IGA City of Chandler - ASU

City of Chandler — Study Session (2025-06-09)

View PDF Meeting page

Extracted text (via ocr_local) 25799 characters
INTERGOVERNMENTAL AGREEMENT
BETWEEN
CITY OF CHANDLER, ARIZONA
AND
ARIZONA BOARD OF REGENTS FOR AND ON BEHALF OF ARIZONA STATE
UNIVERSITY’S SEIDMAN RESEARCH INSTITUTE
FOR
PREPARATION OF A 20-YEAR ECONOMIC VITALITY REPORT

This Intergovernmental Agreement (“Agreement”) is entered into , 2025 (“the
Effective Date”), by and between the City of Chandler, an Arizona municipal corporation (the
“City”), and the Arizona Board of Regents, a body corporate, for and on behalf of Arizona State
University and its L. William Seidman Research Institute, W. P. Carey School of Business
(“ASU”). The City and ASU are sometimes jointly referred to as the “Parties” and individually as

a “Party.”
RECITALS

A. Arizona Revised Statutes (“A.R.S.”) §§ 11-951 through 11-954 provide that public
agencies may enter into intergovernmental agreements for the provision of services or for joint or
cooperative action.

B. The Chandler City Council has passed and adopted a resolution authorizing the
Mayor of the City of Chandler to execute this Agreement on behalf of the City.

C. ASU is authorized by A.R.S. §§ 15-1625 ef seg. to enter into this Agreement and
has delegated to the undersigned the authority to execute this Agreement on behalf of ASU.

D. The City proposes to engage ASU to prepare a 20-year economic vitality report
(“Report”) as more fully described in the Scope of Work set forth in Exhibit A, which is attached
to and made a part of this Agreement by this reference.

E. ASU is ready, willing, and able to provide the services described in Exhibit A for
the compensation and fees set forth and as described in Exhibit B, which is attached to and made
a part of this Agreement by this reference.

AGREEMENT

NOW, THEREFORE, in consideration of the mutual covenants and provisions contained
in this Agreement and other good and valuable consideration, the adequacy of which is hereby
acknowledged, the Parties agree as follows:

1. Term and Termination.

1.1 The term of this Agreement will commence on the Effective Date and shall continue
until the completion of the work set forth in the attached Scope of Work, unless sooner terminated
in accordance with the provisions of this Agreement.

1.2 Either Party may terminate this Agreement at any time by giving the other Party
not less than thirty (30) days prior written notice. If this Agreement is terminated by the City, the
City will remain responsible for payment to ASU for all services performed through the date of
termination and for reimbursement to ASU of all non-cancelable commitments incurred in the
performance of the services.

2. ASU Responsibilities.

2.1 ASU will provide the services described in the Scope of Work attached as Exhibit

2.2. ASU will work diligently and make reasonable efforts to complete the Scope of
Work, generally following the Project Timeline attached as Exhibit C, and issue a final Report by
February 1, 2026. ASU shall provide the City with updates as described in the Scope of Work.

2.3. ASU neither makes nor will be deemed to have made any representation or
warranty whatsoever (express or implied) regarding any outcome obtained or deliverable delivered
hereunder including any outcome desired by City. City understands that it is engaging ASU to
undertake an independent analysis based on available data and facts. If City has suggestions for
alternative ways to present or interpret information gathered and presented, ASU will consider
such requests for a period of 30 days after completion of the Report. ASU reserves the right to
express final conclusions in a manner consistent with its interpretation and analysis of the data.

3. City Responsibilities.

3.1 City will support ASU by providing access to historical data and reports about
Chandler and by making introductions to key stakeholders to facilitate required stakeholder
engagement as further described in the Scope of Work.

4. Compensation and Invoicing.

4.1 Unless amended in writing by the Parties, ASU’s compensation and fees as more
fully described in Exhibit B for performance of the Scope of Work approved and accepted by the
City under this Agreement must not exceed $145,000. No additional charges, outside of the
approved services budget set forth in Exhibit B, will be eligible for payment unless approved in
writing by the Parties. ASU shall invoice City monthly for pre-approved services performed.
Invoices shall include a brief narrative of the work performed.

4.2 The City will make payment for services within 30 days of the City’s receipt of the
invoice. ASU bears all responsibility and liability for any and all tax obligations that result from
ASU’s performance under this Agreement.

5. Notices, All notices or demands upon any Party to this Agreement, and any change in
contact information, will be in writing and delivered electronically, in person, or by mail,
addressed as follows:

To City of Chandler:

Economic Development Director
City of Chandler

P.O. Box 4008

Mail Stop 416

Chandler, AZ 85244-4008

micah.miranda@chandleraz.gov

With a copy to:

City Attorney

City of Chandler

P. O. Box 4008

Mail Stop 602

Chandler, AZ 85244-4008
kelly.schwab@chandleraz.gov

To ASU:

Arizona State University

L. William Seidman Research Institute
P.O. Box 874011

Tempe, AZ 85287-4011

Attn: Dr. Anthony Evans, Director
anthony.j.evans@asu.edu

With a copy to:

Arizona State University

Attn: Senior Vice President and General
Counsel

Via Personal Delivery or Overnight
Courier Service:

300 E. University Dr., Suite 335

Tempe, AZ 85281-2061

Via U.S. Mail:
P.O. Box 877405
Tempe, AZ 85287-7405

Email: ogcmail@asu.edu

6. Indemnification. Each Party (as “indemnitor”) agrees to indemnify, defend, and hold
harmless the other Party (as “indemnitee”) from and against any and all claims, losses, liability,
costs, or expenses (including reasonable attorney fees) (hereinafter collectively referred to as
“claims”) arising out of bodily injury of any person (including death) or property damage, but only
to the extent that such claims which result in vicarious/derivative liability to the indemnitee, are
caused by the act, omission, negligence, misconduct, or other fault of the indemnitor, its officers,
officials, agents, employees, or authorized volunteers.

ASU is a public institution and, as such, any indemnification, liability limitation, release or hold
harmless provision set forth in this Agreement will be limited as required by Arizona law,
including without limitation Article 9, Sections 5 and 7 of the Arizona Constitution and A.R.S. §§
35-154 and 41-621.

7. Subcontracting. ASU will not employ, contract with, or use the services of any
consultant, special contractor(s), or other third parties (collectively, “Subcontractor”) in
connection with the performance of its obligations under this Agreement without the prior written
consent of the City. ASU will inform the City in writing of the name, proposed service to be
rendered, and compensation of Subcontractor, and of any interest ASU may have in the proposed
Subcontractor. ASU will require any Subcontractor to agree to the City’s standard indemnity and
insurance requirements for professional services. Approval shall not be unreasonably withheld
upon receipt of written request to subcontract.

8. Rights in Data. City shall have the use of data and reports resulting from this Agreement
without additional cost or other restriction except as may be established by law or applicable
regulation. Subject to the foregoing, each Party shall supply to the other Party, upon request, any
available information that is relevant to this Agreement and to the performance thereunder.

9. Nondiscrimination_and Compliance with Laws. The Parties will comply with all
applicable state and federal laws, rules, regulations, and executive orders governing equal
employment opportunity, immigration, and nondiscrimination, including the Americans with
Disabilities Act. If applicable, the Parties will abide by the requirements of 41 CFR §§ 60-1.4(a),
60-300.5(a) and 60-741.5(a). These regulations prohibit discrimination against qualified
individuals based on their status as protected veterans or individuals with disabilities and prohibit
discrimination against all individuals based on their race, color, religion, sex, or national origin.
Moreover, these regulations require that covered prime contractors and subcontractors take
affirmative action to employ and advance in employment individuals without regard to race, color,
religion, sex, national origin, protected veteran status or disability.

10. Cancellation for Conflict of Interest. No official, officer, or employee of either Party
will have a direct or indirect interest in this Agreement, nor participate in decisions relating to the
Agreement as prohibited by law. The Parties hereto acknowledge that this Agreement is subject
to cancellation pursuant to the provisions of A.R.S. § 38-511.

11. Service Marks and Trademarks. ASU shall see to it that all marketing materials created
for the Report clearly communicate that it is sponsored by the City. Except for the foregoing,
neither Party will use any service marks, trademarks, trade names, logos, or other identifying
names or marks of the other Party without the express, prior, written approval of the other Party.
The use of any names or marks must comply with the requirements of the Party that owns the
mark, including using the “®” indication of a registered trademark.

12. Arbitration. Per A.R.S. § 12-1518, the Parties agree to arbitrate disputes filed in Arizona
Superior Court that are subject to mandatory arbitration pursuant to A.R.S. § 12-133.

13. Legal Worker Requirements. The Parties will comply with the applicable requirements
of A.R.S. §41-4401.

14. No Israel Boycott or Forced Labor of Ethnic Uyghurs. The Parties will direct all
contractors to comply with the applicable requirements of A.R.S. § 35-393.01 and A.R.S. § 35-
394.

15. Records. ASU will maintain complete, timely and accurate records of its activities and
work under this Agreement. ASU agrees to retain all records relating to this Agreement for a
period of five years after the termination of this Agreement, and to make all such records available
for inspection and audit by the City or its representative upon reasonable advance notice and during
normal business hours during the term of this Agreement.

16. Relationship of the Parties; Similar Services. Each Party is an independent contractor
and is independent of the other Party. Under no circumstances will any employees of one Party
be deemed the employees of the other Party for any purpose. This Agreement does not create a
partnership, joint venture, or agency relationship between the Parties of any kind or nature. This
Agreement does not create any fiduciary or other obligation between the Parties, except for those
obligations expressly and specifically set forth herein. Neither Party will have any right, power,
or authority under this Agreement to act as a legal representative of the other Party. Neither Party
will have any power to obligate or bind the other or to make any representations, express or
implied, on behalf of or in the name of the other in any manner or for any purpose whatsoever
contrary to the provisions of this Agreement. ASU students are not deemed to be employees of
the City by virtue of this Agreement. Each Party acknowledges that the relationship of the Parties
hereunder is non-exclusive.

17. Entire Agreement; Severability. This Agreement contains the entire understanding
between the Parties concerning the subject matter of this Agreement and supersedes any and all
prior understandings, agreements, representations, and warranties, express or implied, written or
oral, between the Parties concerning the subject matter of this Agreement. The Parties agree that
should any part of this Agreement be held to be invalid or void, the remainder of the Agreement
will remain in full force and effect and will be binding upon the Parties.

18. Amendments and Waivers. No waiver, amendment or modification of this Agreement
will be valid or binding unless written and signed by the Parties. Waiver by either Party of any
breach or default of any clause of this Agreement by the other Party will not operate as a waiver
of any previous or future default or breach of the same or different clause of this Agreement.

19. Assignment. Neither Party will assign or transfer any interest in this Agreement without
the prior written approval of the other Party. Any attempted assignment in violation of this
provision will be null and void. Subject to the foregoing, this Agreement will be binding upon the
permitted successors and permitted assigns or other permitted transferees of the Parties.

20. Governing Law; Venue. This Agreement will be governed by and construed in
accordance with the laws of the State of Arizona, without regard to its conflict of laws principles.
Any proceeding arising out of or relating to this Agreement will be conducted in Maricopa County,
Arizona. Each Party waives any objection it may now or hereafter have to venue or to convenience
of forum.

21. Force Majeure. Neither Party will be liable for failure to perform any obligation under
this Agreement if such failure is directly caused by a Force Majeure Event. A “Force Majeure
Event” means an event or circumstance that is beyond the reasonable control and without the fault
or negligence of the Party impacted, and that could not have been prevented by the reasonable
diligence of the Party but expressly excludes a Party’s payment obligations under this Agreement.
Without in any way limiting the foregoing, a Force Majeure Event may include, but is not restricted
to, acts of God or of a public enemy, acts of the Government in either its sovereign or contractual
capacity, war, riots, fires, floods, epidemics or pandemics, mass health issues or disease,
quarantine restrictions, strikes or labor difficulties, civil tumult, freight embargoes, natural
disasters, unusually severe weather, a failure or disruption of utilities or critical electronic systems,
acts of terrorism, mass shootings or other emergencies that may disrupt the operations of a campus
or facility.

22. No Third-Party Beneficiaries. Nothing in this Agreement, express or implied, is intended
or will be construed to confer upon any person or entity, other than the Parties and their respective
successors and assigns permitted by this Agreement, any right, remedy, or claim under or by reason
of this Agreement.

23. Recitals and Exhibits. All recitals herein, and all exhibits attached hereto and referred to
herein, are integral and material parts of this Agreement.

24. Counterparts. This Agreement may be executed in one or more counterparts, each of
which will be deemed an original, but all of which taken together will constitute one and the same
instrument, and photocopy, facsimile, electronic and other copies will have the same effect for all
purposes as an ink-signed original.

[SIGNATURES ON NEXT PAGE]

IN WITNESS WHEREOF, the Parties hereto have executed this Agreement on the date written
above.

City of Chandler Arizona Board of Regents for and on
behalf of Arizona State University

: py (en Pobanle
y Yt fome [me)

Kevin Hartke
Mayor Its

EVP and University Provost

ATTESTED TO:

City Clerk

INTERGOVERNMENTAL AGREEMENT DETERMINATION

This Intergovernmental Agreement between the City of Chandler and the Arizona Board of
Regents, for and on behalf of Arizona State University, has been reviewed pursuant to ARS. §
11-952 by the undersigned, who have determined that it is in the proper form and is within the
power and authority granted under the laws of the State of Arizona.

APPROVED AS TO FORM: APPROVED AS TO FORM:
x
\Rbsguien mie
City Attorney q’ Office of General Counsel,

Arizona State University

EXHIBIT A
SCOPE OF WORK

The purpose of this Report is to establish a vision for the City’s economic growth over the next
20 years and provide recommendations that will help build a path toward a vibrant future. ASU
shall perform the following professional services and tasks to complete the Report.

Benchmarking
e ASU will review previous economic plans, studies, and other related information
provided by the City to ensure the Report and strategies recommended therein build on
existing plans, where relevant. To the degree possible, the City will make available local
data requested by ASU, understanding ASU may have access to better and more
convenient sources of data than the City. Any gaps in data identified by ASU deemed
necessary to inform the establishment of tactics will be discussed with the City.

Demographic Analysis
e ASU in collaboration with the City will source relevant historical data about Chandler.
This will include analysis of the following:

o Demographic Profile: trends in population, household size, median age, age
groups, household income, property ownership, skills gaps, unemployment,
underemployment, and race, among other factors.

o Educational Data: K-12 school provision and enrollment, test scores by school
district, school grade ratings, high school graduation rates, community college
and university provision, and the population’s level of educational attainment,
including key subgroups (e.g., Latino residents).

Stakeholder Engagement

e Create an online survey and promote it (via email outreach) to a list of Chandler-based
businesses identified by the City.

e Conduct 12 in-depth interviews (in-person or by phone) with key industry corporate
executives, entrepreneurs, civic leaders, and other community stakeholders identified by
the City.

e Moderate two resident stakeholder group engagement sessions to capture visions on
Chandler’s future for incorporation in the final Report.

SWOT Analysis
e Identify major strengths, weaknesses, opportunities, and threats to the City’s long-term
economic vitality.
e¢ Compare Chandler’s economy to a peer group of three competitive markets, chosen in
consultation with the City.
e Evaluate the resilience of the City’s target industries and risks associated with their
stability and growth in Chandler.

Economic Snapshot
e Prepare an overview of how Chandler’s economy has grown over time.
e Discuss how the City’s five employment corridors contribute to Chandler’s economy.
e Implement an IMPLAN analysis of the historical contribution of the State of Arizona’s
five key target industries to the Chandler economy (Aerospace and Defense; Bioscience

8

and Health Care; Business and Financial Services; Manufacturing; Technology and
Innovation). This analysis is to encompass direct and indirect/induced (multiplier) effects.
The impacts will be expressed in terms of total employment, total labor income, and total
State GDP contribution.

e Discuss Chandler’s growth to date in comparison with five other cities/regions, chosen in
consultation with the City.

Urban Planning
e Consider the implications of falling land availability as the City approaches build out,
including the following areas of interest:
o Residential and commercial property prices.
o Benefits of rezoning to allow for higher-density infill and redevelopment projects.
o Comparisons with the development of three other cities/regions, chosen in
consultation with the City.
e ASU is to consult with the City’s Planning Division to avoid conflict with any urban
planning goals in the City’s 2026 General Plan.

Workforce Development and New Resident Recruitment Strategies
e Based on the challenges identified in the Demographic Analysis, consider ways to
encourage new people to relocate and work in Chandler. Include a summary of:

o Current and future commute times for residents to their place of work.

o The historical appeal of Chandler as a place to live and work.

o Ways in which the City can provide a quality of life that will be attractive to
current and future residents.

o The anticipated future workforce needs of Chandler businesses.

o Ways in which those future workforce needs can be met from current and future
residents.

o Local initiatives and partnerships to position Chandler as the place to live, work,
and play to attract people from elsewhere in Arizona and outside the state.

Taxation

e Drawing from the challenges identified in the Demographic Analysis, compare the
potential future investment needs of the City with its projected tax base.

e Discuss how the City could be impacted by proposed State legislation that would
eliminate municipal revenue sources (e.g., ban on levying grocery taxes) and the
sunsetting of State programs that support investments made by the City (e.g., A.R.S. §§
42-5032.02, which allows municipalities to seek a reimbursement of costs for a qualified
manufacturing building and other infrastructure from Arizona Department of Revenue
transaction privilege tax revenues collected from contractors involved in the building
improvement).

Foreign Direct Investment (FDI) Attraction Strategies

The City is engaging the Thunderbird School of Global Management, through its Global
Challenge Lab, to conduct an international analysis of geographies the City should target for FDI
opportunities and prepare a five-year implementation plan with budget. ASU is to coordinate
with Thunderbird representatives to ensure their analysis is integrated into the final Report,
supplementing their insights on an as-needed basis. To complement Thunderbird’s analysis,
ASU will also provide:

A discussion of the broader macroeconomic trends with respect to FDI.

Identification of the various sources for FDI currently received within the greater Phoenix
metropolitan area.

Insights on potential future changes to FDI trends.

An evaluation of the vulnerability of Chandler’s economy to changing FDI trends.

Goals and Recommendations
Informed by the research, analysis, stakeholder feedback, and findings from the other elements
of the Scope of Work, this section of the Report will detail:

Five big projects to build the foundation for Chandler’s continued economic prosperity.
Three to five recommended actions to be taken by the City to accomplish each project.

Final Report

The final deliverable of this project is a 20-year economic vitality report that establishes a
vision and specific recommendations for the City.
ASU is to serve as the author and editor of the Report and is responsible for
commissioning any professional graphic design work necessary to complete the Report.
The City will not pay any subcontractor fees outside of what is included in Exhibit B.
ASU is to deliver a draft of the Report on or before January 10, 2026. The City will
review and provide comments on the draft within 10 business days.
ASU is to deliver the final Report on or before February 1, 2026.
ASU will deliver the final Report in multiple formats for use by the City:

o A camera-ready file for printing.

© Anelectronic version for distribution online or via social media channels.

o A summary presentation version in PowerPoint format.

Progress Reports

ASU will provide the City with monthly and quarterly reports detailing progress made
toward completing the Scope of Work. Reports will be due on the following dates:

o August 31, 2025

o September 30, 2025

o October 31, 2025

o November 30, 2025

o December 31, 2025
ASU will provide two Report progress presentations to relevant City boards and
commissions (e.g., Economic Development Advisory Board and Industrial Development
Authority Board) upon request by the City. The City will provide sufficient notice for
ASU to confirm availability and prepare for the presentations.

10

EXHIBIT B
FEE SCHEDULE

The fee below is inclusive of all costs associated with performance of services described in the

Scope of Work.

20-Year Economic Vitality Report

$145,000

ASU will invoice the City for costs incurred according to the following schedule:

Invoice Date

Payment Due

August 1, 2025

August 31, 2025

September 1, 2025

October 1, 2025

October 1, 2025

October 31, 2025

November 1, 2025

December 1, 2025

December 1, 2025

December 31, 2025

January 1, 2026

January 31, 2026

February 1, 2026

March 3, 2026

All payments should be issued to:

Angela Phillips (Administrative Assistant)
L. William Seidman Research Institute
P.O. Box 874011

Tempe, AZ 85287-4011

EXHIBIT C
PROJECT TIMELIN

Benchmarking

Review Prior Economic Plans and Studies
Demographic Analysis

Historical Demographic Profile

Historical Educational Analysis

Current Snapshot

Stakeholder Engagement

Online Survey

Schedule and Conduct 12 In-Depth Stakeholder Interviews
Schedule and Moderate 2 Focus Groups

S.W.O.T. Analysis

Develop S.W.0.T.

Compare with 3 Competitors

Evaluate Resilience and Risks for City's Target Industries
Economic Snapshot

Chandler's Historical Development

Impact of 5 Employment Corridors on Economy
Implan Modeling

Identify 5 Comparator Cities/Regions

Compare Chandler's Economy with 5 Cities/Regions
Urban Planning

Land Availability Analysis

City Planning Division Consultation

Workforce Development

Relocation and Work Opportunity Analysis
Taxation

Invested Needs v Projected Tax Base

Impact of State Legislation on Municipal Revenues
FDI Attraction Strategies

Thunderbird Liaison

FDI Trends, Revenue Sources, Future Changes & Vulnerabilities
Goals and Recommendations

Identification of Five Big Projects for Continued Prosperity
Recommend 3-5 Actions for each project

Report

Progress Reports

Two Progress Presentations (tbd)

Draft and Design Final Report

Deliver Draft Report

Respond to City Feedback

Deliver Final Report

Hours Jun
30 7 14 21 28 4 11 18 2 1 8 15 22 29 6 13 20 27 3 10 17 24 1 8 15 22 29 5 12 19 26 1

40

160

284

80

100

80

80

160

Jul

Aug Sep

o« ——
a. |

Oct

Nov

Dec

a

Jan

Feb

—

12