ITEM 3.12 Newsletter PublisherRequest for
eo TY ofCity Council ActionOt�c'
MINNESOTA V
DEPARTMENT INFORMATION
ORIGINATING DEPARTMENT: REQUESTOR: MEETING DATE:
Administration Lori Johnson, City Administrator October 24, 2016
PRESENTER(s): REVIEWED BY: ITEM #:
Consent Andy MacArthur, City Attorney 3.12
AGENDA ITEM DETAILS
RECOMMENDATION:
Recommend approval of the contract with Prime Advertising to publish the City newsletter as discussed
at the August 29, 2016, Council meeting.
ARE YOU SEEKING APPROVAL OF A CONTRACT? IS A PUBLIC HEARING REQUIRED?
Yes I No
BACKGROUND/JUSTIFICATION:
At the August 29, 2016, budget worksession, the Council discussed an option to enhance the City
newsletter while reducing the cost of publication by $3,800 per year. The Council agreed to engage
Prime Advertising to publish the newsletter beginning with the Spring 2017 edition. The Council further
requested that Prime Advertising representatives attend the October 28 Council and business
community meeting. (That meeting was subsequently delayed until a new city administrator is on
board.) Additionally, the Council reduced the draft budget by the $3,800 savings.
The attached contract with Prime Advertising has been reviewed and approved by the City Attorney. It
includes a 90-day termination clause allowing the Council to terminate the contract for any reason. The
contract is the same as the contract proposed at the August 29, 2016, meeting. In order to meet the
Spring 2017 issue timeline, Prime Advertising needs to begin working with businesses and staff now
hence the need to execute the contract as soon as possible.
SUPPORTING DOCUMENTS: Xo ATTACHED ❑ NONE
• Contract Between the City of Otsego and Prime Advertising & Design, Inc. for the Publication of
the City of Otsego View Newsletter
• August 29, 2016, Council Minutes
POSSIBLE MOTION
Please word motion as you would like it to appear in the minutes.
Motion to approve the Contract Between the City of Otsego and Prime Advertising & Design, Inc. for the
Publication of the City of Otsego View Newsletter.
BUDGET INFORMATION
FUNDING BUDGETED: X o YES
The full cost is included in the draft 2017
budget. If this contract is not approved, the ° No
2017 budget must be increased by $3,800 to
cover the savinjzs this contract provides.
PRIME ADVERTISING & DESIGN, INC.
& THE CITY OF OTSEGO
OTSEGO VIEW NEWSLETTER
Prime's Deliverables:
PRIMC-
s
• Collaborate with City staff to develop informative, insightful and entertaining content. Prime will
develop an editorial menu and provide a minimum of one (1) original piece of content authored by
Prime Staff. Prime will also provide photography services via staff photographer to supplement City
photography. All content will be proofed and approved by the City of Otsego.
• An enhanced / redesign of the newsletter, including expansion to 16 pages and upgrading to a four-
color process allowing for best use of high -resolution images and vibrant design.
• Advertising sales to businesses in and around the Otsego community.
• Printing of 6,200, 16-page, 4-color newsletters.
• Direct mailing of up to 6,000 newsletters to all homes, apartments and businesses in Otsego.
• Conversion from print into a digital edition format for use on City website. The `turn -page' digital
edition includes links to websites and emails of all advertisers, as well as relevant content.
City of Otseszo Deliverables:
The City shall pay a comprehensive, all-inclusive, per issue publishing fee of $4,250. This includes all
services outlined under Prime Deliverables including editorial, design, production, printing and
mailing.
• Editorial support to Prime staff in developing timely and relevant content and photography.
• Editing, proofing and approval of newsletter content.
6450 WedDvood Road North, Suite 100 • Maple Grove, MN 55311 • P/763.551.3700 • F/763.551.3701 • PrimeAdvedisin&com 6 MyPrimeGuide.com
PRIME
novicensn�o a ocs�oH
CONTRACT BETWEEN THE CITY OF OTSEGO AND
PRIME ADVERTISING & DESIGN, INC.
FOR THE PUBLICATION OF THE
CITY OF OTSEGO VIEW NEWSLETTER
This agreement made and entered into this day of 2016, by and between the CITY OF
OTSEGO, a municipal corporation, hereinafter referred to as "City" and PRIME ADVERTISING &
DESIGN, INC., a corporation doing business at 6450 Wedgwood Road North, Suite 100, Maple Grove,
Minnesota, 55369, hereinafter referred to as "Prime."
The parties wish to reduce to writing the terms and conditions regulating the production and distribution of
said newsletter. Based upon mutual considerations contained herein, the parties agree as follows:
Purpose of Newsletter
The Otsego View promotes a positive image of the City and is a key vehicle to deliver timely, up-to-date City
news and information within the community. An enhanced version of the View will be valuable in promoting
the economic development for the city, businesses and residents. The View is also an important marketing
tool for local businesses, allowing them an efficient vehicle to reach every home, apartment and business in
the community.
Size
The newsletter shall be a sixteen (16) page, magazine -style publication. Printed on White 70# Matte — 4/4
Full Color, Two Sides with Bleeds, fmished size will be 8.25" x 10.75", Collated, Saddle Stitched. Prime
reserves the right to increase or decrease the number of pages based on content and participation with
notification to the City.
Advertising
Prime shall be solely responsible for and may sell space to advertisers on such terms, conditions and at such
prices as Prime determines. Prime shall follow the Advertising Guidelines in Exhibit A of this contract. In its
contracts with advertisers, the contracts shall clearly state that the City is not a party to the contract and that
the advertiser's sole source of recourse is against Prime. Prime will indemnify and hold harmless the City for
any and all claims of any kind or nature arising out of the advertisers' content within any publication of said
newsletter.
Advertising shall be limited to 6 pages or 38% percent of the newsletter space. Advertisements will be
limited to a 1/2, 1/4 and 1/8-page ads. On one page there may be no more than 1/2 of the page dedicated to
advertising (either two 1/4-page ads, four 1/8-page ads or one 1/2-page ad).
Publication Dates
The newsletter shall be published on a schedule to be determined. Prime shall provide the City with a
production schedule based on the City's requested mailing dates. Every reasonable effort will be made by
both parties to meet said schedule. By December 31 st of each year, Prime shall provide the City with
upcoming year's production schedule.
6450 Wedgwood RoadNortll, Suite 100 • Maple Grove, MN 55311 • P/763.551.3700 • F/763.551,3701 • NmeAdvertising.com • MyNimeGuide.com
PRIMC-
ADYGFTISIND G DCSIDN
Publication
Working with the City of Otsego, Prime will develop a content schedule and editorial menu and provide
original content as outlined in this agreement authored by Prime staff. All content will be proofed and
approved by the City of Otsego. Each publication shall contain a disclaimer statement, approved by the City,
to the effect that the advertisers offset the costs of the publication and that Prime, not the City, is in total
control of the advertising content of the publication. Prime will also receive approval from the City for any
special insertions to the newsletter unless the insertion items are at the City's request.
Production
The City shall be responsible for providing Prime with any electronic copies of articles they would like
included, as well as any photos (either electronic or actual) to be published. Prime may also provide photos
and/or stock art in the design/layout of the newsletter with final approval of the City. Prime warrants it has
rights to the photos and/or stock art it provides and will indemnify and hold harmless the City from any and
all claims arising for copyright infringement relating to the use of said photos and/or stock art in the
design/layout of the newsletter. Prime shall be responsible, subject to this agreement, for all aspects of
production of the newsletter including, but not limited to, design, layout, printing and post -production
delivery of all newsletters.
Ownership/Copyriaht
The City shall own the copyright of the newsletter, provided that each party shall retain ownership rights,
including copyright, of their respective independent contributions to the newsletter. As owner of the
copyright of the newsletter, the City shall have the right to reproduce and distribute all or part of the
newsletter for any purpose.
Distribution
Prime, through the U.S. mail, shall distribute the newsletter. Prime is responsible for receiving routes and
count information from the area post offices and ensuring that all newsletters to be mailed are delivered to the
Otsego Post Office. The newsletter shall be distributed to each residential unit, including apartments,
townhouses and condominiums, and to each business located within the geographic confines of the City of
Otsego, except for Post Office Boxes. One hundred (100) additional copies of each edition shall be delivered
to the City at no charge. Prime shall provide the City with a digital edition of the newsletter for posting on the
City website.
Charges
The City shall pay a per issue comprehensive publishing fee of $4,250. This includes all services outlined
under Prime Deliverables including editorial, design, production, printing and mailing.
Additional charges will apply to the City when an item(s) are inserted in the newsletter at the City's request.
Cost will depend on the size and weight of item inserted. Cost of insertion items weighing more than 1/2
ounce will be handled on a case -by -case basis. Prime shall not insert any item without prior review and
approval by the City.
6450 Wedgwood Road North, Suite 100 • Maple Grove, MN 55311 • P/763.551.3700 • F/763.551.3701 • PrimeAdvertising.com 0 klyPrimeGuide.com
PRIMC-
AOVEHTIStNO G OESION
Term
The initial term of this agreement will be for three years (2017 - 2019) for 12 issues of the quarterly
publication of the City of Otsego newsletter. Ninety days prior to December 31, 2019, the terms of this
agreement will be reviewed, and a longer -term contract may be agreed and executed by both parties.
Termination
Each party shall retain the right to terminate this agreement by giving ninety -days written notice to the other
party of such termination.
Independent Contractor Indemnification
It is understood and agreed that Prime is an independent contractor and is not an employee of the City. As
such, Prime agrees to indemnify, save and hold harmless the City from any and all claims of every kind and
nature which may arise out of the advertising content of any Newsletter and Prime's performance of this
contract. In turn, the City agrees to indemnify, save and hold harmless Prime for any and all claims of every
kind and nature which may arise from the article content of any said newsletter publication and the City's
performance of this contract. Any disputes arising out of this agreement shall be decided according to the
laws of the State of Minnesota and venued in a Minnesota court of competent jurisdiction.
In witness whereof the parties hereto have entered into this agreement as of the day and year first above
written.
CITY OF OTSEGO
PRIME ADVERTISING & DESIGN, INC.
City/Organization
Contra for
VV"-
By
By
President/CEO
Its
Its
Mark J. Murray
Printed Name
Printed Name
Date
Date
6450 Wedgwood Road North, Suite 100 0 Maple Grove, MN 55311 • P/763.551.3700 • F/763.551.3701 • PiimeAdveitising.com • MyP imeGuide.com
PRIMC-
ADVERTISIND G DESION
PRIME ADVERTISING GUIDELINES — Exhibit A
Advertising Content: In its agreements with advertisers, the agreements shall clearly indemnify and hold harmless the
"City" for any and all claims of any kind or nature arising out of the advertiser's display advertising content.
Prime shall obtain family friendly commercial messages and/or advertisements consistent with the following guidelines.
Any commercial message or advertisement which contains any of the following characteristics or which is of the type or
category listed shall be and hereby are expressly prohibited:
1. Promotion of the sale or consumption of tobacco products or depiction of the use of tobacco products.
2. Promotion in any form of illegal drugs, illegal drug use or illegal drug materials or characterizations which suggest
or depict the promotion or glorification of any such products, activities or materials.
3. Promotion for the use or sale of firearms, explosives or other weapons, or the depiction, suggestion or glorification
of violence or acts of a violent nature.
4. Advertisements containing material that demeans or disparages an individual or group of individuals on the basis of
race, color, religion, national origin, ancestry, gender, age, disability, ethnicity, marital or parental status, military
discharge status, source of income, or sexual orientation.
5. Commentary, advocacy or promotion of issues, candidates, campaigns or organizations of a social, political,
religious, or rhetorical nature.
6. Depiction in any form of nudity or semi -nudity, profanity, obscenity, or lewdness or characterizations which
suggest, depict or promote any such element or sexually oriented products, activities or materials.
7. Use of language or descriptive material which taken in form and context is deemed to be unsuitable for and
contrary to community standards or standards of appropriateness for governmental or family audience.
8. Use of words, language, representations or descriptive material of any kind having more than one meaning or
connotation, one of which would otherwise be prohibited under these guidelines.
All advertising shall conform to guidelines above and must be approved by the "City" before production. The City approval
process will require Prime to submit a proof of all proposed advertisements to the City, including content, size and
proposed placement. The City retains absolute discretion to reject any proposed advertisement and Prime shall have no
claim for damages or other loss related to any such denial and shall further defend and indemnity the City from any claims
by advertisers related in anyway to the City's rejection of a proposed advertisement.
6450 Wedgwood Road Noodi,Suite 100 • Maple Grove, MN 55311 • P/763.551.3700 • Fn63.551.3701 • PiimeAdveitising.com • NlyPrinieGuide.com
RRIMC-
ADVEPTISINO i DESIDN
Proposed Advertising Rates
% Page, 4-Color $349
%4 Page, 4-Color $489
Y Page, 4-Color $759
6450 Wedgwood RoadNorth, Suite 100 • Maple Grove, MN 55311 • P/763.551.3700 • 17/763.551.3701 • PiimeAdvertising.com • MyPrimeGnidexom
SPECIAL CITY" COUNCIL MEETING
OTSEGO PRAIRIE CENTER
AUGUST 29, 2016
*6:00 PM
Call to Order.
Mayor Jessica Stockamp called the meeting to order at 6:23 PM.
Roll Call: Mayor Jessica Stockamp; Councilmembers: Vern Heidner, Doug Schroeder and Jason
Warehime, Absent: Councilmember Tom Darkenwald. Staff. Lori Johnson, City Administrator;
Adam Flaherty, Finance Director; Daniel Licht, City Planner; Ron Wagner, City Engineer and
Tami Loff, City Clerk.
1. 2017 Budget Discussion.
City Administrator Johnson reviewed the draft General Fund budgets as followed.
City Council: The City Council concurred to reduce WCAT to $1,000 and to move this line item
to contracted services. City Administrator Johnson stated the need to have the city code
codified. She received a proposal from the League of Minnesota Cities in the amount of
$25,000. She recommended that the Council do an RFP if they agree to codify the code. The
City Council concurred to have City staff conduct additional research and report to the Council
at a future meeting. City Administrator Johnson stated if codification is approved, funding could
be allocated from the 2017 Council Contingency or the project could be delayed until 2018.
Administration: City Administrator Johnson reviewed the Administration budget in detail. She -
reviewed an option to reduce the newsletter budget by $3,800 by using Prime Advertising. This
would give the city a quarterly eight page colored newsletter with articles provided by the city
and advertising for local businesses. The City Council reviewed samples of Champlin and Maple
Grove newsletters. The City Council concurred and recommended inviting Prime Advertising to
the October 29 Otsego businesses meet and greet.
Elections: City Clerk Loff reviewed the request by Wright County to upgrade the city election
tabulator machines to DS200 by the 2018 elections. The current estimated cost of each
tabulator is around $6,700. She further reviewed the option to possibly purchase used
refurbished machines at $1,000 off that price. City Clerk Loff is also recommending looking at
adding an additional precinct in 2018. The City Council agreed as presented. This item will be
reviewed further during the CIP discussion.
Assessing: The City Council agreed to reduce the building permit charge from $50 to $25 when
the fee schedule is approved to eliminate the GIS component and to be consistent with the
County fee.
Finance: Finance Director Flaherty reviewed the finance budget which included a proposal from
KDV for auditing services. Finance Director Flaherty is recommending a three year contract with
KDV. The City Council agreed the with finance budget as presented. Finance Director Flaherty
will bring back proposal from KDV to a future consent agenda for approval.