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Home My WebLink AboutORANGE COUNTY AUTO DEALERS ASSOCIATION (FRANCHISED VEHICLE DEALERS)f�'�"Ill , tulaE NO-r 1'E(A' )IFif q A-2019.052 l,UNX C CC.>Uiut"Y T+" PARTICIPATION AGREEMENT FOR THE CITY OF SANTA ANA APR 0 4 2039 VEHICLE INCENTIVE PROGRAM WITH SANTA ANA FRANCHISED VEHICLE DEALERS �foI'G J1,Br�t+1• This Participation Agreement for the City of Santa Ana's Shop Santa Ana Vehicle Incentive Program ("Agreement") is entered into this /`"'day of March, 2019, by and between the City of Santa Ana, a charter city and municipal corporation organized and existing under the Constitution and laws of the State of California ("City"), and Franchised Vehicle Dealers located in the City of Santa Ana ("Dealership(s)"), all collectively referred to hereafter as the "Parties." RECITALS 1. The Parties desire to implement a City of Santa Ana Vehicle Incentive Program ("VIP") whereby the City shall reimburse the amount of $500.00 to Santa Ana residents and licensed Santa Ana businesses for the purchase or lease of a new or pre -owned vehicle from a participating Dealership in the City of Santa Ana pursuant to the terms defined herein. This Agreement will govern the process of reimbursement to participating Dealerships that provide a corresponding discount on the purchase or lease price of any qualifying new or pre -owned vehicle purchased in the City of Santa Ana by a resident of the City of Santa Ana or licensed Santa Ana business. 2. The Dealerships participating in the VIP shall include: Audi South Coast; Crevier BMW; Crevier Mini; Freeway Honda; Guaranty Chevrolet; Lincoln South Coast; Subaru Orange Coast; Tom's Truck Center; Volkswagen South Coast; and, Volvo of Orange County. 3. bate Progratn: The City of Santa Ana hereby agrees to provide to the participating Dealerships a rebate of $500.00 per qualifying new or pre -owned vehicle, with a minimum sale price of $1.5,000, purchased or leased by a resident of the City of Santa Ana or licensed Santa Ana business, provided: A. The Dealership documents the sale or lease of the new or pre -owned vehicle to an eligible City of Santa Ana, resident or licensed Santa Ana business under the program guidelines; B. Discounts the purchase or lease price of the qualifying new or pre -owned vehicle an additional amount of $500 from the agreed upon purchase price; and, C. Dealership to submit all required rebate forms to the City monthly after an initial 90 -day commencement period on July 1, 2019 providing rebate request and corresponding proof of sale document under the program guidelines established by the City for administration of the VIP. Page 1 of 5 City of Santa Ana Vehicle Incentive Prograin 4. Dealership Responsibilities: The Dealership shall meet all of the following requirements: A. Dealership must be a Franchised Vehicle Dealer located in the City of Santa Ana; B. Dealership must be in good standing with its manufacturer; C. Dealership shall have no unresolved code violations or any legal or administrative proceedings with the City; D. Dealership shall promote the VIP with a minimum value of $25,000 annually in marketing efforts; and, E. Dealership shall meet the requirements of the City under the VIP program guidelines established by the City Manager or designee for the rebate program. 5. Santa Ana Resident Responsibilities: A. Applicant must be able to prove City of Santa Ana residency under the program guidelines established by the City Manager or designee for the rebate program; and, B. The City sponsored rebate is available only for the purchase or lease of a new or pre -owned vehicle with a minimum sale price of $15,000 from a participating Dealership. 6. Santa Ana Business Responsibilities: A. Business must be able to provide proof of location within the City of Santa Ana and valid Santa Ana business license under the program guidelines established by the City Manager or designee for the rebate program; and, B. The City sponsored rebate is available only for the purchase or lease of a new or pre -owned vehicle with a minimum sale price of $15,000 from a participating Dealership. 7. Term: This Agreement shall commence on April 1, 2019, and continue for a two (2) year period. Additionally, the City shall have one (1) optional two (2) year extension and one (1) additional optional one (1) year extension of the Term of the Agreement that may be exercised in the City's sole discretion by a writing executed by the City Manager and the City Attorney. Thereafter, the Tenn of this Agreement may be extended by a writing executed by the City Manager and the City Attorney. 8. Reimbursement by City: Dealerships shall request reimbursement after ninety (90) days of the commencement of the Agreement (June 30, 2019). The first reimbursement payment will be within thirty (30) days of complete submission by the Dealership. Thereafter, the City shall reimburse Dealerships within thirty (30) days of monthly submittals of requests for reimbursement and all required documentation required by the City to verify the sale or lease of a qualifying new or pre -owned vehicle under the VIP guidelines. All purchases shall be bundled and submitted to Page 2 of 5 City of Santa Ana Vehicle Incentive Program the City on a monthly basis, and reimbursements will be issued by the City within thirty (30) days of complete submission by the Dealership. The maximum amount of reimbursements by the City for the VIP shall not exceed $1,700,000 per year of the Agreement. 9. Administration: The City Manager is hereby appointed to administer this Agreement and take all necessary actions to implement this Agreement on behalf of the City. 10. Interpretation of the Agreement: A. This Agreement constitutes the entire agreement between the parties and supersedes all prior discussions, negotiations, and agreements, whether oral or written. Any amendment to this Agreement, including an oral modification supported by new consideration, must be reduced to writing and signed by both parties before it will be effective. B. This Agreement and all amendments and supplements to it may be executed in counterparts, and all counterparts together shall be construed as one document. C. This Agreement is to the benefit of, and is binding on, the parties, their respective heirs, personal representatives' successors and assigns. D. The captions heading the various paragraphs of this Agreement are for convenience and shall not be considered to limit, expand, or define the contents of the respective paragraphs. Masculine, feminine, or neuter gender and the singular and the plural number, shall each be considered to include the other whenever the context so requires. If either party consists of more than one person, each such person shall be jointly and severally liable. This Agreement shall be interpreted under California law and according to its fair meaning, and not in favor of or against any ply. 11. Governing Law: This Agreement is executed and intended to be performed in the State of California, and the laws of that State shall govern its interpretation and effect. Any legal proceedings on this Agreement shall be brought under the jurisdiction of the Superior Court of the County of Orange, State of California. (Signatures on following page) Page 3 of 5 City of Santa Ana Vehicle Incentive Program IN WITNESS WHEREOF, the parties hereto have executed this Agreement the date and year first above written. a IIFT 1 NORMA MITRE Acting Clerk of the Council APPROVED AS TO FORM: SONIA R. CARVALHO City Attorney By: gjA_ Ryan "odg Assistant City Attorney RECOMMENDED FOR APPROVAL: STEVEN A. MENDOZA Executive Director Community Development Agency CITY OF SANTA ANA STEVEN A. MENDOZA Acting City Manager (Dealer Signatures on following page) Page 4 of 9 City of Santa Ana Vehicle Incentive Program 0077-1/494281 OCADA DEALERSHIPS AUDI SO T COAST (title) Tax ID# CREMENI (title) Tax ID# Tax TxID# ! ��` Z V 3 (title) Tax ID# 47`0gr7 Sa-4 �U. Tax ID# �7 -�Z- Page 5 of 5 City of Santa Ana Vehicle Incentive Program CREVI R MW (title) Tax ID# FREEWAY HONDA ..��l �U�- fie'' Gol f� (title) � � Tax ID# ;��a IVr rz (title) (J-CL�VW- An" Tax ID# L17 - 4 if 6 3's b h TOM 7 R (titax le) 9s-;�S736s'� VOLVQ,0Tt ,2ANGE COUNTY (title) V (celyfvDl ot,C -) Tax ID# �1 cq-�-Z`/ % `1