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HomeMy WebLinkAbout15. Approve Branding AgreementAGENDA MEMO APPROVED BY CITY MANAGER DATE: February 11, 2014 TO: Mayor and Members of the City Council FROM: Office of the City Manager By: Brian Saeki, Director of Community Development 1 SUBJECT: BRANDING RECOMMENDATION That the City Council approve a Professional Services Agreement (PSA) with the Downey Art Vibe to provide branding and strategic marketing services and appropriate $57,000 from the General Fund. BACKGROUND In early 2010, staff issued a Request for Proposals (RFP) for consulting services for research, analysis, and implementation of a branding program for the City of Downey. The RFP was based upon the following scope of work: • Branding consultation. • Research and analysis of Downey's past and current identity. • A profile of who, historically, have been Downey's key stakeholders, e.g., residents, employees, businesses, and customers. • An evaluation of Downey's current marketing and positioning efforts. • Research and analysis regarding who will be Downey's stakeholders in the future. • Research and analysis regarding what cities are Downey's competitors and the relative strengths and weaknesses of Downey versus its competitors. • Research and analysis regarding appropriate strategies for marketing and positioning the City of Downey in the future. • Research and analysis of Downey's key stakeholders, communication channels, and opportunities. The RFP was circulated, and after evaluation and interviews, staff selected Northstar Incorporated to develop and implement a branding program for the City of Downey. In June 2010, the Community Development Commission approved a contract with Northstar to create a brand for the City of Downey and created a Branding Subcommittee which included Council Members Brossmer and Guerra to oversee the process with staff. DISCUSSION Over the last 24 months, staff has worked closely with Northstar on a three-phased approach to implementing a branding program in Downey. Those phases include: CITY OF DOWNEY, CALIFORNIA --------------' Mayor and Members of the City Council Branding February 11,2014 Page 2 PHASE I -EDUCATION AND BUY -IN This phase involves the preparation of a brochure and Downey-specific website providing information about the City of Downey branding program. Most importantly, the website is an interactive communication medium for online surveys and for residents to provide input and materials, e.g., photographs that assist with developing the branding program. PHASE II-RESEARCH AND ANALYSIS This phase involves analysis of how the city is perceived by stakeholders, residents, businesses, visitors, and prospective consumers and residents. The current Downey environment, its competitive situation, community attitudes, current communications, and perceptions of target audiences are evaluated. This phase also includes a detailed market segmentation report that includes U.S. Census Bureau data and consumer buying behavior data from Mediamark. This phase will provide information about residents' lifestyle habits such as media usage, travel behavior, household buying preferences, recreational interests, civic involvement, dining choices, retail preferences, lodging tendencies. This phase also provides an analysis of Downey's competition. This is an in-depth analysis of Downey's top five economic development competitors; uncovering strengths and weaknesses in the current business landscape according to national standard industry classifications. PHASE Ill -CREATION FOUNDATION This phase provides most of the deliverables for the branding program and how to effectively and proactively market the City and position it as a unique community where current businesses thrive, new businesses need to locate, and a city with a high quality of life where people want to live. One of the keys to doing this is developing a unified and consistent Downey image that can be regularly and uniformly communicated to stakeholders and to the marketplace. One method for doing this is to create a Downey brand that consistently communicates what is special and unique about Downey. Northstar conducted more than a dozen pieces of research to identify what differentiates Downey from its neighbors and competitors. By examining the community (stakeholders, residents), consumers (regional and state officials in tourism and economic development, site selectors and past business prospects) and the competition (neighboring communities), Northstar determined a strategy for Downey to assert across all community assets to implement an effective, meaningful and relevant brand. In all, over 600 surveys and interviews were performed by Northstar. Downey's Strengths Research revealed that one of Downey's strongest assets is its location. Surrounded by freeways, and just south of downtown Los Angeles, Downey is well-positioned for both residents and businesses. It has a fairly positive reputation for those who have heard of Mayor and Members of the City Council Branding February 11,2014 Page 3 it, and is respected as one of the leaders of the "Gateway Cities." That respect stems from the high quality of life residents enjoy: clean, good schools, lower crime, less gang activity, strong healthcare from both Kaiser Permanente and PIH (formerly Downey Regional Medical Center), active music and performing arts programs, and convenient shopping at Stonewood Mall, Downey Landing and more. With amenities like these, it is easy to see why Downey has a reputation as being a "move up" community. In addition, Downey was described as very community-focused and inclusive, a difficult feat for a community of more than 110,000. Residents have a lot of pride in their neighborhoods, fellow residents, the community feel of the city and the downtown area. Although Downey is a "move up" community, it has not forgotten its past. Research showed that those both inside and outside the community still have positive associations with Downey's aircraft and NASA development days. This time in Downey's history is seen as key in putting the city on the map, and is a source of both pride and potential. Residents and outsiders alike are encouraged by the city's ability to remake this history and connect to it, most notably by the new Columbia Memorial Space Center, which has been instrumental in attracting visitors and new interest to the city. Downey also has an undeniable retro aesthetic, originating from the NASA era. Many fine examples of mid-century modern architecture can be found throughout the city. Some of which are tourist destinations in their own right such as the oldest operating McDonald's and Bob's Big Boy. Downey's Weaknesses Research has shown that Downey is seen as lacking a strong cohesive identity in an extremely competitive marketplace. The community is up against a plethora of similarly- sized communities in the L.A. area for economic development and other opportunities. Some residents feel that the city's inability to move forward out of the shadow of the NASA heyday has hurt its image today. One of the challenges citizens would most like to remove is blight and vacancies - especially in the downtown area. Not only do eyesores and vacancies contribute to feelings of dissatisfaction amongst residents, but they also perpetuate the outside reputation that the best of Downey's days are behind it. Downey, like many communities in the Los Angeles area, must deal with traffic problems, limited green space, lack of available land and the challenges of attracting big business. Although Downey's shopping options are solid, there is not enough restaurant and entertainment to keep visitors or residents in the city to spend discretionary dollars for longer lengths of time. Mayor and Members of the City Council Branding February 11,2014 Page4 Not everyone agrees on what Downey's future may hold. Research showed discord amongst residents and stakeholders for the vision of downtown, development along Firestone Boulevard, and the future of land from the Downey Studios I former NASA area. In addition, Downey's population has changed significantly and quickly. Those with Hispanic backgrounds now make up 70 percent of the population. This rapid change has created challenges in how the city communicates with residents. For example, how can we make residents feel that they are truly part of the community while respecting cultural differences in an effort to propel the city forward. Downey's Opportunities Outsiders heralded Downey as community ripe with potential, with a lot of opportunity for marketing and promotion. Getting the word out in the context of the compelling new brand is Downey's greatest opportunity to celebrate and protect its quality of life while increasing economic opportunity. Redevelopment projects like the proposed Downey Promenade plan, downtown revitalization, access to freeways and Downey's upscale, diverse demographics are all positives for developers. Attracting entertainment, restaurants and businesses along high-traffic corridors, (such as the city has shown by attracting Porto's close to downtown), can send a signal to potential consumers, whether residents, businesses or visitors, that Downey is dreaming big and making those dreams come true. Research showed that Downey should continue to work with, not against, its aircraft and NASA heritage. The Columbia Memorial Space Center is an excellent hook for attracting visitors. Likewise, its architectural assets should continue to be preserved and showcased. In the future, the city should think of other ways to connect its past with the potential consumers of today. The city's demographic changes can be a major positive for it moving forward. New ideas fuel the innovation of tomorrow, and Downey has a heritage of innovation. There is opportunity to be had in encouraging diverse residents to come together, play together, learn from each other and work together. Such exchanges can propel Downey in new and unexpected ways, all while making everyone feel included in the fabric of the community. Downey's Threats The most significant threat to Downey's growth and progress is its unsettled reputation -both inside and outside of the community. Lack of awareness and inaccurate perceptions among outsiders threaten Downey's progress. Discontented, disengaged residents will be brand adversaries rather than brand advocates. Mayor and Members of the City Council Branding February 11,2014 Page 5 A major component to the city's image, both inside and out, is the condition of its aesthetics. Beautifying run-down areas and unattractive corridors must be a priority for the community as it progresses to combat negative perceptions. Additionally, Downey has some very distinctive and important historic landmarks, particularly downtown. These assets must be protected and the community should commit to their complete restoration if it hopes to retain the connections to its past which make it such a unique place. Research Conclusions Downey has its challenges, many of which are with perception. But research also showed that Downey is a dynamic community made up of hard-working, family-focused people who are making a positive difference-while also enjoying the rewards of the connected, quality lifestyle this city provides. In fact, research revealed Downey to be a place of two identities: Classic Downey and Evolving Downey. The Classic Downey, as revealed through research, was described as historic, classic, proud, safe, enjoyable, and prosperous. "Good Americana". These sentiments are augmented by Downey's physical representations of a very optimistic time in American history-such as the oldest McDonald's. But Downey is not the same community it was in the 1950's. Downey has changed. This theme of transition was strong throughout the research, and led to descriptions of the other identity of Downey. This Evolving Downey was described as, "once a nice semi- bucolic city ... more commercialized now"; "We have arts, history and many cultures. We keep adding things that make us better and more interesting". One stakeholder described this Evolving Downey as "the new incarnation ... some of the people have changed, but they are all still after the American dream." Upon exploration, Northstar discovered that Downey has representations of the American dream in all of its forms, both classic and evolving, such as: classic 1950's architecture, American pride, and independent businesses like Porto's, and pride in giving back to the community. Next Steps Now that the research has been completed a clear brand platform emerged ... "For those seeking dynamic community, Downey, CA is well situated between the thoroughfares of Southeast Los Angeles, where classic American ideals draft new dreams with pride and independence." The research also showed that: • Downey has the drive and a passion for discovery. • There is a great sense of possibility and a bold confidence in Downey today. • It's a city where people still see their hopes gain momentum and where the American dream is born anew every day. Whether it's opening the doors of a new business, starting a new family, or buying a first home in a safe, welcoming Mayor and Members of the City Council Branding February 11,2014 Page 6 neighborhood, Downey is where it all can happen, and where that enthusiasm and determination is put to work, making dreams happen every day, especially today. Finally, Northstar has recommended 15 brand action ideas to get our brand going. They include: 1. Assign a brand leader. 2. Create a brand PowerPoint. 3. Brand our stationery. 4. Identify our easiest consumer touch points and brand them. 5. Brand digital communications. 6. Develop at least two items of branded merchandise. 7. Use city employees and brand ambassadors. 8. Build community pride with the brand. 9. Engage the private sector. 10. Show businesses how to play. 11. Brand cost-effective signage. 12. Infiltrate our infrastructure. 13. Downtown and Firestone Boulevard are brand centerpieces. 14. Reinterpret American Dream with multiculturalism. 15. Draw visitors with the brand. Staff will implement as many of these ideas as possible but will require the assistance of an outside firm to provide further branding and strategic marketing services. Since the Downey Art Vibe created the logo and tagline for the Brand, staff is recommending that we continue to use their services to roll out the project. FISCAL IMPACT The cost to provide this service will not exceed $57,000 for a service period beginning February 12, 2014 to February 13, 2015, and shall be paid from the General Fund. Attachments: "A" -Professional Services Agreement CITY OF DOWNEY PROFESSIONAL SERVICES AGREEMENT WITH DOWNEY ART VIBE FOR BRANDING AND STRATEGIC MARKETING SERVICES 1. PARTIES AND DATE. This Agreement is made and entered into this 14th day of February, 2014 by and between the City of Downey, a California municipal corporation and charter city with its principal place of business at 11111 Brookshire Avenue, Downey California 90241 ("City") and Downey Art Vi be, a California Nonprofit Corporation, with its principal place of business at 11140 Downey Ave, Downey, CA 90241 ("Consultant"). City and Consultant are sometimes individually referred to as "Party" and collectively as "Parties." 2. RECITALS. 2.1 Consultant. Consultant desires to perform and assume responsibility for the provision of certain professional branding and strategic marketing services more specifically described herein as required by City on the terms and conditions set forth in this Agreement. Consultant represents that it has demonstrated competence and experience in providing said services to public clients and is familiar with the plans of City. 2.2 Project. City desires to engage Consultant to render such services for the branding and strategic marketing project ("Project") as set forth in this Agreement. 3. TERMS. 3.1 Scope of Services and Term. 3.1.1 General Scope of Services. Consultant promises and agrees to furnish to City all labor, materials, tools, equipment, services, and incidental and customary work necessary to fully and adequately supply the professional services necessary for the Project ("Services"). The Services are more particularly described in Exhibit "A" attached hereto and incorporated herein by reference. All Services shall be subject to, and performed in accordance with this Agreement, the exhibits attached hereto and incorporated herein by reference, and all applicable local, state and federal laws, rules and regulations. 3.1.2 Term. The term of this Agreement shall be from February 12, 2014 to February 13, 2015, unless earlier terminated as provided herein. Consultant shall complete the Services within the term of this Agreement, and shall meet any other established schedules and deadlines. 3.2 Responsibilities of Consultant. 3.2.1 Control and Payment of Subordinates; Independent Contractor. The Services shall be performed by Consultant or under its supervision. Consultant will determine the means, methods and details of performing the Services subject to the requirements of this Agreement. City retains Consultant on an independent contractor basis and not as an employee. Consultant retains the right to perform similar or different services for others during the term of this Agreement. Any additional personnel performing the Services under this Agreement on behalf of Consultant shall also not be employees of City and shall at all times be under Consultant's exclusive direction and control. Consultant shall pay all wages, salaries, and other amounts due such personnel in connection with their performance of Services under this Agreement and as required by law. Consultant shall be responsible for all reports and obligations respecting such additional personnel, including, but not limited to: social security taxes, income tax withholding, unemployment insurance, disability insurance, and workers' compensation insurance. 3.2.2 Schedule of Services. Consultant shall perform the Services expeditiously, within the term of this Agreement. Consultant represents that it has the professional and technical personnel required to perform the Services in conformance with such conditions. The parties shall meet to discuss any applicable deadlines or Schedule of Services in connection with the performance of the Services. The parties acknowledge that any agreed upon Schedule of Services may be amended by mutual agreement due to changes in circumstances, including changes in the performance schedules of other third parties performing work for the City on the Project, which affect the timing of Consultant's performance of the Services. 3.2.3 Conformance to Applicable Requirements. All work prepared by Consultant shall be subject to the approval of City. 3.2.4 Substitution of Key Personnel. Consultant has represented to City that certain key personnel will perform and coordinate the Services under this Agreement. Should one or more of such personnel become unavailable, Consultant may substitute other personnel of at least equal competence upon written approval of City. In the event that City and Consultant cannot agree as to the substitution of key personnel, City shall be entitled to terminate this Agreement for cause. As discussed below, any personnel who fail or refuse to perform the Services in a manner acceptable to the City, or who are determined by the City to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project or a threat to the safety of persons or property, shall be promptly removed from the Project by the Consultant at the request of the City. The key personnel for performance of this Agreement are as follows: Valentin Flores, Executive Director. 3.2.5 City's Representative. The City hereby designates Brian Saeki, Community Development Director, or his or her designee, to act as its representative for the performance of this Agreement ("City's Representative"). City's Representative shall have the power to act on behalf of the City for all purposes under this Contract. Consultant shall not accept direction or orders from any person other than the City's Representative or his or her designee. 3.2.6 Consultant's Representative. Consultant hereby designates Valentin Flores, Executive Director, or his or her designee, to act as its representative for the performance of this Agreement ("Consultant's Representative"). Consultant's Representative shall have full authority to represent and act on behalf of the Consultant for all purposes under this Agreement. The Consultant's Representative shall supervise and direct the Services, using his best skill and attention, and shall be responsible for all means, methods, techniques, sequences and procedures and for the satisfactory coordination of all portions of the Services under this Agreement. 3.2. 7 Coordination of Services. Consultant agrees to work closely with City staff in the performance of Services and shall be available to City's staff, consultants and other staff at all reasonable times. 3.2.8 Standard of Care; Performance of Emolovees. Consultant shall perform all Services under this Agreement in a skillful and competent manner, consistent with the standards generally recognized as being employed by professionals in the same discipline in the State of California. Consultant represents and maintains that it is skilled in the professional calling necessary to perform the Services. Consultant warrants that all employees and subcontractors shall have sufficient skill and experience to perform the Services assigned to them. Finally, Consultant represents that it, its employees and subcontractors have all licenses, permits, qualifications and approvals of whatever nature that are legally required to perform the Services, including a City Business License, and that such licenses and approvals shall be maintained throughout the term of this Agreement. As provided for in the indemnification provisions of this Agreement, Consultant shall perform, at its own cost and expense and without reimbursement from the City, any services necessary to correct errors or omissions which are caused by the Consultant's failure to comply with the standard of care provided for herein. Any employee of the Consultant or its sub-consultants who is determined by the City to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project, a threat to the safety of persons or property, or any employee who fails or refuses to perform the Services in a manner consistent with the standard of care set forth herein, shall be promptly removed from the Project by the Consultant and shall not be re-employed to perform any of the Services or to work on the Project. 3.2.9 Laws and Regulations. Consultant shall keep itself fully informed of and in compliance with all applicable local, state and federal laws, rules and regulations in force at the time the Services are performed by Consultant and in any manner affecting the performance of the Project or the Services, including all applicable Cai/OSHA requirements, and shall give all notices required by law. Consultant shall be liable for all violations of such laws and regulations in connection with Services. If the Consultant performs any work knowing it to be contrary to such laws, rules and regulations and without giving written notice to the City, Consultant shall be solely responsible for all costs arising therefrom. Consultant shall defend, indemnify and hold City, its officials, directors, officers, employees and agents free and harmless, pursuant to the indemnification provisions of this Agreement, from any claim or liability arising out of any failure or alleged failure to comply with such laws, rules or regulations. Consultant's violation of such laws, rules and regulations shall also constitute a material breach of this Agreement. 3.2.1 0 Insurance. 3.2.1 0.1 Time for Compliance. Consultant shall not commence the Services under this Agreement until it has provided evidence satisfactory to the City that it has secured all insurance required under this section. In addition, Consultant shall not allow any subcontractor to commence work on any subcontract until it has provided evidence satisfactory to the City that the subcontractor has secured all insurance required under this section. 3.2.1 0.2 Minimum Requirements. Consultant shall, at its expense, procure and maintain for the duration of the Agreement insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the Agreement by the Consultant, its agents, representatives, employees or subcontractors. Consultant shall also require all of its subcontractors to procure and maintain the same insurance for the duration of the Agreement. Such insurance shall meet at least the following minimum levels of coverage: (A) Minimum Scope of Insurance. Coverage shall be at least as broad as the latest version of the following: (1) General Liability: Insurance Services Office Commercial General Liability coverage (occurrence form CG 0001 ); (2) Automobile Liability: Insurance Services Office Business Auto Coverage form number CA 0001, code 1 (any auto); and (3) Workers' Compensation and Employer's Liability: Workers' Compensation insurance as required by the State of California and Employer's Liability Insurance. (B) Minimum Limits of Insurance. Consultant shall maintain limits no less than: (1) General Liability: $1,000,000 per occurrence for bodily injury, personal injury and property damage. If Commercial General Liability Insurance or other form with general aggregate limit is used, either the general aggregate limit shall apply separately to this Agreement/location or the general aggregate limit shall be twice the required occurrence limit; (2) Automobile Liability: $1,000,000 per accident for bodily injury and property damage; and (3) Workers' Compensation and Employer's Liability: Workers' Compensation limits as required by the Labor Code of the State of California. Employer's Liability limits of $1,000,000 per accident for bodily injury or disease. 3.2.1 0.3 Professional Liability. Consultant shall procure and maintain, and require its sub-consultants to procure and maintain, for a period of five (5) years following completion of the Project, errors and omissions liability insurance appropriate to its profession. Such insurance shall be in an amount not less than $1,000,000 per claim, and shall be endorsed to include contractual liability. 3.2.1 0.4 Insurance Endorsements. The insurance policies shall contain the following provisions, or Consultant shall provide endorsements on forms supplied or approved by the City to add the following provisions to the insurance policies: (A) General Liability. The general liability policy shall be endorsed to state that: (1) the City, its directors, officials, officers, employees, agents and volunteers shall be covered as additional insureds with respect to the Services or operations performed by or on behalf of the Consultant, including materials, parts or equipment furnished in connection with such work; and (2) the insurance coverage shall be primary insurance as respects the City, its directors, officials, officers, employees, agents and volunteers, or if excess, shall stand in an unbroken chain of coverage excess of the Consultant's scheduled underlying coverage. Any insurance or self-insurance maintained by the City, its directors, officials, officers, employees, agents and volunteers shall be excess of the Consultant's insurance and shall not be called upon to contribute with it in any way. (B) Automobile Liability. The automobile liability policy shall be endorsed to state that: (1) the City, its directors, officials, officers, employees, agents and volunteers shall be covered as additional insureds with respect to the ownership, operation, maintenance, use, loading or unloading of any auto owned, leased, hired or borrowed by the Consultant or for which the Consultant is responsible; and (2) the insurance coverage shall be primary insurance as respects the City, its directors, officials, officers, employees, agents and volunteers, or if excess, shall stand in an unbroken chain of coverage excess of the Consultant's scheduled underlying coverage. Any insurance or self-insurance maintained by the City, its directors, officials, officers, employees, agents and volunteers shall be excess of the Consultant's insurance and shall not be called upon to contribute with it in any way. (C) Workers' Compensation and Employers Liability Coverage. The insurer shall agree to waive all rights of subrogation against the City, its directors, officials, officers, employees, agents and volunteers for losses paid under the terms of the insurance policy which arise from work performed by the Consultant. (D) All Coverages. Each insurance policy required by this Agreement shall be endorsed to state that: (A) coverage shall not be suspended, voided, reduced or canceled except after thirty (30) days prior written notice by certified mail, return receipt requested, has been given to the City; and (B) any failure to comply with reporting or other provisions of the policies, including breaches of warranties, shall not affect coverage provided to the City, its directors, officials, officers, employees, agents and volunteers. 3.2.1 0.5 Separation of Insureds; No Special Limitations. All insurance required by this Section shall contain standard separation of insureds provisions. In addition, such insurance shall not contain any special limitations on the scope of protection afforded to the City, its directors, officials, officers, employees, agents and volunteers. 3.2.1 0.6 Deductibles and Self-Insurance Retentions. Any deductibles or self-insured retentions must be declared to and approved by the City. Consultant shall guarantee that, at the option of the City, either: (1) the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects the City, its directors, officials, officers, employees, agents and volunteers; or (2) the Consultant shall procure a bond guaranteeing payment of losses and related investigation costs, claims and administrative and defense expenses. 3.2.1 0.7 Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M. Best's rating no less than A:VII, licensed to do business in California, and satisfactory to the City. 3.2.1 0.8 Verification of Coverage. Consultant shall furnish City with original certificates of insurance and endorsements effecting coverage required by this Agreement on forms satisfactory to the City. The certificates and endorsements for each insurance policy shall be signed by a person authorized by that insurer to bind coverage on its behalf, and shall be on forms provided by the City if requested. All certificates and endorsements must be received and approved by the City before work commences. The City reserves the right to require complete, certified copies of all required insurance policies, at any time. 3.2.11 Safety. Consultant shall execute and maintain its work so as to avoid injury or damage to any person or property. In carrying out its Services, the Consultant shall at all times be in compliance with all applicable local, state and federal laws, rules and regulations, and shall exercise all necessary precautions for the safety of employees appropriate to the nature of the work and the conditions under which the work is to be performed. Safety precautions as applicable shall include, but shall not be limited to: (A) adequate life protection and life-saving equipment and procedures; (B) instructions in accident prevention for all employees and subcontractors, such as safe walkways, scaffolds, fall protection ladders, bridges, gang planks, confined space procedures, trenching and shoring, equipment and other safety devices, equipment and wearing apparel as are necessary or lawfully required to prevent accidents or injuries; and (C) adequate facilities for the proper inspection and maintenance of all safety measures. 3.3 Fees and Payments. 3.3.1 Compensation. Consultant shall receive compensation, including authorized reimbursements, for all Services rendered under this Agreement at the rates set forth in Exhibit "B" attached hereto and incorporated herein by reference. The total compensation shall not exceed Fifty-Seven Thousand Dollars ($57,000) without written approval of the City. 3.3.2 Payment of Compensation. Consultant shall submit to City a monthly itemized statement which indicates work completed and hours of Services rendered by Consultant. The statement shall describe the Services provided since the initial commencement date, or since the start of the subsequent billing periods, as appropriate, through the date of the statement. City shall, within thirty (30) days of receiving such statement, review the statement and pay all approved charges thereon. 3.3.3 Reimbursement for Expenses. Consultant shall not be reimbursed for any out-of-pocket costs or expenses unless authorized in writing by City Manager. City shall pay directly for printing/distribution/mailing costs for activities performed under this Agreement with prior approval by the City Manager. 3.3.4 Extra Work. At any time during the term of this Agreement, City may request that Consultant perform Extra Work. As used herein, "Extra Work" means any work which is determined by City to be necessary for the proper completion of the Project, but which the parties did not reasonably anticipate would be necessary at the execution of this Agreement. Consultant shall not perform, nor be compensated for, Extra Work without written authorization from City's Representative. 3.4 Accounting Records. 3.4.1 Maintenance and Inspection. Consultant shall maintain complete and accurate records with respect to all costs and expenses incurred under this Agreement. All such records shall be clearly identifiable. Consultant shall allow a representative of City during normal business hours to examine, audit, and make transcripts or copies of such records and any other documents created pursuant to this Agreement. Consultant shall allow inspection of all work, data, documents, proceedings, and activities related to the Agreement for a period of three (3) years from the date of final payment under this Agreement. 3.5 General Provisions. 3.5.1 Termination of Agreement. 3.5.1.1 Grounds for Termination. City may, by written notice to Consultant, terminate the whole or any part of this Agreement at any time either for cause or for the City's convenience and without cause by giving written notice to Consultant of such termination, and specifying the effective date thereof, at least seven (7) days before the effective date of such termination. Consultant may only terminate this Agreement for cause upon giving the City not less than seven (7) calendar days' written notice. Upon termination, Consultant shall be compensated only for those services which have been adequately rendered to City, and Consultant shall be entitled to no further compensation. The City shall within fifteen (15) calendar days following termination pay the Consultant for all services adequately rendered and all reimbursable costs incurred by Consultant up to the date of termination, in accordance with the payment provisions of this Agreement. The following reasons shall constitute "cause" for which either party may terminate this Agreement as provided herein: • Substantial failure by the other party to perform in accordance with the terms of this Agreement and through no fault of the terminating party; • Assignment of this Agreement or transfer of the Project by either party to any other entity without the prior written consent of the other party; • Suspension of the Project or the Consultant's Services by the City for more than ninety (90) calendar days, consecutive or in the aggregate, without good cause; • Material changes in the conditions under which this Agreement was entered into, the Scope of Services or the nature of the Project, and the failure of the parties to reach agreement on the compensation and schedule adjustments necessitated by such changes. 3.5.1.2 Effect of Termination. If this Agreement is terminated as provided herein, City may require Consultant to provide all finished or unfinished Documents and Data and other information of any kind prepared by Consultant in connection with the performance of Services under this Agreement. Consultant shall be required to provide such Documents and Data and other information within fifteen (15) days of the City's request. 3.5.1.3 Additional Services. In the event this Agreement is terminated in whole or in part as provided herein, City may procure, upon such terms and in such manner as it may determine appropriate, services similar to those terminated. 3.5.2 Delivery of Notices. All notices permitted or required under this Agreement shall be given to the respective parties at the following address, or at such other address as the respective parties may provide in writing for this purpose: Consultant: City: Downey Art Vibe 11140 Downey Avenue Downey, CA 90241 Phone: (562) 774-2056 Attn: Valentin Flores, Executive Director City of Downey 11111 Brookshire Avenue Downey, CA 90241 Phone: (562) 904-7284 Fax: (562) 923-6388 Attn: City Manager Such notice shall be deemed made when personally delivered or when mailed, forty- eight (48) hours after deposit in the U.S. Mail, first class postage prepaid and addressed to the party at its applicable address. Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method of service. 3.5.3 Ownership of Materials and Confidentiality. 3.5.3.1 Documents & Data; Licensing of Intellectual Property. This Agreement creates a non-exclusive and perpetual license for City to copy, use, modify, reuse, or sublicense any and all copyrights, designs, and other intellectual property embodied in plans, specifications, studies, drawings, estimates, and other documents or works of authorship fixed in any tangible medium of expression, including but not limited to, physical drawings or data magnetically or otherwise recorded on computer diskettes, posted or transmitted via Internet websites or social media, or media otherwise prepared or caused to be prepared by Consultant under this Agreement ("Documents & Data"). Consultant shall require all subcontractors to agree in writing that City is granted a non-exclusive and perpetual license for any Documents & Data the subcontractor prepares under this Agreement. Consultant represents and warrants that Consultant has the legal right to license any and all Documents & Data. Consultant makes no such representation and warranty in regard to Documents & Data which were prepared by design professionals other than Consultant or provided to Consultant by the City. City shall not be limited in any way in its use of the Documents and Data at any time, provided that any such use not within the purposes intended by this Agreement shall be at City's sole risk. 3.5.3.2 Confidentiality. All ideas, memoranda, specifications, plans, procedures, drawings, descriptions, computer program data, input record data, written information, and other Documents and Data either created by or provided to Consultant in connection with the performance of this Agreement shall be held confidential by Consultant. Such materials shall not, without the prior written consent of City, be used by Consultant for any purposes other than the performance of the Services. Nor shall such materials be disclosed to any person or entity not connected with the performance of the Services or the Project. Nothing furnished to Consultant which is otherwise known to Consultant or is generally known, or has become known, to the related industry shall be deemed confidential. Consultant shall not use City's name or insignia, photographs of the Project, or any publicity pertaining to the Services or the Project in any magazine, trade paper, newspaper, television or radio production or other similar medium without the prior written consent of City. 3.5.4 Cooperation; Further Acts. The Parties shall fully cooperate with one another, and shall take any additional acts or sign any additional documents as may be necessary, appropriate or convenient to attain the purposes of this Agreement. 3.5.5 Attorney's Fees. In the event of any litigation, whether in a court of law, administrative hearing, arbitration, or otherwise, arising from or related to this Agreement of the services provided under this Agreement, the prevailing party shall be entitled to recover from the non-prevailing party all reasonable costs incurred, including staff time, court costs, attorneys' fees and all other related expenses in such litigation. 3.5.6 Indemnification. Consultant shall defend (with counsel acceptable to City), indemnify and hold the City, its officials, officers, employees, volunteers and agents free and harmless from any and all claims, demands, causes of action, costs, expenses, liability, loss, damage or injury, in law or equity, to property or persons, including wrongful death, in any manner arising out of or incident to any alleged negligent acts, errors, omissions or willful misconduct of Consultant, its officials, officers, employees, agents, consultants and contractors arising out of or in connection with the performance of the Services, the Project or this Agreement, including without limitation the payment of all consequential damages and attorneys fees and other related costs and expenses. Consultant shall defend, at Consultant's own cost, expense and risk, any and all such aforesaid suits, actions or other legal proceedings of every kind that may be brought or instituted against City, its directors, officials, officers, employees, agents or volunteers. Consultant shall pay and satisfy any judgment, award or decree that may be rendered against City or its directors, officials, officers, employees, agents or volunteers, in any such suit, action or other legal proceeding. Consultant shall reimburse City and its directors, officials, officers, employees, agents and/or volunteers, for any and all legal expenses and costs incurred by each of them in connection therewith or in enforcing the indemnity herein provided. Consultant's obligation to indemnify shall not be restricted to insurance proceeds, if any, received by the City, its directors, officials officers, employees, and agents or volunteers. Consultant shall not be obligated to defend, indemnify or hold the City harmless in any manner whatsoever for any claims or liability arising solely out of the City's own negligent acts, errors or omissions or willful misconduct. 3.5.7 Entire Agreement. This Agreement contains the entire Agreement of the parties with respect to the subject matter hereof, and supersedes all prior negotiations, understandings or agreements. This Agreement may only be modified by a writing signed by both parties. 3.5.8 Governing Law. This Agreement shall be governed by the laws of the State of California. Venue shall be in Los Angeles County. 3.5.9 Time of Essence. Time is of the essence for each and every provision of this Agreement. 3.5.1 0 City's Right to Employ Other Consultants. City reserves right to employ other consultants in connection with this Project. 3.5.11 Successors and Assigns. This Agreement shall be binding on the successors and assigns of the parties. 3.5.12 Assignment or Transfer. Neither party shall assign, hypothecate, or transfer, either directly or by operation of law, this Agreement or any interest herein without the prior written consent of the other party. Any attempt to do so shall be null and void, and any assignees, hypothecates or transferees shall acquire no right or interest by reason of such attempted assignment, hypothecation or transfer. 3.5.13 Construction; References; Captions. Since the Parties or their agents have participated fully in the preparation of this Agreement, the language of this Agreement shall be construed simply, according to its fair meaning, and not strictly for or against any Party. Any term referencing time, days or period for performance shall be deemed calendar days and not work days. All references to Consultant include all personnel, employees, agents, and subcontractors of Consultant, except as otherwise specified in this Agreement. All references to City include its elected officials, officers, employees, agents and volunteers except as otherwise specified in this Agreement. The captions of the various articles and paragraphs are for convenience and ease of reference only, and do not define, limit, augment, or describe the scope, content, or intent of this Agreement. 3.5.14 Amendment; Modification. No supplement, modification, or amendment of this Agreement shall be binding unless executed in writing and signed by both Parties. 3.5.15 Waiver. No waiver of any default shall constitute a waiver of any other default or breach, whether of the same or other covenant or condition. No waiver, benefit, privilege, or service voluntarily given or performed by a Party shall give the other Party any contractual rights by custom, estoppel, or otherwise. 3.5.16 No Third Party Beneficiaries. There are no intended third party beneficiaries of any right or obligation assumed by the Parties. 3.5.17 Invalidity; Severability. If any portion of this Agreement is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in full force and effect. 3.5.18 Prohibited Interests. Consultant maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Consultant, to solicit or secure this Agreement. Further, Consultant warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement. For breach or violation of this warranty, City shall have the right to rescind this Agreement without liability. For the term of this Agreement, no member, officer or employee of City, during the term of his or her service with City, shall have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom. 3.5.19 Equal Opportunity Employment. Consultant represents that it is an equal opportunity employer and it shall not discriminate against any subcontractor, employee or applicant for employment because of race, religion, color, national origin, handicap, ancestry, sex or age. Such non-discrimination shall include, but not be limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination. Consultant shall also comply with all relevant provisions of any City Minority Business Enterprise program, Affirmative Action Plan or other related programs or guidelines currently in effect or hereinafter enacted. 3.5.20 Labor Certification. By its signature hereunder, Consultant certifies that it is aware of the provisions of Section 3700 of the California Labor Code which require every employer to be insured against liability for Worker's Compensation or to undertake self- insurance in accordance with the provisions of that Code, and agrees to comply with such provisions before commencing the performance of the Services. 3.5.21 Authority to Enter Agreement. Consultant has all requisite power and authority to conduct its business and to execute, deliver, and perform the Agreement. Each Party warrants that the individuals who have signed this Agreement have the legal power, right, and authority to make this Agreement and bind each respective Party. 3.6 Subcontracting. 3.6.1 Prior Approval Required. Consultant shall not subcontract any portion of the work required by this Agreement, except as expressly stated herein, without prior written approval of City. Subcontracts, if any, shall contain a provision making them subject to all provisions stipulated in this Agreement. CITY OF DOWNEY, a California municipal corporation and charter city By: Mayor Attest: City Clerk DOWNEY ART VISE, a California Nonprofit Corporation By: Its: Executive Director Attest: Secretary EXHIBIT "A" SCOPE OF SERVICES Downey Art Vi be SCOPE OF WORK Manage overall relationship with City of Downey, as well as its media and interactive agencies of record. 0 Provide strategic brand insight and direction that pertain to marketing communications. 0 Provide branding rollout services. 0 Define the overarching marketing communications strategy for City of Downey, and ensure the overall marketing communications and offline strategies, as well as the brand positions, are communicated to the media and interactive agencies of record. 0 Develop creative briefs, upon receipt of input document from City of Downey, for each project that describe the strategy, specific goals and message of each project. 0 Coordinate with other agencies to ensure an integrated marketing approach and strategy for City of Downey. 0 Familiarize its employees assigned to the City of Downey account with City of Downey's business, products, services, advertising, and media plans. 0 Contribute to and advise City of Downey on the development and implementation of marketing plans, including marketing communications, advertising, strategy and account planning, and research for the contract and subsequent year. 0 As requested by City of Downey in writing, create, prepare, and submit for City of Downey approval, marketing communications plans, marketing communications and advertising concepts, rough layouts, rough storyboards, photostats, paste-ups, mechanicals, and the like, and plans for the development and execution thereof. 0 Execute and implement marketing communications and advertising in finished form, in accordance with City of Downey's timely prior written approval, and estimate approval, and forward same to production and media with proper instructions. 0 Traffic and disperse all necessary materials to media suppliers, printers, and all other third parties needed to accomplish Client' approved marketing communications, and advertising ideas, programs, and campaigns. 0 Ongoing contributions to strategic point-of-views, marketing plans for new initiatives and/or programs, as well as major presentations to senior management. I. Creative Services 0 Develop and execute multi-media advertising plan: 0 Print 0 Brand/organization concepts for continuity print needs 0 Regional consumer and intermediary magazine and newspaper ads 0 Budget insert supplement 0 Senior print 0 Single brand messaging print 0 Promotional Midscale and Economy concepts for Spring, Summer and Fall seasons 0 Regional consumer and intermediary magazine and newspaper 0 Resize and edit materials according to media plan 0 Development Advertising 0 Development and execution of City of Downey advertising plan 0 Core print multi-brand and single-brand concepts within new 2014 campaign 0 Photo shoot for print campaign needs 0 Resize and edit materials according to media plan 0 Negotiation management and creative/conception/production of added value enhancements 0 Develop marketing campaigns (conception, information architecture, creative design, copywriting, graphical design and resizing, and final mechanicals) based on previously defined marketing programs and projects. 0 Proofread all copy created by Downey Art Vibe, including copy approved by the City of Downey, and insure that all such materials deemed approved have been reviewed and approved through City of Downey's internal review process. 0 Provide creative consulting, sharing with City of Downey the Downey Art Vibe's best practices expertise for brand advocacy and creative continuity. 0 Participate in weekly Downey Art Vibe account meetings, reviews, requirements sessions, and briefings. II. Media Services 0 Planning responsibilities include: 0 Media plan development, refinements and amendments, as needed throughout the course of the fiscal year. 0 Target audience development for all core general market targets. 0 Media planning will include the use of all media vehicles as needed based on strategic direction (Facebook, Twitter, lnstagram, Google+, YouTube, radio, consumer print, trade print, outdoor, etc.) 0 Diversity efforts (Hispanics, Asians, Filipinos, African-Americans,) 0 Build website discoverDowney.com in developing cohesive regional, fully integrated media plan that aligns goals and timing/flighting. 0 Coordinate print/outdoor media buying with City of Downey as needed. Responsibilities include: 0 Contracts and negotiation/placement/monitoring of advertising 0 Added value promotions and a position summary for all print placements 0 Create holistic media plan recommendations reflective of the key metrics, research against the target audience, and creative direction. 0 Pro-actively identify and assess new opportunities and developments in media consumption and viewpoints that may impact City of Downey in the short and long term 0 Co-op media strategy, planning, buying Ill. Marketing Campaigns 0 Downey Art Vibe will provide consumer and intermediary marketing campaigns based on the overarching campaign for: 0 Seasonal promotions, as follows: 0 Summer 0 Fall 0 Winter 0 Spring 0 Year-round continuity campaign targeted to consumers and intermediaries 0 Single-branded communications (brand descriptors) 0 Downey Art Vibe will evaluate and make any recommendations regarding the overarching campaign, and provide updated or new campaign that will support: 0 International platform 0 Multi-brand and single brand messaging 0 Program and promotional messaging, which may or may not include marketing partners 0 Consumer, intermediary and development target audiences 0 Extension to regional and local market 0 With each campaign, Downey Art Vibe will work closely with City of Downey's to ensure that all campaigns are consistent across all media. IV. Deliverables 0 Brand Consulting 0 'Discover Downey' Brand Identity 0 'Discover Downey' Branding Style Guide 0 'Discover Downey' Implementation & Action Plan 0 'Discover Downey' Website & Social Media EXHIBIT "8" COMPENSATION Compensation Executive Director $85/hr Operations Manager $75/hr Creative Director $75/hr Program Coordinator $50/hr Administrative Assistant $35/hr