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HomeMy WebLinkAboutStaff Report 138 10TO: HONORABLE CITY COUNCIL FROM: CITY MANAGER DATE: FEBRUARY 8,2010 REPORT TYPE: ACTION 14' DEP ARTMENT:PLANNING AND COMMUNITY ENVIRONMENT CMR: 138:10 SUBJECT: Review of Destination Palo Alto Metrics and Direction to Staff to Pursue Transition to Participation in the San Mateo County Tourism Business Improvement District RECOMMENDATION Staff recommends that the City Council: 1) Review the baseline data, methodology and Destination Palo Alto return on investment information; and , 2) Direct staff to explore participation in the San Mateo County Tourism Business Improvement District operated by the San Mateo County/Silicon Valley Convention Visitors Bureau. EXECUTIVE SUMMARY The purpose of this report is to respond to ~ity Council questions and concerns regarding the City's return on investment for the City's visitorship effort, Destination Palo Alto. At the November 2, 2009 City Council Meeting, staff was directed to return to City Council within three months with details of metrics to be used to measure performance of the program. This staff report contains detailed baseline data on transient occupancy tax revenue, occupancy rates, and total number of hotel rooms for Palo Alto and 7 other area cities. In addition, a specific estimate is provided for transient occupancy tax revenue generated as a-result of the San Mateo/Silicon Valley Convention and Visitors Bureau (SMlSVCVB) through Destination Palo Alto. The period covered in this review is November 2008 through December 2009. The data indicates the City received $187,061 in revenues, as compared to the $249,000 cost of the program which includes the $25,000 paid directly to the Palo Alto Weekly (for local marketing-website, visitors' guides, rack brochure) and operation of the Visitors' Center at the Chamber of Commerce. CMR: 138:10 lof6 Since the City Council meeting in November, staff has received communication from the SM/SVCVB regarding its desire to transition from the existing contract to the inclusion of Palo Alto hotels into the existing Tourism Business Improvement District operated by the CVB. This change would result in the hotel guest paying a small increment ($.15 to $1.00) per room, per night rather than the City providing funds in the Destination Palo Alto contract. Essentially, the same service level would be provided to hotels through this approach, following up on the success of Destination Palo Alto. The SM/SVCVB has also indicated continuation of the Palo Alto Visitors' Center at the Palo Alto Chamber of Commerce. The potential cost savings to the City would be approximately $60,000 -$120,000 in FY 2010. BACKGROUND In October 2005, the City Council directed staff to agendize a Council discussion that would explore enhancing Palo Alto's economy by improving visitor outreach. In February 2006, staff convened a committee of stakeholders for a Palo Alto visitorship effort. The committee, Destination Palo Alto, was chaired by the City Manager and held its first meeting on March 15, 2006. Stakeholders included: the Palo Alto Chamber of Commerce, Stanford Athletics, Palo Alto Business Improvenlent District, Palo Alto Weekly, Stanford Visitor's Center, Palo Alto Online, California Avenue Area Development Association (CAADA), Stanford Shopping Center, Stanford University, Town and Country Shopping Center, Palo Alto Arts Center and business representatives from the hotel, retail and hospitality industries. The goals of Destination Palo Alto included the development of a specific, actionable and achievable plan that would strengthen visitorship in Palo Alto. Three key objectives included: 1. Attracting more visitors to Palo Alto 2. Promoting return visitorship to Palo Alto 3. EntiCing visitors to stay longer, use additional amenities and spend more money locally Staff issued an RFP for visitorship services on April 14, 2008. Staff was directed to include $240,000 for the Destination Palo Alto program in the FY 2009 proposed budget and $240,000 in the FY 2010 proposed budget. Based on input from the Administrative Services Department, a formula was identified for estimating the City's return on its investment for Destination Palo Alto. Based on a 5% increase in the occupied room days for the five largest hotels in Palo Alto, the growth in revenue was estimated to be approximately $240,000 yearly. This amount was proposed for two years as a part of the FY 2009 and FY 2010 budgets. On October 6, 2008, City Council authorized the City Manager or his designee to execute the agreement with the San Mateo County/Silicon Valley Convention and Visitors Bureau (SMC/SVCVB) in an amount not to exceed $455,000 for visitorship services for the fiscal year 2009 and fiscal year 2010. $25,000 of the total $240,000 contract amount was awarded to the Palo Alto Weekly for an upgrade of the Destination Palo Alto website ($15,000) and for the provision of two visitor CMR: 138:10 20f6 guides ($10,000). The cost of the visitor guides and website upgrade are one time costs. No rate of return was calculated for this portion of the contract. Thus, in the first year of the contract, the SMC/SVCVB portion of the contract was only $215,000. In the second year of the contract, the full amount of $240,000 was allocated for the provision of visitorship services by the SMC/SVCVB. On November 2,2009, City Council confirmed the extension of the contract but requested that staff return with a description of the methodology and specific metrics to be used to quantify the City's return on its investment. The Council also directed that the contract be amended to provide for a 60-day termination clause by either party (which has been completed). DISCUSSION Staff has collected baseline data from a number of other cities in an effort to address the questions from City Council. Attached is a spreadsheet that identifies the transient occupancy tax (TOT) revenue, occupancy rates (when available) and the total number of hotel rooms in Palo Alto, Berkeley, Redwood City, Cupertino, Campbell, Mountain View, Menlo Park and Sunnyvale (Attachment 2). Baseline Metrics Staff analyzed FY2007, 2008, and 2009 data related to TOT revenue, percentage occupancy rates and number of hotel beds from 8 cities: Palo Alto, Menlo Park, Cupertino, Berkeley, Redwood City, Campbell and Sunnyvale. The statistical analysis did not identify any significant differences accounted for by either the presence or absence of a convention bureau, or the rate of TOT. Overall, the statistical results of the TOT analysis indicated that macroeconomic factors, especially the downturn in the economy in the Bay Area Region, swamped any other effects. While no specific inferences can be made from this data, the collection of baseline figures will allow staff to determine the impact of Destination Palo Alto as the program continues to develop. Rate of Return The Destination Palo Alto contract was initiated in October of2008. Events and hotel room bookings are planned months and even years in advance. For this reason, the CVB cannot attribute any hotel bookings to the program for that 2008, therefore the table below begins with calendar year 2009. The following table illustrates rooms booked in Palo Alto for 2009, and 2010 (based on bookings through 12/15/2009). In addition, revenues generated through transient occupancy tax, secondary impacts (such as sales tax) and costs to operate Destination Palo Alto are detailed. CMR: 138:10 30f6 Table I Destination Palo Alto 2009 2010 (Full year estimate) 10 ····ROPll1s .bookedl ..... : 9,900 12,0,00··' . ..... ...•.... . . '.' ' . Palo Alto hotel room revenue generated by $1,439,559 $1,744, 920 DPA2 "Secpndary Revenllelmpact 3·· $1,439;059 $1,73S;08() " . . ' A. TOT Revenue to Palo Alto from DPA $172,747 $209,390 bookings 4 B. Sales tax revenue 5 $14,314 $17,351 TotalTOT and Sales Tax Revenue 6 $187,061 $226,741 : Annual Cost ofDPA 7 $240,000 $240,000 C.Return oil investment 8 78% 94.4% "D:RateofReturn (without Visitor Center) 117% 142% The following summarizes some of the key assumptions used to prepare the table (corresponding to the footnotes): 1. Rooms booked by SMC/SVCVB 2. Average room rate (9,900 x $ 145.4l1night = hotel room revenues) 3. Secondary Revenue Impact (retail sales, restaurant sales, services purchased by ,travelers) 144.59 per room per day per Smith Travel Research 4. TOT rate of 12% 5. . Sales tax at 1 % of retail impacts 6. A+B 7. Amount includes $25,000 to PA Weekly (2009) and $80,000 for Visitor Center at Chamber of Commerce 8. Ratio of total City revenue to cost ofDPA ($240,000) 9. Data through 12115/2009 10. Contract period is 10 months in 2010 Staff notes that there is an anticipated 21 % increase in total transient occupancy tax, and sales tax revenue comparing 2009 figures to 2010. This trend is expected to continue as the program matures and as additional room nights are booked. The ROR is estimated at 78% for 2009, including the dollars allocated to the Palo Alto Weekly ($25,000) and for the Visitor Center ($80,000). For 2010, the return on investment is projected at 94% (again including the Visitor Center costs). The figures above assume all room nights booked become actual room stays, which may tend to overstate bookings. However, this overstatement is somewhat offset by other revenues not captured in this metric, such as room night revenue, sales tax and total economic impact generated from leisure travelers generated by numerous articles and advertisements featuring Palo Alto, and rooms generated by features or ads in publications aimed at meeting planners. CMR: 138:10 40f6 Tourism Business Improvement District Attached to this staff report is a letter dated December 18,2009 which staff received from the SM/SVCVB. In the letter, the CVB indicates that inclusion of Palo Alto hotels into the Tourism Business Improvement District (TBID) which encompasses most of San Mateo County (with whom Palo Alto would otherwise compete for hotel room bookings without inclusion into the CVB) would be a more effective way to deliver tourism services in the Palo Alto marketplace. This was the longer term outlook for Destination Palo Alto when it was initiated. Should Palo Alto opt into the TBID, the CVB will retain its visitor center presence in the Palo Alto Chamber office at no additional cost to the City, so service would be uninterrupted. The CVB proposes that the contract between the CVB and the City of Palo Alto end in April or May of 20 1 0 (depending on the timeframe for public notifications, etc.) and that the City Council direct staff to pursue participation in the existing TBID. Inclusion into the TBID would result in a nominal additional cost to travelers. The range of cost is approximately 15 cents to $1 per room night based on the projected occupancy of each hotel. Smaller hotels with linlited services and meeting space with lower occupancy pay less than larger, full-service hotels. The CVB's TBID has been in place successfully since April of2001. Other areas competing for meetings with TBIDs of their own include San Jose, San Francisco, Santa Clara, Sacramento County, San Diego and Santa Cruz County. The CVB has already conducted outreach to the largest four hotels and others in Palo Alto that represent a majority of rooms in the City. Currently a number of Palo Alto hotels including the Westin, Sheraton and Dinah's Court have indicated their support for inclusion into the TBID. The CVB is continuing its outreach and will report these outconles at City Council. Should City Council determine that participation in the TBID be explored, staff will return to City Council tentatively on March 8, 2010, with a resolution of intention for inclusion into the TBID by Palo Alto hotels. The entire TBID inclusion process may take up to 90 days with notifications. This process is similar to that used to establish the Palo Alto Downtown Business Improvement District. RESOURCE IMPACT The first year of Destination Palo Alto Visitor Program was funded through an allocation of the City's General Fund for FY 2009. The amount of the funding allocated for the program was based on the expected growth in hotel occupancy that results from implementation of the program. The expected growth in occupancy was estimated to be 5 percent, which translates into $240,000. It is estimated that approximately $187,061 was generated in revenue to the City in transient occupancy tax and sales tax alone for 2009. The Destination Palo Alto program is a two-year pilot with $240,000 for the second year allocated as a part of the 2009-11 budgets. If the contract is ended in April-June, 2010, approximately $60,000-$120,000 of the original contract amount will not be expended. Staff has recommended the flexibility to terminate the contract in April or May, depending on the time required for TBID inclusion to ensure uninterrupted services to the hotels and visitor's center at the Chamber of Commerce. CMR: 138:10 50f6 ENVIRONMENTAL REVIEW This action by the City Council is not considered a project pursuant to Section 21065 of the California Environmental Quality Act. PREPARED BY: S SAN BARNES, anager E onomic Development/Redevelopment DEPARTMENT HEAD: CURTIS WILLIAMS, Director Planning and Community Environment CITY MANAGER APPROVAL: ATTACHMENTS Attachment 1: Attachment 2: Attachment 3: CMR: 138:10 Letter from SMC/SVCVB of Decenlber 21,2009 Baseline data on transient occupancy tax revenue, number of hotel rooms and occupancy for selected cities CMR: 386:09 dated November 2,2009: Approval of the Extension of the Agreement between San Mateo County Convention and Visitors Bureau and the City of Palo Alto for the Provision of Destination Palo Alto Visitorship Services in the amount of $240,000 for Fiscal Year 2009/10 6of6 December 21, 2009 Palo Alto City Council 250 Hamilton St. Palo Alto, CA 94301 ATTACHMENT 1 111 Anza Boulevard, Suite 410, Burlingame, CA 94010 650-348-7600 • 1-800-288-4748 Fax 650-348-7687 info@sanmateocountycvb.com • www.visitsanmateocounty.com Dear Mayor Drekmeier and Members of the Council: As you know, we began representing Palo Alto hotels and motels in October, 2008, promoting your properties in the same manner as the properties in the cities we represent as part of our Tourism Business Improvement District (TBID). We have appreciated your Council's support and we believe that the relationship has resulted, and will continue to result, in a positive economic benefit for your city. When we entered into a contract with your city , our hope was that after two years under contract, Palo Alto propel1ies would become pali of our tourism business improvement district , with no Palo Alto City money involved. In these challenging times, our desire as a board is to maximize the time our staff spends on selling and promoting the area as a whole. It is the regional effolis that maximize the return on investment and bring people into our properties . What we are finding lately, however, is that a disproportionate amount of staff ti me is being spent on local Palo Alto meetings, questions, etc. In an effort to allow our team to foclls on regional promotion, we voted at our December Board meeting to spend the next few weeks talking to Palo Alto properties about becoming part of our existing TBID midway through the second year of our contract with the City of Palo Alto, rather than operating under a system under which the City of Palo Alto pays for the equivalent of their assessments. Should such a change occur, it would save your city approximately $120,000. We will report back to your city staff well in advance of your February 8 council meeting. If the hotels have an interest and your council wishes to be part of the TBID (with hotel guests paying for the assessments, rather than using any city money), it would mean the City of Palo could simply pass a resolution requesting that Palo Alto be included in the existing TBID. The request would then go tothe City of Burlingame as lead agency for our TBID, to handle all noticing requirements. We look forward to a continued positive relationship with the City of Palo Alto. We want to commend Susan Barnes in particular for doing everything possible to promote your businesses and city. It is a pleasure working with her. Sincerely, I~' ( /'". (. ) _.1 .,'. /' , , '''_, /' --\/ /., . v i;_ " \ .. '.) , -~v~o~ C'3o) Rudy Ortiz /' Ken Landis Chairman of the Board (2009) Chairman of the Board (2010) / C~ FY2007 FY2008 FY 07-FY08 Chan!e FY2009 FY 08-09 Chan~ 6.698.650.00 $ 8,115,224.00 $ 1.416,574.00 $ ======================:.L:.;:; .. J::::: .. :;;;;::.~,:."""",=~.:" .:=~:::,:2:l~l~", -.. Occupancy 73.19%1 75.46%1 2.27%1 65.21%1 -1 0.25% Number of Rooms 1865 1829 1829 Redwood City 1 $ 2,976,694.00 I $ 3,323,639.00 1 $ 346,945.00 1 $ 2,761,432.00 1 $ (562.207.00) ~iC1W1ge:;"" ':-..... ~,;-; ~..t.= . .:-:z::~. .'. >;, .. c,' .. ~ •• -', "f:1't66%l ',-:"::'Id -....... U.66%r ,'1":'1, '" -l~%'~' .-_ -·· ... l6t9io/.J NoOcc~ Number of Rooms 1218 1218 1218 C~rtino $ 2,387,736.69 I $ 2,617,769.861 $ 230,033.17 I $ 2,140,365.331$ (477.404.53) %'~::': '.::t't~~'~.;;:!.1::·r:;0T ~'·~"'·';:::~'·""~>'·--::'9::i3!'l:"'·':.::';;~';':':""4':'~"""'J~~"""",:':":"" ,=""'::m4~ ",",,~ .. -t8~~ Occupancy 68.15%1 69.52%1 1.37%1 58.75% -1 0.77% Number of Rooms 6631 6631 663 Ca~eU I $ 1,463t 149.00 1$ 1.619,110.00 I $ 155.961.001$ 1,287.185.00 I $ (331 .925.00) o/oiCIlan#_ .... (" , ' ·--t ~..:; :. ... ,,: -':-.. ,.,;,,' ;"iJ~l ' "w~:;.. 2-. 1 0.66%1 ·~.!j·K · <~_JO~~"'~":~' -.. ~~-l"O!s~0-': ;;~ .. ~ ;.~§~ Occupancy 76.15% Number of Rooms 526 Mountain View 1 $ %{emnge~ _~~lf~~~~2E~~~'~·~ Occupancy 73.85% Number of Rooms 1721 Menlo Park 1 $ 1,375,914.00 1 $ o/~.C1i8iige ::;~-_. 1 ~--:-·':;:·~:::: '':''',' ---. ;-, tJ~ NoOc~ Number of Rooms 290 Occupancy Number of Rooms 3200 Footnotes: Mountain View 2007 occupancy based on available information Mountain View occupancy estimated PA TOT increase from 10 to 12% in January 2008 Sunnyvale Tot 9% in 2007, 9.5% in 2009 Number of Rooms estimated for Sunnyvale Occupancy not available for Sunnyvale until FY 2008 Berkeley no occupancy data available Menlo Park-Rosewood Hotel opened Aprl1, 2009 77.50%1 1.35%1 65.65% 5261 "1 526 3,217,236.00 $ 3,217,236.00 $ 3,330,452.00 1$ ·,,;;..,~·;::=::"';<t:,:·,:·:t2:;::~=:·:·~:!::~O~'::--r:'·::' ":'J;::''''i '~'~:':'3::s2%I_'_ 70.40%1 -3.45%1 62% 1644 1597 1,474,119.00 1 $ 98,205.00 1 $ "'~ 1_1'4%1 ·', ,--.." .~ 1.14%._ 290 901,294.00 1 $ ;:':u":9I%" . 1,351,578.00 1 $ ~ .; . ~ ---&31% 413 53% 3200 . Berkeley and Redwood City also are served by a Convention Visitor'S Bureau -1 1.85% 113,216.00 . , .-3t5z~ -8.70% (122,541.00) ~~ ~ ,--8$l~1 85 ,802.00 "L"l'~1 TOT 12% 12% 10% 10% 10% 10% 10% > ~ ~ > ('j ~ ~ N TO: HONORABLE CITY COlTNCIL FROM: CITY MANAGER DATE: NOVEMBER 2, 2009 REPORT TYPE: REPORT OF OFFICIALS ATTACHMENT 3 DEP ARTMENT:PLANNING AND COMMlTNITY ENVIRONMENT CMR: 386:09 SUBJECT: Approval of the Extension of the Agreement Between San Mateo County Convention and Visitors Bureau and the City of Palo Alto for the Provision of Destination Palo Alto Visitorship Services in the Amount of $240,000 for Fiscal Year 2009-10 RECOMMENDATION Staff recommends that the City Council approve the extension of the agreement with the San Mateo County/Silicon Valley Convention and Visitors Bureau (SMC/SVCVB) for the provision of visitorship services for the second year of the contract for the 2009-10 fiscal year. BACKGROUND In October 2005, the City Council, through a Colleague's Memo authored by former Vice Mayor Kleinberg and Council Members Beecham and Mossar, approved a motion to direct staff to agendize a Council discussion that would explore enhancing Palo Alto's economy by improving visitor outreach. The motion was approved unanimously. In February 2006, staff returned to City Council and was directed to convene a committee of stakeholders for a Palo Alto visitorship effort. The committee, Destination Palo Alto, was chaired by the City Manager and held its first meeting on March 15,2006. Stakeholders included: the Palo Alto Chamber of Commerce, Stanford Athletics, Palo Alto Business Improvement District, Palo Alto Weekly, Stanford Visitor's Center, Palo Alto Online, California Avenue Area Development Association (CAADA), Stanford Shopping Center, Stanford University, Town and Country Shopping Center, Palo Alto Arts Center and business representatives from the hotel, retail and hospitality industries. The goals of Destination Palo Alto included the development of a specific, actionable and achievable plan that would strengthen visitorship in Palo Alto. Three key objectives included: 1. Getting more visitors to come to Palo Alto 2. Promoting return visitorship to Palo Alto 3. Getting visitors to stay longer, use additional amenities and spend more money locally CMR: 386:09 10f6 On April 14, 2008 City Council directed staff to issue an RFP for visitorship services through Destination Palo Alto to enhance the Palo Alto economy and authorized staff to describe and link the Destination Palo Alto website to the City of Palo Alto website. In addition, staff was directed to include $240,000 for the Destination Palo Alto program in the FY 2009 proposed budget and $240,000 in the FY 2010 proposed budget. Based on an input from the Administrative Services Department, a formula was identified for estimating the City's return on its investment for Destination Palo Alto. Based on a 5% increase in the occupied days for the five largest hotels in Palo Alto, the growth in revenue was calculated to be approximately $240,000 yearly. This amount was proposed for two years as a part of the FY 2009 and FY 2010 budgets. DISCUSSION On October 6, 2008, City Council authorized the City Manager or his designee to execute the agreement with the San Mateo County/Silicon Valley Convention and Visitors Bureau (SMC/SVCVB) in an amount not to exceed $455,000 for visitorship services for the fiscal year 2009 and fiscal year 2010. In the first year of the contract, $215,000 was awarded to the SMC/SVCVB. $25,000 was awarded to the Palo Alto Weekly for an upgrade of the Destination Palo Alto website ($15,000) and for the provision of two visitor guides ($10,000). The two contracts totaled $240,000. In the second year of the contract, the full amount of $240,000 is allocated for the provision of visitorship services by the SMC/SVCVB. Although in October 2008 City Council authorized the City Manager to extend the agreement for a second year, considering the City's current economic situation and, in an abundance of caution, staff is returning to City Council to confirm that the extension of this contract still conforms to the wishes of City Council. Staff has provided quarterly Destination Palo Alto updates to City Council which provide information on: 1. Number of leads generated 2. Potential room nights in leads 3. Total number of room nights booked 4. Percentage of non peak/target dates booked F or clarification, each lead is defined as one potential piece of business or one potential meeting or conference. The number of room nights varies from lead to lead. These can vary from one room night to many per lead. Definite room nights are rooms that are actually on the hotels' books, or with contracts in place. In addition, the report identifies the number of promotional packages created, familiarization tours hosted and other important milestones. The most recent quarterly update for 3rd quarter 2009 is included as Attachment D to this report. Because of the prospective nature of hotel bookings and event planning, staffhas received information on all leads generated by the visitor's bureau up to this point. Since these events and CNIR: 386:09 20f6 hotel roonl bookings are often planned months and even years in advance, metrics often lag outreach efforts. Beginning with the contract for FY 2010, numbers will be reported specifically for Palo Alto going forward to assist the City in quantifying the impacts of outreach efforts. In addition, specific metrics will be developed to quantify the increase in Palo Alto hotel occupancy and transient occupancy tax. This will include a comparison in the increase of occupancy and revenue that takes into consideration fluctuations in the economy. For example, when measuring transient occupancy tax increases, a model will be crafted by the SMC/SVCVB and City staff that benchmarks the City of Palo Alto's occupancy against that of similar cities to effectively . measure program effectiveness. Staff and the SMC/SVCVB has compiled the following list of examples to highlight the value added by the Destination Palo Alto effort to the local economy in the past year: • 9,194 definite group meeting nights and tour and travel room nights were booked through the leads/site visits from Destination Palo Alto with an approximate economic impact of $2,666,260. Economic impact includes the hotel room revenue as well as secondary impacts which include restaurant and retail sales in Palo Alto. (Non-hotel banquet bookings and Senior Games bookings not included.) • Occupancy appears to be improving, as of May, compared to national statistics. According to Smith Travel Research*, the average decrease in occupancy in San Jose/Santa Cruz area was 16.8%, but Palo Alto's decline was only 13.8% comparing yearly totals from 2008 to 2009 (through August 2009). This increase is due in part to the Senior Games. Palo Alto's occupancy level has been climbing back slowly since February of2009. (The SFO/ San Mateo County area, where the impact of the Convention and Visitors Bureau has been underway for a longer period of time, was one of only five major areas nationwide with only single digit decreases in occupancy. *) • Meetings and events booked in Palo Alto included: o the 1 st U.S. and second-ever US-China Green Energy Forum o a neuroplasticity meeting o a U.S. travel show o an Autism conference o a cancer biology conference o a new American Bar Association meeting o a Morgan Stanley conference o a Recorder Society conference o multiple tour group blocks and additional non-room events such as weddings and banquets. (For competitiveness reasons not all exact gr:oup names are not listed here) *Quote for Smith Travel Research report: "Among the Top 25 Markets, Washington, D.C., reported the smallest decreases in all three key metrics: Occupancy fell 0.6 percent to 65.5 percent. .. Four markets besides Washington, D.C., posted occupancy decreases of less than 5 percent: Boston, Massachusetts (-4.2 percent to 74.1 percent); San Francisco/San Mateo, California (-3.3 percent to 84.7 percent); Oahu Island, Hawaii (-2.6 percent to 78.3 percent); and Tampa-St. Petersburg, Florida (-1.1 percent to 48.2 percent). CMR: 386:09 30f6 • In the booking of events such as the US-China Green Energy Forum, Palo Alto has denl0nstrated an emerging competitiveness to bid for meetings and events that without the SMC/SVCVB would not occur. In this particular case, several cities aggressively bid on this forum, with Palo Alto securing the event. As Palo Alto continues to develop as a Green Tech/Clean Tech hub, competitiveness such as this will be critical. • In March, a sports familiarization trip brought numerous major sporting event planriers to the area for the first time. Among the events for which the Palo Alto/Stanford area is now in the running: The National Kidney Transplant Games (7,000 potential room nights for 2012). Individual sports planner site visits conducted in September and October, 2009, were completed which included planners ready to accept responses to requests for proposals. These have the potential to provide bookings of700 to 2,700 room nights each. • Although not involved in the earliest (2007) bookings of Palo Alto hotel rooms for the Senior games in 2009, Anthony Travel (the company with whonl the Senior Games contracted to provide room bookings) was included on the SMC/SVCVB's familiarization tour in March of this year and, consequently, were able to secure additional rooms/ blocks in Palo Alto for the games. 403 additional rooms and an additional economic impact (beyond other bookings) of $116,870 (calculated at $290 per room) is estimated. This does not include additional room nights booked by attendees in response to the Extend Your Stay piece that went to them with their registration information. In addition, a conservative estimate is that DPA representatives at the Senior Games information booth convinced an average of 25 people a day to stay in Palo Alto while they went to see other parts of Northern California, such as Pebble Beach, Muir Woods, Napa, etc. (Twenty people over 14 days is a minimum of 350 room nights kept in Palo Alto, rather than lost to areas outside. The approximate economic impact of these was over $100,000.) A number of site visits and familiarization ("fam") tours have been completed with specific focus on Palo Alto hotels and other venues. These fam tours have been with both national and international planners and have included filnl nlakers, as well. The Destination Palo Alto website has grown exponentially since its launch. The link to Destination Palo Alto on the City's website is live. The most recent quarterly report, for the period through June 2009, has shown huge strides in user numbers. As noted in the second quarter report, visitors to the website have grown from 472 in January 2009 to 1963 in June 2009. Page views have grown from 791 to 7727 for the same period. Numbers for the third quarter (July I-September 30,2009) were not available at the time of the preparation of this report. The Chamber of Commerce has been host to the Palo Alto Visitors Center since November 2008. Visitors to Palo Alto are served at the Chamber and by phone each day. As event planning, marketing of the Palo Alto area, hotels, venues and businesses continues, quantifiable measures will ensure that Palo Alto specific data is reported on and measured. The research by Godbe Research will quantify average spending by tourists to Palo Alto and estimate the economic impact of increased business to Palo Alto venues. CMR: 386:09 40f6 It is the recommendation of staff that the Destination Palo Alto agreement be extended for the second year, as approved by City Council on October 6, 2008. Six months prior to the expiration of the two year pilot program, a recommendation will be formulated and presented to City Council for the provision of ongoing Destination Palo Alto efforts for their review and action. RESOURCE IMPACT The first year of Destination Palo Alto Visitor Program was funded through an allocation of the City's General Fund for FY 2009. The amount of the funding allocated for the program was based on the expected growth in hotel occupancy that results from implementation of the program. The expected growth in occupancy was estimated to'be 5 percent, which translates into $240,000. Because of the lag time between the booking of events and the actual event itself, the time frame for the collection of quantifiable data is affected. For this reason, data is expected next year that will quantify results and assist in evaluating program effectiveness. Staff does ,believe however, that the City's hotel stays have benefited by the efforts of the Destination Palo Alto program. Metrics to evaluate this impact will be a part of the reporting for Destination Palo Alto for fiscal year 2010. The Destination Palo Alto program is a two-year pilot with $240,000 for the second year allocated as a part of the 2009-11 budget. ENVIRONMENTAL REVIEW This action by the City Council is not considered a project pursuant to Section 21065 of the California Environmental Quality Act. PREPARED BY: DEPARTMENT HEAD: CITY MANAGER APPROVAL: CNIR: 386:09 USAN BARNES, Manager conomic Develop entiRedevelopment CURTIS WILLIAMS, Director Planning and Community Environment SKEENE anager 50f6 ATTACHMENTS Attachment A: Attachment B: Attachment C: Attachment D: Attachment E: CMR: 386:09 Letter extending contract to November 1,2009 CMR 335:08: Approval of an Agreement Between San Mateo County Convention and Visitors Bureau and the City of Palo Alto for the Provision of Destination Palo Alto Visitorship Services Agreement between San Mateo County Convention and Visitors' Bureau and the City of Palo Alto Destination Palo Alto 3rd Quarter Report Letters of Support 6of6 October 15. 2'009 Anne Le Clair San Mateo County/Silicon Valley Gonventionand Visitors Bureau 111 Anza Boulevard, Suite 410 Burlingame, CA 94010 Dear Ahne, ATTACHMENT A This Will amend the exlehsiohagOreed upon by both parties on Septernbet 14. 20Q9, This ,confirms that the the Citybf Palo Alto (City) and the. San Mate,aCountylSiliccm Valley Convention and Visitotls Bureau (eVB,) waive the 3·0 day notice petiod provided in Paragraph 2 of the <1ontract for Destihstion Palo Alto service's (City ()fPalo·Alto Contract No SO~M2(967) and tnat'the Ctty ¢,an extend thec()ntl'act for ttp toone year by providing written notIce to the Consultant any time prior to November 6 . 2009, ThJs Jetter snail serve as official no.rlficati·on by both parties that the first year contrad Will be extended through Novemher6., 2009 in order to give the Cily the necessary time to exercise its ophonfor an additional one year term. It also serves as written aSSllra;nce from the CityofPa:lo Alto that (pro..:rated) payment witl be made by the City to the CV8th:rough November 6. and tnat all 'other contractual requirements wHiremain in ,forpe through that date, I Should the CHy of Palo Alto elect not toexlend the agreement for a second year, it shaH provide written notice to eve and the Contract shall continue for 60 daysfoH6wirrg such written notice, During this 60 day period 1 the City will pay CVB fa pro-rated portion of the contract amount and eVB wHicontrnue ,to perform the work described in the Contract. Very truly yours, James Keene City ManagBrl Ci~y 'of Palo Alto 250 Hamilton Avenue P,alo Alto, CA 9430"1 ATTACHMENT B City of Palo Alto City Manager~s Repor ..... _,.~, _ .~ .. ""_"'~""" __ ~ __ ~" __ "~""~"" __ ._.~_~ __ .~~ __ . , ___ ,_~ ______ , _______ "'-'''''·~_~~_''''-''''''''''''L''''' ___ • _____ ......... -" TO: . HONORABLE CITY COUNCIL FROM: CITY MANAGER DATE: OCTOBER 6, 2008 DEPARTMENT: CITY MANAGER'S OFFICE ClVIR: 335:08 SUBJECT: Approval Of An Agreement Between San Mateo County Convention And Visitors Bureau And The City Of Palo Alto For The Provision Of Destination Palo Alto Visitorship Services In The Amount Of $215,000 For Fiscal Year 2008-09 And $240,000 For Fiscal Year 2009- 10 And Approval Of An Agreement Between The Palo Alto Weekly And The City Of Palo Alto For The Provision Of The Destination Palo Alto Website Update And Revision, Visitor Guide And Associated Services In The Amount Of $25,000 For Fiscal Year 2008-09 RECOMMENDATION Staff recommends that Council: 1. Authorize the City Manager . or .. his designee to execute the o..ttached agreement . with San Mateo County Convention and Visitors Bureau (Attachment A) in an amount not to exceed $455,000 for visitorship services for fiscal year 2008-09 · and fiscal year 2009-10. 2. Authorize the City Manager or his designee to execute the attached . agreement with the Palo Alto Weekly (Attachment B) in an amount not to exceed $25,000 for fiscal year 2008-09 for Destination Palo Alt() website update and revision, visitor guide and associated services. ·BACKGROUND In October 2005, the City Council, through a Colleague's Memo authored by then Vice Mayor Kleinberg and Council Members Beecham and Mossar, directed staff to agendize a Council discussion that would explore enhancing Palo Alto's economy by improving visitor outreach. The motion was approved unanimously. /' In February 2006, staff returned to City Council and was directed to convene a committee ·of stakeholders for a Palo Alto visitorship effort. The committee, Destination Palo Alto, CMR: 335:08 10f5 was chaired by the City Manager and held its first meeting on March 15, 2006. Stakeholders included: the Palo Alto Chamber of Commerce, Stanford Athletics, Palo Alto Business Improvement District, Palo Alto Weekly, Stanford Visitor's Center, Palo Alto Online, California Avenue Area Development Association (CAADA), Stanford Shopping Center, Stanford University, Town and Country Shopping Center, Palo Alto Arts Center and business representatives from the hotel, retail and hospitality industries. The goals of Destination Palo Alto included the development of a specific, actionable and achievable plan that would strengthen visitorship in Palo Alto. Three key objectives included: 1. Increasing visitors to Palo Alto 2. Promoting return visitorship to Palo Alto 3. Increasing visitors stay, using additional amenities and spending more locally. On April 14, 2008, City Council directed staff to issue a Request For Proposal (RFP) for visitorship services through Destination Palo Alto to enhance the Palo Alto economy and authorized staff to describe and link the Destination Palo Alto website to the City of Palo Alto website. In addition, staff was directed to include $240,000 for the Destination Palo 'Alto program in the 2008-09 proposed budget and $240,000 in the 2009-10 proposed budget. Based on an estimate by the Administrative Services Department, a formula was identified forestimating the City's return on its investment for Destination Palo Alto. Based on a 5% increase in the transient occupancy tax for the five largest hotels in Palo Alto, the growth in revenue was calculated to be approximately $240,000 yearly. This amount is proposed for two years as a part of the 2008-09 and 2009-10 budgets. DISCUSSION Solicitation Process The Destination Palo Alto Request for Proposal's (RFP) was issued May 12, 2008 with proposals due on June 10, 2008. Four proposals were received from the following groups: • The Placemaking Group • Rabuck/Stranger • Alison Williams • San Mateo County Convention and Visitors Bureau and Palo Alto Weekly (with Palo Alto Chamber of Comn1erce as a designated subconsultant) Copies of each proposal were distributed to an evaluation panel comprised of the following members: Dan Fenton, CEO of Team San Jose, San Jose Convention and Visitors' Bureau Jim Rebosio, Palo Alto Sheraton and Westin hotels Bob Carruesco, Stanford Athletics Lalo Perez, Director, Administrative Services Department Erik Jacobsen, Three Story Studio CMR: 335:08 20f5 Khashayar Alaee, Community Services Department Susan Barnes, Economic Development Manager Interviews with the evaluation panel were set for July 3, 2008. Prior to the interview, Rabuck/Stranger withdrew from the process. On July 3, interviews were held with The Placemaking Group and San Mateo Convention and Visitors Bureau, Palo Alto Chamber of Commerce, and Palo Alto Weekly. As a result of the interview with San Mateo Convention and Visitors Bureau, Palo Alto Chamber of Commerce, and Palo Alto Weekly (SMCCVB, PAW, PACC), the evaluation panel requested that a second interview be scheduled with this group for July 17. In addition, Alison Williams who was unable to participate in the interview on. July 3, was scheduled for an interview onJuly 17th . . On July 1 ih, Alison Williams was interviewed in person by the evaluation panel. The evaluation team also conducted a second interview with the San Mateo Convention and Visitors Bureau, Palo Alto Chamber of Commerce, and Palo Alto Weekly. Proposals were evaluated according to the following criteria: • Quality and completeness of proposal • Qualityand effectiveness of the solution or services provided by the proposer • Proposers' track record in delivering visitor services and evaluation of the effectiveness of services, including the experience of staff to be assigned to the project, and the engagement of similar scope and complexity to the City of Palo Alto • Cost to the City of Palo Alto • Proposer's financial stability • Proposer's ability to perform thework within the time specified As a result of the RFP evaluation process, the evaluation team evaluated the proposers, providing an aggregate score as follows: Proposer San Mateo CCV, PAW, PACC The Placemaking Group Alison Williams Aggregate Score 590 459 332 The San Mateo County. Convention and Visitors Bureau (SMCCVB, PAW, P ACC) proposal was the top-ranked proposal. The proposer's combination of national and international expertise, combined with local experience, was determined to be the best fit for the provision of a targeted vision and implementation plan for Destination Palo Alto. The SMCCVB, PAW, PACC proposal will address the provision of visitorship services for Palo Alto from a local, regional, international and media perspective. The SMCCVB, CMR: 335:08 30f5 in a subcontracting relationship with the Palo Alto Chamber of Commerce will establish a local visitor center, open seven days a week. In addition to the local marketing effort, the SMCCVB has a strong track record of providing national and international marketing to tour providers and the tourism industry, in general. The Palo Alto Weekly will modify . the Destination Palo Alto website and calendars to reflect current market research and develop anew, glossy restaurant guide and revised rack brochure. The SMCCVB will also integrate Palo Alto into its efforts, renaming the visitors bureau the Silicon Valley/San Mateo Convention and Visitors Bureau. In addition, the SMCCVB will initiate a contract with Godbe Research to create a formal research plan and conduct surveys to evaluate Palo Alto visitors' perception of the area and what factors draw them to Palo Alto. Based on this research, SMCCVB will design a "branding" campaign and outreach plan to entice visitors to visit and stay longer in Palo Alto. RESOURCE IMPACT The first year of the Destination Palo Alto Visitor Program will be funded through an allocation from the City's General Fund for FY 08-09. The amount of funding allocated for the program is based on the expected growth in hotel occupancy that results from implementation of the program. The expected growth in occupancy is estimated to be 5 percent, which translates into $240,000. $240,000 is included in the 2008-09 Adopted Budget for the Destination Palo Alto Visitor Program. Staff intends for the program to be a two-year pilot with $240,000 for the second year being proposed as part of the 2009-10 budget. ' POLICY IMPLICATIONS Staff will provide City Council with annual reports and a recommendation for further funding options prior to the end of the two year contract period. ENVIRONMENTAL REVIEW This action by the City Council is not considered a project pursuant to Section 21065 of the California Environmental Quality Act. ATTACHMENTS Attachment A: Attachment B: CMR: 335:08 Agreement between San Mateo County Convention and Visitors' Bureau and the City of Palo Alto Agreement between Palo Alto Weekly and the City of Palo Alto 40f5 Prepared By: SU ' AN L. BARNES, anager Economic Development! Redevelopment Department Head: ~ W~ CURTIS·WILLIAMS, Interim Director Planning and Community Environment City Manager Approval: ~ L /f t V JAM ENE City ager CMR: 335:08 50f5 AGREElVIENT FOR PROFESSIONAL SERVICES CITY OF PALO ALTO CONTRACT NO. S09126967 Attachment A AGREEMENT BETWEEN THE CITY OF PALO ALTO AND SAN MATEO COUNTY CONVENTION & VISITORS BUREAU FOR PROFESSIONAL SERVICES (DESTINATION PALO ALTO) This A.GR PE~.1ENT is entered into October 6, 2008 by and between the CITY OF PALO ALTO, a charter city and a municipal corporation of the State of California ("CITY"), and, SAN MATEO COUNTY CONVENTION & VISITORS BUREAU, a California Corporation, located at III Anza Blvd., Burlingame, California ("CONSULTANT"). RECITALS The following recitals are a substantive portion of this Agreement. A. CITY intends to hire a consultant for Visitor Promotion ("Project") and desires to engage a consultant to assist in connection with the Project ("Services"): B. CONSULTANT has represented that it has the necessary professional expertise, qualifications, and capability, and all required licenses andlor certifications to provide the Services. C. CITY in relianc~ on these representations desires to engage CONSULTANT to provide the Services as more fully described in Exhibit "A", attached to and made a part of this Agreement. NOW, THEREFORE, in consideration of the recitals, covenants, terms, and conditions, this Agreement, the parties agree: AGREEMENT SECTION 1. SCOPE OF SERVICES. CONSULTANT shall perform the Services described in Exhibit "A" in accordance with the terms and conditions contained in this Agreement. The perfom1ance of all Services shall be to the reasonable satisfaction of . CITY. final SECTION 2. TERM. The term of this Agreement will commence on October 20, 2008 and shall continue for a period not to exceed one year terminating on October 19, 2009. The City has the right to extend the ternl of this Agreement for one additional one year period, based upon the same conditions of the initial term. The City shall notify CONSULTANT in writing of its exercise of its option for an additional one year term not less than thirty days prior to the end of the then current term. The obligation of CONTRACTOR to perform the Services will commence in accordance with the time schedule set forth in Exhibit "A" unless terminated earlier pursuant to Section 19 of this Agreement. SECTION 3 .. SCHEDULE OF PERFORMANCE. Time is of the essence in the performance of Services under this Agreement. CONSULTANT shall complete the Services within the term of this Agreement and in accordance with the schedule set forth in Exhibit "B", attached to and made a part of this .Agreement. Any Services for which times for performance are not specified in this Agreement shall be commenced and completed by CONSULTANT in a reasonably prompt and timely manner based upon the circumstances and direction communicated to the CONSULTANT. CITY's agreement to extend the term or the schedule for performance shall not preclude recovery of damages for delay if the extension is required due to the fault of CONSULTANT. SECTION 4. NOT TO EXCEED COMPENSATION. The compensation to be paid to CONSULTANT for performance of the Services described in Exhibit "A", including both paynlent for professional services and reimbursable expenses, shall not exceed Four Hundred Fifty Five Thousand Dollars ($455,000). The applicable rates and schedule of payment are set out in Exhibit "B", entitled "SCHEDULE OF PERFORMANCE/COMPENSA TION," which is attached to and made a part of this Agreement. Additional Services, if any, shall be authorized in accordance with and subj ect to the provisions of Exhibit "B". CONSULTANT shall not receive any compensation for Additional Services performed without the prior written authorization of CITY. Additional Services shall mean any work that is determined by CITY to be necessary for the proper completion of the Project, but which is not included within the Scope of Services described in Exhibit "A". SECTION 5. INVOICES. In order to request payment, CONSULTANT shall submit invoices to the CITY consistent with the deliverables and schedule of events as delineated in Exhibit "B' describing the services performed and the applicable charges. The infomlation in CONSULTANT's payment requests shall be subject to verification by CITY. CONSULTANT shall send all invoices to the City'S project manager at the address specified in Section 13 below. The City will generally process and pay invoices within thirty (30) days of receipt. SECTION 6. QUALIFICATIONS/STANDARD OF CARE. All of the Services shall be perfOlmed by CONSULTANT or under CONSULTANT's supervislon. CONSULTANT represents that it possesses the professional and technical personnel final 2 necessary to perfonn the Services required by this Agreement and that the personnel have sufficient skill and experience to perform the Services assigned to them. CONSULTANT represents that it, its en1ployees and subconsultants, if pennitted, have and shall maintain during the term of this Agreement all licenses, permits, qualifications, insurance and approvals of whatever nature that are legally required to perform the Services. All of the services to be furnished by CONSULTANT under this agreement shall meet the professional standard and quality that prevail among professionals in the same discipline and of similar knowledge and skill engaged in related work throughout California under the same or similar circumstances. SECTION 7. COMPLIANCE WITH LAWS. CONSULTANT shall keep itself informed of and in compliance with all federal, state and local laws, ordinances, regulations, and orders that may affect in any manner the Project or the performance of the Services or those engaged to perform Services under this Agreement. CONSULTANT shall procure all permit,S and licenses, pay all charges and fees, and give all notices required by law in the perfoITI1ance of the Services. SECTION 8. ERRORS/OMISSIONS. CONSULTANT shall correct, at no cost to CITY, any and all errors, omissions, or arrlbiguities in the work product submitted to CITY, provided CITY gives notice to CONSULTANT. If CONSULTANT has prepared plans and specifications or other design documents to construct the Project, CONSULTANT shall be obligated to correct any and all errors, omissions or ambiguities discovered prior to and during the course of construction of the Project. This obligation shall survive termihation of the Agreenlent. SECTION 9: [Intentionally Deleted.] SECTION 10. INDEPENDENT CONTRACTOR. It is understood and agreed that in performing the Services under this Agreement CONSULTANT, and any person employed by or contracted with CONSULTANT to furnish labor and/or materials under . this Agreement, shall act as and be an independent contractor and not an agent or employee of the CITY. SECTION 11. ASSIGNMENT. The parties agree that the expertise and experience of CONSlTLT ANT are material considerations for this Agreement. CONSULT ANT shall not assign or transfer any interest in this Agreement nor the performance of any of CONSULTANT's obligations hereunder without the prior written consent of the city manager. Consent to one assignment will not be deemed to be consent to any subsequent assignment. Any assignment made without the approval of the city manager will be void. SECTION 12. SUBCONTRACTING. Notwithstanding Section 11 above, CITY agrees that subconsultants may be used to complete the Services. The subconsultants authorized by CITY to perfonn work on this Project are: 1. Palo Alto Chamber of Commerce final 3 CONSULTANT shall be responsible for directing the work of its subconsultants and for any compensation due to subconsultants. CITY assumes no responsibility whatsoever concerning'compensation. CONSULTANT shall be fully responsible to CITY for all acts and omissions of a subconsultant. CONSULTANT shall change or add subconsultants only with the prior approval of the city manager or his designee. SECTION 13. PROJECT MANAGEMENT. CONSULTANT will assign Anne LeClair as the project director to have supervisory responsibility for the performance, progress, and execution of the Services and to represent CONSULT ANT during the day­ to-day work on the Project. If circumstances cause the substitution of the project director, project coordinator, or any other key personnel for any reason, the appointment of a substitute project director and the assignment of any key new or replacement personnel will be subject to the prior written approval of the CITY's project manager. CONSULTANT, at CITY's request, shall promptly remove personnel who CITY finds do not perform the Services in an acceptable manner, are uncooperative, or present a threat to the adequate or timely completion of the Project or a threat to the safety of persons or property. The City's project manager is Susan Barnes, Economic Development Manager, Palo Alto, CA 94303, Telephone:(650)-329-2604. The project manager will be CONSULTANT's point of contact with respect to performance, progress and execution of the Services. The CITY may designate an alternate project managerfrom time to time. SECTION 14. OWNERSHIP OF MATERIALS. All work product, including without linlitation, all writings, drawings, plans, reports, specifications, calculations, documents, . other materials and copyright interests created in the performance of the Services and intended to be delivered to the CITY under this Agreement (the Deliverables) shall be and remain the exclusive property of CITY without restriction or limitation upon their use. CONSULTANT agrees that all copyrights which arise from creation of the Deliverables pursuant to this Agreement shall be vested in CITY, and CONSULTANT waives and relinquishes all claims to copyright or other intellectual property rights in favor of the CITY. Neither CONSULTANT nor its contractors, if any, shall make any of such materials available to any individual or organization without the prior written approval of the City Manager or designee. CONSULT ANT makes no representation of the suitability of the work product for use in or application to circumstances not contemplated by the scope ofwork. SECTION 15. AUDITS. CONSULTANT will permit CITY to audit, at any reasonable time during the term of this Agreement and for three (3) years thereafter, CONSULTANT's records pertaining to matters covered by this Agreement. CONSULTANT further agrees to maintain and retain such records for at least three (3) years after the expiration or earlier termination of this Agreement. SECTION 16. INDEMNITY. 16.1. To the fullest extent permitted by law, CONSULTANT shall protect, indemnify, defend and hold hannless CITY, its Council melnbers, officers, employees and agents final 4 (each an "Indemnified Party") from and against any and all demands, claims, or liability of any nature, including death or injury to any person, property damage or any other loss, including all costs and expenses of whatever nature including attorneys fees, experts fees, court costs and disbursements ("Claims") resulting from, arising out of or in any manner related to performance or nonperformance by CONSULT ANT, its officers, employees, agents or contractors under this Agreement, regardless of whether or not it is caused in part by an Indemnified Party. 16.2. Notwithstanding the above, nothing in this Section 16 shall be construed to require CONSULTANT to indemnify an Indemnified Party from Claims arising from the active negligence, sole negligence or willful misconduct of an Indemnified Party. 16.3. The acceptance of CONSULTANT's services and duties by CITY shall not operate as a waiver of the right of indemnification. The provisions of this Section 16 shall survive the expiration or early termination of this Agreement. SECTION 17. WAIVERS. The waiver by either party of any breach or violation of any covenant, term, condition or provision of this Agreement, or of the provisions of any ordinance or law, will not be deemed to be a waiver of any other term, covenant, condition, provisions, ordinance or law, or of any subsequent breach or violation of the same or of any other term, covenant, condition, provision, ordinance or law. SECTION 18. INSURANCE. 18.1. CONSULTANT, at its sole cost and expense, shall obtain and maintain, in full . force and effect during the term of this Agreement, the insurance coverage described in Exhibit "D". CONSULTANT and its contractors, if any, shall obtain a policy endorsement naming CITY as an additional insured under any general liability or automobile policy or policies. 18.2. All insurance coverage required hereunder shall be provided through carriers with AM Best's Key Rating Guide ratings of A-:VII or higher which are licensed or authorized to transact insurance business in the State of California. Any and all ·contractors of CONSULTANT retained to perforn1 Services under this Agreement will obtain and maintain, in full force and effect during the term of this Agreement,. identical Insurance coverage, naming CITY as an additional insured under such· policies as required above. 18.3. Certificates evidencing such insurance shall be filed with CITY concurrently with the execution of this Agreement. The certificates will be subject to the approval of CITY's Risk Manager and will contain an endorsement stating that the insurance is prin1ary coverage and will not be canceled, or materially reduced in coverage or limits, by the insurer except after filing with the Purchasing Manager thirty (30) days' prior written notice of the cancellation or modification, CONSULTANT shall be responsible for ensuring that current certificates evidencing the insurance are provided to CITY's Purchasing Manager during the entire term of this Agreement. final 5 18.4. The procuring of such required policy or policies of insurance will not be construed to limit CONSULTANT's liability hereunder nor to fulfill the indemnification provisions of this Agreement. Notwithstanding the policy or policies of insurance, CONSULTANT will be obligated for the full and total amount of any damage, injury, or loss caused by or directly arising as a result of the Services performed under this Agreement, including such damage, injury, or loss arising after the Agreement is terminated or the term has expired. SECTION 19. TERMINATION OR SUSPENSION OF AGREEMENT OR SERVICES. 19.1. The city manager may suspend the performance of the Services, in whole or in part, or terminate this Agreement, with cause, by giving sixty (60) days prior written notice thereof to CONSULT .ANT. For puposes of this provision, cause to terminate shall consist of: (1) material breach of this Agreement or (2) commission of fraudulent practices., Upon receipt of such notice, CONSULTANT will immediately discontinue its performance of the Services. I 19.2. CONSULTANT may terminate this Agreement or suspend its performance of the Services by giving thirty (30) days prior written notice thereof to CITY, but only in the event of a substantial failure of perfOrinance by CITY. 19.3. Upon such suspension or termination, CONSULTANT shall deliver to the City Manager immediately any and all copies of Deliverables, whether or not completed, prepared by CONSULTANT or its contractors, if any, or given to CONSULTANT or its contractors, if any, in cOIU1ection with this Agreement. Such materials will become the property of CITY. 19.4. If this Agreement is suspended or terminated on account of a default by CONSULTANT, CITY will be obligated to compensate CONSULTANT only for that portion of CONSULTANT's services which are of direct and immediate benefit to CITY as such determination may be made by the City Manager acting in the reasonable exercise of hislher discretion 19.5. No payment, partial payment, acceptance, or partial acceptance by CITY will . operate as a waiver on the part of CITY of any of its rights under this Agreement. SECTION 20. NOTICES. All notices hereunder will be given in writing and mailed, postage prepaid, by certified mail, addressed as follows: final To CITY: Office of the City Clerk City of Palo Alto Post Office Box 10250 Palo Alto, CA 94303 With a copy to the Purchasing Manager 6 To CONSULTANT: Attention of the project director at the address of CONSULT ANT recited above SECTION 21. CONFLICT OF INTEREST. 21.1. In accepting this Agreement, CONSULTANT covenants that it presently has no interest, and will not acquire any interest, direct or indirect, financial or otherwise, which would conflict in any manner or degree with the performance of the Services. 21.2. CONSULTANT further covenants that, in the perfonnance of this Agreement, it will not employ subconsultants, contractors or persons having such an interest. CONSULTANT certifies that no person who has or will have any financial interest under this Agreement is an officer or employee of CITY; this provision will be interpreted in accordance with the applicable provisions of the Palo Alto Municipal Code and the Government Code of the State of California. 21.3. If the Project Manager determines that CONSULTANT is a "Consultant" as that term is defined by the Regulations of the Fair PoliticaJ Practices Commission, CONSULTANT shall be required and agrees to file the appropriate financial disclosure documents required by the Palo Alto Municipal Code and the Political Reform Act. SECTION 22. NONDISCRIMINATION. As set forth in Palo Alto Municipal Code section 2.30.510, CONSULTANT certifies that in the perfonnance of this Agreement, it shall not discriminate in the employment of any person because of the race, skin color, gender, age, religion, disability, national origin, ancestry, sexual orientation, housing status, marital status, familial status, weight or height of such person. CONSULTANT acknowledges that it has read and understands the provisions of Section 2.30.510 of the Palo Alto Municipal Code relating to Nondiscrimination Requirements and the penalties for violation thereof, and agrees to meet all requirements of Section 2.30.510 pertaining to nondiscrimination in employment, including completing the form furnished by CITY and set forth in Exhibit "E." . SECTION 23. MISCELLANEOUS PROVISIONS. 23.1. This Agreement will be governed by the laws of the State of California. 23.2. In the event that an action is brought, the parties agree that trial of such action will be vested exclusively in the state courts of California in the County of Santa Clara, State of California. 23.3. The prevailing party in any action brought to enforce the provisions of this Agreelnent may recover its reasonable costs and attorneys' fees expended in connection with that action. The prevailing party shall be entitled to recover an amount equal to the fair market value of legal services provided by attorneys employed by it as well as any attorneys' fees paid to third parties. final 7 23.4. This document represents the entire and integrated agreement between the parties and supersedes all prior negotiations, representations, and contracts, either written or oral. This document may be amended only by a written' instrument, which is signed by the parties. 23.5. The covenants, tenns, conditions and provisions of this Agreement will apply to, and will bind, the heirs, successors, executors, administrators, assignees, and consultants of the parties. 23.6. If a court of competent jurisdiction finds or rules that any prOVISIon of this Agreement or any amendment thereto is void or unenforceable, the unaffected provisions of this Agreement and any amendn1ents thereto will remain in full force and effect. 23.7. All exhibits referred to in this Agreement and any addenda, appendices, attachments, and schedules to this Agreement which, from time to time, may be referred to in any duly executed amendment hereto are by such reference incorporated in this Agreement and will be deemed to be a part of this Agreement. 23.8. This Agreement is subject to the fiscal provisions of the Charter of the City of Palo Alto and the Palo Alto Municipal Code. This Agreement will tenninate without any penalty (a) at the end of any fiscal year in the event that funds are not appropriated for the following fiscal year, or (b) at any time within a fiscal year in the event that funds are only appropriated for a portion of the fiscal year and funds for this Agreement are no longer available. This Section 23.8 shall take precedence in the event of a conflict with any other covenant, term, condition, or provision of this Agreement. 23.9. The individuals executing this Agreen1ent represent and warrant that they have the legal capacity and authority to do so on behalf of their respective legal entities. final 8 IN WITNESS WHEREOF, the parties hereto have by their duly authorized representatives executed this Agreement on the date first above written. CITY OF PALO ALTO City Manager APPROVED AS TO FORM: Senior Asst. City Attorney APPROVED: Director of Administrative Services Attachments: EXHIB IT "A": SCOPE OF WORK [CONSULTANT] BY:~~~:J;;-.-.--L-..!.--.:r....:;;...~~~:L- Name: C!."'V\f. H· LtOa.iv Title:=¥~si Cvt:t\l:-t ceo EXHIB IT "B": EXHIB IT "C": SCHEDULE OF PERFORMANCE/COMPENSATION INSURANCE REQUIREMENTS EXHIBIT "D": CERTIFICATION OF NONDISCRIMINATION final 9 Exhibit A Destination Palo Alto FY 2008-09 and FY 2009-10 Scope of Services Milestones and Timeline: Quarterly reports will be provided to the City of Palo Alto. These will include (but are not limited to): • Number of leads identified, generated • ' Total potential economic impact of leads generated • Total number of room nights booked • Targets reached for non-peak nights • Events booked • Packages created • PACE Report with comparison to prior year • . Hotel occupancy comparison with TOT comparison (by month, year) • Number of visitors, inquiries to Visitor Center • Number of visitors to DPA website • Report on average daily spending by overnight visitors to Palo Alto • Number of fam* tours and fam tour attendees (including descriptions of size of potential accounts) .• Media updates (including list of articles/online pieces, broadcasts generated) • International fam tour updates • Advertising reports including publications of. advertisements about Palo Alto that have been featured and audience size reached Activities to ach ieve Milestones Year One Quarterly Reports will include a report on milestones and activities achieved each quarter. Activities for Quarter One • Begin dissemination of meeting leads to Palo Alto properties • Go to all Palo Alto hotels and motels for "need dates" to be included in bimonthly planner blast • Hold initial meeting of Destination Palo Alto Advisory Committee and begin building local visitor database for future email special and calendar updates. Determine information they would like to see collected in survey • Set up a visitor center within the Palo Alto Chamber office, including signage, Destination Palo Alto phone line, personnel to staff, and signage 1 • Contract with.Godbe Research, create formal research plan and surveys to get feel for Palo Alto visitors' perception of the area, what will draw them there, etc. and begin research • Secure buy-in of key Palo Alto properties willing to participate in Godbe Research surveying and begin formal research • Initiate meetings with Stanford Public Affairs representatives to determine how best Destination PA may get the word out about events, drive room nights and drive other locals and area visitors to special events • Initiate one-on-one meetings/discussions with Stanford Athletic Dept. heads to determine possible target events w/room nights, gather specs for individual fields and sports facilities at Stanford, and determine how . Destination Palo Alto and SMCCVB may best promote upcoming sporting events, including packaging with hotel room nights • Add all key Palo Alto players /groups to list solicited for upcoming events by SMCCVB and begin inclusion of PA events in published and online calendars • Gather Palo Alto property information and incorporate all Palo Alto properties into meeting planner guide, visitor guide and include on SMCCVB website • Issue press release to all major meeting planner publications,announcing coverage of Palo Alto, highlighting key selling points of area • Coritactall meeting planners in SMCCVB data base, orienting them to Palo Alto and invite them out for site visits • Contact all meeting planners who have not considered the Bay Area due to airport area concerns and explain that we have a great non-airport area for them to see • Conduct training for Palo Alto hotel sales managers on how best to work with SMCCVB-generated leads, etc. and instruct all Palo Alto hotels on how to participate in the broad, national "hot dates" program paid for by the CVB, in which they may go online themselves and add hot dates/rates to a site aimed at planners seeking last minute bookings; • M~ke site visits (SMCCVB sales team) to all Palo Alto properties with meeting space to become familiar with group booking opportunities • Complete site visits to all Palo Alto properties without meeting space (InternationallTourism Development Director, Film Commissioner and Publications Manager/media outreach person) to become familiar, take photographs • Contact all internal customers, local customers and key groups (e.g., Palo Alto Downtown, Stanford) notifying them of new Visitor Center • Solicit Palo Alto properties' input for key trade shows of interest to their markets 2 • Inform Palo Alto properties of upcoming shows for possible partnering; to determine level of interest in tour groups, particularly inbound international • Label all outgoing correspondence to meeting planners to generate meeting planner inquiries on the Palo Alto and its properties • Personally invite all past fam attendees back to see Palo Alto properties (Sales Team) • Feature Palo Alto venues ranging from unique Stanford University spots to downtown buildings and squares in emails to producers and filming scouts by the SMCCVB's film commissioner, touting them as fresh, undiscovered filming locations • Find Palo Alto angle in all media lead responses (e.g. "romance packages" I green places to stay • Update all existing editorial used for outreach to include Palo Alto angle • Include Palo Alto special events and special hotel and motel promotions in SMCCVB's monthly email update to database of thousands of prospective visitors interested in visiting the Bay Area • Issue a special update to our CTTC/SFCV8 representatives overseas, notifying them of the change and describing Palo Alto and its properties in detail. Likewise, cnc will be informed that Palo Alto is a key new area of promotion • Prepare and submit report of Destination PAISMCCVB activities to City of Palo Alto as specified in agreement Activities for Quarter Two • Continue research through Godbe Research, collecting sufficient data to be used in "brandingfl/outreach of Palo Alto area to entice more visitors into the a rea • Conduct Destination Palo Alto Advisory Committee meeting to update group, determine progress, next steps . • Feature Palo Alto properties in fam tour for incentive meeting planners and fam for Jet Airways' top travel agents from India • Add new activities to work ·plan • Continue operation of visitor center, other activities initiated in priorquarter • Convene meetings with Stanford Medical Department chairs, soliciting info on medical research underway, recent breakthroughs, prospective groups to recruit; availability of expert speakers in particular areas of expertise for use in recruiting conferences • . Restructure layout of SMCCVB/Silicon Valley visitor guide to break area into geographic sections and begin to address drivers of visits, as outlined in preliminary research results • Meet with representatives of Stanford Alumni and Development offices to determine whether additional reunionslfunctions might be added with rooms assistance from SMCCVB • Feature Palo Alta properties in fam tour for incentive meeting planners 3 • Meet with The Cribbs Group and representatives of Anthony Travel to discuss targeting of additional events by SMCCVB sales team • Continue dissemination of meeting leads to Palo Alto properties • Update PA area and properties in domestic and international meeting planner fam tours • Continue promoting Palo Alto in all appropriate editorial outreach and responses • Continue promoting individual Palo Alto locations to production companies and filming scouts • Prepare and submit report of Destination PNSMCCVB activities to City of Palo Alto as specified in agreement Activities for Qua rter Th ree • Release results of phase one of formal research to City of Palo Alto and hold meeting of Destination Palo Alto Advisory Committee with Chamber to discuss how best to capitalize on research results, determine progress made, additional activities needed • Add new activities to work plan • Continue operation of visitor center, other activities initiated in prior quarters • Bring travel media fam (national travel writer fly-ins) to Palo Alto • Conduct at least one additional fam tour that incorporates key Palo Alto properties and Palo Alto area • Provide special flyer/information to Stanford summer camp reps for distribution to parents of summer camp enrollees; promoting stays while the-children are attending the camps • Broaden photo contest to include Palo Alto shots • Initiate meetings with Stanford academic-department chairs to determine individual accomplishments, interests, events, possible conferences/symposia that could be targeted for the area and begin targeting those meetings . • Continue dissemination of meeting leads to Palo Alto properties • 90ntinue meeting planner site visits to Palo Alto properties • Continue inclusion of PA area and properties in domestic meeting planner fam tours, fam tours for international travel agents, and all appropriate editorial outreach and responses • _ Continue promoting individual Palo Alto locations to production companies and filming scouts • Highlight Palo Alto at out of town reception for meeting planners (Midwest) • Prepare and submit report of Destination PNSMCCVB activities to City of Palo Alto as specified in agreement Activities for Quarter Four 4 • Conduct additional research with Palo Alto Visitors (Godbe, second phase summer snapshot • Hold meeting of Destination Palo Alto Advisory Committee to determine progress made, additional activities needed • Add new activities to work plan • Continue operation of visitor center, other activities initiated in prior quarters • Feature and make Palo Alto hotel stops on fam tour for Sacramento, East Coast and Midwestern meeting planners • Conduct informal surveying of Senior Games attendees to determine per diem spending while at the games • Continue dissemination of meeting leads to Palo Alto properties • . Continue inclusion of PA area and properties in domestic and international travel agent meeting planner fam tours • Continue promoting Palo Alto in all appropriate editorial outreach and responses • Continue promoting individual Palo Alto locations to production companies and filrning scouts • Highlight Palo Alto at out of town reception for meeting planners (East Coast) • Prepare and submit report of Destination PAISMCCVB activities to City of Palo Alto as specified in agreement (this will include Quarterly and Annual Report with Milestones reported) Year Two Activities for First Quarter • Release phase two results from Godbe Research to City of Palo Alto and Destination Palo Alto Committee • Conduct.meeting of Destination Palo Alto Advisory Committee and use Phase two information to finalize branding of Palo Alto for visitors, review Phase 2 research information, determine and initiate next steps, additional activities • Add new activities to work plan • Submit marketing plan and benchmarks for Year Two, Quarters two, three and four to City of Palo Alto. • Continue operation of visitor center, other activities initiated in prior quarters • Continue dissemination of meeting leads to Palo Alto properties • Continue inclusion of PA area and properties in domestic and international travel agent and meeting planner fam tours . • Continue promoting Palo Alto in all appropriate editorial outreach and responses 5 • Continue promoting individual Palo Alto locations to production companies and filming scouts • Prepare and submit report of Destination PAISMCCVB activities to City of Palo Alto as specified in agreement Activities for Second Quarter • Continue dissemination of meeting leads to Palo Alto properties • Continue inclusion of PA area and properties in domestic meeting planner fam tours • Additional benchmarks to be reported on, based on marketing plan submitted Quarter One, Year Two • .Conduct meeting of Destination Palo Alto Advisory committee to ensure that all projects are on task • Add new activities to work plan • Continue operation of visitor center, other activities initiated in prior quarters • Continue inclusion of PA properties on fam tours for international travel agents • Continue promoting Palo Alto in new editorial content and in all appropriate editorial outreach and responses • Continue promoting individual Palo Alto locations to production companies and filming scouts • Modify SMCCVB and Destination Palo Alto website in keeping with the research . . • Additional benchmarks to be reported on, based on marketing plan submitted Quarter One, Year Two • Prepare and submit report of Destination PAISMCCVB activities to City of Palo Alto as specified in agreement Activities for Third Quarter • Modify Destination Palo Alto website and calendars as needed, based upon final research • Hold meeting of Destination' Palo Alto Advisory committee to ensure that all projects are on task • Conduct Destination Palo Alto Committee meeting to reflect on progress to date and next steps • Add new activities to work plan • Continue operation of visitor center, other activities initiated in prior quarters • Continue dissemination of meeting leads to Palo Alto properties • Continue inclusion of PA area and properties in domestic meeting planner fam tours 6 • Continue inclusion of PA properties on fam tours for international travel agents • Continue promoting Palo Alto in aU appropriate editorial outreach and responses • Continue promoting individual Palo Alto locations to production companies and filming scouts • Prepare and submit report of Destination PAISMCCVB activities to City of Palo Alto as specified in agreement Activities for Fourth Quarter • Conduct Destination Palo Alto Committee meeting to reflect on progress to date and next steps • Assist in crafting recommendations for ongoing Destination Palo Alto operations • Add new activities to work pia n • Continue operation of visitor center, other activities initiated in prior quarters • Continue dissemination of meeting leads to Palo Alto properties • Continue inclusion of PA area and properties in domestic meeting planner fam tours • Continue inclusion of PA properties on fam tours for international travel agents • Continue promoting Palo Alto in all appropriate editorial outreach and responses • Continue promoting individual Palo Alto locations to production companies and filming scouts • Prepare and submit report of Destination PAISMCCVB activities to City of Palo Alto as specified in agreement (this will include Quarterly and Annual Report with Milestones reported) . • Prepare final report with recommen<;Jations for Destination Palo Alto efforts going. forward including information from DPA committee, stakeholders and others 7 Exhibit B Destination Palo Alto Payment Schedule FY 2008-2010 Payments will be made according to the following schedule: Payment 1 Payment 2 Payment 3 Payment 4 Payment 5 Total Payments To SMCCVB Payment 1 Payment 2 Payment 3 Payment 4 Total Payments $30,000 $50,000 $45,000 $45,000 $45,000 Within 30 days of contract signing Completion of First quarter Following submission/approval of quarterly report Completion of Second quarter Following submission/approval of quarterly report Completion of Third quarter Following submission/approval of quarterly report Completion of Fourth quarter Following submission/approval of quarterly report and acceptance of annual report on milestones $215,000 Year One FY 2008-09 $60,000 $60,000 $60,000 $60,000 Completion of First quarter Following submission/approval of quarterly report Completion of Second quarter Following submission/approval of quarterly report Completion of Third quarter Following submission/approval of quarterly report Completion of Fourth quarter Following submission/approval of quarterly report and acceptance of annual report on milestones including recommendations for Destination Palo Alto $240,000 Year Two FY 2009-10 EXHIBIT C INSURANCE REQIREMENTS CONTRACTORS TO THE CITY OF PALO ALTO (CITY), AT THEIR SOLE EXPENSE, SIMLL FOR THE TERM OF THE CONTRACT OBTAIN AND MAINTAIN INSURANCE IN THE AMOUNTS FOR THE COVERAGE SPECIFIED BELOW, AFFORDED BY COMPANIES WITH A BEST'S KEY RATING OF A-:Vll, OR mGHER, LICENSED OR AUTHORIZED TO TRANSACT INSURANCE BUSINESS IN THE STATE OF CALIFORNIA. AWARD IS CONTINGENT ON COMPLIANCE WITH CITY'S INSURANCE REQUIREMENTS, AS SPECIFIED, BELOW: MINIMUM LIMITS REQUIRED TYPE OF COVERAGE REQUIREMENT EACH OCCURRENCE AGGREGATE YES WORKER'S COMPENSATION STATUTORY YES AUTOMOBILE LIABILITY STATUTORY BODIL Y INJURY $1,000,000 $1,000,000 YES COMPREHENSIVE GENERAL LIABILITY, INCLUDING PERSONAL PROPERTY DAMAGE $1,000,000 $1,000,000 lNJUR Y, BROAD FORM PROPERTY DAMAGE BLANKET CONTRACTUAL, BODIL Y INJURY & PROPERTY DAMAGE $1,000,000 $1,000,000 AND FIRE LEGAL LIABILITY COMBINED. BODILY INJURY $1,000,000 $1,000,000 -EACH PERSON $1,000,000 $1,000;000 COMPREHENSIVE AUTOMOBILE -EACH OCCURRENCE $1,000,000 $1,000,000 YES LIABILITY, INCLUDING, OWNED, HIRED, NON-OWNED PROPERTY DAMAGE $1,000,000 $1,000,000 BODIL Y INJURY AND PROPERTY DAMAGE, $1,000,000 $1,000,000 . COMBINED NO PROFESSIONAL LIABILITY, INCLUDING, ERRORS AND OMISSIONS, MALPRACTICE (WHEN APPLICABLE), AND NEGLIGENT PERFORMANCE ALL DAMAGES $1,000,000 YES THE CITY OF PALO ALTO IS TO BE NAMED AS AN ADDITIONAL INSURED: PROPOSER, AT ITS SOLE COST AND EXPENSE, '~ SHALL OBTAIN AND MAINTAIN, IN FULL FORCE AND EFFECT THROUGHOUT THE ENTIRE TERM OF ANY RESULTANT AGREEMENT, THE INSURANCE COVERAGE HEREIN DESCRIBED, INSURING NOT ONLY PROPOSER AND ITS SUBCONSUL TANS, IF ANY, BUT ALSO,WITH THE EXCEPTION OF WORKERS' COMPENSATION, EMPLOYER'S LIABILITY AND PROFESSIONAL INSURANCE, NAMING AS ADDITIONAL INSURES CITY, ITS COUNCIL MEMBERS. OFFICERS, AGENTS, AND EMPLOYEES. I. INSURANCE COVERAGE MUST INCLUDE: II. A. A PROVISION FOR A WRITTEN THIRTY DA Y ADVANCE NOTICE TO CITY OF CHANGE IN COVERAGE OR OF COVERAGE CANCELLATION; AND B. A CONTRACTUAL LIABILITY' ENDORSEMENT PROVIDING INSURANCE COVERAGE FOR CONTRACTOR'S AGREEMENT TO INDE.MNIFY CITY -SEE SAMPLE AGREEMENT FOR SERVICES. SUBMIT CERTIFICATE, (S) OF INSURANCE EVIDENCING REQUIRED COVEJ<AGE. OR, COMPLETE THlS SECTION AND IV THROUGH V, BELOW. ? \ S. S t f 0.... ti~c. '" t ~ ~ ~I);:\ . ' A. NAME AND ADDRESS OF COMPANY AFFORDING COVERAGE (NOT AGENT OR BROKER): B. NAME, ADDRESS, AND PHONE NUMBER OF YOUR INSURANCE AGENTIBROKER: C. POLICY l'JUMBER(S): D. DEDUCTIBLE AMOUNT(S) (DEDUCTIBLE AMOUNTS IN EXCESS OF $5,000 REQUIRE CITY'S PRIOR APPROVAL): III. AWARD IS CONTINGENT ON COMPLIANCE WITH CITY'S INSURANCE REQUIREMENTS, AND PROPOSER'S SUBMITTAL OF CERTIFICATES OF INSURANCE EVIDENCING COMPLIANCE WITH THE REQUIREMENTS SPECIFIED HEREIN. IV. E;NDORSEMENT PROVISIONS, WITH RESPECT TO THE INSURANCE AFFORDED TO "ADDITIONAL INSURES" A. PRIMARY COVERAGE WITH RESPECT TO CLAIMS ARISING OUT OF THE OPERATIONS OF THE NAMED INSURED, INSURANCE AS AFFORDED BY TIllS POLICY IS PRIMARY AND IS NOT ADDITIONAL TO OR CONTRIBUTING WITH ANY OTHER INSURANCE CARRIED BY OR FOR THE BENEFIT OF THE ADDITIONAL INSURES. B. CROSS LIABILITY THE NAMING OF MORE THAN ONE PERSON, FIRM, OR CORPORATION AS INSURES UNDER THE POLICY SHALL NOT, FOR THAT REASON ALONE, EXTINGUlSH ANY RIGHTS OF THE INSURED AGAINST ANOTHER, BUT THIS ENDORSEMENT, AND THE NAMING OF MULTIPLE INSUREDS, SHALL NOT INCREASE THE TOTAL LIABILITY OF THE COMPANY UNDER THIS POLICY. C. NOTICE OF CANCELLATION 1. IF THE POLICY IS CANCELED BEFORE ITS EXPIRATION DATE FOR ANY REASON OTHER THAN THE NON-PAYMENT OF PREMIUM, THE ISSUING COMPANY SHALL PROVIDE CITY AT LEAST A TIllRTY (30) DAY WRITTEN NOTICE BEFORE THE EFFECTIVE DATE OF CANCELLATION. 2. IF THE POLICY IS CANCELED BEFORE ITS EXPIRATION DATE FOR THE NON-PAYMENT OF PREMIUM, THE ISSUING COMPANY SHALL PROVIDE CITY AT LEAST A TEN (10) DAY WRITTEN NOTICE BEFORE THE EFFECTIVE DATE OF CANCELLATION. V. PROPOSER CERTIFIES THAT PROPOSER'S INSURANCE COVERAGE MEETS THE ABOVE REQUIREMENTS: THE INFORMATION HEREIN IS CERTIFIED CORRECT BY SIGNATURE(S) BELOW. SIGNATURE(S) MUST BE SAME SIGNA TURE(S) AS APPEAR(S)ON SECTION n, ATTACHMENT A, PROPOSER'S INFORMATION FORM. Firm: Signature: Name: Signature: Name: NOTICES SHALL BE MAILED TO: A. Workers Compensation: Employers Compensation Insurance Co. 255 California Street. Suite 300 San Francisco, CA 94111-4904 Property, General Liability, Auto: Great American .Insurance Group 580 Walnut Street Cincinnati, OH 45202 B. Johndrow, Leveroni, Vreeburg 845 Marshall Street Redwood City ,CA 94063 (650) 369-2921 C. Workers Compensation: FN 0322324 05 Property, General Liability, Auto: PAC 346-00-86 D. No deductibles on anything but property which has a deductible of $500. EXHIBIT D Certification of Nondiscrimination As suppliers of goods or services to the City of Palo Alto, the firm and individuals listed below certify that they do not discriminate in employment of any person because of race, skin color, gender, age, religion, disability, national origin, ancestry, sexual orientation, housing status, nlarital status, familial status, weight or height of such person; that they are in compliance with all Federa'I, State and local directives and executive orders regarding nondiscrimination in employment. 1. If Proposer is INDIVIDUAL, sign here: Date: ------ Proposer's Signature Proposer's typed name and title 2. If Proposer is PARTNERSHIP or JOINT VENTURE, at least (2) Partners or each of the Joint Venturers shall sign here: Partnership or Joint Venture Name (type or print) Date: -----~ Date: ------ Member of the Partnership or Joint Venture signature Member of the Partnership or Joint Venture signature 3. If Proposer is a CORPORATION, the duly authorized officer(s) shall sign as follows: The undersigned certify that they a re respectively: Of the corporation named below; that they are designated to sign the Proposal Cost Form by resolution (attach acertified copy, with corporate seal, if applicable, notarized as to its authenticity or Secretary's certificate of authorization) for and on behalf of the below named CORPORATION, and that they are authorized to execute same for and on behalf of said CORPORATION. Corporation Name (type or print) By: anD~.t W· l(.C\aJ~ 09 ~ eft woW Title: PrL$I~&-t-. ¢ Cr('l By: .G!, I'\..<.. ~J.j t:tJ--~ 'J~l,j Date: • Title: Viu:... fires ick.ot 1 ~o San Mateo County Convention & Visitors Bureau Board of Directors Meeting IVlinutes Hiller Aviation Museum June 16, 2005 LeClair presented the benefits to the entire county and Palo Alto of including Palo Alto in the San Mateo County BID. Following her presentation, Lewin noted that it was a good idea and made a motion to move forward with the action steps presen ted; seconded by Moore and approved by all. San Mateo County Convention & Visitors Bureau Board of Directors Meeting Minutes Westin Hotel, Millbrae August 18, 2005 The Executive Committee recommends that we proceed by offering the to all properties in Palo Alto. Motion by Carlton to move forward with the Executive Committee recommendation, second by Lewin, approved by all. ATTACHMENT B AGREElVIENT FOR PROFESSIONAL SERVICES CITY OF PALO ALTO CO~1VTRACT NO.S09129386 AGREElVIENT BETWEEN THE CITY OF PALO ALTO AND El\tIBARCADERO PUBLISHING COMPANY FOR PROFESSIONAL SERVICES (DESTINATION PALO ALTO) This AGREEMENT is entered into October 6, 2008 by and between the CITY OF PALO ALTO, a charter city and a municipal corporation of the State of California ("CITY"), and, EMBARCADERO PUBLISHING COMPANY, a California Corporation, 703 High Street., Palo Alto, California ("CONSULTANT"). RECITALS . The following recitals are a substantive portion of this Agreement. A. CITY intends to hire a consultant for Visitor Promotion ("Project") and desires to engage a consultant to assist in connection with the Project ("Services"). B. CONSULTANT has represented that it has the necessary professional expertise, qualifications, and capability, and all required licenses and/or certifications to provide the Services. C. CITY in reliance on these representations desires to engage CONSULTANT to provide the Services as more fully described in Exhibit "A", attached to and Inade a part of this Agreement. NOW, THEREFORE, in consideration of the recitals, covenants, terms, and conditions, this Agreement, the parties agree: AGREEMENT SECTION 1. SCOPE OF SERVICES. CONSULTANT shall perform the Services described in Exhibit "A" in accordance with the terms and conditions contained in this Agreement. The performance of all Services shall be to the reasonable satisfaction of CITY. SECTION 2. TERM. The term of this Agreement will commence on October 20, 2008 and shall continue for a period not to exceed one year terminating on October 19,2009. final 1 SECTION 2. TERl'\I. The term of this Agreement will commence on October 20, 2008 and shall continue for a period not to exceed one year terminating on October 19,2009. The City has the right to extend the tem1 of this Agreement for one additional one year period, based upon the same conditions of the initial term. The City shall notify CONSULTANT in 'writing of its exercise of its option for an additional one year term not less than thirty days prior to the end of the then current term. obligation of CONTRi\CTOR to perform the Services will commence in accordance with the time schedule set forth in Exhibit "A" unless terminated earlier pursuant to Section 19 of this Agreement. SECTION 3. SCHEDULE OF PERFORlvIANCE. Time is of the essence in the performance of Services under this Agreement. CONSULTANT shall complete the Services within the term of this Agreement and in accordance with the schedule set forth in Exhibit "A", attached to and made a part of this Agreement. Any Services for which times for performance are not specified in this Agreement shall be commenced and completed by CONSULTANT in a reasonably prompt and timely manner based upon the circumstances and direction communicated to the CONSULTANT. CITY's agreen1ent to extend the term or the schedule for performance shall not preclude recovery of damages for delay if the extension is required due to the fault of CONSULTANT. SECTION 4. NOT TO EXCEED COlVIPENSATION. The compensation to be paid to CONSULTANT for perfom1ance of the Services described in Exhibit "An, including both payment for professional services and reimbursable expenses, shall not exceed Twenty-Five Thousand Dollars ($25,000). The applicable rates and schedule ,of payment are set out in Exhibit "A", which is attached to and made a part of this Agreement. Additional Services, if any, shall be authorized in accordance with and subject to the provisions of Exhibit "A", CONSULTANT shall not receive any compensation for Additional Services perfOImed without the prior wIitten authorization of CITY. Additional Services shall mean any \A/ork that is detern1ined by CITY to be necessary for the proper cOlnpletion of the Project, but which is not included within the Scope of Services described in Exhibit "A". SECTION 5. INVOICES. In order to request payment, CONSULTANT shall submit invoices to the CITY consistent with the deliverables and schedule of events as delineated in Exhibit "A' describing the services performed and the applicable charges. The information in CONSULTANT's payment requests shall be subj ect to verification by CITY. CONSULTANT shall send all invoices to the City's proj ect n1anager at the address specified in Section 13 below. The City will generally process and pay invoices within thirty (30) days of receipt. SECTION 6. QUALIFICATIONS/STANDARD OF CARE. All of the Services shall be perfOlmed by CONSULTANT or under CONSULTANT's supervIsIon. CONSULTANT represents that it possesses the professional and technical personnel necessary to perform the Services required by this Agreement and that the personnel have sufficient skill and experience to perform the Services assigned to them. CONSULTANT final 2 represents that it, its employees and subconsultants, if permitted, have and shall maintain during the term of this Agreement all licenses, permits, qualifications, insurance and approvals of \vhatever nature that are legally required to perform the .Services. All of the services to be furnished by CONSULT ANT under this agreement shall meet the professional standard and quality that prevail among professionals in the same discipline and of similar knowledge and skill engaged in related work throughout California under the same or similar circumstances. SECTION 7. COl\'IPLIANCE WITH LAWS. CONSULT ANT shall keep itself infonnedof and in compliance with all federa~, state and local laws, ordinances, regulations, and orders that may affect in any maImer the Project or the perfonnance of the Services qr those engaged to perfonn Services under this Agreement. CONSULTANT shall procure all pennits and licenses, pay all charges and fees, and give all notices required by law in the performance of the Services. SECTION 8. ERRORS/OlVIISSIONS. CONSULTANT shall correct, at no cost to CITY, any and all errors, omissions, or ambiguities in the work product subn1itted to CITY, provided CITY gives notice to CONSULTANT. If CONSULTANT has prepared plans and specifications or other design documents to construct the Project, CONSULTANT shall be obligated to correct any and all errors, omissions or ambiguities discovered prior to and during the course of construction of the Proj ecL This obligation shall survive termination of the Agreement. SECTION 9. [Intentionally Deleted.] SECTION 10. INDEPENDENT CONTRACTOR. It is understood and agreed that in perfonning the Services under this Agreement CONSULTANT, and any person employed by or contracted with CONSULTANT to furnish labor and/or materials under this Agreement, shall act as and be an independent contractor and not an agent or en1ployee of the CITY. SECTION 11. ASSIGNMENT. The parties agree that the expertise and experience of CONSULTANT are material considerations for this Agreement. CONSULT ANT shall not assign or transfer any interest in this Agreement nor the performance of any of CONSULTANT's obligations hereunder without the prior written consent of the city manager. Consent to one assignment will not be deemed to be consent to any subsequent assignment. Any assignment made without the approval of the city manager will be void. SECTION 12. SUBCONTRACTING. Notwithstanding Section 11 above, CITY agrees that subconsultants may be used to complete the Services. The subconsultants authorized by CITY to perform work on this Project are: 1. Palo Alto Chamber of Commerce CONSUlTANT shall be responsible for directing the work of its subconsultants and for any cornpensation due to subconsultants. CITY assun1es no responsibility whatsoever final 3 concerning compensation. CONSULTANT shall be fully responsible to CITY for all acts and omissions of a subconsultant. CONSULTANT shall change or add subconsultants only with the prior approval of the city manager or his SECTION 13. PROJECT ~IA.NAGEl\tIENT. CONSULTANT will assign Bill Johnson as the project director to have supervisory responsibility for the performance,. progress, and execution of the Services and to represent CONSULT ANT during the day­ to-day work on the Project. If circun1stances cause the substitution of the project director, project coordinator, or any other key personnel for any reason, the appointment of a substitute project director and the assignment of any key new or replacement personnel will be subject to the prior written approval 'of the CITY's project manager. CONSULTANT, at CITY's request, shall promptly remove personnel who CITY finds do not perform the Services in an acceptable manner, are uncooperative, or present a threat to the adequate or timely completion of the Project or a threat to the safety of persons or property. The City's project manager is Susan Barnes, Economic Development Manager, Palo Alto, CA 94303, Telephone:(650)-329-2604. The project manager will be CONSULTANT's point of contact with respect to performance, progress and execution of the Services. The CITY may designate an alternate project manager from time to time. SECTION 14. Intentionally deleted SECTION 15. AUDITS. CONSULTANT will permit CITY to audit, at any reasonable time during the tenn of this Agreement and for three (3) years thereafter, CONSlJLTANT's records pertaining to Inatters covered by this Agreen1cnt. CONSULTANT fluiher agrees to 111aintain and retain such records forat least three (3) years after the expiration or earlier termination of this Agreement. §ECTION 16. INDEM~ITY. 16.1. To the fullest extent pern1itted by law, CONSULTANT shall protect, inden1nify, defend and hold harmless CITY, its Council members, officers, en1ployees and agents (each an "Indelnnified Party") froin and against any and all demands, claims, or liability of any nature, including death or injury to any person, property damage or any other loss, including all costs and expenses of whatever nature including attorneys fees, experts fees, court costs and disbursements ("Claims") reSUlting from, arising out of or in any manner related to performance or nonperformance by CONSULTANT, its officers, employees, '-4.",,-'-'1.1.'''' or contractors under this Agreement, regardless of whether or not it is caused in part by an Indemnified Party. 16.2. Notwithstanding the above, nothing in this Section 16 shall be construed to require CONSULTANT to indemnify an Indemnified Party from Claims arising from the active negligence, sole negligence or willful misconduct of an Indemnified Party. final 4 16.3. The acceptance of CONSULT ANT's services and duties by CITY shall not operate as a wai ver of the right of indemnification. The provisions of this Section 16 shall survive the expiration or early tennination of this Agreement. SECTION 17. \VA1VERS. The \vaiver by eitherpart'y of any breach or violation of any covenant, tenTI, condition or provision of this Agreement, or of the provisions of any ordinance or law, will not be deemed to be a waiver of any other term, covenant, condition, provisions, ordinance or law, or of any subsequent breach or violation of the same or of any other term, covenant, condition, provision, ordinance or law. SECTION 18. INSURi\NCE. 18.1. CONSULTANT,at its sole cost and expense, shall obtain and maintain, in full force and effGct during the term of this Agreement, the insurance coverage described in Exhibit liD", CONSULT ANT and itscontractors, if any, shall obtain a policy endorsement naming CITY as an additional insured under any general liability or automobile policy or policies. 18.2. All insurance coverage required hereunder shall be provided through carriers with AM Best's Key Rating Guide ratings of A-:VII or higher which are licensed or authorized to transact insurance business in the State of California. Any and all contractors of CONSULTANT retained to perform Services under this Agreement will obtain and maintain, in full force and effect during the term of this Agreement, identical insurance coverage, naming CITY as an additional insured under such policies as required above. 18.3. Cer1:ificates evidencing such insurance shall be filed with CITY concurrently with the execution of this Agree111ent. The certificates will be subject to the approval of CITY's Risk Manager and will contain an endorsement stating that the insurance· is primary coverage and will not be canceled, or materially reduced in coverage or limits, by the insurer except after filing with the Purchasing Iv1anager thiliy (30) days' prior written notice of the cancellation or Inodification, CONSULTANT shall be responsible for ensuring that current certificates evidencing· the insurance are provided to CITY's Purchasing Manager during the entire tenn of this Agreement. 18.4. The procuring of such required policy or policies of insurance will not be construed to limit CONSULTANT's liability hereunder nor to fulfill the indemnification provisions of this Agreement. Notwithstanding the policy or policies of insurance, CONSULTANT will be obligated for the full and total amount of any damage, injury, or loss caused by or directly arising as a result of the Services performed under this Agreement, including such damage, injury, or loss arising after the Agreement is terminated or the term has expired. SECTION 19. TERlVlINATION OR SUSPENSION OF AGREEl\tlENT OR SERVICES. fin~ 5 19.1. The city manager may suspend the performance of the Services, in vvhole or in part, or tenninate this Agreement~ with cause, by giving sixty (60) days prior written notice thereof to CONSULTANT. For puposes of this provision, cause to terminate shall consist of: (1) material breach of this Agreement or (2) commission of fraudulent practices. Upon receipt of such notice, CONSLJLTANT will immediately discontinue its performance of the Services. 19.2. CONSULTANT may terminate this Agreement or suspend its performance of the Services by giving thirty (30) days prior written notice thereof to CITy'", but only in the event of a substantial failure of performance by CITY. 19.3. Upon such suspension or tennination, CONSULTANT shall deliver to the City Manager immediately any and all copies of Deliverables, whether or not completed, prepared by CONSULTANT or its contractors, if any, or given to CONSULT ANT or its contractors, if any, in connection with this Agreement. Such materials will become the property of CITY. 19.4. If this Agreement is suspended or terminated on account of a default by CONSULTANT, CITY will be obligated to compensate CONSULTANT only for that portion of CONSULTANT's services which are of direct and immediate benefit to CITY as such determination may be made by the City Manager acting in the reasonable exercise ofhis/her discretion 19.5. No payrnent,partial payment, acceptance, or partial acceptance by CITY will operate as a waiver on the part of CITY of any of its rights under this Agreement. SECTION 20. NOTICES. All notices hereunder will be given in writing and mailed, postage prepaid, by certified n1ail, addressed as follows: To CITY: Office of the City Clerk City of Palo Alto Post Office Box 10250 Palo Alto, CA 94303 With a copy to the Purchasing Manager . To CONSULTANT: Attention of the project director at the address of CONSULTANT recited above SECTION 21. CONFLICT OF INTEREST. 21.1. In accepting this Agreement, CONSULT ANT covenants that it presently has no interest, and will not acquire any interest, direct or indirect, financial or otherwise, \vhich would conflict in any malmer or degree with the performance of the Services. 21.2. CONSULTANT further covenants that, in the performance of this Agreement, it will not elnploy subconsultants, contractors or persons having such an interest. final 6 CONSULTANT certifies that no person who has or win have any financial interest under this Agreement is an officer or employee of CITY; this provision will be interpreted in accordance with the applicable provisions of the Palo .. ~lto :vfunicipal Code and the Govemnlent Code of the State of California. 21 J. If the Proj eet Nlanager determines that CONSUL T A}~T is a "Consultant" as that term is defined by the Regulations of the Fair Political Practices Commission, CONSULTANT shall be required and agrees to file the appropri'ate financial disclosure documents required by the Palo Alto Municipal Code and the Political Reform Act. SECTION 22. NONDISCRIMINATION. As set forth in Palo Alto lYfunicipal Code section 2.30.510, CONSULT AL'JT certifies that in the performance of this Agreement, it shall not discriminate in the employment of any person because of the race, skin color, gendet, age, religion, disability, national origin, ancestry, sexual orientation, housing status, marital status, familial status, weight or height of such person. CONSULTANT acknowledges that it has read and understands the provisions of Section 2.30.510 of the Palo Alto Municipal Code relating to Nondiscrimination Requiren1ents and the penalties for violation thereof, and agrees to meet all requirements of Section 2.30.510 pertaining , to nondiscrimination in employment, including completing the form furnished by CITY and set forth in Exhibit "E." SECTION 23. MISCELLANEOUS PROVISIONS. 23.1. This Agreement will be governed by the laws of the State of California. 23.2. In the event that an action is brought, the parties agree that trial of such action will be vested exclusively in the state courts of California in the County of Sant.a Clara, State of California. 23.3. The prevailing party in any action brought to enforce the provisions of this Agreement Inay recover its reasonable costs and atton1eys' fees expended in connection with that action. The prevailing paIiy shall be entitled to recover an an10unt equal to the fair market value of legal services provided by atton1eys employed by it as well as any attorneys' fees paid to third parties. 23.4. This document represents the entire and integrated agreement between the parties and supersedes all prior negotiations, representations, and contracts, either written or oral. This document may be amended only by a written instrument, which is signed by the parties. 23.5. The covenants, tenns, conditions and provisions of this Agreement will apply to, and will bind, the heirs, successors, executors, administrators, assignees, and consultants of the parties. 23~6. If a court of competent jurisdiction finds or rules that any prOVISIon of this Agreement or any amendment thereto is void or unenforceable, the unaffected provisions of this Agreement and any amendments thereto will ren1ain in full force and effect. final 7 23.7. All exhibits referred to in this Agreement and any addenda, appendices, attachments, and schedules to this Agreement \vhich, from time to time,may be referred to in any duly executed amendment hereto are by such reference incorporated in this Agreement and will be deem~ed to be a part of this Agreement. 23.8. This' Agreement is subject to the fiscal provisions of the Charter of the City of Palo Alto and the Palo Alto 1vlunicipal Code. This Agreement will terminate without any penalty (a) at the end of any fiscal year in the event that fu,nds are not appropriated for the following fiscal year, or (b) at any time within a fiscal year in the event that funds are only appropriated for a portion of the fiscal year and funds for this Agreement are no longer available. This Section 23.8 shall take precedence in the event of a conflict with any other covenant, term, condition, or provision of this Agree!Dent. 23.9. The individuals executing this Agreement represent and warrant that they have the legal capacity and authority to do so on behalf of their respective legal entities. final 8 IN" \VITNESS \VHEREOF, the parties hereto have by their duly authorized representatives .executed this Agreement on the date first above written. CITY OF PALO ALTO City Manager APPROVED AS TO FORM: Senior Asst. City Attorney APPROVED: Director of Administrative Services Attachments: [CONS1JLTAN 1 B~'· Name: ('411;;41 .f·· JJ,hJt;t- Title: ?"n~ EII1 ~tI.'l"drA P-4!,/6'V 4 EXHIBIT "A"; EXHIBIT "B": SCOPE OF WORK/COMPENSATION INTENTIONALLY OMITTED EXI-IIBIT "C": EXHIBIT "D": final INSURANCE REQUIREMENTS CERTIFICATION OF NONDISCRTh1INATION 9 Exhibit A Destination Palo Alto FY 2008-09 and FY 2009-10 Scope of Services: Embarcadero Publishing Co. (Palo Alto Weekly & Palo Alto Online) Coordinate and collaborate with the other Destination Palo Alto partners (San Mateo Convention & Visitors Bureau and Palo Alto Chamber of Commerce) to develop information resources in print and online aimed at visitors to the Palo Alto area, including: • Redesign, update and maintain the Destination Palo Alto Web site (http://www.destinationpaloalto.com) and enhance its local event information offerings (First quarter of contract) • Develop and produce an updated "rack" brochure promoting the City of Palo Alto and containing map(s) to the retail centers of the city (Second quarter of contract) • Publish Visitors Guide twice a year and enhance its effectiveness through newly developed content and upgraded printing quality (Third quarter of contract) Payment schedule: $15,000 upon completion of website changes $5,000 upon completion of updated rack brochure $ 5,000 upon completion of Visitors Guide 1 EXHIBIT C INSURCANCE REQIRElYfENTS CONTRACTORS TO THE CITY OF PALO ALTO (CITY), AT THEIR SOLE EXPE~SE, SHALL FOR THE TERi"Yf OF THE CONTRACT OBTAIN AND MAI0fTAIN fNSURANCE IN THE AlviOlJNTS FOR THE COVER}·\GE SPECIFIED BELOW, AFFORDED BY COMPANIES WITH A BEST'S KEY RATING OF A-:VIl, OR HIGHER, LICENSED OR AUTHORIZED TO TR..:.\NSACT INSURANCE BUSINESS IN THE STATE OF CALIFO~\fIA. A WARP IS CONTINGENT ON COMPLIANCE WITH CITY'S fNSURANCE REQUIREMENTS, AS SPECIFIED, BELOW: MINIMUM Ll1v!ITS REQUIRED TYPE OF COVERAGE REQUIREMENT EACH OCCURRENCE AGGREGATE YES WORKER'S COMPENSATION STATUTORY YES AUTOMOBILE LIABILITY STATUTORY BODILY INJURY $i ,000,000 $1,000,000 YES COMPREHENSIVE GENERAL LIABILITY, INCLUDING PERSONAL PROPERTY DAMAGE $1,000,000 $1,000,000 INJURY, BROAD FORlvl PROPERTY DAMAGE BLANKET CONTRACTUAL, BODILY INJURY & PROPERTY DAMAGE $1,000,000 $1,000,000 AND FIRE LEGAL LIABILITY COMBINED. BODILY INJURY $1,000,000 $1,000,000 -EACH PERSON $1,000,000 $1,000,000 COMPREHENSIVE AUTOMOBILE -EACH OCCURRENCE $1,000,000 $1,000,000 YES LIABILITY, INCLUDING, OWNED, HIRED, NON-OWNED PROPERTY DAMAGE $1,000,000 $1,000,000 BODILY INJURY AND PROPERTY DAMAGE, $1,000,000 $1,000,000 COMBINED YESil'-:() PROFESSIONAL LIABILITY, 'fBD INCLUDING, ERRORS AND OMISSIONS, MALPRACTfCE (WHEN ArPLICABLE), AND NEGLIGENT PERFORMANCE ALL DAMAGES $1,000,000 YES THE CITY OF PALO ALTO IS TO BE NAMED AS AN ADDITIONAL INSURED: PROPOSER, AT ITS SOLE COST AND EXPENSE, SHALL OBTAIN AND MAINTAIN. IN FULL FORCE AND EFFECT THROUGHOUT THE ENTIRE TERM OF ANY RESULTANT AGREEMENT, THE INSURANCE COVERAGE HEREIN DESCRIBED, INSURING NOT ONLY PROPOSER AND ITS SUBCONSUL TANS, IF ANY, BUT ALSO, WITH THE EXCEPTION OF WORKERS' COMPENSATION, EMPLOYER'S LIABILITY AND PROFESSIONAL INSURANCE. NAMING AS ADDITIONAL INSURES CITY, ITS COUNCIL MEMBERS, OFFICERS, AGENTS. AND EMPLOYEES. L INSURANCE COVERAGE MUST INCLUDE: A. A PROVISION FOR A WRITTEN THIRTY DAY ADVANCE NOTICE TO CITY OF CHANGE IN COVERAGE OR OF COVERAGE CANCELLATION; AND B. A CONTRACTUAL LIABILITY ENDORSEMENT PROVIDING INSURANCE COVERAGE FOR CONTRACTOR'S AGREEMENT TO fNDEMNIFY CITY -SEE SECTION TBD, SAMPLE AGREEMENT FOR SERVICES. II. SUBMIT CERTIFICA TE(S) OF INSURANCE EVIDENCING REQUIRED COVERAGE, OR COMPLETE THIS SECTION AND IV THROUGH V, BELOW. A. NAME AND ADDRESS OF COMPANY AFFORDING COVERAGE (NOT AGENT OR BROKER): B. NAME, ADDRESS, AND PHONE NUMBER OF YOUR INSURANCE AGENT/BROKER: C. POLICY NL1vIBER(S): D. DEDUCTIBLE A;VIOuf\IT(S) (DEDUCTIBLE AMOUNTS IN EXCESS OF $5,000 REQUIRE CITY'S PRIOR APPROVAL): III. A WARD IS CONTINGENT ON COMPLIANCE W1TH CITY'S INSURANCE REQUIREMENTS, AND PROPOSER'S SUBMITTAL OF CERTIFICATES OF INSURANCE EVIDENCING COMPLIANCE WITH. THE REQUIREMENTS SPECIFIED HEREIN. . IV. ENDORSEMENT PROVISIONS, WITH RESPECT TO THE INSURANCE AFFORDED TO "ADDITIONAL fNSURES" A. PRlMARY COVERAGE WITH RESPECT TO CLAIMS ARISING OUT OF THE OPERATIONS OF THE NAMED INSURED, INSURANCE AS AFFORDED BY THIS POLICY IS PRItvlARY AND IS NOT ADDITIONAL TO OR CONTRIBUTING WITH ANY OTHER INSURANCE CARRIED BY OR FOR THE BENEFIT OF THE ADDITIONAL INSURES. B. CROSS LIABILITY THE NAMfNG OF MORE THAN ONE PERSON, FIRM, OR CORPORATION AS INSURES UNDER THE POLICY SHALL NOT, FOR THAT REASON ALONE, EXTINGUISH ANY RIGHTS OF THE INSURED . AGAINST ANOTHER, BUT THIS ENDORSEMENT, AND THE NAMING OF MULTIPLE INSUREDS, SHALL NOT INCREASE THE TOTAL LIABILITY OF THE COMPANY UNDER THIS POLICY. C. NOTICE OF CANCELLATION I. IF THE POLICY IS CANCELED BEFORE ITS EXpmATION DATE FOR ANY REASON OTHER THAN THE NON-P A YMENT OF PREMIUM, THE ISSUING COMPANY SHALL PROVIDE CITY AT LEAST A TIlIRTY (30) DAY WRITTEN NOTICE BEFORE THE EFFECTIVE DATE OF CANCELLA TION. 2. IF THE POLICY IS CANCELED BEFORE ITS EXPIRATION DATE FOR THE NON-PAYMENT OF PREMIUM, THE ISSUING COMPANY SHALL PROVIDE CITY AT LEAST A TEN (1 0) DAY WRITTEN NOTICE BEFORE THE EFFECTIVE DATE OF CANCELLATION. V. PROPOSER CERTIFIES THAT PROPOSER'S INSURANCE COVERAGE MEETS THE ABOVE REQUIREMENTS: THE INFORMATION HEREIN IS CERTIFIED CORRECT BY SIGNA TURE(S) BELOW. SIGNATURE(S) MUST BE SAl\IE SIGNATURE(S) AS APPEAR(S) ON SECTION II, ATTACHMENT A, PROPOSER'S INFORMATION FORM. Firm: Signature: Name: (Print or type name) Signature: Name: (Print or type name) NOTICES SlL.\LL BE MAILED TO: 1 PURCHASING AND CONTR-\CT ADMINISTRATION CITY OF PALO ALTO P.O. BOX 10250 PALO ALTO, CA 94303. 2 EXHIBIT 0 Certification of Nondiscrimination As suppliers of goods or services to the City of Palo Alto, the firm and individuals listed below certify that they do not discriminate in employment of any person because of race, skin color, gender, age, religion, disability, national origin, ancestry, sexual orientation, housing status, marital status, familial status, weight or height of such person; that they are incompliance with all Federal, State and local directives and executive orders regarding nondiscrimination in employment. 1. If Proposer is INDIVIDUAL, sign here: Date: ------- Proposer's Signature Proposer's typed name and title 2. If Proposer is PARTNERSHIP or JOINT VENTURE, at least (2) Partners or each of the Joint Venturers shall sign here: Partnership or Joint Venture Name (type or print) Date: ------- Date: -----.....:.-- Member of the Partnership or Joint Venture signature of the Partnership or Joint Venture signature 3. If Proposer is a CORPORATION, the duly authorized officer(s) shall sign as follows: . y that they are respectively: ----~~~~~~--~------------and Of the corporation named below: that they are designated to sign the Proposal Cost Form by resolution (attach a certified copy, "'lith corporate seal, if applicable, notarized as to its authenticity or Secretar/s certificate of authorization) for and on behalf of the below named CORPORATION, and that they are authorized to execute same for and on behalf of said CORPORATION. Corporation Name (type or print) Date: Date: --------- Title: -~--------------------------------- ATTACHMENTC AGREEMENT FOR PROFESSIONAL SERVICES CITY OF PALO ALTO CONTRACT NO. S09126967 AGREEMENT BETWEEN THE CITY OF PALO ALTO AND SAN MATEO COUNTY CONVENTION & VISITORS BUREAU FOR PROFESSIONAL SERVICES (DESTINATION PALO ALTO) This AGREEMENT is entered into October 6, 2008 by and behveen the CITY OF PALO ALTO, a charter city and a municipal corporation of the State of California ("CITY"), and, SAN MATEO COUNTY CONVENTION & VISITORS BUREAU, a California Corporation, located at 111 · Anza Blvd., Burlingame, California ("CONSULTANT"). RECITALS The following recitals are a substantive portion of this Agreement. A. CITY intends to hire a consultant for Visitor Promotion ("Project") and desires to engage a consultant to assist in connection with the Project ("Services"). B. CONSULTANT has represented that it has the necessary professional expertise, qualifications, and capability, and all required licenses and/or certifications to provide the Services. C . CITY in reliance on these representations desires to engage CONSULT ANT to provide the Services as more fully described in Exhibit "A", attached to and made a part of this Agreement. NOW, THEREFORE, in consideration of the recitals, covenants, terms, and conditions, this Agreement, the parties agree: AGREEMENT SECTION 1. SCOPE OF SERVICES. CONSULTANT shall perform the Services described in Exhibit "A" in accordance with the terms and conditions contained in this Agreement. The performance of all Services shall be to the reasonable satisfaction of CITY. final 1 SECTION 2. TERM. The term of this Agreement will COll1mence on October 20, 2008 and shall continue for a period not to exceed one year terminating on October 19, 2009. The City has the right to extend the term of this Agreenlent for one additional one year period, based upon the same conditions of the initial term. The City shall notify CONSULTANT in writing of its exercise of its option for an additional one year term not less than thirty days prior to ,the end of the then current term. The obligation of CONTRACTOR to perform the Services will commence in accordance with the time schedule set forth in Exhibit "A" unless terminated earlier pursuant to Section 19 of this Agreement. SECTION 3. SCHEDULE OF PERFORMANCE. Time is of the essence in the performance of Services under this Agreement. CONSULTANT shall complete the Services within the term of this Agreement and in accordance with the schedule set forth in Exhibit "B", attached to and made a part of this Agreement. Any Services for which times for performance are not specified in this Agreement shall be commenced and completed by CONSULTANT in a reasonably prompt and timely manner based upon the circumstances and direction communicated to the CONSULTANT. CITY's agreement to extend the term or the schedule for performance shall not preclude recovery of damages for delay if the extension is required due to the fault of CONSULTANT. SECTION 4. NOT TO EXCEED COMPENSATION. The compensation to be paid to CONSULTANT for performance of the Services described in Exhibit "A", including both payment for professional services and reimbursable expenses, shall not exceed Four Hundred Fifty Five Thousand Dollars ($455,000). The applicable rates and schedule of payment are set out in Exhibit "B", entitled "SCHEDULE OF PERFORMANCE/COMPENSA TION," which is attached to and made a part of this Agreement. Additional Services, if any, shall be authorized in accordance with and subject to the provisions of Exhibit "B", CONSULTANT shall not receive any compensation for Additional Services performed without the prior written authorization of CITY. Additional Services shall mean any work that is determined by CITY to be necessary for the proper completion of the Project, but which is not included within the Scope of Services described in Exhibit "A". SECTION 5. INVOICES. In order to request payment, CONSULTANT shall submit invoices to the CITY consistent with the deliverables and schedule of events as delineated in Exhibit "B' describing the services performed and the applicable charges. The information in CONSULT ANT's payment requests shall be subject to verification by CITY, CONSULTANT shall send all invoices to the City's project manager at the address specified in Section 13 below. The City will generally process and pay invoices within thirty (30) days of receipt. SECTION 6. QUALIFICATIONS/STANDARD OF CARE. All of the Services shall be performed by CONSULTANT or under CONSULTANT's supervIsIon. CONSULTANT represents that it possesses the professional and technical personnel final 2 necessary to perfonn the Services required by this Agreement and that the personnel have sufficient skill and experience to perform the Services assigned to them. CONSULTANT represents that it, its employees and subconsultants, if permitted, have and shall maintain during the term of this Agreement all licenses, permits, qualifications, insurance and approvals of whatever nature that are legally required to perform the Services. All of the services to be furnished by CONSULTANT under this agreement shall meet the professional standard and quality that prevail among professionals in the same discipline and of similar knowledge and skill engaged in related work throughout California under the same or similar circumstances. SECTION 7. COMPLIANCE WITH LAWS. CONSULTANT shall keep itself informed of and in compliance with all federal, state and local laws, ordinances, regulations, and orders that may affect in any manner the Proj ect or the performance of the Services or those engaged to perform Services. under this Agreement. CONSULTANT shall procure all permits and licenses, pay all charges and fees, and give all notices required by law in the perfonnance of the Services. SECTION 8. ERRORS/OMISSIONS. CONSULTANT shall correct, at no cost to CITY, any and all errors, omissions, or ambiguities in the work product submitted to CITY, provided CITY gives notice to CONSULTANT. If CONSULTANT has prepared plans and specifications or other design documents to construct the Project, CONSULTANT shall be obligated to correct any and all errors, omissions or ambiguities discovered prior to and during the course of construction of the Project. This obligation shall survive termination of the Agreement. SECTION 9. [Intentionally Deleted.] SECTION 10. INDEPENDENT CONTRACTOR. It is understood and agreed that in performing the Services under this Agreement CONSULTANT, and any person employed by or contracted with CONSULT ANT to furnish labor and/or materials under this Agreement, shall act as and be an independent contractor and not an agent or employee of the CITY. SECTION 11. ASSIGNMENT. The parties agree that the expertise and experience of CONSULTANT are material considerations for this Agreement. CONSULTANT shall not assign or transfer any interest in this Agreement nor the performance of any of CONSULT ANT's obligations hereunder without the prior written consent of the city manager. Consent to one assignment will not be deemed to be consent to any subsequent assignment. Any assignment made without the approval of the city manager will be void. SECTION 12. SUBCONTRACTING. Notwithstanding Section 11 above, CITY agrees that subconsultants may be used to complete the Services. The subconsultants authorized by CITY to perform work on this Project are: 1. Palo Alto Chamber of Comlnerce final 3 CONSULTANT shall be responsible for directing the work of its sub consultants and for any compensation due to sub consultants. CITY assumes no responsibility whatsoever concerning compensation. CONSULT ANT shall be fully responsible to CITY for all acts and omissions of a sub consultant. CONSULTANT shall change or add subconsultants only with the prior approval of the city manager or his designee. SECTION 13. PROJECT MANAGEMENT. CONSULTANT will aSSIgn Anne LeClair as the project director to have supervisory responsibility for the performance, progress, and execution of the Services and to represent CONSULTANT during the day­ to-day work on the Project. If circumstances cause the substitution of the project director, project coordinator, or any other key personnel for any reason, the appointment of a substitute project director and the assignment of any key new or replacement personnel will be subject to the prior written approval of the CITY's project manager. CONSULTANT, at CITY's request, shall promptly remove personnel who CITY finds do not perform the Services in an acceptable manner, are uncooperative, or present a threat to the adequate or timely completion of the Project or a threat to the safety of persons or property. The City'S project manager is Susan Ban1es, Economic Development Manager, Palo Alto, CA 94303, Telephone:(650)-329-2604. The project manager will be CONSULTANT's point of contact with respect to perforn1ance, progress and execution of the Services. The CITY may designate an alternate project manager from time to time. SECTION 14. OWNERSHIP OF MATERIALS. All work product, including without limitation, all writings, drawings, plans, reports, specifications, calculations, documents, other materials and copyright interests created in the performance of the Services and intended to be delivered to the CITY under this Agreement (the Deliverables) shall be and remain the exclusive property of CITY without restriction or limitation upon their use. CONSULTANT agrees that all copyrights which arise from creation of the Deliverables pursuant to this Agreement shall be vested in CITY, and CONSULTANT waives and relinquishes all claims to copyright or other intellectual property rights in favor of the CITY. Neither CONSULTANT nor its contractors, if any, shall make any of such materials available to any individual or organization without the prior written approval of the City Manager or designee. CONSULTANT makes no representation of the suitability of the work product for use in or application to circumstances not contemplated by the scope of work. SECTION 15. AUDITS. CONSULTANT will permit CITY to audit, at any reasonable time during the term of this Agreement and for three (3) years thereafter, CONSULTANT's records pertaining to matters covered by this Agreement. CONSULTANT further agrees to maintain and retain such records for at least three (3) years after the expiration or earlier termination of this Agreement. SECTION 16. INDEMNITY. 16.1. To the fullest extent permitted by law, CONSULTANT shall protect, indemnify, defend and hold harmless CITY, its Council members, officers, employees and agents final 4 (each an "Indemnified Party") from and against any and all demands, claims, or liability of any nature, including death or injury to any person, property damage or any other loss, including all costs and expenses of whatever nature including attorneys fees, experts fees, court costs and disbursements ("Claims") resulting from, arising out of or in any manner related to performance or nonperformance by CONSULTANT, its officers, employees, agents or contractors under this Agreement, regardless of whether or not it is caused in part by an Indemnified Party. 16.2. Notwithstanding the above, nothing in this Section 16 shall be construed to require CONSULTANT to indemnify an Indemnified Party from Claims arising from the active negligence, sole negligence or willful misconduct of an Indemnified Party. 16.3. The acceptance of CONSULTANT's services and duties by CITY shall not operate as a waiver of the right of indemnification. The provisions of this Section 16 shall survive the expiration or early termination of this Agreement. SECTION 17. WAIVERS. The waiver by either party of any breach or violation of any covenant, term, condition or provision of this Agreement, or of the provisions of any ordinance or law, will not be deemed to be a waiver of any other term, covenant, condition, provisions, ordinance or law, or of any subsequent breach or violation of the same or of any other term, covenant, condition, provision, ordinance or law. SECTION 18. INSURANCE. 18.1. CONSULTANT, at its sole cost and expense, shall obtain and maintain, in full force and effect during the term of this Agreement, the insurance coverage described in Exhibit "D". CONSULTANT and its contractors, if any, shall obtain a policy endorsement naming CITY as an additional insured under any general liability or automobile policy or policies. 18.2. All insurance coverage required hereunder shall be provided through carriers with AM Best's Key Rating Guide ratings of A-:VII or higher which are licensed or authorized to transact insurance business in the State of California. Any and all contractors of CONSULTANT retained to perform Services under this Agreement will obtain and maintain, in full force and effect during the term of this Agreement, identical insurance coverage, naming CITY as an additional insured under such policies as required above. 18.3. Certificates evidencing such insurance shall be filed with CITY concurrently with the execution of this Agreement. The certificates will be subject to the approval of CITY's Risk Manager and will contain an endorsement stating that the insurance is primary coverage and will not be canceled, or> materially reduced in coverage or limits, by the insurer except after filing with the Purchasing Manager thirty (30) days' prior written notice of the cancellation or modification, CONSULTANT shall be responsible for ensuring that current certificates evidencing the insurance are provided to CITY's Purchasing Manager during the entire term of this Agreement. final 5 18.4. The procuring of such required policy or policies of insurance will not be construed to limit CONSULTANT's liability hereunder nor to fulfill the indemnification provisions of this Agreement. Notwithstanding the policy or policies 6finsurance, CONSULTANT will be obligated for the full and total amount of any damage, injury, or loss caused by or directly arising as a result of the Services perfonned under this Agreement, including such damage, injury, or loss arising after the Agreement is terminated or the term has expired. SECTION 19. TERMINATION OR SUSPENSION OF AGREEMENT OR SERVICES. 19.1. The city manager may suspend the performance of the Services, in whole or in part, or terminate this Agreement, with cause, by giving sixty (60) days prior written notice thereof to CONSULTANT. For puposes of this provision, cause to terminate shall consist of: (1) material breach of this Agreement or (2) commission of fraudulent practices. Upon receipt of such notice, CONSULTANT will immediately discontinue its performance of the Services. . 19.2. CONSULTANT may terminate this Agreement or suspend its performance of the Services by giving thirty (30) days prior written notice thereof to CITY, but only in the event of a substantial failure of performance by CITY. 19.3. Upon such suspension or termination, CONSULTANT shall deliver to the City Manager immediately any and all copies of Deliverables, whether or not completed, prepared by CONSULTANT or its contractors, if any, or given to CONSULTANT or its contractors, if any, in connection with this Agreement. Such materials will become the property of CITY. 19.4. If this Agreement is suspended or terminated on account of a default by CONSULTANT, CITY will be obligated to compensate CONSULTANT only for that portion of CONSULTANT's services which are of direct and immediate benefit to CITY as such determination may be made by the City Manager acting in the reasonable exercise of hislher discretion 19.5. No payment, partial payment, acceptance, or partial acceptance by CITY will operate as a waiver on the part of CITY of any of its rights under this Agreement. SECTION 20. NOTICES. All notices hereunder will be given in writing and mailed, postage prepaid, by certified mail, addressed as follows: final To CITY: Office of the City Clerk City of Palo Alto Post Office Box 10250 Palo Alto, CA 94303 With a copy to the Purchasing Manager 6 To CONSULTANT: Attention of the project director at the address of CONSULTANT recited above SECTION 21. CONFLICT OF INTEREST. 21.1. In accepting this Agreement, CONSULT ANT covenants that it presently has no interest, and will not acquire any interest, direct or indirect, financial or otherwise, which would conflict in any manner or degree with the performance of the Services. 21.2. CONSULTANT further covenants that, in the performance of this Agreement, it will not employ subconsultants, contractors or persons having such an interest. CONSULTANT certifies that no person who has or will have any financial interest under this Agreement is an officer or employee of CITY; this provision will be interpreted in accordance with the applicable provisions of the Palo Alto Municipal Code and the Government Code of the State of California. 21.3. If the Project Manager determines that CONSULTANT is a "Consultant" as that term is defined by the Regulations of the Fair Political Practices Commission, CONSULTANT shall be required and agrees to file the appropriate financial disclosure docun1ents required by the Palo Alto Municipal Code and the Political Reform Act. SECTION 22. NONDISCRIMINATION. As set forth in Palo Alto Municipal Code section 2.30.51 0, CONSULTANT certifies that in the performance of this Agreement, it shall not discriminate in the employment of any person because of the race, skin color, gender, age, religion, disability, national origin, ancestry, sexual orientation, housing status, marital status, familial status, weight or height of such person. CONSULTANT acknowledges that it has read and understands the provisions of Section 2.30.510 of the Palo Alto Municipal Code relating to Nondiscrimination Requirements and the penalties for violation thereof, and agrees to meet all requirements of Section 2.30.510 pertaining to nondiscrimination in employment, including completing the form furnished by CITY and set forth in Exhibit "E." SECTION 23. MISCELLANEOUS PROVISIONS. 23.1. This Agreement will be governed by the laws of the State of California. 23.2. In the event that an action is brought, the parties agree that trial of such action will be vested exclusively in the state courts of California in the County of Santa Clara, State of California. 23.3. The prevailing party in any action brought to enforce the provisions of this Agreement may recover its reasonable costs and attorneys' fees expended in connection with that action. The prevailing party shall be entitled to recover an amount equal to the fair market value of legal services provided by attorneys en1ployed by it as well as any attonleys' fees paid to third parties. final 7 23.4. This document represents the entire and integrated agreement between the parties and supersedes all prior negotiations, representations, and contracts, either written or oral. This document may be amended only by a written instrument, which is signed by the parties. 23.5. The covenants, terms, conditions and provisions of this Agreement will apply to, and will bind, the heirs, successors, executors, administrators, assignees, and consultants of the parties. 23.6. If a court of competent jurisdiction finds or rules that any prOVIsIon of this Agreement or any amendment thereto is void or unenforceable, the unaffected provisions· of this Agreement and any amendments thereto will remain in full force and effect 23.7. All exhibits referred to in this Agreement and any addenda, appendices, attachments, and schedules to this Agreement which, from time to time, may be referred to in any duly executed amendment hereto are by such reference incorporated in this Agreement and will be deemed to be a part of this Agreement. 23.8. This Agreement is subject to the fiscal provisions of the Charter of the City of Palo Alto and the Palo Alto Municipal Code. This Agreement will terminate without any penalty (a) at the end of any fiscal year in the event that funds are not appropriated for the following fiscal year, or (b) at any time within a fiscal year in the event that funds are only appropriated for a portion of the fiscal year and funds for this Agreement are no longer available. This Section 23.8 shall take precedence in the event of a conflict with any other covenant, term, condition, or provision of this Agreement 23.9. The individuals executing this Agreement represent and warrant that they have the legal capacity and authority to ,do so on behalf of their respective legal entities. final 8 IN WITNESS WHEREOF, the parties hereto have by their duly authorized representatives executed this Agreement on the date first above written. Attaclunents: EXHIBIT "A": EXHIBIT "B": EXHIBIT "C": EXHIBIT "D": final SCOPE OF WORK SCHEDULE OF PERFORMANCE/COMPENSATION INSURANCE REQUIREMENTS CERTIFICATION OF NONDISCRIMINATION 9 Exhibit A Destination Palo Alto FY 2008·09 and FY 2009-10 Scope of Services Milestones and Timellne: Quarterly reports will be provided to the City of Palo Alto. These will include (but are not limited to): • Number of leads identified, generated • Total potential economic impact of leads generated • Total number of room nights booked • Targets reached for non-peak nights • Events booked • Packages created • PACE Report with comparison to prior year • Hotel occupancy comparison with TOT comparison (by month, year) • Number of visitors, inquiries to Visitor Center • Number of visitors to DPA website • Report on average daily spending by overnight visitors to Palo Alto • Number of fam* tours and fam tour attende.es (including descriptions of size of potential accounts) • Media updates (including list of articles/online pieces, broadcasts generated) • International fam tour up,dates • Advertising reports including publications of advertisements about Palo Alto that have been featured and audience size reached Activities to achieve Milestones Year One Quarterly Reports will include a report on milestones and activities achieved each quarter. Activities for Quarter One • Begin dissemination of meeting leads to Palo Alto properties • Go to all Palo Alto hotels and motels for "need dates" to be included in bimonthly planner blast • Hold initial meeting of Destination Palo Alto Advisory Committee and begin building local visitor database for future email special and calendar updates. Determine information they would like to see collected in survey • Set up a visitor center within the Palo Alto Chamber office, including signage, Destination Palo Alto phone line, personnel to staff, and signage 1 • Contract with Godbe Research, create formal research plan and surveys to get feel for Palo Alto visitors' perception of the area, what will draw them there, etc. and begin research • Secure buy-in of key Palo Alto properties willing to participate in Godbe Research surveying and begin formal research • Initiate meetings with Stanford Public Affairs representatives to determine how best Destination PA may get the word out about events, drive room nights and drive other locals and area visitors to special events • Initiate one-on-one meetings/discussions with Stanford Athletic Dept. heads to determine possible target events w/room nights, gather specs for individual fields and sports facilities at Stanford, and determine how Destination Palo Alto and SMCCVB may best promote upcoming sporting events, including packaging with hotel room nights • Add all key Palo Alto players /groups to list solicited for upcoming events by SMCCVB and begin inclusion of PA events in published and online calendars • Gather Palo Alto property information and incorporate all Palo Alto properties into meeting planner guide, visitor guide and include on SMCCVB website • Issue press release to all major meeting planner publications, announcing coverage of Palo Alto, highlighting key selling points of area • Contact all meeting planners in SMCCVB data base, orienting them to Palo Alto and invite them out for site visits • Contact all meeting planners who have not considered the Bay Area due to airport area concerns and explain that we have a great non-airport area for them to see • Conduct training for Palo Alto hotel sales managers on how best to work with SMCCVB-generated leads, etc. and instruct all Palo Alto hotels on how to participate in the broad, national "hot dates" program paid for by the CVB, in which they may go online themselves and add hot dates/rates to a site aimed at planners seeking last minute bookings; • MC;1ke site visits (SMCCVB sales team) to all Palo Alto properties with meeting space to become familiar with group booking opportunities • Complete site visits to all Palo Alto properties without meeting space (Internationalrrourism Development Director, Film Commissioner and Publications Manager/media outreach person) to become familiar, take photographs • Contact all internal customers, local customers and key groups (e.g., Palo Alto Downtown, Stanford) notifying them of new Visitor Center • Solicit Palo Alto properties' input for key trade shows of interest to their markets 2 • Inform Palo Alto properties of upcoming shows for possible partnering; to determine level of interest in tour groups, particularly inbound international • Label all outgoing correspondence to meeting planners to generate meeting planner inquiries on the Palo Alto and its properties • Personally invite all past fam attendees back to see Palo Alto properties (Sales Team) • Feature Palo Alto venues ranging from unique Stanford University spots to downtown buildings and squares in emails to producers and filming scouts by the SMCCVB's film commissioner, touting them as fresh, undiscovered filming locations • Find Palo Alto angle in all media lead responses (e.g. "romance packages", green places to stay • Update all existing editorial used for outreach to include Palo Alto angle • I nclude Palo Alto special events and special hotel and motel promotions in SMCCVB's monthly email update to database of thousands of . prospective visitors interested in visiting the Bay Area • Issue a special update to our CTTC/SFCVB representatives overseas, notifying them of the change and describing Palo Alto and its properties in detail. Likewise, CITC will be informed that Palo Alto is a key new area of promotion • Prepare and submit report of Destination PAISMCCVB activities to City of Palo Alto as specified in agreement Activities for Quarter Two • Continue research through Godbe Research, collecting sufficient data to be used in "branding"/outreach of Palo Alto area to entice more visitors into the area • Conduct Destination Palo Alto Advisory Committee meeting to update group, determine progress, next steps • Feature Palo Alto properties in fam tour for incentive meeting planners and fam for Jet Airways' top travel agents from India • Add new activities to work plan • Continue operation of visitor center, other activities initiated in prior quarter • Convene meetings with Stanford Medical Department chairs, soliciting info on medical research underway, recent breakthroughs, prospective groups to recruit; availability of expert speakers in particular areas of expertise for use in recruiting conferences • Restructure layout of SMCCVB/Silicon Valley visitor guide to break area into geographic sections and begin to address drivers of visits, as outlined in preliminary research results • Meet with representatives of Stanford Alumni and Development offices to determine whether additional reunionslfunctions might be added with rooms assistance from SMCCVB • Feature Palo Alto' properties in fam tour for incentive meeting planners 3 • Meet with The Cribbs Group and representatives of Anthony Travel to discuss targeting of additional events by SMCCVB sales team • Continue dissemination of meeting leads to Palo Alto properties • Update PA area and properties in domestic and international meeting planner fam tours • Continue promoting Palo Alto in all appropriate editorial outreach and responses • Continue promoting individual Palo Alto locations to production companies and filming scouts • Prepare and submit report of Destination PAISMCCVB activities to City of Palo Alto as specified in agreement Activities for Quarter Three • Release results of phase one of formal research to City of Palo Alto and hold meeting of Destination Palo Alto Advisory Committee with Chamber to discuss how best to capitalize on research results, determine progress made, additional activities needed • Add new activities to work plan • Continue operation of visitor center, other activities initiated in prior quarters • Bring travel media fam (national travel writer fly-ins) to Palo Alto • Conduct at least one additional fam tour that incorporates key Palo Alto properties and Palo Alto area • Provide special flyer/information to Stanford summer camp reps for distribution to parents of summer camp enrollees, promoting stays while the children are attending the camps • Broaden photo contest to include Palo Alto shots • In"itiate meetings with Stanford academic department chairs to determine individual accomplishments, interests, events, possible conferences/symposia that could be targeted for the area and begin targeting those meetings • Continue dissemination of meeting leads to Palo Alto properties • Continue meeting planner site visits to Palo Alto properties • Continue inclusion of PA area and properties in domestic meeting planner fam tours, fam tours for international travel agents, and all appropriate editorial outreach and responses • Continue promoting individual Palo Alto locations to production companies and filming scouts • Highlight Palo Alto at out of town reception for meeting planners (Midwest) • Prepare and submit report of Destination PAISMCCVB activities to City of Palo Alto as specified in agreement Activities for Quarter Four 4 • Conduct additional research with Palo Alto Visitors (Godbe, second phase summer snapshot • Hold meeting of Destination Palo Alto Advisory Committee to determine progress made, additional activities needed • Add new activities to work plan • Continue operation of visitor center, other activities initiated in prior quarters • Feature and make Palo Alto hotel stops on fam tour for Sacramento, East Coast and Midwestern meeting planners • Conduct informal surveying of Senior Games attendees to determine per diem spending while at the games • Continue dissemination of meeting leads to Palo Alto properties . • Continue inclusion of PA area and properties in domestic and international travel agent meeting planner fam tours • Continue promoting Palo Alto in all appropriate editorial outreach and responses • Continue promoting individual Palo Alto locations to production companies and filming scouts • Highlight Palo Alto at out of town reception for meeting planners (East Coast) • Prepare and submit report of Destination PAiSMCCVB activities to City of Palo Alto as specified in agreement (this will include Quarterly and Annual Report with Milestones reported) Year Two Activities for First Quarter • Release phase two results from Godbe Research to City of Palo Alto and Destination Palo Alto Committee . • Conduct meeting of Destination Palo Alto Advisory Committee and use Phase two information to finalize branding of Palo Alto for visitors, review Phase 2 research information, determine and initiate next steps, additional activities • Add new activities to work plan • Submit marketing plan and benchmarks for Year Two, Quarters two, three and four to City of Palo Alto. • Continue operation of visitor center, other activities initiated in prior quarters • Continue dissemination of meeting leads to Palo Alto properties • Continue inclusion of PA area and properties in domestic and international travel agent and meeting planner fam tours . • Continue promoting Palo Alto in all appropriate editorial outreach and responses 5 • Continue promoting individual Palo Alto locations to production companies and filming scouts . • Prepare and submit report of Destination PAiSMCCVB activities to City of Palo Alto as specified in agreement Activities for Second Quarter • Continue dissemination of meeting leads to Palo Alto properties • Continue inclusion of PA area and properties in domestic meeting planner fam tours • Additional benchmarks to be reported on, based on marketing plan submitted Quarter One, Year Two • Conduct ITleeting of Destination Palo Alto Advisory committee to ensure that all projects are on task • Add new activities to work plan • Continue operation of visitor center, other activities initiated in prior quarters • Continue inclusion of PA properties on fam tours for international travel agents • Continue promoting Palo Alto in new editorial content and in all . appropriate editorial outreach and responses • Continue promoting individual Palo Alto locations to production companies and filming scouts • Modify SMCCVB and Destination Palo Alto website in keeping with the research • Additional benchmarks to be reported on, based on marketing plan submitted Quarter One, Year Two • Prepare and submit report of Destination PAiSMCCVB activities to City of Palo Alto as specified in agreement Activities for Third Quarter • Modify Destination Palo Alto website and calendars as needed, based upon final research • Hold meeting of Destination Palo Alto Advisory committee to ensure that all projects are on task • Conduct Destination Palo Alto Committee meeting to reflect on progress to date and next steps • Add new activities to work plan • Continue operation of visitor center, other activities initiated in prior quarters • Continue dissemination of meeting leads to Palo Alto properties • Continue inclusion of PA area and properties in domestic meeting planner fam tours 6 • Continue inclusion of PA properties on fam tours for international traver . agents • Continue promoting Palo Alto in all appropriate editorial outreach and responses • Continue promoting individual Palo Alto locations to production companies and filming scouts • Prepare and submit report of Destination PAISMCCVB activities to City of Palo Alto as specified in agreement Activities for Fourth Quarter • Conduct Destination Palo Alto Committee meeting to reflect on progress to date and next steps • Assist in crafting recommendations for ongoing' Destination Palo Alto operations • Add new activities to work plan • Continue operation of visitor center, other activities initiated in prior quarters • Continue dissemination of meeting leads to Palo Alto properties • Continue inclusion of PA area and properties in domestic meeting planner fam tours • Continue inclusion of PA properties on fam tours for international travel agents • Continue promoting Palo Alto in all appropriate editorial outreach and responses • Continue promoting individual Palo Alto locations to production companies and filming scouts • Prepare and submit report of Destination PAISMCCVB activities to City of Palo Alto as specified in agreement (this will include Quarterly and Annual Report with Milestones reported) • Prepare final report with recommendations for Destination Palo Alto efforts going. forward including information from DPA committee, stakeholders and others 7 Exhibit B Destination Palo Alto Payment Schedule FY 2008-20 10 Payments will be made according to the following schedule: Payment 1 Payment 2 Payment 3 Payment 4 Payment 5 Total Payments To SMCCVB Payment 1 Payment 2 Payment 3 Payment 4 Total Payments $30,000 $50,000 $45,000 $45,000 $45,000 Within 30 days of contract signing Completion of First quarter Following submission/approval of quarterly report Completiol1 of Second quarter Following submission/approval of quarterly report Completion of Third quarter Following submission/approval of quarterly report Completion of Fourth quarter Following submission/approval of quarterly report and acceptance of annual report on milestones $215,000 Year One FY 2008-09 $60,000 $60,000 $60,000 $60,000 Completion of First quarter Following submission/approval of quarterly report Completion of Second quarter Following submission/approval of quarterly report Completion of Third quarter Following submission/approval of quarterly report Completion of Fourth quarter Following submission/approval of quarterly report and acceptance of annual report on milestones including recommendations for Destination Palo Alto $240,000 Year Two FY 2009-10 r. ' EXHIBITC INSURANCE REQIREMENTS CONTRACTORS TO THE CITY OF PALO ALTO (CITY), AT THEIR SOLE EXPENSE, SHALL FOR THE TERM OF THE CONTRACT OBTAIN AND MAINTAIN INSURANCE IN THE AMOUNTS FOR THE COVERAGE SPECIFIED BELOW, AFFORDED BY COMPANIES WITH A BEST'S KEY RATING OF A-:Vn, OR IDGHER, LICENSED OR AUTHORIZED TO TRANSACT INSURANCE BUSINESS IN THE STATE OF CALIFORNIA. A WARD IS CONTINGENT ON COfvfPLIANCE WITH CITY'S INSURANCE REQUIREMENTS, AS SPECIFIED, BELOW: MINIMUM LIMITS REQUIRED TYPE OF COVERAGE REQUIREMENT EACH OCCURRENCE AGGREGATE YES WORKER'S COMPENSATION STATUTORY YES AUTOMOBILE LIABILITY STATUTORY BODILY INJURY $1,000,000 $1,000,000 YES COMPREHENSIVE GENERAL LIABILITY, INCLUDING PERSONAL PROPERTY DAMAGE $1,000,000 $1,000,000 INJUR Y, BROAD FORM PROPERTY DAMAGE BLANKET CONTRACTUAL, BODILY INJUR Y & PROPERTY DAMAGE $1,000,000 $1,000,000 AND FIRE LEGAL LIABILITY COMBINED. BODILY INJURY $1,000,000 $1,000,000 -EACH PERSON $1,000,000 $1,000,000 COMPREHENSIVE AUTOMOBILE -EACH OCCURRENCE $1,000,000 $1,000,000 YES LIABILITY, INCLUDING, OWNED, HIRED, NON-OWNED PROPERTY DAMAGE $1,000,000 $1,000,000 BODIL Y INJURY AND PROPERTY DAMAGE, $1,000,000 $1,000,000 COMBINED NO PROFESSIONAL LIABILITY, INCLUDING, ERRORS AND OMISSIONS, MALPRACTICE (WHEN APPLICABLE), AND NEGLIGENT PERFORMANCE ALL DAMAGES $1,000,000 YES THE CITY OF PALO ALTO IS TO BE NAMED AS AN ADDITIONAL INSURED: PROPOSER, AT ITS SOLE COST AND EXPENSE, .. ~, SHALL OBTAIN AND MAINTAIN, IN FULL FORCE AND EFFECT THROUGHOUT THE ENTIRE TERM OF ANY RESULTANT AGREEMENT, THE INSURANCE COVERAGE HEREIN DESCRIBED, INSURING NOT ONLY PROPOSER AND ITS SUBCONSULTANS, IF ANY, BUT ALSO, WITH THE EXCEPTION OF WORKERS' COMPENSATION, EMPLOYER'S LIABILITY AND PROFESSIONAL INSURANCE, NAMING AS ADDITIONAL INSURES CITY, ITS COUNCIL MEMBERS, OFFICERS, AGENTS, AND EMPLOYEES. I. INSURANCE COVERAGE MUSTINCLUDE: A. A PROVISION FOR A WRITTEN THIRTY DAY ADVANCE NOTICE TO CITY OF CHANGE IN COVERAGE OR OF COVERAGE CANCELLATION; AND B. A CONTRACTUAL LIABILITY ENDORSEMENT PROVIDING INSURANCE COVERAGE FOR CONfRACTOR'S AGREEMENT TO INDEMNIFY CITY -SEE SAMPLE AGREEMENT FOR SERVICES. II. SUBMIT CERTIFICATE(S) OF INSURANCE EVIDENCING REQUIRED COVEMGE, OR COMPLETE THIS SECTION AND IV THROUGH V, BELOW. ? \ ~ ~ S t ~ ,~~~ t,~: t~,~: J ~ ~S~\ .- A NAME AND ADDRESS OF COMPANY AFFORDING COVERAGE (NOT AGENT OR BROKER): B. NAME, ADDRESS, AND PHONE NUMBER OF YOUR INSURANCE AGENTIBROKER : C. POLICY NUMBER(S): D. DEDUCTIBLE AMOUNT(S) (DEDUCTIBLE AMOUNTS IN EXCESS OF $5,000 REQUIRE CITY'S PRIOR APPROVAL): III. AWARD IS CONTINGENT ON COMPLIANCE WITII CITY'S INSURANCE REQUIREMENTS, AND PROPOSER'S SUBMITTAL OF CERTIFICATES OF INSURANCE EVIDENCING COMPLIANCE WITH THE REQUIREMENTS SPECIFIED HEREIN. IV. ENDORSEMENT PROVISIONS, WITH RESPECT TO TIm INSURANCE AFFORDED TO ~'ADDITIONAL INSURES" A. PR.IMA-RY COVERAGE WITH RESPECT TO CLAIMS ARISING OUT OF THE OPERATIONS OF THE NAMED INSURED, INSURANCE AS AFFORDED BY THIS POLICY IS PRIMARY AND IS NOT ADDITIONAL TO OR CONTRIBUTING WITII ANY OTImR INSURANCE CARRIED BY OR FOR mE BENEFIT OF TIm ADDITIONAL INSURES. B. CROSS LIABILITY THE NAMING OF MORE THAN ONE PERSON, FIRM, OR CORPORATION AS INSURES UNDER TIm POLICY SHALL NOT, FOR mAT REASON ALONE, EXTINGUISH ANY RIGHTS OF TIm INSURED AGAINST ANOmER, BUT THIS ENDORSEMENT, AND mE NAMING OF MUL TIPLE INSUREDS~ SHALL NOT INCREASE mE TOTAL LIABILITY OF TIm COMPANY UNDER THIS POLICY. C. NOTICE OF CANCELLATION 1. IF TIm POLICY IS CANCELED BEFORE ITS EXPIRATION DATE FOR ANY REASON OTHER THAN mE NON-PAYMENT OF PREMIUM, mE ISSUING COMPANY SHALL PROVIDE CITY AT LEAST A THIRTY (30) DAY WRITTEN NOTICE BEFORE THE EFFECTIVE DATE OF CANCELLATION. 2. IF mE POLICY IS CANCELED BEFORE ITS EXPIRATION DATE FOR mE NON·PAYMENT OF PREMIUM, THE ISSUING COMPANY SHALL PROVIDE CITY AT LEAST A TEN (10) DAY WRITTEN NOTICE BEFORE mE EFFECTIVE DATE OF CANCELLATION. V. PROPOSER CERTIFIES mAT PROPOSER'S INSURANCE COVERAGE MEETS mE ABOVE REQUIREMENTS: THE INFORMATION HEREIN IS CERTIFIED CORRECT BY SIGNATURE(S) BELOW. SIGNATURE(S) MUST BE SAME SIGNATURE(S) AS APPEAR(S) ON SECTION n, ATTACHMENT A, PROPOSER'S INFORMATION FORM. Firm: Signature: Name: Signature: Name: NOTICES SHALL BE MAILED TO: A. Workers Compensation: Employers Compensation Insurance Co. 255 California Street. Suite 300 San Francisco, CA 94111-4904 Property, General Liability, Auto: Great American Insurance Group 580 Walnut Street Cincinnati, OH 45202 B. Johndrow, Leveroni, Vreeburg 845 Marshall Street Redwood City, CA 94063 (650) 369-2921 C. Workers Compensation: FN 0322324 05 Property, General Liability, Auto: PAC 346-00-86 D. No deductibles on anything but property which has a deductible of $500. EXHIBIT 0 Certification of Nondiscrimination As suppliers of goods or services to the City of Palo Alto, the firm and individuals listed below certify that they do not discriminate in employment of any person because of race, skin color, gender, age, religion, disability, national origin, ancestry, sexual orientation, housing status, marital status, familial status, weight or height of such person; that they are in compliance with all Federal, State and local directives and executive orders regarding nondiscrimination in employment. 1. If Proposer is INDIVIDUAL, sign here: Date: ------ Proposer's Signature Proposer's typed name and title 2. If Proposer is PARTNERSHIP or JOINT VENTURE, at least (2) Partners or each of the Joint Venturers shall sign here: Partnership or Joint Venture Name (type or print) Date: ------ Date: ------ Member of the Partnership or Joint Venture signature Member of the Partnership or Joint Venture signature 3. If Proposer is a CORPORATION, the duly authorized officer(s) shall sign as follows: The undersigned certify that they are respectively: """"'--,-------and Title Of the corporation named below; that they are designated to sign the Proposal Cost Form by resolution (attach a certified copy, with corporate seal, if applicable, notarized as to its authenticity or Secretary's certificate of authorization) for and on behalf of the below named CORPORATION, and that they are authorized to execute same for and on behalf of said CORPORATION. 50..'" fY\a.-tto (~~ 6v\V[.I"!'Tr/M t1 Vis;tocs 'B.urLtLU' \!' Corporation Name (type or print) Title: Prt.$I"~m~1'" ¢ CLV By: G,\r\..(.. AU.hAt'l4l~ ~ .f2-e.=---'l~l" oJ Date: Title: ",Gte. Pres (~ot i r.":$DO San Mateo County Convention & Visitors Bureau Board of Directors Meeting Minutes Hiller Aviation Museum June 16, 2005 LeClair presented the benefits to the entire county and Palo Alto of including' Palo Alto in the San Mateo County BID. Following her presentation, Lewin noted that it was a good idea and made a motion to move forward with the action steps presented; seconded by Moore and approved by all. San Mateo County Convention & Visitors Bureau Board of Directors Meeting Minutes Westin Hotel, Millbrae August 18, 2005 The Executive Committee recommends that we proceed by offering the services to all properties in Palo Alto. Motion by Carlton to move forward with the Executive Committee recommendation, second by Lewin, approved by all. ATTACHMENT D 111 Anza Boulevard. Suite 410. Burlingame. CA 94010 650-348-7600 • 1-800-288-4748 Fax 650-348-7687 info@sanmateocountycvb.com • www.visitsanmateocounty.com Destination Palo Alto Third Quarter Report Submitted to the City of Palo Alto by The San Mateo County/Silicon Valley Convention & Visitors Bureau July 10, 2009 Meeting leads -generated (April-June): 93, with a total of 43,800 potential room nights and a potential econon1ic impact of $13,624,131. Definite meetings/events booked: 46, for a total of 61,655 room nights and an economic impact of $30,518,870. Of particular note with regard to booked events was the securing of the first U. S. (and second ever) China-US Green Energy Forum which will be held in October at the Crowne Cabana Hotel. This event will not only bring business to Palo Alto, but will showcase Palo Alto and its green efforts and successes worldwide. The Mayor will speak at the event and City departments will also be incorporated into the forum. Familiarization tours (Tours of the area with meeting planners and others to familiarize them with the area, its hotels and things to do.) The CVB hosted meeting planners from Washington, DC and the Midwest on a F AM trip of the area in May. The planners' meetings range from legal to medical to religious meetings and range in size from 10 people to 250. All book multiple meetings every year. Using conservative estimates, the potential economic impact of their meetings, alone, could be as great as $2,266,176. (Additional meeting planner fams taking place July, August and September.) In April, the Bureau hosted our annual media fly-in familiarization tour for travel writers. Among the publications/websites for which they writelbroadcast: US Airways and Alaska Airlines magazines; Frommer)s California; Up! Magazine; Entrepreneur Magazine travel guides; Restaurant) Food and Travel Show; The Travel Planners Show; Travel'n On Radio)· Around the World Travel)· Let's Travel Radio; about.com, SwissMade Magazine; www.52perfectdays.com;divorce360.comandTheAntiTourist.This year's focus was arts and culture and included trips to Cantor Center for the Arts and The Gamble Gardens. Their media kits all included multiple pieces of editorial which included things to do and see in Palo Alto. All responses to media requests and proactive pitches of stories to the media have included Palo Alto. Packages created Special "Extend your stay" pdfs were created for the major events coming to town, including the Senior Games, Grad Weekend and Admit Weekend. These pdfs go out in advance of events to attendees in order to entice them to book a longer stay in advance. These have also been shared with the Stanford Visitor Center. In June, a request was sent for, and responding Palo Alto properties included in special packages/discounts for the military. These packages will be sent by the end of July to military travel sites and publications, including one done by a syndicated military newspaper columnist with readership of over half a million. (She has launched a new website and requested these packages.) In May, Palo Alto properties were asked for special offers for distribution to our CTTC (California Travel and Tourism Commission) office in Germany for inclusion in Wetter. com promo in Germany, Austria and Switzerland. Wetter.com is one of the largest weather forecast websites in Germany with an average of 4.2 million unique users per month (as of Apr-June, 2009). The editorial ideas we sent in will be used by CTTC as part of their promotion of California vacations. Number of visitors to DPA website The new Destination Palo Alto web site has seen an exponential increase in the number of hits and page views since its redesign. The new Destination Palo site statistics are below: DESTINATION PALO ALTO WEB STATISTICS Jan-Feb-Mar-Apr-May-Jun- 09 09 09 09 09 09 Unique Visitors 472 485 363 nla 1532 1963 Page Views 791 648 477 nla 5870 7727 Note: April stats unavailable due to transition to new website. Palo Alto Media Coverage April-June Advertisements featuring Palo Alto (Readership in parentheses): Meetings West magazine and web site (47,600 meeting planners), Smart Meetings (42,166 meeting planners), Group Tour Magazine (15,000 tour operators), ASAE Associations Now (46,000), RCM (7,500 religious meeting planners), Small Market Meetings (9,000 meeting planners), NTA-Courier (30,000 tour operators), and the MPI­ Kansas City Annual Membership Directory (19,000). Editorial featuring Palo Alto: • "Northern California Coastal", Meetings West Magazine June 2009 edition, Marlene Goldman (Readership: 26,000 meeting planners) Special Note: An interview was just conducted for a feature on the City of Palo Alto in an upcoming issue. • "Destination Guide: San Francisco Bay Area" Smart Meetings, April 2009 http://smartmeetings.comldestinations/meetin-on-the-dock-of the-bay (42,166 meeting planners) • "Exciting Things to See and Do in San Mateo and Palo Alto, CA," Jason Rich Travel blog, April 27, 2009, http://jasonrichtravel.blogspot.com/2009/04/things-to-see-and-do-in-san-mateo­ palo.html In June, the San Mateo County Film Commission assisted a film maker who wanted to organize shooting an Interchannel piece for the "Disney Channel", called "United Front". He successfully shot at Stanford University, working with the athletic department and the Junior Water Polo Association. International fam tour updates: A group of top travel agents from Mexico were given a whirlwind tour of the area and information on Palo Alto. Additional international famswill occur over the next three months. At the international tour operator show, POWWOW, in May, we had a tremendous response to advance appointment requests with tour operators. This was due, in large part, to promotion of our representation of the Palo Also area. As a result, we were able to introduce Palo Alto and Stanford University to tour operators and media for the first time there. Report on average daily spending by overnight visitors to Palo Alto: Because research surveys are coming in extremely slowly from the participating Palo Alto area hotels and Visitor Center, no true picture can be given at this point about average daily spending by visitors to Palo Alto. Survey collection has been extended and Senior Games participants will be surveyed following that August event, so we should have a fairly accurate figure on visitor spending by the next report. The Destination Palo Alto Committee continues to brainstorm ways to improve the rate of survey collection. Miscellaneous Activities for Quarter Three: • Highlighted Palo Alto at event we hosted for meeting planners in Chicago in June; • The operation of the visitor center was continued and number of visitors is growing. Currently, the center assists approximately 30 walk-in visitors per week, plus several others by phone each day. (When the signage is installed in mid-July, those numbers are expected to grow considerably.) One of those "stop-ins" resulted in the booking of Palo Alto hotel rooms for a religious conference; • Staffed a Destination Palo Alto table during Admit Weekend, disseminating coupons for local establishments and assisting visitors with their needs; • Provided special pdf to camp operators, encouraging parents to stay in the area while the kids are at camp; • Broadened annual photo contest, specifically requesting shots of Palo Alto in our desired shots; • Began contacting Stanford department chairs to determine individual possible conferences/symposia that could be targeted for the area and began targeting those meetings; • Continued dissemination of meeting leads to Palo Alto properties; • Continued meeting planner site visits to Palo Alto properties; • Continued promoting individual Palo Alto locations to production companies and filming scouts; • Continued our regular "hot rates/dates" eblast~ which includes Palo Alto properties, to planners as well as the listing of these hot dates on our website. (Palo Alto properties are also able to list on cvbhotrates.com, thanks to our paid participation.) • Continued Quarterly Destination Palo Alto meetings and Hospitality Committee meetings to ensure all key groups are working together to promote major events and disseminate information. Overall The City of Palo Alto has continued to benefit from broad exposure to meeting planners, individual travelers and the media in the recent (third) quarter. Definite bookings are beginning to materialize from the first months of participation. While outreach to meeting planners and tour operators continued, strong efforts were made to ramp up the Shop Palo Alto efforts aimed at groups. Over 75 discounts have been gathered from stores and restaurants for groups coming to Palo Alto. The new Destination Palo Alto brochure was published in time for distribution at Admit Weekend. (Visitor Center team menlbers stuffed the bags for Admit Weekend with the discounts and new Destination Palo Alto brochures and were on campus offering help throughout the days of the event.) The discounts were also given to, and used by, the Stanford Alumni team for their use during grad weekend and the dining portion of the discounts was distributed by Stanford for its alumni events. (Participating businesses were given decals to post in their windows With regard to the Senior Games, three booths-two information booths and a City of Palo Alto booth-will be staffed by Visitor Center and San Mateo County/Silicon Valley CVB employees for the entire 16 days. Local discounts and new, customized Destination Palo Alto brochures will be distributed and attendees assisted on site. As mentioned above, the only challenge we have had is in the research area. We have had a very low nurnber of responses fronl hotel guests. Please Note: City Staff has been provided with: • (Booking) Pace Report with comparison to prior year (T = Tentative lead; D = Definite booking); and • Hotel occupancy comparison with TOT comparison (by month, year) Attachment: Activities for Quarter Three-Benchmarks Confidential • Four of the meetings booked between April and June were booked by Palo Alto properties, for a total of 4433 rooms. As mentioned previously, the lead time between dissemination of a lead and the actual booking can be months or even a year or more. • PACE Report with comparison to prior year • Hotel occupancy comparison with TOT comparison (by month, year) September 17, 2009 Palo Alto City Council Palo Alto City Hall 250 Hamilton Ave. Palo Alto, CA 94301 Dear Mayor Drekmeier and Council Members: ATTACHMENTE As Chair of the Palo Alto Chamber and an active member of the Midtown Merchants' Association, I'd like to go on record in support of your continuation into year two of the Destination Palo Alto contract with the San Mateo County/Silicon Valley Convention & Visitors Bureau. I have seen the benefits of the program through collection and dissemination of restaurant and merchant discounts, assistance with visitors within the Palo Alto Chamber of Commerce, sharing of information among groups at Destination Palo Alto's regular meetings, and the excellent new DP A website and visitor collateral. Groups are now coordinating with each other, communicating with each other and working to put Palo Alto "on the map". As part of the Destination Palo Alto Committee, I have heard first-hand of the write-ups Palo Alto has received and the exposure our city has been given with media and meeting planners. I encourage you to stick with the plan and help all of our businesses in Palo Alto through promoting our city. As always, thank you for considering the Chamber's views and my own. Sincerely, 6uLu1tt.C~ Carla Cumpston CC: Pau1a Sandas Bill Johnson Anne LeClair Susan Barnes September 17, 2009 Palo Alto City Council 250 Hamilton Ave. Palo Alto, CA 94301 Dear Mayor Drekmeier and Members of the Council: Page 20f2 Our Chamber, one of the three partners in the Destination Palo Alto contract, heartily supports continuation of year two of the agreement. We have seen great success with the new Destination Palo Alto web site and collateral, discount programs, visitor services within our office and on campus, as needed. Multiple business, merchant, hotel, university, and city representatives regularly attend the meetings of the newly revitalized Destination Palo Alto group and all have learned to share information and promote each other's events. Most importantly, our area has been shown to key meeting planners and sporting event planners, as well as travel writers and travel agents-all great exposure for our area. We have been given some great "ink" in travel publications as a result of the program, as well. I have watched the visitor center team here work long and hard to persevere in securing restaurant and merchant discounts and the results have been excellent. Groups now have discounts to make them feel welcome and participating merchants and restaurants have a decal to show their participation in the program. The one-on-one assistance provided at the Senior Ganles by the DP A team definitely kept people in our area, maximizing their time and spending in Palo Alto. Their advance piece encouraging the athletes to extend their stays was another key part of this. . Our chamber urges you to vote to continue the program, as planned. Thank you. Sincerely, Paula Sandas I CC: Carla Cumpston Bill Johnson Anne LeClair Susan Barnes Paula Sand as CEQ/President Palo Alto Chamber of Commerce 122 Hamilton Avenue Palo Alto, CA 94301 650-324-3121 ext. 125 Fax: 650-324-1215 www.paloaltochamber.com 10/28/2009 September 15, 2009 Palo Alto City Council Palo Alto City Hall 2qO Hamilton Ave. Palo Alto, CA 94301 VINCCl HOTELES Dear Mayor Drekmeier and Members of the City Council: 09 SEP I 7 ~J~ 10: I 9 I am writing you to urge your continuation of the second year of the Destination Palo Alto contract with the San Mateo County/Silicon Valley Convention & Visitors Bureau. During today's tough times, Palo Alto's hotel community needs the program more than ever. The Garden Court has benefited from exposure to meeting planners on fam tours and from articles in meeting publications. We have also had representation at , approximately 50 trade shows around the U.S. that we would not have had. In addition, we have had international travel and booking agents here from all over the world, exponentially increasing the number of people who know about Palo Alto. As an active member of the downtown PAd/BID, I am also very pleased with the boost our downtown businesses have been given by Destination PA. Through the discounts program and coordinated calendar of events and write-ups in travel and meeting planner publications, the story of our downtown "is being told and told well. I hope we may count on you to authorize the program's second year. Thank you. Sincerely, ~jmv- Barbara Gross General Manager 520 CO\,(IPER STREET. DOWNTOWN PALO ALTO , CALIFORNIA 9430I • TEL 65°.322.9°00 / 800.824.9°28 • FAX 65°.324.36°9 • WWW.GARDENCOURT.COM ELIZABETH GAMBLE GARDEN September 16,2009 Palo Alto City Council City Hall 250 Hamilton Ave. Palo Alto, CA 94301 Dear City Council: Oq srp ? I .rHJ q. r. Ct •• ' ~,.l ,. l !'It I .,. t.t u As someone intimately involved with Elizabeth Gamble Garden, I want to tell you what a difference the Destination Palo Alto contract has made in our marketing efforts. Within a week or two of the contract signing last October, we had a meeting with the San Mateo County/Silicon Valley Convention & Visitors Bureau in their role as part of Destination Palo Alto. We received enthusiastic support of Gamble Garden, tremendous outreach for our annual garden tour through the Bureau's calendar of events, Destination Palo Alto's calendar of events and communication from Destination P A Committee members to their constituents, guests and customers. Our tour information was promoted in both the Palo Alto Visitor Center and the Bureau office"and the event touted in e-bulletins to prospective visitors and area residents. " .. ; .... In addition, the Bureau built its annual travel media fly .. in dates around?~~p~l~:,;;'!('i':' garden tour weekend, to al~()~ us to show key writers what ,we have tOJ).ffer"::'~Ii;;:~~:·,': , was a big success. Fr01l1.a.:~~rsonalStandpoint, I also saw the Bureau and Palo., Alto Visitor Center sUlff ~Qrlilitg hard to promote things to do and see in our area while working info bo9t~;,at;there~entSeniot Games. . I urge you to authorizeJhe~cond yeargftheDestination Palo Altp .contract. Thank you for your tinleandconsideration. Sincerely, ~~k Co .. Chair 2009, GG SpringGarden Tour Cc: Anne LeClair Palo Alto Economic DevelPPlll:ent Department . 1431 WAVERLEY STREET PALO ALTO CA 94301-3 650-329-1356 FAX 650-329-1688 www.gamblega Sheraton Palo Alto Hotel 625 EI Camino Real Palo Alto, California 94301 September 14, 2009 Palo Alto City Council City of Palo Alto 250 Hamilton Ave. Palo Alto, CA 94301 Dear Mayor Dreknleier and Members of the Council: Received SEP 2 3 2009 Department of Planning & Community Environment In my role overseeing the Westin Palo Alto and Sheraton Palo Alto, I would like to go on ' record expressing our strong support of authorization of year two of the two-year Destination Palo Alto contract with the San Mateo County/Silicon Valley Convention & Visitors Bureau. The Bureau has given our properties and others here a reach we would never have had without their services. These have ranged from bringing in multiple familiarization tours to securing stories in the group meetings media to supplying meeting and tour and travel leads we would never have received. We have also had the opportunity to send out our "hot rates" and need dates to numerous meeting planners, and have been able to bid on crew room nights for various film productions. In addition, we have been very pleased with the local Destination Palo Alto angle, from coordination with the Palo Alto Weekly and the Chamber to holding regular meetings of the local hospitality community. ' We urge you to renew the contract for its second year. Thank you for considering 'my views. Cc: Susan Barnes Anne LeClair T 650328 2800 F 650327 7362 sheratoncom/paloal to / -"·---OCT.15.2009-1:39PM-'PREMIER PROPERTIES FAX COVER SHEET TO: Susan Barnes, City of Palo Alto Economic Development FAX: 650-325-5025 From: Lisa Van Dusen Re: Oestination Palo Alto -letter for City Council Date: 10.15.09 Susan: NO. 427 I am attaching a letter addressed to Mayor . Drekmeler and the CIty Counoil in support of Destination Palo Alto which, I am hoping you can distribute as appropriate. I understand that the Council is reviewing DPA at an upcoming Council meeting. Please let me know if you have any questions or concerns at 650-799-8883 or Ivandusen@4kelley .. comk Many thanks and I send my best regards, Lisa p, 1 '~-'H--·+OCT.15. 2009-1:39PM-PREMIER PROPERTIES October 15, 2009 Lisa C. Van Cusen 1111 Greenwobd Avenue Palo Alto, CA'94301 650-7.98-3883 NO. 427 The Honorable Peter Drekmeier and members of the Palo Alto City Council The City of Palo Alto 250 Hamifton Avenue Palo Alto, CA 94301 Dear Mayor Drekmeler and City Council members: P. 2 As you review the past year's performance of DestInation Palo Alto, I offer a few thoughts to consider as you look forward to the next year of the program. While I was directly involved in the development of Destination Palo Alto, as director of Pato Alto Online through 2008, my current perspective is that of a resident and someone who works downtown in an organization not specifically related to CPA. 1. Destination Palo Alto Is consistent with the City Council's stated goal$ of: -Economic Health of the City: Destination Palo Alto seeks to generate visitors who will contribute in a variety of ways to the economic vitality of the city. -Civic Engagement for the Commo". Good: DPA involves a wide variety of citizens, busih~Sse$, non-local events and more. I I -Environmental Protection: Palo Altb is hosting a major green tech event in October (U.S-China Green ~nergy Conference) secured by DPA/Convention and San Mateo coyntylSilicon Valley Convention and Visitors Bureau. I· 2.. The metrics/activity trends are up: , I -Room nights booked are up (The up~ming US-China Green Energy Conference was booked through DPjA and an example of increasing room nights while aligning with the Oity~s goal of being a center of Clean Tech). I -Traffic on the new and Improved website is up -Events in the pipeline are up (i.e. th~ Convention and Visitors Bureau has hosted numerous "familiarlzatiop tours" for events In Palo Alto that I I I I ! I : ( 'OCT. 15. 2009-1: 40 PM PREMIER PROPERTIES . / I I I I I NO. 427 would result in bookings "and the rel~teb spending in the area (the average spent per person per day is $290 with an average split of 500/0/500/0 lodging/non-lodging. More t~an 9100 room nights have " already been booked through Destinatlon Palo Alto. I 3. The personal focus make a difference: P. 3 -Having a person in the Chamber office and, when there are big events such as the Se"nior Games, on site, makes a real difference in keeping visitors within Palo Alto during their stay. A trained professional with a focus on directing visitors to options (dining, entertainment etc.) within Palo Alto can have a significant impact on dollars spent in Palo Alto vs. in neighboring communlt.ies. In summary, I urge you to support the renewal of Destination Palo Alto contract with the San Mateo County/Silicon Valley Convention and Visitors Bureau. They are professional, focused and on a positive traje~ory. Sincerely, t1~~'0V~ Lisa Van Dusen STANFORD TERRACE In III INN III III September 28, 2009 Palo Alto City Council City of Palo Alto c/o Susan Barnes 250 Hamilton Ave. Palo Alto, CA 94301 Dear Mayor Drekmeier and City Council Members: Since your approval of the Destination Palo Alto contract a year ago, I have watched the promotional activities of Destination Palo Alto and the San Mateo County/Silicon Valley Convention & Visitors Bureau with great interest. I have attended the Destination PA Committee meetings and watched the communication greatly improve among groups in Palo Alto. The new web site and calendar of events have taken shape and now include all. In addition, our property has received multiple meeting, tour and travel and film leads from the Bureau and we have made some bookings as a result. We would like to see the program continue and urge you to support the hospitality industry by voting in favor of continuing the second year of the Destination PA contract. Thank you for your consideration. Sincerely, ,/.) !lmu:e ~lY ___ Bruce Pressman Director of Sales Stanford Terrace Inn Cc: Anne LeClair 531 Stanford Avenue Palo Alto, CA 94306 65 0 857-0 333 stanfordterraceinn.com From: sherry bijan [mailto:sherry.bidmanagement@gmail.com] Sent: Monday, October 26, 2009 1:24 PM To: Council, City; Clerk, City Subject: Destination Palo Alto October 26, 2009 Palo Alto City Council Palo Alto City Hall 250 Hamilton Ave. Palo Alto, CA 94301 Dear Mayor Drekmeier and Council Members: As the President of the Palo Alto Downtown Business and Professional Association, I'd like to go on record in support of your continuation into year two of the Destination Palo Alto contract with the San Mateo County/Silicon Valley Convention & Visitors Bureau. We need the services provided by Destination Palo Alto more than ever in these difficlJlt times. The creation of downtown restaurant and store discount lists has been very well received. Having visitors directed downtown by the visitor center staff within the Palo Alto Chamberis very helpful, as is getting event information out through the Destination Palo Alto Committee and the new DPA ,website. The hotel guests (and fam tour participants) brought to the area definitely help our businesses weather these times. Our city and downtown are being given great exposure with travel media and meeting planners, to the benefit of all. I encourage you to continue with the two-year contract to help all of our businesses in Palo Alto by promoting our city. Thank you for your consideration. Sincerely, Sherry Bijan President PAd Business & Professional Assoc. BID Management www.paloaltodowntown.com 721 Emerson Street, PAlto, CA 94301 650-223-4334 sherry.BIDmanagement@gmail.com CC: Paula Sandas Anne LeClair Susan Barnes