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Agenda 07/12/2022 Item #16F 1 (Sponsorship Agreement and UWP, LLC d/b/a Pro Watercross World Chanpionships)07/12/2022 EXECUTIVE SUMMARY Recommendation to approve the one year Sponsorship Agreement between Collier County and UWP, LLC, dba Pro Watercross World Championships, for $90,000, and make a finding that the sponsorship expenditures promote tourism. OBJECTIVE: Recommend the sponsorship of the Pro Watercross Championship in Collier County for 2022. CONSIDERATIONS: Pro Watercross has brought their Championship event to Collier County for several years. The event has grown in size and scope each year. This event brings national attention to Collier County and attracts several hundred Watercross participants and their families to our area in late October when our hotels and area businesses are in need of increased visitation. The results of the 2019, 2020 & 2021 Pro Watercross events were as follows: 2021 2020 2019 Direct Spending 482,763 $376,862 $384,425 Economic Impact 683,063 $533,196 $543,588 Room Nights 908 510 540 TDT Funding 95,000 $123,000 $123,000 Acquisition Cost $107.46 $241 $227 TDT Revenue $5,534 $3,825 $4,053 This Sponsorship Agreement covers 2022 Pro Watercross Championship. The terms and conditions are identified in the attached sponsorship agreement and outlines two installment payments totaling $90,000 . Watercross will provide Collier County with an invoice for each of the two installments. In summary, the installments are as follows: Payment in the amount of $50,000 shall be paid to Watercross within 45 days of the County's receipt of an invoice following the mutual execution of this Sponsorship Agreement. The Second Payment in the amount of $40,000 shall be paid to Watercross upon receipt of a final invoice following the Watercross event. The County may deduct from this final payment any outstanding fees owed to Collier County in connection with this event. Collier County will assist Watercross in the hosting of the Pro Watercross Championshipip with promotion of the event on the Collier County Convention and Visitors Bureau sports marketing website and Facebook channels with a minimum of two (2) Facebook posts on Naples, Marco Island, Everglades social account promoting the World Championship event in Naples, FL per month beginning upon the execution of this agreement. FISCAL IMPACT: Funding in the amount of $90,000 is available in the Board approved FY 22 Tourism Division Sports Event Sponsorship budget for sports marketing within TDC Promotion Fund (184). I Packet Pg. 1762 07/12/2022 GROWTH MANAGEMENT IMPACT: There is no impact to the Growth Management Plan with this Executive Summary ADVISORY COMMITTEE RECOMMENDATION: The Tourist Development Council recommended approval of this item (8-0) at its meeting on June 27, 2022. LEGAL CONSIDERATIONS: This item is approved as to form and legality and requires majority vote for approval. - CMG RECOMMENDATION: To approve the Sponsorship Agreement between Collier County and UWP, LLC, dba Pro Watercross Championship, for $90,000, for the 2022 Pro Watercross Championships, and make a finding that the sponsorship expenditures promote tourism. Prepared by: Paul Beirnes, Tourism Division ATTACHMENT(S) 1. 2022 Pro Watercross Agreement Legal stamp (PDF) I Packet Pg. 1763 07/12/2022 COLLIER COUNTY Board of County Commissioners Item Number: 16.17.1 Doe ID: 22648 Item Summary: Recommendation to approve the one year Sponsorship Agreement between Collier County and UWP, LLC, dba Pro Watercross World Championships, for $90,000, and make a finding that the sponsorship expenditures promote tourism. Meeting Date: 07/12/2022 Prepared by: Title: Administrative Assistant — Tourism Name: Jennifer Leslie 06/28/2022 10:18 AM Submitted by: Title: Division Director — Tourism Name: Paul Beirnes 06/28/2022 10:18 AM Approved By: Review: Tourism Corporate Business Operations Tourism County Attorney's Office Office of Management and Budget County Attorney's Office Office of Management and Budget County Managers Office Board of County Commissioners Kelly Green Stage I Review Jennifer Reynolds Stage 1 Review Paul Beirnes Director Completed Colleen Greene Level 2 Attorney Review Debra Windsor Level 3 OMB Gatekeeper Review Jeffrey A. Klatzkow Level 3 County Attorney's Office Review Christopher Johnson Additional Reviewer Dan Rodriguez Level 4 County Manager Review Geoffrey Willig Meeting Pending Completed 06/28/2022 2:59 PM Completed 06/29/2022 10:21 AM 06/29/2022 10:40 AM Completed 07/05/2022 2:54 PM Completed 07/05/2022 2:57 PM Completed 07/05/2022 3:47 PM Completed 07/05/2022 3:58 PM Completed 07/06/2022 11:46 AM 07/12/2022 9:00 AM I Packet Pg. 1764 1 SPONSORSHIP AGREEMENT BETWEEN COLLIER COUNTY AND UWP, LLC PRO WATERCROSS CHAMPIONSHIP THIS AGREEMENT is made and entered into this day of , 2022, by and between Collier County, a political subdivision of the State of Florida ("County") and UWP, LLC dba Pro Watercross Championship ("Watercross"), authorized to do business in Florida. RECITALS - WHEREAS, the County has adopted a Tourist Development Plan funded by proceeds from the Tourist Development Tax; and WHEREAS, the Collier County Tourism Ordinance provides that certain amounts of the revenues generated by the Tourist Development Tax are to be allocated to promote and advertise tourism within the State of Florida, nationally and internationally which encourages tourism; and WHEREAS, UWP, LLC Pro Watercross Championship ("Watercross") has applied to the Collier County Tourist Development Council ("TDC") for Sponsorship funding to be used to host the UWP, LLC Pro Watercross Championship at Collier County's Sugden Regional Park; WHEREAS, with the recommendation of the TDC, the Collier County Board of County Commissioners has reviewed and approved the proposal of Watercross, and specifically finds that the event promotes tourism. WITNESSETH: NOW, THEREFORE, in consideration of the promises and covenants contained herein, and other good and valuable consideration exchanged amongst the parties, the parties agree as follows: I . All of the above RECITALS are true and correct and are hereby expressly incorporated herein by reference as if set forth fully below. 2. Watercross agrees as follows: A. At its sole cost and expense, Watercross will promote, market and present the 2022 Pro Watercross Championship, to take place at Collier County's Sugden Regional Park in the Fall of 2022. As part of this event, Watercross, at its sole cost and expense, will: i. Lease the Sugden Regional Park directly from the Collier County Parks and Recreation Division and will comply with all then -current County requirements for the hosting of an event of this size including but not limited to: adhering to County mandated protocols related to public gatherings, providing and paying for the necessary insurance, parking, police, EMS, security, restroom facilities, waste removal, portable generators, showers and other event operation expenses. /0_*1 CAP Packet Pg. 1765 Watercross will also obtain all required liquor licenses to allow alcohol beverage sales at the event. ii. Watercross shall identify and provide dates for the event to the Tourism Department within 30 days from execution of this Agreement. The Lease Agreement shall specify dates for the event which shall be provided to the Tourism Division upon execution of the Lease. iii. Negotiate and schedule the airing of two (2), thirty second (30) spots for the sole benefit of the Collier County Convention & Visitors Bureau (CVB) within the (1) one -hour telecast show of the Pro Watercross Championships on CBS Sports Network (or a network of comparable reach or greater). iv. Negotiate and schedule the airing of one (1) thirty second (:30) spots for the sole benefit of the Collier County Convention & Visitors Bureau (CVB) per hour within the daily live streaming of the events throughout the event weekend. V. Negotiate opening and closing mentions of the breadth and depth of the destination and telecast within the Pro Watercross Championships broadcast. Collier County Convention & Visitors Bureau (CVB) to provide copy and b-roll for these mentions. vi. Provide written acknowledgement of the sponsorship by the Collier County Convention & Visitors Bureau (CVB) using the phrase "Funded in part by the Collier County Tourist Tax" and/or placement of the CVB logo in all media, marketing, promotion, and as a part of the local activation at all Watercross events prior to the final Naples event using #RacetoNaples branding message. vii Include Collier County Convention & Visitors Bureau (CVB) logo on "billboards" throughout the live streaming and CBS Sports Network television broadcast. viii Include Collier County Convention & Visitors Bureau (CVB) logo in digital media including e- news release and e-blasts in support of the Naples event. ix Provide placement of Collier County Convention & Visitors Bureau (CVB) logo in event signage throughout the Pro Watercross tour season schedule and at the World Championship event upon the following: a. Front banner on main stage throughout the tour and at the World Championship. b. Start/Flag tower for the World Championship event. c. Six (6) course side banners throughout the Pro Watercross tour and at the World Championship event. x Provide placement of Collier County Convention & Visitors Bureau (CVB) logo on each Pro Watercross World Championship website page with link to its website (www.paradisecoast.com. 2 CAP Packet Pg. 1766 3. Collier County agrees as follows: A. In consideration of the above, County will pay Watercross an annual Sponsorship Fee in the sum of Ninety Thousand Dollars ($90,000.00) for the 2022 Pro Watercross Championship. Upon the completion of the 2022 sponsorship, no further funding is promised for subsequent years or events. Although this Sponsorship Fee is intended to help Watercross pay for its costs related to hosting the event, Watercross may use this fee in any manner it deems fit. Payments shall be made in Two installments as follows: i. Payment in the amount of $50,000 shall be paid to Watercross within 45 days of the County's receipt of an invoice following the mutual execution of this Sponsorship Agreement. Watercross must provide written notice, accompanied by the 2022 tour schedule, that Watercross has commenced the racing circuit season for the 2022 event year. Such notice will provide documentation evidencing that the season/racing circuit has officially opened. This documentation may include proof of onsite activation of the CVB logo and #RacetoNaples at all circuit stops, media promotion for the event such as social media placement, e-newsletters, digital advertising, Pro Watercross website updates and on Personal Watercraft related websites utilizing website banner ads. All marketing, promotion and activations at race sites prior to the Naples Championship event, and all advertising must include the CVB logo as provided by Collier County to Watercross. ii. The Second Payment in the amount of $40,000 shall be paid to Watercross upon receipt of a final invoice following the Watercross event. The County may deduct from this final payment any outstanding fees owed to Collier County in connection with this event. The final invoice shall include the following documentation: a. Proof that the UWP, LLC Pro Watercross Championship was broadcasted on CBS Sports Network as agreed and the two (2) CVB commercials were a part of that broadcast. b. Proof that the UWP, LLC Pro Watercross Championship was live streamed and the one (1), 30-second CVB commercial per hour of live streaming throughout the event weekend were a part of the live streaming. c. Documentation of the UWP, LLC Pro Watercross Championship in Naples indicating the event attendance, overnight accommodations stays and direct visitor spending in Collier County by event participants and spectators. This final invoice, Post Event Report and all documentation shall be submitted to the County within 30 days following the conclusion of the current year's UWP, 3 CAO FPacket Pg. 1767 LLC Pro Watercross Championships. All invoices are payable in compliance with Florida's Prompt Payment Act. B. In addition to paying a Sponsorship Fee, Collier County shall assist Watercross in their hosting of the event, which will consist of the following: i. Promotion of the event on the Collier County Convention and Visitors Bureau sports marketing website and Facebook channels with a minimum of two (2) Facebook posts on Naples, Marco Island, Everglades social account promoting the World Championship event in Naples, FL per month beginning upon the execution of this agreement. LEGAL MATTERS 4. INDEMNIFICATION AND DUTY TO DEFEND: A. To the maximum extent permitted by Florida Law, Watercross shall indemnify, defend and hold harmless the County, its officials and employees from any and all liabilities, damages, losses, and costs, including, but not limited to, reasonable attorneys' fee and paralegals' fee to the extent caused by the negligence, recklessness, or intentionally wrongful conduct of Watercross in the performance of this Agreement. This indemnification obligation shall not be construed to negate, abridge or reduce any other rights or remedies which otherwise may be available to an indemnified party or person described in this paragraph. This section does not pertain to any incident arising from the sole negligence of the County. The foregoing indemnification shall not constitute a waiver of sovereign immunity beyond limits set forth in section 768.28, Florida Statutes. B. The duty to defend under this Section is independent and separate from the duty to indemnify, and the duty to defend exists regardless of any ultimate liability of Watercross, the County, or any indemnified party. The duty to defend arises immediately upon presentation of a claim by any party and written notice of such claim being provided to Watercross. Watercross' obligation to indemnify and defend the County will survive the expiration or earlier termination of this Agreement until it is determined by final judgment that an action against Watercross or an indemnified party for the matter indemnified hereunder is fully and finally barred by the applicable statute of limitations. 5. INSURANCE: Watercross shall at all times during the term of this Agreement maintain insurance coverage at amounts that are commercially reasonable, including at least Comprehensive General Liability at $3,000,000. Collier County and its affiliates shall be named as an additional insured on all such policies of insurance and Watercross shall provide proof of insurance at least 7 days prior to the start of the Pro Watercross Championship event or upon Collier County's request. 4 /I', - I CAP FP—ack—et Pg. 17678 6. NOTICES: All notices from the County to UWP, LLC Pro Watercross Championship shall be in writing and deemed duly served if mailed by registered or certified mail to Pro Watercross Championship at the following address: A.J. Handler Pro Watercross 1937 Fairport Nine Mile Point Pt. Rd. Penfield, NY 14526 a @-Prowatercrossxom All notices from Watercross to the County shall be in writing and deemed duly served if mailed by registered or certified mail to the County to: Paul Beimes, Tourism Director Collier County Tourism Department 2660 N. Horseshoe Drive Suite 105 Naples, Florida 34104 Paul.Beimes@colliercountyfl.aov Watercross and the County may change the above mailing addresses at any time upon giving the other party written notification pursuant to this Section. 7. NO PARTNERSHIP: UWP, LLC Pro Watercross Championship is an independent contractor. Nothing herein contained shall be construed as creating a partnership or joint venture of any kind between the County and Watercross, its vendors or subcontractors, or to constitute Watercross , or its vendors or subcontractors, as an agent or employee of the County. All revenue of any kind received by Watercross related to hosting these events, including but not limited to parking fees, are for the sole benefit of Watercross, and County will not be entitled to share in any profit received by, or be liable to share in the cost incurred by Watercross arising from these events. 8. COOPERATION: Each party shall fully cooperate with the other in all matters pertaining to this Agreement and shall provide all information and documentation as requested from time to time. 9. TERM: This Agreement shall become effective on approval by the Board of Commissioners and remain in effect through the Pro Watercross Championship held in 2022. The term of sponsorship shall be for One (1) year. 10. TERMINATION FOR CONVENIENCE: This Agreement may be terminated by either party by giving the other party written notice between 3 months in advance of the termination date. Following the provision of such notice, the parties will continue to abide with all terms and conditions of this Agreement through the next Watercross event, which will be the final event under this Agreement. After the conclusion of this final event, and the satisfaction of all obligations and payments arising from this final event, the parties will have no further obligations whatsoever with respect to this Agreement. Packet Pg. 1769 11. OPTION TO TERMINATE: Either party may terminate or cancel this Agreement with three (3) months written notice with no penalty to either party. Following satisfaction of all obligations and payments arising from the prior tournament each party will have no further obligation whatsoever to the other with respect to this Agreement. 12. GENERAL ACCOUNTING AND AVAILABILITY OF RECORDS: With respect to all matters covered in this Agreement, Watercross shall maintain complete and accurate accounting records, and shall maintain these records, books, documents, papers and financial information pertaining to work performed under this Agreement for a period of three (3) years, in compliance with Chapter 119, the Florida Public Records Law. 13. AVAILABILITY OF FUNDS: This Sponsorship Agreement is subject to the availability of Tourist Development Tax revenues. If for any reason tourist tax funds are not available to fund all or part of this Agreement for any given tournament year, the County may upon written notice, at any time during the term of this Agreement, reduce or eliminate funding under this Agreement. Upon receipt of such notice, Watercross will have the option to either terminate this Agreement or continue this Agreement without such funding. If following receipt of such notice Watercross elects to terminate the Agreement, the County will reimburse Watercross for all eligible and documented expenditures Watercross actually incurred up to the date written notice was received, and neither Watercross nor the County will be required to pay a termination fee. 14. PROHIBITION OF ASSIGNMENT: This Agreement is personal to Watercross. As such, Watercross may not assign, convey, or transfer in whole or in part its interest in this Agreement without the prior written consent of the County, which consent may be withheld in the County's sole discretion. 15. AMENDMENTS: This Agreement may only be amended by mutual written agreement of the parties, and must be made with the same formalities as was done in entering into this Agreement. 16. VENUE AND GOVERNING LAW: This Agreement shall be governed by and construed under the laws of the State of Florida. The parties shall attempt in good faith to resolve any dispute concerning this Agreement through negotiation between authorized representatives. If these efforts are not successful, and there remains a dispute under this Agreement, the parties shall first engage in voluntary mediation, with each side sharing all costs. Following the conclusion of this procedure, either party may then file an action in the Circuit Court of Collier County, or the Middle District of Florida, which shall be the exclusive venue with respect to any disputes arising out of this Agreement. In the event of litigation, each side shall bear its own attorney's fees. 17. ENTIRE AGREEMENT: This Agreement sets out the entire agreement between Collier County and Watercross with respect to the subject matter contained herein. It supersedes all prior agreements, proposals, arrangements and communications, whether written or oral, with respect to the subject matter hereof, which agreements are hereby terminated in their entirety and of no further force and effect as of the date of this Agreement. In the event of any conflict between a provision of the Agreement and a provision of an invoice, the provisions of this 6 CW I Packet Pg. 1770 Agreement will prevail. No modification or waiver of this Agreement or any of the provisions hereof will bind either party unless an authorized agent of each party agrees in writing to the modification waiver. IN WITNESS WHEREOF, UWP, LLC Pro Watercross Championship and Collier County have respectively, by an authorized person or agent, hereunder set their hands and seals on the date and year first above written. ATTEST: CRYSTAL KINZEL, Clerk In , Clerk pproved as to form and legality: t�olleen M. Greene Managing Assistant County Attorney BOARD OF COUNTY COMMISSIONERS COLLIER COUNTY, FLORIDA Lolm William L McDaniel, Jr., Chairman UWC, LLC Digitally signed By: —murprArIF111-04 WSI- by AJ Handler )�4nfjydlcr Date: 2022.05.20 7767 12:54:10 -04'00' CAD I Packet Pg. 1771 1