HomeMy WebLinkAboutItem 5f. Authorization to Amend the 'Buy Local Bonus' Program to include incentives for participating in CDD Customer Satisfaction Survey Item 5f
Department: Community Development
Cost Center: 4006
For Agenda of: 8/15/2023
Placement: Consent
Estimated Time: NA
FROM: Timmi Tway, Community Development Director
Prepared By: Michael Loew, Deputy Director/Chief Building Official
SUBJECT: AUTHORIZATION TO AMEND THE “BUY LOCAL BONUS” PROGRAM TO
INCLUDE INCENTIVES FOR PARTICIPATING IN CUSTOMER
SATISFACTION SURVEY
RECOMMENDATION
Authorize the City Manager to amend the “Buy Local Bonus” Memorandum of
Understanding with the San Luis Obispo Chamber of Commerce to inclu de the purchase
of gift cards as an incentive for participating in the Community Development Department
customer satisfaction survey in an amount not to exceed $600.
POLICY CONTEXT
The 2023-2025 financial plan identifies “excellent customer service” as a strategic goal
for the Community Development Department (CDD). One of the key performance
indicators to measure staff’s success in this area is to verify customer satisfaction through
survey data. Staff uses the survey data to adjust business processes, and greater
participation in the survey is necessary to ensure that staff is making business process
improvements based on experiences shared by all customers. Furthermore, the survey
now includes optional demographic questions so that staff can analyze the data to also
ensure that all customers receive the same level of service. Therefore, more participation
would benefit operations, and thus the public, by informing staff of actual customer service
needs in areas that are accurately identified as unsatisfactory by survey participants.
Section 805 of the City Charter permits the use of public funds in the form of grants when
it serves as a public benefit. Greater participation in the survey would ultimately be to the
benefit of the public for the reasons stated above; additionally, staff is recommending
using this incentivization for survey participation as another opportunity to contribute to
local economic recovery efforts that are necessary as a result of the unprecedented
impacts of Covid-19. Therefore, staff recommends amending the MOU with the Chamber
to use the Buy Local Bonus program as a vehicle to deliver the incentive to the public to
contribute to the same economic recovery initiative.
DISCUSSION
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Item 5f
Background
Community Development staff is working with Information Technology (IT) staff to
implement more transparent business processes. The Community Development
Department (CDD) has several Key Performance Indicators (KPI) to measure CDD staff’s
success in providing excellent customer service. One KPI is to provide satisfactory
customer service, which is measured by a voluntary survey that is sent to customers
during the building and planning application process and after inspections.
Incentive Program
During the 2021-2023 Financial Plan period, the Community Development Department
issued 5,629 unique permits and reviewed 675 unique planning applications. Customer
satisfaction surveys were sent to applicants for each of these applications through an
automatic email. During that same time, staff received only 79 survey responses,
equating to a 1.25% response rate. In order to encourage greater participation, staff is
proposing to create an incentive program that will allow survey participants to voluntarily
enter a drawing managed by the Chamber of Commerce for a 50-dollar gift card to a local
business.
Survey respondents who wish to enter the drawing will provide their email at the time of
survey submission. Each month, for a total of 12 months, CDD staff will be notified of a
random winner selected by an automated database process configured by IT staff. The
winner will have the opportunity to claim one gift card through the Chamber. Survey
respondents who were not selected will remain in the pool to be considered in the
proceeding months. While individuals may submit multiple surveys if they have multiple
applications into the department, they will not be eligible to win multiple times throughout
the duration of the Incentive Program.
Previous Council or Advisory Body Action
On July 7, 2020, City Council authorized the City Manager to enter into various contracts
and program expenditures for Community Promotions based on the recommendations of
the Promotional Coordinating Committee. This authorization resulted in a Memorandum
of Understanding with the SLO Chamber of Commerce.
On December 14, 2020, the City Manager executed a Memorandum of Understanding
with the Chamber to create the “Shop Local Incentive” Program.
On November 15, 2022, the City Manager execute d a new Memorandum of
Understanding with Chamber to create the Buy Local Bonus Program (Attachment B)
Public Engagement
No public engagement has been done for this item; however, the public will have an
opportunity to comment on this at the meeting. Furthermore, any individual who submits
an application to the Community Development Department receives an email requesting
their participation in the customer satisfaction survey.
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Item 5f
CONCURRENCE
The Economic Development team supports this approach and MOU amendment.
ENVIRONMENTAL REVIEW
The California Environmental Quality Act does not apply to the recommended action in
this report, because the action does not constitute a “Project” under CEQA Guidelines
Sec. 15378.
FISCAL IMPACT
Budgeted: No Budget Year: 2023-2024
Funding Identified: Yes
Fiscal Analysis:
Funding
Sources
Total Budget
Available
Current
Funding
Request
Remaining
Balance
Annual
Ongoing
Cost
General Fund $ $600 $ $
State
Federal
Fees
Other:
Total $NA $600 $NA $NA
Staff is proposing that this one-time expenditure be funded through discretionary
spending accounts within the current fiscal year’s operating budget.
ALTERNATIVES
Council could decide not to approve the amendment to the current MOU and not
authorize staff to incentivize survey participation. This action is not recommended by
staff because greater survey participation will yield more accurate data that informs staff
on how to better serve the community and customers of the Community Development
Department.
ATTACHMENTS
A - Draft Amendment to the MOU with SLO Chamber of Commerce
B - Buy Local Bonus MOU between the City and the Chamber
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Page 1 of 2
AMENDMENT TO AGREEMENT NO. 1
THIS AMENDMENT TO AGREEMENT is made and entered in the City of San Luis
Obispo on _______________________________, by and between the CITY OF SAN LUIS
OBISPO, a municipal corporation, herein after referred to as City, the SAN LUIS OBISPO
CHAMBER OF COMMERCE, a California non-profit organization (herein referred to as “the
Chamber”).
WITNESSETH:
WHEREAS, on November 15, 2022, the City entered into a Memorandum of
Understanding with the Chamber regarding a Buy Local Bonus (the “Agreement”); and
WHEREAS the Buy Local Bonus in the form of business grants to acquire gift cards for
those who shop local, is intended to stimulate the local economy because of the lasting negative
impacts to local businesses because of the COVID-19 pandemic; and
WHEREAS amending the Agreement is necessary to include additional incentives in Buy
Local Bonus for participation in the Community Development Department customer satisfaction
survey; and
WHEREAS the survey incentive is considered a benefit to the public by increasing survey
participation so that the city can be accurately informed when adjusting business processes to
improve customer service;
NOW THEREFORE, in consideration of their mutual promises, obligations and
covenants hereinafter contained, the parties hereto agree as follows:
1. The Agreement, under Section 2 (b), shall also include the acquisition of gift cards
for those who are identified by the city as the randomly selected participants of the Community
Development customer satisfaction survey.
2. All other terms and conditions of the Agreement remain in full force and effect.
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Amendment to Agreement No. 1 with the Chamber of Commerce
Amendments to “Shop Local Incentive” Program
Page 2 of 2
IN WITNESS WHEREOF, the parties hereto have caused this instrument to be executed the
day and year first written above.
CITY OF SAN LUIS OBISPO
SAN LUIS OBISPO CHAMBER OF
COMMERCE
Derek Johnson,
City Manager
Jim Dantona,
President & Chief Executive Officer
Date: Date:
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MEMORANDUM OF UNDERSTANDING
BETWEEN THE CITY OF SAN LUIS OBISPO AND THE SAN LUIS OBISPO
CHAMBER OF COMMERCE REGARDING THE FY 22-23 BUY LOCAL BONUS
PROGRAM
This Memorandum of Understanding (“Agreement”) is entered into on ____________ (the
“Effective Date”) by and between the City of San Luis Obispo, a municipal corporation and
charter city (herein referred to as “the City”), and the San Luis Obispo Chamber of Commerce,
a California non-profit organization (herein referred to as “the Chamber”). The City and the
Chamber are sometimes referred to herein as a “Party” and collectively as the “the Parties.”
WITNESSETH
WHEREAS, local businesses operating within the City are experiencing unprecedented
economic impacts associated with the COVID-19 pandemic; and
WHEREAS, economic stimulus is a reasonable and necessary public purpose; and
WHEREAS, the City has adopted a Major City Goal and corresponding work program
to support the economic recovery of the community, including local businesses; and
WHEREAS, the City implemented a shop local incentive program called Buy Local
Bonus in December 2020; and
WHEREAS, the program has been successful over the last two years, and the City is
interested in continuing the program; and
WHEREAS, the Parties share long-standing organizational values of supporting local
businesses to nourish a healthy and thriving economy; and
WHEREAS, the Buy Local Bonus program, including similar programs like Eat Local
Bonus program (herein referred to as Buy Local Bonus) in the form of business grants to acquire
gift cards for those who shop and dine local, would stimulate the local economy; and
WHEREAS, it is recognized that each Party possesses the complimentary experience,
relationships, and skill sets, and therefore the City and the Chamber will each make specific
contributions to the Buy Local Bonus program effort, as further described herein, by providing
administrative and accounting functions; providing businesses applications for the program;
qualifying, acquisition, and fulfillment functions; facilitating public participation; providing
communications, media, and public outreach to ensure broad awareness of the program and
local impact results; and providing tracking, reporting, and follow up duties as required and
appropriate for the program; and
DocuSign Envelope ID: DEDFB180-C709-49AD-982E-AF07C28A0D9A
11/15/2022 | 12:37 PM PST
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WHEREAS, in consideration of the foregoing, the Parties desire to work together
collaboratively on a local business economic stimulus Buy Local Bonus program to provide
efficient administration and delivery of grant funds throughout the community to help local
businesses mitigate the economic impacts associated with the COVID-19 pandemic and wish
to work together and support each other toward the attainment of these mutual goals.
NOW, THEREFORE, in consideration of the mutual covenants, conditions, promises,
and agreements herein set forth, the Parties hereby agree as follows:
TERMS
1. Recognition of Mutual Benefit. It is in the interest of the Parties to work in partnership
towards efficiently achieving the goals of the Buy Local Bonus program. The City and the
Chamber have aligned goals in this regard, and this agreement will serve to broadly articulate
the scope and respective duties of the Parties to achieve the objectives of the economic stimulus
Buy Local Bonus program.
2. Scope and Responsibilities of the Parties. The Parties will collectively support the
implementation of the Buy Local Bonus program through the following actions and
responsibilities:
a. City of San Luis Obispo:
i. Provide this subject Memorandum of Understanding;
ii. Provide program framework including timeline, program parameters,
eligibility, and qualification specifications required by the City;
iii. Provide a designated staff person to coordinate with the Chamber on program
development and implementation;
iv. Provide a designated staff person to coordinate marketing and
communications, including program graphics, press releases, social media, and
business resources;
v. Communicate the program via the City channels, including email, website, and
social media;
vi. Serve as the primary spokesperson for media inquiries and community
outreach about the program;
vii. Provide a designated staff person to assist in the business qualification process;
viii. Provide program landing page, email alias (supportslo@slocity.org), business
application form, and application repository;
ix. Provide funds received by Measure G in installments to the Chamber, not to
exceed the amount authorized by the City Council in the Major City Goal work
program, to acquire economic stimulus gift cards;
x. Coordinate with the Chamber on tracking, reporting, and program close-out
duties, as necessary or required.
xi. Compensate the Chamber with a 10% administrative fee rate calculated from
the funds spent to acquire economic stimulus gift cards;
DocuSign Envelope ID: DEDFB180-C709-49AD-982E-AF07C28A0D9A
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b. San Luis Obispo Chamber of Commerce:
i. Serve as the primary contact to individual businesses, the public, and field
media inquiries about the Buy Local Bonus program;
ii. Respond to all email inquiries received in email alias (supportslo@slocity.org);
iii. Prepare and distribute press releases; social media content; digital content
relating to the program and coordinate those communications with the City;
iv. Communicate the program via the Chamber’s channels, including email,
website, and social media;
v. Administer and manage the business participation process, including
qualification, communication, gift card acquisition, inventory management,
and tracking;
vi. Facilitate the public qualification (receipt verification) process, including
qualification, communication, gift card selection and distribution, conflict
resolution, and tracking;
vii. Create and maintain a shared business and public tracking database shared with
the City;
viii. Provide the gift card selection and distribution (digital and physical) system,
including by serving as the physical pick-up location and providing a
digital/mail option;
ix. Coordinate with the City on tracking, reporting, and program close-out duties,
as necessary or required.
3. Facilities. The Parties will each use their facilities and equipment to carry out their
respective roles, and responsibilities for the “buy local bonus and eat local bonus” program.
4. Funding. The City will use its best efforts to provide funding for the Buy Local Bonus
program to the Chamber in a timely manner; however, this MOU does not obligate the City to
deliver funds to the Chamber in the event of unforeseen circumstances that might arise that
would prevent its ability to provide such funds. Once received, the Chamber shall use the funds
solely and exclusively for the purpose of carrying out the objective of the economic stimulus
gift card acquisition with local businesses in accordance with this MOU.
5. Termination of Agreement by Parties. Any of the Parties may terminate this MOU
for any reason whatsoever upon five working days following written notification of such
termination.
6. Relationship of Parties. The Parties shall each be considered an independent
organization and not an agent, officer, or employee of any other Party. Each Party’s officers,
members, affiliates, volunteers, employees, and independent contractors shall not be considered
agents, officers, or employees of any other Party.
7. Compliance with Laws. All Parties shall comply with all applicable statutes,
ordinances, or regulations now or hereafter adopted by any federal, state, or county
governmental entity and with all ordinances, regulations, policies, and guidelines now or
hereafter adopted.
DocuSign Envelope ID: DEDFB180-C709-49AD-982E-AF07C28A0D9A
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8. Amendments. Any Party may propose amendments to this MOU. Proposed
amendments that do not significantly affect scope, objectives, outcomes, or deliverables that
are considered minor in nature may be approved by the ranking Principal Contact for this MOU,
as identified in paragraph 12 below. Other material amendments require approval by the City
Council or the Chamber Board of Directors.
9. Counterparts. This MOU may be executed in digital counterparts, each of which shall
be deemed an original and all of which, taken together, shall constitute one and the same
instrument, binding on each signatory thereto.
10. Costs and Liabilities. The City will pay, and the Chamber will be compensated with a
10% administrative fee rate based on the total amount spent on gift card acquisition. Beyond
the administrative fee, each Party to this MOU shall be financially responsible for absorbing
costs incurred for their own participation and in carrying out the duties and responsibilities
described herein. It is understood that none of the Parties to this MOU are the agent of either
other Party and are not liable for the wrongful acts, omissions, or negligence of either other
Party. Each Party shall be responsible for its wrongful or negligent acts or omissions and those
of its officials, officers, employees, and agents, howsoever caused, to the extent allowed by
law, and shall be responsible for their own Commercial General Liability, Auto, Worker’s
Compensation and Errors and Omissions insurance and adherence to their respective
organizational policies.
11. No Assignment. The rights and obligations of the Parties to this MOU may not be
assigned or delegated.
12. Principal Contacts.
CITY OF SAN LUIS OBISPO:
Name Role:
Derek Johnson City Manager & Emergency Services Director
Molly Cano City Tourism Manager
SAN LUIS OBISPO CHAMBER OF COMMERCE:
Name Role:
Jim Dantona President & Chief Executive Officer
Jacqui Clark-Charlesworth Director of Communications
DocuSign Envelope ID: DEDFB180-C709-49AD-982E-AF07C28A0D9A
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12. Commencement and Expiration Date. This MOU is executed as of the date of the last
signature and is effective until all of the duties and responsibilities described herein are mutually
deemed complete unless any of the Parties initiates termination under paragraph 5 above.
ATTEST CITY OF SAN LUIS OBISPO
Teresa Purrington
City Clerk
Date Derek Johnson
City Manager
Date
APPROVED AS TO FORM
SLO CHAMBER OF COMMERCE
J. Christine Dietrick
City Attorney
Date Jim Dantona
President & Chief Executive Officer
Date
DocuSign Envelope ID: DEDFB180-C709-49AD-982E-AF07C28A0D9A
11/1/2022 | 11:42 AM PDT11/14/2022 | 3:34 PM PST
11/14/2022 | 5:14 PM PST11/15/2022 | 12:37 PM PST
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