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HomeMy WebLinkAbout2011-11-08 - AGENDA REPORTS - SCV AUTO DEALERS SHOP LOCAL (2)CONSENT CALENDAR DATE: SUBJECT: DEPARTMENT: Agenda Item: 3 CITY OF SANTA CLARITA AGENDA REPORT City Manager Approval Item to be presented by: November 8, 2011 Jason Crawford SANTA CLARITA VALLEY AUTOMOBILE DEALERS ASSOCIATION SHOP LOCAL PROGRAM City Manager's Office RECOMMENDED ACTION City Council approve $60,000 for a public/private partnership with the Santa Clarita Automobile Dealers Association for continuing the Shop Local Program for fiscal year 2011/2012, renewable for fiscal year 2012/2013 and fiscal year 2013/2014. Authorize the City Manager to execute a renewable multi-year agreement with the Santa Clarita Valley Automobile Dealers Association, subject to City Attorney approval. -Funds are budgeted in account number 11301-5161.002. BACKGROUND The City Council approved a contribution to the public/private partnership with the Santa Clarita Automobile Dealers Association for $60,000 in fiscal year 2004/2005 to coincide with the Shop Santa Clarita campaign. Due to the success of the partnership, subsequent contributions have continued at the $60,000 amount. The Shop Local Program targets local residents, and is based on an ad campaign that shows the benefits residents receive as a result of making a local purchase. Additionally, sales tax revenues generated locally are reinvested back into the community in the form of increased public improvements and services. Auto sales area significant economic force for the City. In calendar year 2010, new motor vehicles sales represented 15.7% of the City's annual sales tax revenue, for a total of $3,822,312. ALTERNATIVE ACTIONS Other action as determined by Council. FISCAL IMPACT As proposed, this Shop Local Program will have a positive fiscal impact to the City by increasing overall auto sales and subsequent tax revenues to the City. Funds for this expenditure are budgeted in account number 11301-5161.002 for fiscal year 2011/2012. ATTACHMENTS Letter of Agreement November 9, 2011 Santa Clarita Valley Automobile Dealers Association 23955 Creekside Road Santa Clarita, CA 91355 Letter of Agreement Contract Number The City of Santa Clarita ("City") would like to enter into a Letter of Agreement ("Agreement") with the Santa Clarita Valley Automobile Dealers Association ("Association') for the annual Shop Local advertising partnership. 1. Scope of Work The Association will produce an annual Shop Local advertising campaign. 2. Compensation The City agrees to compensate Association sixty thousand dollars ($60,000.00) towards the advertisement costs. 3. Time Schedule Services to be provided in fiscal year 2011/2012. 4. Report Association to itemize how the money was spent in furtherance of the Shop Local campaign. City shall have the right to request such itemized report at its discretion. 5. Renewal Letter of Agreement may be renewed for fiscal year 2012/2013 and fiscal year 2013/2014, unless cancelled in writing by either party. Witness the execution of this Agreement on the day and year first written above. For Association: By Date Print Name & Title Address City, State, Zip Code Phone Number For City: :A for City Manager Date Attest City Clerk Date Approved as to form: Burke, Williams & Sorensen By Date 3