6.3 Economic Development Agreement AmendmentCITY OF SALINA
REQUEST FOR CITY COMMISSION ACTION DATE TIME
10/15/12 4:00 P.M.
ORIGINATING DEPARTMENT: FISCAL APPROVAL: AGENDA SECTION
NO: 6
BY:
CITY MANAGER’S OFFICE FINAL APPROVAL: ITEM
NO:
Page 1
3
BY: Jason A. Gage, City Manager BY:
ITEM: Resolution No. 12-6938
An action authorizing the Mayor to sign the First Amendment to the 2012 Economic Development
Services Agreement between the City of Salina and the Salina Area Chamber of Commerce.
BACKGROUND:
In December of 2011, the City Commission approved a one-year agreement with the Salina Area
Chamber of Commerce (“Chamber”) that allows them to provide economic development services on
our behalf. This Agreement included a new approach that addressed: Standard of Excellence,
Standard of Representation and a split fee that addresses both the provision of basic services (base -
$85,000) and five specific performance objectives (up to $90,100).
One of the specific performance objectives requires the Chamber to hire an International Economic
Development Council (IEDC) certified economic developer (CEcD) by March 31st of this year. An
alternative approach is to have the services typically provided by an in-house CEcD employee to be
offered contractually, presuming an equal level of competency and expertise. This performance
objective is valued at $20,100. The Chamber has made a diligent effort to hire this position. They
found that few economic developers have attained this certification, making it very difficult to recruit
individuals at this qualification level. As a result, the Chamber has used both contractual services and
assistance from the Airport Authority to temporarily address some of the required tasks. Due to the
difficulty in recruiting a CEcD certified economic developer, the Chamber has requested a revision to
this section of the Agreement. The request is to: 1) allow the Chamber to hire an economic
development professional with significant progress toward either obtaining the CEcD certification or
completing the University of Oklahoma Economic Development Institute (EDI) program; and 2) amend
the hiring deadline to December 31, 2012.
The Agreement revisions are attached for your review. The public entity support staff members (city
manager, county administrator and airport authority director) have considered this request and agree
that it will meet our needs.
As mentioned earlier, the 2012 Agreement with the Chamber is only for one year. As a result, staff will
work with Chamber officials to present to you a 2013 economic development services agreement for
consideration in the upcoming weeks.
FISCAL NOTE: Not applicable
CONFORMANCE WITH STRATEGIC PLAN
GOAL #3: The City will provide the highest quality of services, consistent with governing body
direction, available resources and staff commitment to quality.
Staff believes this First Amendment to the Economic Development Services Agreement will still
provide a framework to enhance the overall level of economic development services for our
community and meet the expectations of this goal.
CITY OF SALINA
REQUEST FOR CITY COMMISSION ACTION DATE TIME
10/15/12 4:00 P.M.
ORIGINATING DEPARTMENT: FISCAL APPROVAL: AGENDA SECTION
NO: 6
BY:
CITY MANAGER’S OFFICE FINAL APPROVAL: ITEM
NO:
Page 2
3
BY: Jason A. Gage, City Manager BY:
ALTERNATIVES and RECOMMENDED ACTION:
Alternative #1: Approve Resolution No. 12-6938, authorizing the Mayor to sign the First Amendment
to the 2012 Economic Development Services Agreement wit the Salina Area
Chamber of Commerce.
Alternative #2: Do not approve Resolution 12-6938 at this time.
Staff recommends Alternative #1.
Enclosure: Proposed First Amendment to the 2012 Economic Development Services Agreement
Resolution No. 12-6938
FIRST AMENDMENT OF
ECONOMIC DEVELOPMENT
SERVICES AGREEMENT
between the
CITY OF SALINA, KANSAS
and the
SALINA AREA CHAMBER OF COMMERCE
Introduction:
This First Amendment to the Economic Development Services Agreement (“First
Amendment”) made and entered into this _____ day of October, 2012, by and between the City of
Salina, a municipal corporation (hereinafter called "City") and the Salina Area Chamber of
Commerce (hereinafter called "Chamber"), by which the parties amend the specified subsections of
the Economic Development Services Agreement between the parties dated December 29, 2011.
6. Performance Objectives. The Chamber shall make every reasonable effort to complete
to the full satisfaction of the City the following performance objectives.
a. Professional Economic Developer. The Chamber shall have on its economic
development staff on or before December 31, 2012 (unless extended at the request of the
Chamber and with the approval of the City) and shall make every reasonable effort to retain
throughout the duration of this Agreement a professional economic developer that has made
significant progress towards either obtaining the International Economic Development
Council’s (IEDC) Certified Economic Developer (CEcD) designation or completion of the
University of Oklahoma’s Economic Development Institute (OU/EDI) program. As an
acceptable alternative, the Chamber may contract for those services otherwise provided for
in this means with an individual or organization that possesses an equivalent level of
competency and expertise. These services may include, but not be limited to: marketing of
community and specific development sites, contacting site selection agents and prospective
business prospects, development of prospective development incentive packages,
preparation of benefit/cost analysis and coordination of business prospect site visits.
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Incorporation and Ratification:
The amendment set forth above is made pursuant to Section 13 of the Agreement and is
incorporated and made a part of the Agreement. The Agreement is ratified as amended by this First
Amendment.
Binding Effect:
This First Amendment shall be binding on the City and the Chamber as well as their
successors in interest.
EXECUTED by the duly authorized representatives of the parties on the day and year first stated
above.
City of Salina, Kansas
By: _______________________________
Norman M. Jennings, Mayor
ATTEST:
By: _____________________________________
Lieu Ann Elsey, CMC, City Clerk
Salina Area Chamber of Commerce
By: _______________________________
Dennis Lauver, President
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6. Performance Objectives. The Chamber shall make every reasonable effort to complete
to the full satisfaction of the City the following performance objectives.
a. IEDC Certified Professional Economic Developer. The Chamber shall have
on its economic development staff on or before December March 31, 2012 (unless
extended at the request of the Chamber and with the approval of the City) and shall make
every reasonable effort to retain throughout the duration of this Agreement a professional
economic developer an employee that has made significant progress towards either
obtaining holds the International Economic Development Council’s (IEDC) Certified
Economic Developer (CEcD) designation or completion of the University of Oklahoma’s
Economic Development Institute (OU/EDI) program. As an acceptable alternative, the
Chamber may contract for those services otherwise provided for in this means by an in-
house IEDC certified economic developer with an individual or organization that possesses
an equivalent level of competency and expertise. These services may include, but not be
limited to: marketing of community and specific development sites, contacting site
selection agents and prospective business prospects, development of prospective
development incentive packages, preparation of benefit/cost analysis and coordination of
business prospect site visits.
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RESOLUTION NUMBER 12-6938
A RESOLUTION AUTHORIZING THE MAYOR TO EXECUTE A FIRST
AMENDMENT TO THE 2012 ECONOMIC DEVELOPMENT SERVICES AGREEMENT N
AGREEMENT WITH SALINA AREA CHAMBER OF COMMERCE.
BE IT RESOLVED by the Governing Body of the City of Salina, Kansas:
Section 1. That the Mayor is hereby authorized to execute a First Amendment to the 2012
Economic Development Services Agreement with Salina Area Chamber of Commerce, subject to the
terms and conditions of the agreement.
Section 2. That the City Clerk is hereby directed to file the original agreement and retain
according to the City of Salina Records Management Policy.
Section 3. That this resolution shall be in full force and effect from and after its adoption.
Adopted by the Board of Commissioners and signed by the Mayor this 15th day of October, 2012.
Norman M. Jennings, Mayor
(SEAL)
ATTEST:
Lieu Ann Elsey, CMC, City Clerk