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10.2. SR 08-06-2018 EGty1� ,.,�� Request for Action River To Item Number Mayor and City Council 10.2 Agenda Section Meeting Date Prepared by Work Session August 6, 2018 Cal Portner, City Administrator Item Description Reviewed by Consider and Provide Direction - Outsource Recreation Facility Information Reviewed by Action Requested Provide staff direction. Background/Discussion Staff would like the Council to discuss and consider engaging outside professionals to assist with preparation of informational materials for the Local Option Sales Tax Referendum and planned recreation facility improvements. Financial Impact Funds have not been allocated for communications consultation/preparation for this project. Attachments ■ None The Elk River Vision A PehoMing community 2a itb revolutionary and spirited resourcefulness, exceptional POWERED By service, and community engagement that encourages and inspires prosperity INAMIRE1 -N ands c,+ lk" (o, z Springsted August 6, 2018 Mayor Dietz and City Councilmembers Mr. Calvin Portner, Administrator Ms. Lori Ziemer, Finance Director City of Elk River 13065 Orono Parkway Elk River. MN 55330 RE: Services Related to Referendum Communication Springsted Incorporated 380 Jackson Street, Suite 300 Saint Paul, MN 55101-2887 Tel: 651-223-3000 Fax: 651-223-3002 www.springsted.com Springsted was asked to provide information regarding services we offer to enhance communications to the community related the proposed referendum asking whether or not a sales tax should be authorized to support financing several projects including, arena improvements, community meeting/activity space, a synthetic turf field house, senior center facility improvements, youth athletic complex improvements, Lions Park improvements (consisting of any or all of meeting space and demo/utility space enhancements to Lions Park Center, additional playfields, parking lot improvements, trail improvements, and community picnic pavilion addition), Lake Orono park improvements, dredging of Lake Orono and trail improvements. Our services are communication services and guidance to develop a communication strategy for the election. This service is not a lobbying activity. We are not persuading or promoting a certain outcome. Rather, we are assisting by helping the City communicate in an efficient manner what is being asked and the impact to the community, as a whole and individually, based on certain assumptions. The chart below lists a menu of options we are prepared to undertake in order to assist the City. The two we believe are most useful at this juncture are (red highlighted letters in the chart): (1) the on-site consultation to City Council and administration related to planning, organizing and executing referendum, and (2) annotated registered voter file and target structure Public Sector Advisors Elk River, Minnesota August 6, 2018 Page 2 The services are discounted for current bond clients. Since Elk River has hired and works with Springsted for municipal advisory services, the City is eligible for the discount shown in the left- hand column. In addition, if engaged, the City will have free access to Springsted's Referendum Resource Library (examples of informational and advocacy media, phone scripts, videos, etc.) Financial Advisory Client Service Pricing Availability Client Pricina and Service Availability Master Tasks and Timelines $500 $750 Excel -based planning guide $1,000 (Ql) $1,500 (Ql) Programming for Web Tax $250 (Q2) Calculator Each subsequent question - $125(Q3) $375 On-site consultation to City Council and administration related to planning, No cost other than mileage and organizing and executing out of pocket expenses for bond referendum strategies that referenda. Hourlyrate f $215 o Hourly rates for consultation, only be done by the city or $1,000 for five hours of plus travel time, for operating coordinating, but not consultation for operating and and technology referenda leading, campaign activities technology referenda with an advocacy Annotated registered voter file and target structure; includes both registered voter data and a rich array of demographic data (e.g., age, $3,210 $3,510 (stand-alone) gender, length of time in community, housing type, education level, household income, past voting frequency, and more). Elk River, Minnesota August 6, 2018 Page 3 Scr% ice Financial Advisory Client Pricing and Availability Non -Financial Advisory Client Pricing and Service Availability Communication planning $90 - $140 per hour on anot-to-exceed basis Not available Access to Springsted's Referendum Resource Library (examples of No cost Not available informational and advocacy media, phone scripts, videos, etc.) We have also been asked to provide information regarding services for creating brochures and materials to be sent, accessed on line or handed out to constituents. We have not yet identified a third- party firm who can assist with developing a brochure and other communications to the community, but Springsted would be available to develop cost impact data, bonding and impact information and to review and edit materials prepared by the City or a third -party firm who develops such materials. This would be done on an hourly basis and charged at a fee of $215 per hour much like the on-site consultation services listed above. Please let me know if you have any questions or if I can be of further assistance. Respectfully, Terri Y. Heaton, Senior Vice President Client Representative