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HomeMy WebLinkAbout2012 07.03 City Council Regular Agenda PLEASE FILL OUT A-RE( ST TO SPEAK"FORM IF YOU WISH TO ADDP THE COUNCIL AT CALL TO THE PUBLIC OR ON ANY NON-PUBLIC HEARING hp/rCrte • City of Apache Jimctioii Horne of-the Supers itioit )Mountains APACHE JUNCTION CITY COUNCIL CITY COUNCIL CHAMBERS 300 EAST SUPERSTITION BOULEVARD APACHE JUNCTION,ARIZONA 85219 REGULAR MEETING AGENDA July 3,2012 7:00 PM A. CALL TO ORDER. B. INVOCATION AND PLEDGE OF ALLEGIANCE. c ROLL CALL. D CONSENT AGENDA. The Council may. at this time,take single action on any or all items listed as consent agenda items.These items may include,but are not limited to,acceptance of agenda,acceptance of minutes,appointments,acceptance of resignations and adoption of certain resolutions and other items which do not require a public hearing.The Consent Agenda is a timesaving device of which the Mayor and City Council is to receive documentation on these items from the City Manager for their review prior to the meeting.Any member of the Council may remove any item from the Consent Agenda for discussion and cause a separate vote on the matter later in the agenda. 1• Acceptance of Agenda. 2. Approval of Minutes of Regular Meeting of June 19, 2012. 3. Acknowledge receipt of the 2011-2012 Annual Report of the Apache Junction Public Library A.R S.§9-418 requires the Library Board to make an annual report to the governing body of the city on or before the tirst Monday of July of each year. The report was adopted by the Library Board at its special meeting of June 28,2012. 4. Consideration of contract renewal with the Greater Phoenix Economic Council(GPEC)for economic development services and reappointment of Councilmember Serdy as the City of Apache Junction representative to the GPEC Board of Directors. The City of Apache Junction joined the Greater Phoenix Economic Council(GPEC)in 2007 and has consistently renewed its membership each year as a member community contracting for economic development services, including national and international business recruitment services and targeted marketing.research,competitive analysis and prospect management for commercial iindustnal-type(i.e.non-retail)prospects within city limits.This is a renewal of the contract for those services for another year.The total contract amount for this year's renewal is$20,963 00 which is based on a standardized population-driven formula.In addition,the city seeks reappointment of Councilmember Jeff Serdy as the city's representative to the board. 5. Retroactive ratification for the legal action,cities of Apache Junction and Casa Grande v. Pinal County. Pursuant to Johnson v. Tempe Elementary School District No.3 Governing Board(Anzona Court of Appeals 2000)city council must ratify the filing of lawsuits publicly. This item,if approved,retroactively ratifies a lawsuit that was filed in Pinal County Superior Court on June 19,2012 in which the cities of Apache Junction and Casa Grande desire to preserve the redevelopment area funding established in the late 1990's. The county,in October 2010,refused to continue making the disbursements as originally established since 1998. The lawsuit is necessary to enforce the cities'rights. E. AWARDS, PRESENTATIONS AND PROCLAMATIONS. Awards,presentations from other organizations,proclamations issued by the mayor,and acknowledgement of distinguished guests and visitors,and staff presentation of receipt of grant or donated funds are permitted at this time. 6 PRESENTATION OF THE CON' NITY PARTNERSHIP AWARD TO REPUBL SERVICES. Presentation of the Community Partnership Award to Republic Services in recognition for their sponsorship of 4th of July fireworks in 2010,2011 and 2012. F. ANNOUNCEMENT OF CURRENT EVENTS. The Mayor or any member of Council may at this time present a bnef summary of current events. However,no discussion shall take place on such items except for clarifying comments related to substance,time and location. C CITY MANAGER'S REPORT. The City Manager,members of City staff or those individuals designated by the Manager may present information pertinent to items under consideration or information related to the operation of the City.There shall however be no discussion at this time except for clarification inquiries. 7. MANAGER'S REPORT. H. PUBLIC HEARINGS. Public hearings required by applicable law shall be conducted by the Council and any person shall be given the opportunity to speak.All remarks shall be addressed to the Council as a whole and not to any member thereof Such remarks shall be limited to five(5)minutes unless additional time is granted by the Mayor.This time limitation shall not apply to applicants and their agents appearing before the Council. 3. PROPOSED ORDINANCE NO. 1384, CASE AN-1-08, ANNEXATION OF APPROXIMATELY 50 ACRES OF VACANT STATE TRUST LAND AND ASSIGNING CITY ZONING TO SAID PROPERTY. Proposed Ordinance No 1384 would allow for the annexation of 50+acres of State land at the southeast corner area of the S. Meridian Drive and W Elliot Avenue alignments. The purpose of the annexation is to accommodate the future alignment and adjustment of Elliot Avenue at such time as it is extended eastwardly OLD BUSINESS. The Council shall consider any business that has been previously considered and which is still unfinished to include those items previously postponed or tabled.No member of the public shall be permitted to speak on these items unless invited to do so by the Mayor after first submitting a written request-to-speak form with the City Clerk. 9. CONSIDERATION OF PROFESSIONAL SERVICES AGREEMENT FOR OPERATION OF A LOCAL VISITOR INFORMATION CENTER. LARRY JOHNSON, PRESIDENT/CEO, AND REPRESENTATIVES OF THE APACHE JUNCTION CHAMBER OF COMMERCE WILL BE PRESENT TO DISCUSS ON-GOING OPERATIONS. Following council's discussion on this topic at the June 18th work session,staff has revised certain aspects of the proposed three(3) year extension of the professional services agreement(PSA).The PSA remains funded at the same level of$36,000 00 per year and adds city funding for the Visit Sunny AZ Marketing Consortium in the amount of$5,000.00 per year Funding is contingent on availability of funds and city council approval during the annual budget adoption process. J. NEW BUSINESS. The Council shall consider any business not yet considered.No member of the public shall be permitted to speak on these items unless mvn to do so by the Mayor after first submitting a written request-to-speak form with the City Clerk. None. K. COUNCIL DIRECTION TO STAFF. This item allows the Mayor and City Council to direct staff on specifically listed matters. None. L. SELECTION OF MEETING DATES, TIMES, LOCATIONS, AND PURPOSES: 10• EXECUTIVE SESSION AT 5.45 P.M.AND WORK SESSION AT 7:00 P M. FOR MONDAY,JULY 16, 2012. 11, EXECUTIVE SESSION AT 5:45 P.M. FOR TUESDAY,JULY 17,2012.OTHER MEETINGS IF NECESSARY. M CALL TO PUBLIC. At this time the public has the pnvilege to address the Council with requests,communications,comments or suggestions relating to City business that are not listed on the agenda.All speakers must have already submitted a written"Request to Speak"form to the City Clerk no later than the conclusion of the City Manager's Report portion of the agenda.If there is a group speaking on the same item,they should select a spokesperson All such remarks shall be addressed to the Council as a whole and not to any member thereof The Mayor is authorized to ask a speaker to stop speaking and leave the podium or to adjourn the meeting if anyone becomes disorderly,uncivil,makes personal attacks or continues to speak about items the^ not within the jurisdiction of the city after being• ed such issues are beyond the jurisdiction of the city to act The Council may not answer questions of the speaker, discuss the matter with une another,but may, at the conclusion 1) respond to criticism by a speaker,2)ask the City Manager to review a matter,3)ask the City Manager to place the matter on a future agenda Each speaker must approach the podium,speak into the microphone,provide their name and address There is a three(3)minute time limit per speaker. N ADJOURNMENT. Copies of this agenda and additional information regarding any of the items listed above may be obtained from the City Clerk's office 300 East Superstition Boulevard,Apache Junction,AZ Monday through Thursdays,7 OOa—6 OOp,excluding holidays. If any person with a disability needs any type of accommodation,please notify the Human Resources Office,at (480)474-2617 or(480) 983-0095(TDD)at least 72 hours prior to the scheduled time ( CITY COUNCIL REGULAR MEETING JUNE 19, 2012 The regular meeting of the City Council of the City of Apache Junction, Arizona, was held on June 19, 2012, at the Apache Junction City Council Chambers pursuant to the notice .�. required by law. CALL TO ORDER Mayor Insalaco called the meeting to order at 7 : 10 p.m. INVOCATION Councilmember Wilson gave the Invocation. PLEDGE OF ALLEGIANCE Vice Mayor Dietz led the Pledge of Allegiance. ROLL CALL Councilmembers Present : Mayor Insalaco Vice Mayor Dietz Councilmember Barker Councilmember Evans Councilmember Serdy Councilmember Waldron Councilmember Wilson Staff Present : City Manager George Hoffman Assistant City Manager Bryant Powell City Clerk Kathleen Connelly City Attorney Joel Stern Public Safety Director Jerald Monahan Interim Public Works Director/City Engineer Giao Pham Economic Development Director Steve Filipowicz Others Present: Business Advocate Janine Solley REGULAR MEETING OF THE CITY COUNCIL JUNE 19, 2012 PAGE 1 OF 11 City Magistrate James Hazel ACCEPTANCE OF CONSENT AGENDA ) Vice Mayor Dietz MOVED THAT THE CONSENT AGENDA BE ACCEPTED AS PRESENTED; AND THAT APPROVAL BE GIVEN FOR RESOLUTION NO. 12-23, A RESOLUTION OF THE MAYOR AND CITY COUNCIL OF THE CITY OF APACHE JUNCTION, PINAL .•� AND MARICOPA COUNTIES, ARIZONA, ADOPTING THE RECOMMENDATION OF THE STEERING COMMITTEE OF THE METROPOLITAN PHOENIX MUNICIPAL EMPLOYEE BENEFITS TRUST ("MPMEBT") TO MODIFY THE TRUST DOCUMENT TO CHANGE THE NAME OF THE TRUST TO THE ARIZONA METROPOLITAN TRUST ("AZMT") ; AND THAT THE AWARD OF BID FOR PW 2012-04, BULK FUEL, BE AWARDED TO SOUTHERN COUNTIES OIL COMPANY DOING BUSINESS AS SC FUELS, WITH THE TERM OF THE AGREEMENT ENDING JUNE 30, 2013 WITH ADDITIONAL RENEWALS AUTOMATICALLY AND CONTINUOUSLY FOR FOUR CONSECUTIVE PERIODS OF ONE YEAR, WITH A TOTAL AMOUNT NOT TO EXCEED $500, 000 PER YEAR; AND THAT THE AWARD OF BID FOR PW 2012-01, TRASH AND RECYCLE MATERIAL REMOVAL FOR CITY FACILITIES, BE AWARDED TO REPUBLIC SERVICES, WITH THE TERM OF THE AGREEMENT ENDING JUNE 30, 2013 WITH ADDITIONAL RENEWALS AUTOMATICALLY AND CONTINUOUSLY FOR FOUR CONSECUTIVE PERIODS OF ONE YEAR, WITH A TOTAL AMOUNT NOT TO EXCEED $10, 857 . 24 PER YEAR; AND THAT THE AWARD OF BID FOR PW 2010-22B, NORTH APACHE TRAIL PHASE 1 IMPROVEMENTS, BE AWARDED TO J. BANICKI CONSTRUCTION IN THE AMOUNT OF $306, 345 . 00 PLUS 10% FOR UNFORESEEN CHANGE ORDERS IN .00.. THE AMOUNT OF $30, 635 . 00 FOR A TOTAL AMOUNT NOT TO EXCEED $336, 980 . 00; AND SUBJECT TO J. BANICKI CONSTRUCTION OBTAINING THE REQUIRED CITY LICENSE; AND THAT AUTHORIZATION BE GIVEN FOR THE PRESIDING MAGISTRATE AND CITY ATTORNEY TO FORMALIZE PROFESSIONAL SERVICES AGREEMENTS FOR TWO-YEAR TERMS FOR ATTORNEYS OF INDIGENT DEFENDANTS WITH WILLIAM J. PEARLMAN AT A BASE COMPENSATION OF $20, 700 ANNUALLY AND ROBERT C. STANDAGE AT A BASE COMPENSATION OF $20, 700 ANNUALLY. Councilmember Barker SECONDED THE MOTION. REGULAR MEETING OF THE CITY COUNCIL JUNE 19, 2012 PAGE 2 OF 11 VOTE: Unanimous . The motion carried. AWARDS, PRESENTATIONS AND PROCLAMATIONS City Clerk Kathleen Connelly officially swore in Councilmember Gail Evans . Councilmember Evans was appointed at the meeting of e"` June 5, 2012 to fill the remainder of the term of Councilmember Clark Smithson who resigned upon being appointed to the Final County Board of Supervisors. Councilmember Evans was unofficially sworn in after the June 5 meeting. Assistant City Manager Bryant Powell presented a unique downtown video for the quarterly update on the Downtown Redevelopment and Implementation Strategy. ANNOUNCEMENT OF CURRENT EVENTS Councilmember Serdy announced Officer Randy Betts recently retired from the city after 16 years. He thanked him for his service. Councilmember Waldron announced he was invited to Casa Grande to see Jim Keller, a resident of Apache Junction, get awarded a Purple Heart for wounds received in Iwo Jima 67 years earlier. Councilmember Barker, the vice mayor, the mayor, the city manager, the assistant city manager and Liz Riley went to Phoenix and received a plaque in recognition of being a founding member of the Arizona Metropolitan Trust. It is a new health cooperative for the employees . Vice Mayor Dietz announced that Police Explorer Kevin Miller graduated from the Arizona Leadership, Education and Development Authority, a week long youth leadership program of the Arizona Chapter of the Federal Bureau of Investigation National Academy Association. Mayor Insalaco announced he and his wife, Chief Monahan and his wife, and Bill Virtue and his wife attended the D.A. R. E. awards banquet on June 15 . Officer Virtue was recognized on June 13 for the John Pope Award for excellence within his own department REGULAR MEETING OF THE CITY COUNCIL JUNE 19, 2012 PAGE 3 OF 11 and striving to benefit D.A. R. E. across the state . Mayor Insalaco commented on some of his contributions and added Noel Staff, a fifth grader from Peralta, was recognized as a co- winner of the state essay contest. Officer Virtue retired from the police department on June 14 with 23 years of service, 14 years of those in D.A. R. E. He commented on a former D.A. R. E. officer from Flagstaff that has applied to the Apache Junction Police Department. CITY MANAGER' S REPORT City Manager George Hoffman commented on a police incident that occurred in the city; Derek Dorman earning a Naval ROTC $180, 000 scholarship, a neighborhood site on AZCentral . com for local information on our community; read a press release on a construction release for North Apache Trail; commented on an article in the Arizona Parks and Recreation Magazine co-authored by Recreation Coordinator Larry Binion and that Assistant City Manager Bryant Powell has been appointed to the East Valley Partnership Board. PUBLIC HEARINGS APPLICATION FOR A TEMPORARY EXTENSION OF PREMISES FOR FRATERNAL ORDER OF EAGLES #3850 FOR JULY 4, 2012 City Clerk Kathleen Connelly briefed the council on the item. Mayor Insalaco requested the applicant address the council . Mr. William Kimball stated they will start about 4 p.m. and go until 11 p.m. or midnight. They will be sitting outside having cocktails . If the fireworks go off this year, they will be watching them. Mayor Insalaco opened the public hearing on the items . There being no one wishing to speak, he closed the public hearing and reopened the item to council discussion. There being no further discussion, he called for a motion. REGULAR MEETING OF THE CITY COUNCIL JUNE 19, 2012 PAGE 4 OF 11 Councilmember Waldron MOVED THAT APPLICATION FOR A TEMPORARY EXTENSION OF PREMISES FOR FRATERNAL ORDER OF EAGLES #3850 FOR JULY 4, 2012, SUBMITTED BY WILLIAM KIMBALL, BE RECOMMENDED FOR APPROVAL TO THE ARIZONA DEPARTMENT OF LIQUOR LICENSES AND CONTROL. Vice Mayor Dietz SECONDED THE MOTION. VOTE: Unanimous . The motion carried. APPLICATION FOR AN INTERIM PERMIT, PERSON TRANSFER, LIMITED LIABILITY CO. , SERIES 7 LIQUOR LICENSE FOR PIZZA HUT City Clerk Kathleen Connelly briefed the council on the item. Mayor Insalaco requested the applicant address the council . The applicant was not present . He opened the public hearing on the item. There being no one wishing to speak, he closed the public hearing and reopened the item to council discussion. There being no further discussion, he called for a motion. Councilmember Barker MOVED THAT THE APPLICATION FOR AN INTERIM PERMIT, PERSON TRANSFER, LIMITED LIABILITY CO. , SERIES 7 LIQUOR LICENSE FOR PIZZA HUT, ,,w SUBMITTED BY THERESA MORSE, BE RECOMMENDED FOR APPROVAL TO THE ARIZONA DEPARTMENT OF LIQUOR LICENSES AND CONTROL. Vice Mayor Dietz SECONDED THE MOTION. VOTE: Unanimous . The motion carried. PRESENTATION BY THE GREATER PHOENIX ECONOMIC COUNCIL ON CONTINUED EFFORTS REGULAR MEETING OF THE CITY COUNCIL JUNE 19, 2012 PAGE 5 OF 11 Economic Development Director Steve Filipowicz gave a brief history on the city contract with the Greater Phoenix Economic Council and introduced John Kruger, vice president of business development of the Greater Phoenix Economic Council, who gave the presentation. Mr. John Kruger briefed the council on the item. Economic Development Director Steve Filipowicz stated John had told him a number of things are happening around the First Solar location. It is unknown when it will open and the major hires will occur, but the building is at Signal Butte and Elliott and if they reach 4, 000 employees, and the city only gets 5% of the employees, that is 200 employees for this community. It would be a major employer without a $12 to $15 million dollar infrastructure investment . There are other land transactions positioned at the city' s doorstep in the area of Signal Butte and the 202 and Germann and US 60 corridor that could come this way. Based on the city manager' s outline and our efforts to do the business park needs assessment, we may find in the 2-5 year window that we can get suppliers and research and development facilities. We will have the infrastructure ready for those. Vice Mayor Dietz commented when we first contracted with Greater Phoenix Economic Council we were paying $21, 000 or $22, 000 a year. When the economy dropped, they lowered their assessment fee. Economic Development Director Steve Filipowicz stated that was for a two or three year period where they gave the municipalities a 15% discount. That is in the process of being phased out. The population increase partially explains the $1, 722 increase for next year. Councilmember Serdy commented he believed they eased it up on the communities as they had received more corporate sponsorships. Mr. John Kruger stated the reduction in costs is what drove the need in the private sector. REGULAR MEETING OF THE CITY COUNCIL JUNE 19, 2012 PAGE 6 OF 11 A. p They spent a lot of time understanding the revenues based on housing permits and the lack thereof. They also spent the last four or five years understanding city budgets and how they were being affected by the economy, when they were recovering and how they were recovering. They were studying what Greater Phoenix Economic Council could do to help that recovery. Rather than have communities that stated they could not afford to join, they extended the discount to make sure everyone understood they were with them in a large partnership. Vice Mayor Dietz commented he believes this year' s $20, 900 is still less than what we originally paid when we first signed up. He thinks it is a great investment for the city and they should continue the relationship. Councilmember Serdy commented the Greater Phoenix Economic Council is also helping to facilitate the Resolution Copper issue . They are at the table trying to push that through as that could mean so much for all of the valley, especially us . He would like to see more participation from the county. Two of the Maricopa County supervisors sit on the board. If one looks at the Pinal County cities that are part of Greater Phoenix Economic Council, there is Casa Grande, Maricopa, Queen Creek and Apache Junction. They are the largest cities but the county does not participate. They will benefit so he thinks it is time for the county to come to the table and pitch in, too. Economic Development Director .\ Steve Filipowicz stated he believes there are lively discussions underway in that regard. Councilmember Barker requested a copy of the impact model. Economic Development Director Steve Filipowicz stated they would have it in their boxes before 10 a.m. tomorrow. Mr. John Kruger stated they would give them the report tomorrow as the model is very, very large. It will be the summary. They want to make sure everyone REGULAR MEETING OF THE CITY COUNCIL JUNE 19, 2012 PAGE 7 OF 11 is sure about what they are getting out of the relationship and to help them with anything they need. Economic Development Director Steve Filipowicz stated the next step is to put this on the consent agenda for their consideration on July 2 . Mayor Insalaco closed the item with no further discussion. This was a discussion item only with no action necessary. He moved on to the next item. OLD BUSINESS None. NEW BUSINESS None. COUNCIL DIRECTION TO STAFF None. SELECTION OF MEETING DATES, TIMES, LOCATIONS, AND PURPOSES There was general discussion on the date for the temporary budget adoption. Vice Mayor Dietz MOVED THAT THE SPECIAL MEETING FOR THE TENTATIVE BUDGET ADOPTION BE HELD ON TUESDAY, JULY 3, 2012 AT 7 : 00 P.M. IN THE CITY COUNCIL CHAMBERS. Councilmember Barker SECONDED THE MOTION. VOTE: Unanimous . The motion carried. Vice Mayor Dietz MOVED THAT AN EXECUTIVE SESSION AT 5 : 45 P.M. AND A WORK SESSION AT 7 : 00 P.M. BE HELD ON MONDAY, JULY 2, 2012, IN THE CITY COUNCIL CONFERENCE ROOM AND CITY COUNCIL CHAMBERS, RESPECTIVELY; AND REGULAR MEETING OF THE CITY COUNCIL JUNE 19, 2012 PAGE 8 OF 11 THAT AN EXECUTIVE SESSION AT 5: 45 P.M. BE HELD ON TUESDAY, JULY 3, 2012 IN THE CITY COUNCIL CONFERENCE ROOM. Councilmember Barker SECONDED THE MOTION. VOTE: Unanimous . The motion carried. CALL TO THE PUBLIC: Mr. Conrad Pisinski, 1069 W. 14th Avenue, Apache Junction addressed the council to resign from the sewer board and commented on issues that came before the sewer board. He suggested the council get together with the board to instruct them on what they are supposed to do. Mr. Thomas Aulik, 2292 N. Ironwood #11, Apache Junction, addressed the council regarding the light rail plan in the newspaper. Councilmember Serdy thanked Mr. Pisinski for serving on the board. He commented they have noticed that he questioned the powers that be over there He hopes that they put another person on that will ask questions and not just go along. They are concerned. ADJOURNMENT Mayor Insalaco adjourned the meeting at 8 : 23 p m. Consent Agenda Items are as follows : 1 . Acceptance of Agenda. 2 Approval of Minutes of Regular Meeting of June 5, 2012 . 3 . Consideration of proposed Resolution No. 12-23, adopting the recommendation of the steering committee of the Metropolitan Phoenix Municipal Employee Benefits Trust to modify the trust document to change the name of the trust to the Arizona Metropolitan Trust (AzMT) . REGULAR MEETING OF THE CITY COUNCIL JUNE 19, 2012 PAGE 9 OF 11 4 . Consideration of approval of PW 2012-04 bulk fuel to Southern Counties Oil Company doing business as SC Fuels . 5 . Consideration of approval of PW 2012-01 Trash and Recycle Material Removal for City Facilities to Republic Services in an annual amount not to exceed $10, 857 . 24 . 6. Consideration of award of contract to J. Banicki Construction Inc. , for PW 2010-22B North Apache Trail Phase 1 Improvements, in an amount not to exceed $336, 980 . 00 7 . Consideration of defense attorney contracts . ACCEPTED THIS 3RD DAY OF JULY, 2012, BY THE MAYOR AND CITY COUNCIL OF THE CITY OF APACHE JUNCTION, ARIZONA. SIGNED AND ATTESTED TO THIS 3RD DAY OF JULY, 2012 . JOHN S . INSALACO Mayor ATTEST: KATHLEEN CONNELLY City Clerk CITY COUNCIL MINUTES CERTIFICATION I hereby certify that the foregoing minutes are a true and correct copy of the minutes of the regular meeting of the City Council of the City of Apache Junction, Arizona, held on the REGULAR MEETING OF THE CITY COUNCIL JUNE 19, 2012 PAGE 10 OF 11 19th day of June, 2012 . I further certify that the meeting was duly called and held and that a quorum was present. Dated this 25th day of June, 2012 . KATHLEEN CONNELLY / City Clerk REGULAR MEETING OF THE CITY COUNCIL JUNE 19, 2012 PAGE 11 OF 11 o Cl t�� o Apache Junction Home of the Superstition :1 l ozmkains ipirosv- Print TO: City Manager's Office FROM: Spencer Paden, Library Director DATE: July 3, 2012 .genda Type : Regular Agenda Council Priority Focus Area: TITLE OF AGENDA ITEM: Acknowledge receipt of the 2011-2012 Annual Report of the Apache Junction Public Library ACTION REQUESTED: Information Only (No discussion) DISCUSSION /BACKGROUND INFORMATION: A.R.S. §9-418 requires the Library Board to make an annual report to the governing body of the city on or before the first Monday of July of each year. The report was adopted by the Library Board at its special meeting of June 28, 2012. FISCAL IMPACT: Budgetary Approval Not Required OPTIONS/ALTERNATIVES: Statutory Requirement RECOMMENDATION: .aff requests City Council acknowledge receipt of the 2011-2012 Annual Report of the Apache Junction Public Library Board of Trustees. ATTACHMENTS: Click to download No Attachments Available hPhCHf✓G ,. • City of pache Jimction Honk' of the .S df 3C/Yt/tion Ilountains 7QizOph Print TO: City Manager's Office FROM: Steve Filipowicz, Economic Development Director DATE: July 3,2012 .genda Type : Regular Agenda Council Priority Focus Area: Economic Development TITLE OF AGENDA ITEM: Consideration of contract renewal with the Greater Phoenix Economic Council (GPEC)for economic development services and reappointment of Councilmember Serdy as the City of Apache Junction representative to the GPEC Board of Directors. ACTION REQUESTED: Recommendation for Approval DISCUSSION / BACKGROUND INFORMATION: The City of Apache Junction loured the Greater Phoenix Economic Council (GPEC) in 2007 and has consistently renewed its membership each year as a member community contracting for economic development services, including national and international business recruitment services and targeted marketing,research, competitive analysis and prospect management for commercial/industrial-type (i.e. non-retail) prospects within city limits.This is a renewal of the contract for those services for another year. The total contract amount for this year's renewal is$20,963.00 which is based on a standardized population- driven formula. In addition, the city seeks reappointment of Councilmember Jeff Serdy as the city's representative to the board. FISCAL IMPACT: Budgeted Expenditure iPTIONS/ALTERNATIVES: RECOMMENDATION: ATTACHMENTS: Click to download t] CONSENT AGENDA COVER MEMO ❑ FY13 AJ-GPEC CONTRACT 0 FY13 EXHIBITS A-E PS E L4, t� 4. \� t Z City o �pac�ie ,unction _.,7) rEconomw Development Department DATE. June 7, 2012 MEMORANDUM TO- The Honorable Mayor&City Council MEMORANDUM Thru- George Hoffman, City Manager MEMORANDUM FROM Steve Filipowicz, Econ. Dev. Dir. SUBJECT- GPEC contract Renewal FY13 Since Apache Junction joined the Greater Phoenix Economic Council (GPEC) in 2007 we have benefited from a number of services that organization provides its community members. These include, access to a staff research section headed by Kathleen Lee PhD, an annual multi-million dollar marketing campaign that includes print, Internet and social media and direct marketing to site selection consultants and target industry prospect, as well as the traditional qualified `lead generation' and prospect management that activity that one tends to think and perhaps focus on when contemplating contract renewal. Also of value with our city's membership is access to the CoStar data base that is a helpful — but somewhat under-utilized— tool that Janine and I can access. All these service are provided at a professional level of sophistication we could not hope to match at twice or three times the annual contracted service investment we make with GPEC. Indeed the attached AJ-GPEC 'Return-On-Investment' calculates an 81 ROI when viewed over time. Our participation in and association with GPEC likewise opens doors for staff to interact with other ED-peers and site selection professionals that it would be extremely difficult if not impossible for staff to do on our own. This year's GPEC renewal is in the amount of $20,963.00 and staff once again recommends approval. -Voice (480)982-8002 -Fax(480)982-7018 TDD(480)983-0095 www.ajcity.net 300 E. Superstition Boulevard, Apache Junction,AZ 85119 DRAFT FY13 4.1.12 AGREEMENT BETWEEN THE GREATER PHOENIX ECONOMIC COUNCIL AND THE CITY OF APACHE JUNCTION City Contract No. The City Council of the CITY OF APACHE JUNCTION, an Arizona municipal corporation(the"City"),has approved participation in and support of the regional economic development program of the GREATER PHOENIX ECONOMIC COUNCIL("GPEC"), an Arizona non-profit corporation The purpose of this agreement("Agreement") is to set forth the regional economic development program that GPEC agrees to undertake,the support that the City agrees to provide,the respective roles of GPEC and the City and the payments of the City to GPEC for the fiscal year July 1, 2012 -June 30,2013 NOW,THEREFORE, in consideration of the mutual promises contained herein,the CITY and GPEC agree as follows RESPONSIBILITIES OF GPEC A. MISSION: GPEC works to attract quality businesses to the Greater Phoenix Region from around the world, and advocate and champion foundational effects to improve the region's competitiveness B. GOALS. GPEC is guided by and strategically focused on two specific long-range goals. 1 Marketing the region to generate qualified business/industry prospects in targeted economic clusters 2 Leveraging public and pnvate allies and resources to locate qualified prospects, improve overall competitiveness,and sustain organizational vitality C. RETENTION AND EXPANSION POLICY: 1 GPEC's primary role is image building,marketing and new business attraction for the Greater Phoenix region. 2. Retention and expansion of existing businesses is pnmanly a local issue. 3 GPEC can add value to retention and expansion of existing businesses through regional support and research on key retention and expansion projects. 4 GPEC has a responsibility to advise the City when an existing company contacts GPEC regarding a retention or expansion issue D. ACTION PLAN AND BUDGET: In accordance with the Mission,Goals and Retention and Expansion Policy set forth above and subject to the availability of 1 PIN DRAFT FY13 4.1.12 adequate funding, GPEC shall implement the Action Plan and Budget adopted by GPEC's Board of Directors,a copy of which has been delivered to the City, receipt of which is hereby acknowledged A summary of the Action Plan is attached hereto as Exhibit A("GPEC Action Plan") The City shall be informed of any changes in the adopted GPEC Action Plan which will matenally affect or alter the pnonties established therein. Such notification will be m writing and will be made prior to implementation of such changes Notwithstanding the foregoing,the City acknowledges and agrees that GPEC may, in its reasonable judgment in accordance with its own practices and procedures, substitute, change, reschedule,cancel or defer certain events or activities described in the GPEC Action Plan as required by a result of changing market conditions, fundmg availability,unforeseen expenses or other circumstances beyond GPEC's reasonable control GPEC shall solicit the input of the City on the formulation of future marketing strategies and advertisements The GPEC Action Plan will be revised to reflect any agreed upon changes to the GPEC Action Plan E. PERFORMANCE TARGETS: Specific performance targets, established by GPEC's Executive Committee and Board of Directors, are attached hereto as Exhibit B ("GPEC Performance Measures")and shall be used to evaluate and report progress on GPEC's implementation of the GPEC Action Plan In the event of changing market conditions, funding availability,unforeseen expenses or other circumstances beyond GPEC's reasonable control, these performance targets may be revised with the City's pnor written approval,or with the prior written approval of a majority of the designated members of GPEC's Economic Development Directors Team("EDDT") GPEC will provide monthly reports to the City discussing in detail its progress m implementing the GPEC Action Plan as well as reporting the numerical results for each performance measurement set forth in Exhibit B GPEC shall provide a copy of its annual external audit for the preceding fiscal year to the City no later than December 31, 2012. In the case of any benchmark which is not met,GPEC will meet with the EDDT to provide an explanation of the relevant factors and circumstances and discuss the approach to be taken in order to achieve the target(s) Failure to meet a performance target will not,by itself, constitute an event of default hereunder unless GPEC. (i) fails to inform the City of such events or(ii) fails to meet with EDDT to present a plan for improving its performance during the balance of the term of the Agreement will constitute an event of default for which the City may terminate this Agreement pursuant to paragraph IV J below II. RESPONSIBILITIES OF THE CITY A. STAFF SUPPORT OF GPEC EFFORTS:The City shall provide staff support to GPEC's economic development efforts as follows: 1. The City shall respond to leads or prospects referred by GPEC in a professional manner within the time frame specified by the lead or prospect if the City desires to compete and if the lead is appropriate for the 2 DRAFT FY13 4 1 12 City. When available,the City agrees to provide its response m the format developed jointly by EDDT and GPEC 2 The City shall provide appropriate local hospitality,tours and briefings for prospects visiting sites in the City 3 The City shall provide an official economic development representative to represent the City on the EDDT,which advises GPEC's President and CEO 4. The City shall cooperate in the implementation of GPEC/EDDT process improvement recommendations including the use of common presentation formats, exchange of information on prospects with GPEC's staff,the use of shared data systems, land and building data bases and private sector real estate industry interfaces 5 The City shall use its best efforts to respond to special requests by GPEC for particularized information about the City within three business days after the receipt of such request 6 In order to enable GPEC to be more sensitive to the City's requirements, the City shall,at its sole option,deliver to GPEC copies of any City approved economic development strategies,work plan,programs and evaluation criteria. GPEC shall not disclose the same to the other participants in GPEC or their representatives. 7. The City shall utilize its best good faith efforts to cause an economic development professional representing the City to attend all marketing events and other functions to which the City has committed itself 8 The City agrees to work with GPEC to improve the City's /'1 Competitiveness and market readiness to support the growth and expansion of the targeted industries as identified for the City in Exhibit C ("Targeted Industries"). B. RECOGNITION OF GPEC: The City agrees to recognize GPEC as the City's officially designated regional economic development organization for marketing the Greater Phoenix region III. ADDITIONAL AGREEMENTS OF THE PARTIES: A. PARTICIPATION IN MARKETING EVENTS AND PROVISION OF TECHNICAL ASSISTANCE: Representative(s)of the City shall be entitled to participate in GPEC's marketing events provided that such participation shall not be at GPEC's expense When requested and appropriate, GPEC will use its best efforts to provide technical assistance and support to City economic development staff for business location prospects identified and qualified by the City and assist the City with presentations to the prospect in the City or their corporate location 3 /'1, DRAFT FY13 4 1 12 B. COMPENSATION' 1. The City agrees to pay$20,963.00 for services to be provided by GPEC pursuant to the Agreement during the fiscal year ending on June 30, 2013, as set forth in this Agreement This amount is based on approximately $0.5752 per capita applied to that portion of the City's population outside of Mancopa County plus approximately$0 3897 per capita applied to that portion of the City's population within Maricopa County,based upon the /giN 2011 Office of Employment and Population Statistics,Arizona Department of Administration population estimate,which listed the City as having a population of 36,245 in Pinal County and 294 in Mancopa County The payment by the City may,upon the mutual and discretionary approval of the board of directors of GPEC and the City Council,be increased or decreased from time to time during the term hereof m accordance with the increases or decreases of general application m the per capita payments to GPEC by other municipalities which support GPEC 2 Funding of this Agreement shall be subject to the annual appropriations of funds for this activity by the City Council pursuant to the required budget process of the City, 3 Nothing herein shall preclude the City from contracting separately with GPEC for services to be provided in addition to those to be provided hereunder,upon terms and conditions to be negotiated by the City and GPEC, and 4 GPEC shall submit invoices for payment on an annual basis The foregoing notwithstanding, if GPEC has not provided the City with the audit required pursuant to paragraph I E above no later than December 31, 2012,no payments shall be made hereunder until the City receives the audit report Invoices and monthly activity reports, substantially in the form of Exhibit D("Reporting Mechanism for Contract Fulfillment") attached hereto, are to be submitted to the address listed under paragraph IV.P. C. COOPERATION: 1 The parties acknowledge that GPEC is a cooperative organization effort between GPEC and the City. Accordingly, the City and GPEC covenant and agree to work together in a productive and harmonious working relationship,to cooperate in furthering GPEC's goals for the 2012-2013 fiscal year 2. The City agrees to work with GPEC,as necessary or appropriate,to revise the performance measures, and/or benchmarks,and/or goals for the FY 2013-2014 contract 4 DRAFT FY13 4 1.12 3. The City agrees to work with GPEC during the FY2012-2013 program year to develop a revised public sector funding plan,including a regional allocation formula for FY2013-2014, if determined to be necessary or appropnate. IV. GENERAL PROVISIONS• A. COVENANT AGAINST CONTINGENT FEES: GPEC warrants that no person or selling agent has been employed or retained to solicit or secure this contract upon an agreement or understanding for a commission,percentage,brokerage,or contingent fee For a breach or violation of this warranty,the City shall have the right to terminate this Agreement without liability or, in its discretion, to deduct the commission,brokerage or contingent fee from its payment to GPEC. B. PAYMENT DEDUCTION OFFSET PROVISION: GPEC recogmzes the provisions of the City Code of the City of Apache Junction which require and demand that no payment be made to any contractor as long as there is any outstanding obligation due to the City, and directs that any such obligation be offset against payment due to GPEC C. ASSIGNMENT PROHIBITED: No party to this agreement may assign any nght or obligation pursuant to this Agreement. Any attempted or purported assignment of any right or obligation pursuant to this Agreement shall be void and no effect D. INDEPENDENT CONTRACTOR;NO AGENCY: Nothing contained in this Agreement creates any partnership,joint venture or agency relationship between the City and GPEC At all times during the term of this Agreement, GPEC shall be an independent contractor and shall not be an employee of City City shall have the nght to control GPEC only insofar as to the results of GPEC's services rendered pursuant to this Agreement GPEC shall have no authority,express or implied,to /'1 act on behalf of City in any capacity whatsoever as an agent. GPEC shall have no authority, express or implied,pursuant to this Agreement to bind City to any obligation whatsoever. E. INDEMNIFICATION AND HOLD HARMLESS: During the term of this Contract, GPEC shall indemnify,defend,hold,protect and save harmless the City and any and all of its Council members,officers and employees from and against any and all actions, suits,proceedings, claims and demands, loss, liens,costs,expense and liability of any kind and nature whatsoever, for injury to or death of persons,or damage to property,including property owned by City,brought,made, filed against, imposed upon or sustained by the City, its officers,or employees in and ansmg from or attnbutable to or caused directly or indirectly by the negligence, wrongful acts,omissions or from operations conducted by GPEC,its directors, officers,agents or employees acting on behalf of GPEC and with GPEC's knowledge and consent 5 DRAFT FY13 4 1 12 Any party entitled to indemnity shall notify GPEC in writing of the existence of any claim,demand or other matter to which GPEC's indemnification obligations would apply, and shall give to GPEC a reasonable opportunity to defend the same at its own expense and with counsel reasonably satisfactory to the indemnified party. Nothing in this Subsection E shall be deemed to provide indemnification to any indemnified party with respect to any liabilities arising from the fraud, negligence, omissions or willful misconduct of such indemnified party. �► F. INSURANCE: GPEC shall procure and maintain for the duration of this Agreement, at GPEC's own cost and expense, insurance against claims for injuries to persons or damages to property which may anse from or in connection with this Agreement by GPEC,its agents,representatives,employees or contractors, in accordance with the Insurance Requirements set forth m Exhibit E ("Insurance Requirements"), attached hereto The City acknowledges that it has received and reviewed evidence of GPEC's insurance coverage in effect as of the execution of this Agreement. G. GRATUITIES. The City may,by written notice to GPEC,terminate the right of GPEC to proceed under this Agreement upon one(1)calendar day notice, if it is found that gratuities in the form of entertainment,gifts, or otherwise were offered or given by GPEC,or any agent or representative of GPEC, to any officer or employee of the City with a view toward securing a contract or securing favorable treatment with respect to the awarding or amending,or the making of any determinations with respect to the performance of such contract, provided that the existence of the facts upon which the City makes such findings shall be an issue and may be reviewed in any competent court. In the event of such termination, the City shall be entitled to pursue all legal and equitable remedies against GPEC available to the City H. EQUAL EMPLOYMENT OPPORTUNITY. During the performance of this Agreement, GPEC agrees as follows. 1 GPEC will not discriminate against any employee or applicant for employment because of race, color,religion, gender, sexual orientation, national origin, age or disability GPEC shall take affirmative action to ensure that applicants are employed, and that employees are treated during employment without regard to their race, color,religion,gender, sexual orientation,national origin,age or disability Such action shall include, but not be limited to, the following employment,upgrading,demotion or transfer,recruitment or recruitment advertising, layoff or termination, rates of pay or other forms of compensation, and selection for training, including apprenticeship. GPEC agrees to post in conspicuous places, available to employees and applicants for employment, notices setting forth the provisions of this nondiscrimination clause 6 ON DRAFT FY13 4 1 12 2. GPEC will,in all solicitations or advertisements for employees place by or on behalf of GPEC, state that all qualified applicants will receive consideration for employment without regard to race,color,religion, gender, sexual onentation, national ongin,age or disability. 3. GPEC will cause the foregoing provisions to be inserted in all subcontracts for any work covered by this Agreement,provided that the foregoing provisions shall not apply to Agreements or subcontracts for /'1\ standard commercial supplies or new materials. 4. Upon request by the City, GPEC shall provide City with information and data concerning action taken and results obtained in regard to GPEC's Equal Employment Opportunity efforts performed dunng the term of this Agreement. Such reports shall be accomplished upon forms furnished by the City or in such other format as the City shall prescribe COMPLIANCE WITH APPLICABLE FEDERAL AND STATE LAWS REQUIRED GPEC understands and acknowledges the applicability of the American with Disabilities Act,the Immigration Reform and Control Act of 1986 and the Drug Free Workplace Act of 1989 and agrees to comply therewith in performing under any resultant agreement and to permit City inspection of its records to venfy such compliance. 1 GPEC warrants to the City that, to the extent applicable under A R S §41- 4401, GPEC is in compliance with all Federal Immigration laws and regulations that relate to its employees and with the E-Verify Program under A.R.S. §23-214(A) GPEC acknowledges that a breach of this warranty by GPEC or any subconsultants providing services under this Agreement is a material breach of this Agreement subject to penalties up to and including termination of this Agreement or any applicable subcontract The City retains the legal right to inspect the papers of any employee of GPEC or any subconsultant who works on this Agreement to cON ensure compliance with this warranty. 2 The City may conduct random verification of the employment records of GPEC and any of its subconsultants who work on this Agreement to ensure compliance with this warranty 3 The City will not consider GPEC or any of its subconsultants who work on this Agreement in material breach of the foregoing warranty if GPEC and such subconsultants establish that they have complied with the employment verification provisions prescribed by 8 USCA § 1324(a) and (b)of the Federal Immigration and Nationality Act and the e-venfy requirements prescribed by Arizona Revised Statutes § 23-214(A) 4 The provisions of this Section I must be included in any contract GPEC enters into with any and all of its subconsultants who provide services under this Agreement or any subcontract to provide services under this 7 DRAFT FY13 4 1 12 Agreement. As used in this Section I"services"are defined as furnishing labor, time or effort in the State of Anzona by a contractor or subcontractor. Services include construction or maintenance of any structure,building or transportation facility or improvement to real property. 5. Pursuant to A R S §§35-391 06 and 35-393-06,GPEC hereby certifies to the City that GPEC does not have "scrutinized"business operations,as defined in A R S §§35-391 and 35-393, in either Sudan or Iran 01 J TERMINATION. City shall have the right to terminate this Agreement if GPEC shall fail to duly perform, observe or comply with any covenant, condition or agreement on its part under this Agreement and such failure continues for a penod of 30 calendar days (or such shorter period as may be expressly provided herein) after the date on which wntten notice requiring the failure to be remedied shall have been given to GPEC by the City,provided, however,that if such performance,observation or compliance requires work to be done, action to be taken or conditions to be remedied which,by their nature,cannot reasonably be accomplished within 30 calendar days,no event of default shall be deemed to have occurred or to exist if, and so long as, GPEC shall commence such action within that period and diligently and continuously prosecute the same to completion within 90 calendar days or such longer period as the City may approve in writing. The foregoing notwithstanding, in the event of circumstances which render GPEC incapable of providing the services required to be performed hereunder, including,but not limited to, insolvency or an award of monetary damages against GPEC in excess of its available insurance coverage and assets, the City may immediately and without further notice terminate this Agreement. K. RESPONSIBILITY FOR COMPLIANCE WITH LEGAL REQUIREMENTS. GPEC's performance hereunder shall be in material compliance with all applicable cable federal, PP state and local health, environmental,and safety laws, regulations, standards,and ordinances in effect during the performance of this Agreement. L. INSTITUTION OF LEGAL ACTIONS Any legal actions instituted pursuant to this Agreement must be filed in the county of Pinal, State of Arizona, or in the Federal District Court in the District of Arizona. In any legal action,the prevailing party in such action will be entitled to reimbursement by the other party for all costs and expenses of such action, including reasonable attorneys'fees as may be fixed by the Court M. APPLICABLE LAW. Any and all disputes utes arising under any Agreement to be awarded hereunder or out of the proposals herein called for,which cannot be administratively resolved, shall be tned according to the laws of the State of Arizona,and GPEC shall agree that the venue for any such action shall be in the State of Arizona, Pinal County N. CONTINUATION DURING DISPUTES. GPEC agrees that,notwithstanding the existence of any dispute between the parties,each party shall continue to perform 8 DRAFT FY13 4 1 12 the obligations required of it during the continuation of any such dispute,unless enjoined or prohibited by an Arizona court of competent jurisdiction. O. CITY REVIEW OF GPEC RECORDS. GPEC must keep all Agreement records separate and make them available for audit by City personnel upon request P. NOTICES. Any notice,consent or other communication required or permitted under this Agreement shall be in writing and shall be deemed received at the time /'\ it is personally delivered, on the day it is sent by facsimile transmission, on the second day after its deposit with any commercial air courier or express service or, if mailed,three(3)days after the notice is deposited m the United States mail addressed as follows. If to City George Hoffman City Manager City of Apache Junction 300 East Superstition Boulevard Apache Junction, AZ 85219 Phone. (480)474-5066 Fax. (480)474-5110 If to GPEC Barry Broome President and Chief Executive Officer Greater Phoenix Economic Council Two North Central Avenue, Suite 2500 Phoenix, Arizona 85004-4469 Phone. (602)256-7700 FAX. (602)256-7744 Any time period stated in a notice shall be computed from the time the notice is deemed received. Either party may change its mailing address or the person to receive notice by notifying the other party as provided in this paragraph. Q. TRANSACTIONAL CONFLICT OF INTEREST. Notwithstanding paragraph IV(J),all parties hereto acknowledge that this Agreement is subject to cancellation by the City pursuant to the provisions of Section 38-511,Arizona Revised Statutes R. NONLIABILITY OF OFFICIALS AND EMPLOYEES. No member,official or employee of the City will be personally liable to GPEC,or any successor in interest,in the event of any default or breach by the City or for any amount which may become due to GPEC or successor,or on any obligation under the terms of this Agreement. No member,official or employee of GPEC will be personally liable to the City,or any successor in interest, in the event of any default or breach by the GPEC or for any amount which may become due to the City or successor, or on any obligation under the terms of this Agreement. S. NO WAIVER. Except as otherwise expressly provided in this Agreement,any failure or delay by any party in asserting any of its rights or remedies as to any 9 DRAFT FY13 4 1 12 default,will not operate as a waiver of any default,or of any such rights or remedies,or deprive any such party of its right to institute and maintain any actions or proceedings which it may deem necessary to protect,assert or enforce any such nghts or remedies T. SEVERABILITY. If any provision of this Agreement shall be found invalid or unenforceable by a court of competent jurisdiction,the remaining provisions of this Agreement will not be affected thereby and shall be valid and enforceable to the fullest extent permitted by law,provided that the fundamental purposes of this Agreement are not defeated by such severability. U. CAPTIONS. The captions contained in this Agreement are merely a reference and are not to be used to construe or limit the text V. No THIRD PARTY BENEFICIARIES. No creditor of either party or other individual or entity shall have any rights,whether as a third-party beneficiary or otherwise, by reason of any provision of this Agreement. W. ENTIRE AGREEMENT,WAIVERS AND AMENDMENTS. This Agreement may be executed in up to three(3)duplicate originals,each of which is deemed to be an original. This Agreement,including eleven(11)pages of text and the below- listed exhibits which are incorporated herein by this reference, constitutes the entire understanding and agreement of the parties Exhibit A-GPEC Action Plan Exhibit B -GPEC Performance Measures Exhibit C -Targeted Industries Exhibit D -Reporting Mechanism for Contract Fulfillment Exhibit E- Insurance Requirements This Agreement integrates all of the terms and conditions mentioned herein or incidental hereto,and supersedes all negotiations or previous agreements between the parties with respect to all or any part of the subject matter hereof. All waivers of the provisions of this Agreement must be in writing and signed by the appropriate authorities of the City or GPEC, and all amendments hereto must be in writing and signed by the appropriate authorities of the parties hereto. 10 DRAFT FY13 4 1 12 IN WITNESS WHEREOF, the parties hereto have executed the Agreement this day of ,2012 City of Apache Junction, an Arizona municipal corporation By: John S Insalaco, Mayor ATTEST. By Kathy Connelly,City Clerk APPROVED AS TO FORM By Richard J. Stern, City Attorney GREATER PHOENIX ECONOMIC COUNCIL, an Arizona nonprofit corporation By Barry Broome,President&Chief Executive Officer 11 /"1 EXHIBIT A INVENTING THE (QIN Greater Phoenix ECONOMIC COUNCIL FY2013 ACTION PLAN OIN Fenerabie Eftemeccait Advanced Manteactunre Mession Aerospace £rnerg re Energy Personel Basins= &lcersri`s Critical &Amato-, Tech Ved icrne Services iME BENCOMMUNITIES 1.7.; _- �`z'` _- _- 1: EEK BUCKEYE _ :=1.b 7_4+P+E CASA RAtiH .. INVENTING THE FUTURE Greater Phoenix /'N GPEC Mission Attract quality businesses to the Greater Phoenix region from around the world, and advocate and 2 champion foundational efforts to improve the region's competitiveness 4 GPEC Stakeholders FY12 MILESTONES 6 FY13 Metrics momentum gained in the last year—select achievements 7 FY13 Budget and key benchmarks 8 Business Development FY13 ACTION ITEMS 10 Competitveness sample of activities that adhere to a five-year vision and 12 Marketing and Communications result in progress 13 Stakeholder Engagement.Paving the way DRIVES THESE FY13 METRICS shows relationship between action items and annual performance goals SUMMARY Inventing the Future It's a mantra shared by pioneers and entrepreneurs around the world Ifs a conviction uniting individuals and teams of people everywhere who dare to make'it"their own At GPEC,we are in the business of inventing the future.In competition with other metro markets for solid projects with quality jobs and notable capital investment,we are continually evaluating how to improve the region's business climate and secure our share of economic prosperity.Defying mediocrity,GPEC's efforts to implement a cutting-edge business development model,a more instinctive and sophisticated research practice, and a dynamic and creative marketing outfit,signify a boldness to create what does not currently exist and deliver better outcomes for the communities we serve. Fiscal year 2013 represents the second year in the organization's five-year strategic plan, and the activities in the subsequent pages reflect not only progress,but also a steady continuation of the initiatives that will differentiate Greater Phoenix in the long-term With a clear path of strategies that will transcend the region as a true center of excellence, GPEC will keep inventing the future Vision and Progress a As approved by GPEC's Board of Directors in FYI I,these strategic pillars will guide the organization's fiscal year activities,and by 2016,lead to the following vision statements Strategic Pillar By 20,16 Retention and GPEC's R/E model will be best-in-class. Expansion Next Generation GPEC will elevate Greater Phoenix as a leading center of emerging technologies. Attraction GPEC will maintain its reputation as a credible, respectable and"go to"organization_ International GPEC's foreign direct investment approach will be a national best practice. Regional Brand GPEC will successfully define Greater Phoenix as a region that is forward-thinking,innovative and business-friendly GPEC Brand GPEC will be the nation's premier agency and leader in the economic development realm.In Anzona,GPEC will be the principal leadership organization. Capital Markets I GPEC will develop a science and technology-based Venture Formation fund that will dnve regional innovation activity. I GPEC STAKEHOLDERS* Member Communities MARICOPA COUNTY GILA BEND PEORIA APACHE JUNCTION GILBERT QUEEN CREEK 'IS AVONDALE GLENDALE SCOTTSDALE BUCKEYE GOODYEAR SURPRISE CASA GRANDE MARICOPA TEMPE CHANDLER MESA TOLLESON FOUNTAIN HILLS PHOENIX WICKENBURG Alliance Bank of Arizona Ernst&Young SCF Arizona APS Freeport McMoRan Copper& Squire Sanders I Arizona Cardinals Gold Inc SRP Arizona Diamondbacks Henry&Home St.Joseph's Hospital&Medical 4 Arizona Republic/Gannett Hines Center Foundation Humana University of Phoenix Arizona State University Kitchell US Airways AT&T Maracay Homes Venzon Wireless Bank of America Mancopa Community Colleges Walmart Banner Health Mayo Clinic Waste Management BBVA Compass MidFirst Bank Wells Fargo Chase PetSmart Cox Communications Phoenix Suns D L.Withers Construction Power One DMB Associates Republic Services Y AlA Vista Tech Digital Realty Trust The McShane Companies A.R Mays Construction E-Bay Macench SOLD A.T Still University El Dorado Holdings Mentage Homes MA Arizona Empire Southwest Mortensen Construction Abengoa/Abacus Gammage&Burnham Naiafi Companies Aetna Gilbane Building Co. National Bank of Arizona BlueCross BiueSlneld of Arizona Greenberg Traurig Okland Construction Cancer Treatment Centers of Green Loop Solutions Phoenix Children's Hospital America HDR Architecture Polsinelli Shughart Cassidy Turley/BRE Commercial Hensel Phelps Renaissance Companies CBRE Hensley SmithGroup Celgene Corporation Howard S Wright SolarCity Central Arizona Commerce Park, IASIS Healthcare Southwest Airlines LLC JE Dunn Construction Sun Health Century ink Jones Lang LaSalle Sundt Construction Coe&Van Loo Consultants,Inc. Layton Construction University of Arizona Colliers International Lewis&Roca LLP UPS CresaPartners LGE Design Build Ware Malcomb Cushman&Wakefield M&I,A part of BMO Financial Wespac Construction,Inc. Deloitte Group Wood,Patel&Associates,Inc. Deutsch Architecture Group McCarthy Building Companies 9 Air Products and Chemicals,Inc Merit Partners SILVER Arizona Office Technologies MSS Technologies Avnet On Q Financial Bank of Arizona Osbom Maledon 5 Bryan Cave The Plaza Companies Capital Commercial Investment,Inc Quarles&Brady Capital Group Companies Queen Creek/Landmark Companies Clear Channel Outdoor Renovalia Energy USA.Inc Comerica Bank Rose Law Group The CORE Institute Scottsdale Healthcare CoStar Group Snell&Wilmer LIP Dibble Engineering Southwest Gas Corporation DIRTT Sun State Builders Ensemble DevMan of Arizona Suntech America Inc Facdrtec Target Commercial Interiors Fennemore Craig Univita Fervor Creative USAA Goodmans Interior Structures WealthTrust Arizona Grant Thornton West Valley National Bank Intel Corporation Wist Office Products Job BrokersIncJJBl Energy Kelly Services KTAR Marsh Adolfson&Peterson Construction John C Lincoln Health Network BRONZE American Institute of Architects Land Advisors Organization American Solar Electric Midwestern University Applied Economics Plant Solutions Austin Commercial PTE Real Estate Group,LW Carefree Partners SkySong,ASU Scottsdale Innovation Ctr CORE Construction Sunstate Equipment Company Dircks Moving Services Gallagher&Kennedy Grubb&Ellis `As of May 171Td2 FY13 METRICS Proposed Performance Metrics Om\ THRESHOLD TARGET STRETCH Payroll Generated $185,028,506 $203,531,356 $223,884,492 Number of Jobs 4,378 4,816 5,297 High-wage Jobs 2,292 2,521 2,773 Average High-wage Salary $49,108 $54,564 $60,020 Qualified Prospects 199 219 241 6 Qualified International Prospects 35 39 43 Emerging Tech Assists 8 10 12 Reach of Editorial Placements 119M 131M 144M Stakeholder Satisfaction 7 0* 7 3* 7 6* with Business Attraction Competitive Position Progress ** ** ** Meet or Exceed Cash Reserve Target 98% 100% 102% *Based ona scale ofito10 **As determined by OPEC's Executive Committee .•. eN FY13 BUDGET July 1, 2012 - June 30, 2013 1^ 1 Revenues FY11-12 Forcast %of Total FT11-12 Budget %of Total FT13 Budget $Change Change Public Funds $ 1.883,031 40.7% $ 1,883.031 40.7% $ 2,100,555 $ 217.524 11.6% Private Funds 2 495.000 53.9% 2.500,000 54 I% 2,550,000 50.000 2.0% In-Kind Pledge 91,900 2.0% 102.500 2.2% 91900 (10,600) -10.3% Special Events.Prog.&Span 148,000 3.2% 130,000 2.8% 140.000 10.000 7 7% Other Income 10.000 0.2% 8.000 0.2% 5.000 (3.000) -37 5% Total Revenues $ 4,627.931 100.0% $ 4.623,531 100.0% $ 4,887455 $ 253,924 5 7% Operating Expenditures Business Attraction 34I.000 7 3% 351.000 7 5% 354,000 3,000 0.9% Marketing 167.000 3.6% 167,700 3.6% 240.500 72,800 43.4% 7 Research&Strategy 102,100 22% 107,100 2.3% 125.550 18450 172% External Relations 227,800 4 9% 232.800 5.0% 229,700 (3,100) -1.3% Resource Management 238 729 5.1% 243,729 52% 236.906 (6,823) -2.8% Personnel 3,147,081 67 7% 3.157 081 67 3% 3.318.946 161.865 5.1% Facilities 427,700 9.2% 432,700 9.2% $ 449.000 16.300 3.8% Expenses $ 4,651,410 100.0% $ 4,692,118 100.0% $ 4,954.602 262,492 5.6% Net Income(toss) (23,479) -0.5% (68,579) -1 5% (67,147) 1,432 2.1% Less Capital Expenditure (25,000) -0.5% (20,000) -0 4% (40,000) L20,000) 100.0% Add.Depreciation 35.000 0.8% 35,000 0.8% 40.000 5,000 14.3% Net Change in Cash Reserves $ (13,479) -0.3% $ (53,579) -1 2% $ (61,147) $ (13,568) 25.3% *Forecasted results as of April 30 2012 Aft bk ... BUSINESS DEVELOPMENT FY12 MILESTONES es Create and maintain high-quality jobs and investment through National Recognition as targeted, direct selling the Best Earned the highest ranking as Best in Class"organization Proactively pursue the best projects that meet community by national site-selection and regional objectives consultants.Conducted by New York-based Development Counsellors International,the survey named GPEC best among 50 regional and community FY13 ACTION ITEMS economic development organizations in the country. 8 •Mork in Partnership Internationally First-ever Foreign Direct In thoughtful coordination with the Arizona Commerce Authority,GPEC will remodel the Investment ExecuTour Arizona Global Network.focusing our strategy and resources in markets such as China, Hosted China,Italy,Spain, Canada and Western European countries Germany and Canada to a tour of the region and held •Leverage Compelling Research an international business Mining intelligence to create comprehensive data sets will build a business case and shape forum and exchange with the value proposition for each of GPEC's target industnes,which will demonstrate and more than 110 GPEC investors differentiate our level of professional expertise from the competition and community partners Participating agents have since •Maintain Lead Position with National Site Selectors directed several leads and GPEC will continue fostering relationships with the national site-selection community prospects to GPEC as a result. through regular communication,in-person meetings and hosting at ExecuTour/ familiarization tours to uphold our reputation as"Best in Class"ranking economic Evaluation of Inventory development organization. Under the leadership of the Community Building Consortium (CBC),GPEC worked to identify and assess the Valley's large corporate campus sites and industrial sites.More than 50 sites have been vetted, packaged and are being promoted by GPEC's team to site selectors,national developers and investment trusts to stimulate interest. es DRIVES THESE FY13 METRICS 011 •Pipeline of qualified prospects •Total number of jobs created •Number of high-wage jobs created •Average high-wage salary •Payroll generated 9 •Stakeholder satisfaction with •Expand Region's Emerging Technology Platform business attraction In principle,emerging technologies change industnes and alter daily living In leveraging the region's core competencies,GPEC will partner with science and tech-based assets to create an innovation ecosystem and become a central resource for social entrepreneurs and companies in the digital IT, healthcare science and clean tech space. •Collaborate for Opportunities in California Based on market projections and a conviction that the Sun Corridor is where true opportunity lies within the Sun Belt.GPEC will remain an invested partner in the Arizona Sun Corridor with Tucson,Yuma,Flagstaff and Pinal County Apart from the Sun Corridor partnership GPEC will place a more intense focus on Orange County,LA Basin and Bay Area.expanding our existing sales channels in these regions COMPETITIVENESS FY12 MILESTONES ,0•N Guide new, strategic business opportunities through geographic Key Policy Achievements and industry trend analyses Provided technical review and counsel to State and House Evaluate targeted, sound economic development programs leadership on the expansion of the Renewable Energy Tax Incentive that enhance regional and state competitiveness Program to include other export industries.Signed by Governor Brewer,this$630 million economic development program will shape our ability to deliver high-impact FY13 ACTION ITEMS projects lU Value-add Research in •Retain Key Industries and Capture New Opportunities Aerospace and Defense With the launch of a market intelligence pilot program initially focused on the aerospace Launched region-wide market and defense industry,GPEC will continue identifying potential threats and opportunities. intelligence initiative,providing The pilot program will be scaled to other sectors.including clean tech,to detect new areas communities with critical data of investment GPEC member communities will build market intelligence through meetings and research on the Valley's primary with companies,and community and business leaders will be engaged at a high level to contractors and large suppliers An lend support to this effort. implementation model is currently •Return to Washington,D C underway,which is expected to both retain current businesses and In conjunction with an educational outreach effort to Arizona's congressional delegation, Aulk attract new opporhrnrhes. GPEC will resume an Executive Mission to the nation's Capitol Driven by immediate and long-term economic opportunities for the region and state,this tnp will aim to broaden Convened on Personalized awareness of Greater Phoenix as a market rich with opportunity. Medicine In another first GPEC hosted •Build the Region's Future Around Science and Technology more than 200 attendees to a GPEC will place an emphasis on creating centers of excellence around impactful industries Personalized Medicine Summit, like clean tech,next-generation aerospace and defense,personalized medicine and IT A where state policy-makers and bluepnnt to success will include promoting venture capital into the region and teaming with business and community leadership universities,with the intent to help new and existing businesses commercialize products heard from world-renowned experts and services on best practice life science models Attendees also learned about Arizona's unique public-private collaborations,which have led to major achievements in research, educational,and commercialization infrastructure. eiN DRIVES THESE FY13 METRICS •Pipeline of qualified prospects •Pipeline of international prospects •Average high-wage salary •Emerging technology assists •Support Workforce Development Efforts •Competitive position progress The region faces a considerable skills gap in occupations that are critical to growth industries GPEC will collaborate with workforce development partners at Maricopa •Total need of additional placements County.City of Phoenix and our educational partners at the Maricopa Community Colleges,Arizona State University and University of Phoenix to draw on national models and best practices to identify solutions to address this gap •Research Opportunities in Clean Tech of GPEC will continue to support the innovation adoption and evolutionsolar and other clean technologies In tracking and monitoring developments within the clean tech industry.GPEC will analyze niche sectors and emerging technologies that are compatible with assets in the region MARKETING & COMMUNICATIONS FY12 MILESTONES es Market region's strengths and assets using new, non-traditional tools New Era for gpec.org Launched a brand new website, Position GPEC as reliable resource for stakeholders, policy-makers, complete with data,detail and citizens and media or key economic development issues content-related marketing to satisfy not only location decision- makers,prospective employers and employees,but also existing FY13 ACTION ITEMS and future GPEC investors and the community at-large. •Implement Geographic-centric Campaign California Perspective Expanding on current messaging for California audiences,additional marketing 12 Equipped the newly redesigned and public relations efforts will be targeted toward heightened regions of opportunity such as Chicago,northern California and international targets gpec org with a geo-locater, such as China allowing for targeted,California- specific messaging to users •Devise Online Marketing Plan visiting the website from a California IP address This Following the launch of GPEC's revamped website,an increased marketing focus application gives GPEC an edge in will be placed around online marketing,including search engine optimization, search marketing,social media and email marketing Messaging for each online positioning the region competitively platform will give emphasis to repurposing easy-to-share information such as to a very specific audience. video and blog content Solar Still Positive Despite questions surrounding Solyndra's fallout and its impact to the industry,GPEC secured positive news stones about the region's renewable energy and solar success in Business Xpansion Journal, The Fiscal Times,Global Corporate Xpansion and World Trade 100 DRIVES THESE FY13 METRICS •Pipeline of qualified prospects •Pipeline of international prospects •Total reach of editorial placements • Continue Industry-focused Marketing GPECs target industries will remain a marketing focus as value propositions for each are further developed and branded for continuity throughout the industry microsites,industry-specific collateral,presentations and messaging 13 •Increase National and International PR Business development and CEO-scheduled trips will be leveraged for increased public relations and media efforts at a national and international level.GPEC will also monitor national and international niche/trade publications for opportunities to better promote regional assets and publicize GPEC s agency-wide efforts Auk STAKEHOLDER ENGAGEMENT The active involvement by GPEC stakeholders carves a path for our /,, region to become world-class and extraordinary Stakeholder support enables GPEC to pursue economic opportunities while allowing investors to participate in key economic development activities Governance Leadership Councils and Advisory Groups Board of Directors Provides effective oversight of the The collective professional expertise of organization and helps shape GPEC's GPEC's councils and advisory groups influence as a regional thought leader guides the CEO on key initiatives,leverages connections to further business development and competitiveness efforts,and supports Executive Committee implementation of programs. 14 Acts on behalf of the Board of Directors, advising on strategic direction and GPEC Next Leadership Council* overall performance of annual goals. High-level advisory group designed to ensure the organization operates as"GREG Next" model innovative,integrated,proactive. Board-Level Committees Healthcare Leadership Council* Performance Committee Works together to establish Greater Phoenix as Evaluates the performance of the a center of excellence for personalized medicine organization and the President&CEO anchored by innovative assets and world-class leadership ^ Nominating Committee Serves to nominate the At-Large International Leadership Council* Directors and Board officers Advises on the direction and implementation of GPEC's foreign direct investment efforts, Audit Committee responsible for monitoring progress and Assesses internal controls and oversees providing guidance to increase program auditors and the annual audit impacts_ Finance Committee Sets financial objectives for the organization and recommends the annual budgets as part of the Action Plan Economic Development Directors Team Ambassadors Advises CEO and staff on local economic development trends offers insight on pulse of city/town council and At the foundation of GPEC's engagement partners with GPEC to finalize location decisions activity are Ambassadors,whose broad range of professional backgrounds lend Community Building Consortium* cntical assistance to regional business- climate improvement and business Applies collective commercial real estate experience to development efforts help capture business development opportunities and increase the regions transactional capabilities 15 Ambassadors Help communicate educate Marketing Committee* and inform stakeholders policy-makers. Offers guidance on the development of citizens and media about key regional regional branding,marketing and media efforts economic development issues in support of our core mission of business development and regional competitiveness Certified Ambassadors A qualifying program for Ambassadors who Innovation Council* serve as an extension of the GPEC team and are given unique opportunities to interface Guides and directs the planning and execution of more closely with GPEC's staff and board a comprehensive economic development model to on program initiatives and mission-critical foster and promote a competitive environment for the efforts formation retention and expansion of growth industries in Greater Phoenix Ambassador Steering Committee Advises on strategic direction of Ambassadors Program design activities relevant to and in support of GPEC s mission,serve as a sounding board for emerging initiatives and support implementation of programs. *Eligibility determined by investment level or strategic appointment INVENTING FUTURE OIN GrMar Phcena 2 N Centrai Ave.,Suite 2500 Phaenv AZ 85004 Phone.602 256 7 700 I Fax 602 256 774l I www.gpec.org @gpec Tube gpec greater phoenix all greater phoenix economic ati,greater phoenix 111.1 council(groups) ILE economic council oriN PIN EXHIBIT B GPEC PERFORMANCE MEASURES FY 2012-2013 Specific performance targets as established by the GPEC Executive Committee and Board of Directors. 1. Payroll Generated $185.0M 2. Total Number of Jobs Created 4,378 3. Total Number of High-Wage Jobs 2,292 4. Average High-Wage Salary $49,108 5. Emerging Tech Assists 8 6. Number of Qualified Prospects 199 7. Number of Qualified International Prospects 35 8. Total Reach of Editorial Placements/Exposures 119M GPEC continues to target high-wage industries(Renewable Energy,Biomedical/Personalized Medicine, Advanced Business Services,Manufacturing&Logistics,Mission Critical,Areospace&Aviation,Emerging Tech) Exmsrr C TARGETED INDUSTRIES FY2012-2013 GPEC and our member communities have identified targeted industries on a local and regional level,incorporating these industnes into a regional economic development plan For fiscal year 2012-2013,GPEC will continue its emphasis on the following Renewable Energy,Biomedical/Personalized Medicine;Advancd Business Services, Manufacturing&Logistics,Mission Critical,Aerospace&Aviation,Emerging Tech Member communities will target the following. Apache Junction Business services,environmental technologies research and manufacturing,standard and advanced manufactunng; regional and corporate centers,medical institutions and/or associated satellite operations,mining support facilities, resort/tounst-oriented development,filmmaking(location shooting),expanded retail opportunities Avondale Advanced business services/information technology,renewable energies,Bio/medical/life sciences,manufacturing, higher education/lifelong learning,amateur sports and tourism Buckeye Advanced business services,renewable energy,high tech(data center and services),environmental technology/ sustainability,standard manufacturing,medical and educational institutions,transportation/distnbution,small business/incubator,areospace/aviation Casa Grande Aviation/aerospace,biosciences and sustainability,corporate/regional headquarters;healthcare and medical services,standard manufacturing and transportation and distribution Chandler Advanced Business Services,corporate/regional headquarters,high-tech electronics and software development, aerospace/aviation and advanced materials,biosciences and sustainability Fountain Hills Advanced business services,high-tech/IT,healthcare,medical and bio-medical,renewable engery,post-secondary institutions Gila Bend Clean technology(manufacturing/central station generation/R&D),warehousing/transportation/distribution,military supply chain,tourism/hospitality,standard manufacturing,agriculture/agn-biotechnology,food,fiber and natural products,aerospace/aviation Gilbert Corporate/regional headquarters,advanced business services,high-tech/software(R&D,data center,services),next generation electronics(sensors,optics),aerospace and defense(satellite,FAA repair);biotechnology and life sciences(R&D,oncology,regenerative medicine,cardiovascular science,medical device),clean technology and renewable energy(R&D,algae,biodiesel) Glendale Aviation/aerospace;software development,sports ands entertainment,high-tech consultants,research and development,defense,financial services and insurance headquarters,resorts,healthcare and medical services, engineering and architectural Goodyear Advance financial/business services,high-tech electronics and software development,aerospace/aviation,advanced materials,biosciences(treatment,medical diagnostics,research)and senior industries,food,fiber and natural products,transportation/distribution,standard manufacturing,environmental technology;sustainability Page 1 of 2 Maricopa(City) 0 High-wage employers(salaries averaging at least 125%of the median wage in Maricopa County)that generate at least 80%of income from exporting goods and services outside the region Mesa Primary Target Industries. Healthcare,Education,Aerospace and Tourism Secondary target industries Advanced business services,regional and corporate centers,environmental technology, research&development,bioscience;sustainability Peoria Advanced business services,high technology(data centers,R&D),life sciences and healthcare technologies; advanced medical services,educational institutions,advanced and standard manufacturing,clean technologies research and manufacturing,entertainment and tourism Phoenix Advanced business services,aerospace and defense,bioscience,high tech/IT,renewable energy,higher education Queen Creek Aerospace and aviation,health and wellness,advanced financial/business services,arts,culture and experience, education Scottsdale Information technology/software,healthcare/biomedical,financial services,sports/lifestyle,solar/sustainable industries,education Surprise Environmental technology,advanced medical services,biotech,education and healthcare,transportation and distribution Tempe Advanced business services(financial services), high tech/software(R&D,data center and services),high-tech/next generation electronics,aerospace R&D/aviation,bioscience(research,drug development,treatment,medical diagnostics);corporate/regional headquarters,sustainability(environmental),advanced matenals/plastics,senior industries,clean tech,renewable energy and manufacturing Tolleson Aerospace and advanced materials,food,fiber and natural products,transportation/distnbution,standard ^ manufacturing,environmental technology;sustainability Wickenburg Heavy industrial,standard manufactunng,transportation&distribution,rail services,food processing,mining support facilities,renewable energy,environmental technology research&manufacturing;healthcare and medical, educational institutions,tourism and filmmaking,expanded retail operations Page 2 of 2 /ftik ON EXHIBIT D FY 2012-2013 REPORTING MECHANISM FOR CONTRACT FULFILLMENT Monthly Activity Report - Month, Year 'dillb. BUSINESS ATTRACTION PERFORMANCE METRICS: GPEC Progress Toward Goals Annual Contract Actual Goal %of Targeted Opportunities Goal YTD YTD Goal YTD PAYROLL GENERATED(MILLIONS) AVERAGE HIGH WAGE SALARY NUMBER OF JOBS NUMBER OF HIGH-WAGE JOBS EMERGING TECHNOLOGY ASSISTS QUALIFIED PROSPECTS INTERNATIONAL PROSPECTS TOTAL REACH OF EDITORIAL PLACEMENTS GPEC continues to target high-wage industries(advanced business services,aerospace, life sciences, renewable energy,high-tech/IT) KEY BUSINESS ATTRACTION ACTIVITIES AND OTHER GPEC ACTIVITIES oak Page 1 of 1 ..-. EXHIBIT E INSURANCE REQUIREMENTS The City's insurance requirements are minimum requirements for this Agreement and in no way limit the indemnity covenants contained in this Agreement The City in no way warrants that the minimum limits required of GPEC are sufficient to protect GPEC from liabilities that might arise out of this Agreement for GPEC, its agents, representatives, employees or Contractors and GPEC is free to purchase such additional insurance as may be determined necessary A. Minimum Scope and Limits of Insurance. GPEC shall provide coverage at least as broad as the categories set forth below with limits of liability in amounts acceptable to the City 1. Commercial General Liability- Occurrence Form (Form CG 0001, ed 10/93 or any replacements thereof) General Aggregate/per Project Products-Completed Operations Aggregate Personal & Advertising Injury Each Occurrence Fire Damage (Any one fire) Directors and Officers Medical Expense (Any one person) Optional 2. Automobile Liability-Any Auto or Owned,Hired and Non-Owned Vehicles (Form CA 0001, ed 12/93 or any replacement thereof) Combined Single Limit Per Accident for Bodily Injury and Property Damage 3. Workers' Compensation and Employers' Liability Workers' Compensation Statutory Employers' Liability B. Self-insured Retentions. Any self-insured retentions must be declared to and approved by the City If not approved, the City may request that the insurer reduce or eliminate such self-insured retentions with respect to City, its officers, officials, agents, employees and volunteers Page 1 of 3 Adak C. Other Insurance Requirements. The policies are to contain, or be endorsed to contain, the following provisions. 1. Commercial General Liability a The City, its officers, officials, agents, employees and volunteers are to be named as additional insureds with respect to liability arising out of activities performed by or on behalf of GPEC, including the City's general supervision of GPEC; products and completed operations of GPEC, and automobiles owned, leased, hired or borrowed by GPEC. b. GPEC's insurance shall include broad form contractual liability coverage c. The City, its officers, officials, agents, employees and volunteers shall be additional insureds to the full limits of liability purchased by GPEC, even if those limits of liability are in excess of those required by this Agreement. d GPEC's insurance coverage shall be primary insurance with respect to City, its officers, officials, agents, employees and volunteers Any insurance or self-insurance maintained by City, its officers, officials, employees or volunteers shall be in excess of GPEC's insurance and shall not contribute to it e. GPEC's insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer's liability f Coverage provided by GPEC shall not be limited to the liability assumed under the indemnification provisions of this Agreement g The policies shall contain a waiver of subrogation against City, its officers, officials, agents, employees and volunteers for losses arising from work performed by GPEC for the City 2. Workers' Compensation and Employers' Liability Coverage. The insurer shall agree to waive all rights of subrogation against City, its officers, officials, agents, employees and volunteers for any and all losses arising from work performed by the Contractor for the City Page 2 of 3 D. Notice of Cancellation. Each insurance policy required by the insurance provisions of this Agreement shall provide the required coverage and shall not be suspended, voided, canceled by either party, reduced in coverage or in limits except after thirty (30) days' prior written notice has been sent to City at the address provided herein for the giving of notice. Such notice shall be by certified mail, return receipt requested. E. Acceptability of Insurers. Insurance is to be placed with insurers duly licensed or approved unlicensed companies in the State of Anzona and with a "Best's" rating of not less than A-•VII City in no way warrants that the above required minimum insurer rating is sufficient to protect GPEC from potential insurer insolvency F. Verification of Coverage GPEC shall furnish City with Certificates of Insurance (ACORD form or equivalent approved by City) and with original endorsements effecting coverage as required by this Agreement. The certificates and endorsements for each insurance policy are to be signed by a person authorized by that insurer to bind coverage on its behalf Any policy endorsements that restrict or limit coverage shall be clearly noted on the Certificate of Insurance All certificates and endorsements are to be received and approved by City before work commences. Each insurance policy required by this Agreement must be in effect at or prior to commencement of work under this Agreement and remain in effect for the duration of the project All certificates of insurance required by this Agreement shall be sent directly to City at the address and in the manner provided in this Agreement for the giving of notice. City's Agreement/Agreement number, GPEC's name and description of the o Agreement shall be provided on the Certificates of Insurance City reserves the right to require complete certified copies of all insurance policies required by this Agreement, at any time. G. Approval. During the term of this Agreement, no modification may be made to any of GPEC's insurance policies which will reduce the nature, scope or limits of coverage which were in effect and approved by the City prior to execution of this Agreement. Page 3 of 3 411111."c • 'i y of Apache function op he the Superi/rlrorr.1°Iounlafrr.+ 4PizON} Print TO: City Manager's Office FROM: City Attorney's Office DATE: July 3,2012 Agenda Type : Regular Agenda Council Priority Focus Area: Required by Federal Law or State Statute TITLE OF AGENDA ITEM: Retroactive ratification for the legal action, cities of Apache Junction and Casa Grande v. Pinal County. ACTION REQUESTED: Recommendation for Approval DISCUSSION/BACKGROUND INFORMATION: Pursuant to Johnson v Tempe Elementary School District No. 3 Governing Board(Arizona Court of Appeals 2000) city council must ratify the filing of lawsuits publicly. This item, if approved, retroactively ratifies a lawsuit that was filed in Pinal County Superior Court on June 19,2012 in which the cities of Apache Junction and Casa Grande desire to preserve the redevelopment area funding established in the late 1990's. The county,in October 2010, refused to continue making the disbursements as onginally established since 1998. The lawsuit is necessary to enforce the cities'rights. FISCAL IMPACT: OPTIONS/ALTERNATIVES: RECOMMENDATION: ATTACHMENTS: Click to download D Memo INTEROFFICE MEMO OFFICE OF THE CITY ATTORNEY TO: Honorable Mayor and DATE: July 3, 2012 Members of the City Council FROM: R. Joel Stern City Attorney SUBJECT: CITY OF APACHE JUNCTION/CASA GRANDE V. PINAL COUNTY, OUR FILE NO. 11-025 In the 1990s, Apache Junction and Casa Grande (the "Cities") established redevelopment areas in their municipalities. The law at that time allowed incremental increase in value of property taxes, from the date of redevelopment area establishment, be diverted to the cities for downtown redevelopment. In 1999, the State legislature disallowed such payments retroactively to December 31, 1998. Because the Cities had established the redevelopment areas before such retroactive cutoff date, the distributions were approved by Pinal County. The disbursements were to take place for approximately 30 years. The cities received disbursements up until October 31, 2010, when County Attorney James Walsh and Pinal County Treasurer Dolores Doolittle indicated the payments would no longer be made due to what they considered legal concerns. Since that time, the parties have met on multiple occasions to try to resolve the payment dispute. Unfortunately, no agreement was reached, which forced the Cities to file a claim for unpaid disbursements. The filing of a lawsuit is necessary to enforce the Cities' right to receive this money. Council must publicly authorize the filing of the law suit under Johnson v. Tempe Elementary School District No. 3, 199 Ariz. 123, 14 P.3d 314 (App. Div 1, 2000). The lawsuit was filed on June 19, 2012 and staff seeks retroactive ratification. likk ROLL CALL VOTE NOTES ( y ITEM # MEETING OF ,01))/V MOTION BY: SECONDED BY YES NO ABSTAINED COUNCILMEMBER BARKER ✓ COUNCILMEMBER WALDRON COUNCILMEMBER WILSON J COUNCILMEMBER EVANS ✓ VICE MAYOR DIETZ COUNCILMEMBER SERDY MAYOR I NSAtACO' vv UNANIMOUS IN FAVOR OPPOSED ABSTAINED TOTAL A CONSENT AGENDA ITEMS NO. 1-5 I MOVE THAT THE CONSENT AGENDA BE ACCEPTED AS PRESENTED; AND THAT RECEIPT OF THE 2011-2012 ANNUAL REPORT OF THE APACHE JUNCTION PUBLIC LIBRARY BE ACKNOWLEDGED, AND THAT APPROVAL BE GIVEN FOR THE CONTRACT RENEWAL BETWEEN THE GREATER PHOENIX ECONOMIC COUNCIL AND THE CITY OF APACHE JUNCTION FOR ECONOMIC DEVELOPMENT SERVICES IN THE AMOUNT OF $20,963 00, THAT AUTHORIZATION BE GIVEN FOR THE MAYOR TO SIGN THE CONTRACT PENDING FINAL APPROVAL AS TO FORM BY THE CITY ATTORNEY; AND THAT COUNCILMEMBER SERDY BE REAPPOINTED AS THE CITY OF APACHE JUNCTION REPRESENTATIVE TO THE GREATER PHOENIX ECONOMIC COUNCIL BOARD OF DIRECTORS; AND THAT THE LEGAL ACTION OF THE CITIES OF APACHE JUNCTION AND CASA GRANDE VERSUS FINAL COUNTY BE RATIFIED RETROACTIVELY 4 �PACHf✓` In b. onfte. Ci 'y of Apache Junction Home of`the SupefD itioii Mountains Print TO: City Managers Office 11 FROM: Mayor John S.Insalaco DATE: July 3,2012 Agenda Type: Regular Agenda Council Priority Focus Area: Revenue Development TITLE OF AGENDA ITEM: PRESENTATION OF THE COMMUNITY PARTNERSHIP AWARD TO REPUBLIC SERVICES. ACTION RE UESTED: Information Only(No discussion) DISCUSSION/BACKGROUND INFORMATION: Presentation of the Community Partnership Award to Republic Services in recognition for their sponsorship of 4th of July fireworks in 2010, 2011 and 2012. FISCAL IMPACT: OPTIONS/ALTERNATIVES: ..,RECOMMENDATION: ATTACHMENTS: Click to download No Attachments Available Go of Apache Junction lio m' of the Si/pen-titian.t lollnfails Print TO: City Manager's Office FROM: George Hoffman,City Manager DATE: July 3,2012 kenda Type: Regular Agenda Council Priority Focus Area: TITLE OF AGENDA ITEM: MANAGERS REPORT. ACTION REQUESTED: DISCUSSION/BACKGROUND INFORMATION: FISCAL IMPACT: OPTIONS/ALTERNATIVES: RECOMMENDATION: ATTACHMENTS: Click to download No Attachments Available PUBLIC HEARING p 1. For PROPOSED ORDINANCE NO. 1384, CASE AN-1-08,ANNEXATION OF APPROXIMATELY 50 ACRES OF VACANT STATE TRUST LAND AND ASSIGNING CITY ZONING TO SAID PROPERTY 2. Will SENIOR PLANNER RUDY ESQUIVIAS speak to the Council? 3. Will the applicant or spokesperson please speak to the Council on this item? 4. Is there anyone from the public who wishes to speak on this item? (Are there any "Request to Speak" forms?) 5. If not, this hearing is closed. 6. Is there any discussion? 7. Call for a motion. 8. Call for a second. 9. Roll call vote. ..r hp ACHE ` Am. ° tt R y; GO of Apache Junction ti_'xF z Home of the .S upe; Libor Mountains Print TO: City Manager's Office FROM: Rudy Esquivas,Senior Planner/Zoning Administrator DATE: July 3,2012 .agenda Type : Regular Agenda Council Priority Focus Area: Additional Item Outside Scope of Identified Council Priorities TITLE OF AGENDA ITEM: PROPOSED ORDINANCE NO. 1384,CASE AN-1-08,ANNEXATION OF APPROXIMATELY 50 ACRES OF VACANT STATE TRUST LAND AND ASSIGNING CITY ZONING TO SAID PROPERTY. ACTION REQUESTED: Recommendation for Approval DISCUSSION I BACKGROUND INFORMATION: Proposed Ordinance No. 1384 would allow for the annexation of 50+acres of State land at the southeast corner area of the S. Meridian Dnve and W. Elliot Avenue alignments. The purpose of the annexation is to accommodate the future alignment and adjustment of Elliot Avenue at such time as it is extended eastwardly. FISCAL IMPACT: Budgetary Approval Not Required OPTIONS/ALTERNATIVES: Statutory Requirement .tECOMMENDATION: Staff recommends approval of the annexation. No comments have been received in favor or in opposition to the annexation. ATTACHMENTS: Click to download 0 AN-1-08 Staff Report ❑ Ord.1384 with attachments e.k. .•b .,` ` City of Apache Junction 44a0=,o- Development Services Department 'Iwo. DATE: June 21, 2012 TO Honorable Mayor and City Council THROUGH. George Hoffman, City Manager THROUGH: Brad Steinke, Dev. Services Director FROM: Rudy Esquivias, Senior Planner/Zoning Administrator SUBJECT: Consent Agenda Item: AN-1-08 (Ordinance No 1384) Proposed Annexation of 50+ Acres at the Southeast corner of the S. Meridian Drive and W. Elliot Avenue alignment Proposal Description This is an annexation proposal for a 50+ gross acres property of vacant State Trust Land, located at the southeast corner of the S. Meridian Drive and W. Elliot Avenue alignments . The subject site is presently zoned by Pinal County as General Rural (GR) Upon successful annexation into the City, the subject site will be assigned the City of Apache Junction zoning district of General Rural (GR) in compliance with State law, which requires that a City assign an annexed property zoning of similar or equal intensity as the County' s upon annexation The property is being annexed with permission from the State Lands Selection Board, and the basic purpose for the annexation is to allow for the proper alignment of Elliot Avenue in the future when it is extended. This rezoning will also create some commercial corner development opportunities at such time as development is proposed AN-1-08 (State Lands 50 Acres) Page 1 of 2 Case Background As part of the annexation process required by Arizona Revised Statutes (ARS) , Section 9-471, on June 13, 2011 the City filed a blank (unsigned) annexation petition with the Pinal County Recorder' s office A requisite public hearing to discuss the annexation and receive public comment, within 30 days of - recording the blank petition, was held on July 5, 2011 . The process of distributing and collecting petitions with the signatures of owners of real and personal property within the annexation area began on July 13, 2011, after the end of the 30 day waiting period. State Statutes then give a time frame of one year, after the 30-day waiting period, to collect the necessary number of signatures of consent In this case, the City received information from the Arizona Department of Revenue that the only owner of real or personal property of record in the annexation area is was Century Link. Their signed annexation petition has been received and has now been recorded. All annexation process requirements having been met at this time, Planning Staff has prepared the attached annexation ordinance (Ordinance No. 1384) to be adopted by the City Council at their July 3, 2012 meeting Impact Assessment The City will become responsible for services including: police protection, zoning and code enforcement, and the maintenance of roadways . The site will also receive service from the Sewer District and the Fire District when development comes along. Water for the property will be provided by Arizona Water ,.� Company. All records pertaining to this annexation are available on file in the Planning Division Office at 300 E. Superstition Boulevard. Please refer to case file AN-1-08 when inquiring about this case Recommended Motion I move that the Apache Junction City Council (approve/deny) Ordinance No. 1384, a City-initiated annexation of 50+ acres of vacant State Trust Land at the southeast corner of the S. Meridian Drive and W. Elliot Avenue alignments . Attachment. - Draft Ordinance No 1384 (with Certification of Map, Map Exhibit "A", Zoning Exhibit "B", and State Lands approval certificate) .p ORDINANCE NO. 1384 AN ORDINANCE OF THE MAYOR AND CITY COUNCIL OF THE CITY OF APACHE JUNCTION, ARIZONA, EXTENDING AND INCREASING THE CORPORATE LIMITS OF THE CITY OF APACHE JUNCTION, PINAL COUNTY, ARIZONA, IN CASE AN-1-08, PURSUANT TO PROVISIONS OF TITLE 9, CHAPTER 4, ARTICLE 7, ARIZONA REVISED STATUTES AND AMENDMENTS THERETO, BY ANNEXING CERTAIN TERRITORY CONTIGUOUS TO THE EXISTING CITY LIMITS OF THE CITY OF APACHE JUNCTION; ADOPTING ZONING CLASSIFICATIONS FOR ANNEXED TERRITORY, REPEALING ANY CONFLICTING PROVISIONS; AND PROVIDING FOR SEVERABILITY WHEREAS, a petition in writing, accompanied by a map or plot of said real property, having been filed and presented to the Mayor and Council of the City of Apache Junction, Arizona, signed by the owners of more than one-half in value of the real and personal property and more than one-half of the persons owning real and personal property as would be subject to taxation by the City of Apache Junction in the event of annexation within the territory and land hereinafter described as shown by the last assessment of said property, which said territory is contiguous to the City of Apache Junction and not now embraced within its limits, asking that the property more particularly hereinafter described be annexed to the City of Apache Junction, and to extend and increase the corporate limits of the City of Apache Junction so as to embrace the same; and WHEREAS, the Mayor and Council of the City of Apache Junction, Arizona, are desirous of complying with said petition and extending and increasing the corporate limits of the City of Apache Junction to include said territory; and WHEREAS, the petition sets forth a true and correct description of all the exterior boundaries of the entire area proposed to be annexed to the City of Apache Junction, and had attached thereto at all times an accurate map of the territory proposed to be annexed, and WHEREAS, no alterations increasing or reducing the territory proposed to be annexed have been made after the petition was signed by any owner of real and personal property in said territory; and ORDINANCE NO 1384 PAGE 1 OF 4 Aft, Ask. WHEREAS, the provisions of Arizona Revised Statutes, Section 9-471 and amendments thereto, have been fully observed, including, but not limited to, Council approval of a plan, policy, or procedure to provide the annexed territory with appropriate levels of infrastructure and services to serve anticipated new development within ten (10) years after the annexation becomes final; and Almik WHEREAS, proper and sufficient certification and proof of the foregoing facts are now on file in the office of the City Clerk of the City of Apache Junction, Arizona, together with a true and correct copy of the original petition referred to herein, which is on file in the office of the Pinal County Recorder NOW, THEREFORE, BE IT ORDAINED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF APACHE JUNCTION, ARIZONA, AS FOLLOWS: SECTION I. IN GENERAL The following legally-described territory is hereby annexed to the City of Apache Junction, Arizona, and that the present corporate limits shall be extended and increased to include the following territory which is contiguous to the present City limits: A portion of Government Lots 1, 2, and 3, and the North half of the Northeast quarter of Section 18, Township 1 South, Range 8 East, Gila and Salt River Meridian, Pinal County, Arizona, described as follows: BEGINNING at the Southeast corner of Section 12, Township 1 South, Range 7 East, from which the East quarter corner of said Section 12 bears N00°39' 05"W, a distance of 2637 77 feet; THENCE N00°39' 05"W, along the East line of said Section 12, a distance of 389. 15 feet to the Northwest corner of Section 18, Township 1 South, Range 8 East; THENCE N89°45'43"E, along the North line of the Northwest quarter of said Section 18, a distance of 3579.88 feet to the North quarter corner of said Section 18; THENCE N89°45' 43"E, along the North line of the Northeast quarter of said Section 18, a distance of 1935 46 feet, THENCE S00°39' 05"E, a distance of 404 . 31 feet; THENCE S89°45'43"W, and parallel to the North line of said Section 18, a distance of 4115.02 feet, THENCE N89°37' OS"W, a distance ORDINANCE NO. 1384 PAGE 2 OF 4 of 1400. 51 feet to the POINT OF BEGINNING (Containing 50. 95 acres more or less. ) SECTION II RECORDATION That a copy of this ordinance, together with an accurate map of the territory hereby annexed to the City of Apache Junction, Arizona, certified by the Clerk of the City, attached hereto as i'IN Exhibit "A" , be forthwith filed and recorded in the office of the County Recorder of Final County, Arizona SECTION III: ZONING CLASSIFICATION The zoning classification for the above noted and described annexed territory is hereby adopted as shown on Exhibit "3" attached hereto and by this reference incorporated herein, and such zoning classification permits densities and uses no greater than those permitted by the County immediately before this annexation. SECTION IV: REPEALING OF CONFLICTING ORDINANCES All ordinances and part of ordinances and/or provisions of the Apache Junction City Code which are in conflict with the provisions of this ordinance are hereby repealed. SECTION V: PROVIDING FOR SEVERABILITY If any section, subsection, sentence, phrase, clause or portion of this ordinance is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portion thereof. PASSED AND ADOPTED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF APACHE JUNCTION, ARIZONA, THIS DAY OF , 2012. SIGNED AND ATTESTED TO THIS DAY OF , 2012 JOHN INSALACO Mayor ORDINANCE NO 1384 PAGE 3 OF 4 Ammir Ask ATTEST KATHLEEN CONNELLY City Clerk APPROVED AS TO FORM. RICHARD JOEL STERN City Attorney Amik ORDINANCE NO. 1384 PAGE 4 OF 4 CERTIFICATION OF MAP MAP OF ANNEXED AREA, CASE AN-1-08 DATE: , 2012 I, John insalaco, Mayor of the City of Apache Junction, Arizona, do hereby certify that the foregoing map, Exhibit "A" , is a true and correct map of the territory annexed under and by virtue of the petition of the real and personal property owners in the said territory and by Ordinance No. 1384, annexing the territory described in Ordinance No_ 1384 and as shown on said map as a part of the territory to be included within the corporate limits of the City of Apache Junction, Arizona. JOHN INSALACO Mayor Attest KATHLEEN CONNELLY City Clerk AN-1-08 EXHIBIT A I ) BASELINE a VE. � �_-� mN.K�. rI D D ! 3M 6 :‹ U ON < Hnurp Ave 5 1} O I \ H \ R t f rl I I ` ! um nu.I \ I 1 GUADAL.kWE AVE, p�if, y ! j (1)2 z �i liz-z c �I 6 n `9 a 1 g 7 8 ,,a 9 z o `�q 'I J k y iNt it (:-\ CITY IMITS . g (1 MILE) ---� L \ 1 V / / J/// j ELLDZ' AVE ALIEN tw, C`! /J / l// j//4 I \" PINAL COUNTY 1 18 17 i 16 AV V�/f = Annexation Area and Area being rezoned from Pinal County GR Zone to City of Apache Junction GR Zone AL NORTH "LEGAL DESCRIPTION OF PROPOSED ANNEXATION AREA A portion of Government Lots 1, 2, and 3, and the North half of the Northeast quarter of Section 18, Township 1 South, Range 8 East, Gila and Salt River Meridian, Pinal County, Arizona, described as follows BEGINNING at tne Southeast corner of Section 12, Township 1 South, Range 7 East, from which the East quarter corner of said Section 12 bears N00°39'05"W, a distance of 2637.77 feet, THENCE N00°39'05"W, along the East line of said Section 12, a distance of 389.15 feet to the Northwest corner of Section 18, Township 1 South, Range 8 East; THENCE N89°45'43"E, along the North line of the Northwest quarter of said Section 18, a distance of 3579.88 feet to the North quarter corner of said Section 18; THENCE N89°45'43"E, along the North line of the Northeast quarter of said Section 18, a distance of 1935.46 feet, THENCE S00°39'05"E, a distance of 404 31 feet, THENCE S89°45'43"W, and parallel to tne North line of said Section 18, a distance of 4115 02 feet, TFENCE N89°37'05"W, a distance of 1400 51 feet to the POINT OF BEGINNING (Containing 50 95 acres more or less. ) CITY OF APACHE JUNCTION, ARIZONA, ANNEXATION AND REZONING MAP emS EXHIBIT "B" ZONING CLASSIFICATIONS FOR ANNEXED TERRITORY A. The zoning district classification on the Zoning District Map, City of Apache Junction, Arizona, be and hereby is amended by adopting and establishing a City of Apache Junction zoning district classification from the former Final County General Rural (GR) zone to the City of Apache Junction classification of General Rural (GR) zone for the following legally described territory A portion of Government Lots 1, 2, and 3 , and the North half of the Northeast quarter of Section 18, Township 1 South, Range 8 East, Gila and Salt River Meridian, Final County, Arizona, described as follows. BEGINNING at the Southeast corner of Section 12, Township 1 South, Range 7 East, from which the East quarter corner of said Section 12 bears N00°39' 05"W, a distance of 2637. 77 feet, THENCE N00°39' 05"W, along the East line of said Section 12, a distance of 389 15 feet to the Northwest corner of Section 18, Township 1 South, Range 8 East; THENCE N89°45' 43"E, along the North line of the Northwest quarter of said Section 18, a distance of 3579 88 feet to the North quarter corner of said Section 18, THENCE N89°45' 43"E, along the North line of the Northeast quarter of said Section 18, a distance of 1935 46 feet; THENCE S00°39' 05"E, a distance of 404 31 feet, THENCE S89°45'43"W, and parallel to the North line of said Section 18, a distance of 4115 02 feet, THENCE N89°37' 05"W, a distance of 1400 51 feet to the POINT OF BEGINNING (Containing 50 95 acres more or less ) ■■ Janice II Brewer ARIZONA STATE sin LAND DEPARTMENT Governor ARIZONA STATE SELECTION BOARD Maria Baier APPROVAL OF PROPOSED ANNEXATION State Land Commissioner On this 5th day of November, 2009 the Arizona State Selection Board has given due consideration and does hereby approve the proposed annexation of State lands, as described in Attachment A, into the incorporated boundaries of the City of Apache Junction lit fre,--. .e.......„..„ 1.6 nice K Brewer - -,� - Vic,.''_' „ � N overnor, State of Arizona ,`r. .. ..,_! kft ( .,, 'c, i \ /Al i�6/ T mil.. -., 1.71 Ter eall,=.\=NN km. Goddar ! <' �_r Attorney Gene I, State of Arizona i' �� '0. a - C____iTheyjit - ,.. Dean Martin Treasurer, State of Arizona -I Marra r Commissioner, State of Anzona Land Department 1/124"ftd7 ------ Attes : 11AA I f-S-Dq Secretary of State Date Stytint-Anzaata s School,and Public Institutions Since 1915 1616 West Adams Phoenix,AZ 85007 www.iand stateaz.us ATTACHMENT A LEGAL DESCRIPTION FOR ANNEXATION TO THE CITY OF APACHE JUNCTION FOR REALIGNMENT OF ELLIOT AVENUE A PORTION OF GOVERNMENT LOTS 1, 2, AND 3, AND THE NORTH HALF OF THE NORTHEAST QUARTER OF SECTION 18, TOWNSHIP 1 SOUTH, RANGE 8 EAST, GILA AND SALT RIVER MERIDIAN, PINAL COUNTY, ARIZONA, DESCRIBED AS FOLLOWS; BEGINNING AT THE SOUTHEAST CORNER OF SECTION 12, TOWNSHIP 1 SOUTH, RANGE 7 EAST, FROM WHICH THE EAST QUARTER CORNER OF SAID SECTION 12 BEARS N00"39'05"W, A DISTANCE OF 2637 77 FEET, THENCE NOO°39'05"W, ALONG THE EAST LINE OF SAID SECTION 12, A DISTANCE OF 389.15 FEET TO THE NORTHWEST CORNER OF SECTION 18, TOWNSHIP 1 SOUTH, RANGE 8 EAST, THENCE N89°45'43"E, ALONG THE NORTH LINE OF THE NORTHWEST QUARTER OF SAID SECTION 18, A DISTANCE OF 3579.88 FEET TO THE NORTH QUARTER CORNER OF SAID SECTION 18, THENCE N89°43'43"E, ALONG THE NORTH LINE OF THE NORTHEAST __ QUARTER OF SAID SECTION 18, A DISTANCE OF 1935 46 FEET, THENCE SOO°39'OS"E,A DISTANCE OF 404 .31 FEET, THENCE S 8 9°45'43"W, AND PARALLEL TO TI IE NORTH LINE OF SAID SECTION 18, A DISTANCE OF 4115 02 FEET, THENCE N89°3T07"W. A DISTANCE OF 1400.51 FEET TO THE POINT OF BEGINNING. CONTAINING 50 .95 ACRES MORE OR LESS ROLL CALL VOTE NOTES: 1 . � ITEM # MEETING OF LO MOTION BY: ! A SECONDED BY YES NO ABSTAINED VICE MAYOR DIETZ COUNCILMEMBER WILSON COUNCILMEMBER BARKER COUNCILMEMBER SERDY COUNCILMEMBER EVANS COUNCILMEMBER WALDRON 1lAY6k4NSAL '` UNANIMOUS IN FAVOR OPPOSED ABSTAINED TOTAL ROLL CALL VOTE NOTES: ITEM # MEETING OF MOTION BY SECONDED BY: YES NO ABSTAINED COUNCILMEMBER WILSON COUNCILMEMBER SERDY COUNCILMEMBER WALDRON VICE MAYOR DIETZ COUNCILMEMBER BARKER COUNCLMEMBEREVANS MAYOR INSALACO UNANIMOUS IN FAVOR OPPOSED ABSTAINED TOTAL ITEM NO. 8 I MOVE THAT ORDINANCE NO. 1384 BE READ BY TITLE ONLY AND THAT THE READING OF THE ENTIRE ORDINANCE BE WAIVED. (Call upon the city clerk to read Ordinance No. 1384 by title only. Majority vote required) I MOVE THAT ORDINANCE NO 1384, AS READ BY THE CITY CLERK, (BE APPROVED AND ADOPTED) OR(BE DENIED). I MOVE THAT ORDINANCE NO. 1384, AS READ BY THE CITY CLERK, BE APPROVED AND ADOPTED WITH THE FOLLOWING AMENDMENTS. (154.011.\\\I City of Apache Jmiawii Home of the Sir e»7tfron Mountains �,p►IOpF Print TO: City Manager's Office FROM: Steve Filipowicz, ED Director DATE: July 3, 2012 Agenda Type : Regular Agenda Council Priority Focus Area: Economic Development TITLE OF AGENDA ITEM: CONSIDERATION OF PROFESSIONAL SERVICES AGREEMENT FOR OPERATION OF A LOCAL VISITOR INFORMATION CENTER. LARRY JOHNSON, PRESIDENT/CEO, AND REPRESENTATIVES OF THE APACHE JUNCTION CHAMBER OF COMMERCE WILL BE PRESENT TO DISCUSS ON-GOING OPERATIONS. ACTION REQUESTED: Recommendation for Approval DISCUSSION / BACKGROUND INFORMATION: Following council's discussion on this topic at the June 18th work session, staff has revised certain aspects of the proposed three (3) year extension of the professional services agreement(PSA).The PSA remains funded at the same level of $36,000.00 per year and adds city funding for the Visit Sunny AZ Marketing Consortium in the amount of$5,000.00 per year. Funding is contingent on availability of funds and city council approval during the annual budget adoption process. FISCAL IMPACT: Budgeted Expenditure OPTIONS/ALTERNATIVES: RECOMMENDATION: Staff respectfully recommends approval of the revised PSA. ATTACHMENTS: Click to download D Staff Cover Memo LI Revised Draft Visitors Center PSA 3 year extension z_5' 4 �t o riche Junction Z iy f p -Economic'Development - DATE June 21, 2012 MEMORANDUM TO The Honorable Mayor&City Council MEMORANDUM Thru: George Hoffman, City Manager MEMORANDUM FROM. Steve Fihpowicz, Econ. Dev. Dir. SUBJECT: AJ Visitors' Center contract extension & revisions Background: We/City of AJ released an RFQ for Visitor Center Service on July 6, 2010. On Aug 2, 2010 the AJ Chamber were the only organization to submit response. On Oct 5th, 2010 M&CC selected the AJ Chamber to provide the services from Oct 1. 2010 to June 30, 2012 for quarterly payments of$9,000.00 {$36k per year or$108,000 over the full three year term of the Professional services Agreement (PSA) extension}. The rate remains unchanged for the three year term Updated PSA Template. since entenng into the agreement in 2012 a new PSA template has evolved. Much of the 'meat' of the contract is now in Exhibits A & B. While staff continues to proceed within the parameters of the onginal PSA for a three (3) year renewal period (July 1, 2012 to June 30, 2015), we heard Council loud and clear dunng the work session Staff has implemented CM Waldron's suggestions regarding 'continue to' rather than 'develop.' A new Item N requires annual records transfer, and within Exhibit B, staff has taken a stab at codifying Mayor and Council right to an annual review of the Consultant's performance. Additionally under Item F instead on limiting it to intemet we have added 'and assorted Social Media channels', Item K; Shop Local, rather than name places where leakage occurs we now refer to 'outside the City of Apache Junction.' Visit Sunny AZ Consortium*. www visitsunnyaz corn , staff retains $5,000 of annual city funding for this highly successful initiative - see Exhibit B. Chamber staff has successful leveraged a number of marketing events and familiarization tour for both domestic and international travel writers that have favorably reflected upon their tourism experiences in and near Apache Junction and helped to enhance our community's reputation among travelers and tourists. "other members cities are Chandler, Mesa and Tempe Seeking to build on this success and also implement Council's intent of placing greater emphasis on tourism and tounsm promotion, staff has suggested city funding of Apache Junction's participation in this marketing effort - as always subject to the annual budgetary approval process. Staff recommends approval of this revised three (3) year extension_ Larry Johnson and members of his Board and volunteers will be present to discuss operational topics. Voice (480)982-8002 - Fax(480)982-7018 . TDD(480)983-0095 www.ajcity.net 300 E. Superstition Boulevard, Apache Junction,AZ 85119 Revised Draft PROFESSIONAL SERVICES AGREEMENT WITH THE APACHE JUNCTION CHAMBER OF COMMERCE This Agreement is made as of the day of 20 (the "Effective Date") by and between THE CITY OF APACHE JUNCTION, an Arizona municipal corporation ("City"), and APACHE JUNCTION CHAMBER OF COMMERCE, an Arizona not for profit corporation, ("Consultant"), both of which may be hereinafter referred to collectively as the "Parties", for the project entitled "for operation of a local Visitor Information Center". RECITALS A City desires to continue to retain a consultant to operate a local visitor information center and to make payment for the same in accordance with the terms and conditions set forth in this Agreement, including all attachments and addenda which are appended hereto by mutual agreement of the Parties. B. The open market procedures set forth in the Apache Junction City Code have previously been satisfied. C The Parties have set forth below contemplated services Consultant will provide City, including payment terms for such services and products. AGREEMENT NOW, THEREFORE, in consideration of the Recitals noted above, the mutual covenants and conditions below, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties agree as follows: 1 CONSULTANT'S DUTIES. Consultant agrees to perform the professional services detailed in Exhibit A. 2 COMPENSATION• In accordance with the terms and conditions of this Agreement, City shall compensate Consultant for professional services in an amount not to exceed $41,000.00 annually, in accordance with the fee and quarterly reporting schedule set forth in Exhibit B 3. CONSULTANT BILLING. Consultant shall bill City on a time and expense basis in a total amount not to exceed Section 2 above. City shall pay such billings within thirty (30) calendar days of the date of receipt. 4. TERM/RENEWAL: This Agreement shall be effective beginning on July 1, 2012 and shall remain in full force and effect until June 30, 2015, unless otherwise terminated as set forth herein. The initial term having expired June 30, 2012, the Parties have, by mutual agreement, agreed to renew or extend this 1 Revised Draft Agreement a maximum of three additional years as allowed within the original term of the professional service agreement dated October 5', 2010 5. CITY'S STANDARD OF PERFORMANCE. City shall furnish Consultant with all data, information and other supporting services specified in Exhibit A. 6. CONSULTANT'S STANDARD OF PERFORMANCE. While performing the services, Consultant shall exercise the reasonable professional care and skill customarily exercised by reputable members of Consultant's profession practicing in the Phoenix Metropolitan Area, and shall use reasonable diligence and best judgment while exercising its professional skill and expertise. Consultant shall be responsible for all errors and omissions Consultant commits in the performance of this Agreement. 7. NOTICES: All notices to the a Party required under this Agreement shall be in writing and sent by first class certified mail, postage prepaid, return receipt requested, addressed to the following: If to City: City of Apache Junction 300 East Superstition Boulevard Apache Junction, AZ 85119 If to Consultant: Apache Junction Chamber of Commerce Attn• Larry Johnson, President/CEO 567 W. Apache Trail P.O. Box 1747 Apache Junction, AZ 85117-1747 8. INSURANCE: Consultant, at its own expense, shall purchase and maintain the herein stipulated minimum insurance with companies duly licensed, possessing a current A M. Best, Inc. Rating of B++6, or approved unlicensed in the State of Arizona with policies and forms satisfactory to City. All insurance required herein shall be maintained in full force and effect until all work or service required to be performed under the terms of the Agreement is satisfactorily completed and formally accepted; failure to do so may, at the sole discretion of City, constitute a material breach of this Agreement. Consultant's insurance shall be primary insurance as respects the City, and any insurance or self-insurance maintained by City shall not contribute to it. Any failure to comply with the claim reporting provisions of the insurance policies or any breach of an insurance policy warranty shall not affect coverage afforded under the insurance policies to protect City. 2 Revised Draft The insurance policies, except Workers' Compensation, shall contain a waiver of transfer rights of recovery (subrogation) against City, its agents, officers, officials and employees for any claims arising out of Contractor's acts, errors, mistakes, omissions, work or service. The insurance policies may provide coverage which contains deductibles or self- insured retentions. Such deductible and/or self-insured retentions shall not be applicable with respect to the coverage provided to City under such policies. Consultant shall be solely responsible for the deductible and/or self retention and City, at its option, may require Consultant to secure payment of such deductibles or self-insured retentions by a Surety Bond or an irrevocable and unconditional letter of credit. City reserves the right to request and to receive, within ten (10) working days, certified copies of any or all of the herein required insurance policies and/or endorsements City shall not be obligated, however, to review same or to advise Consultant of any deficiencies in such policies and endorsements, and such receipt shall not relieve Consultant from, or be deemed a waiver of, City's right to insist on strict fulfillment of Consultant's obligations under this Agreement. The insurance policies, except Workers' Compensation and Professional Liability, required by this Agreement, shall name City, its agents, officers, officials and employees as Additional Insureds. REQUIRED COVERAGE Commercial General Liability Consultant shall maintain Commercial General Liability insurance with a limit of not less than $1,000,000 for each occurrence with a $2,000,000 Products/Completed Operations Aggregate and a $2,000,000 General Aggregate limit. The policy shall include coverage for bodily injury, broad form property damage, personal injury, products and completed operations and blanket contractual coverage including, but not limited to, the liability assumed under the indemnification provisions of this Agreement, which coverage will be at least as broad as that on Insurance Service Office, Inc. Policy Form No CG 00011093, or any replacements thereof. Such policy shall contain a severability of interest provision, and shall not contain a sunset provision or commutation clause, nor any provision which would serve to limit third party action over claims. The Commercial General Liability additional insured endorsement shall be at least as broad as the Insurance Service Office, Inc.'s Additional Insured, Form B, CG 20101185, and shall include coverage for Consultant's operations and products and completed operations 3 Revised Draft If required by this Agreement, if Consultant sublets any part of the work, services or operations, Consultant shall purchase and maintain, at all times during prosecution of the work, services or operations under this Agreement, an Owner and Consultant's Protective Liability insurance policy for bodily injury and property damage, including death, which may arise in the prosecution of Consultant's work, service or operations under this Agreement. Coverage shall be on an occurrence basis with a limit not less than $1,000,000 per occurrence, and the policy shall be issued by the same insurance company that issues Consultant's Commercial General Liability insurance. Automobile Liability Consultant shall maintain Commercial/Business Automobile Liability insurance with a combined single limit for bodily injury and property damage of not less than $1,000,000 each occurrence with respect to Consultant's owned, hired, and non-owned vehicles assigned to or used in performance of Consultant's work. Coverage will be at least as broad as coverage code 1, "any auto", (Insurance Service Office, Inc. Policy Form CA 00011293, or any replacements thereof). Such insurance shall include coverage for loading and off loading hazards. If hazardous substances, materials or wastes are to be transported, MCS 90 endorsement shall be included and $5,000,000 per accident limits for bodily injury and property damage shall apply. Workers' Compensation Consultant shall carry Workers' Compensation insurance to cover obligations imposed by federal and state statutes having jurisdiction of Consultant's employees engaged in the performance of the work or services, and, Employer's Liability insurance of not less than $100,000 for each accident, $100,000 disease for each employee, and $500,000 disease policy limit. By execution of this Agreement, Consultant certifies as follows: "I am aware and understand the provisions of A.R.S. § 23-900 et seq. which requires every employer to be insured against liability for workers' compensation or to undertake self-insurance in accordance with the provisions of this chapter, and I will comply with such provisions before commencing the performance of the work of this Agreement." If Consultant has no employees for whom workers' compensation insurance is required, Consultant shall submit a declaration or affidavit to City so stating and covenanting to obtain such insurance if and when Consultant employs any employees subject to coverage 4 Revised Draft In case any work is subcontracted, Consultant will require subcontractors to provide Workers' Compensation and Employer's Liability insurance to at least the same extent as required of Consultant. Professional Liability Consultant retained by City to provide the work or service required by this Agreement will maintain Professional Liability insurance covering acts, errors, mistakes and omissions arising out of the work or services performed by Consultant, or any person employed by Consultant, with a limit of not less than $1,000,000 each claim Certificates of Insurance Prior to commencing work or services under this Agreement, Consultant shall furnish City with Certificates of Insurance, or formal endorsements as required by the Agreement, issued by Consultant's insurer(s), as evidence that policies providing the required coverages, conditions and limits required by this Agreement are in full force and effect. The form of the certificates of insurance and endorsements shall be subject to the approval of the Apache Junction City Attorney's Office, shall comply with the terms of this Agreement, and shall be issued and delivered to City Attorney, City of Apache Junction, 300 East Superstition Boulevard, Apache Junction, AZ 85119. In the event any insurance policies required by this Agreement are written on a "claims made" basis, coverage shall extend for two (2) years past completion and acceptance of Consultant's work or services and as evidenced by annual Certificates of Insurance If a policy does expire during the life of the Agreement, a renewal certificate must be sent to City thirty (30) calendar days prior to the expiration date. All Certificates of Insurance shall be identified with bid serial number and title. Policies or certificates and completed forms of City's Additional Insured Endorsement (or a substantially equivalent insurance company form acceptable to the City Attorney) evidencing the coverage required by this section shall be filed with the City and shall include the City as an additional insured. The policy or policies shall be in the usual form of a public liability insurance, but shall also include the following provision. "Solely as respects work done by or on behalf of the named insured for the City of Apache Junction, it is agreed that the City of Apache Junction and its officers and employees are added as additional insureds under this policy " 5 Revised Draft Insurance required herein shall not expire, be canceled, or materially changed without thirty (30) calendar days' prior written notice to City. 9 APPLICABLE LAW AND VENUE. The terms and conditions of this Agreement shall be governed by and interpreted in accordance with the laws of the State of Arizona. Any action at law or in equity brought by either party for the purpose of enforcing a right or rights provided for in this Agreement, shall be tried in a court of competent jurisdiction in Pinal County, State of Arizona. The parties hereby waive all provisions of law providing for a change of venue in such proceeding to any other county. In the event either party shall bring suit to enforce any term of this Agreement or to recover any damages for and on account of the breach of any term or condition in this Agreement, it is mutually agreed that the prevailing party in such action shall recover all costs including: all litigation and appeal expenses, collection expenses, reasonable attorneys' fees, necessary witness fees and court costs to be determined by the court in such action. 10 FORCE MAJEURE: Neither City nor Consultant, as the case may be, shall be considered not to have performed its obligations under this Agreement in the event of enforced delay (an "Enforced Delay") due to causes beyond its control and without its fault or negligence or failure to comply with applicable laws, including, but not restricted to, acts of God, fires, floods, epidemics, pandemics, quarantine, restrictions, embargoes, labor disputes, and unusually severe weather or the delays of subcontractors or materialmen due to such causes, acts of a public enemy, war, terrorism or act of terror (including but not limited to bio-terrorism or eco-terrorism), nuclear radiation, blockade, insurrection, riot, labor strike or interruption, extortion, sabotage, or similar occurrence or any exercise of the power of eminent domain of any governmental body on behalf of any public entity, or a declaration of moratorium or similar hiatus (whether permanent or temporary) by any public entity directly affecting the obligations under this Agreement. In no event will Enforced Delay include any delay resulting from unavailability for any reason of labor shortages, or the unavailability for any reason of particular Consultants, subcontractors, vendors or investors desired by Consultant in connection with the obligations under this Agreement. Consultant agrees that Consultant alone will bear all risks of delay which are not Enforced Delay. In the event of the occurrence of any such Enforced Delay, the time or times for performance of the obligations of the Party claiming delay shall be extended for a period of the Enforced Delay, provided, however, that the Party seeking the benefit of the provisions of this Section shall, within thirty (30) calendar days after such Party knows or should know of any such Enforced Delay, first notify the other Party of the specific delay in writing and claim the right to an extension for the period of the Enforced Delay; and provided further that in no event shall a period of Enforced Delay exceed ninety (90) calendar days. 6 Revised Draft 11. TERMINATION: This Agreement may be terminated by either Party for any reason upon two (2) months' written notice. If this Agreement is terminated, City shall be reimbursed from Consultant the amount paid for any undelivered and/or unaccepted products or services. Upon termination, City agrees to pay for all delivered, accepted, and properly invoiced services that were provided up to the announced Termination Date. 12. INDEMNIFICATION. To the fullest extent permitted by law, Consultant shall defend, indemnify and hold harmless City, its elected and appointed officers, officials, agents, and employees from and against any and all liability including but not limited to demands, claims, actions, fees, costs and expenses, including attorney and expert witness fees, arising from or connected with or alleged to have arisen from or connected with, relating to, arising out of, or alleged to have resulted from the acts, errors, mistakes, omissions, work or services of Consultant, its agents, employees, or any tier of Consultant's subcontractors in the performance of this Agreement. Consultant's duty to defend, hold harmless and indemnify City, its Special Districts, elected and appointed officers, officials, agents, and employees shall arise in connection with any tortious claim, damage, loss or expense that is attributable to bodily injury, sickness, disease, death, or injury to, impairment, or destruction of property including loss of use resulting therefrom, caused by an Consultant's acts, errors, mistakes, omissions, work or services in the performance of this Agreement including any employee of Consultant, any tier of Consultant's subcontractor or any other person for whose acts, errors, mistakes, omissions, work or services Consultant may be legally liable. 13. LICENSE: Consultant represents and warrants that any license necessary to perform the work under this Agreement is current and valid. Consultant understands that the activity described herein constitutes "doing business in the City of Apache Junction" and Consultant agrees to obtain a business tax license pursuant to Article 8-5 of the Apache Junction City Code and keep such license current during the term of this Agreement. Any activity by subcontractors within the corporate city limits, will invoke the same business tax regulations on any subcontractors, and Consultant ensures its subcontractors will obtain any required business tax license. 14 RECORDS. Records of Consultant's labor, payroll, and other costs pertaining to this Agreement shall be kept on a generally recognized accounting basis and made available to City for inspection on request. Consultant shall maintain records for a period of at least two (2) years after termination of this Agreement, and shall make such records available during that retention period for examination or audit by City personnel during regular business hours. 15. RIGHT OF CITY TO CONTRACT WITH OTHERS: Nothing in this Agreement shall imply City is obligated to obtain the services described herein with only this particular Consultant. 7 Revised Draft 16 WAIVER OF TERMS AND CONDITIONS: The failure of City or Consultant to insist in any one or more instances on performance of any of the terms or conditions of this Agreement or to exercise any right or privilege contained herein shall not be considered as thereafter waiving such terms, conditions, rights or privileges, and they shall remain in full force and effect. 17. COMPLIANCE WITH FEDERAL AND STATE LAWS. Consultant understands and acknowledges the applicability of the American with — Disabilities Act, the Immigration Reform and Control Act of 1986 and the Drug Free Workplace Act of 1989 to the services performed under this Agreement. As required by A R S § 41-4401, Consultant hereby warrants its compliance with all federal immigration laws and regulations that relate to its employees and A.R.S. § 23-214(A). Consultant further warrants that after hiring an employee, Consultant will verify the employment eligibility of the employee through the E- Verify program. If Consultant uses any subcontractors in performance of services, subcontractors shall warrant their compliance with all federal immigration laws and regulations that relate to its employees and A.R.S. § 23- 214(A), and subcontractors shall further warrant that after hiring an employee, such subcontractor verifies the employment eligibility of the employee through the E-Verify program. A breach of this warranty shall be deemed a material breach of the Agreement that is subject to penalties up to and including termination of this Agreement. Consultant is subject to a penalty of$100 per day for the first violation, $500 per day for the second violation, and $1,000 per day for the third violation. City at its option may terminate this Agreement after the third violation. Consultant shall not be deemed in material breach of this Agreement if the Consultant and/or subcontractors establish compliance with the employment verification provisions of Sections 274A and 274B of the federal Immigration and Nationality Act and the E-Verify requirements contained in A.R.S. § 23-214(A). City retains the legal right to inspect the papers of any Consultant or subcontractor employee who works under this Agreement to ensure that the Consultant or subcontractor is complying with the warranty. Any inspection will be conducted after reasonable notice and at reasonable times. If state law is amended, the Parties may modify this paragraph consistent with state law. 18. ENTIRE AGREEMENT: This Agreement and any attachments represent the entire agreement between City and Consultant and supersede all prior negotiations, representations or agreements, either express or implied, written or oral It is mutually understood and agreed that no alteration or variation of the terms and conditions of this Agreement shall be valid unless made in writing and signed by the parties hereto. Written and signed amendments shall automatically become part of the Supporting Documents, and shall supersede any inconsistent provision therein; provided, however, that any apparent inconsistency shall be resolved, if possible, by construing the provisions as mutually complementary and supplementary. 8 Revised Draft 19. SEVERABILITY. City and Consultant each believe that the execution, delivery and performance of this Agreement are in compliance with all applicable laws. However, in the unlikely event that any provision of this Agreement is declared void or unenforceable (or is construed as requiring City to do any act in violation of any applicable laws, including any constitutional provision, law, regulation, City Code or City Charter), such provision shall be deemed severed from this Agreement and this Agreement shall otherwise remain in full force and effect, provided that this Agreement shall retroactively be deemed reformed to the extent reasonably possible in such a manner so that the reformed agreement (and any related agreements effective as of the same date) provide essentially the same rights and benefits (economic and otherwise) to the Parties as if such severance and reformation were not required. Unless prohibited by applicable laws, the Parties further shall perform all acts and execute, acknowledge and/or deliver all amendments, instruments and consents necessary to accomplish and to give effect to the purposes of this Agreement, as reformed. 20. ACCURACY OF WORK: Acceptance of services or work by City shall not relieve Consultant of the responsibility for subsequent correction of any such errors and the clarification of any ambiguities. Consultant shall make all necessary revisions or corrections resulting from errors and omissions on the part of Consultant without additional compensation 21. CONFLICTS OF INTEREST: This Agreement is subject to, and may be terminated by City in accordance with, the provisions of A.R.S § 38-511. IN WITNESS WHEREOF, Consultant and City have executed this Agreement as of the date first set forth above. Apache Junction Chamber of Commerce, an Arizona not for profit corporation By. Its. CITY OF APACHE JUNCTION, ARIZONA, an Arizona municipal corporation By. John S. Insalaco Its: Mayor 9 Revised Draft ATTEST. Kathleen Connelly, City Clerk APPROVED AS TO FORM: By: R. Joel Stern, City Attorney STATE OF ARIZONA ) ) ss. COUNTY OF ) The foregoing was acknowledged before me this day of , 20 , by John S. Insalaco, as Mayor of the City of Apache Junction, Arizona, an Arizona municipal corporation. Notary Public My Commission Expires• (seal) 10 Revised Draft EXHIBIT A SCOPE OF WORK Consultant agrees to perform the following professional services in connection with this Agreement, all to be performed in accordance with all city codes, ordinances, regulations, policies and procedures. A. Operate a visitor and community information center fully staffed located within the city limits, consistent with the guidelines established by the Arizona Office of Tourism. Minimum requirements to be met include: i) be open Monday through Friday, 8.00 a.m. to 5.00 p.m. Mountain Standard Time; ii) provide information racks accessible to the public on weekends and holidays; iii) make public restrooms accessible during operating hours; iv) make available public telephone during operating hours, v) provide drinking water during operating hours; and vi) provide general information about the City of Apache Junction, this region, and the State. Operating hours shall be extended to include Saturdays from 9:00a.m. to 2.00p m Mountain Standard Time from December 1, 2010 through April15, 2011 and again on December 1, 2011 through Apnl15, 2012 Requests for specific information regarding city government operations and City services shall be referred directly to City officials. B. Provide referrals to businesses located within the city limits and referrals to area cultural, historical and recreational attractions. C. Continue to develop, implement and revise a program to encourage return visits to the community. D. Provide licensed businesses located within the city limits with an opportunity to participate in the Visitor/Information Center. E. Continue to periodically update and reformulate informational packets issued by Visitor Information Center to include information on City-sponsored events F. Through the Internet and assorted Social Media channels, continue to develop and refine a program offering information on businesses located within the city limits, as well as information on cultural, historical and recreational attractions occurring or existing within the City and the area. G. Continue to update and re-design Apache Junction brochure in cooperation with City and Arizona Office of Tourism, and re-print as needed H. Periodically review and provide cost estimates for updating and expanding web-based virtual tour of City of Apache Junction and area attractions. Revised Draft I. Continue to implement and revise a cooperative marketing program in conjunction with regional marketing associations, firms, agencies or consultants and chambers of commerce to promote City businesses and the area's cultural, historical and recreational attractions. J. Continue to implement, update and revise a "destination tourism" program including but not limited to group/package tours using licensed hotels, motels, restaurants and retail establishments located within the city limits as resources. K. Continue to implement and revise a "shop local" program designed to assist licensed businesses located within the city limits and to help reduce retail sales leakage outside of the City of Apache Junction L. Provide information and services listed above on an impartial basis and regardless of membership status in the Apache Junction Chamber of Commerce. M. Enhance city sales tax revenues through the information and services listed above. N. Concurrent with the annual fiscal year fourth quarter - quarterly report, (e.g. within ten (10) days of each June 30th throughout the term of this Agreement) transfer to the city's custodianship such Visitor Center records as are prescribed by the Records Management General Schedule: Civic, Convention, Cultural Facilities & Visitors Bureaus Records Revised Draft EXHIBIT B FEE & QUARTERLY REPORTING SCHEDULE In accordance with the terms and conditions of this Agreement, City shall compensate Consultant for its professional services as follows: A. An aggregate sum of up to, $108,000.00, billed in the amount of$9,000.00 each quarter (i.e. $36,000 annually) for a total of 12 quarters, subject to Council appropriation of funds B. An aggregated sum of up to $15,000.00, billed in the amount $2,500.00 semi-annually (i.e. $5,000.00 annually) for three years, to coincide with the invoice/billing cycle for Apache Junction's participation in the Visit Sunny AZ Marketing Consortium, subject to Council appropriation of funds. C. Notwithstanding the fee arrangements outlined above, the Mayor and City Council of the City of Apache Junction reserve the right to annually review the Consulant's performance as related to the Scope Of Work delineated in Exhibit A of this Agreement. D. Within ten (10) working days following the last day of each fiscal year quarter, Consultant shall submit to the City Clerk detailed reports accounting for the expenditure of City funds. Consultant shall submit a separate, concise summary of all expenditures within each report. The summaries shall be subject to public disclosure as public records in accordance with A.R.S. § 39-121, et seq. Each report shall be typewritten or prepared on a word processor and shall include the status of Consultant's progress on theschedule work items as referenced in Section 2 above. It shall include a description of all work undertaken and all findings and conclusions In addition, it shall include documentation supporting these expenditures. These reports shall also contain the information required in this Agreement, and in doing so, shall demonstrate the value of work and its impact upon economic development within the corporate boundaries of City. Documentation for actual expenditures shall include a summary page detailing all quarterly expenditures made in accordance with this contract and all relevant bills, receipts, and statements, with the relevant expenditures highlighted. The Apache Junction City Manager or his or her designee ("City Manager") has the sole discretion to determine whether the above referenced reports contain adequate specificity. Should the City Manager desire additional information, such information shall be produced by Consultant within ten (10) working days from receipt of such request. The City Manager may withhold any and all payments due until such time as all reporting concerns have been resolved Revised Draft The books and records of Consultant shall be subject to inspection and audit by City during the term of this Agreement and for a period of three (3) years after expiration of this Agreement for the purpose of verifying Consultant's performance as well as the thoroughness and accuracy of the reports submitted hereunder. Records of Consultant shall be provided to City and/or made available for inspection and audit within three (3) working days following a written request by City. E. Consultant shall design and use a business report that describes any and all progress made in the categories listed in Section 1 noted above. This report shall focus on and emphasize those activities listed in Section 1 where work efforts and partnerships have produced results in the form of enhanced city sales tax revenue Consultant shall substantiate the information contained in the report Such report shall be provided to City on a quarterly basis at the time of submitting the quarterly reports required in Section 3(8) of this Agreement. ROLL CALL VOTE NOTES C1 12d/ fot Q(2( f1 UltA vlfd di " Of ITEM # MEETING OF MOTION BY: SECONDED BY: YES NO ABSTAINED COUNCILMEMBER EVANS COUNCILMEMBER BARKER VICE MAYOR DIETZ COUNCILMEMBER WALDRON COUNCILMEMBER SERDY COUNCILMEMBER WILSON MAYOR INSALACO UNANIMOUS IN FAVOR OPPOSED ABSTAINED TOTAL ITEM NO. 9 �, I MOVE THAT THE PROFESSIONAL SERVICES AGREEMENT BETWEEN THE CITY OF APACHE JUNCTION AND APACHE JUNCTION CHAMBER OF COMMERCE FOR OPERATION OF A LOCAL VISITOR INFORMATION CENTER BE EXTENDED FOR AN ADDITIONAL THREE YEARS IN THE AMOUNT OF $36,000.00 PER SEAR, THAT THE CITY ADD FUNDING FOR THE VISIT SUNNY AZ MARKETING CONSORTIUM IN THE AMOUNT OF $5,000.00 PER YEAR CONTINGENT ON THE AVAILABITY OF FUNDS AND CITY COUNCIL APPROVAL DURING THE ANNUAL BUDGET ADOPTION PROCESS; AND THAT AUTHORIZATION BE GIVEN FOR THE MAYOR TO SIGN THE AGREEMENT PENDING APPROVAL AS TO FORM BY THE CITY ATTORNEY. ROLL CALL VOTE NOTES: /\\V ITEM # V MEETING OF 1117( MOTION BY: SECONDED BY: YES NO ABSTAINED COUNCILMEMBER WALDRON ✓ COUNCILMEMBER EVANS _ COUNCILMEMBER SERDY �4 COUNCILMEMBER BARKER COUNCILMEMBER WILSON Y VICE MAYOR DIETZ 1 MAYOf INSACACO. UNANIMOUS IN FAVOR OPPOSED ABSTAINED TOTAL ITEM NO. 10-11 I MOVE THAT AN EXECUTIVE SESSION AT 5.45 P.M. AND A WORK SESSION AT 7.00 P M BE HELD ON MONDAY, JULY 16, 2012, IN THE CITY COUNCIL CONFERENCE ROOM AND CITY COUNCIL CHAMBERS RESPECTIVELY, AND THAT AN EXECUTIVE SESSION AT 5.45 P.M. BE HELD ON TUESDAY, JULY 17, 2012 IN THE CITY COUNCIL CONFERENCE ROOM 097 ADJOURNMENT: I MOVE THAT THE MEETING BE ADJOURNED AT P M