19. This agreement shall not be construed so as to create a partnership,joint venture,employment or other agency relationship between the parties hereto. 20. This agreement shall be in full force and in effect from the date of its execution through December 31, 2003. 21. The City Shall be recognized as a sponsor of Chamber and shall receive the benefits of sponsorship consistent with the level of support provided.At a minimum,the City's support shall be acknowledged in the Chamber's Annual Report and Web page information. Samples of this acknowledgement shall be provided to the City for its prior approval. F:\City_Manager_Office\Moller 03\2003 PSA Chamber.doc - 5 - IN WITNESS WHEREOF, the parties hereto have executed this agreement on the date and year written above. CITY OF ELGIN A municipal corporation BY Ed Schock Attest: krfre&tv—e_ City Clerk ELGIN AREA CHAMBER OF COMMERCE A n t-for-profit corporation By )il`Ai \\6 Leo son President F:\City Manager_Office\Moller 03\2003 PSA Chamber.doc - 6 - ATTACHMENT A City of Elgin Expenses: Manheim@60% $ 66,240 Tindle@35% $ 14,490 Gajewski@10% $ 6,210 Nelson@25% $ 31,050 Stancati@10% $ 3,174 Business Recruitment $ 2,665 Professional Fees@ 33% $ 8,217 Dues related to Economic Development $ 3,345 Office Supplies@ 40% $ 5,200 Telephone Expense@ 40% $ 4,200 Postage & shipping@ 33% $ 3,300 Rent@ 33% $ 9,663 Equipment Lease@40% $ 808 Maintenance (copier, etc.)@ 50% $ 2,530 Promotional@25% $ 2,500 Utilities@ 33% $ 1,258 Travel Expense @100% (ED staff only) $ 3,900 Meetings and Training@ 50% $ 3,250 Enhancing Elgin Campaign $ 100,000 GRAND TOTAL: $ 272,000 F:\City Manager_Office\Moller 03\2003 PSA Chamber.doc - 7 - Staff Hours: Committee Programs - staff time 2,213 Administration 282 Item 7: 7. a) Prospect inquiries 582 7. b) Maintenance of employer database 52 7. c) Building and site maintenance- Location One/Dev. Alliance 100 7. d) Maintenance of demographic and profile information 446 7. e) Fox River Plaza site. 26 7. f) Randall Road Retail Corridor 50 7. g) DNA support 30 7. h)City staff support 135 7. i) Monthly and quarterly ED reports 178 7.j) Small business support, Micro Loan Board 48 7. k) International Marketing via World Business Chicago, etc. 40 7. I) Formal relationship with Kane County EDC 20 7. m)Workforce Investment Board 100 7. n) Elgin Employers Council 8 7. o) Illinois Dept. of Commerce & Community Affairs 50 7. p) Leadership Academy 25 Item 7 Subtotal: 1,890 Total Staff Hours: 4,385 Volunteer Hours (All Committees, based on 2002): 3,932 GRAND TOTAL, ALL HOURS: 8,317 F:\City_Manager_Office\Moller 03\2003 PSA Chamber.doc - 8 - ATTACHMENT B Enhancing Elgin Campaign Media Plan for 2003 F:\City_Manager_Office\Moller 03\2003 PSA Chamber.doc - 9 - t ELGIN IMAGE ENHANCEMENT CAMPAIGN- 2003 Forecast Media l Publication Info. j January-03 l February-03 l Marrh-03 April-03 May-03 June-03 July-03 August-03 September-03 October-03 November-03 December-03 Total y'n . u " s"t.tu-i• : r-' _3 ._ . . r, o.r.r.,�. -/4i 'O' 4._;. _"'•,aG n - - .. 'nusY �* .t.- „-..a,'F.-w.'s; -:aY..'��y max,e_� _ ',oi,.m,. �;. _ _ ;_ ,, Elgin Courier News Daily and Sun, $0.00 S0.-o0 $0.00 - ^,$0.00 . - "$0.00 so.00 so.00 $0.00 so.00 $0.00 $0.00 $0.00 MOO $o.Do Daily Herald Daily and Sun. $4,089.74 $4,089.74 $4,089.74 $4,089.74 $4,089.74 $4,089.74 $4,089.74 $4,089.74 $4,089.74 $4,089.74 $4,089.74 $4,089.74 $49,076.88 Chicago Parent Monthly Publication $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.0o $0.00 $0.00 The Business Ledger Bi-weekly Publication $1,768.00 51,768.00 $1,768.00 $1,768.00 $1,768.00 $1,768.00 $1,768.00 $1,768.00 $1,768.00 $1,768.00 $1,768.00 $1,768.00 $21,216.00 AMC Barrington Every Movie/Theatre $2,671.63 $2,671.63 $2,671.63 $2,671.63 $2,671.63 $2,671.63 $2,671.63 $2,671.63 $2,671.63 $2,778.49 $2,778.49 $2,778.49 $32,380.14 Billboards Monthly Contracts $1,950.00 $1,950.00 $1,950.00 $1,950.00 $1,950.00 $1,950.00 $1,950.00 $1,950.00 $1,950.00 $1,950.00 $1,950.00 $1,950.00 $23,400.00 Radio WRMN Monthly $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 Production $6,000.00 S5,000.00 $5,000.00 $500.00 $500.00 $500.00 $500.00 $500.00 $4,000.00 $500.00 $500.00 $500.00 $24,000.00 Total Out of Pocket $16,479.37 -$15,479.37 $15,479.37 $10,979.37 $10,979.37 $10,979.37 $10,979.37 $10,979.37 $14,479.37 $11,086.23 $11,086.23 $11,086.23 S150,073.02 Total Contributions $12,896.41 $14,056.41 $12,896.41 $14,056.41 $12,896.41 512,896.41 514,056.41 $12,896.41 $12,896.41 $12,896.41 $14,056.41 512,896.41 $159,396.92 'GRAND TOTAL I $309,469.94 MONTH MEDIA SIZE/COLOR FREQUENCY 14ONTHLY PRICI MONTH MEDIA SIZE/COLOR FREQUENCY MONTHLY PRICE MONTH MEDIA SIZE/COLOR FREQUENCY MONTHLY PRICE JANUARY Elgin Courier News(Main Newa) 1/2 Page,4 Color Four times a month $0.00 MAY Elgin Courier News Main News 1/2 Page,4 Color Four times a month $0.00 110=1IEhin Courier News(Main News) 1/2 Pate,4 Color Four times a month $0.00 '»r sx ''. Daily Herald (Main News-full run) 1/2 Page,4 Color Twice a month(1 free ad) $4,089.74 °f° s Daily Herald (Main News-full run) 1/2 Page,4 Color Twice a month(1 free ad) $4,089.74 - - Daily Herald (Main News-full run) 1/2 Page,4 Color Twice a month(1 free ad) $4,089.74 r rr-r ,w Chica.o Parent Full run _ 50.00 x M° 1' "' Chicago Parent(Full run) _ $0.00 - • Chicago Parent(Full run) $0.00 i�;;, t r xis:.. The Business Ledger(Full run) 1/2 Page,4 Color Once a month $1,768.00 1 �4,The Business Ledger(Full run) 1/2 Page,4 Color Once a month 51,768.00 - •`The Business Ledger(Full run) 1/2 Page,4 Color Once a month $1,768.00 0,(„ ,"k i,. `AMC Bamn•ton Theatre 3 Ads Every movie/theatre $2,671 63 7 �1 ;AMC Barrington Theatre 3 Ads Every movie/theatre $2,671.63 - AMC Barrington Theatre 3 Ads Every movie/theatre $2,671.63 ,1. as -Billboards 3 Boards Monthly $1,950.00 Billboards 3 Boards Monthly $1,950.00 Billboards 3 Boards _ Monthly _ $1,950.00 ,$,, �' ,"Radio 60 Sec. Weekly $0.00 °f- .Radio 60 Sec. Weekly $0.00 Radio 60 Sec. Weekly $0.00 Production New creative/revise ad in B.Ledpr $6,000.00 , _ -Production Revisions 5500.00 _� ,-Production - .. - - 00.00 �1 - -TOT4,- TOTAL 516 479.37 � 'TCTAL 1 S14.479.37 FEBRUARY Elgin Courier News(Main News) 1/2 Page,4 Color Five times a month $0.00 I,-NE Elgin Couner News(Main News) 1/2 Page,4 Color Four times a month $0.00 OC TOPER Elgin Courier News(Main News) 1/2 Page,4 Color Four times a month $0.00 .i _ Sk ' Daily Herald (Main News-full run) 1/2 Page,4 Color Twice a month(1 tree ad) $4,089.74 Dai Herald Main News-full run 1/2 Pa•e,4 Color Twice a month 1 free ad $4,089.74 Dail Herald Main News-full run 1/2 Pate,4 Color Twice a month 1 free ad $4,089.74 rrga ".�Chloe to Parent Full run $o.: Chicago Parent(Full run) $0.00 • -, Chicago Parent(Full run) $0.00 0: z!,� «" 4„'.-The Business Ledger(Full run) 1/2 Page,4 Color 06/17/02 $1,768.00 Cl -t The Business Ledger(Full run) 1/2 Page,4 Color 10/21/02 $1,768.00 The Business Ledger(Full run) 1/2 Page,4 Color Once a month $1,768.00 t4fi,_ -y, .0 s:'AMC Banin•ton Theatre 3 Ads Every movie/theatre $2,671.63 D N o AMC Barrington Theatre 3 Ads Every movie/theatre $2,671.63 ' M AMC Barrington Theatre 3 Ads Every movie/theatre $2,778.49 7031migt Billboards 3 Boards Monthly $1,950.00 m 3 .r Billboards 3 Boards Monthly $1,950.00 Billboards 3 Boards Monthly $1,950.00 , $ Radio 60 Sec. Weekly,_ $0.00 i 'Radio 60 Sec. Weekly $0.00 Radio 60 Sec. Weekly $0.00 -^� 1,. � t,/0 Production New Creative $5,000 00 Production - Revisions $500.00 Production Revisions $500.00 ,_ , -%� .t TOTAL S15,479.37 ..' '- r ,1 TOTAL $10 979.37 TOTAL $11,086.23 MARCH Elgin Courier News(Main News) 1/2 Page,4 Color Four times a month $0.00 JULY Elgin Courier News(Main News) 1/2 Page,4 Color Five times a month $0.00 NOVEMBER Elgin Courier News(Main News) 1/2 Page,4 Color Five times a month $0.00 ,,h.,r 6,, Daily Herald (Main News-full run) 1/2 Page,4 Color Twice a month(1 free ad) $4,089.74 .. a Daily Herald (Main News-full run) 1/2 Page,4 Color Twice a month(1 free ad) $4,089.74 Daily Herald (Main News-full run) 1/2 Page,4 Color Twice a month(1 free ad) $4,089.74 .4 4,' ,sm, '' Chicago Parent(Full run) $0.00 -' d i-Chicago Parent_(Full run) $0.00 Chicago Parent(Full run) $0.00 a,*' � aQ+a� x, The Business Ledger Full( run) 1/2 Pa e,4 Color 07/29/02 $1,768.00 /'°� 11 '-,, �"The Business Led.er Full run 1/2 Pa•e,4 Color 11/18/02 $1,768.00 - The Business Ledger(Full run) 1/2 Page,4 Color Once a month $1,768.00 .-« �-0 y z,? AMC Barrington Theatre 3 Ads Every movie/theatre $2,671 63 , ' I s "AMC Barrington Theatre 3 Ads Every movie/theatre $2,671.63 AMC Barrin•ton Theatre _ 3 Ads Every movie/theatre $2.778.49 x g x� , Billboards 3 Boards Monthly $1,950.00 ..'N- Billboards 3 Boards Monthly $1,950.00 I" Billboards 3 Boards Monthly $1,950.00 ,d ^Radio 60 Sec. Weekly $0 On ,y "� `Radio 60 Sec. Weekly $0.00 £ Radio 60 Sec. Weekly P k s g Production New Creative $5 000 Production Revisions $500.00 Production Revisions 5500.00 ,T�OTA�. „ ..• �. .,.,.. 1 ,TOTAL 610,979.37 InT4,._ $11.086.23 . fZ. .;z',....s..,-,••o•n�dpi"a` '^?' _ ..,.r;..11..;. .-y... ,. •r� .,, A ..a.:::..., Y:.P I'.IL4'4__-�- Elgin Courier News(Main News) 1/2 Pat-,4 Color Five times a month $0.00 PPM Elgin Courier News(Main News) 1/2 Page,4 Color Four times a month 50.00 DEC C' i LR Elgin Courier News(Main News) I 1/2 Page,4 Color Four times a month $0.00 Daily Herald (Main News-full run) 1/2 Pape,4 Color Twice a month(1 free ad) $4,089 74 Daily Herald (Main News-full run) 1/2 Page,4 Color Twice a month(1 free ad) $4,089.74_ i Caily Herald (Main News-full run) 1/2 Page,4 Color J Twice a month(1 free ad) $4,089.74 °' 2 Chicago Parent(Full run) $0.00 • Chicago Parent(Full run) _ $0.00 2 l nicago Parent(Full run) $0.00 " m,- 0 --The Business Ledter(Full run) 1/2 Page,4 Color 08/12/02 $1,768.00 The Business Ledter Full run 1/2 Pa•e,4 Color 12/2/02 $1,768.00 0 ''ie Business Ledger(Full run) 1/2 Page,4 Color Once a month $1,768.00 , " 0 ' AMC Barrington Theatre-8/23 3 Ads Every movie/theatre $2,671.63 - AMC Benin!on Theatre 3 Ads Eve movie theatre $2,671.63 Ct sMC Barrington Theatre 3 Ads Every movie/theatre 52,778.4E IiI`a'"" 3 Billboards 3 Boards Monthly $1,950 00 Billboards 3 Boards Monthly $1,950.00 3 Billboards 3 Boards Monthly $1,950.00 'zT': 4, Radio 60 Sec. W:_ $0.00 Radio 60 Sec. I Week $0.00 ' Radio 60 Sec. Weekly $0.00 Revisions $500.00 101111,41-10,11 Production Revisions `Production Revisions $500.00 TOTAL $10,979.37 • TOTAL 510,979.37-I «TOTAL $11,086.23 litlr 4-Month Totals $58,417.48 4-Month Totals $43,917.48 4-Month Totals $47,738.06 1/18/03 Grand Total $150,073.02 •4%RATE INCREASE FOR EACH PUBLICATION Circulation/Readershio' Coverage Area- Elgin-Courier News 20,000 Daily/Sun. Circulation Elgin-Courier News Carpentersville,East/West Dundee,Sleepy Hollow,Gilberts,Hampshire,Geneva,Huntley,Algonquin,Crystal Lake,Marengo,Bartlett,Streamwood,South/East/West Elgin,St.Charles, Burlington,and Sycamore Daily Herald 148,856 Daily/146,927 Sun. Cir Daily Herald Cook,Lake,McHenry,Kane,DuPage,and Will Counties Chicago Parent 200,000 Readership Chicago Parent Cook,Lake,McHenry,Kane,DuPage,and Will Counties The Business Ledger 55,860- Readership The Business Ledger Barrington,Elgin,St.Charles,Aurora,Bolingbrook,Naperville,Downers Grove,Wheaton,West Chicago,Oak Brook,Oak Park,Schaumburg,and Arlington Heights Barrington AMC Theatres 1.75 Million Viewers Barrington AMC Surrounding NW Suburbs O� „,„rw.k .�� 5 $, ` ,' City of Elgin Agenda Item No. K ,_ ,,,,n .,F 4TED CCU. I Em February 7, 2003 G `a r _, ,'u l: r R" N . TO: Mayor and Members of the City Council :,,q,7 >� ECONOMIC GROWTH FROM: Olufemi Folarin, Interim City Manager SUBJECT: Purchase of Service Agreement with Elgin Area Chamber of Commerce PURPOSE The purpose of this memorandum is to provide the Mayor and members of the City Council with information to consider a Purchase of Service Agreement with the Elgin Area Chamber of Commerce for economic development activity. BACKGROUND The 2003 Budget includes a total of $272 , 000 for support of the Elgin Area Chamber of Commerce related to economic development activity and image enhancement . The Elgin Area Chamber of Commerce was chartered in 1908 as the Elgin Commercial Club. Since that time, the Chamber has served the community with the mission to be "the collective voice of commerce" as it "maintains and improves the economic environment, and provides leadership for improving the quality of life in the Elgin area" . The Chamber has a professional staff of 7 full-time employees . Currently, there are approximately 666 members of the Chamber including approximately 82 new members added in 2002 . The City provides direct financial support for economic development activities of the Chamber. The economic development budget for the current year is attached. The Chamber continues to be vitalpartner in local economicgrowth through efforts to retain and expand existing businesses and attract new businesses to the area. During the 2002 fiscal year, a total of 317 added in the El in area, resulting located or exp g in I�� 11, PSA/Elgin Area Chamber of Commerce February 7, 2003 Page 2 addition or retention of 621 jobs . The average unemployment rate for Elgin in 2002 was 8 . 6%, up from 6 . 8% a year ago . Within the 2003 budget, $172 , 000 was earmarked for the Elgin Area Chamber of Commerce to serve as a partner with the City in addressing Elgin' s economic development needs . In addition to funding projects for economic development, $100, 000 is budgeted in 2003 for the Enhancing Elgin Marketing Project . An additional $50, 000 will be generated for the Image Enhancement project from both Chamber and private resources . The Chamber of Commerce, working with City staff, proposes that this funding be utilized to support the following programs : 1 . Business Retention and Expansion Efforts The Chamber will retain the Business Retention Committee, continue the strategy of focusing on specific businesses and industries where retention efforts will likely be most productive. 2 . Workforce Development Initiative Workforce development initiatives, including labor market analysis, wage and benefit survey, and maintaining the Workforce Development Committee to oversee and coordinate program efforts with other workforce development agencies, such as U-46, Elgin Community College, the Illinois Department of Employment Security, Kane County, and Judson College . 3 . Enhancing Elgin Continued implementation of the Enhancing Elgin Marketing Program. Its purpose is to educate regional businesses, regional realtors, various other agencies, and the general public about the positive growth climate and quality of life of Elgin. 4 . Government Relations Continue to efforts of the Government Relations Committee thus allowing the Chamber to design and implement pro-active legislative policy initiatives at both the state and federal level , complementing present efforts by the City. I , PSA/Elgin Area Chamber of Commerce February 7, 2003 Page 3 5 . Business Recruitment Continuation of work with prospective new businesses that are interested in relocation to Elgin. The Chamber will be the lead agency in promoting and marketing Elgin in the development community. As business locations within Elgin turn over, the Chamber will work with property owners and the City to develop options for re- use or redevelopment of the site . 6 . Other Economic Development Activities A. Respond to daily information requests . B. Maintain employer data base . C. Maintain building and site data base . D. Technical support for Downtown Neighborhood Association. E. Regularly meet with City of Elgin staff . F. Provide monthly and quarterly reports to City Council . G. Interact with various minority-oriented business Forum. H. Interact with the Kane County Economic Development Advisory Commissions, World Business Chicago, and other economic development groups and agencies. I . Coordinate the activities of the Economic Development staff . A Purchase of Service Agreement has been drafted by the Elgin Area Chamber of Commerce President and City staff for City Council consideration. The agreement is designed to establish the public purpose for City support and proves a mechanism for accountability of the Chamber and the Economic Development Council for the use of public funds . COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED The proposed agreement was drafted in conjunction with the Elgin Area Chamber of Commerce . PSA/Elgin Area Chamber of Commerce February 7, 2003 Page 4 Ylit FINANCIAL IMPACT There are sufficient funds budgeted and available ($272 , 000) in the Riverboat Fund, Contributions, account number 275-0000-791 . 80-02 to fund this agreement . \NVLEGAL IMPACT None . ALTERNATIVES 1 . The City Council can approve the agreement as drafted. 2 . The City Council can decline to provide support to the Elgin Area Chamber of Commerce . RECOMMENDATION It is recommended that the City Council approve the Purchase of Service Agreement in the amount of $272 , 000 with the Elgin Area Chamber of Commerce to provide economic development services . Respectfully submitted, Ilk tejwliil: ..s .----' Olufemi v Interim Ci 'anager RHM/dr Attachment