DCCP Contract

City of Chandler — Regular Meeting (2024-06-27)

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DOWNTOWN CHANDLER ENHANCED MUNCIPAL SERVICES
AGREEMENT FOR FISCAL YEAR 2024-2025

THIS AGREEMENT is entered into effective July 1, 2024, by and between the CITY OF
CHANDLER, an Arizona municipal corporation (the “City"), and DOWNTOWN CHANDLER
COMMUNITY PARTNERSHIP, an Arizona non-profit corporation (the "DCCP").

RECITALS
WHEREAS, the City desires to obtain certain enhanced municipal services for a portion of the
downtown area of Chandler, and, pursuant to the authority granted under Section 48-575 of the Arizona
Revised Statutes, has established the Downtown Chandler Enhanced Municipal Services District by
Resolution No. 3905 to fund such services within the geographic area described therein and depicted in
attached Exhibit “A” (the “District”), and has established an assessment for properties within the District
to fund such enhanced services; and

WHEREAS, the DCCP is willing and able and desires to provide such enhanced municipal services
for the District;

NOW, THEREFORE, in consideration of the recitals and the mutual obligations of the parties
contained herein, each of them does hereby covenant and agree with the other as follows:

SECTION 1
SCOPE OF SERVICES

1.1. Purpose. The purpose of this Agreement is to establish and carry out a strategy for
providing enhanced municipal services within the District, including marketing and promotion, safety and
beautification, and management assistance so as to increase the economic and civic value of the downtown
area of Chandler.

1.2. Description of Services. During the term of this Agreement and in order to further the
purpose of this Agreement, the DCCP shall perform the enhanced municipal services described in attached
Exhibit “B”, which at a minimum shall include the services described in Sections 1.3 through 1.5 below.

1.3, Marketing and Promotions. The DCCP shall promote the District, including all of its
individual market and geographic segments, through the development and implementation of a, including
but not limited to: publications; facilitating the production by others of special events and festivals; and
advertising and publicity.

1.4. Safety and Beautification, The DCCP shall implement programs that clean the physical
environment of the District, thereby enhancing public safety services. In addition, the DCCP shall provide
supplemental projects including street banners, informational directories, building light lines and annual
holiday light displays. Additionally, the DCCP shall regularly communicate with the City on general
maintenance and beautification to ensure a well-maintained and appealing atmosphere.

1.5. Downtown Management Assistance. The DCCP shail be the point of contact on a daily
basis for issues affecting District ratepayers so that matters can be coordinated with the City and addressed
appropriately.

1.6. Compliance with Laws. In providing any and all of the services described in this
Agreement, the DCCP shall comply with all applicable laws, ordinances and codes of the United States,
the State of Arizona, and the City of Chandler.

1.7. General Administration. The DCCP shall maintain high standards in the conduct of its
internal and external business affairs, and shall maintain a high public integrity.

1.8. Coordination With The City. In order that this Agreement may be considered for renewal
for fiscal year 2024-2025, the DCCP shall:

a. Provide, for approval by the City, (i) any recommended modifications to the
description of the scope of services described in attached Exhibit “B” or otherwise
described in this section | of this Agreement, (ii) a detailed operating budget that
meets the modified scope of services, (iii) an accounting of anticipated and existing
catryforward and how it will be utilized during the timeframe of this agreement. The
proposed modifications and the operating budget including carryforward shall be
submitted to the City by March 21, 2024 and the City shall take action on both items
on June 27, 2024.

b. Provide, for the term of this Agreement, the DCCP shall provide two progress reports
to the City in the months of January and June of each year, to include information on relevant topics such
as events, attendance, hours devoted to clean and safe activities, marketing reach, etc.

c. Provide monthly financial statements and an independent audit report (every other
year) of expenditures and program compliance within one hundred twenty (120) days following the end
of the fiscal year covered by this Agreement and within ninety (90) days following the termination of this
Agreement. The year the audit is not conducted, a financial review will be completed. The City may also
choose to perform its own audit. The financial statements and audit shall utilize fund accounting and
distinguish between restricted and unrestricted revenues per the Financial Accounting Standards Board
Accounting Standards Codification (ASC) 958 as follows:

1. Unrestricted Net Assets: Those funds that have no donor or contributor stipulations. These
include member dues and prior savings from pre-District fundraising done by DCCP. If this
contract is not renewed, all funds in this category are retained by the DCCP.

2. Temporarily Restricted Net Assets: Those funds that have donor-imposed restrictions that can
be fulfilled in one of two ways — passage of a defined period of time (time restricted) or by
performing defined activities (purpose restricted). This includes assessment revenues, the
voluntary City contribution, sponsorships, and event income for those events funded and/or
staffed by the District. Temporarily restricted assets may only be used for District purposes in line
with the duties outlined in Sections 1.3 through 1.5, not general DCCP purposes. Any monies

carried forward in to the next fiscal year from this category, will remain in this classification. If
this contract is not renewed, all funds in this category must be returned to the City.

3. Permanently Restricted Net Assets: Those funds that are donated for a specific and restricted
use, such as an endowment. Currently, no such assets exist in the District and disposition of any
funds secured during the term of this contract will be decided between the parties.

d. Provide assistance to the Maricopa County Assessor, the Maricopa County
Treasurer, and the City in the assessment of the District. DCCP shall be responsible for maintaining an
accurate roll of land use and property ownership information, the development of proposed assessment
lists, and the scheduling of events leading to assessment hearings and other appropriate public hearings
and notifications to be conducted during the fiscal year covered by this Agreement for the next fiscal year.

1.9. Continuance of City Service Levels. The City shall continue to provide within the
District the same level of municipal services as described in attached Exhibit “C”.

SECTION 2
EFFECTIVE DATE

2.1. Term, This Agreement shall be for the City’s fiscal year beginning July 1, 2024 and ending
June 30, 2025.
SECTION 3
COMPENSATION

3.1. Remittance of Assessments. The City agrees to remit to the DCCP, for the services to be
rendered by it under this Agreement, an amount equal to the annual assessment of the Chandler Enhanced
Municipal Services District as collected and distributed by the Maricopa County Treasurer for fiscal year
2024-2025. Payments by the City shall be made to the DCCP when received by the City from the
Maricopa County Treasurer.

3.2. Voluntary Contribution. The City shall pay to the DCCP a voluntary contribution
of $130,981(One hundred thirty thousand, nine hundred and eighty one dollars) in two equal
installments, the first on or before July 15,2024, and the second on or before January 15, 2025.

3.3. Reserve Fund. The DCCP shall establish a contingency fund as a reserve to use as
operating funds for fiscal year 2024-2025. The reserve will be sufficient enough to use as operating funds
until such time that the City receives assessment funds from Maricopa County. The DCCP Board may set
and carry a reserve level not to exceed 20% of that years’ assessment. If the DCCP Board wishes to
accumulate funds for a specific project in addition to the 20% reserve, a written proposal may be submitted
to the City for consideration. Upon City approval, Temporarily Restricted Funds may be earmarked for
the project; however, if the project does not move forward in the agreed upon timeframe, the monies will
be returned to the general Temporarily Restricted Funds and the reserve spent down.

SECTION 4
INSURANCE AND INDEMNIFICATION

4.1 Indemnification; The DCCP agrees to indemnify, defend and save harmless the City,
its Mayor and Council, appointed boards and commissions, officials, officers, employees, individually
and collectively; from all losses, claims, suits, actions, payments and judgments, demands, expenses,
attorney’s fees, defense costs or actions of any kind and nature resulting from personal injury (including
bodily injury and death) to any person, including employees of the DCCP or any subcontractor or
consultant of the DCCP employed by the DCCP, or damage to any property, arising or alleged to have
arisen out of the negligent performance of the DCCP for the work to be performed hereunder, except any
such injury or damages arising out of the sole negligence of the City, its officers, agents or employees. It
is the intention of the parties to this contract that the City, its Mayor and Council, appointed boards and
commissions, officials, officers and employees, individually and collectively, are to be indemnified
against their own negligence unless and except their negligence is found to be the sole cause of the injury
to persons or damages to property.

4.2 Insurance: The DCCP shall provide insurance coverage in the amount and type, and
subject to the conditions, as set forth in attached Exhibit “D”.

SECTION 5
TERMINATION

5.1. Automatic Termination. This Agreement shall terminate automatically if either of two
conditions applies:

a. At the end of the fiscal year covered by this Agreement if the DCCP budget is not
approved and/or renewal of the Agreement is not approved by the Chandler City
Council.

b. The DCCP ceases to exist.

5.2. Optional Termination. Either party may terminate this Agreement during its term upon
giving the other party at least sixty (60) days written notice of such desired termination.

5.3. Effect of Early Termination. Upon early termination of this Agreement, the assets of the
DCCP shall become the assets of the City, with the exception of the verified Unrestricted Net Assets, and
the City’s voluntary contribution shall be terminated immediately.

SECTION 6
MISCELLANEOUS PROVISIONS

6.1. Binding Agreement; Assignment: This Agreement shall be binding upon the successors
and assigns of the parties. However, no party shall have the right to assign this Agreement or any interest
in this Agreement without the prior written consent of the other party.

6.2. Notices: Any notice, demand or request provided for in this Agreement shall be in writing
and shall be deemed properly served, given or made if delivered in person or sent by registered or certified
mail, return receipt requested, pre-paid to the parties as specified below.

If to the City: City of Chandler
City Manager’s Office
Mail Stop 605
P.O. Box 4008
Chandler, AZ 85244-4008

City of Chandler

Cultural Development
Mail Stop 498

P.O. Box 4008

Chandler, AZ 85244-4008

If to the DCCP: Downtown Chandler Community Partnership
100 W. Boston St., Ste. 5
Chandler, AZ 85225

6.3. Governing Law. This Agreement shall be governed by and construed in accordance with
the laws of the State of Arizona. This Agreement has been made and entered into in Maricopa County,
Arizona.

6.4. Waiver. No waiver by either party of any breach of any of the terms, covenants or
conditions of this Agreement shall be construed or held to be a waiver of any succeeding or preceding
breach of the same for any other term, covenant or condition herein contained.

6.5. Attorney’s Fees. In the event of any actual litigation between the parties in connection
with this Agreement, the party prevailing in such action shall be entitled to recover from the other party
all of its costs and fees, including reasonable attorney’s fees, which shall be determined by the court and
not by the jury.

6.6. Exhibits, The exhibits attached hereto are incorporated herein by this reference as though
fully set forth herein.

6.7. Entire Agreement. This Agreement constitutes the entire agreement between the parties
hereto pertaining to the subject matter hereof and all prior and contemporaneous agreements,

representations, negotiations and understandings of the parties hereto, oral or written, are hereby

superseded and merged herein.

IN WITNESS WHEREOF, the City has caused this agreement to be duly executed in its name and
behalf by its Mayor and its seal to be hereunto duly affixed and attested by its City Clerk, and DCCP has
signed the same on or as of the day and year first written above.

ATTEST:

City Clerk

APPROVED AS TO FORM:

City Attorney [A

ATTEST:

CITY OF CHANDLER, an Arizona municipal
corporation

By:

Kevin Hartke, Mayor

DOWNTOWN CHANDLER COMMUNITY
PARTNERSHIP, an Arizona non-profit
corporation

By: i | NUIT

egai/Schmidt, Chair

Exhibit A
City of Chandler Enhanced Municipal Services District
‘\ Assessment Diagram 2024-2025

N

; Washington St.

4 Colorado St.

Chandler Blvd.

4 AL St.
Arizona Ave.

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Buffalo St.

ommonwealth St.

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---—---—--——--- 5 Arizona Pi

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Chicago St.

California St.

Note: For detailed parcel information Frye Rd
including building and lot square footage 5
please refer to Exhibit D.

Washington St.-

Delaware St. -4

Area shown in detail
il Assessed Parcels Exempt Parcels

L aS Historic Downtown if | Residential ------ Streets

Bo ra

i a HE city owned [EY other [EJ distict Boundary
iS [EE Privately owned

|
0 125 250 500 750 1.000 CHANDLER
arizona

Map produced by the City of Chander Planning Division February 14, 2024

Exhibit B

the

DOWNTOWN
CHANDLER

Downtown Chandler Community Partnership
2024-25 Work Plan

1. Marketing and Promotion
A. Promotional Events/Programs

Seasonal Events and Promotions: Winter, Spring, Summer, Fall

Events: Farmers Market and extending to a Summer Market, Sippin’ Santa’s,
Brunch Crawl, Sugarland, Wedding Walk, Prancer’s Pajama Party, Dive-in Movies,
Art Walk

Holiday campaign

Small Business Saturday

Holiday Décor/Seasonal Lighting

Event Partnerships — Fine Arts and Wine Festival, BBQ Festival, Reunion Truck
Show, Oktoberfest, Chandler Pride, Corvette Club of Arizona

Serve on City Special Events Committee, Dr. AJ Chandler Park Renovation
Committee, Area Plan Update Committee

B. Downtown Marketing and Communications

Downtown map/brochures kept current and regularly updated

Seasonal Promotional Campaigns- Channel Your Chill, Stay & Play

Brand Campaign — Downtown Live!

Monthly Newsletters — Downtown Update (Stakeholders) and Downtown Dish
(public)

Special Event Notifications/communications

Website kept current and regularly updated

Promote downtown parking options, both surface and garage

Social media to include Facebook, Instagram, Tik Tok

Target Marketing in frequent visitors via specific cities based on Al data
Kiosks/banners kept current and regularly updated

Collaborative marketing with downtown businesses

Online event calendar kept current regularly updated

Assist City in Communication efforts with Downtown Businesses and Property
Owners

Partner with Visit Chandler to participate and/or attend tourism opportunities

Exhibit B

2. Safety and Beautification

Clean Team Services - 7 days a week — minimum 40 hours

Ambassador Program - 2-3-month pilot program on the weekends during high
visitor season.

Provide flower planting in pots/planters along colonnade area and intersection
of Frye and AZ. Ave/Boston/AZ Ave as needed.

Add flags in planters throughout downtown during patriotic holidays.
Partnered with DEI, Library, and Cultural Development to add holiday wreaths to
the park. Wrapped garland around Sternberg lighting, light the canal.

Replace and update roof top lighting.

Partner with various groups to incorporate arts in the downtown, and local
artists to wrap utility boxes.

Partner with the City’s Homeless Navigation team to report incidents and/or
concerns.

Increase pressure washing throughout downtown outside of city’s weekly
pressure washing areas.

3. Downtown Management

6-Downtown Stakehoiders Meetings

Minimum 9 Board Meetings

Strategic Plan

Annual Satisfaction survey

Monthly Financials

Bi-annual audit (odd years)

Annual Meeting

Annual Report

DCCP Workplan

DCCP Budget

EMSD Renewal

Advocate for Downtown projects, businesses and property owners
Liaison between stakeholders/City

Attend various meetings/celebrations

Fundraising efforts for Special Programs/Projects

Hiring of Consultant to assist with the EMSD 10 year renewal process and
guidance for potential expansion.

Work on strategies to address pop-up vendors, nonprofits, and other
organizations under the city colonnade.

EXHIBIT C
CITY SERVICES PROVIDED IN DOWNTOWN
FY2024-25

City Services to Be Provided to Downtown

Downtown Redevelopment Staff
(Non-exhaustive list of responsibilities)

Manage all economic development activities in Downtown Chandler, including, but
not limited to:
o Business recruitment, retention, and expansion assistance
o Deployment of City-owned land for redevelopment projects through the
request for proposal process
o Management and negotiation of development agreements
o Serving as a liaison between the downtown business community and the City
of Chandler
o Providing research services and analyzing relevant economic data
Initiate and implement the various projects and activities of the City’s Downtown
program including, but not limited to:
o Coordinating and leading City Capital Improvement Projects throughout
Downtown Chandler
o Coordinating maintenance tasks within the physical environment throughout
Downtown Chandler
Leading and coordinating the implementation of various new improvements
Coordinating with the City’s Communication and Public Affairs Department to
create marketing content and events for Downtown Chandler
o Leverage best practices for the implementation of placemaking projects
Serve as the liaison between the Downtown Chandler Community Partnership and
the City of Chandler
Coordinate across City departments and the Downtown Chandler community to
address quality of life issues
The DCCP would have the first right of refusal for The Arizona Office of Tourism if
Economic Development - Tourism Division (Visit Chandler) is not applying for any
grant opportunities. The City will work with the DCCP for submittal.
The DCCP has the ability to request use of the Gateway Banner when not in use by
an upcoming permitted event if it is a DCCP sponsored event that benefits the
downtown as a whole and not one specific business regardless of whether a permit
is needed or not.

Downtown Redevelopment Operations

e Cleaning Maintenance
o Power washing under colonnades once per week and on Arizona Ave and
Breezeway and other identified areas every two weeks. (Map available upon
request)
o Breezeway maintenance and cleaning task as needed.

« Routine Maintenance Task

o Re-planting (approximately April/October), weeding and fertilizing twice per
year flowers and plants in Downtown Area.

o City provides water for all pots on the Parks irrigation system. City provided
pots without an automatic watering system will be watered by the store
owner adjacent to the pots.

o Pick up trash as needed.

o Monitor and report graffiti, shopping carts, illegal dumping, and collaborating
with our homeless navigators.

o Maintain Banners along Arizona Ave

o Work with vendors for maintenance repairs.

City of Chandler Police Department

e Traditional-type patrol officers are assigned to the area in marked police cars to
respond to routine calls for service.

e The bicycle team is available for enforcement in Downtown Chandler.

« Crime prevention personnel are available to offer advice regarding crime
prevention through environmental design and/or business practice.

e Specialized enforcement as needed for criminal activity.

City of Chandler Public Works Department

e Perform street sweeping weekly

e Inspect storm drains and inlets twice annually and clean as needed
e Perform concrete and asphait repairs as needed

e Inspect pavement markings once per year and redo as needed

¢ Repair, replace, and install traffic signs as needed

City of Chandler Parks Department

A.J. Chandler Park

Maintain AJ. Chandler Park including mowing, fertilizing and watering of grass,
maintenance of trees and other plant material and cleaning open space ramada
areas including maintenance of landscaped medians.
DCCP has been granted one storage unit in which to store their special event and
cleaning equipment.
Responsible for the up lighting and Sternberg’s in the downtown area.
Downtown Maintenance Costs
o Sidewalk Maintenance and cleaning and emptying of trash cans once per
week, as well as other tasks as needed.
o Landscaping Behind San Marco Place Storefronts
- Pick up trash twice per week
- Prune shrubs six times per year
Breezeway Cleaning
o Pick up trash twice per week

City of Chandler Building and Facilities Department

Colonnade, Lighting & Repairs

Pay for annual electrical APS utility costs on existing lighting.

Perform colonnade lighting repairs including light bulb, ballast, lenses, breaker
repair and replacement on existing lighting including gooseneck lighting and
Sternbergs.

Maintain LED light strips along edge of colonnade

Parking Lot and Parking Garages Sweeping

Sweep city parking lots/courts with motor sweeper monthly.

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Exhibit D
CERTIFICATE OF LIABILITY INSURANCE

DATE (MMIDDIYYYY)
05/15/2024

THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS
CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES
BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S}, AUTHORIZED

REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER.

IMPORTANT: ff the certificate holder is an ADDITIONAL INSURED, the policy{ies) must be endorsed. If SUBROGATION IS WAIVED, subject to
the terms and conditions of the policy, certain poticies may require an endorsement. A statement on this certificate does not confer rights to the

certificate holder in lieu of such endorsement(s).

PRODUCER

American Family Brokerage Inc
6000 American Parkway

anes Gerlad Sajor

PHONE sexy, 480-503-4455 fave, No); 866-287-1188

RUURESS: gsajor@amfam.com

INSURER(S) AFFORDING COVERAGE NAIC ¢
Madison WI 53783 insuRERA: USLI- United States Liability Insurance
INSURED iNsuRER B; USLi- United States Liability Insurance
Downtown Chandler Community Parlnership inc insurer Cc: USLI- United States Liability insurance
4100 W Boston St Ste 5 INSURER D:
INSURER E:
Chandler AZ_85225 INSURER F +
COVERAGES CERTIFICATE NUMBER: REVISION NUMBER:
THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD
INDICATED, NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS
CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS,
EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS.
ie TYPE OF INSURANCE linge. fw POLICY NUMBER, (MDB YY) (uuparyen LIMITS:
|] COMMERCIAL GENERAL LIABILITY EACH OCCURRENCE $1,000,000
DAMAGE TO RENTED
] ctans-eaDe occuR PREMISES (Ea occurrence) | $ 100,000
|__| MED EXP (Any one person) | $_ 5,000
AL] Y | Y | NBP1566476A 01/31/2024 | 01/31/2025 | PERSONAL & ADV INJURY $
| GEN'L AGGREGATE LIMIT APPLIES PER: GENERAL AGGREGATE s_ 2,000,000
LX} Pouicy 5a Loc PRODUCTS - COMP/OP AGG | s
OTHER: $
[ AUTOMOBILE LIABILITY GOMBINED SINGLE LIMIT | 4,000,000
ANY AUTO BODILY INJURY {Per person) | $
AL | aioweo [7] scueputeo 01/31/2024 | 01/31/2025 | BODILY INJURY (Per accident) | $
X| uizeo autos NONE SuNeD PROPERTY DAMAGE 3
$
|x| umereiavias | Xx] occur EACH OCCURRENCE § 3,000,000
EXCESS LIAB CLAIMS-ADE CUP1571799A 01/31/2024 | 01/31/2025 | acGREGATE $_3,000,000
X[oe0 | [retentions $
WORKERS COMPENSATION [EE Lig
AND EMPLOYERS' LIABILITY YIN STATUTE ER
ANY PROPRIETOR/PARTNER/EXECUTIVE EL. EACH ACCIDENT $
OFFICERIMEMBER EXCLUDED? NIA
(Mandatory in NH) E.L. DISEASE - EA EMPLOYEE| $
tyes, describe under
DESCRIPTION OF OPERATIONS below E.L. DISEASE - POLICY LIMIT | §
Directors & Officers $1,000,000 Claims Made Limit
BT Host Liquor Liability NBP1566476A 01/31/2024 | 01/31/2025 $2,000,000 Aggregate

DESCRIPTION OF OPERATIONS / LOCATIONS / VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached If more space fs required}

b The City of Chandler, its agents, representatives, officers, directors, officials, and employees are additional insureds. Certificate contains severability

of interest and waiver of subrogation. @

ii. Event Date: September 27 and 28, 2024

iii, Event Name: Downtown Chandler Oktoberfest

iv. Event Location: Dr. A.J. Chandler Park East Stage Plaza

CERTIFICATE HOLDER

CANCELLATION

City of Chandler
175 S. Arizona Ave

\ Chandler AZ 85225

SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE
THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN
ACCORDANCE WITH THE POLICY PROVISIONS.

AUTHORIZED REPRESENTATIVE

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ACORD 25 (2014/01)

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