The URL can be used to link to this page

Home My WebLink About050508 Consult Serv Agmt Miller and Co P.C.REQUEST FOR COUNCIL/ AGENCY ACTION MEETING DATE: MAY 5, 2008 €JTL�> CONSULTING SERVICES AGREEMENT WITH MILLER & COMPANY P.C. AND COOPERATIVE AGREEMENT �..� fir--- CITY MANAGER XECUTIVE DIRECTOR RECOMMENDED ACTION CITY COUNCIL CLERK OF COUNCIL USE ONLY: /YMOt700'1; I-SICLYMIes-14+a ,-)/Vd ; i4' ll i7de 6 APPROVED As Recommended O ❑ As Amended ❑ Ordinance on 1st Reading ❑ Ordinance on 2nd Reading ❑ Implementing Resolution ❑ Set Public Hearing For CONTINUED TO FILE NUMBER 1. Authorize the City Manager and the Clerk of the Council to execute an agreement with Miller & Company P.C. in an amount not to exceed $75,000 for a one -year term, subject to non - substantive changes approved by the City Manager and City Attorney. 2. Authorize the City Manager and the Clerk of the Council to execute a Cooperative Agreement with the Community Redevelopment Agency of the City of Santa Ana (Agency) to use an amount not to exceed $75,000 of Agency funds for the creation of a basic operation manual for the Santa Ana Foreign Trade Zone and, in concert with City staff, create additional documents necessary for a wider range of foreign trade zone activities. COMMUNITY REDEVELOPMENT AGENGY Authorize the Executive Director and the Agency Secretary to execute a Cooperative Agreement with the City of Santa Ana to supply an amount not to exceed $75,000 for use in creating a basic operation manual for the Santa Ana Foreign Trade Zone and, in concert with City staff, create additional documents necessary for a wider range of foreign trade zone activities. 7 -45 Consulting Services Agreement with Miller & Company P. C. May 5, 2008 Page 2 DISCUSSION A Foreign Trade Zone (FTZ) is a duty free secured area within the United States, where merchandise can be admitted without the immediate payment of U.S. Customs duties. Benefits include greater control of cash flow since no duties are levied until goods leave the FTZ. If merchandise is re- exported, no duties are ever levied. Goods may be repackaged, relabeled, tested, modified or repaired within the FTZ. The Santa Ana Foreign Trade Zone consists of 92 acres of commercial and industrial land within the Santa Ana city limits. The location of the 92 acres can be modified to better serve local businesses through an application process to the Federal Foreign Trade Zones Board and U.S. Customs and Border Protection. Miller & Company will assist the City of Santa Ana with the creation of a step by step process to simplify the utilization of Foreign Trade Zone benefits available to Santa Ana businesses. Miller & Company will also restructure the existing Foreign Trade Zone area for the purpose of allowing additional businesses to take advantage of the program and assist with marketing efforts. By improving the FTZ marketing strategy and by simplifying the utilization process for businesses, Santa Ana will be in better position to retain and attract companies to the city. Staff is requesting approval of the contract with Miller and Associates to begin the work for better utilization of the City's Foreign Trade Zone. FISCAL IMPACT Funds are available in the Merged Economic Development Account (account no. 570 - 932 - 6291). Economic Development Manager Community Development Agency SGH /LS /RW /mlr APPROVED AS TO FUNDS AND ACCOUNTS: Francisco Gutierrez Executive Director Finance and Management Services Agency H: \ACTION ITEMS \COUNCIL \2007 CC \JT CC -CRA Consult i7Sr46MillerCO 05- 05- 08.doc COOPERATIVE AGREEMENT BETWEEN THE CITY OF SANTA ANA AND THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA (FOREIGN TRADE ZONE) THIS AGREEMENT is entered into this day of 1 2008 by and between the COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA, a public body corporate and politic (the "Agency "), and the CITY OF SANTA ANA, a charter city and municipal corporation duly organized and existing under the Constitution and laws of the State of California (the "City "). WITNESSETH A. The Agency is undertaking certain activities necessary for the execution of the City of Santa Ana redevelopment projects (the "Projects ") under the provisions of the California Community Redevelopment Law (Health and Safety Code Section 33000 et seq.) and pursuant to the redevelopment plans for the Projects. B. The Santa Ana Foreign Trade Zone (FTZ) consists of 92 acres of commercial and industrial land within the Santa Ana city limits. The location of the 92 acres can be modified to better serve local businesses through an application process to the Federal Foreign Trade Zones Board and U.S. Customs and Border protection. C. The Agency desires to contract with the City for the Agency to provide funds to the City to assist in funding the consultant, Miller and Associates, that will assist with the creation of a step by step process to simplify the utilization of FTZ benefits available to Santa Ana businesses. E. The Agency is willing to contribute funding for the consultant to simplify the use of FTZ benefits and to improve the FTZ marketing strategy. This will assist the Agency with its ongoing redevelopment activities by retaining and attracting companies to the City. NOW, THEREFORE, the parties hereto do mutually agree as follows: SCOPE OF WORK Miller and Associates will create a step by step process to simplify the utilization of FTZ benefits available to Santa Ana businesses. They will restructure the existing FTZ area for the purpose of allowing additional businesses to take advantage of the program and assist with marketing efforts. 2. COMPENSATION AND METHOD OF PAYMENT The Agency shall pay the City au amount not to exceed $75,000.00 to be applied to the total 7 -47 compensation for Miller and Associates to perform all services referenced above. From the tone the City incurs the cost of any particular work subject to this Agreement to the time the Agency reimburses the City for that cost, the amount due to the City for such improvement work shall bear interest at the rate of the average City return on investment, as the same may change from time to time. Except as may be otherwise provided (1) by separate agreement between the City and the Agency, or (2) by budget appropriations or appropriation adjustments approved by the City and the Agency, the amount to be paid by the Agency hereunder shall be paid in the same fiscal year as the year in which the debts are incurred by the City. 3. LIABILITY AND INDEMNIFICATION In contemplation of the provisions of Section 895.2 of the Government Code of the State of California imposing certain tort liability jointly upon public entities solely by reason of such entities being parties to an agreement as defined by Section 895 of said Code, the parties hereto, as between themselves, pursuant to the authorization contained in Section 895.4 and 895.6 of said Code, will each assume the full liability imposed upon it, or any of its officers, agents or employees by law for injury caused by negligent or wrongful act or omission occurring in the performance of this Agreement to the same extent that such liability would be imposed in the absence of Section 895.2 of said Code. To achieve the above - stated purpose each party indemnifies and holds harmless the other party for any loss, costs or expense that may be imposed upon such other party solely by virtue of said Section 895.2. The provisions of Section 2778 of the California Civil Code are made a part hereof as if fully set forth herein. EFFECTIVE DATE OF AGREEMENT This Agreement shall take effect from and after the date of adoption and approval by the City and the Agency pursuant to official action of the governing bodies thereof and shall be effective for a duration not to exceed the time necessary for the City to complete the work and for the Agency to pay the City in full. This Agreement shall apply to all activities carried out by the parties as set forth in Section 1 hereto. NWK IN WITNESS WHEREOF, the parties hereto have executed this Agreement the date and year first above written. ATTEST: Patricia E. Healy Clerk of the Council ATTEST: Patricia E. Healy Secretary APPROVED AS TO FORM: Joseph W. Fletcher City Attorney /Agency General Counsel By: Lisa E. Storck Asst. City Attorney /Asst. Counsel CITY OF SANTA ANA By David N. Ream City Manager COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA by 3 7 -49 Stephen G. Harding Executive Director