HomeMy WebLinkAboutContract 32534 CITY SECRETARY
CONTRACT NO. jcy,, 2J
FUNDING AGREEMENT
BETWEEN
CITY OF FORT WORTH
AND
INTERNATIONAL SISTER CITY ASSOCIATION OF FORT WORTH, INC.
This FUNDING AGREEMENT ("Agreement") is made and entered into by and
between the CITY OF FORT WORTH (the "City"), a home rule municipal corporation
situated in Tarrant and Denton Counties, Texas, whose business address is 1000 Throckmorton,
Fort Worth, TX 76102, acting by and through Richard Zavala, its duly authorized Acting
Assistant City Manager, and the INTERNATIONAL SISTER CITY ASSOCIATION OF
FORT WORTH, INC. (the "Association"), a Texas not-for-profit corporation, acting by and
through Mae Ferguson, its duly authorized Executive Director.
In consideration of the mutual covenants, promises and obligations contained herein, the
parties agree as follows:
1. FUNDING AND SCOPE OF SERVICES.
Pursuant to V.T.C.A., Tax Code Chapter 351 and the Code of the City of Fort Worth
("City Code") § 32-17, the City agrees to pay Association during the term of this Agreement
quarterly installment, which will not exceed the total of Three Hundred Thirty Two Thousand
Dollars ($332,000) from revenue generated by the City's hotel occupancy tax.
In return, Association will promote tourism and the convention and hotel industries.
Specifically, Association will coordinate all activities involving the City and its Sister Cities. For
example, Association will coordinate cultural, educational and athletic exchanges. Association
shall also coordinate meeting facilities, hotel accommodations and travel plans in conjunction
with sister City activities. In addition, Association shall perform other services in connection
with Sister Cities activities as the City may request from time to time and shall attend all
meetings as requested by City officials. Association agrees that expenditures of any funds
received hereunder shall be for purposes that fully comply with the requirements of V.T.C.A.,
Tax Code § 351.101. In performance of such services, Association commits to meet service
performance criteria as set out in Exhibit A attached hereto and incorporated herein for all
purposes incident to this contract.
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2. TERM OF AGREEMENT AND TERMINATION.
(a) This agreement shall commence on October 1, 2005, and end on September 30,
2006. The City may terminate this agreement for cause by giving Association written notice not
less than thirty(30) days prior to the effective date of such termination.
(b) If the City exercises its right to terminate this agreement prior to its expiration,
Association's obligations to the City under this agreement shall continue until the date such
termination actually takes effect. On the date of termination, Association shall reimburse to the
City all funds it has received, but not encumbered by contract, pursuant to this Agreement.
(c ) In the event that no funds or insufficient funds are appropriated by City in any
fiscal period for any payments due hereunder, City will notify Association of such occurrence
and this Contract shall terminate on the last day of the fiscal period for which appropriations
were received without penalty or expense to City of any kind whatsoever, except as to the
portions of the payments herein agreed upon for which funds shall have been appropriated.
3. PERFORMANCE.
(a) In accordance with V.T.C.A., Tax Code § 351.101(a), Association agrees that the
funds received hereunder may be used for day-to-day operations, supplies, salaries, office rental,
travel expenses, and other administrative costs only if those administrative expenses are incurred
directly in the promotion and servicing expenditures as authorized under the aforementioned
chapter of the Tax Code. Further, in accordance with Tax Code § 351.101(f) Association shall
not used the funds received hereunder for travel for a person to attend an event or conduct an
activity the primary purpose of which is not directly related to the promotion of tourism and the
convention and hotel industry or the performance of the person's job in an efficient and
professional manner.
(b) Association further agrees that it will maintain all funds received hereunder in a
separate account. Association shall not commingle such funds with any other funds or maintain
such funds in any other accounts. In addition, Association's expenditure of such funds shall
strictly be in accordance with its Budget, attached as Exhibit A and incorporated herein by
reference for all purposes. Association understands and agrees that upon the acceptance of funds
hereunder, a fiduciary duty is created with respect to the expenditure of such funds.
(c) Association shall submit quarterly financial reports to the City that reflect all
receipts and disbursements of funds received pursuant to this agreement. In addition, within
thirty(30) days following the end of the City's fiscal year, Association shall submit to the City an
annual financial report that reflects all receipts and disbursements of such funds received during
the term of this Agreement and that sets forth all other material information pertaining to the
financial activities and financial condition of the Association.
(d) Association shall submit quarterly service performance reports to the City
that reflect services and activities undertaken by Association in perform
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contract. Each report will be signed by a duly authorized agent of Association. In
addition, within thirty (30) days following the end of the City's fiscal year, Association shall
submit to the City an annual service performance report that reflect all services and
activities undertaken by Association in performance of this contract.
(e) At any time during the term of this agreement, the City shall have the right to
authorize an audit of Association's records as they pertain to its receipt and expenditure of funds
hereunder. Such audits shall be prepared at the City's expense. However, if any such audit
reveals material discrepancies in the Association's records, Association agrees that it shall
reimburse the City for the full costs of such audit.
4. BOND HOLDER RIGHTS.
The City's obligations and Association's rights under this Agreement shall be subordinate
to and limited by the terms and conditions of all subsequent City ordinances which authorize the
issuance of bonds whose payment is pledged upon the City's hotel occupancy tax. Association
agrees and understands that rights of the holders of any such revenue bonds shall be superior in
all respects to the rights of Association. However, the City, to the extent practicable, shall give
Association as much prior notice as reasonably possible of the City's intent to issue such bonds.
5. INSURANCE.
(a) Association shall procure and maintain at all times, in full force and effect, a
liability insurance policy as specified herein, naming the City of Fort Worth as an additional
insured and covering all public risks related to the activities performed pursuant to the terms of
this Agreement. Association shall obtain a liability insurance policy with the following
coverages at the following limits:
Bodily Injury and Property Damage:
$250,000 per person;
$500,000 per occurrence
(b) Insurance requirements may be revised at the City's option, and Association will
accordingly increase such amounts within thirty(30) days following written notice to Association
of such requirement. This insurance policy shall be endorsed to provide that no material changes
in coverage, including, but not limited to, cancellation, termination, non-renewal or amendment,
shall be made without thirty(30) day's prior written notice to the City.
(c) Association shall maintain its insurance with underwriters authorized to do
business in the State of Texas and which are satisfactory to the City. As a condition precedent to
the effectiveness of this Agreement, Association shall furnish the City with a certificate of
insurance as proof that it has obtained the types and amounts of insurance coverage required
herein. Copies of the policy shall also be provided if the City so requests. In addition, at any
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time Association shall, on demand, provide the City with evidence that it has maintained such
coverage in full force and effect.
6. INDEPENDENT CONTRACTOR.
It is expressly understood and agreed that Association shall operate as an independent
contractor as to all services and obligations performed hereunder, and not as an agent,
representative or employee of the City. Association shall have the exclusive right to control the
details of its operations and activities and shall be solely responsible for the acts and omissions of
its boards, officers, agents, servants, employees, contractors, subcontractors and members. The
Association acknowledges that the doctrine of respondeat superior shall not apply as between the
City and Association its boards, officers, agents, servants, employees, contractors, subcontractors
and members. Association further agrees that nothing herein shall be construed as the creation of
a partnership or joint enterprise between the City and Association.
7. INDEMNIFICATION.
ASSOCIATION HEREBY ASSUMES ALL LIABILITY AND RESPONSIBILITY
FOR PROPERTY LOSS, PROPERTY DAMAGE AND/OR PERSONAL INJURY OF
ANY HIND, INCLUDING DEATH, TO ANY AND ALL PERSONS, OF ANY KIND OR
CHARACTER, WHETHER REAL OR ASSERTED, ARISING OUT OF OR IN
CONNECTION WITH THE RECEIPT OR EXPENDITURE OF CITY FUNDS OR THE
PROVISION OF ANY SERVICES HEREUNDER ASSOCIATION COVENANTS AND
AGREES TO, AND DOES HEREBY, INDEMNIFY AND HOLD HARMLESS AND
DEFEND THE CITY, ITS OFFICERS, AGENTS, SERVANTS AND EMPLOYEES,
FROM AND AGAINST ANY AND ALL CLAIMS OR LAWSUITS FOR EITHER
PROPERTY DAMAGE OR LOSS AND/OR PERSONAL INJURY OF ANY KIND,
INCLUDING DEATH, TO ANY AND ALL PERSONS, OF ANY KIND OR
CHARACTER, WHETHER REAL OR ASSERTED, ARISING OUT OF OR IN
CONNECTION WITH THE RECEIPT OR EXPENDITURE OF CITY FUNDS OR THE
PROVISION OF ANY SERVICES HEREUNDER.
8. ASSIGNMENT.
The Association shall not assign, sell, convey or transfer its interest under this agreement.
Any such attempted assignment of same shall be null and void.
1. NON-DISCRIMINATION COVENANT.
Association agrees that, in all phases of its performance under this Agreement, it shall not
discriminate or permit discrimination against any person, including,but not limited to, employees
or prospective employees of Association, on the basis of race, color, national origin, religion,
handicap, sex, sexual orientation or familial status. Association agrees to comply with the
provisions of Chapter 17, Article III, Division III ("[Discrimination in] Employment Practices")
of the City Code and with state and federal equal opportunity statutes. Association shall
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similar provisions in all subcontracts for services covered by this Agreement.
10. GOVERNMENTAL POWERS.
It is understood and agreed that by execution of this contract, the City does not waive or
surrender any of its governmental powers.
11. NO WAIVER.
The failure of the City to insist upon the performance of any term or provision of this
agreement or to exercise any right granted herein shall not constitute a waiver of the City's right
to insist upon appropriate performance or to assert any such right on any future occasion.
12. VENUE.
Should any action, whether real or asserted, at law or in equity, arise out of the terms of
this contract, venue for said action shall be in Tarrant County, Texas.
13. SEVERABILITY.
If any provision of this agreement shall be held to be invalid, illegal or unenforceable, the
validity, legality and enforceability of the remaining provision shall not in any way be affected or
impaired.
14. ENTIRETY OF AGREEMENT.
This written instrument, including any documents incorporated herein by reference,
contains the entire understanding and agreement between the City and the Association as to the
matters herein contained. Any prior or contemporaneous oral or written agreement is hereby
declared null and void to the extent in conflict with this Agreement. This Agreement shall not be
amended unless agreed to in writing by both parties and approved by the City Council of the
City.
15. RIGHT TO AUDIT.
The Association agrees that the City shall, until the expiration of three (3) years after final
payment under this Contract, have access to and the right to examine any directly pertinent
books, documents, papers and records of the Association involving transactions relating to this
Contract. The Association agrees that the City shall have access during normal working hours to
all necessary Association facilities and shall be provided adequate and appropriate workspace in
order to conduct audits in compliance with the provisions of this section. The City shall give the
Association reasonable advance notice of intended audits.
The Association further agrees to include in all of its subcontractor agreements hereunder
a provision to the effect that the subcontractor agrees that the City shall, until the expiration of
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three (3) years after final payment under the subcontract, have access to and the right to examine
any directly pertinent books, documents, papers and records of such subcontractor involving
transactions to the subcontract, and further that City shall have access during normal working
hours to all subcontractor facilities and shall be provided adequate and appropriate workspace in
order to conduct audits in compliance with the provisions of this paragraph. City shall give
subcontractor reasonable advance notice of intended audits.
14. NOTICES.
Notices to be provided hereunder shall be sufficient if forwarded to the other party by
hand-delivery or via U.S. Postal Service certified mail, postage prepaid, to the address of the
other party shown below:
City of Fort Worth Fort Worth Sister Cities International
Richard Zavala, Acting Assistant City Manager Mae Ferguson, Executive Director.
1000 Throckmorton 808 Throckmorton
Fort Worth, Texas 76102 Fort Worth, TX 76102
817-392-6222 817-392-2650
IN WITNESS WHEREOF, the parties hereto have executed this agreement in multiples
to become effective for the stated term upon the filing with and assignment of a contract number
by the City Secretary's Office of the City of Fort Worth, Texas, this day of
�,0)3 , A.D. 2005.
CITY OF FORT WORTH INTERNATIONAL SISTER CITY
ASSOCIATI 7 OF FORT WORTH
By: By: �.
Richard Zavala Iviae Ferguson
Acting Assistant City Manager Executive Directot�_
ATTEST:
By: M L,.�L��
City Secretary
C-�a)o_�-�
:ontract Authorization
Date
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APPROVED AS TO FORM AND LEGALITY:
Assistant City Attorney
M&C: 0-,-
STATE
,STATE OF TEXAS §
COUNTY OF TARRANT §
BEFORE ME, the undersigned authority, a Notary Public in and for the State of Texas,
on this day personally appeared Mae Ferguson, known to me to be the person whose name is
subscribed to the foregoing instrument, and acknowledged to me that the same was the act of the
International Sister City Association of Fort Worth, Inc., and that she executed the same as the
act of the International Sister City Association of Fort Worth, Inc., for the purposes and
consideration therein expressed and in the capacity therein stated.
GIVEN UNDER MY HAND A ?ory
FFICE this�day of
2005.
lic i and for the State Texa
JENNIFER M.KING
MY COMMISSION EXPIRES
October 12,2008
STATE OF TEXAS §
COUNTY OF TARRANT §
BEFORE ME, the undersigned authority, a Notary Public in and for the State of Texas,
on this day personally appeared Richard Zavala, known to me to be the person whose name is
subscribed to the foregoing instrument, and acknowledged to me that the same was the act of the
City of Fort Worth and that he executed the same as the act of said City of Fort Worth for the
purposes and consideration therein expressed and in the capacity therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE thi �4yof
2005. .
Notary Pubic tn'and for t e State of Texas
CLINTON SPRUILL II
NOTARY PUBLIC STATE OF TEXAS
COMMISSION EXPIRES:
SEPTEMBER 15,2009
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EXHIBIT A
AGENCY OBJECTIVES AND MEASURES
Fort Worth Sister Cities International
Mission:
To cultivate successful relationships and international understanding among the youth, adults,
businesses and organizations of Fort Worth and its Sister Cities through educational, leadership
and exchange programs. Through these relationships, Sister Cities will promote tourism and the
convention and hotel industries.
Objectives:
1. Maintain successful relationships with Fort Worth's seven sister cities.
2. Increase individual and corporate membership.
3. Increase inbound youth and adult exchanges with Fort Worth's sister cities.
4. Increase outbound youth and adult exchanges with Fort Worth's sister cities.
5. Increase inbound delegates.
6. Increase outbound delegates.
7. Conduct local programs emphasizing international understanding.
8. Increase local participation in programs, including the International Leadership Academy, Fort
Worth Youth International, and the International Academic Chairs Committee.
Output Measures:
Agency Measures FY 2004 Actual FY 2005 Actual FY 2006 Goal
City Relationships 6 7 7
Memberships 600 769 1000
Inbound Exchanges 44 28 61
Outbound Exchanges 10 16 44
Inbound Delegates 1211 291 436
Outbound Delegates 149 395 409
Local Programs 69 120 110
Estimated Economic Impact $3 million $1.5 million* $2.5 million
*Major variance between FY 2004 and 2005 is related to the 2004 Conference hosted in Fort Worth.
City of Fort Worth, Texas
Mayor and Council Communication
COUNCIL ACTION: Approved on 10/4/2005
DATE: Tuesday, October 04, 2005
LOG NAME: 032005SISTERCIT REFERENCE NO.: **C-21051
SUBJECT:
Authorize the Execution of a Contract with Fort Worth Sister Cities International
RECOMMENDATION:
It is recommended that the City Council authorize the City Manager to execute a contract in the amount of
$332,000 with Fort Worth Sister Cities International.
DISCUSSION:
The City appropriates funds for this program to the agency from a portion of the Hotel/Motel Occupancy Tax
receipts.
During the FY2005-06 budget process, the City Council approved funding in support of Fort Worth Sister
Cities International. Fort Worth Sister Cities International strives to cultivate relationships and international
understanding among youth, adults, businesses and organizations through educational, leadership and
exchange programs, which promote tourism and commerce in the City of Fort Worth. Fort Worth Sister
Cities International has facilitated the involvement of the City of Fort Worth with seven cities: Reggio Emilia,
Italy; Trier, Germany; Nagaoka, Japan; Bandung, Indonesia; Budapest, Hungary; Toluca, Mexico, and
Mbabane, Swaziland.
It is proposed that a contract be executed between the City of Fort Worth and Fort Worth Sister Cities
International for the period of October 1, 2005, through September 30, 2006.
FISCAL INFORMATION/CERTIFICATION:
The Finance Director certifies that funds have been budgeted in the FY2005-2006 Culture and Tourism
Fund adopted budget for this expenditure.
TO Fund/Account/Centers FROM Fund/Account/Centers
GG04 539120 0247000 $332,000.00
Submitted for City Manager's Office by: Richard Zavala (Acting) (6222)
Originating Department Head: Bridgette Garrett (8518)
Additional Information Contact: Jose Moreno (8349)
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Logname: 032005SISTERCIT Page I of I