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Agenda Workshop 09-11-01
CITY COMMISSION CITY OF DELRAY BEACH, FLORIDA WORKSHOP - TUESDAY, SEPTEMBER 11, 2001 6:00 P.M. FIRST FLOOR CONFERENCE ROOM DELRAY BEACH 1993 2001 The City will furnish appropriate auxtliary atds and sermces where necessary to afford an individual with a disability an equal opportunity to participate in and enjoy the benefits of a service, program or activxty conducted by the City. Contact Doug Randolph at 243-7127 (voice) or 243-7199 (TDD), 24 hours prior to the program or activity m order for the City to reasonably accommodate your request. Adaptive listemg devices are avaslable for meetings in the Comrmssxon Chambers. Workshop Kgenda 1. Status Report FY 2001 and Grant Oppommities FY 2002 Langton Associates, Inc. (Lisa Krug) 2. Review Legislative Issues List 3. Charter Revision Committee Report 4. Tenms Stadium Naming Rights Selection Committee Report 5. Review MIS Enterprise Technology Plan 6. Commission Comments Please be advised that if a person decides to appeal any decxsion made by the City Commission with respect to any matter considered at this meeting, such person will need to ensure that a verbatim record includes the tesumony and emdence upon which the appeal is based. The City neither provides nor prepares such record. Memo CC-' Date-' Re: City Commiss~,~ ~ City Manager ~/f" ~ 09/07/01 Legislative Issues of 2002 The following list is a compilation of issues identified by the Commission and City Staff as legislative issues for the upcoming session of the legislature. The Commission is requested to refine this list for discussion with members of the delegation who will attend our Commission meeting next week on September 19. 1. Rewrite of the Community Redevelopment Act (Part III of Chapter 163, F.S.) a) Consider changing terms from four years to two. b) Ensure that city CRA's continue to receive the TIF from the County as well as the City. 2. Water Supply a) The state should assist in funding water treatment facilities that convert saline water to potable water. This would decrease use of and dependence on surface waters and surficial acquifers, freeing up more water for the everglades and make urban areas less dependent on water sources affected by variations in rainfall. b) More state grant funds should be made available for funding creation or expansion of reclaimed water facilities to use more treated sewage effluent for irrigation, thus reducing use of surface waters and water from the surficial acquifer for such purposes. 3. Senior Citizens Greater state funding is needed for services to our growing senior citizen population 4. Boca Raton Airport Considering the impact of aircraft noise on residents of Delray Beach, a representative of Delray Beach should be added to the Boca Raton Airport Authority. · Page 1 5. Art in Public Places Continue or increase state funding for these types of grants. 6. Parks and Recreation Continue or increase state funding for the Flodda Recreation Development Assistance Program and other programs that assist local governments to acquire and develop parks and open spaces. 7. Cdminal Justice/Juvenile Justice State assistance is needed for the Youth Enrichment Vocational Center 8. Billboard Legislation The state should not preempt the City's dght to amortize billboards, or require their removal as a condition of a development order. 9. Library Expansion a) Continue or increase state funding for library capital grants. b) As the State Aid to Libraries program is reviewed this year, pursuant to CS/HB 337, ensure that libraries such as Delray Beach's remain eligible to receive state aid for operating purposes. 10. Sludge Pelletization Facility Support funding for the state share (25%) of the proposed regional sludge pelletization facility to be operated by the Palm Beach County Solid Waste Authority to serve Palm Beach, Martin and St. Lucie Counties and their municipalities. This facility will reduce by 4,100 tons annually land application of phosphorus in the Everglades, Lake Okeechobee, and Indian River Lagoon watersheds. 11. Regional Fire and Police Training Facility Support funding in the budget for Palm Beach Community College to acquire a site and construct facilities for regional fire and police training. · Page 2 [lTV OF OELRrI',i' BEI:IgH CiTY ATTORNEY'S OFFICE 1993 DATE: TO: September 6, 2001 City Commission 200 NW 1st AVENUE · DELRAY BEACH, FLORIDA 33444 TELEPHONE 561/243-7090 · FACSIMILE 561/278-4755 Writer's Direct L~ne: 561/243-7091 MEMORANDUM FROM: Susan A. Ruby, City Attomey SUBJECT: Charter Revisions The Charter Revision Committee agreed to submit the attached Charter changes to the City Commission for the Commission's consideration. The Charter revision highlights are contained in the attached summary proposal. The entirety of the changes are set forth in the full document written in legislative format. The current revision includes term limits as modified by the committee. In addition, the latest revision includes further suggestions from PROD President John Bennett to enhance its readability. By copy to David Harden, City Manager, our office requests that the Charter revision proposal be placed before the City Commission at its workshop on September 12, 2001. e any quSAR:srnk ~ ~stions. Attachment CCi David T. Harden, City Manager Barbara Garito, City Clerk Celeste McDonough, Board Secretary Ken Ellingsworth, Chairman Members, Charter Revision Committee PUBLIC NOTICE DELRAY BEACH CITY CHARTER THE PUBLIC IS INVITED TO ATTEND A MEETING OF THE CHARTER REVIEW COMMITTEE TO DISCUSS THE CHARTER REVISION PROPOSALS SET FORTH BELOW. THE MEETING IS SCHEDULED FOR THURSDAY, AUGUST 23, 2001 AT 6:00 P.M. IN THE CITY COMMISSION CHAMBERS, 100 N.W. IST AVENUE, DELRAY BEACH, FLORIDA. PROPOSALS TO CHANGE THE CITY OF DELRAY BEACH CHARTER Term Limits Currently there is a six year term limit and partial terms served as a result of an appointment do not count towards the term limit. The proposal is to either (a) eliminate term limits or (b) keep term limits but provide that partial terms served as a result of an election also do not count towards term limits. The purpose of this proposal is to reduce the number of vacancies that may occur in the middle of an elected term. Vacancy in Office of Mayor Currently the Vice Mayor succeeds to fill a vacancy in the office of Mayor in all circumstances. This proposal provides that an election will instead be held to fill an anticipated vacancy in the office of Mayor that results because the sixth year of elected office is reached before the Mayor's two year term expires. Votes Necessary to Remove Ci,ty Manager Currently four votes are required to remove the City Manager. removal upon three affirmative votes. The proposal is to permit Extraordinary Vacancies Currently the charter provides that the temporary appointed commission must call for an election in 45 days of their appointment by the Governor, but the current charter sets no time limit on when to hold-an election. The proposal provides that in the event a majority of the Commissioners are unable to serve, an election will actually be held within 90 days of the appointment of the temporary Commissioners by the Governor. Power to Appoint Currently a City Commissioner may not be employed by the City within the first year after elected service unless it is ratified by the City Commission. The proposal is to eliminate the power of the City Commission to ratify the employment of a City Commissioner within the first year after serving on the Commission. Initiative Process Currently, the Referendum Petition Election process applies to the reconsideration of existing ordinances, but the process must commence within 60 days of passage of the ordinance to be reconsidered. The proposal provides that in an Initiative Petition election, that not only may a new ordinance be proposed, but an ordinance repealing existing ordinances may also be proposed, and there is no 60 day limitation on starting the process. Readability Improving "readability" by simplifying the language, eliminating obsolete terms and articles, providing for maps of City boundaries and Planning areas, and by reorganizing. Section 1.01 1.02 1.03 CHARTER TABLE OF CONTENTS DELRAY BEACH, FLORIDA ARTICLE I - CREATION AND POWERS Establishment and Continuation of the City of Delray Beach Powers Construction Charter Revision 9/6/01 2.01 2.02 2.03 ARTICLE II - CORPORATE LIMITS Corporate Limits Boundaries and Territory of Greater Delray Beach Area Voluntary Annexation of Territory by Ordinance ARTICLE III - LEGISLATIVE '2 fl'9 /hA .06 tv, Office, ^c,,~ ...... Term T Procedure 3.01 3.02 3.03 3.04 3.05 3.06 3.07 3.08 3.09 3.10 3.11 3.12 3.13 3.14 Form of Government City Commission: Composition, Eligibility, Election, and Terms Qualifications of Candidates; Election Assumption of Office Oath of Office Mayor, Vice-Mayor, and Deputy Vice-Mayor Cessation of Qualifications During Tenure; Forfeiture of Office Vacancies; Filling of Vacancies Term Limits Compensation and Expenses Prohibitions Procedure Commission Investigations Planning and Zoning Board and Board of Adiustment 3.15 Alienation of Public Beaches Charter Revision 9/6/01 4.01 4.02 4.03 4.04 4.05 4.06 4.07 4.08 4.09 ARTICLE IV - ADMINISTRATIVE-EXECUTIVE City Manager Appointment; Removal; Compensation Acting City Manager Powers and Duties of the City Manager Budget Procedure Supervision of Departments Legal Counsel Legal Counsel Appointment, Removal and Compensation Duties of Legal Counsel DELRAY BEACH - CHARTER TABLE OF CONTENTS 5.01 5.02 5.03 5.04 5.05 5.06 5.07 5.08 5.09 ARTICLE V - ELECTIONS Electors Types of Elections Form of Ballots Elections Generally Returns of Elections Judge of Election and Qualification Special Elections Straw Vote Elections Recall 6.01 6.02 6.03 6.04 6.05 6.06 6.07 6.08 ARTICLE VI - INITIATIVE, REFERENDUM Initiative Referendum Commencement of Proceedings Form of Petitions Procedure for Filing Referendum Petitions; Suspension of Effect of Ordinance Action on Petitions Result of Election 7.01 7.02 7.03 ARTICLE VII - TRANSITION SCHEDULE Continuation of Former Charter Provisions Ordinances Preserved Rights of Officers and Employees Charter Revision 9/6/01 7.04 7.05 7.0-7-6 Pending Matters Obligation of Contracts Preserved Deletion of Obsolete Schedule Items DELRAY BEACH CHARTER Editor's Note: This Charter has been amended to reflect and change the name designation of the legislative body from City Council to City Commission and of City Council Members to City Commissioners, pursuant to Ordinance No. 56-88, passed 6/28/88. ARTICLE I. CREATION AND POWERS Section 1.01. ESTABLISHMENT AND CONTINUTATION OF THE CITY OF DELRAY BEACH. The City of Delray Beach, established and organized by Chapter 25786, Laws of Florida, Special Acts of 1949, as amended, shall continue as a Florida municipal corporation. (Ord. No. 4-76, passed 2/23/76; Approved at Referendum 2/2/76) Section 1.02. POWERS The City of Delray Beach shall have all governmental, corporate and proprietary powers to enable it to conduct municipal government, perform municipal functions and render municipal services, and may exercise any power for municipal purposes except as otherwise provided by law. (Ord. No. 4-76, passed 2/23/76; Approved at Referendum 2/2/76) Section 1.03. CONSTRUCTION. 1 ........ only ~"' The powers of the City shall be construed liberally in favor of the City., ........ stltu h....~.~no'~*~*: ..... ~..~...~*~:~ ..~.~....h~'~:~ Special Acts of the Florida Legislat~e pe~aining to the j~sdiction and exercise of powers by this City shall be considered men~ents to this cheer ~d tc *h ..... :~: .... ~,~ r~.: ....... *:~ ~ ~*~- ~ ...... ~*~ shall be inco¢orated as official mendments to the cheer. (Ord. No. 4-76, passed 2/23/76; Approved at Referendum 2/2/76) ARTICLE II. CORPORATE LIMITS Section 2.01. CORPORATE LIMITS. The boundaries and corporate limits of the City of Delray Beach now existing are continued and may be amended from time to time as provided by law. The boundaries and corporate limits shall be shown on a map to be located in the Planning and Zoning Department. (Ord. No. 4-76, passed 2/23/76; Approved at Referendum 2/2/76) Charter Revision 9/6/01 Section 2.02. ~C~l~Jn ~ OTee ~.~ ,v~,nOTq, tlo¥ tll~ t~ov ~ TVO DELRAY BEACH PLANNING +~* :s -~+ now .................. vo ...... m.,o, shall be ..........v .................... v ~ ~ .... ~ ~ ....... r ,~ ~,h~ ~r ...... ,: ....... :~ ~-' ~ .... The pla~ing ~ea, as shown in the Comprehensive Plan, shall be shown on a map located in thc Plying and Zo~ng Dcp~ment. Those poAions of ~e pla~ing ~ea not now a p~ of the co~orate boundaries may be included by ~exation ~ provided by law. (Ord. No. 4-76, passed 2/23/76; Approved at Referend~ 2/2/76) *Editor's Note: Ordinance No. 54-86, passed on 9/9/86 and approved by the voters at a referendum election held 11/4/86, provides for the passage of the "Delray Beach Enclave Act (Chapter 86- 427, Laws of Florida), "definitions of enclave and of the general boundaries of the city, and annexation of said enclaves within the boundaries of the City as same existed on February 28, 1986. Section 2.03. VOLUNTARY ANNEXATION OF TERRITORY BY ORDINANCE (a) Cc of ..... w .......... ~ ............ ~ mm~er provided.j, General or e~;.1 Laws, ..... , ~., tract .....+" ~. t ..... proposed tc be -~mcxcd. {fl~ ~'~;ll ..... { .... +fi;ri l ~ .... ~ ..... {fl* .... 11 *. Voluntary annexation shall occur in accordance with state law. Any such annexing ordinance shall state that the boundaries of the City of Delray Beach are redefined so as to include the tract or tracts of land so being annexed. The ~,1.~..,~ and procedures set *'^'~" in +kJs ~ ;^- ~,I..,M1 1.,~ ;. ~;,;.. ,~ .~+ . upon, tony other m~cr *Editor's Note: See F.S. Section 171.044 4 Charter Revision 9/6/01 ARTICLE III. LEGISLATIVE therein. *~ ~ ~:~: ....... A · · ...... ~ ......on s~a!! be of five ~ ~ ..... r ..... ~5/co~::s:cners, al! of whom shall be qualified ~'~+ ...... +~ ......... ¢~ ~,, law, one of whom shall ....... s mhd have o~h o ..... qualifications .o arc v .......... ..~,.~*I~+~A in even numbered years, ~d two ~/t'~ Com~ksioners shall be years (c) The individual Cost. missioners term .,on ,,,, s nc g e mn period of one :,'e:~ ~om the ,4.+o on which his or I I"~lg'1 l----.r..,~..1 ~.t- T.)~C .... rll.~ '1/1 I~'1. A.v., t-~..1 1%T~ Q"~ ~'1 ~,-.~..1 1 I /'")"')/~'1. A~ t~..1 The Commission ma>' d ............... mw. ual sa .............................. j... ~,., ~'"'~; ..... ~"'* nc ^rdin~ce :ncreasmg such a sa ...... become of provided t*'~* .... such election follows +*'~ ....... ~^~+;vA-C-," cf such c-dinance Charter Revision 9/6/01 "2 ~A ~.,~A'X,,rF'~D X~I'~-'~I~ ~X~AVF~D A~T~ I~'E~DTTrrX.r XTI'F~E~ 'I~.,I'AYFID, DFI1~X,rl~D A'I~TI'~ T~TTrrrl~'qC~ Charter Revisaon 9/6/01 ass st Charter Revision 9/6/01 Charter Revision 9/6/01 ~.44~-- ~ l'11O D[ A ~-]'kT~Tt~' A]~ 'Tt~]~l-l']~Tt~ I~'~AD]'~ A]~Yr~ I~g'~ADI~ t~l? AT~HT~?&/[12]~T? Section 3.09. ALYENATION OF PUt2LIC ~EAC~tn~s. 9 Charter Revision 9/6/01 ARTICLE Ill. LEGISLATIVE Section 3.01. FORM OF GOVERNMENT The City of Delray Beach shall operate under the City Commission-City Manager form of government. All legislative powers of the City shall be vested in the City Commission. Section 3.02. CITY COMMISSION: TERMS COMPOSITION, ELIGIBILITY, ELECTION, AND (a) The City Commission shall be composed of five (5) Commissioners, one of whom shall be duly elected Mayor. All of them shall be elected at large for a term of two (2) years in the manner provided in this Charter. (b) Two (2) Commissioners shall be elected in even-numbered years, and two (2) Commissioners shall be elected in odd-numbered years. The Mayor may be elected in an even or odd-numbered year. (c) The Mayor shall be elected for a two-year term, whether by regular election or election to fill a vacancy in the office of Mayor. (d) In the event of vacancies, successors shall be appointed or elected in the manner provided in this Charter. Section 3.03. QUALIFICATIONS OF CANDIDATES; ELECTION (a) No person may qualify as a candidate both for Mayor and for another Commissioner's seat. The qualifications, time, manner, and costs of qualifying as a candidate for Mayor or Commissioner shall be regulated by Chapter 34 of the Code of Ordinances of the City. (b) All candidate petitions shall be filed with the City Clerk no earlier than noon on the last Tuesday in January and no later than noon on the second Tuesday in February_ of the calendar year in which the election will be held. (c) The City Clerk shall deliver the names of all candidates and the offices for which they have filed, to the Supervisor of Elections no later than 5:00 p.m. on the first Friday after the close of qualifying. 10 Char~er Rev/sion 9/6/01 Section 3.04. ASSUMPTION OF OFFICE (a) The successful candidates for Mayor and Commissioners shall assume office on the last Thursday in March following their election. The Commission shall hold an organizational meeting immediately thereafter, and shall select from the Commissioners other than the Mayor, a Vice-Mayor and a Deputy Vice-Mayor. These two officials shall serve in their respective capacities at the pleasure of the Commission until the organizational meeting of the following year. (b) A person appointed to fill a vacancy shall assume office at the first regular meeting of the Commission after being so appointed. Section 3.05. OATH OF OFFICE Before assuming their respective offices, the Mayor and Commissioners shall each take and subscribe the following oath: "I do solemnly swear (or affirm) that I will support, protect, and defend the Constitution and Government of the United States and of the State of Florida and of the City of Delray Beach; that I am duly qualified to hold office under the laws of the State of Florida and the Charter and laws of the City of Delray Beach, and that I will well and faithfully perform the duties of {Mayor} {Commissioner} of the City, upon which I am about to enter. (So help me God.)" Section 3.06. MAYOR~ VICE-MAYOIL AND DEPUTY VICE-MAYOR (a) The Mayor shall preside at meetings of the Commission and represent the City in intergovernmental relationships. The Mayor shall be recognized as the head of the City government for all ceremonial purposes, service of process and by the Governor for purposes of military law. The Mayor shall execute contracts, deeds, intergovernmental agreements and certifications, and other documents on behalf of the City, but shall have no administrative duties except as required to carry out the foregoing responsibilities. (b) In the absence or disability of the Mayor, the Vice-Mayor shall serve as Mayor, possessing all the powers, duties, and prerogatives of the Mayor. (c) While the Vice-Mayor is serving as Mayor, or in the absence or disability of the Vice-Mayor, or should the Vice-Mayor refuse to perform the duties imposed by law, the Deputy Vice-Mayor shall have all the powers, duties, and prerogatives of the Vice-Mayor. (d) The Mayor, Vice-Mayor, and Deputy Vice-Mayor shall each have a voice and a vote in the proceeding of the Commission, but no veto power. 11 Charter Revision 9/6/01 Section 3.07. CESSATION OF QUALIFICATIONS DURING TENURE; FORFEITURE OF OFFICE (a) Any Commissioner, including the Mayor, shall forfeit the office if that Commissioner or Mayor: (1) Ceases to possess the required qualifications; or (2) Shall be convicted of a felony; or (3) Violates any standard of conduct or code of ethics established by law for public officials, as determined by a majority vote of the remaining Commissioners and/or Mayor; or (4) Fails to attend four (4) consecutive regular Commission meetings, unless excused for good cause by a majority vote of the remaining Commissioners and/or Mayor. (b) It shall be the duty of the remaining Commissioners to declare the office vacant as a result of forfeiture and to fill the vacancy as provided in this Charter. Section 3.08. VACANCIES; FILLING OF VACANCIES The office of a Commissioner, including the Mayor, shall become vacant upon the incumbent's death, resignation, forfeiture, or removal from office in any manner authorized by law. Any vacancy in the membership of the Commission, other than at the close of a regular term, shall be filled according to the following procedure. (a) Vacancy in Office of Commissioner. In the event of a vacancy other than in the office of the Mayor, the remaining Commissioners, including the Mayor, shall appoint, by a majority vote, a qualified person to fill the vacancy. (1) If the term of office in which the vacancy occurs expires on the last Thursday in March following the next regular City election, the person so appointed shall serve until that time. (2) If the vacancy occurs sixty (60) or more days preceding the date of the next regular City election, and if the term of office in which the vacancy occurs does not expire on the last Thursday in March following that election, the person so appointed shall serve until that time and the remainder of the unexpired term shall be filled by election at the next regular City election in the manner provided in Article V of this Charter. (3) If the vacancy occurs less than sixty (60) days preceding the date of the next regular City election, and if the term of office in which the vacancy occurs does not expire on the last Thursday in March following that election, the person so appointed shall serve for the entire remainder of the unexpired term. (4) If a majority of the remaining Commissioners, including the Mayor, is unable to agree, after two (2) regular meetings, upon the appointment of an individual to fill a 12 Charter Rewsion 9/6/01 vacancy, other than one in the office of the Mayor, the commission shall call a special election to fill the vacancy. The special election shall be held within sixty (60) calendar days of the second regular meeting. (b) Vacancy in Office of Mayor. (1) When there will be a vacancy in the office of Mayor because term limits are reached during an elected term, even though the vacancy will not actually occur until the last Thursday in March after the next election, the Mayor's seat will be filled by election held in March prior to the vacancy actually occurring. The person elected to fill the Mayor's seat shall assume office on the last Thursday in March after the election. (2) If the office of Mayor becomes vacant for any reason other than a vacancy occurring in the office of Mayor because of term limits, the Vice-Mayor shall automatically succeed to the office of Mayor and shall serve as Mayor until the last Thursday in March following the next regular City election. Thereafter, the Commissioner so serving as Mayor by succession shall return to his or her former seat and complete the remainder of his or her Commission term if any part of such term remains unexpired. (3) The succession to the office of Mayor by the Vice-Mayor shall create a vacancy in the Commission which shall be filled in the manner set forth in Section 3.08(a), except the Commissioner appointed to fill the vacancy created on the Commission as a result of the filling of a vacancy in the office of Mayor notwithstanding Section 3.08(a), in all cases no matter how many days remain before the next election, shall serve only until the last Thursday in March following the next City election. (4) If the Vice-Mayor refuses to succeed to the office of Mayor, then the Deputy Vice-Mayor shall succeed to the office of Mayor. If the Deputy Vice-Mayor refuses to succeed to the office of Mayor, the Commission shall then select a Mayor from the remaining Commissioners. If the Commission is unable to select a Mayor by the end of the second regular meeting after the vacancy then a special election shall be held for the election of the Mayor. (5) In the event a vacancy shall occur in the office of Vice-Mayor, the Deputy Vice-Mayor shall automatically become Vice-Mayor and a new Deputy Vice-Mayor shall be selected by the Commission. If a vacancy occurs in the office of Deputy Vice-Mayor, the Commission shall then select a new Deputy Vice-Mayor. (c) Extraordinary_ Vacancies. In the event that vacancies occur in a majority of the elective offices at once, the Governor shall appoint interim Commissioners, including a Mayor, if necessary, with full Commission powers. The interim Commission shall then call a special election, as provided under this Charter, to fill the appointed offices. The special election shall occur not more than ninety (90) days after appointment of the interim Commissioners and/or Mayor. 13 Charter Revision 9/6/01 Section 3.09. TERM LIMITS (a) Individual Commissioners, including the Mayor, shall be limited to serving on the Commission for no more than six (6) consecutive years. The term "consecutive years" shall exclude any time filling an unexpired term by appointment or election. (b) An individual who has reached the term limit shall not be appointed or elected to any Commission seat for a period of one (1) year from the date on which his or her last term expired. Section 3.10 COMPENSATION AND EXPENSES (a) The Commission may determine the annual salaries of the Mayor and individual commissioners by ordinance. No ordinance increasing Commission salaries shall become effective until the assumption of office of the Commissioners or Mayor elected at the next regular City election, provided that election follows adoption of the ordinance by at least six (6) months. (b) Commissioners, including the Mayor, shall receive their actual and necessary expenses incurred in the performance of their duties as provided by law. Section 3.11. PROHIBITIONS (a) Neither the Commission, nor any of its members, shall in any manner control the appointment or removal of any City officers or employees whom the City Manager or any of his or her subordinates are empowered to appoint. The Commission or any of its members may, however, express views and fully and freely discuss with the City Manager anything pertaining to the appointment and removal of these officers and employees. (b) Except for the purpose of inquiries and investigations, the Commission and its members shall deal with City officers and employees who are subject to the direction and supervision of the City Manager, solely through the City Manager. Neither the Commission nor its members shall give orders to any of those officers or employees, either publicly or privately. The foregoing does not prohibit individual members of the Commission from closely scrutinizing, by questions and personal observations, any aspect of City government operations in order to obtain information to assist in formulation of commission policies. Recommendations for improvement in City government operations shall, however, be made to and through the City Manager, so that he or she may coordinate the efforts of all City departments. (c) No former member of the Commission shall, within the City, hold any compensated appointive City office or employment with the City until one (1) year after the expiration of the term for which he or she was elected or appointed. 14 Charter Revision 9/6/01 Section 3.12. PROCEDURE (a) Meetings. The Commission shall meet regularly at least twice a month at times and places that the Commission prescribes by rule or otherwise. Special meetings may be held on the call of the Mayor or of a majority of the Commission. Whenever practicable, there shall be at least twelve (12) hours notice of a special meeting to individual members of the Commission and to the public. (b) Rules. The Commission shall determine its own rules and order of business. (c) Voting. Voting on ordinances, resolutions, and motions shall be by roll call and shall be recorded in the minutes. Three (3) members of the Commission shall constitute a quorum, but a smaller number may adjourn from time to time and may compel the attendance of absent members in the manner and subject to the penalties prescribed by the rules of the Commission. No action of the Commission, except as otherwise provided in the preceding sentence or in Sections 3.07 and 3.08, shall be valid and binding unless adopted by the affirmative vote of three (3) Commissioners. Section 3.13. COMMISSION INVESTIGATIONS Upon direction from the Commission, the City Clerk shall have the power to issue any writs, processes, and subpoenas needed to facilitate any investigation convened by the Commission for a municipal purpose. Section 3.14. PLANNING AND ZONING BOARD AND BOARD OF ADJUSTMENT. (a) The Commission shall, in the interest of the public health, safety, order, convenience and general welfare, create by ordinance a Planning and Zoning Board to make recommendations to the Commission. (b) The Commission shall create a Board of Adjustment whose decisions may be appealed pursuant to general law. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76) Section 3.15. ALIENATION OF PUBLIC BEACHES. The Commission shall not in any manner alienate from the public, the public beach, lying between the north and south boundaries of Section 16, Township 46 South, Range 43 East, or any part thereof, of the City of Delray Beach, Florida. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76) 15 Charter Revision 9/6/01 ARTICLE IV. ADMINISTRATIVE-EXECUTIVE Section 4.01. CITY MANAGER. There shall be a City Manager who shall be the chief administrative officer of the City. He/She shall be responsible to the Commission for the administration of all City affairs placed in his/her charge by or under this charter and such other duties as may be required by the Commission. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76) Section 4.02. APPOINTMENT; REMOVAL~ COMPENSATION. (a) Appointment. The Commission shall appoint a City Manager for an indefinite term by majority vote of the Commission to serve at the pleasure of the Commission. (b) Removal. The City Manager shall only be terminated by the City Commission upon the casting of four--~ three (3) affirmative votes in favor of such termination. Said vote shall not take place except at a public hearing which has been duly noticed seventy-two (72) hours in advance of the meeting at which the vote takes place. (c) Replacement. Upon the death, resignation or termination of the City Manager, the Commission shall appoint an Acting City Manager and thereafter, within a reasonable time, appoint a regular City Manager. (d) Compensation. The compensation of the Manager shall be fixed by the Commission and shall not be reduced during this appointment. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76; Am. Ord. No. 8-83, passed 1/25/83, Approved at Referendum 3/1/83; Am. Ord. No. 37-90, passed 8/28/90, Approved at Referendum 11/6/90)' Section 4.03. ACTING CITY MANAGER. By letter filed with the Commission, the Manager shall designate, subject to approval of the Commission, a qualified City administrative officer to exercise the powers and perform the duties of Manager during his/her temporary absence or disability. During such absence or disability, the Commission may revoke such designation at any time and appoint another officer of the City to serve until the Manager shall return or his/her disability shall cease. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76) Section 4.04. POWERS AND DUTIES OF THE CITY MANAGER. The City Manager shall have the following powers and duties: (a) Appoint and, when he/she deems it necessary for the good of the City, suspend or remove all City employees and appointive administrative officers provided for by or under this charter, except as otherwise provided by law, this charter or personnel rules adopted pursuant to this charter. All appointments and promotions of City officials and employees shall be made solely on the basis of merit and fitness demonstrated by examination or other evidence of competence. He/She may authorize any administrative officer who is subject to his/her direction 16 Charter Revision 9/6/01 and supervision to exercise these powers with respect to subordinates in that officer's department, office or agency. (b) Direct and supervise the administration of all departments, offices and agencies of the City, except as otherwise provided by this charter or by law. (c) Attend all Commission meetings and shall have the right to take part in discussion but may not vote. (d) See that all laws, provisions of this charter and acts of the Commission, subject to enforcement by him/her or by officers subject to his/her direction and supervision, are faithfully executed. (e) Submit to the Commission and make available to the public a complete report on the finances and administrative activities of the City as of the end of each fiscal year. (f) Make such other reports as the Commission may require concerning the operations of City departments, offices and agencies subject to his/her direction and supervision. (g) Keep the Commission fully advised as to the financial condition and future needs of the City and make such recommendations to the Commission concerning the affairs of the City as he/she deems advisable or as the Commission may require. (h) Sign contracts on behalf of the City pursuant to the provisions of this charter, provisions of appropriation ordinances and where authorized by ordinance, resolution or by motion (see section 4.09). (i) Perform such other duties as are specified in this charter or may be required by the Commission. (j) The personnel policies or personnel rules adopted pursuant to this charter shall not apply to nor be maintained for any of the City's employees who are covered by a collective bargaining agreement which is subject to renegotiation unless otherwise expressly provided in said personnel policies, personnel rules or collective bargaining agreement. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76) Section 4.05. BUDGET PROCEDURE. (a) The fiscal year of the City shall begin on the first day of October, and end on the thirtieth day of September of the following year. Such year shall constitute the budget year of the City government, and whenever the word year appears in this charter it shall be construed as meaning the fiscal year of the City unless otherwise indicated. (b) The City Manager shall submit his/her recommended budget for the ensuing fiscal year to the Commission on or before the first regular meeting in August. Complete copies of the proposed budget shall be on file and available to the public for inspection during office hours in the office of the City Clerk, commencing the following business day. 17 Charter Revision 9/6/01 (c) The budget document shall present a complete financial plan for the ensuing fiscal year. It shall include, at least, the following information: (1) Proposed expenditures. Detailed estimates of all proposed expenditures for each department and office of the City, showing the expenditures for corresponding items for the last preceding and current fiscal years with reasons for increases and decreases recommended, as compared with appropriations for the current year; (2) Bonded indebtedness. Statements of the bonded and other indebtedness of the City, showing the debt reduction and interest requirements, the debt authorized and unissued, and the conditions of the sinking funds, if any; (3) Anticipated income. Detailed estimates of all anticipated income of the City fi.om sources other than taxes and borrowing, with a comparative statement of the amounts received by the City fi.om each of the same or similar sources for the last preceding and current fiscal years; (4) Balance or deficit. A statement of the estimated balance or deficit, as the case may be, for the end of the current fiscal year; (5) Taxes. An estimate of the amount of money to be raised from current and delinquent taxes, and the amount to be raised from bond issues which, together with income from other sources, will be necessary to meet the proposed expenditures; (6) Other information. Such other supporting schedules as the Commission may deem necessary. (d) A public hearing on the budget shall be held on the first regular Commission meeting in September of each year. Notice of such public hearing shall be published at least one week in advance by the City Clerk. A condensed copy of the proposed budget shall be published. (e) At the second regular Commission meeting in the month of September of each year, the Commission shall, by resolution, adopt the budget for the next fiscal year, and shall, in such resolution, make an appropriation for the money needed for municipal purposes during the ensuing fiscal-year of the City, and provide for a levy of the amount necessary to be raised by taxes upon real and personal property for municipal purposes, which levy shall not, for the general operating expenses of the City, in any event exceed the mileage limitation as provided by state law on the assessed valuation of all real and personal property subject to taxation in the City. Should the Commission take no final action during said meeting, the budget as submitted, shall be deemed to have been finally adopted by the Commission. (f) No money shall be drawn fi.om the treasury of the City nor shall any obligation for the expenditure of money be incurred, except pursuant to the budget appropriations. The Commission may transfer any unencumbered appropriation balance, or any portion thereof, fi.om one department, fund or agency to another. The balance in any appropriation which has not been encumbered at the end of the fiscal year shall revert to the General Fund and be reappropriated during the next fiscal year. 18 Charter Revision 9/6/01 (g) At the beginning of each quarterly period during the fiscal year, and more often if required by the Commission, the City Manager shall submit to the Commission data showing the relation between the estimated and actual income and expenses to date; and if it shall appear that the income is less than anticipated, the Commission shall reduce appropriations, except amounts required for debt and interest charges, to such a degree as may be necessary to keep expenditures within the income. (h) The Commission shall designate the depository or depositories for City funds, shall provide for the regular deposit of all City monies, and shall provide for the proper security of all City deposits. (i) An independent audit shall be made of all accounts of the City government at least annually, and more frequently if deemed necessary by the Commission. Such audit shall be made by certified public accountants experienced in municipal accounting, and who shall have. no personal interest, direct or indirect, in the fiscal affairs of the City government or of any of its officers. The condensed audit shall be published within thirty (30) days after receipt of the same. An annual report of the City business shall be made available to the public by the City Manager in such form as will disclose pertinent facts concerning the activities and finances of the City government. Section 4.06. SUPERVISOR OF DEPARTMENTS With the approval of the Commission, the Manager may serve as the head of one or more departments, offices or agencies or may appoint one person as the head of two (2) or more of them. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76) Section 4.07. LEGAL COUNSEL There shall be a City Attorney and such assistant city attorneys and special counsel as the Commission shall deem necessary. They shall be responsible to the Commission for all legal matters of the City placed in their charge by or under this charter and such other duties as may be required by the City Commission. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76) Section 4.08. LEGAL COUNSEL APPOINTMENT~ REMOVAL AND COMPENSATION. (a) Appointment. The Commission shall appoint a City Attorney, such assistant city attorneys and special counsel as may be deemed necessary. The City Attorney and assistant city attorneys, if any, shall be appointed by Commission for an indefinite term by majority vote of the Commission, the City Attorney to serve at the pleasure of Commission. Special counsel may be appointed as the need arises and shall serve at the pleasure of the Commission. (b) Removal. The City Attorney and special counsel, at all times, shall hold office at the pleasure of a majority of the Commission. Assistant city attorneys may be removed with or without cause by the City Attorney. (c) Compensation. The Commission may, from time to time, fix the regular compensation of the City Attorney, and assistant city attorneys, if any, at a sum commensurate 19 Charter Revision 9/6/01 with the duties which may be imposed on them by this charter and by the Commission; provided, that all special or unusual services required of the City Attorney and assistant city attorneys, if any, may be specially compensated as the Commission may see fit to provide. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76); Am. Ord. No. 9-83, passed 1/25/83, Approved at Referendum 3/1/83) Section 4.09. DUTIES OF LEGAL COUNSEL. The City Attorney with the assistance of the City Clerk shall prepare all ordinances, all contracts and other instruments in writing in which the municipality is concerned, or shall endorse on each, his/her approval as to form. No contract with the municipality shall be binding upon the municipality until the City Attorney has endorsed his/her approval thereon, and this provision shall be strictly construed by all courts of this state. When required by the Commission, the City Attorney shall prosecute and defend, for and in behalf of the City, all complaints, suits and controversies in which the City is a party. The City Attorney shall furnish the Commission, City Manager and department heads his/her opinion on any questions of law relating to their respective powers and duties; and he/she shall perform such other professional duties as may be required of him/her by ordinance, resolution or motion of the Commission, by this charter or by special acts. Assistant city attorneys shall perform those duties assigned them by the City Attomey. Special counsel shall perform those duties assigned them by Commission. ARTICLE V. ELECTIONS Section 5.01. ELECTORS. Any person who is a resident of the municipality, who has qualified as an elector of this state, and who registers in the procedural manner prescribed by general law and ordinance of the municipality, shall be a qualified elector of the municipality. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76) Section 5.02. TYPES OF ELECTIONS. Elections to be held in the City shall all be conducted on a nonpartisan basis without regard for or designation of political party affiliation. (a) Nonpartisan elections shall be held on the second Tuesday in March of each year for the purpose of electing officers of the City and such other purpose as the Commission may prescribe. Co) held. In case of a tie in the nonpartisan election, a second nonpartisan election shall be (c) All other municipal elections that may be held by authority of this charter, or of any law, shall be known as special elections. 20 Charter Revision 9/6/01 (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76; Am. Ord. No. 7-83, passed 1/25/83, Approved at Referendum 3/1/83; Am. Ord. No. 79-91, passed 11/19/91, Approved at Referendum 3/10/92) Section 5.03. FORM OF BALLOTS. (a) Arrangement of names on ballot. The names of the candidates for each Commission office seat and for the office of Mayor shall be arranged separately and alphabetically and nothing on the ballot shall be indicative of the source of the candidacy of any candidate. (b) A charter amendment, initiative petition or referendum ordinance to be voted on by the City shall be presented for voting by ballot title. The ballot title of a measure may differ from its legal title and shall be a clear, concise statement describing the substance of the measure without argument or pr udice. Below +~,~...,., 1~.11~.~,.~..._,. +:.1~,.,.,~ shall appear .............. Immediately below the ballot question shall appear the word "yes" and the word "no" with a blank space thereafter to indicate the voter's choice. The word "yes" shall mean the question is approved. The word "no" shall mean the question is not approved. ~ (Ord. No. 4-76, passed 2/23/76, Approved at Referendm 2/2/76; ~. Ord. No. 99-85, passed 9/24/85, Approved at Referendm 11/5/85) Section 5.04. ELECTIONS GENERALLY. (a) Number of votes per elector. Each elector shall be entitled to vote for each of the vacant seat numbers for the office of Commissioner and shall also be entitled to one vote for a candidate for the office of Mayor when there is a vacancy in that office; provided, however, no elector shall be entitled to cast more than one vote for any candidate. (b) Highest number of votes to elect in first nonpartisan election. (1) In a nonpartisan election, a candidate for each of the seats on the ballot for the offices of Commissioners or for the office of Mayor who receives the highest number of votes even if it is not a majority of the votes cast by all electors casting ballots for that office shall be declared to be elected to the office for which he or she is a candidate; provided, however, notwithstanding the foregoing provision, should two or more candidates tie for the highest number of votes from all electors casting ballots for that seat for Commissioner or for the office of Mayor, then the candidates receiving the highest number of votes shall be declared candidates for the second nonpartisan election. (2) In the event that not more than one person qualifies as a candidate for each of the seats for the offices of Commissioners or for the office of Mayor in the nonpartisan election, then an election shall not be held. Each candidate shall be deemed to have voted 21 Charter Revision 9/6/01 for himself/herself; provided, further, that in the event that no person qualifies as a candidate for any particular seat for the office of Commissioner or for the office of Mayor, then those seat(s) for the office of Commissioner or for the office of Mayor shall be declared vacant and it shall be the duty of the members of the Commission who are seated following the organizational meeting provided for in Section 3.01 of this charter, by majority vote to appoint a qualified person to fill the vacancy.~,,.,~_~"~*' ~ ...... "VV"'--"~";"*aA The member(s) appointed to fill a vacancy oga-seat--f~ in the office of Commissioner or the office of Mayor shall serve as provided by Sections 3.01 and 3.06 of this Charter. shall .... a ................................. j ..........~,.. c a, .... reman ere fl~V+ ..... 1'"'' P;*'' *1"~*;"'*" ,-, .... ,.;1 ,1.,. 1,-,o* c",..1,-,1,-,., ;. 1~/1'..~1,, ~hr,,,1,1,,-,l ,I~A la~+ q'"1~,,,,,...,,.1,-,., ,C~ll (c) Candidates for second nonpartisan election. (1) In the second nonpartisan election, there shall be on the ballot those candidates for seats for the office of Commissioner or for the office of Mayor for those offices wherein candidates tied for the highest number of votes from all electors casting ballots for that seat or office in the first nonpartisan election. The names of the candidates to be voted upon at the second nonpartisan election shall be the candidates which tie for the highest number of votes in the nonpartisan election. (2) In the event a candidate withdraws or dies before the second nonpartisan election and leaves only one candidate for each vacancy for a seat for the office of Commissioner or for the office of Mayor to be filled, then the second nonpartisan election shall not be held. Each candidate shall be deemed to have voted for himself/herself (d) Method of election in a second nonpartisan election. In the second nonpartisan election, the remaining offices shall be filled by the candidate(s) receiving the highest number of votes for each seat for the office of Commissioner or for the office of Mayor. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76; Am. Ord. No. 68-78, passed 9/25/78, Approved at Referendum 11/7/78; Am. Ord. No. 7-83, passed 1/25/83, Approved at Referendum 3/1/83; Am. Ord. No. 99-85, passed 9/24/85, Approved at Referendum 11/5/85; Am. Ord. No. 79-91, passed 11/19/91, Approved at Referendum 3/10/92) Section 5.05. RETURNS OF ELECTIONS. (a) The results of the voting, when ascertained by the Supervisor of Elections, shall be returned in duplicate; one copy to be delivered to the Mayor and the other to the City Clerk, both of whom shall transmit such returns to the Commission at a called meeting to be held not later than three (3) days at~er such election. At such meeting the Commission shall canvass the returns and, in the absence of a declaration of a contest by any of the candidates in such election, shall declare the results of the election as shown by the returns made by the Supervisor of Elections. 22 Charter Revision 9/6/01 (b) The City Clerk, not later than noon the second day thereafter, shall furnish a certificate of election to each person shown to be elected. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76; Am. Ord. No. 2-82. passed 1 /26/82. Approved at Referendum 3/2/82) Section 5.06. JUDGE OF ELECTION AND QUALIFICATION. The Commissioners shall be the judge of the qualifications of its own members, and the City Clerk shall be the judge of the election and election returns for the office of Mayor and for the offices of Commission seats. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76; Am. Ord. No. 101-85, passed 9/24/85, Approved at Referendum 11/5/85) Section 5.07. SPECIAL ELECTIONS. (a) The Commission shall provide the time, manner and means of holding any special election, provided that no special election shall be called less than thirty (30) days following the adoption of a resolution calling for such election. (b) The Commission shall prescribe by ordinance the method and manner of holding all elections in the City, and shall provide when and how special elections shall be called and held which are not provided by the terms of this charter. All elections shall be conducted in accordance with this charter and with the provisions of general law. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76) Section 5.08. STRAW VOTE ELECTIONS. The Commission is also empowered and authorized to spend public funds for the conduct of straw vote elections upon a determination by the Commission that it is in the best interest of the City to obtain an expression of the people with respect to a particular mtmicipal question. The Commission shall have the right to hold a straw vote election at any time, and may prescribe limitations relating to the eligibility of those who shall be qualified to participate. The results of said election shall not be binding on the Commission. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76) Section 5.09. RECALL. The ~ electors of the City shall have the power to recall and to remove from office any elected official of the City as provided by general law. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76) ARTICLE VI. INITIATIVE, REFERENDUM *Editor's Note: This Article VI shall apply to all initiative and referendum situations within the City, unless otherwise governed by F.S. Sections 166.031, 171.0413 and 171.051. 23 Charter Revision 9/6/01 Section 6.01. INITIATIVE. The ~ electors of the City shall have the power to propose ordinances and ordinances that repeal existing ordinances to the Commission_.,.~.,.,~a _Iif the Commission fails to adopt an ordinance so proposed without any change in substance, *^~-, -,~-,wn'~^~* ,,· .... ·,,~,,,,~ ;t. ..,~* ~ ~ r~,..,~.~.~ eteetio~, the ordinance may be approved or rejected at a City election if the provisions of this Article are met. ~v1~ · l~;~J +hfl+~ll~ O~·h· ........ V,., ,, ~. o ..1~"11~· · _,,,-^' ,,,~,,~+*-'~·~,. +~,, However, no ordinance relating to or affecting the budget~ e~ capital program~.,.~ any ,~.,~.··~...,~,,~a; ....... ·.,·.,...~,~ ~*;-'~ *~.., appropriation of money, levy of taxes or salaries of City officers or employees shall be allowed to be brought forward as an initiative. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 212/76) Section 6.02. REFERENDUM. The ~ electors of the City shall have power to require reconsideration by the Commission of any; adopted ordinance:.._,~.~-~ _Iif the Commission fails to repeal an ordinance ght '" ' y b brou forward for reconsideredation, ,,. approve,.. .... ..,j.,,.,;~* :t ~ ~' .~ ~ r~;.......,.. ,,·,~,,~·._,..~'~;^~ the issue ma e approved or reiected at a City election if the provisions of this Article are met. -- v,-..,~- ~...,..·u-' ..,.,~^~ .,.~,,.....~*~-'~ ~^,., However, no issue shall be allowed to be brought forward for reconsideration that relates to or affects the budget, e~ capital program~ e~ any emergency ordinance or ordinance relating to appropriation of money, levy er-(-o0 taxes~ or salaries of City officers or employees. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76) Section 6.03. COMMENCEMENT OF PROCEEDINGS. (a) Any five (5)........~,~:c'~a ..^.~....~,..o electors may commence either initiative or referendum proceedings by filing with the City Clerk or other official designated by the Commission (hereinafter both officials shall be referred to as "City Clerk") an affidavit stating they will constitute the petitioners' committee and be responsible for circulating the petition and filing it in proper form, stating their names and addresses and specifying the address to which all notices to the committee are to be sent, and setting out in full the proposed initiative ordinance or citing the ordinance sought to be reconsidered. (b) Promptly after the affidavit of the petitioners' committee is filed, the City Clerk .................. r:,- ...... / .................. may, at the committee's request, issue the appropriate petition blanks to the petitioners' committee at the committee's expense. Section 6.04. FORM OF PETITIONS. (a) Number of signatures. Initiative and referendum petitions must be signed by q~alified-vot~ electors of the City equal in number to at least fifteen (15) percent of the total number of qeati-f-~°.~ electors registered to vote at the last regular City election. (b) Form and content. All papers of a petition shall be uniform in size and style and shall be assembled as one instrument for filing. Each signature shall be executed in ink or indelible pencil and shall be followed by the address and precinct number and date of signing of the person signing. Petitions shall contain or have attached thereto throughout their circulation the full text of the ordinance proposed or sought to be reconsidered. 24 Charter Revision 9/6/01 (c) Affidavit of circulator. Each paper of a petition shall have attached to it when filed an affidavit executed by the circulator thereof stating that he/she personally circulated the paper, the number of signatures thereon, that all the signatures were affixed in his/her presence, that he/she believes them to be the genuine signatures of the persons whose names they purport to be and that each signer had an opportunity before signing to read the full text of the ordinance proposed or sought to be reconsidered. (d) Time for filing referendum petitions. Referendum petitions must be filed within sixty (60) days after adoption by the Commission of the ordinance sought to be reconsidered. (e) Time for filing initiative petitions. Initiative petitions must be filed within sixty (60) days of the first signature thereon and signatures may not be procured prior to the time of commencement of proceedings as set forth in Section 6.03. When the petitions have been filed, the City Clerk shall submit the same to the Commission at its next regular meeting and provisions shall be made by the City Clerk for public heatings upon the proposed ordinance. (Ord. No. 4-76. passed 2/23/76, Approved at Referendum 2/2/76) Section 6.05. PROCEDURE FOR FILING. (a) Certificate of City Clerk; amendment. Within twenty (20) days after the initiative petition is filed and five (5) days for a referendum petition, the City Clerk or otker official ,~; ~ ~,~a ~,,, **,~ t-^~;~;^~ shall complete a certificate as to its sufficiency, specifying, if it is insufficient, the particulars wherein it is defective and shall promptly send a copy of the certificate to the petitioners' committee by registered mail. Grounds for insufficiency are only those specified in Section 6.04. A petition certified insufficient for lack of the required number of valid signatures may be amended once if the petitioners' committee files a notice of intention to amend it with the City Clerk or ^+~ ~c~.~;~ .~;~.~ ,.....~ ,~^~;~;^. within two (2) days after receiving the copy of his/her certificate and files a supplementary petition upon additional papers within ten (10) days after receiving the copy of such certificate. Additional signatures may be gathered in this ten day period in order to meet the minimum required number of electors. Such supplementary petition shall comply with the requirements of subsections (b) and (c) of Section 6.04, and within five (5) days after it is filed the City Clerk ~ '~; ~*~'~ by t~'e r-~..~;~;..~ shall complete a certificate as to the sufficiency of the petition as amended and promptly send a copy of such certificate to the petitioners' committee by registered mail as in the case of an original petition. If a petition or amended petition is certified sufficient, or if a petition or amended petition is certified insufficient and the petitioners' committee does not elect to amend or request commission review under subsection (b) of this section within the time required, the City Clerk or ^a.~. ~tetci~;~l A~o;,-..~.,~A 1~.. ~-1~ t'~^~;oo;~, shall romptly present his/her certificate to the Commission and the certificate shall then be a final determination as to the sufficiency of the petition. (b) Commission review. If a petition has been certified insufficient and the petitioners' committee does not file notice of intention to amend it or if an amended petition has been certified insufficient, the committee may, within two (2) days after receiving the copy of such certificate, file a request and approve or disapprove it, and the Commission's determination shall then be a final determination as to the sufficiency of the petition. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76) 25 Charter Revision 9/6/01 Section 6.06. REFERENDUM PETITIONS SUSPENSION OF EFFECT OF ORDINANCE. When a referendum petition is filed with the City Clerk,,.~ ,,~..,~.~*'~ ,,.~.,~..~.~rc' ~; ~ ,.,~.,.e,-.~,~,~'4~; ~,~.~ ~,..~,j ~,_,, r~,,..,~;oo;,,,,_.,,___~oo~,,_, the ordinance sought to be reconsidered shall be suspended from taking effect. Such suspension shall terminate when: (1) There is a final determination of insufficiency of the petition, or (2) The petitioners' committee withdraws the petition, or (3) The Commission repeals the ordinance, or (4) After a vote of the City on the ordinance has been certified. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76) Section 6.07. ACTION ON PETITIONS. (a) Action by Commission. When an initiative or referendum petition has been finally determined sufficient, the Commission shall promptly consider the proposed initiative ordinance in the manner provided by general law for passage of ordinances or reconsider the referred ordinance by voting its repeal. If the Commission fails to adopt a proposed initiative ordinance without any change in substance within sixty (60) days or fails to repeal the referred ordinance within thirty (30) days, it shall submit the proposed or referred ordinance to the voters of the City. (b) Submission to voters. The vote of the City on a proposed or referred ordinance shall be held not less than thirty (30) days and not more than sixty (60) days from the date that the petition was determined sufficient. If no regular City election or no general or primary election is to be held within the period described in this subsection, the Commission shall provide for a special election except that the Commission may in its discretion provide for a special election at an earlier date within the described period. Copies of the proposed or referred ordinance shall be made available at the polls. (c) Withdrawal of petitions. An initiative or referendum petition may be withdrawn at any time prior to the fifteenth day preceding the day scheduled for a vote of the City by filing with the City Clerk --- ~a.~. ~,-c.~;~ .~;~,~ ,... a.~ r-^~;~;^~ .................... ~, .......j ..................a request for withdrawal signed by at least four (4) members of the petitioners' committee. Upon the filing of such request the petition shall have no further force or effect and all proceedings thereon shall be terminated. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76) Section 6.08. RESULT OF ELECTION. (a) Initiative. If a majority of the qualified electors voting on a proposed initiative ordinance vote in its favor, it shall be considered adopted upon certification of the election results and shall be treated in all respects in the same manner as ordinances of the same kind adopted by the Commission. If conflicting ordinances are approved at the same election, the one receiving the greatest number of affirmative votes shall prevail to the extent of such conflict. 26 Charter Revision 9/6/01 (b) Referendum. Ifa majority of the qmflified electors voting on a referred ordinance vote against it, it shall be considered repealed upon certification of the election results. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76) ARTICLE VII. TRANSITION SCHEDULE Section 7.01. CONTINUATION OF FORMER CHARTER PROVISIONS. All provisions of Chapter 25786, Laws of Florida, Special Acts 1949, as amended by special law or otherwise which are not embraced herein and which are not inconsistent with this charter shall become ordinances of the City subject to modification or repeal in the same manner as other ordinances of the City. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76) Section 7.02. ORDINANCES PRESERVED. All ordinances in effect upon the adoption of this charter, to the extent not inconsistent with it, shall remain in force until repealed or changed as provided herein. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76) Section 7.03. RIGHTS OF OFFICERS AND EMPLOYEES. Nothing in this c--hapt~ charter, except as otherwise specifically provided, shall affect or impair the rights or privileges of persons who are City officers or employees at the time of adoption. Elected officers shall continue to hold their offices and discharge the duties thereof until their successors are elected. Section 7.04. PENDING MATTERS. All rights, claims, actions, orders, contracts and legal or administrative proceedings involving the City shall continue except as modified pursuant to the provisions of this charter. All right, title and interest in property, real or personal, uncollected taxes due, claims, judicial decrees, liens, suits, actions and chooses in action held or owned by the existing municipality shall pass and the same are hereby vested in the municipality continued under this revised charter. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76) Section 7.05. OBLIGATION OF CONTRACTS PRESERVED. No debt or obligation of contract of the City shall be changed as a result of the adoption of this charter. All such debts and obligations shall pass to and be binding upon the municipality which is hereby continued. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76) 27 Charter Rews~on 9/6/01 (Ord. No. 4-76. passed 2/23/76, Approved at Referendum 2/2/76) Section 7.076 DELETION OF OBSOLETE SCHEDULE ITEMS. The Commission shall have power, by resolution, to delete from this Article VII any section, including this one, when all events to which the section to be deleted is or could become applicable have occurred. (Ord. No. 4-76, passed 2/23/76, Approved at Referendum 2/2/76) A DrlPl/'-~T 17 IITTT I,,I'TI'~.ITt'~TD l T t'~/-~TTD"l~ 28 [IT¥ JIF DELRrI¥ BErlCH 100 N.W. 1st AVENUE DELRAY BEACH, FLORIDA 33444 1993 2ool TO: FROM: David T. Harden City Manager ~obert A. Barcinski Assistant City Manager DATE: September 7, 2001 SUBJECT: Agenda Item City Commission Workshop Meeting September 11, 2001 Request for Proposals Naming Rights/Philanthropic Donation - Tennis Facilities This item has been placed on the workshop to report on the status of this project and to obtain City Commission direction as how they wish to proceed. A request for proposals for consulting services for naming rights or philanthropic donations for the Tennis Center and Stadium was advertised on June 10, 2001. On July 11,2001 four (4) proposals were received. A review and evaluation committee was established consisting of Becky O'Connor, Ken Rubin, Mark Barron, Brahm Dubin, and myself. Committee members reviewed the proposals individually and two (2) group meetings were held, as well as, telephone interviews with each firm. Firms were evaluated per the request for proposals based on the following criteria on a scale of 1 to 5 with 5 being the highest grade. } Experience and qualifications (25%) } Approach to project and strategy (35%) ~' Financial stability (20%) } Cost of services (20%) The final group ranking of firms was as follows: 1. The Superlative Group, Inc. 17.65 points 2. IEG, Inc. 13.8 points 3. Innovative Marketing Group, Inc. 11.2 points 4. Sports Marketing Group, Inc. 7.95 pints A summary of the evaluation form is attached. 551/243-7000 Pnnted on Recycled Paper THE EFFORT ALWAYS MATTERS In general, none of the firms submitted, in our view adequate information to judge their financial stability. An overall summary of a consensus view of each fu'm is as follows: The Superlative Group, Inc. The Committee felt this company had the best overall experience and approach to the project. The firm exhibited a very good balance between their ability to value the facilities, develop a strategic marketing plan and sell the naming rights. They have experience in the sports marketing area and will have an office in South Florida. We felt that it was a positive that they have recently been contracted with Miami Dade County. We also felt their pricing proposal was reasonable as compared to other proposers. IEG~ Inc. The strength of this company is their research and strategic planning element. They are the leaders in the country in data development and in developing a strategic plan. Their sales partner, however, is entirely based in Canada with no experience in the US. They also indicated that they would do their sales contacts by telephone and would only spend a few days in the area. Their price proposal was also very high and included a large guaranteed up front cost. Innovative Marketing Group, Inc. Interviewed well. Displayed less experience than the recommended firm. Strength was in developing a strategic plan. Sponsorship consulting experience was not as recent as other firms. Sports Marketing Consultants, Inc. Small firm with no experience in marketing facilities. Their experience is primarily in marketing athletes. The committee did not feel their proposal in terms of experience or strategy was as strong as other proposals submitted. I've attached excerpts from each of the proposals which includes an executive summary, approach to the project, related project information and pricing information. If Commission concurs with the Committees recommendation this item would be placed on next week's agenda directing staff to negotiate a contract with top ranked firm. RAB/tas File : u : sweeney/agenda Doc:naming rights for tennis center and stadium Consulting Services for Naming Rights and/or Philanthropic Donations for the Tennis Center and Stadium RFP #200:L-34 Presented to: Robert A. Barcinskl Assistant City Manager City of Delray Beach, Florida :tOO N.W. :tst Avenue Delray Beach~ Florida 33444 Superlative Response to Request for Proposal The Superlative Group, znc. 2706 Franklin Boulevard Cleveland, Ohio 44:t:t3 2:t6/592-9400 2:t6-592-9405 Fed. Employer ~[D # 34-:t762954 Z. EXECUT'rVE SUMMARY Welcome to The Superlative Group, ]:nc. Superlative, a sports and relationship marketing firm, provides expertise in corporate consulting, municipal marketing and naming rights analysis, -- negotiations and acquisition. The Superlative Group is a privately held corporation headquartered in Cleveland with offices in Chicago, Cincinnati, Detroit, Las Vegas, Miami and New York. We are registered to do business in a number of other states. Superlative's expertise specializes in naming rights and sponsorship programming. Our experience knows no boundaries, as we're currently involved in programs with public, private and municipal sectors. Our clients include Miami-Dade County, Florida, Procter and Gamble and Xavier University. Most recently, we recently concluded a 30-year, $75-million naming rights deal between Great American ]:nsurance Company and the Cincinnati Reds for its new riverfront ballpark. Tn addition, Superlative broke the Major League Baseball record for earliest sell- out of suite sales for the new ballpark. Our approach will be a multi-phase project. Superlative will begin by reviewing the sponsorship marketplace of Delray Beach and South Florida to determine the feasibility and pricing recommendations of a naming rights campaign for the Tennis Center and Stadium. We will provide the City of Delray Beach an accurate and detailed analysis of the sponsorship marketplace that will allow for the development of a strategic plan for the successful acquisition of a naming rights partner. Following the development of the strategic blueprint, Superlative will execute the plan to ensure the procurement of a win-win partnership. The Superlative Group regularly receives a retainer fee that covers working expenses, resources spent and time needed to complete the assignment. :~n addition, commissions for the successful sale of naming rights will be paid at the consummation of the partnership agreement. All preliminary work by Superlative will be handled from our corporate headquarters in Cleveland, Ohio by Brian Hicks, Manager, Municipal Marketing. Mr. Hicks may be reached at 216/592-9400. Upon contract award by the City Commission, Superlative's work will be based in Cleveland but will also be on location and from it's Miami oMce, The Superlative Group looks forward to continuing its efforts in South Florida and is eager to begin work with the City of Delray Beach. Brian T. Hicks Manager, Municipal Marketing -7/i */~ ~ Date III. APPROACH TO THE PROJECT/STRATEGY The City of Delray Beach, FL is currently seeking the assistance of a qualified marketing consultant to secure the naming rights or philanthropic ~tonations to the City's Tennis Center and Stadium. The City of Delray Beach and its' Tennis Center, home to three (3) major events including the ATP International Tennis Championships, seeks contractually obligated revenues from a naming rights deal to offset the net costs associated with the operation of the Tennis Center. As understood from the RFP dated June 10, 2001, The City of Delray Beach has an ongoing relationship with Matchpoint that agrees to pay Matchpoint a 15% fee if it sells the naming rights. In addition, Delray Beach agrees to pay Flight Media 10% of the gross amount for any naming rights sale to Southwestern Bell Communications, Inc. or subsidiary thereof or Sun America Companies. This naming rights process has taken place over some time and while the City of Delray Beach is still in contact with certain companies, additional marketing and sales expertise is being requested by The City of Delray Beach to more aggressively execute a naming rights partnership. Statement of Approach - There are three key components that are essential to any successful naming rights campaign: Research, Contacts and Packaging. 1) RESEARCH is the foundation to any successful naming rights strategy. The Superlative Group will execute and produce market research on a local, state and national level to provide a comparative analysis of similar tennis center and stadium projects. Research also assists in the positioning of the sponsorship and all of the features and benefits for a sponsor of the project. 2) CONTACTS, knowledge of and access to corporate decision- makers are paramount to the success of a naming rights campaign. Our years of experience in selling naming rights and sponsorship alliances to Corporate America have enabled us to compile a "golden rolodex" of CEO and Company Presidents. At any corporation, anyone can say NO but only one person can say YES. t4 3) PACKAGING the components of the sale is key. ]:f a naming rights deal only included signage then a billboard in a nearby location would probably serve the same purpose. The Superlative Group knows that it's a package deal that entices a naming rights partner. Key elements include additional Print, Media, Retail, Merchandising, Hospitality and Business-to-Business components. Marketing the Facilities To generate the greatest value for the City, The Superlative Group recommends working through four (4) phases. Phase I: Exploring the community and its corporate support for naming rights, sponsorship potential and partnership elements through primary r~search. This will help to assure that the program will meet customer expectations and be a success. Written results will cover value assessment, package elements, media values, and identity of target prospects. Also included will be an historical overview of comparable tennis center and stadium naming rights. Phase II.' Develop the commercial terms for the sponsorship opportunities, including pricing and length of term for sponsorship agreements. Phase III-' Building upon the results of the research, Superlative will make sure that the communication plan and materials reflects the interest of the naming rights, corporate and sponsorship customers. Phase IV: Sales execution. Coordinating with the City staff, Boards of Directors and City legal consultants for sale of the actual naming rights or philanthropic donations to assure the fiscal integrity of the program. ]:ncluding the actual selling process, evaluation of proposals and negotiations and lists of who can and who cannot be approached. t6 Phase I: Research As with any worthy marketing campaign, we start by asking the customer what they want, how much they are willing to pay for it and what they consider while making the decision to buy. The Superlative Group recommends conducting primary research in the City's market area to understand the project's potential support. We will also investigate comparable transactions with other public- venue sponsorships. Based on this research and our venue and marketing experience, the following will be addressed: · Realistic quantification of the demand for naming rights, corporate support and partnering opportunities. Realistic pricing strategies for exclusive and non-exclusive revenue-producing packages with pre-existing demand, construction and operating expenses in mind. A target list of categories and partners that should be approached for marketing opportunities and the estimated revenue contribution of each. · Recommended guidelines for risk-management in conjunction with private/public partnership. · Basic guidelines for elements to be included in the sales packages. · Information needed to complete marketing materials and timeline. t7 Phase :II: Pricing Pricing is a very important element of the marketing equation. The Superlative Group wants the City to get their full value of financial commitment. The pricing will depend upon investigation of similar venues, the research findings and our successful company's experience. Pricing recommendations will be made for naming rights, commercial marketing and corporate sponsorship packages. The trend is for longer-term, staggered contracts. This is beneficial to you so that your marketing department can maintain the appropriate relationships for renewals. The Supedative Group will develop a "turnkey" plan to be maintained by City personnel. t8 Phase III: Communications Communication materials must balance the tone and image of the end-user's experience, entice the potential sponsor and present the necessary sales information - all within reasonable budgetary constraints. The Superlative Group will handle all creative requirements for your sponsorship program, from concept to design, to copy writing and production. ~ The Superlative Group specializes in marketing: venues, special services and industrial products, and communications: developing and conveying the right message to get the job done. The special skills and expertise used to identify and match appropriate vehicles and sponsors, coupled with our experience in determining property value and negotiating successful partnerships, can be unleashed to successfully market the facilities. Complementary to our superior sales expertise is our ability to design the required internal and external communication strategies and materials that convey and persuade the value of the products to be sold. By being in sales, we know the tools sales professionals need to get the order. We understand that not all programs are the same. So we conform to your needs. Our combined expertise includes advertising, public relations, internal communications, community relations and development of sales tools. Whatever your objectives call for, The Superlative Group is there to assist and augment your existing resources. The City will have custom strategic communications and counseling by using the experience, training and contacts of senior level executives with a personal, hands-on approach. Phase :IV: The Sale We're sports and entertainment people at The Superlative Group. But, above all, we're sales people. We can help you develop and/or package your offer, ensure its appeal to corporations seeking relationship-marketing efforts (Phases T and ]:]:) and then sell it through for you. We can also provide complete turnkey sales and marketing operations customized to meet your needs: · Naming rights and licensing negotiations · Corporate sponsorship sales and marketing programs · Developing and training for maintenance. All of this is accomplished with a consistent and on-going relationship with appropriate City and legal consultant personnel. Related Project - City of Midland, TX Naminq Riqhts Superlative is currently serving as the exclusive sales agency for the City of Midland, TX in the marketing and sale of naming rights to the Scharbauer Sports Complex. The Scharbauer Sports Complex, currently under construction and scheduled to open in the spring of 2002, is a $43-million, 95-acre development. ]:t will consist of a 7,000-seat baseball stadium, that will be home to the Midland Rockhounds baseball team (Class AA affiliate of the Oakland Athletics), and a 15,000-seat multi-purpose venue whose events will include high school football and youth and professional soccer. A target list of categories and partners was developed and are now being contacted. Superlative is in final negotiations with a partner for each facility. Reference: Charles D. Swallow Director of Developmental Services City of Midland P.O. Box 1152 Midland, lexas 79702 915-685-7288 tO Related Project - Cabarrus County, NC Naminq Rights Cabarrus County, NC, the Motorsports capital of the world, has charged Superlative with completing a sponsorship marketplace assessment for the Charlotte-Concord MSA, the creation of a sales blueprint and the successful execution of the sale of naming rights to a 190,000 square foot Exhibition Park Arena and 83,000 square foot Hotel-Convention Center complex. The Superlative Group began its' work with Cabarrus in May 2001. Superlative recently presented Cabarrus County with a comprehensive naming rights and marketplace assessment. Groundbreaking of the $:~5 million Expo Park took place June 25, 2001. Superlative will now begin aggressively marketing the naming rights for the multi-purpose facility. The partnership between Cabarrus County and The Superlative Group will expire April 2002. Marketing and sales for the Hotel-Convention Center complex will begin immediately upon completion of the contract between Cabarrus County and the development firm. Reference: Frank W. Clifton, Jr. County Manager Cabarrus County Governmental Center P.O. Box 707 Concord, North Carolina 704-920-2100 28026-0707 Related ProJect- Miami-Dade County~ Florida Municipal Facilities Value Assessment The Superlative Group has partnered with Miami-Dade County, Florida to complete a three-tiered project to investigate all municipal marketing opportunities throughout the county. First, Superlative will conduct a thorouglo marketplace and value assessment for all municipal facilities in Miami-Dade County, Florida including the Aviation, ]:nformation Technology, Park & Recreation, Port Authority and all other departments. Next, The Superlative Group will develop a sponsorship sales strategy, sponsorship policy and procedure, and RFP development based upon the findings. Upon development the sales strategy, Superlative will execute the sales plan to create mutually beneficial partnerships between targeted corporations and Miami-Dade County. Reference: Corrine Brody Director Office of Performance ]:mprovement Miami~Dade County 175 NW :[st Avenue Suite 2900 Miami, Florida 33:[28 305-349-6:[23 12 State of Florida Engagements The Superlative Group has been retained by Miami-Dade County, Florida to provide a value assessment for all COLrnty facilities. See page 12. Superlative's South Florida office is located at: 1221 Brickell Avenue Miami, Florida 33131 305-995-8222 Phone 305-374-6146 Fax Letter of Reference See page 32. t3 From: 08/91/2001 11:20 ~48 P.002 Superlative ProperUes Division- Client Ileferenee$: Cedar Fair ¢ Commercial .lan Guthridge Amusement sponsorshTp sales for Sales Director, Parks ten (10) parks Marketing Division 419-627-2219 St. Louis 4' Naming Rights Mark Lamping Cardlnals Analysis and President Assessment 314/982-7810 Xavier ,/' Naming rights, .lohn F. Kucia University premium seat sales Administrative VP and commercial 513-745-3501 sponsorship City of ,/' Naming Rights to Chuck Swallow Midland, TX municipal sports Community Serv. DIr. complex 9 ! 5-685-7356 Dynegy Marketing analysis Debble Fiorito SVP, Chief Communications Officer 713-767-6018 SMG Market/~.'~{al'ysi$ ~-nd' 3oe Brlglia Sponsorship/ SVP, Bus. Development Premium Seating 215-592-6656 Sales MTD Products ,/' Commercial Rob Holl sponsorships, Event VP Marketing Management 330-225-2600 Frc~: 0819112001 11:20 ~48 P.O08 Superlative Properties Division- Ollent Iteferenees: & a Procter & '/ Tide racing program ~'i:~:i~i~ DiMichele Gamble Brand Manager 513-983-0749 3ohn Hart ,/' Executive 3ohn Hart ................. General Mgr., endorsements 216-420-4000 Cleve. ]:ndians Charlie Manuel v' Executive Charlle Manuel Field Mgr., endorsements 440-420-4200 Cleve. :indians Bernie Kosar 4 Executive Bernie Kosar Ma naglng endorsements 954-693-3772 Partner, FLA. Panthers and Former NFL Quarterback V. PRZCE PROPOSAL Revenue = Reward Compensation Structure Overview Research Assessment: The Superlative Group will design and build the naming rights campaign delivering a "blue print" to successfully complete the project. Upon completion and delivery of the research assessment, The Superlative Group will be paid $30,000.00 for its services in connection with this study. Naming Rights Bonus: We will show you how you can make more than what you pay us. The Superlative Group is successful when its clients are successful. We earn our compensation when we sell the naming rights, sponsorship or advertising programs assigned. When selling naming rights, actual increments and bonus depends upon the value of the specific property. For total revenue of internal and external naming rights programs, compensation might be: Naming Riqhts Revenue Up to $ I million $1.:[ - 2.0 million $ 2.1 million+ Superlative Commission Bonus of 8% Bonus of 10% of increment Bonus of 12% of increment Travel, Lodging and Entertainment: The Superlative Group will be reimbursed for pre-approved expenses incurred in connection with the project within 30 days of invoice. Marketing Materials: The Superlative Group will work with your creative choice or manage the process for you. ]:f we manage the process, we are compensated at cost plus 20%. IEG. Inc. 640 N. LaSalle Street Chicago, IL 60610 RFP #2001-34 Consulting Services for Naming Rights and/or Philanthropic Donations for the Tennis Center and Stadium Contact Person for RFP and Contract: Lowell Cantor Phone: 312/944-1727 Fax: 312/944-1897 Federal Employer Number: 36-3449784 EXECUTIVE SUMMARY Contact Person: Lowell Cantor Business Phone: 312/944-1727 IEG is the world's leading provider of independent res~earch and analysis on sponsorship. Founded in 1980, IEG provides propertie~ and sponsors the strategy and tools to develop successful sponsorship programs. We created and publish the industry's biweekly newsletter,. IEG Sponsorship Report, as well as the industry's annual buying guide, IEG Sponsorship Sourcebook, through which we track more than 3,000 opportunities each year. We're specialists in valuation methodology, creating the benchmarks and yardsticks that have been adopted by the world marketplace. More than 250 sponsors have endorsed the IEG Valuation Service, which establishes the fair market value of any sponsorship opportunity. Launched in January 1998, the service has been used to value more than 300 properties. Venues that have used the service include: AirCanda Centre, America West Arena, Arrowhead Pond, Bayside Expo Center, Charlotte Coliseum, Florida Atlantic University Fine Arts Building, Gaylord Entertainment Center, Hollywood and Highland Theater (Academy Awards Venue), Independence Arena, Indianapolis Motor Speedway, Mall of America, MCI Center, Milwaukee Mile Race Track, Pebble Beach Resorts and Reliant Energy Stadium. Endorsers include: Charles Schwab, Citibank, EDS, FedEx, John Hancock, Miller Brewing, Nationwide Insurance, Procter & Gamble, Sprint and Visa. IEG Consulting provides properties strategic plans to develop the most marketable sponsorship packages. Property clients have included: America West Arena, ATP Tour (Men's Int'l Professional Tennis Tour), Chicago Symphony Orchestra, Cirque du Soleil, Concord Pavilion, Florida State Fair, Int'l Jet Sports Boating Association, The Kennedy Center, National Aquarium in Baltimore, NCAA (National Collegiate Athletic Association), National Geooo'raphic Society, National Museum of American History, Navy Pier, North American Pro Ski Tour (NAPS), Olympic Governing Bodies, Pebble Beach Company, Six Flags Theme Parks, VISIT FLORIDA and World Wildlife Fund. In addition, IEG Consulting works with sponsors on a project basis, so we understand the objectives of corporations when they enter into sponsorship agreements. Sponsor clients have included: AT&T, Banc One Corp., First Bank System, GTE, Harley-Davidson, Kraft General Foods, Leaf, MCI, MasterCard, Mercedes-Benz, Molson, Nissan, Ocean Spray, Quaker Oats (Quaker Rice Cakes), Shell Oil and T.J. Maxx. lEG Consulting approach to the City of Delray Beach RFP would involve a cost/benefit analysis performed by IF.G, Inc. and the selling of the naming rights package by a sub-contractor, Performance Sponsorship Group. The cost/benefit analysis would involve detailed identification and documentation on the marketable assets of the Tennis Center and Stadium and research of naming fights deals to determine the most profitable pricing strategy. After [lEG identifies the assets, we will provide a comprehensive naming rights package and apply the Valuation methodology to determine its fair market value. Using lEG's work products, Performance Sponsorship Group will solicit companies in order to secure a naming rights partner of the City of Delray Beach Tennis Center and Stadium. The process will involve presentations to the City and contract negotiations. Performance Sponsorship Group will provide a report of recommendations and findings for naming rights or philanthropic donations IEG's Fees and Expenses for Services: Cost/benefit analysis: $54,500 Performance Sponsorship Group's Fees and Expenses for Services: Up-front marketing materials to be used for selling: - Positioning and writing of documentation: $20,000 - Design and production of sales document: $12,500 Expenses related to sales process (flights, food, taxi and accommodations): $3,000 per month for the 6-month sales cycle Per month sales fee of $10,000 for a six month term, 15% commission for cash and pre-approved in-kind savings Prepared by~ Lowell Cantor, Vice President, lEG Consulting Date: 2 lEG COMPARABLE PROJECTS Charlotte Auditorium Coliseum Convention Center Authority Project: Year of Project: Location: Client Contact: Phone: Result: Valuation of Naming Rights of Independence Arena _- 1999 Charlotte, NC Ereka Crawford, Director of Marketing 704/357-4717 Sold a five year naming rights deal for $750,000 cash to Cricket Communications within 6 months of project completion Science Museum of Minnesota Project: Year of Project: Location: Client Contact: Phone: Result' Developed sponsorship packaging strategy 1998 Minneapolis, MN Pam Nordaune 651/221-2529 Sold four yem' sponsorship packages to US Bank, US West, Star Tribune and Dayton Hudson for $200,000 cash 13 THE CITY OF DELRAY BEACH TENNIS CENTER AND STADIUM PROJECT OUTLINE IEG CONSULTING IEG Consulting will conduct an IEG Sponsorship AuditTM for the City of Delray Beach, covering the following: On-Site Inspection and Key Interviews · An IEG Consulting representative will conduct a site visit of the City of Delray Beach Tennis Center and Stadium as well as conduct in-person interviews with key staff Cost/Benefit Analysis Packaging Strategies: · Identifying the City of Delray Beach Tennis Center and Stadium's owned or '. controlled assets, e.g., venue, venue areas (tennis courts, stadium, clubhouse, pro shop, ticket windows, etc.), hospitality/seats, court time, junior and adult programs, collateral material and audience · Identifying borrowed assets that add value or potentially ambush the City of Delray Beach Tennis Center and Stadium, e.g., outside promoter events (International Tennis Championship, Chris Evert Pro-Celebrity Tennis Classic, Owl Foundation Tennis Challenge, etc.), relationship with the City of Delray Beach and the USTA, etc. · Identifying additional assets of the. City of Delray Beach Tennis Center and Stadium that can be utilized · Determining which of these assets are most marketable to potential sponsors · Analyzing methods of combining assets to maximize revenues · Establishing major sponsorship packages, e.g., naming rights, year round partners, suppliers, etc. · Identifying a discrete package for philanthropic donations to clearly outline which benefits overlap with sponsorship and which do not · Creating packages that add value, e.g., media and retail partners · Creating a list of rights and benefits for each major sponsorship package and the package for philanthropic donations · Listing of targeted sponsor categories for the naming rights package · Identifying which benefits can and can not be sold separately, creating incentives for companies to pay higher fees · Preparing summary and comparison of rights and benefits for each major sponsorship package and philanthropic donation (City of Delray Tennis Center and Stadium Project Outline-Agenda continued) Valuation: · Determine the value of naming fights and if applicable official sponsor packages of the Tennis Center and Stadium, accounting for: - Tangible benefits, e.g., guaranteed media and product sampling - Intangible assets, e.g., level of audience loyalty and recognizability and positioning of marks and logos - Market factors, e.g., competitiveness of category and costs of sponsoring competing properties · Identify pricing considerations: - Premiums for locking up additional competitive categories - Methods for tying in sales or supplier rights - Value of in-kind vs. cash sponsorship - Value of a sponsor's promotional commitment (City of Delray Beach Project Outline continued) I~RFORMANCE SPONSORSHIP GROUP Selling of Negotiating of Naming Rights Deal · Identifying and soliciting firms willing to serve as a sponsor and assessing the highest fee they are willing to pay the City of Delray Beach · Making presentations as directed by the City of Delray Beach and as may be required · Negotiating contract with sponsor for the sale of the naming rights and/or philanthropic donations of the Tennis Center and Stadium (City of Delray Beach Project Outline continued.) IEG WORK PRODUCTS Cost/Benefit Analysis lEG Sponsorship Audit Worksheets for City of Delray Beach Tennis Center and Stadium: · Assets documentation · Tennis Center and Stadium Summary and Comparison of major packages including naming rights package and for philanthropic donation: - Listing of rights and benefits for each package - List of targeted sponsor categories for naming rights, e.g., auto, credit card, etc. Pricing for Tennis Center and Stadium: · Base fee for naming rights package and if applicable major packages such as official sponsor · lEG Valuation StatementTM for naming rights package, to be issued annually for the next four years (Note: The initial Valuation Statements will be issued approximately thirty (30) days following the Tennis Center and Stadium's sign-off on the sponsorship benefits package. In any event, the initial Statements will expire 14 months following the Audit date. A delay by the Tennis Center and Stadium in signing off on the sponsorship benefits package will not change the expiration date of the initial Valuation Statements.) PERFORMANCE SPONSORSHIP GROUP WORK PRODUCT Sponsorship Report and Recommendations for City of Delray Beach Tennis Center and Stadium: · Proposal for naming rights package · Develop detailed final report of research, findings and recommendations for naming rights or philanthropic donations of the Tennis Center and Stadium and provide the City of Delray Beach with five bound copies of the same as specified by the City 19 July 10, 2001 City of Delray Beach Purchasing Division 100 N.W. 1 st Avenue Delray Beach, FL 33444 RE: RFP #2001-34 To Whom It May Concern: lEG, Inc. (lEG) is a privately held corporation and as such does not disclose financial information. IEG's predecessor company was started approximately twenty years ago and the company has been operating ever since, lEG, Inc. has approximately fifty employees located in Chicago, Illinois where this work would be performed, and has no debt other than normal trade payables. To the best of my knowledge, lEG has not been involved in any litigation over the course of the last ten years. Very truly yours, Bart Zautcke Chief Financial Officer 20 PRICE PROPOSAL IEG's Fees and Expenses for Services: · Cost/benefit analysis: $54,500 Performance Sponsorship Group's Fees and Expenses for Services: Up-front marketing materials to be used for selling: - Positioning and writing of documentation: $20,000 - Design and production of sales document: $12,500 · Expenses related to sales process (flights, food, taxi and accommodations): $3,000 per month for the 6-month sales cycle Per month sales fee of $10,000 for a six month term, 15% commission for cash and pre-approved in-kind savings Innovative Marketing Group, Inc. Professional Consultants CONSULTING SERVICES FOR NAMING RIGHTS AND/OR PHILANTROPIC DONATIONS FOR THE TENNIS CENTER AND STADIUM THE CITY OF DELRAY BEACH Request for Quotation No. 2001-34 IIII EXECUTIVE SUMMARY Innovative Marketing Group can provide the City of Delray Beach an array of strategic consulting services to ensure that your corporate sponsorship sales for the Delray Beach Tennis Center and Stadium are successfully coordinated and executed. Market Research Our research studies can provide qualitative and quantitative information to assist in the strategic planning process. We can also complete market analysis reports to determine the state of the facility sponsorship market. These reports would-focus on Measuring the market value of corporate sponsorship for the Delray Beach Tennis Center and Stadium from a regional and/or national perspective · Determining advertisement category assessment opportunities · Developing and implementing a strategic plan to solicit sponsorships for existing and new corporate partners Valuation Services ~Sponsorship Evaluation Our valuation methodology will define and appraise the value of sponsorship opportunities for the Delray Beach Tennis Center and Stadium. We examine the following interrogatives: · What is the Value of Tangible/Intangible Benefits? · What are the Multipliers for Geographic Reacbdlmpact? · What is the Cost/Benefit? Sales Management ~Sponsorship Execution Our sales and marketing professionals can provide the City of Delray Beach talented individuals who are experienced in successfully selling corporate sponsorship and various media advertising packages. These sales and marketing professionals can also assist in the sales program development and implementation. Creative Design Services Our marketing department can apply a broad range of marketing disciplines to define the look or image for the Delray Beach Tennis Center and Stadium. Our graphic design and digital imaging services can enhance the collateral marketing material used to articulate the excitement of the Delray Beach Tennis Center and Stadium. Technology Infrastructure/Product Evaluation Our information technology consultants can develop, implement and manage solutions utilizing the latest technologies. We can develop a strategic information system to: · Manage daily operational needs for the Delray Beach Tennis Center and Stadium · Coordinate technology requirements or specifications for the Delray Beach Tennis Center and Stadium · Manage data and digital services for the media relations center Innovative Marketing Group, Inc. Confidential and Proprietary Page 2 of 14 SPONSORSHIP CONSULTATION EXPERIENCE Client: Objective: Results: Client: Event: Objective: Results: Client: Event: Objective: Results: Southern League of Professional Baseball Clubs, Inc. Evaluate the worth of sponsorship products for two new ballparks in the league--BellSouth Park for the Chattanooga Outlooks Club and DELL Park for the Round Rock Express Club Our comprehensive valuation study identified various products and service categories for each Joallpark including naming rights, fixed panel advertisements, electronic message boards, and concourse banners. We secured approximately a half million dollars annually in revenue from corporate sponsors and advertisers. Global Productions, Inc. World High Diving Championship Series Develop strategies for maximizing corporate sponsorships and advertising revenue opportunities The championship series is staged at various venues all over the world. Locations are Holland, Italy, and Mexico. We introduced virtual signage and various fan experience enhancement models to each venue. Through our consultative services, Innovative Marketing assisted the property in securing three million dollars revenue by creating unique advertising and spectator displays. Ohio State University- Department of Athletics The Ohio Stadium Renovation Program Complete a market analysis assessing the facility sponsorship opportunities for the university. Identify and solicit new corporate sponsors for the stadium Our analysis report focused on assessing the market value of the stadium compared to other facilities on a regional and national scope. We identified their sponsorship and advertisement inventory. We evaluated new electronic products and displays. Additionally, we assisted the marketing department in securing one million dollars in corporate partners. Innovative Marketing Group, Inc. Confidential and Proprietary Page 8 of 14 STRATEGIC PLANNING/DEVELOPMENT APPROACH Innovative Marketing Group's team of professionals will work with the City of Delray Beach and TCAB representatives to ensure that their objectives are met. Our team will meet with key representatives to understand the mission and to develop a strategic sponsorship plan. We believe effective planning is critical for successful execution. The Strategic Sponsorship Report will be developed using five critical steps of analysis. Develop Sales Plans Identify Industry Targets Develop Sponsorship Grid Identify/Validate Sponsorship Levels Innovative Marketing Group, Inc. Confidential and Proprietary Page 9 of 14 Develop/Understand Goals & Objectives We believe a successful event is dependent on an understanding of the overall marketing objectives. If the objectives have been set, our professionals will partner with the City of Delray Beach and TCAB representatives to gain a thorough understanding. If the objectives have not been set, we will work together to develop Specific, Measurable, Achievable, Realistic, Timely objectives. IdentifyNalidate Sponsorship Levels Using the objectives as a guiding principle, our professionals~will work with the committee to identify the appropriate sponsorship levels and parameters. Develop Sponsorship Grid We will develop a grid that indicates the sponsorship levels and the terms and rights of each level. The Sponsorship Grid is a tool we use to ensure that Innovative Marketing Group; the City of Delray Beach and TCAB representatives concur with the packaging of sponsorship levels. While the terms and rights may be revised based on the specific needs of the sponsors, the grid will serve as a baseline for sponsorship discussion. Identify Industry Targets Innovative Marketing Group will collaborate with the city representatives to identify the corporations to target in the designated industry sectors. Develop Sales Plan The final stage of the strategic planning process is to develop sales plans for each industry target. The sales plan will be tailored to each sponsor to address the individual needs and concerns. Innovative Marketing Group, Inc. Confidential and Proprietary Page10 of 14 AGENCY SALES METHODOLOGY The sales methodology developed by Innovative Marketing Group is a nine-step process. The initial step begins after the completion of the final stage of the strategic planning phase -- Develop Sales Plans. The sales plan is the initial input for our sales methodology. -' Our sales methodology is designed so that we meet the individual needs of the sponsor through effective communication and feedback. This process is complete when the transition plan for the sponsor's products or services has been developed and we have performed our quality control review, through follow-up and research and evaluation. Our sales methodology requires that Innovative Marketing Group inform the City of Delray Beach of all necessary details throughout the process. Particularly, the authority will sign off on any deviations from the Sponsorship Grid. The City of Delray Beach will also be involved in the final contract negotiation to ensure concurrence on the details of the agreement. Conduct Follow-up Research & Evaluation -¥ 'Revi~Sales Plan Close Sale N~0tiateC61itracf' · Address Sponsor's Concerns Present Sales Plan to Sponsor Make Initial Contact with Sponsor Approach Strategy Innovative Marketing Group, Inc. Confidential and Proprietary Page11 of 14 Plan II I. Assessment of Sponsorship Opportunities Scope of Work: · Evaluate the current and potential market value of the Delray Beach Tennis Center _ and Stadium (Market Research, and Product Evaluation) · Develop a strategic marketing plan · Develop/Redesign of new and existing sponsorship program (Sponsorship Evaluation) ~ II. Solicitation of Corporate Sponsors Scope of Work: · Develop and Implement a strategic sponsorship program · Identify and Solicit current and new corporate sponsors · Develop and Implement a transition plan for current sponsors and integrate new sponsors Consulting Fee Reimbursable Expense Commission Fee $50,000.00 Innovative Marketing Innovative Marketing Group will be Group will also be entitled paid a commission fee of eight to reimbursable expenses, percent (8%) on all corporate These expenses will sponsorships or promotional include transportation cost, marketing contracts secured at a lodging expense and meal total gross revenue value greater expense that must be than one million dollars approved by the City of ($1,000,000). Delray Beach representative(s). The Furthermore, the commission fee is maximum per diem is two payable on all contracts that have a hundred fifty dollars financial clause or value in-kind ($250) per day. service for payment to the City of Delray Beach Termination Clause. Either party may terminate the Contract Agreement upon 30 days notice by registered or certified mail with return receipt requested, addressed to the other party. If the Contract Agreement is terminated by either party, Client shall only be liable for consulting fees earned as a result of work actually performed prior to the effective date of the termination. Innovative Marketing Group, Inc. Confidential and Proprietary Page13 of 14 © 0 proposal submitted by: Sports Marketing Consultants, Inc. Federal Employer Identification Number: 650770671 Contact & Liaison: Dawn Del Bianco in response to: CONSULTING SERVICES FOR NAMING RIGHTS AND/OR PHILANTHROPIC DONATIONS FOR THE TENNIS CENTER AND STADIUM RFP #2001-34 7025 Beracasa Way, Suite 105-C, Boca Raton, Florida 33433 (561) 417-8405 Fax (561) 417-8471 · E-mail. sochenspts@aol.com ,, Web Site www smcsportsmarketing com Beverly Hills (310) 271-9239 Fax (310) 271-4039 ,, Tel Aviv. Tel/Fax 972-9-742-2929 Mobile 972-52-892-442 Executive Summary: Dekay Beach Tennis Center is a first-class facility located in the downtown Dekay Beach area. The facility is visible from the highly traveled Atlantic Avenue (over one million impressions/year) as well as during sports telecasts on both cable and non-cable networks. The facility is owned by the city of Delray Beach and nan by Dubin & Associates. Included in the Tennis Center layout is; 14 day courts, 7 hard courts, 19 lighted courts, an 8,200-seat stadium, a pro shop, locker room facilities, and on-site racquet stringing. Because the Tennis Center is a property of the city, the naming fights sponsor would not only receive on-site visibility at the Tennis Center but they may receive opportunities for additional vi'sibility around the city of Dekay Beach. These opportunities may include charity and special events. Therefore, this opportunity would not only be a beneficial marketing outlet, but also a source of philanthzopic efforts and favorable corporate and community goodwill for the n~ming fights partner. Spo~ts Marketing Consultants, Inc., a division of Interpeffomaances Group, is a global management and marketing company that uses innovative marketing concepts to assist aspiring and professional athletes in achieving career goals. At the same time, Sports Marketing Consultants, Inc. strives to meet the ever-changing needs of its corporate clients, a unique dual perspectxve that allows it to emphasize a mutually beneficial approach in structuring marketing and corporate endorsement and sponsorship opportunities. Sports Marketing Consultants, Inc. is an experienced and knowledgeable sports marketing dedicated to developing and implementing strategic sports marketing plans, evaluating cu~ent sport programs and sponsorships, analyzing corporate objectives and industry trends, executing recommended marketing programs to ensure return-on-investment, and evaluating all sport related projects that a corporation is involved in. Therefore, Sports Marketing Consultants, Inc. is able to optimize opportunities for all corporate clients served by our experienced and dedicated marketing staff. Sports Marketing Consultants, Inc. is the best firm for this project not only because of the previously stated information but also because we have an office based locally in Boca Raton and professionals who are familiar with that area and the Tennis Center in particular. We have specific experience within the tennis industry as we represent over 50 men, women, and junior players for their on and off court ventures. This agreement is prlm~rily structured towards the utili:,.ation of Sports Marketing Consultants, Inc. to secure a naming rights partner for the Dekay Beach Tennis Center, while representing the interests of the City of Delray Beach. Sports Marketing Consultants, a division of Interperformances Group, is confident that we will establish a win/win agreement between the City of Dekay Beach and a suitable naming rights partner. Because of our current merger situation, some of the requested infomaation may not be included. Any questions regarding this proposal should be directed towards Dawn Del Bianco, Marketing Accounts Representative, 7025 Beracasa Way, Suite 105 G, Boca Raton, Florida 33433, 561.417.8405. 3 dkectly with companies such as BMW, Blockbuster, Diadon, Nike, Foot Locker, Fila, Ray-Ban, Stenham-Gestinor, Bttcger King, Bank One and many more. We successfully establish long-term relationships with corporations by meticulously p~iring our clients with businesses who can best u611~e their particular talents and skills. Because the focus of our business is to ins~e the long-term prosperity of our clients, SMC is devoted to helping every client re~llze his or her full potential as a professional athlete. SMC evaluates the potential of each athlete's commercial opportunities, including endorsements, corporate and resort affiliations, personal appearances, promotions, licensing, and merchandising. Our goal is to help every client attain his or her marketing potential. Our international network of experienced marketing consultants is able to secure the very best contracts for our clients. In addition to marketing our clients, SMC creates marketing programs and performs independent consulting for professional sports teams, businesses and organizations. Our careful research and recommendations produce measurable results such as increased attendance, brand development, maximum exposure, increased revenues, and increased market reach. Teams and businesses that want to enhance or completely overhaul their existing marketing programs know that SMC can deliver a plan of action guaranteed to capture the target audience. In August of 2000, Jaffe merged his company with Interpefformances Group, resulting in a blockbuster deal with revenues estimated at half a billion dollars. SMC, Inc. now operates as a division of Interperformances Group and has expanded its corporate marketing efforts in the U.S. market in 'addition to its thriving European corporate marketing division. Owners & Directors See Appendix "C" Resumes For Dawn Del Bhnco and Ckfis~opher Camacho are attached in _Appendix ".A_" Current Status Sports Marketing Consultants, Inc. is not currently engaged in the sale of naming fights for any other entity in the State of Florida. Project Strategy: Scope of Services Facility naming rights have become an extremely popular means for corporations to receive visit~ility from, and association with, the sport industry and its fan base. The Delta7 Beach Termis Center is an attractive prospect for naming fights because of its incredible visibility opporumifies with a great amount of market reach to many different segments. The market reach for the Dekay Beach Tennis Center is quite varied. Family demographic groups are reached through events such as the OWL Challenge, Rainbow Tournament, and First Night Dekay. There is a different reach from the remaining tennis events, which incorporate a higher income fan base with different leisure interests and a higher average age. Therefore, an ideal partner 5 would be one that attempts to reach that same target market of affluent, 34-50, business men and women with a household income over $100,000 and a high disposable income. Also, those same corporations may achieve the goal of incorporating their sponsorship to the local family community. Sports Marketing Consultants, Inc. has experience in reviewing all aspects of an entity and marketing the entire product to suitable clients. SMC, Inc. w/Il take irfformation regarding current naming fights issues, the information regarding the Dekay Beach Tennis Center and research possible sponsors, and cross-reference this information to establish a list of possible naming fights partners. The possible partner list will be sent information and contacted via telephone, emall and facsimile. Interest will be determined and discussions will follow. The estimated value of the Tennis Center Naming Rights will be preliminarily set at an amount of $1,250,000 to be paid over a five-year term. 'Therefore, the gross amount received by the Tennis Center will be $250,000 per year for five years. This mount is based on initial goals of t_he Termis Center, previously requested amounts, the current market forecast and historical information regarding naming rights for other facilities. Because sponsors are becoming more sophisticated in their sport sponsorships, the facility naming rights package must be tailored to specifically meet the needs of each sponsor. Each company's goals are different in sponsoring and those goals must be realized before they can be met. In order to &stablish a sponsor 'hit list' that will have a better success rate for finding an interested party, SMC, Inc. will research current sport sponsors locally and nationally and corporations not currently sponsoring sport who have a local presence. We will research sport sponsor books, websites, print material, ctc in order to determine a best fit for a naming fights partner. Because the facility is associated with the City of Dekay Beach, it is important to understand all stipulations established by the City as well as ancillary opportunities that may arise because of this relationship. Flexibility in utili~.ing vendors and service organizations will increase opportunities for successfully determining a naming rights partner but is not always necessary. Extensions offered through both the Facility and the City will increase the value of the Tennis Center. A general timeline for determining possible naming rights partners is as follows: Days 045 46-180 180-360 Action. Outline Tennis Center attributes, research information on naming fights, research possible naming rights parmers, design print collateral and introduction letters and mail to prospects. Follow up with phone calls, emails and facsimiles. Secure in- person meetings with prospects. Design presentations for prospective sponsors. Continue contacting and meeting with prospects and determine preliminary agreement guidelines. Develop a detailed report of research and recommendations. Make presentations to the City and Tennis Center representatives and negotiate an acceptable contract with prospective sponsors. Research SMC, Inc. dev&lops global strategic parmerships with athletes, facilities, teams and major corporations to assist in creating, executing and managing worldwide marketing bpporturdties. Our organization urili~.es the most up-to-date industry information including the TMR Sports oCponsorFact 6 Book, Franklin Covey Sports Market Place Directory, various IEG sponsorship industry books, the Street & Smith's Sports Business Journal and other trade magazines, miscellaneous reference materials and Intemet resource directories. The Dekay Beach Tennis Center would be assigned a dedicated account representative who will utilize our various resources and experience to provide specialized expertise and capabilities that are uniquely available from SMC, Inc. With experts positioned in Italy, Tel Aviv, Australia, and the United States, SMC, Inc. helps its clients control critical sponsorship elements, ensuring that spending is effectively leveraged and integrated with their overall marketing investment. By utili~.ing the worldwide resources of SMC, Inc., we will help your organization: ~ · Develop and implement a strategic partner search plan, including tactical program execution · Evaluate possible sponsors against organi~,.ational objectives · Provide in-depth analysis · Analyze industry trends · Negotiate the strongest possible contracts · Execute naming fights partnership to fully leverage corporate exposure and return-on-investment Issues Corporate sophistication in choosing sponsorships, the cu~ent state o£ the economy and the saturations of sport marketing oppommities are ~ obstacles in this naming rights partner search that must be managed properly. Also, the relationship between the Tennis Center with the City of Dekay Beach and Dubin & Associates may be helpful or a hindrance depending on how that relationship is used towards the satisfaction of the potential sponsor. Price Proposal: Pre-contract- SMC, Inc. will create printed marketing collateral as a mail out piece as well as a PowerPoint presentation to be printed out. These charges will be billed to the City of Delray Beach, as they occur, on a monthly basis. All general correspondence paper and envelopes will be on SMC letterhead and supplied by SMC. The cost of marketing materials will not exceed $1,500. Post-contract - The commission schedule for SMC is as follows: * 20% commission on sponsor's gross financial commitment · 15% commission on the value of sponsor's gross in-kind commitment Once the contract has been signed by the sponsor, SMC will bill the City, based on the contract, in the following manner: within 30 days of fees due to the City by the sponsor, the City will be billed by SMC for their 20% commission. This fee must be paid within 45 days of billing or will be assessed a 5% hte fee for every 30 days delinquent. This will continue for each billing period through the life of the contract. 7 In addition, there will be a 15% referral fee for any company solidted by Sports Marketing Consultants, Inc., for the purpose of this naming rights proiect, and enters into any other agreement regarding the Tennis Center witl~in one year of their final contact with Sports Marketing Consultants, Inc. Business Information: Attached in Appendix "B" Signature Sheet: Attached in Appendix "D" 8 I I I I I I I I I ! ! ! \ I I I I ! I I I Dial-up m O0 II O0 ~-~> 0 m m m 0 0 0 ~ 0 ~ 0 0 ~ ~ , o I IIIIIII1!11