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2018-063 City Sponsorships Q1-Q2 2018Date: May 25, 2018 Report No. 2018-063 INFORMAL STAFF REPORT TO MAYOR AND CITY COUNCIL SUBJECT: Report of the City’s sponsorship funding in the first two quarters of fiscal year 2017-2018. EXECUTIVE SUMMARY: The City provides sponsorships for non-profit and civic-minded programs and organizations in order to further charitable causes or public interest. City Council has approved three departmental sponsorship resolutions in fiscal year 2017-2018:  Resolution R2017-050 passed November 14, 2017 providing guidelines and setting a budget of $50,000 for DME’s sponsorships (Exhibit 2).  Resolution 18-095 passed February 6, 2018 providing guidelines and setting a budget of $22,060 for Solid Waste sponsorships and $8,000 for Watershed Protection sponsorships (Exhibit 3).  Resolution 18-224 passed February 20, 2018 providing guidelines and setting a budget of $7,500 for Economic Development’s sponsorships (Exhibit 4). Minimum qualifications for an organization to be considered for sponsorship:  Registered as tax-exempt under section 50l(c) (3) of the Internal Revenue Code;  Must not discriminate on the basis of race, color, religion, national origin, age, or sexual orientation or gender identity, citizenship, familial status, disability status, or veteran status;  Must further a charitable cause or public interest; and  Recognize the City and DME, Solid Waste, Watershed Protection, or Economic Development at the event and/or through marketing materials. Sponsorship allocation guidelines for DME, Solid Waste, and Watershed Protection (Economic Development does not have these guidelines in their resolution):  Sponsorship funds will not be provided to other City departments (i.e., Parks or Solid Waste) that receive funding elsewhere from the City;  Amounts less than $2,500 can be approved by the City Manager, or his designee;  Amounts of $2,500 or more must be recommended by the Public Utilities Board (“PUB”) to City Council; and  Any additional amounts sought by an organization that previously received funding under the $2,500 administrative threshold must be recommended by the PUB to Council for approval. Date: May 25, 2018 Report No. 2018-063 Through the second quarter of fiscal year 2017-2018, a total of $33,465 in departmental sponsorships have been funded (shown below). This does not include in-kind services provided by City departments for community events. Organization Event Department Amount Keep Denton Beautiful, Inc. Annual Sponsorship Solid Waste $10,000 Keep Denton Beautiful, Inc. Various Annual Programs Denton Municipal Electric $11,500 Texas Filmmakers Corp Thin Line Festival Denton Municipal Electric $5,000 Denton Community Market Denton Community Market Denton Municipal Electric $2,000 Denton Holiday Lighting Festival Holiday Lighting Festival Denton Municipal Electric $2,000 African American Scholarship Foundation Denton Black Film Festival Denton Municipal Electric $1,500 Denton Chamber of Commerce Annual Banquet Economic Development $625 Denton Black Chamber of Commerce Annual Banquet Economic Development $440 North Central Texas College Starlight Gala Economic Development $400 Total $33,465 The Hotel Occupancy Tax (HOT) Funds Committee has recommended that they approve future sponsorship requests. The specifics of this recommendation will be presented to Council in June. ATTACHMENT(S): Exhibit 1: Resolution R2017-050; DME sponsorships Exhibit 2: Resolution 18-095; Solid Waste & Watershed Protection sponsorships Exhibit 3: Resolution 18-224; Economic Development sponsorships STAFF CONTACT: Cassey Ogden, Director of Procurement & Compliance 940-349-7195 RESOLUTION NO. 82017-050 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DENTON, TEXAS REGARDING THE DENTON MUNICIPAL ELECTRIC SPONSORSHIP PROGRAM. WHEREAS, Denton Municipal Electric ("DME") has budgeted $50,000 this fiscal year for sponsorships of non-profit and civic -minded programs and organizations which further a charitable cause or public interest; WHEREAS, DME intends to budget funds in future budgets for sponsorships; WHEREAS, it is the purpose of this resolution to set forth guidelines on how these sponsorship funds will be allocated; THE COUNCIL OF THE CITY OF DENTON HEREBY RESOLVES: SECTIONw 1. The recitals which are set forth in the preamble of this Resolution are incorporated herein and are made a part of this Resolution for all purposes. SECTION 2. All organizations requesting funds from DME's sponsorship program must meet these minimum criteria: A. Be registered as tax-exempt under section 501(c) (3) of the Internal Revenue Code; B. Must not discriminate on the basis of race, color, religion, national origin, age, or sexual orientation or gender identity, citizenship, familial status, disability status, or veteran status; C. Must further a charitable cause or public interest; and D. Recognize the City and DME at the event and/or through marketing materials. S1 C,TION 3, Sponsorship funds will not be provided to other City departments (i.e., Parks or Solid Waste) that receive funding elsewhere from the City; SECTIONIO . Approval of amounts being sought less than $2,500 may be approved by the City Manager, or his designee, and approval of amounts of $2,500 or more must be recommended by the City's Public Utilities Board ("PUB") to the City Council for approval. Any additional amounts sought by an organizations that has previously received funding under the $2,500 administrative threshold must be recommended by the PUB to the City Council for approval. 1 ^ "' "101' . DME will provide both the PUB and the City Council quarterly reports describing what organizations have applied for funds from the sponsorship program, including the charitable cause or public interest for which the funds will be used, what organizations have received funds from the sponsorship program, and the remaining balance of the sponsorship program; SlECTION 6,. This resolution shall take effect immediately from and after its adoption. PASSED AND APPROVED this the __4day of....s 2017. ATTEST: JENNIFER WALTERS, CITY SECRETARY Lot", Al"ll""ELSAIS TO LEGAL FORM: NAR N LEAL, INTERIM CITY ATTORNEY Page 2 RESOLUTION NO. 18-095 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DENTON, TEXAS REGARDING THE SOLID WASTE AND WATERSHED PROGRAM. WHEREAS, this fiscal year Solid Waste has budgeted $22,060 and Watershed Protection has budgeted $8,000 for sponsorships of non-profit and civic-minded programs and organizations which further a charitable cause or public interest; WHEREAS, Solid Waste and Watershed Protection intend to budget funds in future budgets for sponsorships; WHEREAS, it is the purpose of this resolution to set forth guidelines on how these sponsorship funds will be allocated; THE COUNCIL OF THE CITY OF DENTON HEREBY RESOLVES: SECTION 1. The recitals which are set forth in the preamble of this Resolution are incorporated herein and are made a part of this Resolution for all purposes. 7,l ww. All organizations requesting funds from either the Solid Waste or Watershed Protection sponsorship programs must meet these minimum criteria: A. Be registered as tax-exempt under section 501(c) (3) of the Internal Revenue Code; B. Must not discriminate on the basis of race, color, religion, national origin, age, or sexual orientation or gender identity, citizenship, familial status, disability status, or veteran status; C. Must further a charitable cause or public interest; and D. Recognize the City and Solid Waste and Watershed Protection at the event and/or through marketing materials. 1;'' N4T) M3, Sponsorship funds will not be provided to other City departments (i.e., Parks or Denton Municipal Electric) that receive funding elsewhere from the City; 1 ("f"T(,,T . Approval of amounts being sought less than $2,500 may be approved by the City Manager, or his designee, and approval of amounts of $2,500 or more must be recommended by the City's Public Utilities Board ("PUB") to the City Council for approval. Any additional amounts sought by an organizations that has previously received funding under the $2,500 administrative threshold must be recommended by the PUB to the City Council for approval. SECTION 5. Solid Waste and Watershed Protection will provide both the PUB and the City Council quarterly reports describing what organizations have applied for funds from the sponsorship program, including the charitable cause or public interest for which the funds will be used, what organizations have received funds from the sponsorship program, and the remaining balance of the sponsorship program; SECTION 6. This resolution shall take effect immediately from and after its adoption. PASSED AND APPROVED this the '° day of ,, w 2018. r,rs. Y fk I. WATTS, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY W, BY: w "' "; . w :._. 11''" .' AS '. ( LEGAL FORM: AARON LEAL, CITY ATTORNEY W BY: Page 2 RESOLUTION NO. 1$-224 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DENTON, TEXAS ESTABLISHING CRITERIA FOR THE CITY TO DISBURSE FUNDS FROM THE ECONOMIC DEVELOPMENT SPONSORSHIP PROGRAM; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City of Denton, Texas ("City") has allocated approximately $7,500 this iiscal year to the Department of Economic Development to provide sponsorships of non-profit and civic-minded programs and organizations which further a charitable cause or public interest; and WHEREAS, the City Council finds that supporting this sponsorship program serves a public purpose by promoting economic or community development within the City by supporting organizations that either complement or enhance City services, provide services the City does not provide, or provide secondary benefits to the City; and WHEREAS, the City Council finds that in order to achieve this goal of promoting economic or community development with the City, it is necessary to allow for the funding of such sponsorships in future budgets; and WHEREAS, the City Council finds that the proposed criteria and guidelines for this sponsorship program provides adequate retention of control over funds to ensure that the above public purpose is accomplished in order to protect the public's investment and to ensure the City receives a return benefit; and WHEREAS, the City desires to approve the guidelines and criteria set forth in this Resolution for the disbursement of sponsorship funds and has determined that the use of funds for this sponsorship program is in the best interest of the general welfare of the City of Denton; NOW THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY RESOLVES: SECTION 1. The recitals which are set forth in the preamble of this Resolution are incorporated herein and are made a part of this Resolution for all purposes. SECTION_ 2. All organizations requesting funds from Economic Development's sponsorship program must meet these minimum criteria: A. The applicant entity must be either registered as tax-exempt under Sections 501(c) 3) or 501(c) (6) of the Internal Revenue Code, or designated as an educational institution such as primary or secondary school or institutions of higher education; and B. The applicant entity must not discriminate on the basis of race, color, religion, national origin, age, sexual orientation, citizenship, familial status, disability status, or veteran status; and C. The applicant entity's mission must tie into the City's goals for economic or community development; and D. The applicant entity must recognize the City and the City's Economic Development Department at any of its events and/or through its marketing materials. ION 3. Sponsorship funds will not be provided to other City departments (i.e., SE.C.T ................. .._ Parks or Solid Waste) that receive funding elsewhere from the City. SECTION 4. This resolution shall take effect immediately from and after its adoption. i;l ,r i 1"E C."I? lr k : c'° c;l`' ° 2018, y ' ' ' 4 ` C I V''t`l""I',WIVIAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY wa, `.. :,: - m - ° r I I. " 1 1 AS '"": LEGAL FORM: AARON LEAL, CITY ATTORNEY