HomeMy WebLinkAbout07/05/2011, C4 - 2010-11 COMMUNITY PROMOTIONS CONTRACTS council "' °�
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CITY OF SAN LUIS OBISPO
FROM: Michael Codron,Assistant City Manager
Brigitte Elke, Principal Administrative Analyst
SUBJECT: 2010-11 COMMUNITY PROMOTIONS CONTRACTS
RECOMMENDATION
1. As recommended by the Tourism Business Improvement District (TBID) Board,
approved the second year financing for the two-year contract with Level Studios and
authorize the City Manager to execute the amendment to the agreement in the amount of
$800,000.
2. Authorize the City Manager to enter into various contracts for Community Promotions not
to exceed the 2011-12 budget of $584,500 and based on the recommendations by the
Promotional Coordinating Committee(PCC) and the TBID Board.
3. Authorize the City Manager to enter into contracts utilizing the TBID Fund un-appropriated
fund balance from the 2010-11 fiscal year for tourism marketing expenditures in 2011-12.
4. Approve the 2011-12 Grants-in-Aid (GIA) allocations in the amount of $98,155 and
authorize the City Manager to execute the individual agreements with each grant recipient.
DISCUSSION
Background
With the 2011-12 Financial Plan, the City Council approved the budget for the Community
Promotions program and defined the work program for Community Promotions and the TBID.
Both of these programs are overseen and administered by advisory bodies to the City Council.
The PCC makes recommendations regarding the use of Community Promotions funding and the
TBID Board recommends the use of the TBID assessment. Both boards developed a budget and
work program for the 2011-13 Financial Plan, established recommendations for use of funding in
2011-12 and respective contract assignments.
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 Board's
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
recommended that Council authorize the extension of the agreement for two-years which was
approved on July 6, 2010 (Attachment 1 — Exhibit 1). However, the board recommended that
only the first year of the two-year contract receive funding as the board wanted 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. Given the success of the media campaign, the growing
interest in the website that has won three awards, the number of consumers sent to hotel sites,
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Council Agenda Report—2011-12 Community Promotion Contracts
Page 2
and increasing number of subscribers to the monthly newsletter, the Board recommends
allocating $750,000 towards the marketing campaign. It also recommends folding the PR effort
back into the marketing contract in order to streamline the efforts and maximize coordination. It
therefore recommends a total allocation of$800,000 to Level Studios in 2011-12. Due to the file
size, the one-year recap with detailed campaign information the agency presented in the May
board meeting is provided in the Council Reading File.
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,the Central Coast
Tourism Council, and the Smith Travel Reports. At this point, the TBID Board recommends that
Council authorize the City Manager to enter into the separate contracts with the Chamber of
Commerce to continue the established hotel display within the Visitors Center, the outdoor 24/7
information kiosk, and the concierge training program for a total amount of $34,800. In its
budget deliberations, the TBID board also recommends full funding for the hotel membership
fees to the San Luis Obispo Visitors and Conference Bureau and a general contribution towards
the countywide tourism marketing plan execution in the amount of$90,000.
Any un-appropriated fund balance will be used for events promotion of new events to San Luis
Obispo and trade show attendance during 2011-12..
Promotional Coordinating Committee
The new financial plan marks a different budget allocation to Community Promotions under the
PCC. The budget was reduced from $459,500 to $411,500 as part of the citywide cost savings
measures and the grants-in-aid funding, previously under Cultural Activities, was integrated into
Community Promotions. The advisory body was given free range to define recommendations for
the use of the funding and the related work program.
In its budget deliberations, the PCC first determined the budget line items it deemed essential to
the program such as grants-in-aid funding, the Visitors Center, events promotion, and the
directional sign project.
However, the committee did not want to continue investing in any other efforts without reviewing
the 2009-11 campaigns for effectiveness and prudent expenditure. The committee felt that the
ShopSLOIDineSLO effort, the events brochure, and the PR efforts needed to be reviewed and
possibly formed into one comprehensive program that allows for tracking of return of investment
(ROI). The committee wishes to invest in a program that produces ROI and provides trackable
values to the City and its residents. The committee therefore undertook a SWOT analysis in a
facilitated special meeting and is now embarking on drafting a communications plan. Once that
document is finalized, the committee will likely recommend the release of an RFP for a
comprehensive and cohesive promotional and incentive driven program. The committee
recommends continuing the PR and ShopSLO I DineSLO contracts on a month-to-month basis until
the evaluation of the Community Promotions program is concluded.
A detailed listing of the proposed financial obligations is provided in Attachment 1.
Grants-in-Aid
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Council Agenda Report—2011-12 Community Promotion Contracts
Page 3
In February of each year, the PCC begins its annual GIA process. Notices are placed in the Tribune
and on the City website to advertise the availability of the grant funding for local non-profit
organizations. Additionally, all previous recipients, as well as new organizations contacted
throughout the year, received email notifications regarding the grant availability.
Grant Application and Evaluation process
The grant cycle was opened on February 1, 2010 and applications were due on March 11, 2011.
On February 9, 2011, the PCC's GIA subcommittee held a mandatory meeting with all interested
organizations to introduce the grant funding criteria and new stipulations that the PCC would
consider in its funding recommendation to Council. In addition to the established criteria the
subcommittee also communicated Council's direction given during the 2009-10 and 2010-11
funding approval to encourage new applicants, new approaches to the promotion of events in
order to attract new audiences. 40 organizations attended the mandatory meeting.
By the deadline, 35 applications were received with a total funding request of $203,056. This
compares to 38 applications received in 2010-11 with a funding request of $263,252 and 36
applications in 2009-10 requesting grants for a total of$240,000.
Review Process and Recommendation
It was under this purview that the PCC convened its GIA subcommittee to review the applications
to establish preliminary grant recommendations. The GIA subcommittee reviewed the applications
and evaluated each by using the assessment criteria and Council's direction. The subcommittee read
every application carefully to evaluate the requests and reach its conclusion. The members
discussed and debated each one to make certain that they applied the criteria consistently and
evaluated the benefit to the City and its residents, as well as the applying organization. After due
consideration, the subcommittee had allocated $71,000 in grants-in-aid funding.
The subcommittee's preliminary recommendations were then presented to the entire PCC at its
regular monthly meeting on May 11, 2011. After an introduction by the subcommittee members
regarding the applied criteria, the PCC discussed each applicant and considered the allocation of an
additional $29,000 to distribute the initially earmarked $100,000.
New Approach to the Funding Recommendations
With this year's recommendations, the PCC continues its approach to the allocations started with
the 2010-11 grant cycle by rebalancing allocations between cultural and tourism related events.
In addition to assuring that the proposed events had sufficient direct benefits to San Luis Obispo
residents and visitors, the PCC wanted to signal that new approaches were encouraged in order to
grow events and to attract new audiences within the City and County.
The PCC focused on encouraging longstanding recipients of GIA funds to start looking at new
approaches, marketing opportunities, and outreach models to attract new audiences and pursue a
strategy to self-sufficiency. The committee therefore continued its process to reduce funding that
will ultimately lead to elimination of grant availability over three years if the organization
continues its status quo. They communicated to the grant recipients that full funding within the
grant criteria and available grant money would be considered for three years and then three years
of reduced funding. This would allow an organization six years of funding to grow an event and
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Council Agenda Report—2011-12 Community Promotion Contracts
Page 4
attract audiences in an effort to self-sustainability. However, the committee would always
consider new approaches and achieve opportunities based on the submitted business plan. In fact,
this process is intended to stimulate new thinking in how events are produced.
Final Funding Recommendations
The public meeting for applicants with the PCC was held on May 25, 2011, to formally present the
Committee's 2011-12 GIA preliminary recommendations. During the meeting, all applicants were
given an opportunity to address the PCC regarding the recommendations. Representatives from 19
organizations were present to express their appreciation for the grant funding and thank the PCC
and Council for the ongoing support. However, several organizations voiced their concern with the
new funding approach and wanted further clarification.
The following summarizes the PCC's 2009-10 final grant recommendations. Given the amount of
grant funding available and the grant requests received, the PCC had to make certain decisions
regarding funding allocations upfront in order to most equally distribute the money available:
1. Total funding available is$100,000.
2. Total funding recommended is$98,155 (Attachment 3 —Funding Recommendation)
3. Funding is provided to 30 organizations,with grants ranging from$500 to $9,050.
4. Organizations not present at the mandatory meeting were not considered for funding.
5. The committee did not consider organizations whose events or funding request did not
follow the grant criteria or did not pursue the most efficient marketing strategy (i.e.
possible partnerships that were not considered).
6. The committee concentrated on the advertising budgets within the request to help
organizations promote their events.
7. Whenever possible, the committee encouraged collaboration between the organizations
and joint-promotion. (i.e. Writers' Conference and Foundation for Public Libraries).
8. Organizations that have not changed their applications and approaches in several years
were reduced by 1/3 of last year's funding.
The GIA subcommittee chair will be available to Council at the Council Meeting to respond to
questions.
Next Steps
Upon Council adoption of grant recommendations, the City will enter into contracts with each of the
recipient organizations. Contracts will be monitored throughout the year by the PCC by assigning
individual members as liaisons to the various applicants. In order to apply for future year funding,
the organizations have to hand in a final report on the event and provide proof of City recognition
on marketing material. As the PCC embarks on redefining its program, it will also review its GIA
approach and further define the funding criteria and future allocations.
FISCAL IMPACT
The total amount currently budgeted in the 2011-12 Financial Plan for Community Promotions is
$1,384,500. The TBID fund is further expected to carry over an un-appropriated fund balance of
$100,000 per the Financial Plan Supplement. The exact un-appropriated fund balance will not be
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Council Agenda Report—2011-12 Community Promotion Contracts
Page 5
known until August when the entire 2010-11 assessment has been collected. However, there is
sufficient funding for the recommended contracts 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.
3. The Council could re-allocate funding provided through the GIA process. This is not
recommended as the PCC reviewed the applications thoroughly and applied the funding
according to the set criteria and expected benefit to the City's residents and visitors.
ATTACHMENTS
1. Community Promotions Funding Allocations with Exhibits
2. Grants-in-Aid Allocations
3. TBID meeting minutes, May 11, 2011
4. PCC meeting minutes, May 1.1, 2011
5. PCC Special Meeting, May 25, 2011
Council Reading File
2010-11 Marketing campaign presentation for the Tourism Business Improvement District
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ATTACHMENT 1
Budget Allocation Recommended by the Tourism Business
Improvement District Board
Contractor Workscope Budget
Allocation
Level Studios Marketing Services $750,000
Exhibit 1 —Contract Amendment and
workscope
PR Services $ 50,000
SLO Chamber of Hotel Board and Outdoor 24/7 Information $22,800
Commerce Kiosk
Continue the hotel board with the installed flat
screen TV monitor that rotates the TBID
members' 37 logos and offer 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 $12,000
Contractor will continue the established
program by offering classes at the hotels
(Exhibit 2). The training is geared towards front
desk staff to become"ambassadors" for the San
Luis Obispo Tourism.
SLO VCB Membership dues for all hotel members $29,000
VCB General Contribution for marketing plan $90,000
execution (Exhibit 3).
Central Coast Membership $ 610
Tourism Council Visitors Guide Ad $ 7,390
Smith Travel Monthly in-county data and statewide $ 4,000
Research comparison
TBID Cost allocation to the City cost to administer the $ 38,000
Administration TBID.
Total Expenditure 1 $1,003,800
2011-12 Budget $ 973,000
2010-11 Un-appropriated Fund Balance ** $ 100,000
Total TBID Budget 2010-11 $1,0739000
Un-appropriated Balance $ 699200
** The exact un-appropriated fund balance will not be known until early September when the
entire 2010-11 collection has occurred and the City's audit has been substantially completed.
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ATTACHMENT 1
Budget Allocation Recommended by the Promotional Coordinating
Committee
Contractor Workscope Budget
Allocation
SLO Chamber of Visitors Center Services 576,500
Commerce Operate a Visitors Center in downtown San
Luis Obispo to assist tourists with information
about tourist attractions and hotel availability.
Public Relations $3,333 per
Manage local public relations efforts to San month
Luis Obispo events. Contract will be
Respond to media requests seeking information month-to-month
about the City of San Luis Obispo.
This is a month-to-month commitment until the
PCC has concluded its evaluation of the overall
program.
Verdin ShopSLO I DineSLO $2,000 per
Marketing Continue updates and maintenance of the month
websites. Contract will be
This is a month-to-month commitment until the month-to-month
PCC has concluded its evaluation of the overall
program.
2010-11 Budget $ 411,500
Visitors Center $ 769500
Grants-in-Aid $ 989155
Directional Sign project—construction $ 509000
Events Promotion $ 50,000
Total $ 2749655
Un-allocated balance under review for new program $ 1369845
The month-to-month allocations for PR and ShopSLO
DineSLO will come out of this funding.
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FIRST AMENDMENT TO AGREEMENT
ATTACHMENT 1
THIS A7MENT TO THE AGREEMENT is made and entered into in the City of San Luis Obispo on this
J�Ay of by and between the CITY OF SAN LUIS OBISPO,a municipal corporation,
hereinafter referred to as ny,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
fast 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 apart 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.
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ATTACHMENT 1 CXH1gIT
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 Palm 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 party.
IN WITNESS WHEREOF, the parties hereto have caused this instrument to be executed the day and year fust
above written.
ATTEST: CITY OF SAN LUIS OBISPO,
A Municipal Corpooraftion
City Clerk David F.Romero Mayor
rPRD AS O CONTRACTOR
� B
4AI
torney
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ATTACHMENT 9
EXHIBIT A
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.sanluisobisi)ovaccations.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.
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ATTACHMEN-1 G�cHI�IT l
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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EXHIBIT B ATTACH1111tNT 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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• ATTACHmr
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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ATTAf''MENT 1 � v-& 1T
22. Attendance at Me. .igs and Hearings. As part of the,�.;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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ATTACHMEI. _ '1
Media (Passthrough) LEVEL Services
Offline Services
Print LEVEL Media Creation
Via Westways $ 9,000 Banner Ads $ 20,000
Via Discover $ 9,000 Email Designs $ 10,000
Packages Copywriting $ 15,000
Happiest $ 2,500 PR
2 Free Nights $ 6,000 On the Horizon $ 48,000
Weekend Getaway $ 15,000 Analytics and Optimization
Online Rosetta Search and Media $ 34,000
SEO Media Management $ 30,000
Rosetta(3 months) $ 30,000 Website
SEM Site Rebuild Phase 2 $ 10,000
Google Adwords $ 80,000 Site Maintenance $ 25,000
Microsoft $ 50,000 Content updates $ 15,000
Display Design.Support $ 35,000
ValueClick $ 40,000 Account Services
About.com $ 40,000 Media Direction $ 15,000
Yahoo $ 40,000 Program Management $ 15,000
Trip Advisor $ 35,000 Account Management $ 20,000
Google Display $ 60,000 Ad Hoc Requests(Slush Fund) $ 5,000
Email
LA Times $ 18,000 Total Services $ 297,000
LA Mag $ 18,000
Weekend Sherpa $ 25,000 GRAND TOTAL $ 900,000
3rd Party Media Services
Campaign Monitor $ 4,000
ClearSaleing $ 6,900
TruEffect $ 9,600
Photography $ 5,000
Total Media $ 503,000
2010 (SEM,Display,Print, Email) $ 438,000
2011 (SEM,Display,Print,Email) $ 424,000
+SEO $ 30,000
$ 454,000
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ATTACHMENT 1
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A 1-10SPITALII'N'TRAINING PROGIUMAI
m%sanluisohispo.org
2011-2012 Proposal for Funding
To the TBID
• Chamber,will provide up to seven My San Luis Obispo Hospitality
Training Session for TBID members only. These seven sessions are to be
marketed and coordinated by the TBID. Chamber will provide the
presentation of the My SLO program as well as the binders. TBID will
provided the meeting space. TBID and Chamber agree on training dates
with at least two weeks notice.
• Chamber will provide quarterly sessions (4 a year) of the program for
anyone interested in attending the program. Outreach and coordination
of the program will be done by the.Chamber. Outreach will continue to
include targeted groups from this year: SLO hotels, restaurants, wineries,
event groups, and attractions. No minimum attendance will be required
for the sessions, however maximum will be 25 and will be held in at
Chamber offices.
Total funding request: $12,000
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C4-18
Tourism Business Improvement District Board ATrACHMEItlI 3
Minutes
Wednesday, May 11, 2011
2:00 pm
Council Chamber— City Hall
CALL TO ORDER: Vice-Chair John Conner
PRESENT: Koper, Hutton, Norris, Pearce, Patel
STAFF PRESENT: Brigitte Elke, Principal Administrative Analyst
PUBLIC COMMENT
There was no public comment.
OATH OF OFFICE FOR NEWLY APPOINTED BOARD MEMBERS
Nipool Patel took the oath for his first term on the board.
CONSENT AGENDA
ACTION: Moved by Pearce/Hutton to approve the consent agenda with changes regarding
board attendance on April 13`h and April 28th respectively.
Motion carried 6:0
Changes:Commissioner D. Hutton was not in attendance on April 13th and Commissioner S.
Norris did not attend the April 28th meeting.
BUSINESS ITEMS
1. QUARTERLY CONTRACTOR REPORTS
Level Studios
Ryan Allshouse, Account Manager for Level Studios, started the presentation for the quarterly
review of the marketing effort. He presented together with Doug Klein and Rebecca Jensen.
They introduced the current 9-member team working on the TBID account and elaborated on
how they will leverage Rosetta's Travel and Hospitality team to maximize the TBID's investment.
Doug Klein reported on the agency's targeting strategy using specific experiences based on
seasonal themes.
C4-19
ATTACHMENT 3
2. EVENTS PROMOTION
Task force chair D. Hutton reported on the two presentations received on May 2, 2011, and the
funding recommendations by the task force.
Central Coast Railroad Festival 2011
ACTION: Moved by Hutton/Patel to support the Festival through Level Studios not to
exceed $5,000.
Motion carried 6:0
Plein Air Festival 2011
ACTION: Moved by Hutton/Pearce to assist the Plein Air Festival efforts through Level
Studios with funding not to exceed $5,000.
Motion carried 6:0
3. BUDGET 2011-12
Task force member J. Conner summarized the task force's discussion. The Chamber of
Commerce representatives confirmed that they will not be able to continue the hotel board for
the proposed amount of$3,600.
ACTION: Moved by Koper/Patel to accept the budget with the exception of the hotel board
that will be fully funded at $12,000 and the events promotion budget will be
lowered by $8,400.
Commissioner C. Pearce abstained from the discussion as he is a member of the Chamber
board.
4. LIAISON ASSIGNMENTS
Commissioner C. Pearce will take over the properties previously assigned to Jamie Wallace
including the two Motel 6 properties. Commissioner N. Patel will be the liaison for the San Luis
Inn and Suites, the Lamplighter Inn & Suite, the Sunbeam Motel, America's Best Value Inn, and
La Cuesta Inn.
5. POW WOW 2011
Pragna Patel with the Days Inn appealed the decision to send a City administrator to
International PowWow. She felt that hoteliers should be representing the lodging industry as it
was the hotel assessment that paid for the show cost.
Vice-Chair J. Conner explained why the registered delegates were selected and after
discussion, the commissioners decided to keep the delegate list as defined. However, the board
will refine the process for upcoming years in order to address Mrs. Patel's concerns.
ACTION: Moved by Pearce/ Norris to send the registered delegates to International Pow
Wow and determine a process and structure for future years.
Motion carried 6:0
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ATTACHMENT 3
The vote was revised before the meeting ended with board member J. Koeper changing his vote
to a no-vote. Motion carried 5:1
6. VCB WORK SCOPE FOR 2011-12 CONTRACT
Task force members J. Conner and D. Hutton presented the proposed workscope requirements
as presented in the staff report.
The commissioners concurred that the most important items were the changes to the website
and the Savor the Central Coast stipulations. No other changes or additional requirements were
discussed.
ACTION: Moved by Hutton/Patel to accept the task force recommendation as an
addendum to the contract for the 2011-12 VCB contract.
Motion carried 6:0
7. BOARD RETREAT
The commissioners discussed the best way to engage as many hoteliers as possible and
contemplated the use of Survey Monkey for input from hoteliers who are not likely to attend a
retreat. The item was continued to the June regular board meeting to further define the format
and process.
The meeting adjourned at 4:10 pm
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ATTACHMENT 4
Promotional Coordinating Committee
Minutes
Wednesday, May 11, 2011
5:30 pm
City Hall - Council Hearing Room
CALL TO ORDER: Chair Marco Rizzo 5:30 pm
PRESENT: LeMieux, Conner, Palazzo, Fidler, COX
STAFF PRESENT: Brigitte Elke, Principal Administrative Analyst
PUBLIC COMMENT
Dave Garth addressed the committee. He was concerned that PR, as traditionally contracted, was not
addressed in the preliminary budget considered by the PCC. He explained that the Chamber cannot
afford continue its reactive PR effort if not funded through Community Promotion.
OATH OF OFFICE FOR NEWLY APPOINTED BOARD MEMBERS
David Cox took the oath of office for his first term on the committee.
CONSENT AGENDA
ACTION: Moved by Davis/Cox to approve consent agenda as presented
Motion carried 6:0
PRESENTATIONS
1. DIRECTIONAL SIGN PROGRAM
Bridget Fraser, the project manager for the City, briefly summarized the project scope and its current
status. The preliminary designs have been reviewed by the Architectural Review Commission (ARC)
and the Cultural Heritage Commission and return to the ARC for final review on 5/16/11.
Pierre Rademaker with P. Rademaker Design and Debbie Rudd with RRM Design presented the
refined project based on feedback from the advisory bodies and pointed out the minimal changes that
had been applied. The main changes were driven by size requirements for the rural signs per Cal
Trans and traffic engineering. One of the questions they wanted feedback from the commission was
the background color for the signs. It was initially a reflective black, however, it might not be available
as the color palette is dictated by Cal Trans and only a handful of different colors are available.
C4-22
ATTACHMENT 4
Public Comment: A member of the City's Bicycle Committee mentioned that there are not enough
signs directing bicyclist through town. Debbie Rudd mentioned that they had established a list of
items that have come up during the process and bicycle related signs are listed.
ACTION: Moved by Palazzo/Fidler to approve the directional sign project as presented with a
preference for background color of black or a dark chocolate brown.. Motion carried 6:0
2. OCTAGON BARN
B.K. Richards updated the committee on the Octagon Barn. He covered location, history, why it is
important and its importance to the Bob Jones Bike Trail as the official start of the Bob Jones City to
Sea Pathway. The bam will be used for events as it can hold 200 people. The Land Conservancy will
rent the space in order to pay for the upkeep of the facilities. Ask whether he had any specific
requests of the City, he mentioned that a letter of support would be welcomed.
3. CONTRACTORS REPORTS
Chamber of Commerce
Lindsey Miller, Marketing Director for the Chamber of Commerce, asked for feedback on the new
wine map.
ACTION: Moved by LeMieux/Davis to approve the final design of the map, but use a different
color for wine tasting bars in order to distinct them from actual wineries.
Motion carried 6:0
Verdin Marketing
Ashlee Akers, Account Manager with Verdin Marketing, Ink., reported the current data for the
ShopSLO I DineSLO websites and the newsletter. She presented covers for the new events brochure
and will send a proof of the brochure layout to staff for distribution to committee and feedback as the
agency wants to go to print at the end of June.
/ BUSINESS ITEMS
/ 1. BUDGET 2011-12
111 Commissioner J. LeMieux reported on the Council action to increase the Community Promotion
budget. The committee then discussed how to proceed with the program and decided to call a
meeting of the marketing subcommittee to start the process.
ACTION: Moved by Davis/Cox to approve the budget as presented and to call a meeting of the
marketing subcommittee to start the process regarding the incentive program
components. Motion tamed 6:0 /
2. GRANTS-IN-AID FUNDING 2011-12
Commissioner LeMieux reported on the preliminary discussion in the subcommittee, explained the
"weaning" model, and the grant criteria. She explained that the subcommittee had not allocated all the
funding as the commissioners applied the criteria consistently to all applicants. The subcommittee did
not feel comfortable with randomly applying the remaining funding.
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ATTACHMENT 4
ACTION: Moved by Cox/Palazzo to accept the recommendation of the subcommittee and
distribute the remaining funding according to the percentage of the originally allocated
amount. Excluded from augmented funding are events that are already fully funded and
all the events that are considered under the "wean" model. Motion carried 6:0
3. EVENTS PROMOTION
Commissioner J. LeMieux reported on the two events heard at the monthly joint events promotion
task force meeting on April 30, 2011. Both events will receive some help from the TBID through its
agency and the PCC will consider funding for both, the Railroad Festival and the Plein Air Festival,
under Grants-in-Aid.
Staff gave a brief update on available funding. The funding kept for two new open space kiosks will
partially be used and $7,500 remain available for other efforts. Given that this would augment the
remaining funding to $12,500 for May and June, staff asked whether the committee would reconsider
funding for the "Future of Work" conference. The committee had previously recommended $3,000 of
the $7,500 requested.
ACTION: Moved by Fidler/Palazzo to fully fund the Future of Work Conference and increase the
recommended funding from $3,000 to $7,500. Motion carried 5:1
Given that this would leave about $8,000 in the events promotion budget, Verdin Marketing was
asked to provide a cost estimate for a 4-page increase of the upcoming events promotion brochure.
Staff is to place a second item on the agenda for the special meeting on May 25, 2011 to look at the
proposal.
Meeting adjourned at 8:36 PM
C4-24
1
BUDGET 2011-13—TASK FORCE RECOMMENDATION
ATTACHMENT 4
Taking advantage of the direction the PCC was given to consider a plan for next year that begins
with a clean slate, we are recommending a budget and program accordingly. As the budget
numbers indicate, we continue to consider the following items necessary and/or important
priorities: GIA, Signage, although at a less accelerated pace, and Support. On the other hand, the
strategy we are recommending regarding the balance of our budget, plus a modest additional
amount, mandates our taking the time to develop a cohesive and professional marketing plan and
to use the objectives and strategies that evolve from it to determine the specific programs we will
initiate for PR and promotion.
For the past couple of years, at least, programs have been initiated which did not necessarily
enhance each other even if though they may not have contradicted each other. It is our intent to
develop an integrated plan and programs that work harder, more synergistically and more
effectively to achieve the goals of our mission statement. The plan will include such things as
prioritizing and sizing the demographics of our target audience(s), identifying and prioritizing our
strengths, weaknesses, opportunities and threats (SWOT) and establishing guidelines such as
measurement techniques, sustainability, incremental development, community inclusiveness,
consistency, synergy, etc.
Although we are particularly interested in exploring the benefits of integrated incentives to create
more dynamic participation in our promotion events and programs among residents, businesses
and tourists, we will look to non-committee resources/vendors to make recommendations based on
the specific RFP we develop after completing our marketing plan. Based on our objectives and
budget, what do they recommend? They too should be given a clean slate to consider and
recommend what they consider the potentially most effective strategies (i.e. Day Glo billboards,
coupons, contests, TV commercials?). It is entirely possible that recommended strategies could
include adapting current programs such as Shop SLO/Dine SLO, but we do not consider that a
mandate. Similarly, we do not consider extending or renewing contracts with our current vendors
mandatory.
The budget recommended by the budget task force was amended below to reflect these changes.
Program 2010-11 2011-12 2012-13
Directional Signage $50,000 $50,000 $25,000
Open Space Kiosk $15,000 $ 0 $ 0
Events Promotion $50,000 $50,000 $50,000
GIA $96,000 $100,000 $100,000
Economic Development $30,000 $ 0 $ 0
Visitors Center $76,500 $76,500 $76,500
ShopSLO I DineSLO $50,000 $ 0 $ 6
Events Brochure $58,000 $ 0 $ 0
In-County PR/GIA Support $40,000
Incentive Program / PR $ 0 $132,500. $132,500
Total $459,500 $411,500 $384,000
C4-25
Promotional Coordinating Committee AffachmentMinutesWednesday, May 25, 2011
5:30 pm
City Hall - Council Hearing Room
CALL TO ORDER: Vice-Chair Dusty Davis 5:30 pm
PRESENT: LeMieux, Palazzo, Cox
STAFF PRESENT: Michael Codron, Assistant City Manager
PUBLIC COMMENT
There was no public comment on items not on the agenda.
BUSINESS ITEMS
1. GRANTS-IN-AID 2011-12
M. Codron provided the Committee with an agenda report describing the GIA process and committee
member J. Lemieux discussed the GIA subcommittee recommendation. Vice Chair D. Davis then
read through the list of recommendations and asked the public to comment:
Most attending organizations voiced their appreciation for the recommended funding. Several
representatives asked for clarification on the new process to reduce funding over time for
organizations that have received funding and have not made changes to the events in order to grow
and attract new audiences. Commissioner J. Lemieux described the purpose behind the process of
reduced funding over time and reiterated that the purpose of the grant is to help an event to establish
itself, but not to cavy it indefinitely. Once it is well-established, it should be able to stand on its own.
This approach will allow funding and seed money for new events and diversity in the events that are
supported. Commissioner S. Pallazo reiterated the Council's desire and direction to see new events
and organizations being supported.
Committee Member J. Lemieux indicated that the guidelines for the new process will be clarified and
that she will work with staff to establish a new list of criteria to be approved by Council.
ACTION: Moved by Palazzo/Cox to recommend approval of the 2011-12 GIA funding levels as
presented. Motion carried 4:0
2. EVENTS PROMOTION BROCHURE
Vice Chair D. Davis introduced the item and Mary Verdin passed around the examples of the front
cover for consideration by the Committee. She described the pricing difference between 12 and 16
C4-26
Attachments
pages and mentioned that there is plenty of content to fill 16 pages. 16 pages also offer economies of
scale from $6/page to $5/page and will allow for a lot more pictures in the brochure.
Vice Chair D. Davis asked for clarification on the available funding. Committee Member D. Cox said
that a half-day facilitator should cost less than $1,000.
ACTION: Moved by Palazzo/Cox to recommend approval of$6,000 to increase the Summer/Fall
events promotion brochure from 8 to 16 pages. Motion carried 4:0
ACTION: Moved by Palazzo/Cox to utilize the originally presented cover for the Summer/Fall
events promotion brochure. Motion carried 4:0
3. COMMUNICATIONS PLAN AND INCENTIVE PROGRAM
Committee Member Cox reported on the subcommittee discussion to update the current SWOT /
PEST analysis and to establish a communication plan. The subcommittee members recommended
hiring a facilitator for a half-day session with the goal to develop a marketing and communications
plan that is cohesive with the TBID's efforts, so that both advisory bodies are working in the same
direction.
ACTION: Moved by LeMieux/Cox to determine a date for the retreat and hire a facilitator within
budget, to develop the new communication plan. Motion carried 4:0
ACTION: Moved by LeMieux/Cox to recommend approval of month-to-month agreement with
Verdin Marketing Ink for ShopSLO I DineSLO and the Chamber of Commerce for PR
services until the new program is concluded. Motion carred 4:0
Meeting adjourned at 6:37 PM
C4=27