Loading...
HomeMy WebLinkAboutRes2021-091 City Council Agenda Statement Meeting Date: August 23, 2021 To: City Council From: Janette Bower, City Manager Agenda Item: Resolution 2021-091: Authorizing the City Manager to Enter into a Contractual Agreement with the Alaska Small Business Development Corporation and the Seward Chamber of Commerce for Three Years to Establish a Seward Small Business Advisor Position, which is Intended to Increase Small Businesses Development in the Seward Community, in Amount Not to Exceed $25,000 Per Year, and Appropriating Funds Background and justification: There has been a recognized need for a full-time position in the Seward area to assist in the creation and growth of small businesses, capitalize on new opportunities, and help develop the health of our year-round economy. The local need for small business assistance was prevalent far before COVID, and has only been exacerbated by the pandemic. SBDC has already helped more than two dozen local businesses in accessing their resources over the last couple of years. The services are limited, though, since SBDC is located in Soldotna and services a majority of the Kenai Peninsula. We believe that the number of small businesses who reach out for assistance would increase significantly if there was a staff person located in Seward, working for Seward businesses. -round economy to make Seward a more fertile business climate in the fall, winter, and spring. There is great opportunity to grow our marine and support sectors both in ship building and repair, as well as the aquaculture and fisheries. There are also new business opportunities to be explored and capitalized on with the coming of the Coast Guard fast response cutter and facility, new freight dock, and new cruise ship terminal, among other opportunities. The reporting that is required by the SBDC, as part of University of Alaska Anchorage (UAA) and the Small Business Administration (SBA), will demonstrate the return on investment, be a key tool for measuring success and impact, and provide useful information for decision making. By creating one full-time small business development position in Seward, we can expect further job creation as new and existing businesses use the assistance to grow and expand, keeping work and dollars in the community that is currently going elsewhere. Another outcome would be increased sales tax revenues for the city of Seward, therefore benefiting the entire community. The Alaska SBDC has experienced tremendous growth the past few years and has become a pillar in the Alaska business community. In the last three years, the Alaska SBDC has provided support to over 4,800 clients, resulting in over 500 new businesses started, 15,000 jobs supported and $120 million in capital infusion brought into the economy through business loans, lines of credit, and other investments. An Alaska SBDC advisor in Seward would be expected to provide 612 hours of advising, 75 clients counseled, 10 new businesses started and bought, 125 jobs supported, and $1.1 million in capital infusion each fiscal year. The intent is to fund $25,000 annually for a term of three years towards the creation of a Seward Small Business Advisor position. This person will work out of the Seward Chamber of Commerce building and will be evaluated and overseen by SBDC, the Seward Chamber of Commerce, and the City of Seward. Consistency checklist: Comprehensive Plan: 3.4.2 Strategic Plan: page 4 Other: N/A Fiscal note: Total annual cost is $25,000 for 2021, 2022, and 2023. The $25,000 is independent of the contract with the City, which allows for a share of one-half of revenues, generated from the Hotel/Motel Room Tax, between the City and the Chamber of Commerce. Funding is from: 01000-0000-3400 (General Fund Unassigned Fund Balance) Finance Department approval: Attorney Review: Yes No Not applicable Recommendation City Council adoption of Resolution 2021-091. AGREEMENT TO PROVIDE SERVICES The University of Alaska Anchorage (UAA) and the City of Seward, agree the scope of work will be performed in accordance with the following conditions: 1.Scope of Work: The s Seward Center Partnership, is described in Exhibit A attached hereto and by reference incorporated here. 2.Period of Performance: The effective date of this contract shall be October 1, 2021 and shall terminate on September 30, 2022, unless amended by written mutual consent. No expenses will be reimbursed which are incurred prior to the effective date or after the termination date without prior approval from both parties. 3.Compensation: The City of Seward will compensate UAA, on a reimbursable basis, for costs incurred to complete the scope of work as described in Paragraph 1. Total compensation shall not exceed $25,000. Invoices will be submitted at the end of the project and will itemize costs as detailed in the project budget (attached as Exhibit B). The City of Seward agrees to pay all UAA invoices within thirty (30) business days of receipt of invoice. 4.Indemnification To the fullest extent permitted by applicable law the City of Seward shall defend, indemnify, and hold harmless UAA, its Board of Regents, agents, officers, and employees from or against any and all loss, expense, damage, claim, demand, judgment, fine, charge, lien, liability, action, cause of action, or proceeding of any kind whatsoever (whether arising on account of damages to or loss of property, personal injury, emotional distress, or death) arising directly or indirectly in connection with the advice given by, the products supplied by, or the performance of or activities of the University, its Board of Regents, agents, officers, and employees whether the ion or expiration of this Agreement recklessness or intentional acts. 5.Venue and Applicable Law Any civil action arising from this Agreement shall be brought in the state courts of Alaska in Anchorage, Alaska. The laws of the State of Alaska shall govern the rights and duties of the parties under this agreement. 6. Disclaimer of Warranties To the fullest extent permitted by law, UAA makes no warranties, express or implied, as to any matter whatsoever including, without limitation, the condition of any work performed under this Agreement, or the merchantability or fitness for a particular purpose or function of any advice given or of any product prepared, made or developed under this Agreement. The City of Seward understands and accepts that all work, products and advice are As Is and without warranty. 7. Assignment This Agreement shall not be assigned by either party without the prior written consent of the other. 8. Ownership of Documents: All reports, plans, trainings and documents and other materials prepared by UAA under this Agreement that are specifically Alaska SBDC focused, as well as all existing Alaska SBDC materials used through the Seward Center are the property of UAA and UAA retains the intellectual property rights in these materials. Materials that are developed through this partnership that are specifically City of Seward focused as well as any existing City of Seward used through the Seward Center are the property of the City of Seward and the City of Seward retains the intellectual property rights to these materials. The City of Seward shall have a perpetual, royalty-free, non-exclusive, worldwide and irrevocable right to reproduce, publish, or otherwise use, and to authorize others to use the Alaska SBDC materials developed through the Seward Center. 9. Termination of Agreement Either party may terminate this Agreement with or without cause upon 30 days written notice. In the event of termination, the City of Seward shall reimburse UAA for all reasonable, allocable and allowable costs incurred up to the effective date of termination. 10. Entire Agreement This Agreement is the entire Agreement between the parties and it supersedes all prior agreements, discussions or understandings, written or oral. 11. Modifications The parties may modify or amend this Agreement only in a document signed by the authorized representatives of both parties. 12. Nondiscrimination In performing its duties under this agreement, UAA will not discriminate against any person Rebased on race, ethnicity, national origin, color, sex, sexual orientation, gender identity of Agreement between University of Alaska Anchorage and the City of Seward Page 2 of 3 expression, marital status, political belief, religion, immigration status, mental or physical disability, veteran status, pregnancy or parenthood. 13.Confidentiality Except as required by applicable law or by any court order, UAA agrees to treat information clearly marked as confidential by the City of Seward in a confidential manner. This means that UAA will use it and distribute it only as necessary to fulfill its obligations under this Agreement. The parties understand, however, that this Paragraph does not prohibit UAA from copying, distributing and using the materials it develops or prepares under this Agreement as provided under Paragraph 8. 14.Contact Persons and Notices The contact persons for each party and the addresses to send Notices that are necessary under this Agreement are: Jon Bittner University of Alaska Anchorage Alaska SBDC 1901 Bragaw St Suite 199 Anchorage AK 99508 907-529-1103 Jon.bittner@aksbdc.org 15.By signing below, the parties certify that they have the authority to bind their agencies to the terms and conditions of this Agreement. SIGNED SIGNED University of Alaska Anchorage _______________________________________________________________________ Aaron D. Dotson, PhD Associate Vice Chancellor for Research Date: ________________________________Date: ________________________________ ____________________________________ Agreement between University of Alaska Anchorage and the City of Seward Page 3 of 3 Seward Business Advisor Position Description Admin Professional 1 PD-3406 PCN: Supervisor: Cliff Cochran Currently Filled: Vacant % of Responsibility / Duty Time Provide technical assistance to small business owners in Alaska. Areas of advising include, 50% but are not limited to: business plans, sources of financing, marketing, financial proposals, cash flow management and other aspects of business formation, development and expansion. Provide accurate and timely client session notes in authorized Neoserra database to enable client tracking and reporting. Follow-up with clients receiving SBDC surveys and encourage their participation. Increase the percentage of initial clients that are Connecting people / businesses / non-profits to opportunities and resources -grant/funding opportunities. Build awareness of SBDC programs and services by engaging key referral sources such as 20% banks, lenders, professional firms and other business resource partners. Attend and be an active contributor in internal staff meetings, conferences and/or trainings. Serve and be an active participant on internal SBDC Committees. Support / assist SBDC regional marketing and outreach programs. Work with Executive Director in developing relationships with City of Seward, Community Development, Borough, KPEDD Engage in community outreach, public presentations, partnershipsand other outreach to 20% leverage SBDC resources with local resources.Supporting Chamber Staff with Small Business Start Up Week, applicable networking events.Engaging w. UAA, Center for Economic Development, MEP, etc.Angel Fund 49, etc.Identify economic/industryproblems (i.e.supply chain issues) and act as catalyst for solution (gather stakeholders, make connections, develop plans, etc.).Develop an understanding of the various economic sectors. Assist indeveloping a grant to study and quantifymarine/visitor/other industries Other short term programs and projects that support the SBDC mission, such as providing 10% training, and participation in various entrepreneurial events, and similar special projects or programs.Identifying opportunities for economic development/growth, new business, public/private partnership opportunities -act as a catalyst (gather stakeholders, make connections, develop plans, etc.). Identify and support funding opportunities for the program. Performance Metrics This position will be responsible for assisting businesses in the City of Seward. To ensure that the position is fulfilling that role effectively, the Alaska SBDC will set annual performance metrics that will need to be met annually. These metri Reports will be generated on a bi- ensure that the position stays on track and that any issues can be identified early and addressed. The Annual performance metrics are in the table below. Seward Business Advisor Metrics Annual Goals Clients Served 30 Advising Hours 450 New Business Starts 5 Jobs Supported 75 Capital Infusion $500,000 Client Profiles 4 Seward Business Advisor Page 2