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HomeMy WebLinkAbout5650AGENDA BILL CITY OF BREMERTON au CITY COUNCIL SUBJECT: Tourism Promotion Services Study Session Date: January 25, 2017 Agreement with Bremerton Historic Ships COUNCIL MEETING Date: February 1, 2017 Association in the amount of $55,000.00 Department: City Clerk Presenter: Shannon Corin Phone: (360) 473-5323 SUMMARY: The Lodging Tax Advisory Committee recommended lodging tax funds be granted to applicants in 2016 for 2017 funds. City Council approved recommendations at the Council Meeting held August 3, 2016. The Council adopted the 2017 budget with Ordinance No. 5315 which included in the approved recommendations. Pursuant to BMC 2.76.100, contracts over $25,000.00. require Council approval. ATTACHMENTS: Tourism Promotion Services Agreement FISCAL IMPACTS (Include Budgeted Amount): $55,000.00 is budgeted in the Lodging Tax Fund STUDY SESSION AGENDA: o No Presentation ❑ Full Presentation STUDY SESSION ACTION: o Consent Agenda ❑ General Business ❑ Public Hearing RECOMMENDED MOTION: Move to approve the Tourism Promotion Services Agreement with Bremerton Historic Ships Association in the amount of $55,000.00 and authorize the Mayor to finalize and execute the agreement with substantially the same terms and conditions as presented. COUNCIL ACTION: [?(Approve ❑ Deny ❑ Table ❑ Continue ❑ No Action Form Updated 01/07/15 TOURISM PROMOTION SERVICES AGREEMENT Bremerton Historic Ships Association The City of Bremerton ("City") and Bremerton Historic Ships Association ("Organization"), referred to collectively as the "Parties," enter into the following Agreement for Tourism Promotion services: I. Scope: The Organization shall provide tourism promotion services for the City. Tourism promotion shall mean activities and expenditures designed to increase tourism to the City. Tourism promotion activities may include, but are not limited to, advertising, publicizing, or otherwise distributing information for the purpose of attracting and welcoming tourists to the City. The Organization shall provide to the City a work plan attached hereto as Exhibit A setting forth its goals and objectives for successful tourism promotion. The Organization shall complete and submit to the City the Lodging Tax Reporting form by the deadline in February of the following year. II. Term: This agreement shall commence on January 1, 2017 and shall continue in full force and effect until December 31, 2017 unless terminated earlier pursuant to Section IX of this Agreement. III. Compensation: In consideration of the services provided pursuant to this Agreement City shall pay the Organization an amount not to exceed Fifty -Five Thousand dollars ($55,000.00) for Tourism Promotion services. However, funding for this Agreement is subject to the actual Hotel/Motel Tax funds received by the City. If Hotel/Motel Tax receipts are lower than budgeted funding may be decreased. The Organization shall submit quarterly billing invoices showing the period and services performed by the Organization during the quarter. Upon receipt of a conforming billing invoice, the City shall promptly process payment. If a billing invoice does not conform to this Agreement, the City may withhold payment until the invoice is brought into compliance. Such withholding does not relieve the Organization of its obligations under this Agreement. Failure by the Organization to submit all conforming billing invoices by January 15a' after the expiration of this Agreement may result in the forfeiture of remaining unbilled compensation. The Organization shall not perform work beyond the Scope of Work, nor shall be compensated for such work, unless the Scope of Work or amount of compensation is modified pursuant to this Agreement. IV. Relationship of Parties: The Organization represents that it is skilled in the matters addressed in the Scope of Work and is performing independent functions and responsibilities within its field of expertise. The Organization and its personnel are independent contractors and not employees of the City. The Organization and its personnel have no authority to bind the City or to control the City's employees and other contractors. None of the benefits provided by the City to its employees, including, but not limited to, compensation, insurance, and unemployment insurance are available from the City to the employees, agents, representatives, or sub -consultants Bremerton/BHSA Page 1 of 4 of the Organization. Organization will be solely and entirely responsible for its acts and for the acts of the Organization's agents, employees, representatives and sub -consultants during the performance of this Agreement. The City may, during the term of this Agreement, engage other independent contractors to perform the same or similar work. As an independent contractor, the Organization is responsible for its own management. The City's administration and enforcement of this Agreement shall not be deemed an exercise of managerial control over Organization or its personnel. As an independent contractor, Organization is responsible for payment of all taxes and licensing fees necessary to perform its obligations under this Agreement. These taxes and fees include but are not limited to State industrial insurance, Business & Occupation, State professional licensing, and City business licensing. If any taxes or fees due the City have been declared delinquent, the City may withhold the delinquent amount, plus any additional charges arising from the delinquency, from any payments due Organization. V. Indemnification.: Organization shall defend, indemnify and hold the City, its officers, officials, employees, agents and volunteers harmless from any and all claims, injuries, damages, losses or suits, including all legal costs and attorney fees, arising out of or in connection with the performance of this Agreement, except for that portion of the injuries and damages caused by the City's sole negligence. The City's review or acceptance of any of the work when completed shall not be grounds to avoid any of these covenants of indemnification. The provisions of this section shall survive the expiration or termination of this Agreement. VI. Insurance: Prior to and during the performance of the work covered by this Agreement, Organization shall provide the Risk Manager for the City with evidence that it has obtained and maintains in full force and effect during the term of this Agreement comprehensive general liability insurance coverage of at least $500,000.00 per occurrence. In the event Organization organizes, promotes or sponsors an event involving the sale or consumption of food or alcoholic beverages, Organization shall also provide evidence that it has obtained products liability and liquor liability insurance of at least $500,000.00 per occurrence, for each event. The City shall be named as additional insured and it shall be an affirmative obligation upon Organization to advise the City's Risk Manager by fax at (360) 473-5161, or by certified mail, return receipt requested to City of Bremerton, attn: Risk Management, 345 6 1 Street, Suite 600, Bremerton, WA 98337 within two days of the cancellation, suspension or substantive change of any insurance policy set out herein, and failure to do so shall be construed to be a breach of this Agreement. The Organization's insurance shall be primary and non-contributory insurance as respects the City and shall contain a waiver of subrogation against the City for claims arising out of any operations, liabilities and obligations to which coverage applies. Bremerton/BHSA Page 2 of 4 VII. General Conditions: A. Reports and Information: When requested by the City, Organization shall furnish periodic reports and documents on matters covered by this Agreement. The reports and documents shall be furnished in the time and form requested. Organization shall maintain accounting records in accordance with Generally Accepted Accounting Principles (GAAP) to substantiate all billed amounts. B. Work Performed at Organization's Risk: Organization shall take all precautions necessary and shall be responsible for the safety of its employees, agents, and sub -consultants in the performance of the work hereunder and shall utilize all protection necessary for that purpose. All work shall be done at Organization's own risk, and Organization shall be responsible for any loss of or damage to materials, tools, or other articles used or held for use in connection with the work. C. Place of Work: The Organization shall perform the work authorized under this Agreement at its offices in Bremerton, Washington. Any necessary meetings with the City staff shall take place at the City's offices, or at locations mutually agreed upon by the parties. D. Entire Agreement: This Agreement and its Exhibits constitutes the entire agreement between the Parties, and the Parties acknowledge that there are no other agreements, written or oral, that have not been set forth in the text of this Agreement. E. Severability: Should any part of this Agreement be found void, the balance of the Agreement shall remain in full force and effect. F. Modification: This Agreement may only be modified by written instrument signed by both Parties. G. Written Notices: All communications regarding this Agreement shall be sent to the parties at the addresses listed below by registered or 1 st class mail, or by personal service, and shall be deemed sufficiently given if sent to the addressee at the address stated in this Agreement or such other address as may be hereafter specified in writing. City Address Organization Address City Clerk John Hanson 345 6h Street, Suite 600 300 Washington Beach Avenue Bremerton, WA 98337 Bremerton, WA 98337 H. Waiver: Failure to enforce any provision. of this Agreement shall not be deemed a waiver of that provision. Waiver of any right or power arising out of this Agreement shall not be deemed waiver of any other right or power. I. Non -Waiver of Breach: The failure of the City to insist upon strict performance of any of the covenants and agreements contained herein, or to exercise any option herein conferred in one or more instances shall not be construed to be a waiver or relinquishment of said covenants, agreements or options, and the same shall be and remain in full force and effect. BremertonBHSA Page 3 of 4 J. Compliance with Laws: Organization shall comply with all applicable Federal, State, and local laws in performing its obligations under this Agreement. '-K. Choice of Law and Venue: This Agreement shall be interpreted according to the laws of the State of Washington. Any judicial action to resolve disputes arising out of this Agreement shall be brought in Kitsap County Superior Court. L. Attorneys' Fees: In the event of litigation to enforce any of the terms or provisions herein, each party shall pay all its own costs and attorney's fees. M. Assignment: Any assignment of this agreement by the Organization without the written consent of the City shall be void. V111. Nondiscrimination: Organization shall not discriminate in employment or services to the public on the basis of race, color, national origin, sex, religion, age, marital status, sexual orientation or disability, except for employment actions based on bona fide occupational qualification. IX. - Termination: This Agreement may be terminated by either party for convenience upon thirty (30) days written notice to the other party, or for cause if either party fails substantially to perform through no fault of the other and does not commence correction within five (5) days of written notice and diligently completes the correction thereafter. Upon such termination, City will be entitled to reports showing the status of all services Organization is providing to the City as of the effective date of termination. X. Termination of Other Contracts. This Agreement shall supersede all prior Agreements between the parties relating to the use of Hotel/Motel Tax. CITY OF BREMERTON BREMERTON HISTORIC SHIPS ASSOCIATION By: its: Date: Approved as to form: Attest: Brem56 ity orney City Cleric Bremerton/BHSA Page 4 of 4 Tourism Promotion Services Agreement Attachment A Bremerton Historic Ships Association Work Plan a. The Seattle Waterfront: BHSA is spearheading an effort to encourage tourists who are already in Seattle to get on the Seattle -Bremerton Ferry, take a scenic cruise to Bremerton and visit the USS Turner Joy, Bremerton Naval Museum, and other local attractions. The BHSA marketing committee is leading this effort, working with other local organizations. As part of this effort, the BHSA has joined Visit Seattle and Seattle Premier Attractions and are actively involved in marketing Bremerton as an easy and affordable day trip from Seattle or a great weekend stay for tourists. b. King 5 television advertising: USS Turner Joy produced three television commercials (:15, :30, :60 seconds) featuring a family riding the ferry, exploring the local fountain parks, walking on the boardwalk, and touring the USS Turner Joy. The first set of commercials are running through May into early June. Additionally, the ad purchase includes King 5 Evening Magazine day in Bremerton. The TV shoot will be on June 2, 2016 featuring local business, shops, and restaurants with USS Turner Joy as the focus. These commercials will also be run on KOMO 4 after the election season. c. Internet/Website Links: The entire USS TURNER JOY website was redesigned to make it easier for trip planners to find us while also building links to other tourist related attractions so potential visitors can see that Bremerton offers an array of interesting and affordable attractions. The new website is mobile -optimized and coded to track each visitor and engagement/interaction. One new key feature helps tourist create an itinerary that includes travelling to Bremerton and hotels to stay at while in town. The website Seattle Premier Attractions utilizes a web portal via U -trip to provide affordable itineraries for all interests (e.g. museums, parks, art, shopping, etc.) d. Washington State Ferries (WSF): BHSA has begun to develop a stronger, working relationship directly with Washington State Ferries. Our goal is to improve how Bremerton is represented by the WSF in their marketing materials, website and on the ferries themselves. This year, we began to advertise using their onboard televisions that showcase tourist destinations. The WSF has improved wording for a day trip to Bremerton and changed the "rolling" daily photos to include additional photos of USS TURNER JOY and City of Bremerton. e. Rack Cards: Bremerton Historic Ships Association (BHSA) continues to distribute its brand-new 2 -page, full color rack card. This brochure is distributed by Certified Folders to over 600 locations statewide to places where tourists are likely to be looking for information about interesting things to do and see. This brochure not only emphasizes the USS Turner Joy but other Bremerton boardwalk activities as well. Our rack card is also electronically available through visitortips.com. This gives us worldwide exposure. The distribution of 150,000 pamphlets annually is throughout the entire Olympic and Kitsap Peninsulas, 1-5 corridor from Bellevue to Olympia, and entire Greater Seattle and South Seattle regions. Additionally, the cards are distributed in 12 locations at the SeaTac airport, cruise ships and ferry terminals. The additional funding from 2015 Lodging Tax funds expanded the distribution to ALL Washington state ferries — a large increase over the previous distribution of South Sound ferries only. Additionally, the MN Coho between Port Angeles and Victoria was added to increase exposure to Canadian tourists. Seattle Attraction Pamphlets: USS Turner Joy is given a full page listing of attraction information and map showing the Bremerton location via ferry. This pamphlet is the most widely distributed pamphlet in Washington State. 700,000 pamphlets have been printed and 2016 distribution is in progress to all Certified Folder locations in the State of Washington and border cities in Oregon and Canada. g. Attract China: Promote tourism in Bremerton and surrounding areas to Chinese tourists. Utilizing a program implemented by Attract China, USS Turner Joy information and website are translated into Chinese for marketing purposes and promotion in China. For example, USS Turner Joy is searchable in Chinese in Baidu (Chinese version of Google). h. Ship Reunion Groups: The BHSA marketing committee is committed to attracting large groups of tourists to Bremerton. To make this successful, hotel coordination and commitment is mandatory to yield desirable results. The initial phase of contacting 200 reunion groups with Navy Tin Can Sailors was completed in summer of 2015. We continue to collaborate with the Kitsap Conference Center in sending hard copy mailings to attract reunions with a strong interest in taking advantage of the USS Turner Joy as the back drop. Several reunion groups and one Wedding have confirmed bookings for 2016 — specifically due to featuring the USS Turner Joy as a destination. i. The Haunted Ship: The annual Haunted Ship event is also a big draw. It brings in thousands of local and nonlocal visitors to the Bremerton Waterfront for a memorable Halloween experience. Many of these visitors come back to tour the ship under less scary conditions. Last year marked the 10th anniversary and sponsored and conducted by the "Spooked in Seattle" company (an existing partner). Last year we used Amazon Local to attract "non local" guests in an effort to reach more out of county visitors. Other Local Programs: The BHSA has been fostering increased local visitor flows through a variety of programs focused on the Kitsap County region. These include the overnight program where various youth organizations come aboard and spend the night. This experience includes meals, a movie, and a history lesson about the ship. Memorial services for veteran groups as well as citizenship ceremonies, and Green prinks events are also offered and often draw media attention. SUG O A► o0 CERTIFICATE OF LIABILITY INSURANCE D03/08ATE /2017 ) 03/08/2017 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must have ADDITIONAL INSURED provisions or be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER CS&S/PROPEL INSURANCE PO BOX 946580 CONTACT NAME: PHONE (A/C, No, Ext): FAX (AIC, No): E-MAIL ADDRESS: MAITLAND, FL 32794-6580 Phone - 877-724-2669 Fax - 877-763-5122 INSURER(S) AFFORDING COVERAGE NAIC # INSURER A: TRANSPORTATION INSURANCE COMPANY 20494 INSURED Bremerton Historic Ship Association 300 Washington Beach Avenue INSURER B: INSURER C: CLAIMS -MADE ® OCCUR BREMERTON, WA 98337 INSURER D: INSURER E. INSURER F DAMAGE TO RENTED $300,000 PREMISES (Ea occurrence) COVERAGES CERTIFICATE NUMBER: REVISION NUMBER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR LTR TYPE OF INSURANCE ADDL INSD SUBR WVD POLICY NUMBER POLICY EFF MM/DDIYYYY POLICY EXP MMIDDIYYYY LIMITS COMMERCIAL GENERAL LIABILITY EACH OCCURRENCE $2,000,000 CLAIMS -MADE ® OCCUR DAMAGE TO RENTED $300,000 PREMISES (Ea occurrence) MED EXP (Any one person) $10,000 A Y Y 3010105003 04/08/2017 04/08/2018 PERSONAL & ADV INJURY $2,000,000 GEN'L AGGREGATE LIMIT APPLIES PER: PRO- POLI PRO - LOC GENERAL AGGREGATE $4,000,000 PRODUCTS - COMP/OP AGG 4,000,000 OTHER A AUTOMOBILE LIABILITY COMBINED SINGLE LIMIT $1,000,000 (Ea accident) BODILY INJURY (Per person) $ ANY AUTO A OWNED SCHEDULED AUTOS ONLY AUTOS N N 3010105003 04/08/2017 04/08/2018 BODILY INJURY (Per accident) HIRED NON -OWNED AUTOS ONLY AUTOS ONLY H PROPERTY DAMAGE (Per accident) $ UMBRELLA LIAR -1 OCCUR EACH OCCURRENCE AGGREGATE' EXCESS LU CLAIMS -MADE DED RETENTION $ WORKERS COMPENSATION AND EMPLOYERS' LIABILITY PER STATUTE OTH- ER ANY PROPRIETORIPARTNER/EXECUTIVE Y/N OFFICER/MEMBER EXCLUDED?ElN/A E.L. EACH ACCIDENT (Mandatory in NH) E.L. DISEASE - EA EMPLOYEE If yes, describe under DESCRIPTION OF OPERATIONS below E.L. DISEASE -POLICY LIMIT DESCRIPTION OF OPERATIONS / LOCATIONS /VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached if more space is required) Certificate Holder is Named as Additional Insured - Designated Person or Organization. Coverage is primary and non-contributory. RE: Tax Lodging Permit CERTIFICATE HOLDER CANCELLATION City of Bremerton SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE 345 6th St Ste 600 THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN Bremerton, WA 98337 ACCORDANCE WITH THE POLICY PROVISIONS. AUTHORIZED 'REPRESENTATIVE XTI ©1988-2015 ACORD CORPORATION. All rights reserved. ACORD 25 (2016/03) The ACORD name and logo are registered marks of ACORD CAC7980 - ' SB -300113-C �` --- (Ed. 06/11) ��A THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. ADDITIONAL INSURED - DESIGNATED PERSON OR ORGANIZATION This endorsement modifies insurance provided under the following: BUSINESSOWNERS LIABILITY COVERAGE FORM SCHEDULE City of Bremerton 345 6th St Ste 600 Bremerton, WA 98337 * Information required to complete this Schedule, if not shown on this endorsement, will be shown in the Declarations. The following is added to Paragraph C. Who Is An Insured: 4. Any person or organization shown in the Schedule is also an insured, but only with respect to "bodily injury," or "property damage" or "personal and advertising injury" caused, in whole or in part, by your acts or omissions or the acts or omissions of those acting on your behalf in the performance of your ongoing operations or in connection with your premises owned by or rented to you. SB -300113-C Includes copyrighted material of Insurance Services Office, Inc., with its permission. Page 1 of 1 (Ed. 06/11) Copyright, Insurance Services Office, Inc. 2002