DRAFT AGREEMENT FOR SERVICES BETWEEN THE CITY OF LAWRENCE, KANSAS AND DESTINATION MANAGEMENT, INC. TO OPERATE THE LAWRENCE CONVENTION AND VISITORS BUREAU

 

 

The City of Lawrence, Kansas, a municipal corporation, hereinafter “City”, and Destination Management, Inc. a Kansas not-for-profit corporation, hereinafter “DMI”, do hereby enter into this agreement for services for the operation and management of the Lawrence Convention and Visitors Bureau “CVB.”.

 

In consideration for the mutual promises and covenants herein, the City and DMI hereby agree as follows:

 

1.    Destination Management, Inc. to operate CVB. 

The City does hereby engage and retain DMI to manage and operate the Lawrence Convention and Visitors Bureau and to render the services hereinafter contemplated, and DMI does hereby agree to accept such engagement and to discharge its duties in accordance with the terms and conditions hereinafter set forth.

 

2.    Relationship of DMI and City. 

DMI is engaged and retained as an independent contractor and not as an officer, agent, servant or employee of the City. DMI shall be responsible for providing all necessary workers’ compensation insurance, all liability insurance for the wrongful or negligent acts of its employees, and for all other items incidental to the employment of individuals in the performance of this agreement.  DMI agrees to save and hold harmless the City from any and all claims and liability of any kind whatever arising from the conduct of DMI, its agents, servants, officers and employees in the performance of this agreement. 

 

3.     Expenditure of City Transient Guest Tax Funds.

(a)     Promotional Efforts Defined.  The Convention and Visitors Bureau shall encourage, promote, and solicit tourism, visitation, and conventions to the City of Lawrence.  The Convention and Visitors Bureau shall use transient guest tax funds for convention and tourism promotion in accordance with applicable state and City laws, which may include, but shall not be limited to:

 

                          i.     activities to attract visitors into the community through marketing efforts, including advertising, directed to at least one of the five basic convention and tourism market segments consisting of group tours, pleasure travelers, association meetings and conventions, trade shows and corporate meetings and travel; and

 

                         ii.     support of those activities and organizations which encourage increased lodging facility occupancy.

 

(b)     Transfer, Accounting and Expenditure of Receipts.  In consideration for the services provided, the City shall transfer, to DMI, pursuant to the budget adopted by the City Commission and the terms of this Agreement, certain receipts of the transient guest tax received from the State Department of Revenue.  The City may budget transient guest tax funds for purposes other than funding this agreement with DMI.  Such periodic transfer of funds shall be based on budgeted amounts upon receipt of the request of DMI.  In the event that receipts shall be less than the budgeted transient guest tax funds, the City shall be under no obligation to provide additional funds to DMI.  The parties acknowledge that the City Commission may, in compliance with state law, budget and expend a portion of transient guest tax funds for such lawful purposes outside this agreement. DMI shall use the calendar year as its fiscal year.

 

    The City shall approve the annual budget of the CVB, and any alterations to that budget in excess of $7,500.00.  Any increases or decreases in Convention and Visitors Bureau’s staffing levels, including part-time and/or temporary staff, shall require the prior approval of the City.   The City shall approve DMI’s selection of an Executive Director for the CVB.  DMI shall provide the City with a monthly listing of all expenditures within 20 days of the close of each month. The DMI shall provide for the separate accounting of the receipt and disbursement of such transient guest tax funds that are transferred to DMI and shall provide an accounting of the receipt and expenditures of such funds in accordance with generally accepted accounting principles within 120 days of the end of DMI’s fiscal year.  In the event no such accounting is provided within such time period, transient guest tax funds shall not be provided to the entity unless and until the accounting is provided.

 

4.     Convention and Visitors Bureau Advisory Board.

Members of the Convention and Visitors Bureau Advisory Board shall be appointed by the Mayor, with the approval of the City Commission, as provided by law. The Board may make recommendations to the Convention and Visitors Bureau concerning the programs and expenditures for the promotion of conventions and tourism, and may advise the CVB staff on all other matters related thereto.  The Board may periodically monitor the finances of the CVB and may make recommendations concerning the Bureau’s annual budget and any changes made during the budget year.  The Board shall approve minutes of their meetings and submit such minutes to the City Commission.  The Board shall make reports to the City Commission as appropriate.

 

     

5.    Annual Report to the City Commission.

The Convention and Visitors Bureau shall report to the City Commission annually, or as frequently as needed or requested by the City Commission, on the activities and programs of the Bureau.  Such report may include planned future activities and programs of the Bureau.

 

6.    Termination of Agreement.

This is an agreement for services and shall bind both parties until terminated.  The agreement may be terminated by providing the other party notice in writing of termination ninety (90) days in advance.  Upon termination of this agreement, DMI shall deliver to the City all unencumbered transient guest tax funds.  This agreement may not be assigned without the permission, in writing, of both parties.  The laws of the State of Kansas shall govern this agreement.

 

7.    Repeal of Prior Agreements.   This Agreement repeals all prior agreements for the funding of CVB operations and activities.

     

ENTERED INTO this _____________ day of _________________, 2008.

 

 

 

_____________________________               

Sue Hack, Mayor          

City of Lawrence, Kansas                            

 

 

 

Attest:

 

 

 

____________________________                  _____________________________

Frank Reeb, City Clerk                                  Deanell Reece Tacha, Chair

                                                                    Destination Management, Inc.