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<br />I <br /> <br />I <br /> <br />I <br /> <br />Sponsored by: Shealy <br /> <br />CITY OF SEWARD, ALASKA <br />RESOLUTION 2004-14 <br /> <br />A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, <br />ALASKA, AUTHORIZING PAYMENT IN THE AMOUNT OF $54,350 TO <br />THE SEWARD CHAMBER OF COMMERCE FOR PROVIDING <br />MARKETING SERVICES ON BEHALF OF THE COMMUNITY, <br />REPRESENTING ONE-HALF OF THE AMOUNT BUDGETED FOR <br />MARKETING IN 2004, BASED ON 50% OF THE BED TAX COLLECTED <br />IN 2002 <br /> <br />WHEREAS, the City of Seward implemented a 4% bed tax on January 1, 1996 and from <br />1996 through 2000, contributed varied amounts of the bed tax to the Seward Chamber of <br />Commerce ("Chamber") to fund specific activities such as improvements to the visitor center, a <br />visitor brochure, a feasibility study, convention center study, etc.; and <br /> <br />WHEREAS, beginning in 2001, the Seward City Council agreed to share 50% of the <br />budgeted bed tax with the Chamber for the express purpose of providing marketing services on <br />behalf ofthe community; and <br /> <br />WHEREAS, beginning in 2002, the Seward City Council began basing the contribution <br />to the Chamber on 50% of the previous full years' actual bed tax collected; and <br /> <br />WHEREAS, the Fiscal Year 2004 Approved Budget authorized a contribution to the <br />Chamber of$108,700, representing 50% of the bed tax collected in FY2002; and <br /> <br />WHEREAS, there has been considerable discussion by the City Council, including a <br />work session held on January 19, 2004, regarding the need to improve the accountability for <br />expenditure of bed tax monies and the Council continues to deliberate on this matter; and <br /> <br />WHEREAS, the Chamber of Commerce has requested that Council agree to pay them <br />one-half of the budgeted contribution for marketing now, in order to meet their cash flow needs, <br />and they have agreed to provide annual budgets and financial statements to the City, itemizing <br />specific marketing-related expenditures; and <br /> <br />WHEREAS, although the City Council approved the annual budget which included the <br />appropriation of bed tax to the Chamber, Seward City Code 96.05.010 requires City Council <br />approval for expenditures in excess of$IO,OOO. <br /> <br />NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE <br />CITY OF SEWARD, ALASKA, that: <br />