CITY COUNCIL: Resolution Entering into Agreemnt with Burghardt + Doré for Destination Marketing Services

Meeting Date: April 7, 2009
Prepared by: Joyce Giuffre, Admin Svcs Director

City Council
Agenda Item Summary

Name: Consideration of a Resolution entering into an agreement with Burghardt + Doré Advertising, Inc. for destination marketing services in an amount not to exceed $31,000 in fiscal year 2008/09.

Description: The City has had a contract with Anda/Burghardt Advertising to provide destination marketing services. Recently, this firm closed and canceled its contract with the City. The firm’s former president, Jeff Burghardt, is president of a new marketing firm, Burghardt + Doré Advertising, Inc.

Jeff Burghardt developed the City’s destination marketing plan. The City can continue its FY 2008/09 marketing plan by contracting with his new business, Burghardt + Doré. Exhibit “A” outlines the services to be provided by this firm through the end of the 2008/09 fiscal year.

Overall Cost: City Funds: $31,000, to be funded from General Fund account 01-85200.
Grant Funds: N/A

Staff Recommendation: Staff recommends that the Council approve entering into an agreement with Burghardt + Doré Advertising, Inc. to provide destination marketing services as outlined in Exhibit “A”.

Important Considerations:
1. Jeff Burghardt developed the marketing plan for the City when it was contracted with Anda/Burghardt.

2. Funds were approved in the Fiscal Year 2008/2009 Annual Budget up to $142,750. So far this fiscal year, $97,400 has been spent on marketing programs, with an additional $14,000 set aside to mail for the “Guide to Carmel”. This leaves a balance of approximately $31,000 for marketing services through June 30, 2009.

Decision Record: Resolution 2008-43, dated July 1, 2008, approving the FY 2008/09 destination marketing contract with Anda/Burghardt.

Reviewed:

Rich Guillen, City Administrator Date

CITY OF CARMEL-BY-THE-SEA
CITY COUNCIL
RESOLUTION 2009-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARMEL-BY-THE-SEA ENTERING INTO AN AGREEMENT WITH BURGHARDT+DORÉ ADVERTISING, INC. FOR DESTINATION MARKETING SERVICES IN AN AMOUNT NOT TO EXCEED $31,000 IN FISCAL YEAR 2008/2009

WHEREAS, the City Council has approved funding for destination marketing services for Fiscal Year 2008/2009; and

WHEREAS, the City’s recent destination marketing contract with Anda-Burghardt ended when the marketing firm closed its business; and

WHEREAS, to continue its fiscal year 2008/09 marketing plans, the City desires to contract with Burghardt + Doré Advertising, Inc. effective April 1, 2009, for services as outlined in Exhibit “A”;

NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF CARMEL-BY-THE-SEA DOES:

1. Authorize the execution of the Burghardt + Doré Advertising, Inc. agreement in an amount not to exceed $31,000 for destination marketing.

2. Authorize payment from the General Fund account 01-85200 for the professional services rendered.

PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF CARMEL-BYT-HE-SEA this 7th day of April 2009 by the following roll call vote:

AYES: COUNCIL MEMBERS:
NOES: COUNCIL MEMBERS:
ABSENT: COUNCIL MEMBERS:
ABSTAIN: COUNCIL MEMBERS:

SIGNED:

______________________
Heidi Burch, City Clerk

ATTEST:
_______________________
SUE McCLOUD, MAYOR


March 11, 2009
Rich Guillen, city administrator
City of Carmel-by-the-Sea
P.O. Box CC
Carmel-by-the-Sea, CA 93921

Dear Rich Guillen,
Due to economic conditions, we have closed Anda-Burghardt Advertising, Inc. We apologize for the sudden notice, but rapid account budget cuts forced us to dissolve the business.

To provide my cherished clients with professional advertising and PR services, I have opened a new, full-service advertising agency in Carmel-by-the-Sea called
Burghardt+Doré Advertising. This will make the transition seamless for the City of Carmel.

As a true Carmelite, I look forward to marketing the City of Carmel-by-the-Sea for years to come.

Sincerely,
Jeff Burghardt
President
419 Webster Street, Suite 201
Monterey, CA 93940
[831] 646-9200 / Fax [831] 646-9300

AGREEMENT FOR CONSULTING SERVICES
THIS AGREEMENT is entered into on this 1st day of April 2009, by and between the CITY OF CARMEL-BY-THE-SEA, herein referred to as the "CITY") and Burghardt+Doré, Jeff Burghardt, President hereinafter referred to as "CONSULTANT".

W I T N E S S E T H

WHEREAS, the CITY has prepared a Destination Marketing Plan; and

WHEREAS, the CITY desires to retain the services of a qualified consultant to assist in the preparation of said Marketing Plan; and

WHEREAS, CONSULTANT represents that they are qualified to perform the services under this Agreement.

NOW, THEREFORE, THE PARTIES HERETO DO MUTUALLY AGREE AS FOLLOWS:
1. SCOPE OF SERVICES
A. CONSULTANT shall perform all of the necessary services and prepare such reports as described as Scope of Services set forth in Exhibit “A” attached hereto and incorporated herein by this reference.

Said services and all duties incidental or necessary thereto shall be performed diligently and competently and in accordance with professional standards of performance.

2. COMPENSATION
A. The CITY shall pay CONSULTANT for services in accordance with the detailed scope of work as shown in Exhibit “A” with this agreement an amount not to exceed thirty-one thousand dollars ($31,000) for Destination Marketing.

B. Payment of the invoice for services rendered will be made after acceptance and approval by the CITY within thirty (30) days of receipt by the City of such invoice.

3. OWNERSHIP OF WORK PRODUCT
A. Ownership of any reports, data, studies, surveys, charts, maps, figures, photographs, memoranda, and any other documents which are developed, compiled, or produced as a result of this Agreement, whether or not completed, shall vest with the CITY.

B. Methodology, materials, software, logic and systems developed under this Agreement are the property of CONSULTANT and the CITY, and may be used as CONSULTANT and/or the CITY see fit, including the right to revise or publish the same without limitation.

4. GENERAL ADMINISTRATION AND MANAGEMENT
A. The City Administrator for the CITY shall have the primary administrative responsibility for the CITY under this Agreement, and shall review and approve Consultant’s invoices to the CITY under this Agreement.

B. The City Administrator for the CITY shall have primary responsibility for overseeing and directing Consultant’s preparation of the Scope of Services, and shall coordinate all communications with CONSULTANT from the CITY.

5. COMPLETION DATE
A. CONSULTANT shall make every reasonable effort to complete the listed Tasks according to the Scope of Services as set forth in Exhibit “A” and during Fiscal Year 2008/2009.

B. CONSULTANT will diligently proceed with the work contracted for, but it is expressly agreed and understood that CONSULTANT shall not be held responsible for delays occasioned by factors beyond their control, nor by factors which could not
reasonably have been foreseen at the time of execution of this Agreement.

6. SUSPENSION/TERMINATION OF AGREEMENT
A. The right is reserved by the CITY or CONSULTANT to terminate or suspend this Agreement with or without cause at any time by giving twenty (20) day’s written notice to the other party. In that event, all finished or unfinished documents, date, studies, surveys, drawings, maps, models, photographs and reports, or other material prepared by CONSULTANT pursuant to this Agreement shall be delivered to the CITY; and CONSULTANT shall be entitled to receive just and equitable compensation for
any satisfactory work completed on the project prior to the date of suspension or termination.

7. ASSIGNMENT
A. This Agreement may not be assigned or otherwise transferred by either party hereto without the prior written consent of the other party.

8. ADDITIONAL SERVICES
A. CONSULTANT may be requested to perform additional services beyond the original Scope of Services as defined in Exhibit “A”. Such additional services include those due to abnormal conditions beyond Consultant’s control, changes in phasing, time delays, changes in scope or requirements on the part of others and services necessitated by legal challenge of the Plan. Such work will be undertaken only upon written authorization of the CITY based upon an agreed amount of compensation.

9. NON-DISCRIMINATION/AFFIRMATIVE ACTION
A. CONSULTANT will not discriminate against any employee or applicant for employment because of race, creed, color, sex, age, national origin, marital status, physical or other motor handicap, unless based upon bona fide occupational qualification. CONSULTANT will take affirmative action to ensure that applicants are employed and that employees are treated during employment without regard to their race, creed,
color, sex, age, national origin, marital status, physical or other motor handicap.

10. HOLD HARMLESS
A. CONSULTANT is covered by, and agrees to maintain, general liability insurance for bodily injury and property damage arising directly from its negligent acts or omissions with limits as specified below. Certificates of insurance shall be provided to the CITY upon request. Within the limits and conditions of such insurance, CONSULTANT agrees to indemnify, protect, defend and name the CITY, its public officials, officers and employees as additional insured and hold harmless
from any loss, damage or liability arising directly from any negligent act or omission by CONSULTANT. CONSULTANT shall not be responsible for any loss, damage or liability beyond the amounts, limits and conditions of such insurance. CONSULTANT
shall not be responsible for any loss, damage or liability arising from any act or omission by the CITY, its agents, staff, other consultants, independent contractors, third parties or others working on the project that have not been hired by
CONSULTANT and over which CONSULTANT has no supervision or control.

11. INSURANCE
A. COVERAGES LIMITS OF LIABILITY
General Liability, including $1,000,000.00 each
Bodily Injury, Property Damage occurrence and Contractual Liability
Automobile Liability, including $1,000,000.00 each
Bodily Injury and Property occurrence Damage

B. WORKER’S COMPENSATION
CONSULTANT certifies that it is aware of the provisions of the Labor Code of the State of California which require every employer to be insured against liability for
workers’ compensation or to undertake self-insurance in accordance with the provisions of that Code, and it certifies that it will comply with such provisions before commencing performance under this Agreement.

12. INDEPENDENT CONTRACTOR
A. CONSULTANT is, and shall be at all times during the term of this Agreement, an independent contractor.

13. CONFLICTS OF INTEREST
A. CONSULTANT shall at all time avoid conflicts of interest, or the appearance of conflicts of interest, in the performance of this Agreement. CONSULTANT shall file statements of financial interest, on forms provided by the CITY, to the extent and at the times required by the City’s Conflict of Interest Code and applicable law.

B. During the term of this Agreement, CONSULTANT shall not directly or indirectly, either as a partner, employer, employee, consultant, principal, agent or in any individual or representative capacity, engage or participate in any business
or voluntary activity on behalf of any other party on any property located within the City without prior written permission of the City of Carmel-by-the-Sea.

C. During the term of this Agreement, CONSULTANT shall conduct all communications with non-governmental groups, agencies, or individuals, exclusively through the CITY.

14. NOTICES
A. Any notice to be given to the parties hereunder shall be addressed as follows (until notice of a different address is given to the parties):

THE CITY: Rich Guillen, City Administrator
City of Carmel-by-the-Sea
PO Box CC
Carmel-by-the-Sea, CA 93921

CONSULTANT: Jeff Burghardt, President
Burghardt+Doré
PO Box 223491
Carmel, CA 93922

Any and all notices or other communications required or permitted relative to this Agreement shall be in writing and shall be deemed duly served and given when personally delivered to either of the parties, CONSULTANT or the CITY, to whom it is
directed; or in lieu of such personal service, when deposited in the United States mail, first class, postage prepaid, addressed to CONSULTANT or to the CITY at the addresses set forth above.

Either party may change their address for the purpose of this paragraph by giving written notice of such change to the other party in the manner provided for in the preceding paragraph.

15. ATTORNEY’S FEES AND COURT VENUE
A. Should either party to this Agreement bring legal action against the other, (formal judicial proceeding, mediation or arbitration), the case shall be handled in Monterey County, California, and the party prevailing in such action shall be entitled to a reasonable attorney’s fee which shall be fixed by the judge, mediator or arbitrator hearing the case and such fee shall be included in the judgment, together with all costs.

16. AGREEMENT CONTAINS ALL UNDERSTANDINGS: AMENDMENT
A. This document represents the entire and integrated Agreement between the CITY and CONSULTANT, and supersedes all prior negotiations, representations and agreements, either written or oral.

17. GOVERNING LAW
A. This Agreement shall be governed by the laws of the State of California.

18. SEVERABILITY
A. If any term of this Agreement is held invalid by a court of competent jurisdiction the remainder of this Agreement shall remain in effect.

IN WITNESS WHEREOF, the parties have executed this Agreement on the date first hereinabove written.

CITY
By: ____________________________
Rich Guillen
City Administrator

CONSULTANT
By: __________________________
Jeff Burghardt, President
Burghardt+Doré
Its: __________________________

Exhibit A Revised
2008-09 Destination Marketing
SCOPE OF SERVICES
Strategy:
Continue to build on the integrated destination marketing campaign to increase visitor business and brand awareness. The marketing campaign will primarily focus on targeting upscale consumers during the shoulder and slow seasons.

Recommendation:
A strong mix of advertising, Internet, direct marketing, collateral, and public relations will continue to be the foundation for the City’s marketing efforts. With the down economy during the winter and spring months, we recommend direct marketing to the databases, running newspaper ads in the drive market, continuing all web marketing, and following through on PR opportunities.

The following budget breakdown is recommended for April-June 2009:
Remaining Marketing & PR Budget: $31,000
1) Marketing:
Scope of Work:
Marketing & Media Plan
Promotional Campaigns (ads, direct mail, emarketing, and PR)
Website
List Development

2) Public Relations:
Scope of Work
Pitching seasonal press releases
Manage ongoing press requests and needs

3) Present quarterly reports to the Council

4) Submit written annual report

Jeff Burghardt
Account/Creative Director
Burghardt+Doré Advertising, Inc.
P.O. Box 223491
Carmel, CA 93922
831.622.0144
Fax 831.620.0738
jeff@burghardt-dore.com