HomeMy WebLinkAbout98-46 Resolution No. 98-46
RESOLUTION
AUTHORIZING EXECUTION OF A SERVICE AGREEMENT WITH THE
ELGIN AREA CHAMBER OF COMMERCE FOR ECONOMIC DEVELOPMENT
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN,
ILLINOIS, that Kevin Kelly, Mayor, and Dolonna Mecum, City
Clerk, be and are hereby authorized and directed to execute a
Service Agreement on behalf of the City of Elgin with the Elgin
Area Chamber of Commerce for economic development activity for
the year 1998, a copy of which is attached hereto and made a
part hereof by reference.
s/ Kevin Kelly
Kevin Kelly, Mayor
Presented: February 25, 1998
Adopted: February 25, 1998
Omnibus Vote: Yeas 7 Nays 0
Attest:
s/ Dolonna Mecum
Dolonna Mecum, City Clerk
SERVICE AGREEMENT
THIS AGREEMENT is made and entered into on this day of fir ` , 1998, by
and between the ELGIN AREA CHAMBER OF COMMERCE, a 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, Illinois 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 Council (hereafter referred to as the EDC); and
NOW, THEREFORE, in consideration of the mutual promises and covenants contained
herein, the sufficiency of which is hereby acknowledged, the parties hereto hereby agree as follows:
Section 1: EDC Membership
The EDC shall consist of 16 members, five of whom are ex-officio. Ex-Officio shall not have the
right to vote. Members serve on a calendar year basis. The membership shall be appointed as
follows:
A. Regular Members:
The EDC shall have 11 voting members consisting of:
1) Two members of the City Council as appointed by the Mayor.
2) Two members from non-City Council persons as appointed by the Mayor with
the advice and consent of the City Council.
3) Seven members from the business community appointed by the Chamber Board
of Directors.
B. Ex-Officio Members:
The EDC shall have six ex-officio members consisting of:
1) City of Elgin City Manager
2) Chamber President
3) Fox River Water Reclamation District Executive Director
4) Elgin Community College President
5) U-46 School District Superintendent
6) A representative from the healthcare industry
The seven voting members appointed by the Chamber will be selected on a broad basis in order to
represent a cross representation from the Elgin business community. No one business classification
will represent a majority of the business sector members.
II
C. Membership Term
Each term will be for two years with overlapping appointments in voting member classification. The
maximum number of terms that can be served by voting members is three consecutive terms,
provided, however, that if a member is elected Chair of the EDC that member is eligible to an
additional three terms as Chair.
D. Staff Representation
Ex-officio members may designate a staff person to represent them when they are unable to attend.
E. Vacancies
Vacancies will be filled by the appointing body who appointed the member creating the vacancy.
F. Meeting Attendance
Any member not attending at least two-thirds of the regularly scheduled meetings will not be eligible
for reappointment. Any member missing three consecutive meetings will be considered to have
resigned. Meeting attendance shall not be applied to ex-officio members.
Section 2: Frequency of Meetings
The EDC shall meet monthly and meet more often if necessary.
Section 3; EDC Chair
The Chair of the EDC shall be selected annually by the Executive Board of the Chamber from among
the voting membership of the EDC. The EDC Chair shall also serve on the Executive Board of the
Chamber during his/her tenure.
Section 4: EDC Financial Support
An annual budget shall be prepared by the EDC and submitted to the City and the Chamber for
approval. A budget request for next year shall be submitted to the City and the Chamber no later than
September 30 of the current year. Upon approval by both the City and the Chamber, the City shall
fund approximately 40 percent of the EDC budget or $95,000 annually. The Chamber and private
sector shall fund the remainder of the EDC budget. The ratio may be changed by mutual consent of
both parties. The payment of the Citys monetary support will be on a quarterly basis.
The EDC and Chamber, on a quarterly basis, will submit a financial report to the City. The financial
report will show the income and expenses of the EDC on a line item basis.
Section 5: Responsibilities of the EDC
The function of the EDC is advisory to the City and the Chamber. A program of work necessary to
achieve the purposes of this agreement will be prepared and submitted annually to the City by the
EDC and the Chamber. The EDC will monitor the approved plan on a regular basis through its
operations. The Chamber will be responsible for the coordination and management of the approved
program.
On a monthly basis, the Chair of the EDC shall report to the Chamber Board of Directors. On a
quarterly basis, the EDC will report to the City. These reports will outline efforts implemented
through the program of work and the subsequent results.
Section 6: Termination of this Agreement
Either the City or the Chamber may terminate this agreement, subject to the implementation adopted
by both parties, in writing ninety days prior to the expiration of the current agreement.
Section 7: Indemnity
The Chamber shall indemnify and hold the City harmless from and against any and all claims for
damages, suits, causes of action or any and all liability which may arise out of or in connection with
performance of this agreement or other operations as result of any negligent actions by the Chamber.
IN WITNESS WHEREOF, the parties hereto have executed this agreement on the date and
year written above.
CITY OF ELGIN,
a municipal corporation
By
Kevin Kelly
Mayor
Attest:
City Clerk
ELGIN AREA CHAMBER OF
0ii I RCE,
a not-fo -prorporation
BY .04—
Larry Narum
Chairman of the Board
.4 OF Et.Ci
4„1� City of Elgin Agenda Item No.
February 5, 1998
TO: Mayor and Members of City Council
FROM: Joyce A. Parker, City Manager
SUBJECT : Elgin Area Chamber of Commerce Support
and Purchase of Service Agreements
PURPOSE
The purpose of this memorandum is to provide information to
the Mayor and members of City Council to consider two Purchase
of Service Agreements with the Elgin Area Chamber of Commerce
for economic development activity.
BACKGROUND
The 1998 Budget includes $95, 000 for support of the Elgin Area
Chamber of Commerce related to economic development activity.
During budget discussions, City Council approved a one-time
grant request of $15, 000 for completion of a Geographic
Information Mapping Computer System (GIS) . Funding for the
GIS project is available through the Economic Development
Initiatives budgeted in the Riverboat Lease Fund.
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 seven full-time and two part-time employees .
Currently, there are 800 members, including 150 new members
added in 1997 .
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 a vital partner in local economic
growth through efforts to retain and expand existing
businesses and attract new businesses to the area . During the
Chambers 1996-97 Fiscal Year, direct Chamber assistance was
provided to 62 firms that located or expanded in the Elgin
area, resulting in 2, 750 jobs . The Elgin economy continues
its strong performance with an unemployment rate of 4 . 2
percent, down from 4 . 9 percent a year ago.
•
Elgin Area Chamber of Commerce PSAs
February 5, 1998
Page 2
In addition to the annual support provided for economic
development, the Chamber has requested a $15, 000 grant to
assist in the completion of the Chamber' s $40, 000 computer
system upgrade and GIS system development . The GIS system
will enhance the Chamber ' s marketing efforts . The City' s
contribution to this project will allow for networking of the
system, delivery of economic development information via the
Internet and acquisition of equipment allowing for the
in-house development of geographic information-based marketing
material . Funding for the GIS initiative is included in the
1998 Budget as part of the Economic Development Initiatives in
the Riverboat Lease Fund.
Purchase of service agreements have been drafted by the Elgin
Area Chamber of Commerce President and City staff for City
Council consideration. The agreements are designed to
establish the public purpose for City support and provide 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 agreements were drafted in conjunction with the
Elgin Area Chamber of Commerce President Don Rinehart . The
Chambers 1998 funding request is also attached.
/, FINANCIAL IMPACT
Annual support funding of $95, 000 is allocated in the 1997
General Fund budget (Account Number 010-1902-709 . 80-02) .
Funding for the GIS initiative in an amount not to exceed
$15, 000 is budgeted in the Riverboat Lease Fund (Account
Number 276-0000-791 . 80-27 - Economic Development Initiatives) .
Sufficient monies exist to fund these Purchase of Services
Agreements
LEGAL IMPACT
/,
`";.7A) None .
ALTERNATIVES
The City Council could approve the agreements as drafted, edit
the agreements or decline to provide support to the Elgin Area
Chamber of Commerce .
Elgin Area Chamber of Commerce PSAs
February 5, 1998
Page 3
RECOMMENDATION
It is recommended that the City Council approve the Purchase
of Service Agreements with the Elgin Area Chamber of Commerce .
Respectfully submitted,
Eric S . Stuckey
Budget Director/Public
Information Officer
J ce . Parker
City Manager
Attachments
established 1908
Tl in
Area
eammerce
September 11, 1997
The Honorable Kevin Kelly
Mayor- City of Elgin
150 Dexter Court
Elgin, IL 60120
Dear Mayor Kelly:
I am writing you and the members of the Elgin City Council today to request
continued funding of the Economic Development Program for 1998.
Our Annual Report on Economic Development Activity for FY 1996-97 will be
submitted for your review by October 10, 1997. This letter of request is being
submitted at this time to comply with early input budget considerations for council
and city staff.
We are requesting the City-of Elgin invest$94,950 for 1998, a 3% increase over 1997
as budgeted in the City's five year plan. As you know, the balance of our economic
development program is funded by a percentage of Chamber dues and additional
dollars provided by our members.
In addition to this annual request, the Chamber would also ask the Council to
consider funding a one-time amount of $15,000 in 1998. As you are aware, the
Chamber is in the process of developing and implementing a new Geographic
Information Mapping Computer System (G.I.S.)) to enhance our economic
development marketing efforts. The additional $15,000 we are requesting will allow
us the ability to network this system throughout the chamber office, develop and
• deliver economic development information over the internet, and purchase additional
printing and graphics equipment for in-house development and delivery of economic
development marketing materials.
32 S. Grove Avenue • P.O. Box 648 • Elgin, Illinois 60120 • Phone: (847) 741-5660 • Fax: (847) 741-5677
The Honorable Kevin Kelly
September 11, 1997
Page 2
Once this entire system is in place and operating, Elgin's economic development
service delivery will be at one of the highest levels available in the state. These
services are and will continue to be accessible to the general public and are not
limited to Chamber membership. Business prospects worldwide will have Internet
access to Elgin's economic development information, including available buildings
and sites, and specific demographics. Our site will also be linked to the State
Department of Economic Development (D.C.C.A.) internet site, gaining additional
marketing visibility for Elgin through their network.
1998 will mark the 12th anniversary of the economic development partnership
between the City and Chamber. As you are well aware, your continued leadership
and support of these efforts continues to foster the business renaissance in Elgin.
Together, we continue to make a difference in generating increased property, sales,
and income tax revenues from new and expanding firms.
On behalf of the Chamber's Board of Directors, I thank you for your consideration
and look forward to our continued partnership. Please contact me if you have any
questions or concerns.
Sincerely,
Don Rinehart
President
DR/bc
cc: Robert Maim
Eric Stuckey