CITY COUNCIL AGENDA REPORT. Honorable Mayor and City Council Members

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1 City of RE CITY COUNCIL AGENDA REPORT TO: FROM: Honorable Mayor and City Council Members Kathy Johnson, City Clerk Agenda Item No.: 8- E Motion to Approve Farmers Market Management Agreement Meeting Date: May 11, 2015 ACTION REQUESTED: Motion to Approve Farmers Market Management Agreement ATTACHMENTS: Farmers Market Management Agreement DISCUSSION: The City initially entered into an agreement with the Red Wing Farmer' s Market Association in 2007 as part of the Action Plan for the Red Wing Farmer's Market to continue to build on improvements and expansion of the market. At that time the ordinance was amended which gave the City Council authority to enter into a Management Agreement with a Farmers Market Association to manage the Farmers Market, collect fees, and ensure compliance with the City Code requirements. The Farmer' s Market Management Agreement was then extended in 2009, 2012, and With the help of the City Attorney, the agreement has now been amended to better delineate the duties of the City and the Association, making the insurance requirements consistent with the PUPP insurance requirements, and adding a section on food handling licenses. The term of the agreement ends on December 31, 2017 and may be renewed on a yearly basis by written addendum approved by both parties. RECOMMENDATION: Council is asked to approve the Farmers Market Management Agreement.

2 FARMERS MARKET MANAGEMENT AGREEMENT THIS AGREEMENT is made this day of, 2015 by and between the City of Red Wing, a municipal corporation organized under the laws of the State of Minnesota, hereafter referred to as " City" and the Red Wing Area Farmers Market Association, Inc., a Minnesota Non -Profit Corporation under the laws of the State of Minnesota, hereafter referred to as " Association." WITNESSETH: WHEREAS, the City, through Section of City Code, regulates the Farmers Market within City Boundaries. WHEREAS, the Association is a consortium of growers that exists for the following purposes: Educating members and the public of the value of farmers markets. Promoting economic development by making the farmers market a destination point in Red Wing. Developing and maintaining a farmers market that meets the needs and standards of vendors and the public. WHEREAS, the City, via Code Section 6. 19, subd. 3, has the authority to enter into a Management Agreement with a Farmers Market Association by which the City would delegate the responsibility of managing the Farmers Market, collecting fees, and assuring Code compliance to the Association. WHEREAS, the City wishes to enter into this Agreement with the Association, and the Association wishes to enter into this Agreement with the City, by which the Association would assume the duties described herein. NOW, THEREFORE, it is mutually agreed as follows: Term of Agreement. The term of this agreement shall begin on the date of execution by both parties (" Commencement Date") and, subject to the terms of the Termination paragraph herein, shall end on December 31, 2017 (" Initial Term"). Thereafter, the Agreement may be renewed, on a yearly basis, by a

3 written addendum to this Agreement approved by both parties. 2. Duties of the City. The City shall have the following duties and responsibilities: a) Process yearly background check( s) of vendors b) Issue and log daily permits to vendors as needed consistent with Section of the City Code c) Collect fees for daily permits issued and hold said fees for pick-up by the Association 3. Duties of the Association. The Association shall have the following duties and responsibilities: a) Process vendor applications, collect City approved and paid fees, and issue seasonal and Saturday permits consistent with Section of the City Code b) Retain and maintain an on- site manager c) Assure compliance with State Health Regulations, the City Code, and Farmers Market Operational Guidelines d) Resolve disputes involving vendors and/ or the public e) Manage the Farmers Market 4. Licenses. The Association shall ensure that all Market Food Wagon operators and vendors have proper and current food handling licenses issued by the Minnesota Department of Health and/ or the Minnesota Department of Agriculture. 5. Insurance. The Association, at its sole expense, shall keep and maintain in effect during the term of this Agreement commercial general liability insurance with limits of at least $ 1, 000, 000 per occurrence and $2, 000, 000 general aggregate limit coverage limit requirement may be satisfied by a General Liability policy in combination with an Excess Liability or

4 Umbrella Liability policy). The insurance coverage must be primary, written on an " Occurrence" basis and must list the City of Red wing as an additional insured. Proof of insurance must be provided to the City. All Certificates of Insurance shall provide for 30 days written notice to the City prior to cancellation. 6. Indemnity. The Association agrees to defend, indemnify and hold harmless the City and its officials, employees and agents from any liabilities, judgments, losses, costs or charges ( including attorney' s fees ) incurred by the City as a result of any claim, demand, action or suit relating to any bodily injury (including death), loss, or property damage caused by, arising out of, related to or associated with the Association' s operation or management of the Farmers Market, including but not limited to, the use of City property by the Association, its guests or invitees. 7. Termination. This Agreement shall be terminated as follows: a) Notice: Either party may terminate this Agreement for any reason by providing 30 days written notice to the other party. b) For Cause: Either party may terminate this Agreement at any time for cause. " Cause" is defined as a breach of either party' s obligations under this Agreement. 8. Assignment. This Agreement may not be assigned except with the written consent of the other party. 9. Compliance with Laws. The Association shall comply with all pertinent federal, state of Minnesota, and local laws applicable to its duties hereunder.

5 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed on their behalf. CITY OF RED WING RED WING AREA FARMERS MARKET ASSOCIATION, INC. Mayor Council Administrator City Clerk Date: