HomeMy WebLinkAbout05-87 Resolution No. 05-87
RESOLUTION
AUTHORIZING EXECUTION OF A PURCHASE OF SERVICE AGREEMENT WITH
THE DOWNTOWN NEIGHBORHOOD ASSOCIATION
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 Purchase of Service Agreement on behalf of the Cityof Elgin with the
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Downtown Neighborhood Association for downtown revitalization, a copy of which is attached
hereto and made a part hereof by reference.
s/Ed Schock
Ed Schock, Mayor
Presented: March 23, 2005
Adopted: March 23, 2005
Omnibus Vote: Yeas: 6 Nays: 0
Attest:
s/Dolonna Mecum
Dolonna Mecum, City Clerk
PURCHASE OF SERVICE AGREEMENT
THIS AGREEMENT is made and entered into this 2$R p day of
, 2005, by and between the DOWNTOWN NEIGHBORHOOD
ASSOCIATION, an Illinois not-for-profit organization,
(hereinafter referred to as the "DNA" ) and the CITY OF ELGIN,
Illinois, a municipal corporation, (hereinafter referred to as
the "CITY" ) .
WHEREAS, the City has determined it to serve a beneficial
public purpose to provide support for the development and
enhancement of its center city; and
WHEREAS, the DNA is formed to create, support, and sustain
revitalization efforts in downtown Elgin; and
WHEREAS, the revitalization of Downtown Elgin will result in
increased property values and increased job opportunities; and
WHEREAS , the City is a home rule unit which may exercise any
power and perform any function pertaining to its government and
affairs ; and
WHEREAS, the revitalization of Downtown Elgin including
increased property values and job opportunities therein pertains
to the government and affairs of the City.
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 DNA the total sum of Forty Five
Thousand and Six Hundred Dollars ($45 , 600) to be made in two
equal payments of Twenty Two Thousand Eight Hundred Dollars
($22 , 800) . The first aforementioned payment shall be made
within thirty (30) days of the date of this Agreement . The
second payment shall be made July 30, 2005 . However, that
the second payment shall not be made prior to eight (8) days
after the DNA' s submission of all required reports and
financial statements which are due July 15, 2005, as
provided for in this agreement .
2 . DNA shall conduct all of its activities funded pursuant
to this Agreement, including but not limited to, the
providing of support for the development and enhancement of
the downtown (hereafter referred to as "Center City" ) , in
accordance and in compliance with all requirements of law.
3 . DNA shall address all inquiries and requests made
pursuant to this Agreement to the City' s Director of
Economic Development and Business Services .
4 . DNA shall apply the $45, 600 provided for herein soley
to operating expenses such as staff salary and benefits,
rent , meeting expenses, and expenses associated with the
fulfillment of duties related to this contract .
5 . DNA shall develop strategic planning that enhances the
appearance and promotes the preservation of downtown
through the following means :
A. Forums
B. Design Assistance and Facade Programs
C. Strategic Planning
6 . DNA shall implement and/or assist in multiple community
events to be held in the Center City including but not
limited to the 4th of July Parade, Harvest Market, Fiesta
Salsa, Window Wonderland, downtown carnivals and or any
downtown bicycle race approved by the City.
7 . The City shall be recognized as a sponsor of the DNA
and shall receive the benefits of sponsorship consistent
with the level of support provided. At minimum, the City' s
support shall be acknowledged in print materials promoting
the organization or event, radio advertising, Web page
information and event program (s) . Three samples of this
acknowledgement shall be provided to the City. A logo
provided by the City shall be used for this purpose .
8 . Representatives of DNA shall meet not less than
quarterly with representatives of the Elgin Area Chamber of
Commerce and City of Elgin and include the City of Elgin in
committees and subcommittees related to economic
development .
9 . DNA shall assist with the implementation of a strategy
designed to strengthen existing downtown businesses,
recruit new businesses and develop strategies designed to
sustain the economic vitality of the downtown.
10 . The DNA office shall also serve as a Discovery Studio
for the implementation of the City of Elgin Riverfront
Center City Master Plan, dedicating space for the display
of plans and drawings, printed hand-outs and other related
materials .
11 . DNA will administer the local Main Street Program,
representing Elgin before both the Illinois and National
Main Street agencies .
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12 . DNA shall provide a budget which shall reflect the
projected distribution of funds received from the City
during the term of this Agreement . The budget shall be
submitted within 30 days of execution of the Agreement .
13 . DNA shall provide the City two written reports
detailing the disbursement of the aforementioned $45, 600 .
These reports shall be provided to the City on or before
July 15 , 2005, and January 15 , 2006, and shall include a
report of all programs funded by the city. These reports
shall be submitted to the City Manager' s Office, City Hall,
150 Dexter Court, Elgin, IL, 60120 .
14 . DNA shall have audits performed on its financial
statements for the years ended December 31, 2004 and
December 31 , 2005 . The audit must be performed by an
independent Certified Public Accountant recognized in good
standing by the American Institute of Certified Public
Accountants and licensed in the State of Illinois . DNA
shall provide the City with said audited financial
statements relative to the organization' s total operations
on or before July 15 , 2005 for the 12/31/2004 audit and
July 15 , 2006 for the 12/31/2005 audit . These statements
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 to the $45, 600 , given 72 hour
notice, and at a time agreed upon by both parties .
16 . DNA agrees to and it shall 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 resulting from or through or alleged to
arise out of any negligent acts or omissions of DNA or its
officers, employees or agents in the performance of this
Agreement . Nothing herein affects DNA' s duty to defend the
City. In the event of any action against the City, its
officers , employees, agents, boards and commissions covered
by the foregoing duty to indemnify, and 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 .
17 . Failure to perform the above services to the
satisfaction of the City Council shall result in a
termination of this Agreement and the refund of the $45, 600
consideration (plus reasonable costs and attorney' s fees,
in the event City is required to litigate to retrieve said
funds) as and for liquidated damages . DNA acknowledges and
agrees that such liquidated damages are reasonably related
to City ' s actual damages in the event of such breach, and
shall not be construed as being punitive in nature .
18 . In the event this Agreement is terminated or in the
event the programs for which the City funds provided herein
are to be applied are discontinued or DNA ceases its
operations prior to December 31 , 2005 , DNA shall refund to
the City on a prorated per deim basis the funds paid
hereunder for the portion of the year remaining after any
such termination or for the portion of the year such
programs of DNA 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 subject to and governed by the
laws of the State of Illinois . Venue for the resolution of
any disputes or the enforcement of any rights pursuant to
this Agreement shall be in the Circuit Court of Kane
County, Illinois .
21 . The terms of this agreement shall be severable . In the event
any of the terms or provisions 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 .
22 . This Agreement shall be in full force and in effect
from the date of its execution through December 31 , 2005 .
IN WITNESS WHEREOF, the parties hereto have executed this
Agreement on the date and year written above .
CITY OF ELGIN
a municipal corporation
By: 411116 Attest : tar` .u�.---
Loni Mecum
City M.. ager City Clerk
Downtown Neighborhood
Association of Elgin, a
not-for-profit corporation
By:
,47—
Steve Munson
President
1° • L
4-- -'' Agenda Item No.
City of Elgin if 1
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March 4, 2005 i 5,°1#° ;;
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TO: Mayor and Members of the City Council ALIVE DOWNTOWN
FROM: Olufemi Folarin, City Manager
Cherie Murphy,Economic Dev opment Coordinator
SUBJECT: Downtown Neighborhood Association Purchase of Service Agreement for 2005
PURPOSE
The purpose of the memorandum is to provide information to the Mayor and members of City
Council to consider a Purchase of Service Agreement with the Downtown Neighborhood
Association(DNA)for 2005.
RECOMMENDATION
It is recommended that the City Council approve the Purchase of Service Agreement with the
Downtown Neighborhood Association in the amount of$45,600.
BACKGROUND
The DNA is a grass-roots, membership-based organization formed to create, support, and sustain
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revitalization efforts in downtown Elgin. Members include downtown businesses, civic and
social service organizations, property owners, residents, surrounding neighborhoods, and others
interested in revitalization. Currently, the DNA has over 100 members. DNA's first meeting
' was held December, 1997, and the group was formally recognized as an Illinois 501c (3)profit organizationnot-for-
in April, 1998. DNA has been instrumental in promoting the revitalization of
Downtown Elgin and worked to make Elgin the first Large-Cities Main Street Community in
Illinois,as well as receiving National Main Street status in 2004.
As part of the 2005 budget process, the DNA requested and was granted $45,600 from the City.
Funds are to be used for operating expenses such as staff salary and benefits, rent, meeting
expenses, and expenses associated with sponsorship of community events. DNA proposed that
this funding be utilized to support the following programs:
• Main Street Program- DNA shall coordinate and administer the Main Street Illinois and
Main Street USA program for the downtown area for the City of Elgin.
DNA Purchase of Service Agreement
February 6, 2005
Page 2
• Downtown appearance and preservation - DNA shall develop strategic planning that
enhances the appearance and promotes the preservation of downtown through forums,
design assistance and facade programs, and other strategic planning.
• Downtown business retention and expansion - DNA shall assist with implementation of a
strategy designed to strengthen downtown businesses, recruit new businesses, and
develop strategies to sustain the economic vitality of the downtown.
• Downtown event sponsorship - The DNA will implement and/or assist in multiple
community events to be held in the center city such as the 4th of July Parade, Harvest
Market, Four Bridges of Elgin International Bike Race Welcome Dinner (or any
comparable bicycle race event approved by the City), Fiesta Salsa, and Window
Wonderland.
•
• Support implementation of Riverfront Center City Master Plan - DNA shall serve as a
Discovery Studio for implementation of the City of Elgin Riverfront Center City Master
Plan.
• Coordinate efforts with other relevant organizations - The DNA will be active with the
Chamber of Commerce, the E-Elgin Technology Action Team, Neighborhood Council,
City of Elgin staff, and others.
Minor changes have been made to the Purchase of Service Agreement from previous years. The
most important change will be to the financial reporting requirements. Past agreements have
required financial statements be provided to the City. This year's agreement will require audited
financial statements. DNA is aware of this change and is making arrangement to hire an auditing
firm.
COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED
None.
FINANCIAL IMPACT
The cost of the agreement with the DNA will total $45,600. There are sufficient funds, $59,280,
budgeted and available in the 2005 Riverboat Fund Budget, Contributions, Downtown
Neighborhood Association, account number 275-0000-791.80-36, to provide the requested
support to the Downtown Neighborhood Association. The remaining dollars ($13,680) are
budgeted for specific July 4th expenses.
r
DNA Purchase of Service Agreement
February 6, 2005
Page 3
L GAL IMPACT
None.
ALTERNATIVES
The City Council could approve the agreement as drafted, edit the agreement or decline to
provide support to the Downtown Neighborhood Association.
Respectfully submitted for Council consideration.
/RHM
Attachments