HomeMy WebLinkAbout99-94 •
Resolution No. 99-94
RESOLUTION
AUTHORIZING EXECUTION OF A SERVICE AGREEMENT WITH THE
ELGIN AREA CHAMBER OF COMMERCE
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 an
agreement on behalf of the City of Elgin with the Elgin Area
Chamber of Commerce for economic development activities, a
copy of which is attached hereto and made a part hereof by
reference.
s/ Kevin Kelly
Kevin Kelly, Mayor
Presented: March 24 , 1999
Adopted: March 24 , 1999
Omnibus Vote: Yeas 5 Nays 0
Attest :
s/ Dolonna Mecum
Dolonna Mecum, City Clerk
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SERVICE AGREEMENT
THIS AGREEMENT is made and entered into on this / ,';day of 4 /9/<.', t'L , 1999,
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:
1. The City shall pay to Chamber the sum of$172,000 to be made in three equal
payments. The first payment will be made following the execution of this
agreement. The second payment shall be made by June 1, 1999. The third
payment shall be made by September 1, 1999.
2. Chamber shall address all inquiries and requests made pursuant to this agreement
to City's Business Services Director.
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.
4. The Chamber will develop a prioritized strategy focusing on specific businesses
and industries where retention efforts will likely be most productive.
5. The Chamber will continue to work with prospective new businesses that are
interested in relocating to Elgin. The Chamber will be the lead agency in
promoting and marketing Elgin in the development community.
6. As business locations within Elgin turnover, the Chamber will work with the
property owner and the City to develop alternatives for redevelopment of the site.
• 7. The Chamber will conduct an analysis of labor pools in order to target industry
segments for active recruitment. As a market identification document, this analysis
will help target economic development marketing efforts.
8. An updated directory of area manufactures and distributors will be prepared by the
Chamber including industrial classification, e-mail address and other useful
information.
9. The Chamber will maintain a current inventory of development and redevelopment
sites on the computer-based geographical information system (GIS).
10. The Chamber will update the current booth and attend at least one commercial and
one industrial trade show during 1999.
11. The Chamber will organize at least two tours during 1999 to familiarize brokers
with Elgin development areas, general contractors, banks/lending institutions, and
other community resources.
12. The Chamber will develop various marketing material that promotes Elgin to
developers.
13. Representatives of the Chamber shall meet not less than quarterly with
representatives of the New Century Partnership for Elgin and the Downtown
Neighborhood Association of Elgin. A format for these meetings shall be
established by March 31, 1999 with quarterly meetings beginning thereafter. The
Chamber will serve as the facilitator of these meetings.
14. The Chamber will assist the Downtown Neighborhood Association in conducting a
market analysis of the Central Business District identifying business development
opportunities within the area. From this analysis, recruitment efforts will be
directed towards businesses that match the opportunities identified in downtown.
15. Working with the other downtown organizations and downtown business owners,
the Chamber will work to provide assistance to downtown business owners.
16. The Chamber will work in conjunction with the Suburban Minority Business
Council (SMBC) to develop specialized assistance to Elgin's minority business
owners.
17. The Chamber shall facilitate the activities and meetings of the EDC. The EDC
shall function consistent with the description provided attached as Exhibit A.
18. The Chamber shall provide a written report detailing the disbursement of
$170,000. This report shall be provided to the City Council by January 1, 2000
and shall include program activity.
19. Quarterly activity reports summarizing services provided shall be provided to the
City Council.
• 20. The City shall have the right to review all accounting records related to the use of
the $170,000, given 72 hour notice, and at a time agreed upon by both parties.
21. The Chamber shall indemnify and hold City harmless from and against any and all
claims for damages, suits, causes of action or any and all other liability which may
arise out of or in connection with the performance of this agreement or other
operations as result of any negligent actions by the Chamber.
22. This agreement shall not be construed so as to create a partnership,joint venture,
employment or other agency relationship between the parties hereto.
23. This Agreement shall be in full force and in effect from the date of its execution
through December 31, 1999.
IN WITNESS WHEREOF, the parties hereto have executed this agreement on the date
and year written above.
CITY OF ELGIN,
a municipal corporation
B
y
Kevin Kelly
Mayor
Attest:
1!--.141-421".4%.<
City Clerk
ELGIN AREA CHAMBER OF COMMERCE,
a not-for-pr9.fit corporation
(1.'
BY j` Z
Robert H. Carlile
President (- '/ rj
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Exhibit A - EDC Structure
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 five 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
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.
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: 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.
. . . .(OF EE•
4 Ci
.4 Agenda Item No.
, City of Elgin g
II\
o�n?ATEl)%''
March 1, 1999
TO: Mayor and Members of the City Council
FROM: Joyce A. Parker, City Manager
SUBJECT: Elgin Area Chamber of Commerce
Purchase of Service Agreement
PURPOSE
The purpose of this memorandum is to provide information for
the Mayor and members of the City Council to consider a
Purchase of Service Agreement with the Elgin Area Chamber of
Commerce for economic development activity.
BACKGROUND
The 1999 Budget includes a total of $172, 000 for support of
the Elgin Area Chamber of Commerce related to economic devel-
opment activity. This support includes a base of $98, 000 for
funding of economic development initiatives plus an additional
$74 , 000 of support requested and granted as a part of the 1999
Budget .
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 . Cur-
rently, there are approximately 770 members of the Chamber,
including approximately 150 new members added in 1998 .
The City provides direct financial support for economic
development activities of the Chamber. The economic develop-
ment 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 1998 fiscal
year, a total of 98 businesses located or expanded in the
Elgin area, resulting in addition or retention of 2, 534 jobs .
Direct Chamber assistance was to 62 of the new or expanding
firms . The Elgin economy continues its strong performance
with an unemployment rate of 3 . 7%, down from 4 . 2% a year ago.
Elgin Area Chamber of Commerce PSA
March 1, 1999
Page 2
As part of the 1999 Budget process, the Elgin Area Chamber of
Commerce was granted $172, 000 from the City to serve as the
community' s lead economic development agency. The Chamber of
Commerce, working with the City staff, proposes that this
funding be utilized to support the following programs :
- Continued business retention and expansion efforts . The
Chamber will develop a prioritized strategy focusing on
specific businesses and industries where retention
efforts will likely be most productive .
- Continued efforts to attract new businesses to the area.
The Chamber will continue to work with prospective new
businesses that are interested in relocating to Elgin.
The Chamber will be the lead agency in promoting and
marketing Elgin in the development community.
- Assist with redevelopment opportunities . As business
locations within Elgin turn over, the Chamber will work
with the property owner and the City to develop alterna-
tives for redevelopment of the site .
- Research Report/Industrial Analysis . The Chamber will
conduct an analysis of labor pools in order to target
industry segments for active recruitment . As a market
identification document, this analysis will help target
economic development marketing efforts.
- Business Manufacturers and Distributors Directory. An
updated directory of area manufacturers and distributors
will be prepared, including industrial classification,
e-mail address and other useful information.
- Update GIS information. The Chamber will maintain a
current inventory of development and redevelopment sites
on the computer-based geographical information system
(GIS) .
- Trade show presence. The Chamber will update the current
booth and attend at least one commercial and one indus-
trial trade show during 1999 .
- Conduct Broker tours . The Chamber will organize at least
two tours during 1999 to familiarize brokers with Elgin
development areas, general contractors, banks/lending
institutions and other community resources .
- Develop and update marketing material . The Chamber will
develop various marketing material that promotes Elgin to
developers .
Elgin Area Chamber of Commerce PSA
March 1, 1999
Page 3
- Coordinating efforts with other downtown organizations .
The Chamber of Commerce will meet at least quarterly with
the New Century Partnership and Downtown Neighborhood
Association representatives to foster communication and
coordination of efforts . Due to their staff and facili-
ties, the Chamber will serve as the facilitator of these
coordinating efforts.
- Downtown market analysis . The Chamber will conduct a
market analysis of the Central Business District identi-
fying business development opportunities within the area.
From this analysis, recruitment efforts will be directed
towards businesses that match the opportunities identi-
fied in downtown.
- Downtown business assistance. Working with the other
downtown groups and downtown business owners, the Chamber
will work to provide assistance to downtown business
owners .
- Minority business owner assistance. The Chamber will
work in conjunction with the Suburban Minority Business
Council (SMBC) to develop specialized assistance to
Elgin' s minority business owners .
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 provides 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 .
�A_FINANCIAL IMPACT
! ,
Annual support funding of $98, 000 is allocated in the 1999
General Fund budget (account number 010-0902-709 . 80-02) .
Funding for additional support in 1999 of $74 , 000 is budgeted
in the Riverboat Fund (account number 275-0000-791 . 80-02) .
Sufficient monies exist to fund the Purchase of Services
Agreement .
U ✓ LEGAL IMPACT
None .
J • r '
Elgin Area Chamber of Commerce PSA
March 1, 1999
Page 4
ALTERNATIVES
The City Council could approve the agreement as drafted, edit
the agreement or 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 with the Elgin Area Chamber of Commerce
to provide economic development services .
Re ectfully submit d,
Ja ce A. Parker
City Manager
ES