HomeMy WebLinkAbout1999-227
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Resolution No. 1999-227
1 A RESOLUTION OF THE MAYOR AND COMMON COUNCIL AUTHORIZING THE
MAYOR TO EXECUTE A SERVICES AGREEMENT WITH PUBLIC ENTERPRISE
2 GROUP FOR THE PURPOSE OF DEVELOPING PUBLIC-PRIVATE
PARTNERSHIPS WITH PRIVATE CORPORATIONS AND OTHER ENTITIES AND
3 PERSONS
4 THEREFORE, BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL AS
5 FOLLOWS:
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8 and directed to execute on behalf of said City a Services Agreement with Public Enterprise
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SECTION 1.
The Mayor of the City of San Bernardino is hereby authorized
Group, a copy of which is attached hereto, marked Exhibit "A" and incorporated herein by
reference as fully as though set forth at length.
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SECTION 2,
This resolution is rescinded if the parties to the Agreement fail to
12 execute it within sixty (60) days of the passage of this resolution.
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1999-227
A RESOLUTION OF THE MAYOR AND COMMON COUNCIL AUTHORIZING THE
1 MAYOR TO EXECUTE A SERVICES AGREEMENT WITH PUBLIC ENTERPRISE
2 GROUP FOR THE PURPOSE OF DEVELOPING PUBLIC-PRIVATE
PARTNERSHIPS WITH PRIVATE CORPORATIONS AND OTHER ENTITIES AND
3 PERSONS
6 Common Council of the City of San Bernardino at a joint
regular
7th day of September ,1999, by the following vote, to wit:
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8 Council Members:
AYES
NAYS
ABSTAIN
ABSENT
9 ESTRADA
10
LIEN
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MC GINNIS
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13 SCHNETZ
14 (vacant) - 5th Ward
x
x
x
x
15 ANDERSON
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x
MILLER
x
(;:2"J.1J ~
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/t/ fA day of September , 1999.
20 he foregoing ordinance is hereby approved this
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24 pproved as to
25 orm and legal content:
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AMES F. PENMAN,
ity Attorney
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By:
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1999-227
SERVICES AGREEMENT
THIS AGREEMENT is entered into this
7th
day of
September, 1999, by and between PUBLIC ENTERPRISE GROUP, A California
corporation ("CONSULTANT") and the CITY OF SAN BERNARDINO ("CITY").
WITNESSETH:
WHEREAS, the City desires to retain the services of Consultant for the
purpose of developing public-private partnerships with private corporations and
other entities and persons; and
WHEREAS, Consultant possesses unique skills in bringing together public
entities and private entities fin new and creative ways that mutually benefit both
parties;
NOW, THEREFORE, the parties hereto agree as follows:
Section 1. Scope of Work
Consultant is hereby retained by City to engage in negotiations for the
purpose of procuring the establishment of corporate partnership agreements
between the City and private entities in accordance with the following phases.
A. Phase I:
Consultant shall develop a list of business entities that potentially could
become corporate partners. The list shall be presented by no later than
November 1, 1999, to the City Administrator for approval.
B. Phase II:
Upon written approval of the list of acceptable businesses by the City
Administrator, Consultant shall develop a package of partnership and/or
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1999-227
associated advertising and sponsorship benefits that could be offered to
each identified business entity by not later than January 1, 2000. The City
Administrator shall give written approval of each package.
C. Phase III:
Within 60 days approval of each package as described in Phase II, agent
shall develop a marketing plan for each partnership package, describing
the types of advertisements that the City may be willing to accept. The
marketing plan may include brochures, presentations, models, and site
visits to the potential partner businesses. The marketing plan will be
approved in writing by the City Administrator.
D. Phase IV:
Consultant shall implement the marketing plan, approaching City-
approved businesses within time lines mutually agreed upon by both the
Consultant and the City Administrator.
E. Phase V:
Consultant shall negotiate a partnership agreement with one or more
business entities. Consultant shall obtain letters of intent from each
business entity indicating the entity's willingness to enter into a partnership
agreement with the City. These letters shall be referred to the City
Administrator for preparation of agreements between each business entity
and the City. All agreements shall be subject to final approval of the
Mayor and Common Council. The City may require time to investigate the
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appropriateness of the proposed partnership agreement before granting or
withholding approval.
F. Phase VI:
The Mayor and Common Council retain complete authority to disapprove
any proposed agreement, including agreements that have resulted from
marketing plans previously granted approval. The City shall have no
obligation under any circumstances to pay Consultant commissions on a
given agreement, if such a proposed agreement is denied.
Section 2. Additional Consultant Duties and Obliqations
A. Consultant shall exercise his best efforts, using his skill, experience, and
knowledge to the best of his professional ability in providing the services required
under this Agreement.
B. Consultant shall inform City of any fact or occurrence that affects City
interests. Consultant shall also disclose to City any personal, business, or
financial interest, including but not limited to any ownership interest in,
representation of, or employment by any person or firm providing any product or
service that competes with any product or service by City that may actually or
potentially impair or otherwise affect Consultant's ability to represent the City's
interest to the maximum extent contemplated by this Agreement.
C. Consultant shall have no power or authority to contract directly with any
third party in connection herewith or in any manner on behalf of the City.
Consultant shall inform all prospective parties seeking corporate partnerships
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that the Mayor and Common Council of the City of San Bernardino retains the
sole, unfettered discretion to enter into a corporate partnership agreement.
D. Consultant shall not serve any of the City's competitors with respect to any
of the business entities with whom the City is seeking a partnership agreement,
without prior disclosure and specific written approval by the City.
E. Pursuant to the California Political Reform Act, Consultant shall be
considered to be a "consultant" subject to the terms of the Act, within the
meaning of the various regulations the Fair Political Practices Commission has
promulgated concerning consultants. Consultant shall file a Statement of
Economic Interest with the City Clerk upon execution of this Agreement, and
subsequently on an annual basis and upon termination of this Agreement.
Further, Consultant shall comply with California Government Code Section
1090.
F. Consultant shall review and become familiar with the San Bernardino City
Charter.
Section III. Compensation and Expenses.
A. Consultant shall receive a twelve percent (12%) commission on total gross
revenues generated by the first partnership agreement procured by Consultant
and formally approved by the Mayor and Common Council, less the credit
described in Section III, Part D below. It is understood that this commission will
be paid on actual revenues received during the partnership agreement, with the
each installment to be paid within ninety (90) days following receipt of revenues
by the City.
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B. Consultant shall receive a seven percent (7%) commission on all
partnership agreements subsequent to the first such agreement, less any
remaining credit applicable in accordance with Section III, Part 0 below.
C. The packaging and pricing of partnership agreements may be changed by
the City at its discretion from time to time, and Consultant shall not receive any
increased commission as a result of such change, unless Consultant negotiated
the change. If the City's revenues from a partnership agreement are reduced,
then the commissions due shall be reduced accordingly. Commissions shall only
be paid from total gross revenues and on a project by project cash accounting
basis. City shall have no obligation to pay commissions on benefits received
pursuant to a partnership agreement where the benefits are of a non-cash
nature, including but not limited to provision of property or services to the City.
D. Consultant shall receive four (4) recoverable draws against future
commissions. The total of the draws due shall be sixteen thousand dollars
($16,000). These draws shall be paid as follows:
a. $4,000 upon execution of this Agreement;
b. $4,00030 days after execution of this Agreement;
c. $4,000 60 days after execution of this Agreement;
d. $4,00090 days after execution of this Agreement.
The draws shall be credited against any commissions due Consultant under this
Agreement.
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E. City shall reimburse Agent's travel, printing, and other out-of-pocket
expenses, not to exceed Ten Thousand Dollars ($10,000). The City
Administrator shall approve all expense reimbursements.
Section 4. Exclusivitv.
Consultant shall have the exclusive right for acquiring corporate
partnership agreements for the term of this Agreement.
Section 5. Representation to Sponsors.
Consultant shall not make any statements or representations to
prospective partners or other promotional benefits that could mislead or confuse
the partners. Consultant shall indemnify, hold harmless and defend the City from
and against any and all claims, damages, liabilities, losses, costs, charges, and
expenses (including reasonable attorney's fees) resulting therefrom, which may
be brought in connection with or arising from any such statements or
representations.
Section 6. Indemnitv.
Consultant shall indemnify, defend and hold harmless the City, its officers,
employees and agents (including, without limitation, reasonable costs of defense
and reasonable attorneys' fees) arising out of or related to City's performance of
this Agreement, except that such duty to indemnify, defend and hold harmless
shall not apply where injury to person or property is caused by City's willful
misconduct or negligence. City shall indemnify, defend and hold harmless the
Consultant, its officers, employees and agents (including, without limitation,
reasonable costs of defense and reasonable attorney's fees) arising out of or
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related to Consultant's performance of this Agreement, except that such duty to
indemnify, defend and hold harmless shall not apply where injury to person or
property is caused by Consultant's willful misconduct or negligence. The costs,
salary and expenses of the City Attorney and members of his office in enforcing
this Agreement on behalf of City shall be considered as "attorneys' fees" for the
purposes of this paragraph.
Section 7. Insurance.
While not restricting or lirniting the foregoing, during the term of this
Agreement, Consultant shall maintain in effect policies of comprehensive public,
general and automobile liability insurance, in the amount of $1,000,000.00
combined single limit, and statutory Worker's compensation coverage, and shall
file copies of said policies with the City's Risk Manager prior to undertaking any
work under this Agreement. City shall be set forth as an additional named
insured in each policy of insurance provided hereunder. The Certificate of
Insurance furnished to the City shall require the insurer to notify City of any
change or termination in the policy.
Section 8. No emplovment.
Consultant shall perform work tasks provided by this Agreement; but for
all intents and purposes Consultant shall be an independent contractor and not
an agent or employee of the City. Consultant shall not receive any salary,
bonuses, or employment benefits from the City. City makes no representations
or warranties about the total amount of commissions or other remuneration that
Agent may earn from the procurement of corporate partnership arrangements.
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1999-227
Section 9. Non-discrimination.
In the performance of this Agreement and in the hiring and recruitment of
employees, Consultant shall not discriminate on the basis of race, creed, color,
religion, sex, physical handicap, ethnic background or country of origin.
Section 10. Term: Severabilitv.
A. The term of this Agreement shall be twenty-four (24) months, commencing
on the date of execution of this Agreement by the parties hereto.
B. Any time after ninety (90) days following the execution of this Agreement,
this Agreement may be terminated without cause upon thirty (30) days written
notice by either Consultant or City.
C. In the event Consultant or any employee of Consultant breaches this
Agreement when performing services on behalf of City for the benefit of City, City
shall have the right to terminate this Agreement immediately upon written notice
to Consultant. City shall have no obligation to pay Consultant commissions in
connection with any matter for which Consultant was terminated for cause.
Termination of this Agreement by City shall not limit any other right or remedy
which City may have under this Agreement, at law or in equity.
D. If the City terminates this agreement without cause, Consultant shall be
paid the commission provided for in Section 2 of this Agreement, if the
partnership agreement is executed within 180 calendar days after the termination
of this Agreement, and the Consultant has had negotiations with the entity that
entered into the partnership agreement prior to the termination of this Agreement,
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provided that the City had received notice in writing from Consultant of the
names of the prospective sponsors before or upon termination of this Agreement.
Section 11. Entire Aqreement Amendment.
This Agreement comprises the entire agreement of and between the
parties with respect to the subject matter hereof. This Agreement may be
amended or supplemented only by written agreement of City and Consultant.
Section 12. Waiver of Breach.
Any failure of Consultant and City to comply with any provision of this
Agreement may be expressly waived in writing, but such waiver shall not be
construed as a waiver of or an estoppel with respect to any subsequent or other
breach.
Section 13. Assiqnment Successors and Assiqns.
Consultant shall have no right to assign, sell, transfer or delegate, whether
involuntary or by operation of law, any right or obligation under this Agreement
without the prior written consent of City. Any purported assignment, transfer or
delegation in violation of this section shall be null and void. Subject to the
foregoing limits on assignment and delegation, this Agreement shall be binding
and shall inure to the benefit of the parties and their respective successors and
assigns.
Section 14. Controllinq Law.
The validity, interpretation, and performance of this Agreement shall be
controlled by and construed under the laws of the State of California.
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1999-227
Section 15. Notices.
Any notice to be given pursuant to this Agreement shall be deposited with
the United Postal Services, postage prepaid and addressed as follows:
TO THE CITY:
City Administrator's Office
300 North "D" Street
San Bernardino, CA 92418
Facsimile (909) 384-5138
TO THE CONSULTANT:
Don Shulte, President
The Public Enterprise Group
215 Main St.
Huntington Beach, CA 92648
Notice may also be given by facsimile ("fax") during regular business hours to the
numbers listed above, and such notice shall be deemed given upon receipt as
reflected in a transmission verification. Nothing in this paragraph shall be
construed to prevent the giving of notice by personal service.
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1999-227
IN WITNESS WHEREOF, the parties hereto have executed this
Agreement on the day and date first above written.
Date: SePtember~, 1999
The Public Enterprise Group,
a California corporation
CITY OF SAN BERNARDINO
By:
!~ij~u;j
J
I1(N(r1'r
By:
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Date:
Date:
ATTEST:
~Ci~
APPROVED AS TO FORM AND
LEGAL CONTENT:
By:
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