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HomeMy WebLinkAboutOrdinance No. 3220-20215 %-Ar �- Sponsored by: Administration KENAI CITY OF KENAI ORDINANCE NO. 3220-2021 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, AUTHORIZING A TOURISM, TRAVEL, AND HOSPITALITY SERVICES ECONOMIC STIMULUS PROGRAM TO BENEFIT CER�AIN KENAI SMALL BUSINESSES AND AWARD OF A PROFESSIONAL SERVICES AGREEMENT TO THE KENAI CHAMBER OF COMMERCE AND VISITOR CENTER FOR ADMINISTRATION OF THE PROGRAM. WHEREAS, the COVIDt19 Public Health Emergency significantly affected local businesses; and, WHEREAS, local busines's, in the tourism travel and hospitality industry have been some of the most impacted businesses;,4nd, WHEREAS, local businesses are the lifeblood of the Kenai economy providing services and jobs to residents and sales taxes us�kd to provide essential public services like public safety, street maintenance, parks & recreation, aenior services, etc.; and, WHEREAS, creation of a program to•support tourism, travel, or hospitality businesses in Kenai will encourage local spending at Kenai businesses at a critical time in the community's recovery from the COVID-19 Public Health Emergepcy; and, WHEREAS, the City has worked directly with a Kenai Chamber of Commerce and Visitor Center on a project to create a tourism, travel, ant spitality services program which will provide economic relief and stimulus to certain local inesses and incentivize local spending in the summer months and into the fall season; and, WHEREAS, the Kenai Chamber of Commerce and., Visitor Center is uniquely qualified to administer the program because of its relationship with apd advocacy for Kenai businesses; and, WHEREAS, the success of the City is dependent upon the byccess of the local economy and its businesses and a program to reward local spending, promote certain Kenai businesses most impacted by the Public Health Emergency, and continue the co?y�munity's recovery is in the best interest of the City and its residents. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, as follows: Section 1. That the City Manager is authorized to establish a Kenai Tourism, Travel and Hospitality Services Program in the amount of $200,000. Section 2. That the City Manager is authorized to execute a professional service agreement with the Kenai Chamber of Commerce for administration of the program for a total cost not to Ordinance No. 3220-2021 age2of2 exceed $5,600 including up to $3,400 to promote the program and up to $2,000 for program administration and support. Section 3. That the estimated revenues and appropriations be increased as follows: General Fund: Increase Estimated Revenues — Appropriation of Fund Balance $ZQMN Increase Appropriations — Non -Departmental Professional Services $ 5,600 Grants to Others 200,000 $205,600 Section 4. Severability: That if any part or provision of this ordinance or application thereof to any person or circumstances is adjudged invalid by any court of competent jurisdiction, such judgment shall be confined in its operation to the part, provision, or application directly involved in all controversy in which this judgment shall have been rendered, and shall not affect or impair the validity of the remainder of this title or application thereof to other persons or circumstances. The City Council hereby declares th t it would have enacted the remainder of this ordinance even without such part, provision, or applic tion. Section 5. Effective Date: That purrtvant to KMC 1.15.070(f), this ordinance shall take effect immediately upon enactment. ENACTED BY THE COUNCIL OF THE CIT�\OF KENAI, ALASKA, this 1611 day of June, 2021. BRIAN GABRIEL SR., MAYOR ATTEST: Jamie Heinz, MMC, City Clerk Approved by Finance: - _�/� Introduced: June 2, 2021 Enacted: June 16, 2021 Effective: June 16, 2021 New Text Underlined; [DELETED TEXT BRACKETED] KFNAI City of Kenai 1 210 Fidalgo Ave, Kenai, AK 99611-7794 1 907.283.7535 1 www.kenaixi€y MEMORANDUM TO: Mayor Gabriel and Council Members FROM: Paul Ostrander, City Manager DATE: May 25, 2021 SUBJECT: Ordinance 3220-2021 — Kenai Tourism, Travel, and Hospitality Services Stimulus Program to Benefit Kenai Small Business The Administration is working with the Kenai Chamber of Commerce and Visitor Center to develop a Kenai tourism, travel, and hospitality services program ("The Second One is On Us!") to provide economic relief and stimulus to Kenai small businesses in the tourism, travel, and hospitality industry, some of which were hardest hit by the COVID-19 Public Health Emergency. The program is designed to attract new spending and purchasing of goods and services in Kenai by incentivizing local tourism -related purchases. Individuals who purchase a single tourism, travel, or hospitality service in Kenai with a participating business will receive a voucher of equal value on a second purchase at that business. The program will provide economic support and attract business activity in Kenai during this critical time of recovery from the COVID-19 Public Health Emergency. The program would run between July 16, 2021 and September 30, 2021, when residents and businesses may benefit from the program the most. The Administration recommends entering into an Agreement with the Kenai Chamber of Commerce and Visitor Center to administer the program for $5,600. This amount includes $200,000 as a direct incentive to shoppers and $5,600 for actual administrative costs, including a marketing campaign, supplies and materials, and administrative costs. Your consideration is appreciated.