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HomeMy WebLinkAbout20-006 - Seattle Rugby, LLC - Seawolves Partnership����v�x� v�x�� Tukwila 20—[K6 Contract Number: Council Approval 1/13/20 CONTRACT FOR LODGING TAX FUNDING This Agreement is entered into by and between the City of Tukvvla. VVaehinoton, e non -charter optional municipal code city hereinafterreferrad to as "the City," and Seattle Rugby, LLC kjba Seattle 8eowo|maa Rugby), hereinafter referred toam"the Contractor," whose principal office is located at 1421 34mAve. Suite 1OO.Seattle, VVA98122. WHEREAS, the City imposes special excise tax under Chapter 82.08 Revised Code of Washington /RCVV\, known as the "lodging tax," on furnishing of lodging in hmte|o, motels and similar business enterprises, uoauthorized under Chapter G7.20RCVV;and WHEREAS, the City is authorized to use the lodging tax revenue for tourism promotion, as defined bvChapter 07.28RCVV'and WHEREAS, Contractor is able to help promote the City to both overnight and day visitors, driving business to Tukwila restaurants, hotels, retailers, and entertainment establishments; and WHEREAS, on December 19. 2019 the City's Lodging Tax Advisory Committee considered and recommended approval of the City's request to obtain funding to enter into a partnership agreement with the Seawolves to help promote the City to tourists; WHEREAS, on January 13.2020.the Tukwila City Council concurred with the Lodging Tax Advisory Committee's recommendation to provide lodging tax funds to Contractor for tourism promotion; and WHEREAS" it is appropriate for the City to compensate the Contractor for the costs of promoting tourism (both day and overnight) in the City; and IN CONSIDERATION OF the mutual benefits and conditions hereinafter contained, the parties hereto agree as follows: 1' Scope and Schedule of Services twbmPerformed by Contractor. Contractor shall perform those oenvioae described on Exhibit A attached hereto and incorporated herein by this reference as if fully set forth. In performing such eervioem. Contractor shall at all times comply with all Federa|. State. and local ataduteo, rules and ordinances applicable to the performance of such services and the handling mfany funds used in connection therewith. Contractor shall request and obtain prior written approval from the City ifthe scope orschedule iotobomodified inany way. 2' Compensation and Method of Payment. The City ehsd| pay Contractor for eemivao rendered according to the rote and method set forth on Exhibit B attached hereto and incorporated herein by this reference. The total amount to be paid shall not exceed $39,000. 3. Duration of Av|remnmmnt. This Agreement shall be in full force and effect for a period commencing January 15. 2020. and ending Decennbnr31. 2020. unless sooner terminated under the provisions hereinafter specified. � CA Revised 2012 Page I of 8 4. Independent Contractor. Contractor and City agree that Contractor is an independent contractor with respect tothe services provided pursuant tothis Agreement. Nothing inthis Agreement shall be considered to create the relationship ofemployer and employee between the parties hereto. Neither Contractor nor any employee ofContractor shall be entitled bzany benefits accorded City employees by virtue of the services provided under this Aonaonoont. The City shall not be responsible for withholding or otherwise deducting federal income tax or social security or contributing to the State Industrial Insurance Pnogmano, or otherwise assuming the duties of an employer with respect tothe Contractor, orany employee ofthe Contractor. 5. Indemnification. Contractor shall defend, indemnify and hold the Cdv, its offioern, agentu, officie|o, employees and volunteers hann|eaa from any and all claims, injuries, dmnnogns. |oomem or suits including attorney fees, arising out of or in connection with the performance of this Aonaann*nt, except for injuries and damages caused by the oo|a negligence of the City. Should a court of competent jurisdiction determine that this Agreement is subject to RCVV 4.24.115. then, in the event ofliability for damages arising out ofbodily injury to persons ordamages to property caused by or resulting from the concurrent negligence ofContractor and the Citv, its officera, uffioia|o, annp/nyaee, and volunteers, Contractor's liability hereunder shall be only to the extent of Contractor's negligence. It iafurther specifically and expressly understood that the indemnification provided herein constitutes Contractor's waiver ofimmunity under Industrial Insurance, Title 51 0CVV, solely for the purposes of this indemnification. This waiver has been mutually negotiated by the parties. The provisions of this section shall survive the expiration nrtermination ofthis Agreement. 6. Insurance. Contractor shall procure and maintain for the duration of the Aoraennant, insurance against claims for injuries to persons urdamage to property which may arise from or in connection with the performance of the work hereunder by the Contraotor, their agentu, repromenbgivaa, employees or subcontractors. Contractor's maintenance of insurance, its scope ofcoverage and limits as required herein nho|| not be construed to limit the liability of the Contractor to the coverage provided bvsuch insurance, orotherwise limit the City'erecourse toany remedy available atlaw or|n equity. A. Minimum Scope wfInsurance. Contractor shall obtain insurance ofthe types and with the limits described below: 1. Automobile Liability insurance with @ nnininnunn combined single limit for bodily injury and property damage of$1.00O.UOU per accident. Automobile |imbi(dv insurance shall cover all ownod, non-ovvnmj, hired and leased vehicles. Coverage shall be written on Insurance Services Office (|8(]) h)rrn CA OO 01 or m substitute form providing equivalent liability coverage. If necessary, the policy shall be endorsed to provide contractual liability coverage. 2. Commercial General Liabilitv insurance with limits no less than $1,000,000 each occurrence, $2,000,000 general aggregate and $2,000,000 prod u cts-com pleted operations aggregate limit. Commercial General Liability insurance shall be as least at broad as ISO occurrence h»rrn CG 0001 and shall cover liability arising from pnenniuea, opmraUono, independent contractors, prod ucts-com pleted operations, stop gap liability, personal injuryondodvertiaing injury, and liability assumed under an insured contract. The Commercial General Liability insurance shall beendorsed toprovide aper project genoro|aggregeb*\inmitueing|G(]forno CG 2503O5O9oranequivalent endorsement. There shall banVexclusion for liability arising from explosion, collapse orunderground property damage. The City shall benamed aaan additional insured under the Contractor's Commercial General Liability insurance policy with respect to the work performed for the City using ISO Additional Insured endorsement CG 20 10 10 01 and Additional Insured -Completed Operations endoreannwntCG 20 37 1001 or substitute endorsements providing atleast oebroad coverage. CARevised December 2O18 Page 2u[8 3.Workers' Compensation coverage asrequired by the Industrial Insurance laws of the State of Washington. B. Other Insurance Provision. The Contractor's Automobile Liability and Commercial General Liability insurance policies are to contain, or be endorsed to contain that they shall be primary insurance with respectbothm City. Any insurance, aa|f-ineunance, or insurance pool coverage maintained by the City shall be excess of the Contractor's insurance and shall not contribute with it. C. AcceptabilitywfInsurers. Insurance iotobeplaced with insurers with acurrent A.M.Best rating of not less than A: VII. D. Verification of Coverage. Contractor shall furnish the City with original oedificateoendacopycf the amendatory endmrmennentn, including but not necessarily limited to the additional insured endorsement, evidencing the insurance requirements of the Contractor before commencement of the work. Upon request by the Qty. the Contractor shall furnish certified copies of all required insurance po|icieo, including endonaementa, required in this Agreement and evidence of all subcontractors' coverage. E. Subcontractors. Contractor shall have eo|a responsibility for determining the insurance coverage and limits naquimed, if any, to be obtained by subcontractors, which determination ehm!| bemade inaccordance with reasonable and prudent business practices. F. Notice of Cancellation. The Contractor shall provide the City and all Additional Insureds for this work with written notice of any policy canoa||ation, within two business days of their receipt of such notice. G. Failure to 88aimkmim Insurance. Failure on the pad of the Contractor to maintain the insurance as required ehmU constitute a material bnomoh of contract, upon which the City may, after giving five business days notice to the Contractor to correct the breooh, immediately terminate the contract or, atits discretion, procure orrenew such insurance and pay any and all pnerniunna in connection tharovvith, with any aurne so expended to be repaid to the City on dammand, or at the sole discretion of the City, offset against funds due the Contractor from the City. B- Record Kempimq and Rmportimq' A. The Contractor shall maintain accounts and recondo, including personnel, propedy, financial and programmatic records which sufficiently and properly reflect all direct and indirect costs of any nature expended and services performed in the performance of this Agreement and other such records as may be deemed necessary by the City to ensure the performance of this Agreement. B. These records shall be maintained for a period of seven (7) years after termination hereof unless permission to destroy them is granted by the office of the archivist in accordance with RCVV Chap1er4O.14 and by the City. 9' Audits and Inspections. The records and documents with respect to all matters covered by this Agreement shall be subject at all times to inspection, review oraudit by law during the performance ofthis Agreement. 10' Termination. This Agreement may at any time be terminated by the City giving to the Contractor thirty (30) days written notice of the Citv's intention to terminate the same. Failure to provide products on schedule may roeu|1 in contract termination. If the Contractor's insurance coverage is canceled for any reason, the City shall have the right to terminate this Agreement immediately. 11' Discrimination Prohibited. Contractor, with regard tothe work performed byitunder this Aonemrnmnt, will not discriminate on the grounds of race, re|igimn, nnaed, oo|or, national orig\n, oge, veteran status, aew, sexual orientation, gender identity, marital status, political affiliation, the CARevised December 20O Page 3o[8 presence of any dioobi|Uv, or any other protected daeo status under state or federal lovv. in the selection and retention of employees or procurement of materials or supplies. 12. Assignment and Subcontract. Contractor shall not assign or subcontract any portion of the services contemplated by this Agreement without the written consent of the City. 13' Entire Agreement; Modification. This Aomaement, together with attachments or addenda, represents the entire and integrated Agreement between the City and the Contractor and supersedes all prior negotiations, nepreoentatione, oragreements written or oral. Noamendment or modification of this Agreement shall be of any force or effect unless it is in writing and signed by the parties. 14. SeverabiUitV and Survival. |fany term, condition orprovision ofthis Agreement iodeclared void or unenforceable nrlimited in its application or effect, such event shall not affect any other provisions hereof and all other provisions shall eannoin fully enforceable. The provisions of this Aoreanmmnt, which bytheir sense and context are reasonably intended hosurvive the connp/etion, expiration or cancellation ofthis Agreement, shall survive termination ofthis Agreement. 15. Notices. Notices to the City of Tukwila shall be sent to the following address: City Clerk, City of Tukwila G2OOSoubhoanterBlvd. Tukwila, Washington S8188 With acopy to: Office ofEconomic Development City ofTukwila 02OOGouthconterBlvd. Tukwila, VVA98188 Notices to the Contractor ahoU be sent to the address provided by the Contractor upon the signature line below. 16. Applicable Law; Venme|Attmmmmy's Fees. This Agreement shall begoverned bvand construed in accordance with the laws of the State of Washington. In the event any suit, arbitrmtion, or other proceeding is instituted to enforce any term of this Amneennant, the parties specifically understand and agree that venue shall boproperly laid inKing County, Washington. The prevailing party inany such action shall beentitled tnits ottorney'mfees and costs nfsuit. DATED this day of ) o)k(� 1� '20��� CITY OFTUKN|LA CONTRACTOR -' ~xm/-/�^uu/w~wmpv — >/("-f I 4"D~" ATTEST/AU City Clerk, Christy O'Flaherty CA Revised December 2016 Printed Name and Title: Address: Page 4of8 APPROVED AS TO FORM: Office of the City Attorney CARevised December 2016 Page 6nf0 Exhibit "A" Scope of Services As part of this Agreement, the City and the Contractor agree to the following scope of services for this partnership. The goal of this partnership to help increase tourism promotion in the City by helping bring visitors to the City and to help with the overall brand image of the City. Intellectual Propertv and Use of Marks 1. Contractor grants the City a non-exclusive license to use the Seawolves marks and images for tourism promotion activities. 2. City grants Contractor non-exclusive license to use the Citv'stourienn promotion marks. Use of the City Seal ianot authorized under this Agreement. The City shall have the sole discretion to determine the content and extent of the Citv'a tourism promotion marks. PresenUnO8pnnaor 1. The City shall be the presenting sponsor for the January 26, 2020 exhibition match between the Seevvulveeand Tasman yWekn(New Zealand). The City shall also bethe presenting sponsor for one regular season match of the Seawolves, mutually agreed on by City and Contractor. a. As part of the presenting sponsor benefits, the City shall receive the following: i. Promotion for both games shall state, "Presented by" including the City's name and tourism mark exposure. ii. Presenting partner for halftime activity. G*nana|Marketinq and BrendinqActivities 1. The location of all home games for 2020 shall be listed as "Tukwila" and not reference Seattle. This shall include social media posts and tags, as well as media alerts, press releases and announcements. 2. City shall receive at least one 15-second PA announcement including the Tukwila logo on videmboanjateach 2O2Ohome match. 3. Ten separate appearances of at least one -hour each by a Seawolves player. Dates and times of player appearances shall bemutually agreed byCity and Contractor. 4. Seawolves players to appear and participate in promotional video for the City. City shall be responsible for production and any costs associated with production. 5. At least one ROOT Sports TV Billboard per home ROOT Sports broadcast (includes eight seconds mfcopy and tourism mark axpuaure). 0. Contractor and City shall host two away match viewing parties in 2020 at bar or restaurant within the City. City shall be responsible for securing the venue. 8eavvm|vea aho|| provide: e. Minimum of one Seawolves player, this player appearance does not count towards the player appearances identified innumber 3ofthis section. b. Attendance by0eovvu|veomascot (Ruckv). u. 8aawo|veogear for giveaways. d. Major League Rugby Championship Shield. e. Contractor will promote ovvoy match viewing parties via email and its 000im| media platforms. 7. The City shall organize fan day experiences on one or two days within the City. The fan days will be within the City'e diooreUon, but could include special deals and discounts for fans wearing Seawo|veegear. The City ieresponsible for organizing businesses tobepart mfthe fan day. Seawolves will operate and staff a pop-up location in the Southcenter area during the fan days. CARevised December 201G Page 6nf8 The pop up will include merchandise for fans to purchase. Seawolves will promote the fan days via email and social media. 8. When available, City agrees to provide space on the billboard located on West Valley Hwy and S. 1OOmStnaeL|tioundermtondbythepartieatha[vvhi|othobiUboondieonCitvpvvnedlond.the billboard structure and the advertising on the billboard is controlled by othin1 party. The City will work in good faith to secure free advertising space on the billboard, but there is no guarantee that space will be made available or at what cost to Seawolves. Contractor is responsible for designing any ads placed on the billboard at Contractor's sole cost. Any ads placed on the billboard will feature the City'stourism mark. Economic Development For economic development promotion and marketing purposes, Contractor shall provide the City with 1. Four tickets 0oeach 2O20home match. 2. One parking pass for each 2O2Ohome match. 3. Four post -match VIP party passes for all 2020 home matches. VIP party includes meet and greet ofGeuvvo|voa and visiting teams at81odine Sports. It's understood by the parties that the City may use these tickets and passes for raffles, promotions, or other activities intended to promote the City for tourism and economic development purposes. In the event tickets are not used for a match, City agrees to inform Contractor who may then repurpose the tickets aeContractor sees fit. 4. A lodging establishment within the City, chosen by Contractor, shall serve as the official hotel for all visiting teams. CARevised December %O18 Page 7of8 Exhibit "B" Compensation and Method of Payment City shall compensate Contractor a total of $39,000 for work performed under this Agreement. Payment shall be as follows: 1. Installment #1 of $19,500 shall be due by March 1, 2020. 2. Installment #2 of $19,500 shall be due by June 1, 2020. Contractor shall provide the City an invoice 30-days prior to the due dates for each installment listed above. Additionally, with Installment #1 Contractor shall provide the City with a completed W-9 form and shall verify to the City the lodging establishment that will serve as the official hotel for visiting away teams. Payment to Contractor shall be made by check or if approved by both parties, by credit card.' With the invoice for installment #2 the Contractor shall provide the following information: 1. Total attendance for all home matches (both exhibition and regular season). As practical, data showing the geographic location of where fans live (Note, the City does not want home addresses). 2. Estimated room nights generated by visiting teams. 3. Examples of digital posts, emails, or other collateral showing the City's sponsorship activities. 4. Any data the Contractor feels demonstrates the value of the partnership with the City. The Contractor currently plays all of their home matches at Starfire Sports in Tukwila. Should Contractor move any home games outside of Tukwila, the City may cancel this Agreement and will be entitled to a full refund of any funds paid and shall not be responsible for any future payments. CA Revised December 2016 Page 8 of 8