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01-20-1998 - City & Chamber Joint Community Newspaper. City of West Covina Memorandum TO: v City Council & AGENDA City Manager ITEM NO. I-1 FROM: Kelly Tong DATE January 20, 1998 Administrative Analyst ®PRINTED ON RECYCLED PAPER SUBJECT: City and Chamber Joint Community Newspaper SUMMARY: The City and the Chamber of Commerce have been in discussions to produce a monthly community newspaper. The Chamber issued a request for proposals on behalf of the City and Chamber. A committee consisting of representatives from the City and Chamber selected the Independent Voice, Inc. to prepare and distribute the monthly newspaper. BACKGROUND Since April 1997 City staff and the Chamber of Commerce have been in discussions to develop a joint community newsletter. Currently the City of West Covina produces the West Covina Today three times a year to all its residents and the Chamber produces the Business Outlook monthly for its members. The Chamber of Commerce introduced the idea and worked closely with the Assistant City Manager to work through the feasibility and the details of:the project. The purpose of the joint newspaper is to create a community newspaper that covers the City, the Chamber and school districts servicing West Covina. This would increase the circulation of the Chamber's Business Outlook and increase the frequency of the City'ss West Covina Today. The Chamber, the Mayor and Proposals. In ] produce a mon Covina. The F the publishing Three proposals and to post the pu guaranteed advert newspaper. Excel Internet service. Consultant The Independent San Gabriel Valle The Gardner Corr City staff presented a feasibility study for the newspaper in October to yor Pro Tem. The Chamber was given direction to issue a Request for ember, the Chamber of Commerce issued a RFP to six publishers to newspaper to be distributed to the residents and businesses in West also requested guaranteed advertising sales revenue that would offset ..e received with costs to produce a 12-, 16- and 20-page newspaper ication on the Internet. The following bids are inclusive of the .ng sales and the average monthly production cost of a 16-page for Gardner Communications, the following bids also include the Bid on 16-pagge newspaper oice $8,400 Newspaper Group $10,200 aunications Group $12,900 An eight -member committee consisting of the City Manager, Interim Assistant City Manager, Mayor,'' Mayor Pro Tem, Chamber Executive Director, Chamber staff member, and two Chamber Board members interviewed the three consultants. The committee' selected the Independent Voice because it was the most cost-effective proposal and able to provide a Attachment A sh, 16-page and 20-f advertising sales, this minimum $2 annual contract v based on advertis newspaper) the ai the total contract the City and Chas newspaper. 11ws the monthly costs for the Independent Voice to produce a 12-page, age newspaper. They have guaranteed $20,000 annually, or 70% of whichever is greater, to offset the monthly production costs. Based) on D,000 guarantee and average of a monthly 16-page newspaper, the total could be $100,800. Of course, this amount may be reduced even further ing sales. Based on a maximum use of ad space (40% of a 16-page vertising revenue offset has the potential to be $56,000, thus reducing to $64,800. The contract with the Independent Voice would also give nber flexibility to produce a 12-, 16- or 20-page newspaper depending on the amount of content available per month. The contract will be for one year (February issue through January) and be reviewed at the end of the contract for renewal. FISCAL IMPACT The costs of the monthly publication w the City'and the Redevelopment Agenc current. Outlook budget of $18,000 and The incremental costs (approximately `. Chamber, City, and Redevelopment Al annual cost of $49,600 ($33,000 + $16 responsible for $16,600 and the Chamt $16,600). Advertising revenues above costs. Again, ad revenue may range fr( incremental costs) to $60,000 dependir newspaper. be shared between the Chamber of Commerce, The Chamber of Commerce will commit its .e City will commit its Today budget of $33,000. ),800) will be shared equally between the icy. The City would be responsible for an )0); the Redevelopment Agency would be would be responsible for $34,600 ($18,000 + ?0,000 would be shared equally to offset total 1$20,000 (already included in the current on the number of ads and pages of the Since two editions of the West Covina Today have already been published for FY 97-98, only $7,500 is available for this contract. An additional appropriation of $13,170 (plus the $7,500) would cover costs of the publication through this fiscal year. An additional appropriation of $28,930, plus an estimate of cost from February through June 1999, should be made during the budget process for FY 98-99. COOPERATIVE RELATIONSHIP The Chamber of Commerce will act as 'the lead agency. The City and Agency, in turn, will reimburse the Chamber for the cost of publication as described in the Agreement (draft attached). The City, Agency and Chamber will work closely with the Independent Voice'on each issue for articles and content. The Chamber has begun discussions N participating in this Agreement to furl They may be added by amendment in PRODUCTION SCHEDULE the school districts to assess their interest in reduce each participant's share of the costs. future. Based on approval by the City Council, the first issue of the newspaper will come out the last Saturday of February, or February 28t". The contract has defined the production schedule such that the monthly newspaper will be put in the mail the last Saturday of each month. The name of the publication has not been decided, but suggestions include West Covina Community News, West Covina Today's Outlook or West Covina Today. RECOMMENDATION Staff recommends that the City 1. Authorize the City Manager to ente Commerce and the Independent Vc 2. Appropriate $13,170 to account I I I FY97-98 and approve the expenditi publication of the monthly newspal 3. Recommend to the Chamber of Coi from excess business improvement incremental cost. )PIC Kelly Tong Administrative Analyst Attachments into an Agreement with the Chamber of 320-2632-6440 from unencumbered balances for e of $20,670 from the same account for the r; and merce Executive Committee to request $16,600 ix to pay for the Chamber's portion of the annual l PUBLISHING AGREEMENT BETWEEN CHAMBER OF COMMERCE OF WEST COVINA, CITY OF WEST COVINA, WEST COVINA REDEVELOPMENT AGENCY AND THE INDEPENDENT VOICE, INC. THIS AGREEMENT is made as of January 21, 1998, by and between the Chamber of Commerce of West Covina, as a representative of the Chamber of Commerce, City of West Covina, and West Covina Redevelopment Agency ("the parties"), and The Independent Voice, Inc. ("Consultant"). RECITALS A. The parties desire to utilize the services of Consultant to provide services to the Chamber,''; Agency and the City of West Covina for the production, publication, and distribution of a newspaper. B. Consultant represents it is fully qualified to perform such services by virtue of its experience and the training, education, and expertise of its principals and amnlnveec NOW, THEREFORE, in consideration of performance by the parties of the covenants and conditions herein contained, the parties hereto agree as follows: 1. Consultant's Services. Consultant shall publish and distribute an I V x 17' monthly newspaper for the City with full color on plate one (4 pages) black and one spot color on plate two (4 pages) and black and white on plate 3 (minimum of 4 pages). ;The newspaper shall contain a minimum of twelve (12) pages. Consultant shall have the right to sell advertising in the newspaper and can expand the number of pages in the newspaper for this purpose. A maximum of 40% of the publication may be used for advertising. The Chamber reserves their right to offer space to member businesses for nonpaid promotional purposes. Chamber shall act as lead agency after input from all parties. Chamber will provide Consultant with information and direction regarding City, business and school news and suggest photo opportunities for Consultant. Consultant shall "be responsible for editorial consent, ad sales, artwork, design, layout, half tones, output, printing and distribution. Consultant shall provide Chamber with copies of proposed articles and photographs. No newspaper shall be printed or distributed until the Executive Director of the Chamber of Commerce or his/her designee has approved the newspaper in writing. The Executive Director's failure to comment on the proposed articles and photographs within three (3) days of submission by Consultant shall be deemed as written approval by Executive Director to the proposed articles and photographs. A minimum of 37,000 copies of the newspaper shall be prepared, and the newspaper shall be printed on electrobright stock. The newspaper shall be 1 • distributed to residences and b Postal Services using the "Car. Additional copies will be prov West Covina for counter distri Internet with the monthly pub] The newspaper shall be prepare residences and businesses by th Consultant and Executive Direc Executive Director, City and C( allow the Executive Director su content and provide Consultant changes and distribute the new,, 2. Terms of Agreement. and shall continue through J the provisions herein. 3. Compensation. The parti described in Attachment A. Th thousand nine hundred and sixt hundred and seventy-one dollar thousand ninety-three dollars (I per photo charge. This monthl, guaranteed advertising revenue total ad sales, whichever is greE days following receipt of newsl The cost of the contract will be The Chamber of Commerce wi: will contribute an annual cost o estimated at an annual cost of $ entities: Any additional adverb the incremental cost. The City monthly basis for its portion of 4. Status as Independent A. Consultant is, and shall , Agency, a wholly indepi to incur any debt, obliga Agency or otherwise act agent. Neither Chamber conduct of Consultant o: forth in this Agreement. ,esses in the City through the United States Route Walk Sequence Saturation" service. l to the Chamber of Commerce and the City of on. Consultant will also host a web page on the ion for the costs set out herein. in sufficient time to be received by the last Saturday of each month, unless the )r shall otherwise agree in writing. The isultant shall agree upon a schedule that will icient time to review and approve the newspaper rith sufficient time to make any necessary aper in time to meet the delivery schedule. Agreement shall take effect January 21, 1998 30, 1999, unless earlier terminated pursuant to ;s agree to pay Consultant a monthly charge as monthly charge for a 12-page newspaper is eight -three dollars ($8,963); nine thousand nine ($9,971) a 16-page newspaper; and eleven 11,093) for a twenty -page newspaper, plus a $5 charge will be reduced by Consultant's A $20,000 per year (or $1,667 per mo.) or 7.0% of ter. Chamber agrees to pay Consultant ten (10) apers by the residents and businesses. hared between the City, Chamber and Agency. contribute an annual cost of $18,000 and the City $33,000. The additional incremental cost, 9,800, will be shared equally between the three ing revenue will also. be shared equally to offset nd Agency will reimburse the Chamber on a he cost. it all times remain as to Chamber, City and Indent contractor. Consultant shall have no power tion, or liability on behalf of Chamber, City or on behalf of Chamber, City, or Agency as an nor any of its agents shall have control over the any of Consultant's employees, except as set Consultant shall not, at any time, or in any 2 represent that it or, any of its agents or employees is in any agents or employees of the Agency, City or Chamber. B. Consultant shall pay all required taxes on amounts paid to Consultant under this Agreement, and to indemnify and hold Chamber, City and Agency harmless from any and all taxes, assessments, penalties, and interest asserted against any of them by reason of independent contractor relationships created by this Agreement. In the event that any of the parties is audited by any Federal or State agency regarding the independent contractor status of consultant and the independent contractor relationship between the parties and Consultant, then Consultant agrees to reunburse any of the parties for all costs, including accounting and attorney's fees, arising out of such audit and any appeals relating thereto. 5. Standard of Performance. Consultant shall perform all work to the highest;, professional standards and in a manner reasonably satisfactory to the Executive Director or designee. 6. Indemnification. Consultant hereby agrees to, and shall indemnify hold Chamber, City and Agency and their elective and appointive boards, officers, agents, and employees, harmless from any and all liability, suits, actions, claims or demands for damage to property or injury to persons which may arise from Consultant's willful or negligent -act, errors or omissions or those of its employees or agents. 7. Termination. Either Chamber or Consultant may terminate this Agreement with or without cause upon sixty (60) days written notice to the other party. In the event of such termination, Chamber agrees to pay Consultant for services satisfactorily rendered prior to the effective date of termination and, if Consultant has satisfactorily provided services through the date of termination, for costs necessarily incurred by Consultant to produce newspapers that were to have been issued after the effective date of termination. 8. Personnel. Consultant represent that it has, or will secure at its own expense, all personnel required to perform the services under this Agreement. All of the services required under this Agreement will be performed by Consultant or under its supervision, and all personnel engaged in the work shall be qualified to perform such services. Consultant reserves the right to determine the assignment of its own employees to the performance of Consultant's services under this Agreement, but Chamber reserves the right, for good cause, to require Consultant to exclude any employee from performing services on Chamber's premises. 9. ' Non -Discrimination and Equal Employment Opportunity. Consultant shall not discriminate as to race, color, creed, religion, sex, marital status, national origin, ancestry, age, physical or mental handicap, medical condition, or sexual orientation, in the performance of its services and duties pursuant to this A;, Agreement, and will comply with all rules and regulations of Chamber relating thereto. Such nondiscrimination shall include but not be limited to the following: employment, upgrading, demotion, transfers, recruitment or recruitment advertising, layoff and termination, rates of pay or other forms of compensation, and selection of training, including apprenticeship. 10. Insurance. A. Workers' Compensation Insurance. By execution of this Agreement, the Consultant agrees to the following certification: I am aware of, and will comply with, Section 3700 of the Labor Code, requiring every employer to be insured against liability of Workers' Compensation or to undertake self-insurance before commencing any of the work. The Consultant shall also comply with Section 3800 of the Labor Code by securing, paying for and maintaining in full force and effect for the duration of this Agreement, complete Workers' Compensation Insurance, and shall furnish a Certificate of Insurance to the Chamber before execution of this Agreement. 'The Chamber, City, Agency or their agents, officers and employees shall not be responsible for any claims in law or equity occasioned by the failure of Consultant to comply with this section. B. General Liability And Automobile Insurance. Consultant shall at all times during the term of this agreement carry, maintain, and keep in full force and effect, with an insurance company or companies doing insurance. business in the State of .California, (1) a policy which 'provides a comprehensive general liability insurance for personal injury and property damage with minimum limits of $1,000,000 combined single limit coverage; (2) automotive liability insurance (including owned, non -owned, and hired autos), with minimum combined single limits coverage of $1,000,000. Chamber, its officers, employees, and attorneys, shall be named as additional insured on the policies as to comprehensive general liability, property damage, and automobile liability coverages. All insurance policies shall bear an endorsement or shall have attached a rider whereby it is provided that, in the event of expiration or proposed cancellation of such policy for any reason whatsoever, the Executive Director shall be notified by registered mail, postage prepaid, return receipt requested, not less than thirty (30) days before expiration or cancellation is effective. 11. Assignment. Consultant shall not assign or transfer any interest of this Agreement or the performance of any of the Consultant's obligations hereunder, without the prior written consent of the parties, and any attempt by Consultant to so assign this Agreement or any rights, duties, or obligations arising hereunder shall be void and of no effect. 4 12. Complian ordinance: Without li photograp photograp to Govern Section 1 F 13. Performa annual pez the effecti required b comments orally or v 14. e with Laws. Consultant shall comply with all applicable laws, codes and regulations of the federal, state, and local governments. citing the foregoing, Consultant shall not publish any articles or s in the newspaper if Consultant has reason to know the article or would cause the newspaper to be a prohibited mass mailing pursuant Lent Code Section 89001 and Title 2 California Code of Regulations 101. ice Evaluation. Executive Director and City shall conduct a written .ormance evaluation within ninety (90) days of the first anniversary of ,e date of this Agreement, and each year thereafter. The work product this Agreement shall be utilized as the basis for review, and any or complaints received by Chamber during the review period, either writing, shall be considered. Executive Director shall meet with prior to preparing the written report. Non -Waiver of Terms, Rights and Remedies. Waiver by any parry of any one or more of the conditions of performance under this Agreement shall not be a continuing waiver of that term or of any other condition or performance under this Agreement. In no event shall the making by Chamber of any payment to Consultant constitute or be construed as a waiver by Chamber of any breach of convenant; or any default which may then exist on the part of Consultant, and the making of any such payment by Chamber shall in no way impair or prejudice any right or remedy available to Chamber with regard to such breach or default. 15. Attorney's Fees. In the event that any parry to this Agreement shall commence any legal or equitable action or proceeding to enforce or interpret the provisions of this Agreement, the prevailing party in such action or proceeding shall be entitled to recover its costs of suit, including actual attorney's fees and costs, including costs of expert witnesses and consultants. 16. Notices. shall be di regular bL (b) on the prepaid, b from time Any notices, bills, invoices, or reports required by this Agreement emed received on (a) the day of delivery if delivered by hand during >iness hours or by facsimile before or during regular business hours' or hird business day following deposit in the United States mail, postage the following addresses or to such other addresses as the parties may, to time, designate in writing pursuant to the provisions of this section: Chamber: Executive Director Chamber of Commerce of West Covina 811 South Sunset Avenue West Covina, CA 91790 5. • 11 17. City or Agency:'' Consultant: City Manager 1444 W. Garvey Avenue P.O. Box 1440 West Covina, CA 91793 President The Independent Voice, Inc. 382 North Lemon Avenue, #180 Walnut, CA 91789 Governing Law. This Agreement shall be interpreted, construed and enforced in accordance with the laws of the State of California. 18. Entire Agreement. This Agreement represents the entire and integrated agreement between Consultant land Chamber. This Agreement supersedes all prior oral and written negations, representations, or agreements. This Agreement may not be amended, nor any provision or breach hereof waived, except in writing signed by the parties which expressly refers to this Agreement. IN WITNESS WHEREOF, date first written above. BY: "Chamber" Executive Director Chamber of Commerce BY: "City" City Manager City of West Covina BY: "Agency" have executed this Agreement as of the BY: "Consultant" President Independent Voice, Inc. Executive Director Redevelopment Agency of the City of West Covina Approved as to Form: ttorney 6 I N 0 E INDEPENDENT •VOICE, INC. • �■ 20265 E. Valley Blvd., Ste. J, Walnut, CA 91789 Tel: 909.594.3101 • Fax: 909.444.1009 PRODUCTION WITH ADVERTISING SALES DESCRIPTION: I PAPERSTOCK PAGE SIZE COLOR IN Newspaper (Cover) 34# Electrobrite 11" X 17 4/2 (process + K) Newspaper (Inside) 34# Electrobrite 11" X 17 2/2 (Red + K) — TYPESETTING & LAYOUT PAGES 12 $ 840.00* 16 $1,120.00* 20 $1,400.00* *Price with copy provided on disk 12 Pages $ 750.00 16 Pages $ 900.00 20 Pages $1,050.00 Photos: $5.00per photo -------------------------- PRESS: # of PAGES PRICE 37,000 copies 12 $2,486.00 37,000 copies 16 $3,064.00 37,000 copies 20 $3,756.00 MAILING: -------------------------- Sortin� : 37,000 @ $12.00 per thousand $ 444.00 Postage: 37,000 @ 11.40 ea. $4,218.00 --------------------------------- DELIVERY: Round trip $ 125.00 INTERNET Host web pages up to 20 MB $ 25.00** Each additional 1 MB: $5.00** Updates per month $ 75.00 **All charges are per month AD SALES: City of West Covina will receive 70% of all advertising sales generated by the Independent. A credit of that amount will be reflected in the Independents invoice to the City. — REMARKS: Tax if applicable. - - - - - - - I - - - - - - - - - - - - - - - - - - - - - - - - - - THIS QUOTE IS GOOD FOR THIRTY (30) DAYS FROM 12/8/97.