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HomeMy WebLinkAboutContract 62866Local Organizing Committee Agreement with the VFW 1 of 9 LOCAL ORGANIZING COMMITTEE AGREEMENT BETWEEN CITY OF FORT WORTH AND FORT WORTH CONVENTION AND VISITORS BUREAU FOR THE EVENTS TRUST FUND This Agreement the City of Fort Worth City home-rule municipal corporation of the State of Texas, acting by and through its duly authorized representative, and the Fort Worth Convention and Visitors Bureau, d/b/a Visit Fort Worth VFW non-profit corporation organized under the laws of the State of Texas, acting by and through its duly authorized representative. WHEREAS, chapters 478, 479, and 480 of the Texas Government Code, as amended ( establish the Events Trust Fund program sales and use, auto rental, hotel occupancy, and alcoholic beverage taxes to help municipalities and counties offset the costs of hosting sporting and non-athletic events; WHEREAS, the ETF consists of the Events Trust Fund, Major Events Reimbursement Program (MERP ) and the Motor Sports Racing Trust Fund (MSRTF ); WHEREAS, the ETF permits local governments and authorized local organizing committees to apply to the EDT for the establishment of an event trust fund to help pay for certain eligible costs associated with conducting events; WHEREAS, the VFW is a registered, non-profit corporation of the State of Texas; WHEREAS, the City wishes to designate VFW as its authorized LOC, as such term is defined in the Code and Rule 184.4 of Title 10 of the Texas Administrative Code, as amended, to perform the following for the : (i) pursue an application and bid on Events; (ii) execute agreements with the site selection organizations concerning the bid to host the Events; and (iii) carry out any other obligations as set forth in this Agreement; WHEREAS, this Agreement is intended to set out the responsibilities and expectations of the City and VFW as they relate to the ETF and the Code; NOW, THEREFORE, for and in consideration of the mutual covenants and agreements stated herein, the parties agree as follows: 1. INCORPORATION OF RECITALS 1.1 The City and VFW agree that the recitals set forth above are true and correct and form the basis upon which the parties have entered into this Agreement and incorporate them into the body of this Agreement. 2. RESPONSIBILITIES 2.1 The City hereby designates VFW as its LOC to manage and administer the ETF for Events that may be eligible for funding under the Code. The City authorizes VFW to pursue applications and bid with site selection organizations to designate the City as the site of the Events. And the City authorizes VFW to CSCO: Local Organizing Committee Agreement with the VFW 2 of 9 execute agreements with a site selection organization regarding a bid to host the Events. VFW accepts such designation and agrees to perform the responsibilities, functions, and tasks set forth herein in accordance with the highest professional industry standards. 2.2 As part of its management and administrative obligations herein, VFW agrees, at its sole cost and expense, to perform the following: (a) pursue applications and bids on Events; (b) execute agreements with the site selection organizations concerning the bid to host Events; (c) execute any other agreements required by the Code to receive funding under the ETF, including, without limitation, an event support contract (as that term is defined in the Code); (d) Track all appropriate dates and deadlines to ensure compliance with the Code and event eligibility; (e) Designate an individual as the main point of contact with the EDT for Events to answer questions or receive information from the EDT; (f) Complete the EDT application for the ETF including: obtaining all necessary information required for the State application under the Code; obtaining required signatures; (g) perform all other aspects of a request for funding under the Code, including, without limitation: (i)preparing and completing an economic impact study to determine the tax impact analysis for the incremental tax increase related to the Event; (ii) developing an attendance tracking plan approved by the EDT and preparing and completing attendance certification documentation; (iii) collecting, preparing and submitting all required information for disbursement requests to the EDT within 180 days of the conclusion of the Events; (h) Obtain the Events and compliance with the Code; and (i) perform any other duties and responsibilities permitted of a LOC under the Code. 2.3 The City, as the sponsoring municipality, will be responsible for: (a) submitting the local share to the EDT as required by the Code; (b) receiving and distributing all ETF funds provided by EDT in accordance with this Agreement, the event support contract, and the Code; and () Paying VFW an amount to cover one-. In no event will that amount exceed $125,000.00 per City fiscal year. The above notwithstanding, the City will pay VFW $145,833.34 for the cost of the ETF administrator Local Organizing Committee Agreement with the VFW 3 of 9 during fiscal year 2025. Beginning in fiscal year 2026, the costs will not exceed $125,000.00 per fiscal year. 2.4 Notwithstanding anything to the contrary, to the extent that the City incurs any costs related to Events that are reimbursable under the Code, then the City may submit a reimbursement request to VFW, along with any supporting invoices. VFW will reimburse the City for the full amount of costs on a first priority basis. VFW must ensure that any event support contract specifically addresses this costs on a first priority basis. 2.5 VFW will not seek, and will not be entitled to, payment from the City for any costs or amounts not distributed by the EDT from the ETF established for the Events. 2.6 VFW must comply, or ensure compliance, with all deadlines set forth in the Code. 3. TERM AND TERMINATION 3.1 Unless terminated earlier pursuant to the terms hereof, this Agreement will be effective beginning on August 19, 2024 and will terminate on August 18, 2027. Thereafter, the Parties may renew the Agreement by their written mutual consent for up to five (5) one-year renewal terms. 3.2 notice. 3.3 Either party may terminate this Agreement if the other party fails to comply with any term, provision, or covenant of this Agreement in any material respect default in compliance with this Agreement. If an event of default occurs, the non-defaulting party will give written notice that describes the default in reasonable detail to the defaulting party. The defaulting party must cure such default within thirty (30) calendar days after receiving notice, unless otherwise agreed to in writing by the parties. 4. NOTICES 4.1 All notices, requests, demands, and other communications which are required or permitted to be given under this Agreement will be in writing and will be deemed to have been duly given upon the delivery or receipt thereof, as the case may be, if delivered personally or sent by registered or certified mail, return receipt requested, postage prepaid, as follows: VFW: CITY OF FORT WORTH Attn: Robert Jameson Director, Public Events Fort Worth Convention and Visitors Bureau City of Fort Worth 1201 Throckmorton Street 100 Fort Worth Trail Fort Worth, Texas 76102 Fort Worth, Texas 76102 With copy to: Local Organizing Committee Agreement with the VFW 4 of 9 City Attorney Same address 5. INDEMNIFICATION 5.1 VFW COVENANTS AND AGREES TO AND DOES HEREBY INDEMNIFY, HOLD HARMLESS, AND DEFEND, AT ITS OWN EXPENSE, CITY FROM AND AGAINST ANY AND ALL CLAIMS, LAWSUITS, JUDGMENTS, ACTIONS, CAUSES OF ACTION, LIENS, LOSSES, EXPENSES, COSTS, FEES (INCLUDING, BUT NOT LIMITED TO COSTS OF DEFENSE), PROCEEDINGS, DEMANDS, DAMAGES, LIABILITIES, AND SUITS OF ANY KIND OR NATURE, INCLUDING, BUT NOT LIMITED TO, THOSE FOR PROPERTY OR MONETARY LOSS, OR OTHER HARM FOR WHICH RECOVERY OF DAMAGES IS SOUGHT, OF WHATSOEVER KIND OR CHARACTER, WHETHER REAL OR ASSERTED, ARISING OUT OF, IN CONNECTION WITH, OR RESULTING FROM ANY ACT, ERROR, OR OMISSION OF VFW AND ITS RESPECTIVE OFFICERS, AGENTS, EMPLOYEES, DIRECTORS, MEMBERS, PARTNERS, AND REPRESENTATIVES IN CONNECTION WITH THE EXECUTION, PERFORMANCE, ATTEMPTED PERFORMANCE, OR NONPERFORMANCE OF THIS AGREEMENT. 5.2 IF ANY ACTION OR PROCEEDING SHALL BE BROUGHT BY OR AGAINST THE CITY IN CONNECTION WITH ANY SUCH LIABILITY OR CLAIM, COMPANY, ON NOTICE FROM CITY, MUST DEFEND SUCH ACTION OR PROCEEDING, AT VFW OR THROUGH ATTORNEYS REASONABLY SATISFACTORY TO CITY. 5.3 IT IS AGREED WITH RESPECT TO ANY LEGAL LIMITATIONS NOW OR HEREAFTER IN EFFECT AND AFFECTING THE VALIDITY OR ENFORCEABILITY OF THE INDEMNIFICATION OBLIGATION UNDER THIS SECTION 5, SUCH LEGAL LIMITATIONS ARE MADE A PART OF THE INDEMNIFICATION OBLIGATION AND WILL OPERATE TO AMEND THE INDEMNIFICATION OBLIGATION TO THE MINIMUM EXTENT NECESSARY TO BRING THE PROVISION INTO CONFORMITY WITH THE REQUIREMENTS OF SUCH LIMITATIONS, AND AS SO MODIFIED, THE INDEMNIFICATION OBLIGATION SHALL CONTINUE IN FULL FORCE AND EFFECT. 5.4 This section will survive the expiration or early termination of this Agreement. 6. INSURANCE 6.1 VFW must furnish to City certificates of insurance as proof that it has secured and paid for policies of commercial insurance as specified herein. 6.2 Such insurance must cover all insurable risks incident to or in connection with the execution, performance, attempted performance or nonperformance of this Agreement. For the term of this Agreement, VFW must maintain the following coverages and limits thereof: a.Commercial General Liability (CGL) Insurance i. $1,000,000 each occurrence ii. $2,000,000 aggregate limit b. Professional Liability Errors & Omissions i. $1,000,000 Each Occurrence Local Organizing Committee Agreement with the VFW 5 of 9 ii. $1,000,000 Annual Aggregate Limit c. Business Automobile Liability Insurance i. $1,000,000 each accident on a combined single-limit basis, or ii. $250,000 Property Damage iii. $500,000 Bodily Injury per person per occurrence iv. $2,000,000 Aggregate v. owned, hired, and non-owned. d. Pending availability of the above coverage and at the discretion of City, the policy shall be the primary responding insurance policy versus a personal auto insurance policy if or when in the course of VFW business as contracted herein. e. i. Part A: Statutory Limits ii. (a) $100,000 each accident (b) $100,000 disease-each employee (c) $500,000 disease-policy limit 6.3 Additional Requirements a. Such insurance amounts will frequently than once every 12 months, and VFW will revise such amounts within thirty (30) days following notice to VFW of such requirements. b. VFW will submit to City documentation that it has obtained insurance coverage and has executed bonds as required in this Agreement prior to payment of any monies provided hereunder. c. Where applicable, insurance policies required herein shall be endorsed to include City as an additional insured as its interest may appear. Additional insured parties shall include employees, representatives, officers, agents, and volunteers of City. d. subrogation, also referred to as a waiver of rights of recovery, in favor of City. Such insurance shall cover employees performing work on any and all projects. VFW or its contractors shall maintain coverages, if applicable. In the event the respective contractors do not maintain coverage, VFW must maintain the coverage on such contractor, if applicable, for each applicable contract. e. Any failure on part of City to request certificate(s) of insurance shall not be construed as a waiver of such requirement or as a waiver of the insurance requirements themselves. f. Insurers of VFW insurance policies shall be licensed to do business in the state of Texas by the Department of Insurance or be otherwise eligible and authorized to do business in the state of Texas. Insurers shall be acceptable to City insofar as their financial strength and solvency and each such company shall have a current minimum A.M. Best Key Rating Guide rating of A-: VII or other equivalent insurance industry standard rating otherwise approved by City. Local Organizing Committee Agreement with the VFW 6 of 9 g. Deductible limits on insurance policies shall not exceed $5,000 per occurrence unless otherwise approved by City. h. In the event there are any local, federal or other regulatory insurance or bonding requirements for VFW operations, and such requirements exceed those specified herein, the former shall prevail. i. VFW shall require its subcontractors to maintain applicable insurance coverages, limits, and other requirements as those specified herein; and, VFW shall require its subcontractors to provide VFW with certificate(s) of insurance documenting such coverage. Also, VFW shall require its subcontractors to have City and VFW their interest may appear) on their respective insurance policies. j. basis. This coverage may also be referred to as Management Liability, and shall protect the insured against claims arising out of alleged errors in judgment, breaches of duty and wrongful acts arising out of their management duties. 7. GENERAL PROVISIONS 7.1 No Waiver of Immunity. It is understood that by execution of this Agreement, the City does not waive or surrender any of its governmental powers or immunities. 7.2 Amendments. No alteration, change, modification or amendment of the terms of this Agreement will be valid or effective unless made in writing and signed by both parties hereto and approved by appropriate action of City. 7.3 Waiver. No waiver of performance by either party will be construed as or operate as a waiver of any subsequent default of any terms, covenants, and conditions of this Agreement. 7.4 Governing Law and Venue. If any action, whether real or asserted, at law or in equity, arises on the basis of any provision of this Agreement, venue for such action will lie in state courts located in Tarrant County, Texas or the United States District Court for the Northern District of Texas Fort Worth Division. This Agreement will be construed in accordance with the laws of the State of Texas. 7.5 Successors and Assigns. Neither party hereto will assign or transfer its interest herein without prior written consent of the other party, and any attempted assignment or transfer of all or any part hereof without such prior written consent will be void. This Agreement is binding upon and will inure to the benefit of the City and VFW and its respective successors and permitted assigns. 7.6 Third-Party Beneficiaries. The provisions and conditions of this Agreement are solely for the benefit of the City and VFW, and any lawful successor or assign, and are not intended to create any rights, contractual or otherwise, to any other person or entity. 7.7 Contract Construction. The parties acknowledge that each party and, if it so chooses, its counsel have reviewed and revised this Agreement and that the normal rules of construction to the effect that any ambiguities are to be resolved against the drafting party must not be employed in the interpretation of this Agreement or any amendments or exhibits hereto. Local Organizing Committee Agreement with the VFW 7 of 9 7.8 Severability. If any provision of this Agreement is held to be invalid, illegal or unenforceable, the validity, legality and enforceability of the remaining provisions will not in any way be affected or impaired. 7.9 Captions and Headings. Captions and headings used in this Agreement are for reference purposes only and will not be deemed a part of this Agreement. 7.10 No Joint Venture. Nothing herein will be construed as the creation of a partnership or joint enterprise between the City and VFW, or its officers, agents, servants, employees or subcontractors; and the doctrine of respondeat superior will have no application between the City and VFW. It is further understood that the City will in no way be considered a co-employer or joint employer with VFW, or any of its officers, agents, servants, employees or subcontractors. Neither VFW, nor any of its officers, agents, employees, servants, contractors and subcontractors will be entitled to any employment benefits from the City. The City and VFW retain the exclusive control of and exclusive right to control the details of the work that each performs under this Agreement and all persons performing the same. 7.11 Audit. The City will have the right to audit the financial and business records of the VFW as they ) at any time during the term of this Agreement and for three (3) years thereafter in order to determine compliance with this Agreement. Throughout the term of this Agreement and for three (3) years thereafter, VFW will make all Records available to City at 100 Fort Worth Trail, Fort Worth, Texas or at another location in City acceptable to both parties following reasonable advance notice by City and will otherwise cooperate fully with City during any audit. Notwithstanding anything to the contrary herein, this section will survive expiration or earlier termination of this Agreement. 7.12 Force Majeure. City and VFW will exercise their best efforts to meet their respective duties and obligations as set forth in this Agreement, but will not be held liable for any delay or omission in performance due to force majeure or other causes beyond their reasonable control, including, but not limited to, compliance with any government law, ordinance, or regulation; acts of God; acts of the public enemy; fires; strikes; lockouts; natural disasters; wars; riots; epidemics or pandemics; government action or inaction; orders of government; material or labor restrictions by any governmental authority; transportation problems; restraints or prohibitions by any court, board, department, commission, or agency of the United States or of any States; civil disturbances; other national or regional emergencies; or any other similar cause not enumerated herein but which is beyond the reasonable control of the Party whose performance is the period of, and only to the extent of, such prevention or hindrance, provided the affected Party provides notice of the Force performance, as soon as reasonably possible after the occurrence of the Force Majeure Event, with the reasonableness of such notice to be determined by the City in its sole discretion. The notice required by this section must be addressed and delivered in accordance with Section 4 of this Agreement. 7.13 Compliance with Laws. The parties agree to comply with all federal, state and local laws, ordinances, rules and regulations. 7.14 Review by Counsel. The parties represent that they have consulted, or had the opportunity to consult, an attorney to seek legal counsel regarding the contents and effects of this Agreement. 7.15 Multiple Counterparts. This Agreement may be executed in several counterparts, each of which will be deemed an original, but all of which together will constitute one and the same instrument. A signature received via facsimile or electronically via email will be as legally binding for all purposes as an original signature. Local Organizing Committee Agreement with the VFW 8 of 9 7.16 Non-Exclusive Remedies. No remedy herein conferred or reserved is intended to be exclusive of any other available remedy or remedies, and each and every such remedy shall be cumulative and shall be in addition to every such remedy given under this Agreement or now or hereafter existing at law or in equity or by statute. It is expressly agreed that the remedy at law for breach by a party of its obligations hereunder may be inadequate in view of the complexities and uncertainties in measuring the actual damages that would be sustained by reason of either party's failure to comply fully with each of such obligations. Accordingly, the obligations of each party hereunder are expressly made enforceable by specific performance. If it becomes necessary for any party to this Agreement to bring suit to enforce or interpret the provisions hereof, the prevailing party to such suit shall be entitled to its reasonable and necessary attorney's fees and costs.\ 7.17 Entire Agreement. This writing embodies the entire Agreement and understanding between the parties hereto, and there are no other agreements and understandings, oral or written, with reference to the subject matter hereof that are not merged herein and superseded hereby. Local Organizing Committee Agreement with the VFW 9 of 9 IN WITNESS WHEREOF, the parties hereto have executed this Agreement in multiples to be effective as of the Effective Date set forth in this Agreement. City: By: ___________________________ Name: Jesica L. McEachern Title: Assistant City Manager Date: ___________________________ VFW: By: ___________________________ Name: Robert L. Jameson Title: President and CEO Date: ___________________________ FOR CITY OF FORT WORTH INTERNAL PROCESSES: Approval Recommended: By: ______________________________ Name: Michael E. Crum Title: Director, Public Events Approved as to Form and Legality: By: ______________________________ Name: Taylor C Paris Title: Assistant City Attorney Contract Authorization: M&C: 24-1109 Contract Compliance Manager: By signing I acknowledge that I am the person responsible for the monitoring and administration of this contract, including ensuring all performance and reporting requirements. By: ______________________________ Name: Andrea Wright Title: Assistant Director, Public Events City Secretary: By: ______________________________ Name: Jannette Goodall Title: City Secretary M&C Review CITY COUNCIL AGENDA Create New From This M&C DATE: 12/10/2024 REFERENCE NO.. CODE: C TYPE: **M&C 24- 1109 CONSENT LOG NAME: PUBLIC HEARING: Page 1 of 2 Official site of the Ciry of Fort Worth, Texas F��T��o�ri� -��- 25FWCVBLOCETF NO SUBJECT: (ALL) Authorize Execution of a Professional Services Agreement with the Fort Worth Convention and Visitors Bureau d/b/a Visit Fort Worth, in the Amount Not to Exceed $145,833.34 for the First Year and $125,000.00 Annually Thereafter, Adopt Appropriation Ordinance and Amend the Fiscal Year 2025 Adopted Budget ���]���h�iI��U7_r�[�]�A It is recommended that the City Council: 1. Authorize execution of a Professional Services Agreement with the Fort Worth Convention and Visitors Bureau d/b/a Visit Fort Worth ("CVB") in the amount of $145,833.34 for Fiscal Year 2025, and $125,000.00 annually thereafter, for the purpose of designating CVB as the City's Local Organizing Committee to manage the City's Event Trust Fund program and compensate CVB for 50\% of the costs to hire an Event Trust Fund Administrator; 2. Adopt attached appropriation ordinance reallocating estimated appropriations in the Public Events of the Culture and Tourism Fund by decreasing appropriations in the Transfers and Other category for the contribution to fund balance in the amount of $20,833.34, and increasing appropriations in the General Operating and Maintenance category for other contractual services by the same amount for the purpose of funding services for an Event Trust Fund Administrator with Fort Worth Convention and Visitors Bureau d/b/a Visit Fort Worth; and 3. Amend the Fiscal Year 2025 Adopted Budget. DISCUSSION: The purpose of this Mayor and Council Communication (M&C) is to authorize execution of a professional services agreement with the Fort Worth Convention and Visitors Bureau d/b/a Visit Fort Worth (CVB) to designate CVB as the City's local organizing committee (LOC) under chapter 480 of the Texas Government Code and Rule 184.4 of the Texas Administrative Code. And to adopt the attached appropriation ordinance. An LOC is a non-profit corporation that has been authorized by a municipality to apply to the State for the establishment of an event trust fund through the Events Trust Fund Program (ETF) and to bid on or host the event. The ETF is a state incentive program to make Texas municipalities more competitive to secure high- impact economic impact events that would otherwise be held outside the state of Texas. The City uses the ETF program to bring events of national and international prominence to Dickies Arena, Fort Worth Convention Center, and Will Rogers Memorial Center. The City routinely processes 25-35 ETF applications on an annual basis. Historically, the responsibility for ETF administration has resided in the City's Public Events Department. A recent change in ETF personnel has created an opportunity for the Public Events Department and CVB to collaborate on how the City should handle its ETF responsibilities. The organizations have jointly decided to pursue a contractor relationship to handle the ETF program in the future. This agreement between the City and CVB is to designate CVB as the City's LOC for its ETF eligible events and for each party to fund half of the cost of hiring an ETF administrator beginning August 19, http://apps.cfwnet.org/council�acket/mc review.asp?ID=32815&councildate=l2/10/2024 1/29/2025 M&C Review Page 2 of 2 2024 through September 30, 2025. The initial term of the Contract will be for three years. And the City will pay CVB $145,833.34 to for the first year of that three year term. This includes $20.833.34 to cover obligations during FY 2024 and was funded through an approved decision package. Moving forward, the City's share of this expense is $125,000.00 on an annual basis. Funding was not included in the FY2024 budget. Funding for FY2025 was adopted in the Culture and Tourism FY2025 budget. In order to fund this contract, the action in this M&C will amend the FY2025 Adopted Budget as approved in connection with Ordinance 27107-09-2024, Section 2, Special Revenue Funds, as listed on page 8. Funding is available in Contribution to Fund Balance account and in the Other Contractual Services account of the Culture & Tourism Fund for the Public Events Department. Future funding in subsequent fiscal years will be based on availability and is subject to annual appropriation by the City Council during the budget process. Chapter 252 Exemption: Competitive bidding is not required for exempt procurements and this contract is authorized as an exempt professional services agreement with CVB. Contract Term: The initial term of the contract will be three (3) years with an effective date of August 19, 2024 and expiration date of August 18, 2027. Thereafter, the City and CVB may mutually agree to renew the agreement for up to five (5) one-year (1) renewal terms. FISCAL INFORMATION/CERTIFICATION: The Director of Finance certifies that funds are currently available in the Culture & Tourism Fund and upon approval of the above recommendations and adoption of the attached appropriation ordinance, funds will be available in the Culture & Tourism Fund to support the above recommendations and execution of the change order. Prior to an expenditure being incurred, the Public Events Department has the responsibility of verifying the availability of funds. Fund Department Account Project Program Activity Budget Reference # Amount ID ID Year IChartfield 21 Fund Department Account Project Program � Activity ID ID Submitted for Citv Manaqer's Office bv: Oriqinatinq Department Head: Additional Information Contact: ATTACHMENTS Budget � Reference # � Amount Year (Chartfield 2) William Johnson (5806) Michael Crum (2501) Andrea Wright (2502) 1295-VFW.pdf (CFW Internal) 25FWCVBCSC59692-A3 funds avail.docx (CFW Internal) FID25FWCVBCSC59692-A3.xlsx (CFW Internal) ORD.APP.25FWCVBCSC59692 A3 20101 r(2).docx (Public) http://apps.cfwnet.org/council�acket/mc review.asp?ID=32815&councildate=l2/10/2024 1/29/2025