Agenda 09/09-10/2008 Item #16A 3
EXECUTIVE SUMMARY
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Recommendation that the Board of County Commissioners of Collier County,
Florida approve an agreement between Collier County and the Economic
Development Council of Collier County for continuation of the Economic
Diversification Program by providing a contribution to the EDC of up to $400,000
for Fiscal Year 2009, and authorizing the Chairman of the Board of County
Commissioners to sign the agreement on behalf of Collier County
OBJECTIVE: That the Collier County Board of County Commissioners approve the
proposed Agreement between Collier County (County) and the Economic Development
Council (EDC), thus continuing the private/public partnership for economic
diversification, the associated funding of up to $400,000 for fiscal year 2009, and
authorize the Chainnan to sign the agreement on behalf of Collier County.
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CONSIDERATIONS: The Board of County Commissioners (BCC) has reviewed the
proposed FY 2009 Community Development and Environmental Services Division
, (CDES) budget that contains an appropriation of $400,000 to continue the public/private
partnership between the County and the EDC, known as the Economic Diversification
Program. This program was initially established in 1997 and has continued through the
current year. The Program's objective is to promote economic development initiatives
that diversify the County's economy, create high-wage value-added jobs, and enable
county residents to have meaningful opportunities for upward mobility while improving
the diversity and economic stability of Collier County.
FISCAL IMP ACT: The proposed FY 2009 budget provides an appropnation of
$400,000 of General Fund funding for the Economic Diversification Program through the
CDES Business Management and Budget Office's budget. The EDC will be reimbursed
up to a maximum of $400,000 for expenses incurred beginning October I, 2008, as
prescribed in the attached Agreement between the County and the EDC. The EDC is
committed to providing a minimum of $400,000 as the private sector participation in the
Program.
GROWTH MANAGEMENT IMPACT: This request is consistent with Objective 3 of
the Economic Element of the Collier County Growth Management Plan which states:
"Collier County will support programs which are designed to promote and encourage the
recruitment of new industry as well as the expansion and retention of existing industries
in order to diversify the County's economic base." Additionally, the Board of County
Commissioners has identified economic diversification as a Strategic Goal that will serve
to strengthen the economic viability of Collier County.
LEGAL CONSIDERATIONS: This Agreement has been reviewed by the County
Attorney and is legally sufficient for Board action. -JAK
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RECOMMENDATION: That the Board of County Commissioners approve the
attached Agreement between Collier County and the EDC, continuing the private/public
partnership for economic diversification, providing for funding of up to $400,000 for
fiscal year 2009, and authorizing the Chairman to sign the agreement on behalf of Collier
County.
Prepared by: Amy Patterson, Impact Fee/Economic Development Manager
Business Management and Budget Office, CDES
AGREEMENT
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THIS AGREEMENT is entered into this day of 2008, by Collier
County, Florida, a political subdivision of the State of Florida, through its Board of
County Commissioners, hereinafter referred to as the "COUNTY," and the Economic
Development Council of Collier County, a Florida not-for-profit corporation, hereinafter
referred to as the "EDC."
WITNESSETH
WHEREAS, the Legislature of the State of Florida, Enterprise Florida, Inc., and
the County have determined there is a need to enhance economic activities in the State
and Collier County, by retaining, expanding, and attracting high wage jobs through
economic diversification and development in order to promote a stronger, more balanced,
and stable economy; and
WHEREAS, to implement this goal the State Legislature has adopted Chapter
159, Florida Statutes, including the Revenue Bond Act of 1953, the Florida Industrial
Development Financing Act, and Industrial Development Authorities, Housing Finance
Authorities, and Research and Development Authorities; and
WHEREAS, the County now finds and determines that it is in the public interest
of the citizens of Collier County to assist the EDC through this Agreement in the EDC's
business diversification program to expand the County's tax base, to expand the
employment opportunities of the residents of the County, to increase economic mobility
for residents and thereby reduce the associated burdens placed on local government and
the private sector taxpayers; and
WHEREAS, the EDC is a private not-for-profit corporation created by the
initiative of the private sector business community for the purpose of retaining,
expanding and recruiting high wage jobs for Collier County; and
WHEREAS, the EDC performs many business diversification activities which are
not performed by the County and which are essential to successful business
diversification in Collier County; and
WHEREAS, the County recognizes that successful business diversification
requires confidentiality with respect to the plans, objectives, criteria, and corporate
information of business candidates for retention, expansion, and recruitment and that
such confidentiality is in the public interest of the citizens of Collier County; and
WHEREAS, the County finds that it is essential to the public interest to have an
appropriate accounting of the expenditure of public funds, especially by a non"public
agency such as the EDC; and
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WHEREAS, the Legislature of the State of Florida has recognized .
812.081, Florida Statutes, and in other provisions of said statutes, the public interest in
maintaining certain confidentiality in the business diversification and development
process; and
WHEREAS, the County finds the EDC is an especially appropriate entity to
facilitate business diversification and development in Collier County which includes
providing business candidates with the type of confidential assistance which is essential
to successful business diversification and development; and
WHEREAS, pursuant to the Florida Industrial Development Financing Act, Part
II of Chapter 159, Florida Statutes, the County is permitted to issue Industrial
Development Revenue Bonds; and
WHEREAS, in connection with the performance of its responsibilities, the
Industrial Development Authority (IDA) receives, investigates and reviews applications
from various parties seeking issuance of such Bonds; and
WHEREAS, the EDC performs certain functions on behalf of the IDA in
reviewing, processing and/or presenting such bond applications; providing continuing
administration with respect to Bond issues which have been placed; and performing other
specified functions; and
WHEREAS, it is in the best interest of the County to enter into a contract with the
EDC to conduct activities in accordance with the terms and conditions set forth herein;
and
WHEREAS, the EDC has in the past, and will continue in the future to expend
substantial sums from its private sector membership dues to promote economic
diversification; and
WHEREAS, the EDC serves as the primary entity for developing and
implementing business disaster recovery programs for the Collier County business
community in partnership with the Governor's Office of Tourism, Trade and Economic
Development, Enterprise Florida and Collier County; and
WHEREAS, in Fiscal Year 2006-07, the business community in Collier County
paid Six Hundred Thirty-Eight Thousand Six Hundred Eighty-One Dollars and Seventy
Cents ($638,681.70) to the County in occupational license fees; and
WHEREAS, the County has appropriated for the County's Fiscal Year 2008
(October 1, 2008 - September 30, 2009), the sum of Four Hundred Thousand dollars and
00/100 ($400,000), to the EDC, to conduct economic diversification and development
activities.
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NOW, THEREFORE, in consideration of the mutual promises and cov
contained herein, the parties hereto agree as follows.
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ARTICLE I
a. The County hereby grants to the EDC up to $400,000 for the term of the
Agreement for the EDC's business diversification and development activities,
conducted in cooperation with the County, as described in the Summary Budget
attached hereto as Exhibit "A." The EDC shall be paid for its actual cost not to
exceed the total amount for various line items and up to the maximum amount
budgeted pursuant to the Attached "Exhibit A," subject to the maximum total
amount. Each individual line item may be increased or decreased by up to ten
percent (10%) at the discretion of the EDC. Adjustment in excess of ten percent
(10%) of any line item must be authorized by the County Manager or his
designee. The payment of the County's grant shall be made to the EDC in bi-
monthly installments, (to be interpreted as twice a month), as expenses are
accrued and invoices are received, commencing with the first month of this
Agreement. Once said funds are expended, this Agreement will automatically
terminate. In no event shall the County pay the EDC more than the appropriated
amount of $400,000 during the term of this Agreement.
b. The EDC shall, within 30 days following the 18th bi-monthly installment (to be
interpreted as the 9th month), certify the amount of EDC private funds obtained
and written commitments received for funds payable during the pending contract
year for the previous nine months.
ARTICLE 2
The EDC shall on behalf of the County:
a. Establish and maintain staff to process, investigate and review business
candidates that will retain, expand and/or create high wage jobs in Collier County.
b. Provide business promotion collateral materials and business assistance services
to business candidates.
c. Use its best efforts to obtain high quality supplies and services for use in the
performance of these services at the lowest practical costs and shall expend funds
in accordance with the Summary Budget attached hereto as Exhibit "A".
d. Furnish the County Manager with a quarterly narrative progress report on the
program and activities described in the Summary Budget attached hereto as
Exhibit "A". Such reports will contain basic statistical information relevant to the
economic diversification public/private partnership program and a statement of
expenditures made in each budget category and line items identified in the
Summary Budget attached hereto as Exhibit "A".
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e. Furnish an annual report of expenditures of County funds in such form as the
Clerk of Courts will prescribe. This report will be on a fiscal year of October 1
through September 30, and will be due on November 15, 2008 and November 15,
2009.
f. Agree that any equipment purchased in accordance with this Agreement will be
taken up on an inventory record by the EDC and inventoried at least annually.
Upon expiration of the useful life of such equipment, or termination of use by the
EDC, whichever is later, such equipment will be returned to the County or
disposed of as authorized in writing by the County. All listed equipment must be
returned to the County upon termination of this agreement. The EDC shall
purchase property insurance coverage to insure all real and personal property
covered by this paragraph. Such policy shall name Collier County as a loss payee
with respect to the loss of county purchased property.
ARTICLE 3
a. The term of this Agreement shall be for a period of one (1) year to begin October
1, 2008 and end on September 30, 2009, unless earlier terminated in accordance
with subparagraph b. below.
b. Either party may terminate this Agreement upon one hundred eighty (180) days
written notice to the other of its intention to terminate. In the event of
termination, the County shall pay for services and costs incurred prior to the date
of termination. With regard to the portions of payments made to the Board in
excess of the services and costs incurred by the EDC prior to the date of
termination, the EDC shall remit to the County all of such excess portions.
c. After termination, and except as otherwise directed, the EDC shall:
1. Stop working under the Agreement on the date, and to the extent specified, in
the notice of termination.
2. Place no further orders or subcontracts for materials, services or facilities,
except as may be necessary for completion of such portion of the work under
the Agreement as is not terminated.
3, Terminate all orders and subcontracts to the extent that they relate to
performance of work that was terminated.
4, Prepare all necessary reports and documents required of the terms of the
Agreement up to the date of termination, including the final report due at the
end of the program, if any, without reimbursement for services rendered in
completing said reports beyond the termination date.
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5. The EDC shall give written notice of its intent to renew this Agree
Board of County Commissioners no less than one hundred eighty (180) days
prior to the expiration of the Agreement, as necessitated by the County budget
process, The County is under no obligation to renew this Agreement.
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ARTICLE 4
Waiver by either party of the breach by the other party of any provisions of this
Agreement shall not be deemed a waiver of any other or subsequent breaches
and shall not be construed to be a modification of the terms of this Agreement.
ARTICLE 5
a. The parties deem the services to be rendered by the EDC for the County under
this Agreement to be personal in nature. The EDC shall not assign any rights or
duties under this Agreement to any other party without written permission of the
County. If the EDC attempts to assign any rights or duties without prior written
permission of the County, this Agreement may be declared void by the County
and the EDC thereupon agrees to remit to the County all payments made pursuant
to this agreement for the entire term of this Agreement.
b. The EDC shall not enter into agreements with subcontractors for any of the work
contemplated under this Agreement without first obtaining written approval of the
County subject to such conditions and provisions as the County may deem
necessary; provided, however, that notwithstanding the foregoing, unless
otherwise provided herein, such prior written approval shall not be required for
purchase by the EDC of such articles, supplies, equipment, and services which are
necessary and incidental to the performance of the work described herein. The
requirements of this clause shall not be deemed in any event or manner to provide
for the incurrence of any obligation of the County by any actions of the EDC.
c. To the fullest extent permitted by law, the EDC will indemnifY and hold harmless
the County from and against all claims, damages, losses, and expenses, including
reasonable attorney's fees and costs, arising out of or resulting from the
performance by the EDC of its responsibilities under this Agreement.
d. The EDC is hereby declared by the parties to be an independent contractor for the
performance of the economic diversification and development activities and will
be responsible for the initiating, maintaining and supervising of all safety
precautions and programs necessary in connection with this Agreement. The
EDC shall not be considered a public agency as a result of its assumption of the
duties described herein. The EDC agrees to comply with all applicable safety
laws, ordinances, rules, regulations, standards and lawful order of any public
authority having jurisdiction over the matter in question.
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ARTICLE 6
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a. The County shall render payments bi-monthly (to be interpreted as twice a
month), commencing October I, 2008 through September 30, 2009.
b. The EDC shall keep orderly and complete records of its financial accounts and
financial transactions involving the funds provided to the EDC under this
Agreement. The EDC shall open these records to inspection by County personnel
at reasonable hours during the entire term of the Agreement. Any person duly
authorized by the County shall have full access and the right to examine any of
these records during the term of the Agreement and up to three (3) years
thereafter. The EDC shall submit annual reports to the County, in form and
substance, as prescribed in writing by the County, with regard to the activities of
the public/private partnership for economic diversification.
c. The EDC shall provide the County with its independent annual audit of the
immediately proceeding fiscal year no later than January 31 of each year of this
Agreement. Such audit will contain a detailed listing with useful lives, of
equipment purchased by County-provided funds as described in Article 2[ The
provisions of this paragraph will survive termination of this Agreement as to the
fiscal years, or portions thereto during which this Agreement is in effect.
ARTICLE 7
The EDC shall not discriminate against any employee or person served under this
Agreement on account of race, color, sex, sexual orientation, age, religion,
ancestry, national origin, handicap or marital status.
ARTICLE 8
All notices required in this Agreement shall be hand delivered or sent by certified
mail, return receipt requested, and if sent to the County shall be addressed to:
Amy Patterson
Impact Fee/EDC Manager
Community Development & Environmental Services
2800 North Horseshoe Drive
Naples, FL 34104
And ifsent to the EDC, shall be addressed to:
Tammie Nemecek
President/CEO
Economic Development Council of Collier County
3050 North Horseshoe Drive, Suite 120
Naples, FL 34104
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ARTICLE 9
Any alterations, vanatlOns, modifications or waivers of provisions of this
Agreement shall only be valid when they have been reduced to writing, duly
signed, by both parties hereto, and attached to the original of this Agreement.
ARTICLE 10
The County's performance and obligation to pay under this contract is contingent
upon an annual appropriation for its purpose by the Board of County
Commissioners.
ARTICLE 11
As provided in F.S. 287.132-133, by entering into this Agreement or performing
any work in furtherance hereof, the EDC certifies that it, its affiliates, suppliers,
subcontractors and consultants who will perform hereunder, have not been placed
on the convicted vendor list maintained by the State of Florida Department of
Management Services within 36 months immediately preceding the date hereof.
This notice is required by F.S. 287.133 (3)(a).
IN WITNESS WHEREOF, the parties have executed this Agreement on the dates set
forth above.
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ATTEST: Dwight Brock,
Clerk ofCowts
Collier County, Florida
Board of County Commissioners
By:
Deputy Clerk
Tom Henning, Chairman
Date:
APprove],as 0
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Jeney:
Jeffrey A. latzkow ounty Attorney
(Witnesses and EDC signatory on following page)
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WITNESS:
CONSULTANT:
Signature
Economic Development Council
of Collier County
By:
Name (printed)
Julie Schmelzle, Chairman
EDC Board of Directors
WITNESS:
Signature
Name (Printed)
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