HomeMy WebLinkAboutRes2004-072
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Sponsored by: Shealy
CITY OF SEWARD, ALASKA
RESOLUTION 2004-72
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AUTHORIZING PAYMENT IN THE AMOUNT OF $54,350 TO
THE SEWARD CHAMBER OF COMMERCE FOR PROVIDING
MARKETING SERVICES ON BEHALF OF THE COMMUNITY,
REPRESENTING THE SECOND HALF OF THE AMOUNT BUDGETED
FOR MARKETING IN 2004, BASED ON 50% OF THE BED TAX
COLLECTED IN 2002
WHEREAS, the City of Seward implemented a 4% bed tax on January 1, 1996 and from
1996 through 2000, contributed varied amounts ofthe bed tax to the Seward Chamber of Commerce
("Chamber") to fund specific activities such as improvements to the visitor center, a visitor brochure,
a feasibility study, convention center study, etc.; and
WHEREAS, the Seward City Council in 2001 agreed to share 50% of the budgeted bed tax
with the Chamber for the express purpose of providing marketing services on behalf of the
community; and
WHEREAS, beginning in 2002, the Seward City Council began basing the contribution to
the Chamber on 50% ofthe previous full years' actual bed tax collected; and
WHEREAS, the Fiscal Year 2004 Approved Budget authorized a contribution to the
Chamber of $108,700, representing 50% of the bed tax collected in FY2002, and on February 4,
2004, the City Council approved Resolution 2004-14 authorizing the first half of the bed tax to be
paid to the Chamber; and
WHEREAS, there has been considerable discussion by the City Council, including a work
session held on January 19, 2004, regarding the need to improve accountability for expenditure of
bed tax monies and the Council continues to deliberate on this matter, and the city manager is
meeting with the marketing committee of the Chamber to formulate a Professional Services
Agreement which will delineate the scope of services to be provided by the Chamber, as well as the
means for maintaining accountability for public funds; and
WHEREAS, in a letter dated May 13, 2004, the Chamber requested distribution of the
remaining budgeted marketing funds in the amount of $54,350; and
WHEREAS, although the City Council approved the annual budget which included the
appropriation of bed tax to the Chamber, Seward City Code S6.05.01O requires City Council
approval for expenditures in excess of$10,000.
CITY OF SEWARD, ALASKA
RESOLUTION 2004-72
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA, that:
Section 1. The city manager is authorized to pay the Seward Chamber of Commerce
$54,350, representing the second half of the $108,700 authorized in the FY2004 Budget for
marketing, which is based on 50% of the bed tax collected in 2002.
Section 2. Funds for marketing were appropriated in the FY2004 budget in the contributions
account number 101-1191-5610-1189.
Section 3. This resolution shall take effect immediately.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 14th
day of June, 2004.
THE CITY OF SEWARD, ALASKA
.r{~ =&r
Vanta Shafer, Ma or
AYES:
NOES:
ABSENT:
ABSTAIN:
Dunham, Valdatta, Amberg, Clark, Anderson, Shafer
None
Branson
None
ATTEST:
J e. Lewis \ '
. k J
Clt C1er
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