HomeMy WebLinkAbout2014 06.30 City Council Work Session Agenda City of Apache Junction, Arizona Meeting location:
City Council Chambers
1U Z at City Hall
Agenda 300 E.Superstition Blvd.
\gilONr Apache Junction,AZ
- City Council Work Session 85119
apachejunctionaz.gov
Ph:(480)982-8002
Monday,June 30,2014 7:00 PM City Council Chambers
A. CALL TO ORDER
B. ROLL CALL
C. AGENDA ITEMS
1. 14-339 Presentation and discussion by staff and Superstition Mountain
Promotional Corporation (SMPC) representative on SMPC's request to
dedicate the rodeo arena in memory of Gary Mulholland. The SMPC,
in accordance with park dedication policy, request that a plaque be
placed at the entryway of the rodeo arena to honor and recognize Mr.
Mulholland's significant volunteer effort. The Parks and Recreation
Commission supports this proposal and recommends approval.
Presentation and discussion.
Sponsors: Nick Blake
Attachments: Resolution 13-12.PDF
Park Naming Policy.pdf
2. 14-311 Presentation and discussion with representatives from the Greater
Phoenix Economic Council (GPEC) regarding the proposed renewal of
contract for economic development services in an amount of
$21,600.00 and reappointment of Councilmember Serdy as the City of
Apache Junction representative to the GPEC Board of Directors.
Presentation and discussion.
Sponsors: Janine Solley
Attachments: cover memo GPEC contract renewal FY14.15
Apache Junction Community Benefits Report 2014- FOR EMAI
Apache Junction FY15 Complete v2
City of Apache Junction,Arizona Page 1 Printed on 611512026
City Council Work Session Agenda June 30,2014
3. 14-322 Presentation and discussion on Arizona Department of Revenue
(ADOR)and Arizona League of Cities and Towns Agreement
obligating funds for development of software functionality and services
related to implementation and compliance with transaction privilege tax
simplification legislation and retroactive authorization of payment to
ADOR in the amount of$3,120.00 for online portal modification costs.
Sponsors: Donna Meinerts
Attachments: HB 2111 League Agreement FINAL
D. ADJOURNMENT
Copies of this agenda and additional information regarding any of the items listed above may be obtained
Monday through Thursdays, 7:00a—6:00p, excluding holidays, from the City Clerk's office located at:
300 East Superstition Boulevard,Apache Junction,AZ
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 of Apache Junction,Arizona Page 2 Printed on 611512026
►P�"E�c�, City of Apache Junction, Arizona 300 E Superstition
Boulevard
z Agenda Item Cover Sheet Apache Junction,AZ
85119
Agenda Item No. 1.
�Pii File ID: 14-339
Sponsor: Nick Blake Agenda Date: 6/30/2014
Index: In Control: City Council Work Session
Presentation and discussion by staff and Superstition Mountain Promotional Corporation
(SMPC) representative on SMPC's request to dedicate the rodeo arena in memory of Gary
Mulholland. The SMPC, in accordance with park dedication policy, request that a plaque be
placed at the entryway of the rodeo arena to honor and recognize Mr. Mulholland's significant
volunteer effort. The Parks and Recreation Commission supports this proposal and
recommends approval. Presentation and discussion.
City of Apache Junction,Arizona Page 1 Printed on 611512026
RESOLUTION NO . 13-12
A RESOLUTION OF THE MAYOR AND CITY COUNCIL OF THE CITY
OF APACHE JUNCTION, ARIZONA, AUTHORIZING THE CITY OF
APACHE JUNCTION TO ADOPT A PUBLIC PARKS, AREAS AND
FACILITIES NAMING/DEDICATION POLICY .
WHEREAS, on or about May 3 , 1988, the Apache Junction Parks
and Recreation Commission recommended to the Mayor and City
Council adoption of the "City of Apache Junction Community
Services Department Facility Operating and Procedures Manual "
( the "Policy" ) ; and
WHEREAS, on or about May 11 , 1988 , pursuant to Resolution
No . 88-02 the Mayor and City Council voted to approve the
recommendation; and
WHEREAS, the Policy, contains a "Naming of Parks" section,
among other provisions; and
WHEREAS, on or about October 1 , 2012 , the Parks and
Recreation Commission recommended to the Mayor and City Council
amendments to the Policy (the "Amended Policy" ) ; and
WHEREAS, the amendments are entitled "Parks, Areas and
Facilities Naming/Dedication Policy" , the stated purpose of
which is to establish a systematic and consistent approach for
the official naming and dedication of parks , recreation areas
and facilities ; and
WHEREAS, certain changes came about due to citizen interest
in establishing a means to acknowledge individuals or groups
supporting the park system; and
WHEREAS , the Amended Policy includes a provision that sets
forth a "Dedication Criteria" , which is intended to recognize
and honor individuals or groups contributing to the park system
and may be dedicated in memory, or honor of individuals or
groups .
WHEREAS, dedications are accomplished by placement of a
plaque at a facility describing how the individual or group
supported the parks and recreation program.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL
OF THE CITY OF APACHE JUNCTION ARIZONA, AS FOLLOWS :
RESOLUTION NO. 13-12
PAGE 1 OF 2
1 ) The attached Parks, Areas and Facilities Naming/Dedication
Policy be adopted.
PASSED AND ADOPTED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF
APACHE JUNCTION, ARIZONA, THIS 7TH DAY OF MAY 2013 .
SIGNED AND ATTESTED TO THIS 7TH DAY OF MAY 2013 .
J,_',VHN S . INSALACO
Mayor
ATTEST:
KATHLEEN CONNELLY /
City Clerk
APPROVED AS TO FORM:
RICHARD J. STERN
City Attorney
RESOLUTION NO. 13-12
PAGE 2 OF 2
PARKS, AREAS AND FACILITIES NAMING/DEDICATION
POLICY
PURPOSE: The purpose of this policy is to establish a systematic and consistent approach for the official
naming and dedication of parks, recreation areas and facilities.
OBJECTIVES: Ensure that parks, recreational areas and facilities are easily identified and located. Ensure
that names and dedications are consistent with the value and character of the area or neighborhood
served. Encourage public participation in the naming, renaming and dedication of parks, recreation
areas and facilities. Encourage the dedication of lands,facilities, or donations by individuals and/or
groups.
DEFINITION: Parks, recreation areas and facilities—means and includes all city parks,trails, swimming
pools, buildings, playgrounds, skate parks and/or any other public property under management and
control of the Parks and Recreation Department, owned or leased by the city for the public benefit.
RESPONSIBILITY: It is the responsibility of the Parks and Recreation Director to ensure the parks,
recreation areas and facilities naming and dedication process takes place in compliance with the intent
of this policy.
NAMING CRITERIA: The policy of the Parks and Recreation Department is to name parks, recreation
areas and facilities through an adopted process utilizing established criteria emphasizing community
values and character, local history, geography and the environment. Naming may also be based on a
financial contribution made by an individual, family or group.
1. Acceptable criteria for names of parks, recreation areas and facilities are as follows:
A. The proposed name describes the geographical area where the facility is located.
B. The proposed name describes something specifically unique to the Apache Junction area
(flora, fauna, geology, historical or cultural descriptive terminology).
C. The proposed name acknowledges significant financial support received from individuals or
groups that pays for or donates park land, donates an amount that would provide for 51%
or more of the parks development, and/or donates an amount that would cover the on-
going operating and maintenance needs of the park.The value of volunteer time does not
apply to this criterion.
2. Parks, recreation areas and facilities should be named prior to the beginning of the design for
development so that the area takes on an early identification and allows for proper tracking
during development.
3. The naming of a parks, recreation areas and facilities may be done in conjunction with the
community or neighborhood that will be served.This may be accomplished through various
means as determined by staff and may include naming contest or recommendations made by
recognized community groups.
4. Although not encouraged, names may be changed if properly justified and approved by the
Parks and Recreation Commission and City Council.
DEDICATION CRITERIA: The policy of the Parks and Recreation Department is to utilize a dedication
program to recognize and honor individuals or groups contributing to the park system but not qualifying
under the naming criteria. Parks, recreation areas,facilities or portions thereof, may be dedicated in
memory, or honor of, individuals or groups by the placement of a dedication or memorial plaque that
describes the contribution.The plaque must be made of quality material, rated for outdoor use and shall
be no larger than 8"x 10"for minor amenities and 28"x 32"for major amenities.
1. Acceptable criteria for dedications of parks, recreation areas and facilities are as follows:
A. Dedications are encouraged to be in the form of facility improvements or
enhancements.
B. Dedications may be in recognition of outstanding service that benefits the City,
substantial donations or significant contribution to the facility or Parks and Recreation
Department.
C. Dedications may be in memory of deceased individuals who have significantly
contributed to the facility or Parks and Recreation Department.
D. Individuals or groups sponsoring(nominating) a dedication must provide sufficient
funds to purchase and install the dedication or memorial plaque.The City will make
every effort to maintain and preserve installed plaques but will not be responsible to
replace and/or repair damaged or stolen ones.
E. Dedications of minor amenities (trees, benches, etc.) shall be handled administratively
by the Parks and Recreation Department. Dedications of major amenities (buildings,
sports fields, etc.) shall be approved by the Parks and Recreation Commission and City
Council.The wording, placement and/or mounting of plaque is subject to approval by
the Parks and Recreation Department.
PROCEDURE: The procedure for naming/dedicating parks, recreation areas and facilities is as follows:
1. Public initiated request to name or dedicate a park, recreation area or facility shall be submitted
in writing to the Parks and Recreation Director.
2. Those submitting a naming/dedication request shall show how the proposed name/dedication is
consistent with the criteria stated in this policy.When naming/dedicating after a person,the
request must describe the contributions to the facility or Parks and Recreation Department.
Written documentation of approval by next of kin (if available) is required as part of the
proposal. City staff will review the proposal for adherence to stated criteria and authentication
of statements of contributions before forwarding to the Parks and Recreation Commission.
3. The Parks and Recreation Commission will offer the opportunity for public input on the
proposed naming/dedication.
4. The Parks and Recreation Commission shall forward their recommendation to City Council for
final decision.
5. The Parks and Recreation Director and/or Parks and Recreation Commission can initiate the
naming/dedication process whenever deemed necessary and/or in the best interest of the City.
6. In the absence of any naming/dedication request, the Parks and Recreation Commission shall
adhere to criteria stated in this policy in recommendation of name/dedication.
►P�"E�c�, City of Apache Junction, Arizona 300 E Superstition
Boulevard
= Agenda Item Cover Sheet Apache Junction,AZ
_ 85119
Agenda Item No.2.
Piz File ID: 14-311
Sponsor: Janine Solley Agenda Date: 6/30/2014
Index: In Control: City Council Work Session
Presentation and discussion with representatives from the Greater Phoenix Economic Council
(GPEC) regarding the proposed renewal of contract for economic development services in an
amount of$21,600.00 and reappointment of Councilmember Serdy as the City of Apache
Junction representative to the GPEC Board of Directors. Presentation and discussion.
The City of Apache Junction joined 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 $21,600.00 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.
City of Apache Junction,Arizona Page 1 Printed on 611512026
O�PP AC HE✓�2�
A
L) Z City of Apache Junction
q R►Z O N P
Economic Deveropment Department
DATE: June 17, 2014
MEMORANDUM TO: The Honorable Mayor & City Councilmembers
MEMORANDUM THRU: George Hoffman, City Manager
MEMORANDUM FROM: Janine Solley, Principal Econ Dev Specialist
SUBJECT: GPEC contract Renewal FY14/15
Since Apache Junction joined the Greater Phoenix Economic Council (GPEC) in 2007
we have benefited from a number of services the organization provides its community
members. These include; access to a staff research section, an annual multi-million
dollar marketing campaign and direct marketing to site selection consultants and target
industry prospect, as well as the traditional qualified `lead generation' and prospect
management activity.
In this past fiscal year, GPEC initiated a REIT/Developer strategy to assist communities
with limited existing inventory, continued to provide educational and industry intelligence
opportunities through their Ambassador program, and remain committed to advocating
for sound economic development practices in the State of Arizona. Most notable may
be their leadership in the Velocity initiative which intends to increase the output of
engineering students that can make Arizona more competitive for high-paying jobs.
AJ-GPEC `Return-On-Investment' calculates an 11:1 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 $21,600.00 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
Greater Phoenix
ECONOMIC COUNCIL
Investing in GPEC I City of Apache Junction
Community Benefits Report
The Greater Phoenix Economic Council (GPEC) is a performance-driven, public-private partnership. GPEC
partners with the City of Apache Junction, Maricopa County, 22 other communities and more than 170 private-
sector investors to promote the region's competitive position and attract quality jobs that enable strategic
economic growth and provide increased tax revenue for Apache Junction.
GPEC and our partners help Apache Junction Revenue Return (5-Yr Trend): 11:1
increase the quality and
quantity of transactions in the Apache Junction Investment
region by:
Funding Request for FY15: $21,600
• Marketing industry- (AZ Dept of Administration 2013 Population)
specific business cases to Previous Funding for FY14: $21,186
showcase our competitive (AZ Dept of Administration 2012 Population)
advantages.
• Expanding prospecting
activities in California and
other domestic markets. Driven Results
The City of Apache Junction benefits from site location projects and
• Securing international GPEC activities that occur across the region.
investment. • Economic development projects create value by generating public
• Capturing opportunities in and private revenues.
emerging technology • Commute patterns and retail studies show that employees of
around solar and `locates' live and spend their incomes in all Greater Phoenix
healthcare. communities. Thus, when a company selects a Greater Phoenix
location, all communities benefit with increased tax revenues.
• Connecting prospects with • 386 jobs region-wide' for Apache Junction residents from GPEC-
local R&D expertise. assisted locates
• Addressing gaps in the
market such as
speculative buildings, Return on Investment(5-Yr Trend)
technology parks and
accelerators, and venture • $11 of direct revenue'for every$1 invested.
capital.
• $20 of total revenue'for every$1 invested.
This report summarizes the • $16.2 in new consumer spending' generated by new
significant benefits and return Apache Junction jobs and employed Apache Junction residents. An
on investment GPEC delivers addition of$14.8 million created by multiplier effects, results in total
to the City of Apache Junction consumer spending of$31.0 million.
and this region. �
• $1.07 milion in new Apache Junction direct revenues (boosted to
$ 2.0 million when including related multiplier effects of$930,000).
'Revenue estimates are from the Greater Phoenix Consensus Impact Model. In 1999,GPEC and our members developed the
region's first-ever consensus-based revenue and economic impact model. Based on nationally accepted multiplier data provided by
IMPLAN,the model is customized to calculate economic and revenue benefits for GPEC's members and the State of Arizona.
*Includes property,sales and utility taxes,as well as state-shared and other local revenues.
*Includes direct revenues plus those generated by related supplier and consumer jobs.
2 NORTH CENTRAL AVE. SUITE 2500 PHOENIX,AZ 85004 602.256.7700 www.gpec.org
Regional Results Summary*
FY14 FY13 5 Year Total
Payroll Generated $147.9M $303.2M $1,018.0
Jobs 3,325 6,954 23,835
High-wage Jobs 1,745 2,506 10,335
Average Salary $44,473 $43,594 $42,709
Qualified Prospects 202 215 1,014
Earned Media Reach 982.8M 1,048.1 M 2,905.8M
Assisted Locates 26 32 144
Capital Investment $1,758.5M $456.7M $3,823.1M
*Through June 3, 2014
Targeted Opportunities
Apache Junction advances GPEC's mission of attracting
quality companies to the region by:
• Responding to 'E-Track' prospect requests.
• Participating in prospect community visits.
• Hosting ExecuTours, tailored events for high-level
decision-makers.
• Prospecting at trade shows, conferences and sales
missions to expand the project pipeline.
Competitive Intelligence
GPEC offers Apache Junction access to unique tools and expertise:
• Comprehensive demographic, labor, targeted industry
information and marketing assistance.
• CoStar real estate database.
• MetroComp operating cost-comparison software for 50
markets.
• Community Building Consortium.
• Greater Phoenix Consensus Impact Model analysis.
Community Leadership
Leadership is critical to ensuring the success of your community, GPEC and the region's economic vitality.
. . . - • . . .
-Apache Junction Involvement
GPEC Board of Directors Jeff Serdy
Economic Development Directors Team (EDDT) Janine Solley, Elan Vallender
GPEC Next
Operating as a more comprehensive and innovative practice, GPEC Next pursues opportunities with
greatest potential for the region through deeper collaboration with our stakeholders, communities and
partners. By integrating international attraction and an emerging technologies focus with GPEC's core
domestic competency, we will satisfy the market's needs for a stronger, better, proactive regional
economic development organization. GPEC Next will achieve a thorough understanding of our
competitiveness, realize a streamlined, direct-selling approach to competitor and global markets, and
make dynamic improvements to the region's business climate.
2 NORTH CENTRAL AVE. SUITE 2500 PHOENIX,AZ 85004 602.256.7700 www.gpec.org
ECONOMIC DEVELOPMENT AGREEMENT BETWEEN
THE GREATER PHOENIX ECONOMIC COUNCIL
AND THE CITY OF APACHE JUNCTION
The City Council of the CITY OF APACHE JUNCTION, an Arizona municipal corporation(the
"City"),and the GREATER PHOENIX ECONOMIC COUNCIL("GPEC"), an Arizona non-profit
corporation.
NOW,THEREFORE, in consideration of the mutual promises contained herein,the CITY and
GPEC agree as follows:
I. 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 private 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 developing the Greater Phoenix region's market
intelligence strategy for high wage,base industry clusters in coordination with
representatives of GPEC member communities.
2. Retention and expansion of existing businesses within GPEC member
communities is primarily a local issue.
3. GPEC will support its member communities' efforts to retain and expand
existing businesses through coordinating regional support and providing research
on key retention and expansion projects.
4. GPEC will advise its member communities when an existing company contacts
GPEC regarding a retention or expansion issue, subject to any legal or
contractual non-disclosure obligations.
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 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 materially affect or alter the priorities established therein. Such
notification will be in 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
1
Action Plan as required by a result of changing market conditions,funding 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 prior 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 in 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, 2014.
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.
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 City. When available,the City
agrees to provide its response in 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.
2
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 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.
B. COMPENSATION:
1. The City agrees to pay$21,600.00 for services to be provided by GPEC pursuant
to the Agreement during the fiscal year ending on June 30, 2015, 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 Maricopa County plus
$0.4397 per capita applied to that portion of the City's population within
Maricopa County,based upon the 2013 Office of Employment and Population
Statistics,Arizona Department of Administration population estimate,which
listed the City as having a population of 37,325 in Pinal County and 298 in
Maricopa 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 in accordance
with the increases or decreases of general application in 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.
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 31,2014,no payments
3
shall be made hereunder until the City receives the audit report and is provided at
least a 30 calendar day review and approval period.. 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 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 1,2014-June 30,2015.
2. The parties acknowledge that GPEC is a cooperative organization effort among
GPEC and its member communities. Accordingly,the City and GPEC covenant
and agree to work together in a productive and harmonious manner,to cooperate
in furthering GPEC's goals for the 2014-2015 fiscal year. The City and GPEC
further covenant and agree to comply with the Regional Cooperation Protocol,
attached hereto as Exhibit F, in all material respects.
3. 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 2015-2016
contract.
4. The City agrees to work with GPEC during the FY2014-2015 program year to
develop a revised public sector funding plan, including a regional allocation
formula for FY2015-2016, if determined to be necessary or appropriate.
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 acknowledges that no payment shall
be made to any contractor as long as there is any outstanding obligation due to the City,
and any such obligation shall be offset against payment due to GPEC.
C. ASSIGNMENT PROHIBITED:No party to this agreement may assign any right or
obligation pursuant to this Agreement. Any attempted or purported assignment of any
right or obligation pursuant to this Agreement shall be void and have 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 right 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 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.
4
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 arising from or attributable 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.
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 arise from or in connection with this Agreement by
GPEC, its agents,representatives, employees or contractors, in accordance with the
Insurance Requirements set forth in 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.
5
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 orientation,
national origin,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 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 during 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.
L 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 verify such compliance.
I. 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 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-verify 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 Agreement. As
used in this Section I"services" are defined as furnishing labor,time or effort in
the State of Arizona 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.
6
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 period of 30 calendar days(or such
shorter period as may be expressly provided herein)after the date on which written 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 federal, 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 arising under any Agreement to be awarded
hereunder or out of the proposals herein called for,which cannot be administratively
resolved, shall be tried 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 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)
business days after the notice is deposited in 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
7
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 W(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. 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,or City Code), 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.
T. CAPTIONS. The captions contained in this Agreement are merely a reference and are not
to be used to construe or limit the text.
U. 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.
V. 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 ten(10)pages of text and the below-listed exhibits which are
incorporated herein by this reference,constitutes the entire understanding and agreement
of the parties.
8
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
Exhibit F—Regional Cooperation Protocol
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.
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 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 rights or remedies.
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.
IN WITNESS WHEREOF, the parties hereto have executed the Agreement this
day of 52014.
City of Apache Junction, an Arizona municipal
corporation
By:
John S. Insalaco, Mayor
STATE OF ARIZONA )
ss.
COUNTY OF MARICOPA )
On this day of , 2014, before me, the undersigned Notary Public, personally
appeared , who acknowledged himself to be the of
, an Arizona corporation, that he, as such officer, being
authorized so to do, executed the foregoing instrument for the purposes therein contained, by
signing the name of the corporation by himself as such officer. In witness whereof, I hereunto
set my hand and official seal.
Notary Public
My commission expires:
ATTEST:
By:
Kathy Connelly, City Clerk
9
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
STATE OF ARIZONA )
ss.
COUNTY OF MARICOPA )
On this day of , 2014, before me, the undersigned Notary Public,personally
appeared , who acknowledged himself to be the of
, an Arizona corporation, that he, as such officer, being
authorized so to do, executed the foregoing instrument for the purposes therein contained,by
signing the name of the corporation by himself as such officer. In witness whereof, I hereunto
set my hand and official seal.
Notary Public
My commission expires:
10
SHIFTING TOWARDS EXHIBIT A
INNOVATION
FY 2015 ACTION PLAN
1 35
246
r'
I`
M S
GreaW Phoenix
ECONOMIC COUNCIL
MEMBER COMMUNITIES MARICOPA COUNTY CAVE CREEK GILBERT PEORIA TEMPE
APACHE JUNCTION CHANDLER GLENDALE PHOENIX TOLLESON
AVONDALE EL MIRAGE GOODYEAR QUEEN CREEK WICKENBURG
BUCKEYE FOUNTAIN HILLS MARICOPA SCOTTSDALE YOUNGTOWN
CASA GRANDE GILA BEND MESA SURPRISE
GPEC MISSION
Attract quality businesses to the Greater Phoenix region from around the
world, and advocate and champion foundational efforts to improve the
region's competitiveness.
z
WHAT TO EXPECT IN THE FOLLOWING PAGES
4 GPEC Stakeholders FY14 MILESTONES
6 FY15 Metrics Momentum gained in the last year-
7 FY15 Budget select achievements and key benchmarks
8 Business Development FY15 ACTION ITEMS
10 Competitiveness Sample of activities that adhere
12 Marketing and Communications to a five-year vision and result in progress
13 Stakeholder Engagement: Paving the Way DRIVES THESE FY15 METRICS
Shows relationship between action items
and annual performance goals
EXECUTIVE SUMMARY AND
FIVE-YEAR STRATEGIC PLAN OVERVIEW
In reflecting on our 25 years of existence, GPEC stands strong in our foundation of working to advance
the Greater Phoenix economy through quality jobs and investment. Consistent threads in bold leadership,
above-market performance and real public-private collaboration have rung true since our inception. Where
we have evolved is in our appetite, ability and need to grow the economy differently—beyond the traditional
model of attracting business. While the pressures of global competition have forced others to react and
recalibrate how to approach economic development, GPEC has spent almost the last decade in front of
the curve. Nearly 10 years ago, we shifted from a traditional economic development format to one more
comprehensive yet disciplined, building a core, sophisticated research competency that has informed and
shaped all aspects of GPEC's economic development model—from business attraction to competitiveness,
strategy and marketing. This shift in behavior and the resulting performance-driven outcomes are what
separate our organization from other economic development shops across the country.
As we celebrate a quarter century of accomplishments, all of which would not have been possible without
the leadership, commitment and support of our board and stakeholders, we are excited and ready to drive
the next transformation of our economy.
3
VISION AND PROGRESS
As approved by GPEC's Board of Directors in FY11, these strategic pillars will guide the organization's fiscal
year activities, and by 2016, lead to the following vision statements:
Strategic Pillar By 2016
Market Intelligence GPEC's market intelligence model will be best-in-class.
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 Arizona, GPEC will be the
principal leadership organization.
Capital Markets/ GPEC will develop a science and technology-based fund that will
Venture Formation drive regional innovation activity.
GPEC STAKEHOLDERS*
_M.E M_B ER CO M_M_U N_I T 1_ES....................................................................................................................................................
Maricopa County Chandler Goodyear Scottsdale
Apache Junction El Mirage Maricopa Surprise
Avondale Fountain Hills Mesa Tempe
Buckeye Gila Bend Peoria Tolleson
Casa Grande Gilbert Phoenix Wickenburg
Cave Creek Glendale Queen Creek Youngtown
.................P LAT I._N.U._M...................................................................................................................................................................................................................................................................................................................................................................._
Alliance Bank of Arizona D.L.Withers Construction Maracay Homes Squire Sanders
APS Dignity Health Maricopa Community SRP
Arizona Cardinals DMB Associates Colleges University of Phoenix
Arizona Diamondbacks Ernst&Young Mayo Clinic US Airways
Arizona State University Freeport-McMoRan Meritage Homes Valley Metro
Bank of America Copper&Gold MidFirst Bank Verizon Wireless
Banner Health Grand Canyon University National Bank of Arizona Waste Management
4 BBVA Compass Haydon Building Corp Phoenix Suns Wells Fargo
Chase Intel Corporation Polsinelli PC
CopperPoint Mutual Job Brokers Republic Media
Cox Communications Kitchell Republic Services
................GOLD..............................................................................................................................................................................................................................................................................................................................................................................................
Abengoa/Abacus Colliers International Lee and Associates Sundt Construction
Aetna Cushman&Wakefield Lewis Roca Rothgerber Target Commercial Interiors
Arizona Business Bank Davis Liberty Property Trust Thunderbird School
BDO Deloitte M+W Group of Global Management
BlueCross BlueShield Digital Realty Trust Macerich Total Transit
of Arizona DIRTT The McShane Companies Transwestern Commercial
BMO Harris Bank El Dorado Holdings Mortenson Construction Services
Bryan Cave Empire Southwest Nationwide Realty Investors U.S. Bank
Brycon Construction Fennemore Craig Okland Construction University of Arizona
Cancer Treatment Centers Gammage&Burnham Phoenix Children's Hospital USAA
of America Gilbane Building Co. Renaissance Companies ViaWest Group
Cassidy Turley/BRE Google Ryan Companies Walmart
Commercial Green Loop Solutions Saint Holdings Ware Malcomb
CBIZ MHM Greenberg Traurig Skanska USA Building Weitz Company
CBRE Hensley SmithGroup Wespac Construction
CCS Presentation Systems Hines Snell&Wilmer Willmeng Construction
Celgene Corporation Infusionsoft Southwest Airlines Wist Office Products
CenturyLink JE Dunn Construction Southwest Gas Corporation Wood,Patel&Associates
Chanen Development Co. Jones Lang LaSalle Sun Health
Coe&Van Loo Consultants Layton Construction Sunbelt Holdings
AI Still University Clark Hill PLC Healthcare Trust of Americ Quarles&Brady
AAA Arizona CORE Construction Jennings,Stmuxx&Salmon Queen Creek/Landmark Co.
Air Products and Chemicals CoStarGmup Kelly Services St.Clair Technologies
Arizona Community Deutsch Architecture Group KPMG Sun State Builders
Foundation Dibble Engineering KTAR SundutoEquiVmont
Arizona Office Technologies Dimkx Moving&Logistics KutakRook Company 5
0vnet Ensemble Real Estate Land Advisors Organization Superior Group
Balfour Beatty Construction Solutions Merit Partners Synergy Seven
Bank ofArizona Fervor Creative Midwestern University TuUwuvo
Bristol Global Mobility Globe Corporation MSS Technologies TmttPmpertiox
Brownstein Hyatt Goodmono Interior NkCThormu| Ultimate Staffing Services
FarborSohmok Structures OnOFinancial University of Advancing
Capital Group Companies Goodwill of Central Arizona Osborn Ma|odon Technology
Carefree Partners CPE Commercial Advisors PHXAmhitoctum Univitu
C|uriuxPartnom Green Card Fund The Plaza Companies Vo|oHoNingx
The Alter Group Hunt Construction Group Newmark Grubb
Applied Economics 10 Knight Frank
Butler Design Group John C. Lincoln Health Plant Solutions
Gallagher&Kennedy Network Vermx|and
Guided Therapy Systems McCarthy Building
Ho|uu|oa Scottsdale Office Companies
FY15 METRICS
THRESHOLD TARGET STRETCH
Payroll Generated $197,579,525 $217,337,478 $239,071,225
Number of Jobs 4,675 5,143 5,657
High-wage Jobs 2,450 2,695 2,964
Average High-wage Salary $51,026 $56,695 $62,365
Qualified Prospects 208 229 252
s
Qualified International Prospects 37 41 45
Emerging Tech Assists 10 12 14
Reach of Editorial Placements 183 M 201 M 221 M
FY15 BUDGET
JULY 1, 2014 - JUNE 30, 2015
Revenues FYI 3-14 Forecast %of Total FY i2014 Budget $Change Change
Public Funds $ 2,036,000 39.6% $ 2,246,500 41.8% $ 2,028,400 $ 218,100 10.8%
Private Funds 2,260,000 44.0% 2,550,000 47.4% 2,300,000 250,000 10.9%
New Pledge Revenue 350,000 6.8% 250,000 4.7% 250,000 0.0%
In-Kind Pledges 110,000 2.1% 59,400 1.1% 92,000 (32,600) (35.4%)
Special Events,Prog.&Spon. 377,000 7.3% 265,000 4.9% 240,000 25,000 10.4%
Other 8,000 0.2% 3,300 0.1% 5,000 (1,700) (34.0%)
Total Revenues $ 5,141,000 100.0% $ 5,374,200 100.0% $ 4,915,400 $ 458,800 9.3%
Operating Expenditures
1
Business Development 363,500 6.9% 444,200 8.4% 311,000 133,200 42.8%
Marketing 261,500 5.0% 258,500 4.9% 266,200 (7,700) (2.9%)
Research&Strategy 162,000 3.1% 265,100 5.0% 155,900 109,200 70.0%
External Relations 252,500 4.8% 84,400 1.6% 95,000 (10,600) (11.2%)
Resource Management 257,500 4.9% 212,900 4.0% 217,000 (4,100) 0.9%)
Personnel 3,212,000 61.3% 3,295,100 62.7% 3,342,800 (47,700) (1.4%)
Facilities 395,000 7.5% 434,200 8.3% 409,200 25,000 6.1%
In-Kind 110,000 2.1% 59,400 1.1% 91,000 (31,600) (34.7%)
Special Projects 223,000 4.3% 205,000 3.9% 130,000 75,000 57.7%
Total Expenses $ 5,237,000 100.0% $ 5,258,800 100.0% $ 5,018,100 $ 240,700 4.8%
Net Gain(Loss) $ (96,000) $ 115,400 $ (103,000) $ 218,100 (211.7%)
Less:Capital Expenditures (21,000) (10,000) (10,000)
Amortization of Deferred Rent (65,000) (64,300) (43,000) (21,300)
Add:Depreciation 30,000 31,000 25,000 6,000
Net Cash Flows (152,000) 72,100 (131,000) 203,100
Beginning Cash 1,802,000 1,6501000 1,726,000 (76,000)
Ending Cash $ 1,650,000 $ 11722,100 $ 1,595,000 $ 127,100
(1)Some reclassifications have been made in the current year
FY14 • '
MILESTONES
Road to Success
Adding a new dimension to our business
development approach,GPEC and eight
communities executed three successful •. • - •- • • - •
road shows to Silicon Valley,Vancouver, • _• • ••
B.C.,and Chicago.The road shows
provided direct engagement among
corporate decision-makers and GPEC's
mayors,board directors and EDDTs,and led
to 15 new prospects,seven leads and two
tech assists.
On a Global Stage , , •, _,
As the only U.S.Mayor invited to the World _
Economic Forum's Annual Meeting of the ' ' ' ' ' '=
New Champions in Dalian,China,Phoenix - •" = "• • - •" • - = • •
Mayor Stanton was given rare access to •- " •• • • • • - •
1,000 global companies and some of the • • • - •- - •• ••••
world's most prominent,influential leaders. • • • • • _ _ ••
Mayor Stanton and GPEC President and
CEO Barry Broome held one-on-one ' '
meetings with 22 C-level executives,giving
briefings on the Brookings Metropolitan
Business Plan,the Arizona Center-China
and other important regional initiatives.This
high-profile event generated three leads, ' '=' • ' • '
10 companies interested in participating • •" "• • • - • • ••�
in the metro business plan and more • •- • • •
than 800 million people reached through • - • • •- •
resulting editorial placements in the Wall • •• , •••• •
Street Journal,Bloomberg,CNBC Asia and
China's top business channels. '
Community Partnership Program
Launched to further enhance support for our • = • • • • • '• • •
communities,the Community Partnership •" • • ••" • • •
Program(CPP)provided open dialogue • •-• • •
between leadership from our municipalities _ •• • • • • • •_ _•
and GPEC to align current strategies • _ • • • • •• _I• _ _ •
in creating a more competitive region.
Productive discussion resulted in a closer
assessment of infrastructure,review of '•• •• • • ' = • ' •=
each community's economic development
strategy,and a need for connectivity to
local/national developers and REITs. In the
coming year,GPEC will launch a second
phase of the CPP to ensure progress with
each community is occurring.
\ Staying On Top
GPEC continues to maintain a national
reputation as a high-performing,well
• • economic development
3 organization, • top rankings and
recognition
DRIVESMagazine and Business Facilities.
�vFY15 METRICS
o Pipeline of qualified prospects
Connect with Top 50 Corporations 9 Pipeline of qualified
As a complement to our Market Intelligence model, international prospects
GPEC will identify 50 of the region's top corporate office o Total •- of •. created
and industrial users—companies that are not based in Number _
Arizona—and work to establish relationships between local • jobs
community leadership and companies' national leadership created
with the intent to identify areas of opportunity for new * Average high-wage salary 9
growth and expansion. o Payroll generated
Expand Investment Activities 9 Stakeholdersatisfaction
in China, Canada and Mexico with business attraction
GPEC and the Arizona Commerce Authority have contracted
with the Center of American States (CAS), which represents SUPPORTS
nine U.S. markets in China, to pursue investment for our STRATEGIC ■ ■
state. Represented as the Arizona Center-China, CAS
will encourage direct investment into Arizona, as China's
companies are expected to employ between 200,000 and 9 Attraction
400,000 Americans in the next five years. Since Canada
represents one-third of GPEC's international prospects, we International
will pursue investment interest from the provinces of Alberta o Regional Brand
and British Columbia, hosting road shows in top Canadian * GPEC markets. And with countries in the Eurozone experiencing Brand
an economic recovery, GPEC will target an outbound
technology investment strategy for Western Europe. Finally,
GPEC will continue to leverage its network of international
multipliers through domestic sales missions and support
the collaborative efforts to establish a trade and investment
office in Mexico City.
COMPETITIVENESS
MILESTONES
Gaining Velocity Guide new, strategic business opportunities through
broad geographic and industry trend analyses
public
the call to pivot from an economy reliant Evaluate targeted, sound economic development programs
upon consumption-based industries that enhance regional and state competitiveness
retail,construction . . one
progressdriven by advanced industries.Much
Metropolitan . .
conductingFY15 ACTION ITEMS
economyand identifying specific strategies that will
transform Greater Phoenix's
in the next 10 years.The plan will focus Launch Velocity- the Metropolitan Business Plan
on to Transform the Greater Phoenix Economy
commercialization,develop
human capital,upgrade capacityBy providing technical and external relations support, GPEC
environment for entrepreneurs, will help drive the efforts to launch Velocity, the Metropolitan
connectivityBusiness Plan, through a public rollout in the fall of 2014. Velocity
10entrepreneurs o global markets to promote represents an unprecedented effort to move Greater Phoenix onto
export growth. new economic footing, transforming Greater Phoenix's economy
Global Exchange of Best Practices to be a global force for innovation and technology by 2025.
PhoenixThe •was selected as one of
eight to • _ in a four-year Focus Market Intelligence on Electronics
actionlearning and develops GPEC will assess the depth of electronics companies in the
and implements regional strategies to region, broadening our market intelligence program to its third
encourage global trade and
• • _ct Brookings
investment industry focus. Researching these companies in support of our
A joint Institution
• JPMorgan Chase,the Globalcommunities' respective retention and expansion programs, GPEC
designedInitiative(GCI)is to strengthen will specifically evaluate next-generation electronics technology
metroskey becoming opportunities, identified through Velocity, which span several of
more ' ' to the region's existing key industries.
facilitate content d draw 300 attendees
. . GCI forumprominent
• foreign policy •_ like former U.S. Execute Global Cities Initiative
Secretary'_ - = ' As a joint project of the Brookings Institution and JP Morgan
U.S.Trade epresentative Carla Hills ' Chase, the Global Cities Initiative (GCI) is designed to equip
U.S.Secretary. .
challenged city and metro leaders with tools to become more globally
advocate for increased export activity. connected and competitive. Greater Phoenix is among nine other
regions selected as a Global City and stands much to gain from
this initiative. Through participation in GCI, the region will not
only benefit in the exchange of information with other markets,
but also our metro will work alongside Brookings and JP Morgan
Chase to develop a plan that will increase export
and trade activity.
Plans to Grow
Advanced Manufacturing
For the first time ever,GPEC secured a
` ' . �„-, federal grant to develop a strategic plan
`' - for the implementation of an Innovation
6 and Commercialization Center for
�� Advanced Manufacturing.Funded by the
�!'� �. _ _ �Y T U.S.Department of Commerce Economic
- � �: Development Administration,the Investing
• - ~ - -_------ -- - -- in Manufacturing Communities Partnership
'7�" � I ��� � was designed to accelerate the resurgence
i i � ; � of manufacturing across the country.In
c ' ' � � partnership with ASU,GPEC is exploring
a plan for an innovation center focused
on sensor technologies,leveraging ASU's
capabilities and other industry competencies
within the region.
Pursue Grant Opportunities DRIVES THESE
While GPEC -s not historically sought , - FY15 METRICS
org w nts the
dollars
• •mic Development A• •2013. Pursuit of grants at both the federal level and through
private foundations will be a focus in the coming year.
Pipeline of qualified prospects
• Average high-wage salary
Federal grants place emphasis on • .•• . •n among • Emerging technology assists
public and private entities, - • GPEC has the reach to work
with our partners in aligning around common economic
• Competitive position progress
development priorities.
Convene Executive Mission SUPPORTS THESE
to Washington, D.C. STRATEGIC PILLARS
garneredBuilding on the effective program and relationships
from the 2013 Executive Mission, • Market Intelligence
to
Washington, • - of 2015. The focus of
mission will be concentrated on seeking federal resources
Next Generation
• support from • • - government agency and • Attraction
workforceindustry partners for innovation, industry-led R&D centers,
STEM ,nd education pipeline, exports, International
• entrepreneurship. Regional Brand
• GPEC Brand
• Capital Markets/
Venture Formation
MARKETING & COMMUNICATIONS
MILESTONES
LeadingMarket and promote region's strengths and assets in
Arizona 062 had potential new markets using non-traditional tools
to negatively impact current and future
business expansion to Greater Phoenix. Continue to position GPEC as a reliable resource for
While GPEC closely monitored '' stakeholders, policy-makers, citizens and media on key
movedboard leadership .
formal veto request _rnor.GPEC economic development issues
organizationwas the first business . call for
a veto,which appearances on CNN,
NBC Nightly News and Bloomberg TV,
where President • CEO Barry Broome FY15 ACTION ITEMS
..
Followingveto,
a letter to Governor Brewer,thanking her for Target Lead-generation Activity for Business Development
her continued leadership and sound, In the next year, GPEC will refine existing search engine
pro-business policies. optimization activities to drive direct leads for GPEC's business
development team to target. We will explore new online marketing
12 Marketing • tools that generate measurable outcomes and stir qualified
effortIn an audiences,- interest among companies thinking of expanding their operations.
targete' international GPEC This approach will enable GPEC to capture leads that are
conducted
entryalready serve as points of • _ engaging with our digital assets and work to convert them
companies like . . ... American into prospects.
Chamber of Commerce in Shanghai
CanadaDeliver New Tools in Marketing Region
banner ads,GPEC's international toolkit and
custom mailers,GPEC made notable strides GPEC will further enhance our social media strategy by
in bringing awareness Phoenix strengthening the marketing partnership with business and
locationas an investment tourism organizations throughout the state in an effort to enhance
China and Canada. the region's brand through our own citizens. Specifically, this
partnership will utilize the newly launched Splicity app to develop
Seeing Results citizen video content that further promotes our region's lifestyle
After last year's launch of and business culture.
California 100 campaign and ongoing
efforts by our business development team Revamp GPEC's Online Presence
to cultivate •
celebratedThe design of GPEC's social media sites will be updated to
advancedManagement,an ensure continuity of the organization's brand, and content will
services company bringing 50 high-wage be developed more strategically in order to replicate and extend
jobs,and a tech assist. across all online channels. GPEC will also develop a plan to
engage investors in reiterating key business and marketing
messages within their respective social media accounts to
broaden visibility for the region to new audiences. Finally, GPEC
will seek new marketing tools to more directly create dynamic
interaction with end users on gpec.org.
Targeted Outreach
D ' Leveraging the built communications
platforms of LinkedIn and Twitter,GPEC's
worked to engage marketing and business development teams
profile
based
• • • .
reffectivelyintegrating _ exchange.region's value
• ... .
growingvery unconventional way,but that is
acceptable,widely :. early and
• approach.
DRIVES THESE
FY15 METRICS
'1
Promote County Competes
Serving as the economic development arm of Maricopa e Pipeline of qualified prospects
County, GPEC has conducted a series of meetings with * Pipeline of international prospects
several key County departments with the objective of
learning more about how we can promote Maricopa 9 Total - of editorial
County's services and partnership capabilities to prospective placements 13
companies considering an expansion or relocation. Known
as the County Competes Program, GPEC will develop a SUPPORTS
content-specific marketing presence to raise awareness
among our clients on the County's proactive and rapid STRATEGIC PILLARS
willingness to meet business needs.
Support Super Bowl XLIX •
As in 2008, GPEC will partner with the Arizona Commerce e Regional Brand
Authority and our member communities to support the * GPEC Brand
Arizona Super Bowl Host Committee in implementing a host
program targeting C-level executives around Super Bowl
XLIX. This four-day program will showcase the business,
innovation and lifestyle opportunities that exist in Greater
Phoenix and facilitate dialogue among the region's CEOs
and community leaders with CEOs and executives from
major brand enterprises, up-and-coming companies and
Fortune 1000 firms.
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.
................GOVER_NANGE................................................................................................................................................................................................................................................................................................................................................._
Board of Directors
Provides effective oversight of the organization and helps shape GPEC's influence as a regional thought leader.
Executive Committee
Acts on behalf of the Board of Directors, advising on strategic direction and overall performance of annual goals.
Board-Level Committees
« Performance Committee
Evaluates the performance of the organization and the President& CEO.
14 « Nominating Committee
Serves to nominate the At-large Directors and Board officers, and recommends candidates
to the board for approval, based on nominations received from mayors of member communities.
Audit Committee
Assesses internal controls and oversees auditors and the annual audit.
Finance Committee
Sets financial objectives for the organization and recommends the annual budgets as part of the
Action Plan.
t
7
LEADERSHIP COUNCILS AND AMBASSADORS _.
................A.D.V.I..S.O..R.Y GROUPS..........................................................................................................................................
The collective professional expertise of GPEC's councils At the foundation of GPEC's
and advisory groups helps shape the organization's key engagement activity are
initiatives, leverages connections to further business Ambassadors, whose broad range
development and competitiveness efforts, and supports of professional backgrounds lend
implementation of programs. critical assistance to regional
business-climate improvement and
Community Building Consortium* business development efforts.
Applies collective commercial real estate experience to help
capture business development opportunities and increase Ambassadors
the region's transactional capabilities. Help communicate, educate and
inform stakeholders, policy-makers,
Economic Development Directors Team citizens and media about key regional
Advises CEO and staff on local economic development economic development issues.
trends, offers insight on pulse of city/town council and
partners with GPEC to finalize location decisions. Certified Ambassadors
Ambassadors who have satisfied
Education Council* program criteria, qualifying them
Reviews workforce skills gaps relative to advanced to serve as an extension of the
industries and identifies education-to-career path solutions
GPEC team. Certified Ambassadors i5
are given unique opportunities to
GPEC Next Leadership Council* interface more closely with GPEC's
Ensures the organization operates in a model that is staff and board on program initiatives
innovative, integrated and proactive. and mission-critical efforts.
Healthcare Leadership Council* Ambassador Steering Committee
Works to advance a healthcare initiative for the region Advises on strategic direction
and establish Greater Phoenix as a center of excellence of Ambassadors Program;
anchored by innovative assets and world-class leadership. designs activities relevant to and
in support of GPEC's mission;
International Leadership Council* serves as a sounding board for
emerging initiatives and supports
Advises on the direction and implementation of GPEC's implementation of programs.
foreign direct investment efforts, and provides guidance to
increase program impacts. *Eligibility determined by investment
Mayors and Supervisors Council level or strategic appointment
Convenes mayors of GPEC's municipalities and County
supervisors for regular updates on strategic initiatives.
Resource Development Committee
Guides resource development efforts and executes
fundraising strategies to ensure sustainability of GPEC's
programs and services.
4P
Greater Phoenix
ECONOMIC COUNCIL
2 N.Central Ave.,Suite 2500,Phoenix,AZ 85004
Phone:602.256.7700 1 Fax:602.256.7744 1 www.gpec.org
greater phoenix economic @gpec facebook.com/gpec4jobs gpecgreaterphoenix
council(groups) wouo-
EXHIBIT B
GPEC PERFORMANCE MEASURES
FY 2014-2015
Specific performance targets as established by the GPEC Executive Committee and
Board of Directors:
1. Payroll Generated $197.5M
2. Total Number of Jobs Created 4,675
3. Total Number of High-Wage Jobs 2,450
4. Average High-Wage Salary $51,026
5. Emerging Tech Assists 10
6. Number of Qualified Prospects 208
7. Number of Qualified International Prospects 37
8. Total Reach of Editorial Placements/Exposures 183M
GPEC continues to target high-wage industries Advanced Business Services;Advanced Manufacturing;Aerospace
&Aviation;Logistics&E-Commerce;Mission Critical;Emerging Technologies(including CyberSecurity&
Educational IT);Healthcare&Biomedical;Renewable Energies.
EXHIBIT C
TARGETED INDUSTRIES
FY2014-2015
GPEC and our member communities have identified targeted industries on a local and regional level,
incorporating these industries into a regional economic development plan. For fiscal year 2014-2015,
GPEC will continue its emphasis on the following: Advanced Business Services;Advanced
Manufacturing;Aerospace&Aviation;Logistics&E-Commerce; Mission Critical; Emerging
Technologies(including CyberSecurity&Educational IT); Healthcare&Biomedical; Renewable
Energies.
Member communities will target the following:
Apache Junction
Business services; environmental technologies research and manufacturing; standard and advanced
manufacturing;regional and corporate centers;medical institutions and/or associated satellite operations;
mining support facilities;resort/tourist-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/distribution; small business/incubator; aerospace/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
El Mirage
Business Services; standard and advanced manufacturing;transportation; warehousing/distribution; heavy
industrial; food, fiber,and natural products; aerospace aviation
Fountain Hills
Advanced business services(professional,technical,and scientific services including finance and
insurance); healthcare,medical,bio-life sciences and wellness;medical and educational institutions; arts,
entertainment and recreation;retail
Gila Bend
Clean technology(manufacturing/central station generation/R&D);
warehousing/transportation/distribution; military supply chain;tourism/hospitality; standard
manufacturing; agriculture/agri-biotechnology; food, fiber and natural products; aerospace/aviation;
heavy industrial
Pagel of 3
Gilbert
Corporate/regional headquarters; advanced business services; information communication technology
(R&D, services);next generation electronics(sensors,optics); aerospace and defense(satellite,FAA
repair); life and health sciences(R&D, oncology,regenerative medicine, cardiovascular,
pharmaceuticals/neutraceuticals); clean technology and renewable energy(R&D, algae,biodiesel)
Glendale
Advanced business services; aerospace and defense; education; healthcare/medical;hospitality;renewable
energy;technology
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
Maricopa(City)
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/Defense and Tourism/Technology
Secondary target industries: Advanced business services; standard and advance manufacturing;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
Bio-life sciences; advanced business services; manufacturing; sustainable industries and enterprises;
higher education; world business,trade and FDI; and established/emerging enterprises;healthcare
Queen Creek
Aerospace and aviation;health and wellness; arts, culture and experience; education; clean and renewable
energy and water; family/youth&children activity destinations
Scottsdale
Bio-life sciences; advanced business services; technology and innovation(including ICT and
entrepreneurship/emerging enterprises); hospitality/visitor trade and commerce
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 materials/plastics; senior industries; clean tech,renewable energy and manufacturing
Page 2 of 3
Tolleson
Aerospace and advanced materials; food,fiber and natural products;transportation/distribution; standard
manufacturing; environmental technology; sustainability
Wickenburg
Standard manufacturing; transportation&distribution;rail services; mining support facilities;renewable
energy;healthcare and medical; educational institutions; tourism and filmmaking; expanded retail
operations
Youngtown
Youngtown is in the throes of developing a commerce park. The park will target second-stage small
manufacturers with the some related retail and offices.
Page 3 of 3
EXHIBIT D
FY 2014-2015
REPORTING MECHANISM FOR CONTRACT FULFILLMENT
Monthly Activity Report - Month, Year
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;Advanced Manufacturing;Aerospace
&Aviation;Logistics&E-Commerce;Mission Critical;Emerging Technologies(including CyberSecurity&
Educational IT);Healthcare&Biomedical;Renewable Energies
KEY BUSINESS ATTRACTION ACTIVITIES AND OTHER GPEC ACTIVITIES
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
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) calendar 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 Arizona 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
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
Exhibit F
Regional Cooperation Protocol Policy
Greater Phoenix Economic Council and Economic Development Directors Team
The foundation of this policy is built on trust and the spirit of regional cooperation among the entities involved.
GPEC and the Economic Development Directors of its member communities agree and acknowledge that it is
important that they work together as partners on projects involving the communities which GPEC represents,
regardless of the source of the lead, as follows:
1. Demonstrate a commitment to the positive promotion of the Greater Phoenix, specifically, GPEC
member communities,as a globally competitive region.
2. Maintain the highest standards of economic development prospect handling,including confidentiality,
without jeopardizing a prospect's trust to secure the probability of a regional locate. Partners agree to
respect the prospect's request for confidentiality but also agree to notify each other as to the existence of
a project with a confidentiality requirement when able and shall make a good-faith effort to involve the
appropriate state,regional or local partners at the earliest possible time.
3. Unless otherwise restricted, agree to coordinate through GPEC for any prospect considering a project in
Maricopa County or in any of the communities that GPEC represents,understanding that GPEC is in a
unique position to represent and speak on regional economic development issues and on characteristics
of the region's economy. Likewise, GPEC acknowledges that communities are in the best position to
speak about local incentives and efforts surrounding the local economy.
4. For projects that originate with a GPEC member community, GPEC will be available for confidential
research access,topical expertise or as a service provider,to add value to the community in securing the
project.Additionally, GPEC will not e-track the project unless the community lead makes such a
request to do so.
5. Provide accurate and timely information in response to specific requests by all prospects. When a client
has narrowed sites to specific GPEC member communities, GPEC will make a good-faith effort to
inform those affected EDDT members first. EDDT members agree to provide information solely on
their own community when the information requested is site-specific (i.e., cost of land,taxes,
development fees,utility availability and cost,zoning process timing,permit timing and local
incentives). When site-specific information related to other GPEC communities is requested,EDDT
members agree to(i) direct GPEC prospects back to GPEC or(ii) direct non-GPEC generated prospects
to contact the affected communities directly,and as a courtesy,contact the affected communities.
6. Agree that regardless of the lead source,public locate announcements shall be coordinated among the
company, GPEC member community, and GPEC to reflect inclusiveness and cooperation of all partners
(subject to any confidentiality requirements).
7. GPEC and EDDTs will advocate for a robust operating budget for the state economic development
agency, and champion sound statewide economic development programs and policies.
8. Discourage the proactive offering of local,municipal financial incentives for existing jobs to companies
with current operations in another GPEC community.
9. Inform GPEC member community when a company visits or physical site visit within that community
will occur. Economic Development Directors will be the primary point of contact for the company when
community information is needed.
1
10. Agree that the consideration of a future community to GPEC's membership will be brought before
EDDT for discussion in advance of any board consideration. EDDT will make a recommendation on the
addition of a new community to GPEC's President and CEO.
11. Formalize a process to convene GPEC and Economic Development Directors of GPEC member
communities biannually,and cooperate in the exchange of information and ideas reflecting practices,
procedures and policies relating to prospect handling and regional economic development.
12. Work collectively to maintain a high level of trust and integrity by and between GPEC and the
Economic Development Directors of GPEC member communities,utilizing differing views as an
opportunity to learn.
13. When conducting market intelligence initiative objective, GPEC staff will coordinate with EDDT to
ensure coordination and communication.
14. When a PIF is issued by the state economic development agency GPEC will coordinate the region's
response. All PIF submissions will be directed to GPEC's attention and GPEC will assemble the
response and return to the state economic development agency.
15. It is understood GPEC will or may host annual executour(s) and/or other marketing familiarization
tour(s)to promote the regional communities. GPEC will make every attempt to provide as much
interaction time between the executour guests and EDDTs. It is understood EDDTS will inform GPEC
of any upcoming executour(s)and/or other marketing familiarization tours scheduled by their office.
16. Partners agree to enter into a mediation process if there is evidence that this Protocol has not been
observed in a material respect or a professional conflict arises that cannot be settled. This mediation
process will be convened by the EDDT Chair,who may, at his/her discretion, consult or involve
GPEC's President and CEO in addition to others with topical expertise central to the conflict.
2
►P�"E�c�, City of Apache Junction, Arizona 300 E Superstition
Boulevard
� 0 Agenda Item Cover Sheet Apache Junction,AZ
85119
Agenda Item No. 3.
'Piz File ID: 14-322
Sponsor: Donna Meinerts Agenda Date: 6/30/2014
Index: In Control: City Council Work Session
Presentation and discussion on Arizona Department of Revenue (ADOR) and Arizona League
of Cities and Towns Agreement obligating funds for development of software functionality and
services related to implementation and compliance with transaction privilege tax simplification
legislation and retroactive authorization of payment to ADOR in the amount of$3,120.00 for
online portal modification costs.
In 2013, the state legislature modified the law relating to collection and reporting of transaction
privilege and affiliated excise taxes (Laws 2013, Ch. 255). This law requires that starting
January 1, 2015, transaction privilege taxes owed to cities and towns must be paid through the
Arizona Department of Revenue (ADOR). ADOR is obligated pursuant to A.R.S. §42-5015 to,
among other things, modify its electronic system to enable tax payments and tax reporting to
cities or towns through ADOR's online portal. The law shifts the cost of modifying the online
portal to cities and towns that did not have an intergovernmental tax licensing/collection/audit
agreement in place with ADOR as of January 1, 2013. The City of Apache Junction is one of
approximately 18 municipalities that did not have such an agreement with ADOR by the 2013
deadline. On behalf of these entities, the Arizona League of Cities and Towns has conferred
with ADOR on the amount owed to ADOR for the associated online portal modification costs.
The agreement between ADOR and the League is attached for council review and
acknowledgement which will effectuate the City of Apache Junction's required contribution in
the amount of$3,120.00.
City of Apache Junction,Arizona Page 1 Printed on 611512026
AGREEMENT
BETWEEN THE ARIZONA DEPARTMENT OF REVENUE
AND THE LEAGUE OF ARIZONA CITIES AND TOWNS
THIS AGREEMENT is entered into as of this day of June, 2014 by and between the
ARIZONA DEPARTMENT OF REVENUE ("ADOR") and the LEAGUE OF ARIZONA CITIES
AND TOWNS ("League"). The parties to this Agreement may collectively be referred to as the
"Parties" or individually as a"Party".
RECITALS
WHEREAS, ADOR is authorized pursuant to Arizona Revised Statute ("A.R.S.") § 42-
6001(A) to collect and administer any transaction privilege and certain other taxes imposed by any
city or town, and to enter into intergovernmental contracts or agreements to provide a uniform
method of administration, collection, audit and licensing of transaction privilege affiliated excise
taxes imposed by the state or cities or towns.
WHEREAS, ADOR is authorized pursuant to A.R.S. § 42-6001(B) to enter into agreements
with Arizona cities and towns that levy transaction privilege and affiliated excise taxes to provide for
unified or coordinated licensing, collection and auditing programs for such taxes levied by cities and
taxes levied pursuant to Chapter 5 of Title 42 of the Arizona Revised Statutes.
WHEREAS, Arizona cities and towns are authorized pursuant to A.R.S. § 42-6001(B)to enter
into agreements with ADOR to provide for unified or coordinated licensing, collection and auditing
programs for such transaction privilege and affiliated excise taxes levied by such cities and towns and
for taxes levied pursuant to Chapter 5 of Title 42 of the Arizona Revised Statutes.
WHEREAS, ADOR is authorized pursuant to A.R.S. § 42-1004(A)(4) to contract with or
assist other departments, agencies or institutions of the state, local, Indian tribal and federal
governments in the furtherance of their purposes, objectives and programs.
WHEREAS, ADOR is authorized pursuant to A.R.S. § 42-1004(A)(5) to accept grants,
matching funds and direct payments from public or private agencies for the conduct of programs that
are consistent with the overall purposes and objectives of ADOR.
WHEREAS, ADOR is obligated pursuant to A.R.S. § 42-5015 to, inter alia, modify its
electronic system so that a taxpayer who is required to pay any transaction privilege and affiliated
excise taxes to the State of Arizona and/or a county or municipality of Arizona may report and pay
the required tax through ADOR's online portal.
WHEREAS, pursuant to A.R.S. § 42-5015, allows those cities and towns that did not have an
intergovernmental contract or agreement as of January 1, 2013 with ADOR to provide for unified or
coordinated licensing, collection and auditing programs, to contribute money and resources to the
development of the electronic system if they choose to do so.
WHEREAS, eighteen cities or towns that did not have an intergovernmental contract or
agreement as of January 1, 2013 with ADOR to provide for unified or coordinated licensing,
collection and auditing programs as provided for in A.R.S. § 42-6001(B) recognize the need to
contribute to ADOR's costs in the development of IT functionality and services related to the
implementation and compliance with transaction privilege simplification legislation. The IT
functionality and services include,but are not limited to, the development of a financial reporting
system as required by those cities and the conversion of taxpayer information into the ADOR's
transaction privilege and affiliated taxes administration system. Those cities and towns, with the
exception of Phoenix that will make a direct contribution to ADOR, wish to make a payment through
League to ADOR pursuant to A.R.S. § 42-5015 to assist ADOR in covering its costs associated with
ADOR's obligations to implement the transaction privilege tax simplification legislation.
AGREEMENT
NOW, THEREFORE, in consideration of the foregoing, ADOR and League hereby agree as
follows:
1. Under A.R.S. § 42-5015, League will pay ADOR $167,960 and Phoenix will contribute
$40,000 for use by ADOR for IT resources in fulfillment of ADOR's obligations under A.R.S.
§ 42-5015. The amount to be contributed by each city or town is set forth in Addendum A.
2. ADOR will provide a progress report to League in an agreed-upon format on a quarterly basis
until funds paid under this Agreement are fully expended. ADOR agrees that funds provided
by League under this Agreement shall only be used and expended on the development of IT
functionality and services related to the implementation and compliance with transaction
privilege tax simplification legislation.
3. League hereby warrants that each city or town has approved this Agreement and authorized
the disbursement of funds as set forth in Addendum A.
4. This Agreement shall be governed by and construed in accordance with the substantive law of
the State of Arizona.
5. The Recitals set forth above are acknowledged by the Parties to be true and correct and are
hereby incorporated in this Agreement fully as though set forth herein.
6. This Agreement is subject to, and may be terminated by either Party in accordance with
A.R.S. § 38-511.
7. This Agreement constitutes the entire understanding of the Parties and supersedes all previous
representations, written or oral. The Agreement may not be modified or amended except by a
written document signed by authorized representatives of each Party.
8. Each Party hereby warrants to the other that the individuals executing this Agreement on
its behalf are authorized and empowered to bind said Party or Parties to this Agreement.
IN WITNESS WHEREOF, the Parties hereto have executed this Agreement as of the date first
above written.
Arizona Department of Revenue League of Arizona Cities and Towns
David Raber Ken Strobeck
Director Deputy Director
ADDENDUM A
CITY/TOWN SHARE
APACHE JUNCTION 3,120
AVONDALE 9,880
BULLHEAD CITY 3,120
CHANDLER 16,120
DOUGLAS 1,560
FLAGSTAFF 4,680
GLENDALE 16,120
M ESA 24,440
NOGALES 1,560
PEORIA 9,880
PHOENIX 401000
PRESCOTT 41680
SCOTTSDALE 24,440
SEDONA 3,120
SOMERTON 520
TEMPE 16,120
TUCSON 28,080
W I LLCOX 520
TOTAL: $ 207,960