HomeMy WebLinkAbout07/06/2010, C12 - 2009-10 COMMUNITY PROMOTIONS CONTRACTS counat ,o
j acEnaa Report
C ITY OF SAN LU IS O B I S P O
FROM: Shelly Stanwyck,Assistant City Manager
Brigitte Elke,Principal Administrative Analyst
SUBJECT: 2009-10 COMMUNITY PROMOTIONS CONTRACTS
RECOMMENDATION
1. As recommended by the Tourism Business Improvement District (TBID) Board, extend
the contract for Marketing Services for the TBID (Specification No. 90895) with Level
Studios for an additional two years and authorize the Mayor to execute the amendment to
the agreement in the amount of$750,000.
2. Authorize the City Manager to enter into various contracts for Community Promotions not
to exceed the 2010-11 budget amount of$367,900 and based on the recommendations by
the Promotional Coordinating Committee (PCC) and the Tourism Business Improvement
District Board(TBID).
3. Authorize the City Manager to enter into contracts utilizing the Tourism Business
Improvement District Fund un-appropriated fund balance from the 2009-10 fiscal year for
tourism marketing expenditures in 2010-11.
DISCUSSION
Background
With the 2009-11 Financial Plan, the City Council approved the budget for the Community
Promotions program and defined the work program for Community Promotions and the Tourism
Business Improvement District. Both of these programs are overseen and administered by
advisory bodies to the Council. The Promotional Coordinating Committee(PCC)makes
recommendations regarding the use of Community Promotions funding and the Tourism
Business Improvement District(TBID) Board recommends the use of the TBID assessment.
Both boards submitted a budget and work program for the 2009-11 Financial Plan. Since several
of the contracts within the work program were one-year commitments,both boards revisited their
budgets and established recommendations for use of funding in 2010-11 and respective contract
assignments.
Division of Responsibilities between the two advisory bodies
In order to better define the roles of the two advisory bodies, both advisory bodies agreed that the
promotional approach should be divided into the two categories traditionally addressed in
tourism marketing; external and internal marketing. The TBID Board will concentrate its efforts
on external marketing and provide the driving force behind bringing tourists to San Luis Obispo.
The PCC will focus on internal marketing and concentrate its efforts on beautification, events,
entertainment, shopping, and dining. This specific division between the two efforts will provide
the mechanism to avoid duplication of efforts and implement the measures that entice tourists to
visit San Luis Obispo and provide experiences that encourage return visits. Fiscal year 2009-10
Cly- I
Council Agenda Report—2010-11 Community Promotion Contracts
Page 2
was the first year this division was implemented and the advisory bodies continue to pursue their
individual work programs with the new perspective and responsibilities in mind.
TBID
In 2008,the City released a RFP for marketing services (Specification No. 90895) and awarded
the contract to Level Studios as recommended by the TBID board. The two-year contract had an
extension clause of two two-year amendments if the defined work scope met the TBID boards
expectations and was executed to the board's satisfaction. This original contract had an
expiration date of June 30, 2010. Given that the board was pleased with the results of the initial
campaign, the developed website, tourism logo, and subsequent media campaign, it requested
that the contractor provide a marketing plan for 2010-11. In its June regular monthly meeting,
the TBID board approved the budget and the recommended marketing campaign and
recommends that Council authorize the extension of the agreement for two-years(Attachment 1).
The amount dedicated for the first year of the two-year period is $750,000. The TBID board
wants to review the campaign success at the end of the first year and determine the amount to be
dedicated to this effort for the second contract year.
In its budget deliberation, the TBID board also considered proposals from the San Luis Obispo
Chamber of Commerce, the San Luis Obispo Visitors and Conference Bureau, and an
independent Public Relations (PR) component. At this point, the TBID board recommends that
Council authorize the City Manager to enter into the separate contracts with the Chamber of
Commerce for upgraded hotel display and electronic kiosk at the Visitor Center, as well as a new
concierge training program for the amount of$53,400. The board also recommends the release of
a request for proposal (RFP) for the PR component and asks Council to authorize the City
Manager to release the RFP once the workscope is developed and to execute a contract as
recommended by the TBID board within a budget of$45,000 (Attachment 2). In its budget
deliberations, the TBID board also allocated funding for the hotel membership fees to the San
Luis Obispo Visitors and Conference Bureau and recommends funding at $29,001.
Promotional Coordinating Committee
Concentrating its efforts on internal marketing, the PCC recommended in its budget proposal for
2009-11 the allocation of funding to two CIP projects to complete the design and construction
phase of the directional sign program in addition to the construction of map kiosks and donation
boxes for the City's Open Space entrances. The committee also recommended growing the
current ShopSLO campaign into a countywide program and the City entered into a two-year
contract with Verdin Marketing Ink. to that end. All these efforts will continue in 2010-11 and
$115,000 is allocated to these efforts (Attachment 2).
Evaluation of Agreements and current partnerships
By recommendation from the PCC, the City has contracted with the Chamber for many years to
offer services related to tourism marketing. Over the years, the committee has worked closely with
the Chamber of Commerce to enhance, refine, and improve the services for optimum return of
investment to the City. The Chamber has been very responsive, collaborative and has consistently
demonstrated success and thorough follow-up on the contracted services. When discussing the new
budget and related contracts, the PCC felt it needed to further streamline all of its efforts to enhance
the experience for visitors to San Luis Obispo. The Committee therefore formed a contract task
fi
Council Agenda Report—2010-11 Community Promotion Contracts
Page 3
force to look into the contractual obligations that ended on June 30, 2010 and to make
recommendations as to the contracts in 2010-11. The task force met in two meetings to gather its
thoughts and initial ideas and then met with Chamber representatives to establish the desired
services and required work scope. In collaboration, the two parties established a new program to
deliver Visitor Center Services, Events Promotion and a brand new Economic Development
component that will create an economic development microsite on www.slochamber.ore
(Attachment 2). After presentation to the full committee, the PCC approved the presented contracts
and work scope and recommends that Council authorize the City Manager to execute the contracts
with the San Luis Obispo Chamber of Commerce.
In its initial work program the contract task force recommended the development of an events
brochure to be sent to County residents to invite them to San Luis Obispo to enjoy the cultural
activities, shop, and dine. After review of the item with the Chamber representatives and the full
PCC in a special meeting on June 23,2010, the PCC recommends releasing a RFP for this line item.
It therefore asks the Council to authorize the City Manager to release the RFP and enter into a
contract if the proposal is within a budget of $58,000. The PCC will oversee the RFP process,
develop the required workscope, and make a recommendation to the City Manager after evaluation
of the proposals received.
FISCAL IMPACT
The total amount currently budgeted in the 2010-11 Financial Plan for Community Promotions is
$1,226,100. The TBID fund is further expected to carry over an un-appropriated fund balance of
$265,800 per the Financial Plan Supplement.The exact un-appropriated fund balance will not be
know until August when the entire 2009-10 collection has occurred and the City's audit has been
substantially completed. However, there is sufficient funding for the recommended contracts and
RFPs as recommended by the two advisory bodies.
ALTERNATIVES
1. The Council could choose to fund the contracts at different levels or modify the scope of
services. The advisory bodies and staff do not recommend adjustments, as the proposed
contracts are the result of careful review, discussion, and negotiations between the parties.
2. The Council could direct the advisory bodies and staff to release Request for Proposals for
all the services outlined. This is not recommended since the recommended contractors are
well positioned to execute the established workscope in a cohesive and economical manner.
ATTACHMENTS
1. First Amendment to Agreement with Level Studios
2. Summary of contracts, financial obligation, and recommended workscope
3. Draft Minutes—TBID Board meeting June 9, 2010
4. Draft Minutes—PCC meeting June 9, 2010
5. Draft Minutes—PCC Special Meeting, June 23, 2010
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FIRST AMENDMENT TO AGREEMENT ATTACHMENT 1
THIS AMENDMENT TO THE AGREEMENT is made and entered into in the City of San Luis Obispo on this
day of by and between the CITY OF SAN LUIS OBISPO, a municipal corporation,
hereinafter referred to as City,and LEVEL Studios hereinafter referred to as Contractor.
WITNESSETH:
WHEREAS, on January 7,2009 City requested proposals for Marketing services for the City of San Luis Obispo
lodging industry per Specification No.90895;and
WHEREAS, pursuant to said request, Contractor submitted a proposal which was accepted by City for said
services;and
WHEREAS,the agreement allowed for two additional two-year terms;and
WHEREAS, the Tourism Business Improvement District Board has overseen the contractors work and is pleased
with the workscope and results achieved;and
WHEREAS, the Tourism Business Improvement District Board recommends a first two-year extension of the
agreement for marketing services.
NOW THEREFORE, in consideration of their mutual promises,obligations,and covenants hereinafter contained,
the parties hereto agree as follows:
1. TERM. The term of this Agreement shall be from the date of this Agreement is made and entered, as
first written above,until June 30,2012. By mutual agreement of both parties,the term of this Amendment may be extended
once for an additional two years.
2. INCORPORATION BY REFERENCE. City Specification No. 90895, Contractor's original proposal
and the proposal presented on May 12,2010 are hereby incorporated in and made a part of this Agreement.
3. CITY'S OBLIGATIONS. For providing services as specified in this Agreement, City will pay and
Contractor shall receive therefore compensation in a total sum not to exceed $750,000 for the 2010-11 fiscal year. The
City's obligation for the second contract year will be determined based on the recommendation of the Tourism Business
Improvement District Board.
4. CONTRACTOR'S OBLIGATIONS. For and in consideration of the payments and agreements
hereinbefore mentioned to be made and performed by City, Contractor agrees with City to provide services as described in
Exhibit A attached hereto and incorporated into this Agreement. ct , a—LI
ATTACHMENT 1
5. AMENDMENTS. Any amendment,modification,or variation from the terms of this Agreement shall be
in writing and shall be effective only upon approval by the Council of the City.
6. COMPLETE AGREEMENT. This written Agreement,including all writings specifically incorporated
herein by reference, shall constitute the complete agreement between the parties hereto. No oral agreement,understanding,
or representation not reduced to writing and specifically incorporated herein shall be of any force or effect, nor shall any
such oral agreement,understanding,or representation be binding upon the parties hereto.
7. NOTICE. All written notices to the parties hereto shall be sent by United States mail,postage prepaid by
registered or certified mail addressed as follows:
City City Clerk
City of San Luis Obispo
990 Pahn Street
San Luis Obispo,CA 93401
Contractor LEVEL Studios
3450 Broad Street,Suite 107
San Luis Obispo,CA 93401
8. AUTHORITY TO EXECUTE AGREEMENT. Both City and Contractor do covenant that each
individual executing this agreement on behalf of each party is a person duly authorized and empowered to execute
Agreements for such parry.
IN WITNESS WBEREOF, the parties hereto have caused this instrument to be executed the day and year first
above written.
ATTEST: CITY OF SAN LUIS OBISPO,
A Municipal Corporation
By:
City Clerk David F.Romero Mayor
APP D AS TO FORM: CONTRACTOR
By:
ttorney
EXHIBIT A
ATTACHMENT 1
SCOPE OF WORK FOR MARKETING SERVICES
1. Implement the strategies as outlined in the Marketing Plan by utilizing the full
marketing mix as it pertains to tourism related marketing. Planning, developing
and implementing promotional tools on the City and Tourism Business
Improvement District's (TBID) behalf that meet the criteria of reaching the defined
target audience considering traditional and new media opportunities. All
campaigns will aggressively market the City's tourism website
www.sanluisobispovaccatiohs.com and utilize the tourism logo "Sincerely,
California. All campaigns are subject to TBID Board review and approval prior to
implementation.
2. Continue to explore cooperative marketing opportunities with the San Luis Obispo
Vintners, Cal Poly, the Arts Community, San Luis Obispo County Visitors and
Conference Bureau, the Chamber of Commerce, the Downtown Association, etc.
3. Maintain an effective working relationship with the TBID Board. Scheduled
meetings will normally be on a monthly basis with the TBID Board and Contractor
should provide input, refine, and adjust marketing objectives and strategies as
recommended by the TBID Board.
4. Provide budget management. Pay invoices and account for all such activity
conducted on the City and TBID's behalf in monthly billing materials.
5. Provide account services such as, but not limited to, marketing concept, design
and production, events promotion, media buys and placement, account budget
and additional services as needed. Provide status reports on the account budget
including standing to date monthly reports. The agency should indicate whether
they intend to collect a flat fee or accept a commission. If contracted with a flat
fee, agencies are required to dedicate the commission amount to.the purchase of
additional advertising.
8. Provide the TBID Board with timely, written reports, one week prior to the regular
monthly meeting, which is held the second Wednesday of each month at 2:00 pm,
on the status of all aspects of the marketing campaign. Personally present a
monthly report on past activities and continuation of plan at the monthly regular
TBID board meeting. The.reports should encompass:
Summary of all marketing activities in the reporting period.
Summary of advertising placed during the reporting period.
Summary of direct consumer marketing placed during the reporting period.
Summary of results and responses to materials during the reporting period.
Examples of materials distributed during the reporting period including proof of
advertising.
Summary of strategic alliances supported during the reporting period.
Website.statistics. r !
3
- , ATTACHMENT 1
9. Planning and commissioning any research activity that the TBID Board and City
Council may require, including suggestions for and methods of continuing
evaluation of the effectiveness of the commissioned marketing campaign.
10.Coordinating activities of the marketing campaign with the TBID Board and
establish an effective working relationships with its members and assigned staff to
achieve coordinated and efficient use of all available resources thus avoiding
duplication of efforts with other city promotional efforts.
11.Provide advertising "fulfillment" services in response to requests for material
arising out of the TBID's marketing program.
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ATTACHMENT 1
City of SLO TBID 2010/2011 Marketing Budget
Print $79,000
Ma
LA g Special Central Coast Getaw _
ays $6,000
Westways Discover $18,000
Via Discover $15,000
California Visitor's Guide $33,000
Skywest _ $7,000
Banners MUM
Valueclick/Traffic Marketplace Optimized Channel Placements $60,000
Hotels.com $60,000
Trip Advisor __ $60,000
!Social Ads $40,000,
Buzzlogic $40,000
Social Networking________ $46,000
Smarty" $36,000
Social Networking Content Support $10,000
PPC - __ -_ __ - -__.___- _.. _.._. __. _ ___ $108,000
Google Adwords, Yahoo and Bing $108,000
SEO _- ,R __.___-_. _-._ _: ___-. $12;000
New Content and Page Optimization, Link Acquisition $12,000
Email - $40-0-00-
List
000List Rentals $15,000
Delivery and Database Management $10,000
Messaging and Content Creation $15,000
iAssets T $50g
Banners $30,000
Promo Pages $10,000
Email Templates $10,000
Media Subtotal $555,000
Site Features _ - $85,000
Site Maintenance $20,000
Regular Feature and Content Updates $20,000
Itinerary Builder $20,000
Promo Development $15,000
Project Management and Reporting $10,000
Site Subtotal $85,000
M
Program ane ement
_-- - ._ _--_---._ _-_ - _-- _ $110,000:
Media Director $35,000
Senior Marketing Strategist $15,000
Business Intelligence Analyst $45,000
Account Manager $15,000
Management Subtotal $110,000
Program Total $750,000
c a_g-
EXHIBIT B
ATTACHMENT 1
GENERAL TERMS AND CONDITIONS
1. Business License & Tax. Contractor must have a valid City of San Luis Obispo
business tax certificate prior to execution of the contract. Additional information
regarding the City's business tax program may be obtained by calling
(805) 781-7134.
2. Ability to Perform. Contractor warrants that it possesses, or has arranged through
subcontracts, all capital and other equipment, labor, materials, and licenses
necessary to carry out and complete the work hereunder in compliance with any
and all federal, state, county, city, and special district laws, ordinances, and
regulations.
3. Laws to be Observed. Contractor shall keep itself fully informed of and shall
observe and comply with all applicable state and federal laws and county and City
of San Luis Obispo ordinances, regulations and adopted codes during its
performance of the work.
4. Payment of Taxes. The contract prices shall include full compensation for all taxes
that Contractor is required to pay.
5. Permits and Licenses. Contractor shall procure all permits and licenses, pay all
charges and fees, and give all notices necessary.
6. Safety Provisions. Contractor shall conform to the rules and regulations
pertaining to safety established by OSHA and the California Division of Industrial
Safety.
7. Public and Employee Safety. Whenever Contractor's operations create a
condition hazardous to the public or City employees, it shall, at its expense and
without cost to the City, furnish, erect and maintain such fences, temporary railings,
barricades, lights, signs and other devices and take such other protective measures
as are necessary to prevent accidents or damage or injury to the public and
employees.
8. Preservation of City Property. Contractor shall provide and install suitable
safeguards, approved by the City, to protect City property from injury or damage. If
City property is injured or damaged as a result of Contractor's operations, it shall be
replaced or restored at Contractor's expense. The facilities shall be replaced or
restored to a condition as good as when the Contractor began work.
9. Immigration Act of 1986. Contractor warrants on behalf of itself and all sub-
contractors engaged for the performance of this work that only persons authorized
to work in the United States pursuant to the Immigration Reform and Control Act of
1986 and other applicable laws shall be employed in the performance of the work
hereunder.
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10. Contractor Non-Discrimination. In the performance .,ithis work, Co
rOAQOMENT 1
agrees that it will not engage in, nor permit such sub-contractors as it may employ,
to engage in discrimination in employment of persons because of age, race, color,
sex, national origin or ancestry, sexual orientation, or religion of such persons.
11. Work Delays. Should Contractor be obstructed or delayed in the work required to
be done hereunder by changes in the work or by any default, act, or omission of the
City, or by strikes, fire, earthquake, or any other Act of God, or by the inability to
obtain materials, equipment, or labor due to federal government restrictions arising
out of defense or war programs, then the time of completion may, at the City's sole
option, be extended for such periods as may be agreed upon by the City and the
Contractor.
12. Payment Terms. . The City's payment terms are 30 days from the receipt of an
original invoice and acceptance by the City of the services provided by Contractor
(Net 30).
13. Inspection. Contractor shall furnish City with every reasonable opportunity for City
to ascertain that the services of Contractor are being performed in accordance with
the requirements and intentions of this contract. All work done and all materials
furnished, if any, shall be subject to the City's inspection and approval. The
inspection of such work shall not relieve Contractor of any of its obligations to fulfill
its contract requirements.
14. Audit. The City shall have the option of inspecting and/or auditing all records and
other written materials used by Contractor in preparing its invoices to City as a
condition precedent to any payment to Contractor.
15. Interests of Contractor. Contractor covenants that it presently has no interest,
and shall not acquire any interest direct or indirect or otherwise, which would
conflict in any manner or degree with the performance of the work hereunder.
Contractor further covenants that, in the performance of this work, no sub-
contractor or person having such an interest shall be employed. Contractor certifies
that no one who has or will have any financial interest in performing this work is an
officer or employee of the City. It is hereby expressly agreed that, in the
performance of the work hereunder, Contractor shall at all times be deemed an
independent contractor and not an agent or employee of the City.
16. Hold Harmless and Indemnification. Contractor agrees to defend, indemnify,
protect and hold the City and its agents, officers and employees harmless
from and against any and all claims asserted or liability established for
damages or injuries to any person or property, including injury to
Contractor's employees, agents or officers which arise from or are connected
with or are caused or claimed to be caused by the acts or omissions of
Contractor, and its agents, officers or employees, in performing the work or
services herein, and all expenses of investigating and defending against
same; provided, however, that Contractor's duty to indemnify and hold
harmless shall not include any claims or liability arising from the established
sole negligence or willful misconduct of the City, its agents, officers or
employees.
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ATTACHMENT 1
17. Contract Assignment. Contractor shall not assign, transfer, convey or otherwise
dispose of the contract, or its right, title or interest, or its power to execute such a
contract to any individual or business entity of any kind without the previous written
consent of the City.
18. Termination. If, during the term of the contract, the City determines that
Contractor is not faithfully abiding by any term or condition contained herein, the
City may notify Contractor in writing of such defect or failure to perform; which
notice must give Contractor a 10 (ten) calendar day notice of time thereafter in
which to perform said work or cure the deficiency.
If Contractor has not performed the work or cured the deficiency within the ten days
specified in the notice, such shall constitute a breach of the contract and the City
may terminate the contract immediately by written notice to Contractor to said
effect. Thereafter, neither party shall have any further duties, obligations,
responsibilities, or rights under the contract.
In said event, Contractor shall be entitled to the reasonable value of its services
performed from the beginning date in which the breach occurs up to the day it
received the City's Notice of Termination, minus any offset from such payment
representing the City's damages from such breach. "Reasonable value" includes
fees or charges for goods or services as of the last milestone or task satisfactorily
delivered or completed by Contractor as may be set forth in the Amended Agreement
payment schedule; compensation for any other work, services or goods performed or
provided by Contractor shall be based solely on the City's assessment of the value of
the work-in-progress in completing the overall workscope.
The City reserves the right to delay any such payment until completion or confirmed
abandonment of the project, as may be determined in the City's sole discretion, so
as to permit a full and complete accounting of costs. In no event, however, shall
Contractor be entitled to receive in excess of the compensation quoted in its
proposal.
19. Ownership of Materials. All original drawings, plan documents and other
materials prepared by or in possession of Contractor as part of the work or services
under these specifications shall become the permanent property of the City, and
shall be delivered to the City upon demand.
20. Release of Reports and Information. Any reports, information, data, or other
material given to, prepared by or assembled by Contractor as part of the work or
services under these specifications shall be the property of City, and shall not be
made available to any individual or organization by Contractor without the prior
written approval of the City.
21. Copies of Reports and Information. If the City requests additional copies of
reports, drawings, specifications, or any other material in addition to what
Contractor is required to furnish in limited quantities as part of the work or services
under these specifications, Contractor shall provide such additional copies as are
requested, and City shall compensate Contractor for the costs of duplicating of
such copies at the Contractor's direct expense.
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Al IAUMMEN I 1
22. Attendance at Meetings and Hearings. As part of the vv. rkscope and included in
the contract price is attendance by the Contractor to public meetings to present and
discuss its findings and recommendations. Contractor shall attend as many
"working" meetings with staff as necessary in performing workscope tasks.
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ATTACHMENT
Budget Allocation Recommended by the Tourism Business
Improvement District Board
Contractor Workscope Budget
Allocation
Level Studios Marketing Services $750,000
Attachment 1 —Contract Amendment and
workscope
SLO Chamber of Hotel Board& Kiosk $27,600
Commerce Replace the current hotel board with a flat
screen TV monitor that rotates the TBID
members' 37 logos and have a direct dial
telephone with links to TBID member hotels.
Build an indoor/outdoor Visitors Center kiosk
incorporated into the existing building to be
accessible from the outside 24/7.
Concierge Program $25,800
Contractor will establish a program that offers
classes to front desk staff to become
"ambassadors"for the San Luis Obispo
Tourism.
SLO VCB Membership dues for all hotel members $29,001
To be determined RFP for Public Relations Services- The $45,000
TBID board will define the desired work scope,
evaluate proposals, and recommend the
referred contractor to the City Manager
Total Expenditure $877,401
2010-11 Budget $ 8539800
2009-10 Un-appropriated Fund Balance ** $ 265,800
Total TBID Budget 2010-11 $1,119,600
Proposed Expenditure
Level Studios $750,000
SLO Chamber of Commerce $ 53,400
SLO VCB $ 29,001
RFP $ 45,000
Total Expenditure $877,401
Un-appropriated Balance $242,200
** The exact un-appropriated fund balance will not be know until August when the entire 2009-
10 collection has occurred and the City's audit has been substantially completed.
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TACHN2 .
Budget Allocation Recommended by the Promotional Coordinating
Committee
Contractor Workscope Budget
Allocation_
SLO Chamber of Visitors Center Services $76,500
Commerce Operate a Visitors Center in downtown San
Luis Obispo to assist tourists with information
about tourist attractions and hotel availability.
Events Promotion $40,000
Manage local public relations efforts to San
Luis Obispo events.
Respond to media requests seeking information
about the City of San Luis Obispo.
Represent"San Luis Obispo Tourism"at two
Cal Poly Events—Open House&Homecoming
Economic Development $30,000
Encourage and help businesses to start, grow,
and relocate in/to San Luis Obispo by creating a
comprehensive microsite for businesses to find
information on the economic development of
San Luis Obispo as well as doing business in
San Luis Obispo
To be determined RFP for Events Brochure- The PCC will $58,000
define the desired work scope, evaluate
proposals, and recommend the preferred
contractor to the City Manager
2010-11 Budget $ 3729300
2010-11 Previous Commitments ** $ 1159000
2010-11 Contracts recommended incl. RFP $ 204,500
Total PCC Budget 2010-11 $ 3197500
Un-appropriated Balance $ 529800
** Previous Commitments
Directional Sign Program—Construction $ 509000
Open Space Kiosks—2 open spaces $ 159000
ShopSLO/DineSLO Campaign—Two-year contract $ 50,000
�1
Tourism Business Improvement District Board p,Tf pCHMENT 3
Minutes
Wednesday, June 9, 2010
2:00 pm
Council Chamber— City Hall
CALL TO ORDER: Chair John Conner
PRESENT: Billing, Wallace, Koper, Brown, Norris, Hutton
STAFF PRESENT: Brigitte Elke, Principal Administrative Analyst
PUBLIC COMMENT
John Summer—thanking for'TBID to fund the VCB in full in 2010-11. Point out that SLO
received 30 to 31% of web traffic over the last four years. Driven by marketing. Asked to
show ROI and they have done that. Asked for equity and they have done so.
CONSENT AGENDA
ACTION: Moved Wallace/Hutton to approve the consent agenda as presented.
Motion carried 6:0
Commissioner Norris abstained since she had not reviewed the items.
PRESENTATION
1. SUNSET - SAVOR THE SAVOR COAST
Steve Burns went over how the event came about through efforts that started just about a
year ago. Thanks to SLO that was one of first supporters the event now has double the cash
support than anticipated. Brief overview but main focus was to thank and give update. Josh
showed the Taylor Florence commercial. Sunset $1 mio of ad support
Were at Celebration Weekend. Big push from Sunset in about 3 weeks. Aggressive
campaign to drive tickets prices. Sunset loved bag design, better than their own.
Wallace: push to introduce local hotels into info about shuttles, programs, etc.
Steve: VCB will sponsor front-desk seminar. Sunset will have items to give to unhappy ,
customers to make good
2. SAN LUIS OBISPO SYMPHONY
Patty Thayer introduces Brian Hermanson the new ED for the Symphony. Proposal for
funding. Appreciate that TBID funding is also available for cultural event that usually produce
visitors that stay longer and spend more.
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C MACHMEW 3
Anniversary year for the Symphony. One of the marketing points for SIO is the Symphony.
50 for 50 due to anniversary. 50 events one is brand new— New Year eve concerts. SF and
Santa Barbara have it. Draw to City, be festive without bar involvement. Will be happy event
with popular music and Chef Megan Loring. County visitors who will hopefully spend the night
as well as out of county visitors. Ads will be placed in collaboration with the partners and will
utilize Level's efforts. Stay a while page in all programs with all hoteliers listed and link to
SinCal. Direct mail still works. Inclusion in season brochure designated to SLO hoteliers.
Trading lists with Mozaic and film Festival to increase from Symphony's list of 12;000. City of
SLO would be promoted throughout the season. Request for$10,000 with potential to get
people here and get them to come back. Subcommittee to look at proposal.
BUSINESS ITEMS
1. LEVEL STUDIOS
Ryan with standard monthly update,but before that introduced a Cal Poly class that did a project in
their Senior project and two winners presented their media plan and proposald. Cody, Sara, and
Stephanie. Level asked them to create a media plan for the TBID. Boosting SLO as destination and
increase nights. Cultural adventures and 50+travels were the target audiences.
Ryan will leave clippings for board members to review. Website update to encourage engagement=
offering and promotions. Monthly promotion coinciding with the monthly newsletter. Entering
automatically through sign up for the newsletter. $ amount against stay and no need for hotel offerings.
Mozaic included with tickets to concerts.
2. 2010-11 BUDGET
Chair started the discussion and ask the board to go over the proposed budget line item by
line time and approve each budget items separately.
Level Studios 2010-11 Marketing Services
ACTION: Moved Wallace/Hutton to approve the extension of the contract for two-years
and approved $750,000 in expenditure for fiscal year 2010-11.
Motion carried 7:0
Public Relations
ACTION: Moved Hutton/Norris to approve $45,000 and ask staff to prepare a RFP
document to that effect. Motion carried 7:0
Events Promotion
ACTION: Moved Wallace/Koperto approve $110,000 for events promotion to be used
as recommended by the Events Promotion subcommittee in fiscal year 2010-11
Motion carried 7:0
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A1[ACHMEW 3
San Luis Obispo Visitors & Conference Bureau (VCB)
This item had been sent back to the contracts task force for further evaluation of the request
made by the VCB. The task force met, but had not received the additional material requested
from the VCB and therefore recommends to approve the membership portion of the request
and postpone the decision regarding a general contribution until such material can be
reviewed.
ACTION: Moved Brown/Koper to approve the membership fees for all San Luis Obispo
hoteliers in the amount of$29,000. Motion carried 5:0
Commissioner Billing and Wallace abstained due to their being on the VCB board of
directors.
R&D — Star Report
ACTION: Moved Norris/Hutton to approve the commissioning of the STR report for
2010-11 in the amount of$3,700. Motion carried 6:0
Trade Shows
ACTION: Moved Koper/Wallace to approve $10,000 towards funding of possible
tradeshow attendance in 2010-11 Motion carried 7:0
San Luis Obispo Chamber of Commerce
ACTION: Moved Brown/Koper to approve the funding in the amount of$27,600 for a
Visitors Center hotel board and kiosk station. Motion carried 7:0
San Luis Obispo Chamber of Commerce
ACTION: Moved Wallace/Hutton.to approve the funding in the amount of$25,800 for the
development and execution of a concierge/ambassador program.
Motion carried 7:0
City Funding
ACTION: Moved Hutton/Brown to approve the funding of 4% of TBID assessment
revenue toward the City's administrative cost. Motion carried 7:0
3 SAVOR THE CENTRAL COAST EVENT FLYER
The board asked staff to send the flyer electronically to all TBID members.
Cla--17-
TBID LIAISON REPORTS
ATTACHMENT 3
1. HOTELIER UPDATES no reports were given
2. VCB UPDATE
The new visitors guide is now available. This year's attendance at PowWow was deemed a
great success.
3. SLO CHAMBER OF COMMERCE & CCTC
PR was achieved in Wine Spectator and CEO Dave Garth featured in the BBC's "Postcard
from across the pond". The new promotional brochure is finished and the Chamber is working
on distribution. CCTC Molly Morrison has been elected to the CCTC board of directors. The
organization attended PowWow and had 26 appointments. San Luis Obispo County featured
on May 16th in the Today Show and at some date in "In Good Morning England".
The meeting adjourned at 3:40 p.m.
w 1 y
Promotional Coordinating Committee ATTACHMENT 4
Minutes
Wednesday, June 9, 2010
5:30 pm
City Hall
Council Hearing Room
990 Palm Street
CALL TO ORDER: Chair Terry Conner 5:30 pm
PRESENT: LeMieux, Babb, Davis, J. Conner, Rizzo, Palazzo
STAFF PRESENT: Brigitte Elke, Principal Administrative Analyst
PUBLIC COMMENT
There was no public commen
CONSENT AGENDA
ACTION: Moved by Babb/Davis to approve the consent agenda as presented.
Motion carried 7:0
PRESENTATIONS
1. SUNSET— SAVOR THE CENTRAL COAST
Steve Bums from O'Donnel Lane, the Events Management company for Savor, thanked the
committee for the provided funding and becoming the first sponsor of the event! He reported that
Sunset's Marketing team is already selling the 2011 event to national sponsors. $70,000 in tickets
have been sold to date and local tickets are almost sold out. The Tribune wrap was instant ticket
seller and the team is confident that they will sell out.
2. SALMONID RESTORATION FEDERATION — 2011 CONFERENCE
Freddy Otte, City Biologist presented the conference that is currently in its 29th year and the only one
of its kind in California. The organizers are hoping to bring the 2011 conference to San Luis Obispo
and choose the City as one of five cities to rotate the conference in. the conference is always
scheduled mid-March. The Vets Hall will be the venue for the event seminars. The event is usually
supported by grants from Fish & Game, but this funding is not likely available for 2011. In 2011,
Stormwater will be a big topic at the conference and will attract people not usually present at the
conference. They have 300 to 400 participants each year for a four-day conference. The conference
cost is about $80,000 and the organizing committee is looking for$15,000 to offset cost for seminars
related to Stormwater and Fish Passage, and provide for transportation to and from field trips. The
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ATTACHMENT 4
committee members asked Mr. Otte to present a more detailed line item budget in July to better
assess revenue and expenditure.
3. CONTRACT UPDATES
Lindsey Miller with the Chamber of Commerce reported on the PR efforts and achieved placements
on MSN.com BBC's "Postcards from across the pond", and Wine Spectator. She also assisted the
TBID's PR agency with a writer from the Houston Chronicle and was working with a writer from
National Geographic. The Chamber will give a review of its 2009-10 efforts in July.
BUSINESS ITEMS
1. ELECTION OF CHAIR AND VICE-CHAIR
Commissioner J. Conner suggested to elect Marco Rizzo as chair and Dusty Davis as Vice-Chair for
the 2010-11 fiscal year. Both commissioners were willing to serve in this function.
ACTION: Moved by J. Conner/Davis to elect Marco Rizzo as Chair for 2010-11.
Motion carried 7:0
ACTION: Moved by Babb/J. Conner to elect Dusty Davis as Vice-Chair for 2010-11.
Motion carried 7:0
Immediate past-chair T. Conner handed the meeting over to Chair Rizzo.
2. SHOPSLO / DINESLO 2010-11 CAMPAIGN
Mary Verdin recapped the 2009-10 campaign goals and what the agency set out to achieve. The
DineSLO logo was created as well as the website for ShopSLO and DineSLO. The media campaign
in 2009 was mainly geared towards the holidays and became a great success with most media
outlets matching the media buy placed.
Both campaigns are gaining popularity in the social media outlets. However, the agency also learned
through the efforts around Mothers' Day that personal outreach to merchants will be the key to
success in 2010-11. For the next fiscal year, the team plans on building on last year's success and
actively encourage the use of the sites from both, merchants and customers. The social media
campaigns has been very successful and the team plans on building a Farmers' Market presence.
The media plan will be presented at the July meeting. The committee encouraged the contractor to
allocate funding to assist merchants in creating the online presence and to maybe hold a workshop or
training session. In addition, the committee encouraged incentives to customers to use the websites
and engage in the campaigns.
3. 2010-11 COMMUNITY PROMOTIONS CONTRACTS
Commissioner Davis reported that the contracts task force met five times. The goal was to realign
marketing and PR efforts with the internal focus of the committee.
The task force therefore recommended the following budget allocations and contracts:
r a -ate
ATTACHMENT 4
to remove the website and a-blast newsletter from the contracts as these elements belong to
the external efforts.
Fund the Visitors Center at the same level as 2009-10 but without the extra investment for
hotel boards and kiosks. Funding: $76,500
Economic Development Funding: $30,000
Public Relations and Events Promotion will become one contracts with the following elements:
o Local pubic relations efforts for San Luis Obispo events Funding: $25,000
o Respond to media requests seeking information about the City of San Luis Obispo
Funding: $10,000
o Represent the City at two Cal Poly events (Homecoming and Open House) $ 5,000
o Produce a high quality 36-page promotional events piece Funding: $58,000
o Re-produce the "Explore SLO" tear-off map $ 4,500
o Re-edit high definition video for Channel 20 play $ 1,500
o Produce SLO Wine map for Visitors Center $ 1,000
o Maintain My Media Subscription $ 1,500
The committee asked staff to incorporate language into the GIA agreements that collaborating with
the City's local events promotion contractor to maximize outreach will be mandatory.
A longer discussion followed regarding the production of the high-quality brochure.
The committee and the contractor agreed to meet in a special meeting to further discuss this item to
better define the end product.
Regarding the Economic Development component, the committee wanted to make sure that the
City's Economic Development Manager, Claire Clark, will be an integrated part which the contractor
acknowledged.
ACTION: Moved by J. Conner/Palazzo to approve the contracts with the Chamber of Commerce
as recommended by the Contracts Task Force with the exception of the Events
brochure which will need further discussion. Motion carried 7:0
PCC LIAISON REPORTS
TBID Board Report
Commissioner J. Conner reporter that the TBID board approved the budget which includes a hotel
board and kiosk at the Tourists Center, as well as an ambassador program with the Chamber of
Commerce.
PCC COMMUNICATIONS
Committee Chair T. Conner reminded the committee that the GIA recommendations will be before
Council on June 15th
Staff asked whether the committee would entertain, a presentation from the City's Transit manager
regarding the cuts in trolley services due to reduced Federal and State funding. The committee
agreed to agendize the item for July.
Meeting adjourned at 7:25 pm.
C l a- -a(
Promotional Coordinating Committee Attachment 5
Special Meeting Minutes
Wednesday, June 23, 2010
5:30 pm - City Hall
Council Hearing Room
DRAFT
CALL TO ORDER: Chair Marco Rizzo 5:30 pm
PRESENT: LeMieux, Babb, Davis, J. Conner, Palazzo
STAFF PRESENT: Brigitte Elke, Principal Administrative Analyst
PUBLIC COMMENT
There was no public comment.
BUSINESS ITEMS
1. 2010-11 EVENTS BROCHURE
The committee met with San Luis Obispo Chamber of Commerce (Chamber) representatives to
continue the discussion from the June 9, 2010 regular PCC meeting regarding an events brochure
element for fiscal year 2010-11.
Dave Garth, CEO and President of the Chamber, informed the committee that the Chamber analyzed
the project and came to the conclusion that it was not in the Chambers best interest to pursue this
contract as the project did not really fit into the Chamber's mission and work scope.
The committee discussed whether a print version was the best way to pursue the objective or
whether other means should be considered. In their discussion, the commissioners considered
timing, consumer behaviour, and the most cost effective approach. After in-depth discussion and
consideration of a multitude of elements and possibilities, the commissioners concluded that a
Request for Proposal would be in the City's best interest as the responding companies will develop
the most advantageous campaign for the funding available.
ACTION: Moved by Davis/Babb to release an RFP in the amount of$58,000 for City of San
Luis Obispo Events Promotion to be distributed countywide.
Motion carried 6:0
Meeting adjourned at 6:15 pm.
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DATE: July 1, 2010
TO: City Council �L IrC
FROM: Katie Lichtig, City Manager
Prepared by: Brigitte Elke, Principal Administrative Analyst
SUBJECT: Consent Item C12 for July 6, 2010
2009-10 Community Promotions Contracts
Consent item C12 pertaining to various contracts under Community Promotions for the fiscal ,year
2010-11 was inadvertently titled 2009-10 Community Promotions Contracts.
The City Clerks will release and amendment to the agenda correcting the title to read:
2010-11 COMMUNITY PROMOTIONS CONTRACTS.
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