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Item D5 BOARD OF COUNTY COMMISSIONERS AGENDA ITEM SUMMARY Meeting Date: January 18, 2001 Division: TDC Bulk Item: Yes XXX No Department: N/A AGENDA ITEM WORDING: Approval of CPI increase for McCluskey Associates International. ITEM BACKGROUND: TDC to approve same at their meeting of January 10, 2001. PREVIOUS RELEVANT BOCC ACTION: BOCC approved FY 2001 budget at their meeting of September 21,2000. STAFF RECOMMENDATION: Approval TOTAL COST: $3,048 COST TO COUNTY: $3,0481T0URIST PAY BUDGETED: YES APPROVED BY: County Attorney _ OMB/Purchasing_ Risk Management DIVISION APPROVAL: Lynda M. Stuart (Type/print name) To Follow: Not Required Agenda Item # l.:O5' DOCUMENTATION: Included: X DA TE: December 14, 2000 TO: Monroe County Board of County Commissioners FROM: Harold Wheeler, Marketing Director RE: McCluskey Associates CPI The Monroe County Tourist Development Council's (TOC) public relations agency, Stuart Newman Associates has a sub-contract with McCluskey Associates International (SMI) to provide services in Europe on behalf of the TOC. Even though this is a sub-contract by Stuart Newman Associates, the contract includes a clause requesting the TOC and the Board of County Commissioners approval of an annual CPI increase. The CPI would be a 3%) increase of $101,600 fee equal to $3,048. This $3,048 increase would be allocated from the current reimbursement budget for Stuart Newman Associates and would not increase their annual budget. This increase would be retroactive to October 1, 2000. STUART NEWMAN ASSOCIATES DA TE: December 14, 2000 TO: Monroe County Tourist Development Council FROM: Stuart Newman, President RE: McCluskey Associates CPllncrease Please consider this as a request for approval of a clause in the sub- contract between Stuart Newman and Associates (SNA) and McCluskey Associates International (*SMI) providing for public relations services in Europe on behalf of the TDC. This said clause is subject to approval by TDC and the Board of County Commissioners. This clause provides an annual increase in SMl's professional service fee based upon the current South Florida CPI and is retroactive to October 1,2000. Please note that funding of this item will not result in any increase in the annual TDC budget for public relations. Agreement for Services This document is a Contract for professional. public relations services on behalf of Monroe County, Florida, (USA) Tourist Development Council (TOO in promoting in the United Kingdom and Europe (with concentration on Germany, Italy and France) the Florida Keys & Key West tourism products. The Contract will be between McCuskey Associates International (M&A), 50 Suli van Roa4London SW6 3DX, England and Stuart N~wmanAssociates (SNA), Inc., 3191 Coral Way, Suite 204, Miami, Fla 33145, USA, as Pubuc Relations Agency of Record for IDC In fulfilling the Scope of Work of this Agreement, M&A agrees to: 1. Provide publicity, promotional and marketing services for the Florida Keys and Key West throughout the United Kingdom and Europe on a regular basis targeting major consumer travel magazines and newspaper travel sections and in travel trade publications and broadcast placements. Such services are to be outlined as a facet of an annual' public relations plan [or the roc and. include, but are not limited to: development, distribution and placement of releases to consumer and travel trade media; placement of photographs, video tapes or slides where applicable; development and maintenance of media kits for each of the markets; story books and other related material as proyided. by SNA; and Crisis communications programs, when needed Releases and photo captions will be edited. .re-written and translated as necessary by M&A to conform with local. usage in the various countries. Releases are be appt'oved by SN A prior to distribution: Arranging for photocalls, when applicable, will be among M&A responsibilities with reimbursement for authorized photography by SNA. 2. Additional duties of M&A include proposing story and photo themes of interest to UK and European audiences. identifying Florida-bound journalists who might be persuaded to visit the Florida Keys during their North American travels and organizing, with SN A assistance, the media movements of travel journalists in the United Kingdom, Germany, Itlay and France as defined by the curret year's public relations plan. M&A will make every effort to secure a cooperating airline for the above group movements, but can not guat'antee an air carrier's. participation Individ1i;al journalist trips for the previous markets are also to be developed Coordination with public t'elatiotlS officers of Florida- served airlines, Visit USA, Visit Florida and other Florida representation offices is included among M&A responsibilities. 3. M&A to provide public relations SUppQl't fOt' IDC Sales and Marketing representatives at major intemational trade shows in the UK and Europe in which me participates. M&:A ~ecifical1y is to provide a staff p-erson. familiar with the Florida Keys & Ker- West product. in the TOC b90th during regular show hours. C o11tinued>>> \ AgreemeAt lor ::H!fYUt5--1:0Damaeo., -2- . 4. M&A will provide a monthly report of all UK and European activities on behalf of the Florida Keys & Key West including press clippings (cuttings) from appropriate media and video or radio "air checks" when available. 5. An M&A executive will meet with the USA agency and/ or with IDC's public relations committee and/ or the Council as a whole, at least twice annually. These meetings can be in conjunction with the projected media fam trips or during travel trade shows, desc:ribed on the previous page. The MAl TOC account supervisor and MAl IDC account executive will visit the Keys a minimum of two times during the fiscal annum. MAl IDe German, Italian and French representatives will vlsit the Keys. at least once during the fiscal annum. These can and should be during projected media fams or assisting with .cespective market broadcast pt'oduction groups. 6. McOuskey &. Associates agrees to maintain appropriate liability and special indemnification insurance of at least 1 milliCin British pound<; as well as agrees to indemnify Stuart Newman Associates, rnc., Monroe County Tourist Development Council and Monroe County Board of County Commissioners for any losses or claims which might arise under the terms of this agreement. 7. This contract will extend from October 1, 1998 through September 30, 2001, according to the following. agreed upon fee schedule: Ye.ul: For the 12 months from October 1, 1998 through September 30, 1999, a total of $100,000, payable in monthly installments of US $8,333.33 billable at the end of each month . Year 2: For the.12 months from October 1,1999 through September 30, 2000, a total of $100,000 payable in monthly installments of US $8,333.33, billable at the end of each month, subject to an increase based upon the applicable CPI (Consumer Price Index) as determined by the IDC and Monroe County, Florida. Fee to be payable in monthly installments of US $8,333.33, plus monthly pro-rata amount of any applicable CPI increase, billable at the end of each month Yeu 3: For the 12 m.onths from October I, 2000, through September 30, 2001, a total of $100,000, subject to the aforementioned CPI increase, payable in monthly installments of US $8,333.33, plus accumulated pro-rata CPI increases, billable at the end of each month. Year 4: In the event that the renewal option of the master agreement between Monroe County Board of County Commissioners (MCBBC) and Stuart Newman Associates (SNA), dated 21 September, 1998, is exercised by the MCBBC then SNA may elect to extend this agreement for one additional year under the same terms and conditions, provid~ that SNA provides to M&A written notice of its election of this option no later than June 15, 2001, In this event, the fee for the 12 months from October 1, 2001 through September 30, 2002" will be a total of $100,000, plus any accumulated pro- rata CPr increases; payable in 12 equal monthly installments the total amount of which is to be determined . Continued>>> -3- 7. Termination: In accordance Withthe master contract, either SNA or M&A sha I have ~he right to cancel this contract at its sole discretion upon proViding ninety (9 ) dc.1ys written notice to the other party. In the e'Vent of such a termination, M&A shall, .elivcr ro SNA all papers, photographs and other materials related to the work performed under this contract to date prior to receipt of final payments for fees and authorized expel' ;es. 8. Expenses for each 12'.month period may not exceed an amount as determined n the annual public relations plan (which is approved by the me and Board of ( ounty Commissioners) to include. such items as printing and release reproduction, cl pping service, mailing and postage of releases and photos in the designated countriE i; any photography required in the UK and Europe; providing public relations Support in all UK and European travel trade shows the roc participates in; travel within the ~ ~rvice area, entertainment of rnedia under TOe guidelines; reduced-rate journali t air transportation when appro\'ed by SNA and complimentary is not available; anc such items as generally are required to fulfill publicity and promotional responsil; lities. Authorized expenses will be reimbursed as SOon as possible after receipt of me nthly invoices, subject to proppr Sltpportil::lg documPtl~ in accordance with Monroe C >tmty spec fications. 9. Agency travel to the Florida Keys, when directed by SN A and not included in ai "line- participation wiJI be reimbursed, when not pre-paid in the USA. 10. Expenditures ~X~ $250 U.S. must be approved in ad vance by SNA. 11. Payments will be rendered in U.S. Dollars and will be payable. wherever direct d by M&.A. . 12. An Account Supervisor, Account fixecuti-ve and on~locati.on German, Italiar and French public relations representatives satisfactory to SNA will be designated by M& ~. 13. This agreement is govemed by the general limitations of SNA's current contract ",ith Monroe County which includes a prohibition against publicity rept'ese:ntatio 1 of individual resorts Ot attractions within Monroe County, or other Florida destinat OIlS, unless approved in C1dvance by TOe. 14. This Agreement may be amended as needed by mutual Con$ent of M&:A and ~ \lA, subject to the approval of TOC and the Board of County Commissioners of Mo lroo County. Signed and' agreed Upon this 30th day of September. 1998. M<CWSKEY ASSOCIATES ~{'(\ ~ "-_\-:..__'>.1__-:_ SWART NEWMAN ASSOc., Ine.