CITY COUNCIL AGENDA REPORT
MEETING DATE: 6/17/2025
DEPARTMENT: Economic Development
SUBJECT:
LAKE FOREST CHAMBER OF COMMERCE CONTRACTUAL SERVICES
AGREEMENT
RECOMMENDED ACTION(S):
1. Approve a Contractual Services Agreement between the City of Lake Forest and Lake Forest Chamber of Commerce for Business Development and Attraction Services for Fiscal Year 2025-26 and 2026-27.
2. Authorize the Mayor to sign, and the City Clerk to attest, the Contractual Services Agreement between the City and the Lake Forest Chamber of Commerce.
EXECUTIVE SUMMARY:
The City of Lake Forest’s (“City”) Contractual Services Agreement (“Current Agreement”) with the Lake Forest Chamber of Commerce (“Chamber”) expires on June 30, 2025. The Lake Forest Chamber of Commerce Ad-Hoc Committee (“Ad-Hoc Committee”), formed on June 1, 2021 (Attachment 1), met to provide a recommendation for Fiscal Year (“FY”) 2025-26 and FY 2026-27 events and services.
The Chamber desires to continue providing services in support of the local business community to the City. Consistent with past practice, the Chamber provided its Annual Report (Attachment 2) and prepared a Business Proposal (“Proposal”) for consideration (Attachment 3). Staff recommend the City Council approve the New Agreement between the City and the Chamber for Business Development and Attraction Services in the not-to-exceed amount of $88,461.45 (Attachment 4). The Agreement outlines the payment of $42,735 for services for FY 2025-26, and a Consumer Price Index (“CPI”) adjustment for services for FY 2026-27.
The 2025-2027 Operating Budget includes sufficient funding to cover the costs of the recommended actions.
BACKGROUND:
Since January 2010, the City, on an annual basis, has entered into an agreement with the Chamber for business services. The arrangement has proven effective in reinforcing the City’s provision of a wide range of business events and services.
As part of its contractual relationship with the City, the Chamber plans and implements cosponsored business events and actively promotes Lake Forest businesses.
Ad-Hoc Committee:
On June 1, 2021, the City Council voted to form an Ad-Hoc Committee. The Ad- Hoc Committee was formed to serve as a liaison to the Chamber of Commerce Board of Directors as well as to review the contractual performance indicators on a periodic basis. During this review, the Ad-Hoc Committee was comprised of Mayor Voigts and Mayor Pro Tem Pequeno.
DISCUSSION:
Chamber Proposal for FY 2025-27:
The Chamber desires to continue providing business services to the City in FY 2025-26 and 2026-27. Consequently, and consistent with past practice, the Chamber prepared a Proposal for consideration. The Proposal identifies the Chamber’s priorities and goals for the upcoming FY. The Chamber’s goals include fundraising, augmenting tools and resources that help Lake Forest businesses grow their operations (e.g., leadership and mentorship programs), expanding business education programs, and undertaking activities that contribute to overall economic prosperity in Lake Forest.
The Ad-Hoc Committee concluded that the Chamber met or exceeded its obligations in the current Standard Agreement and provided excellent service to the City and the business community in support of economic development efforts. Additionally, the Ad-Hoc Committee was in favor of adjusting funding levels based on a CPI adjustment and recommends extending the Standard Agreement to a two-year Agreement that is in line with the City’s Two-Year Operating Budget.
Proposed Contractual Services Agreement:
The Scope of Services in the proposed New Agreement outlines the roles and responsibilities of the Chamber and City in fulfillment of these efforts. The terms largely mirror those specified in the Current Agreement. The proposed Agreement includes an increase in requested City Contributions. The increase in requests for funds is based upon the Chamber’s budget for the prior Fiscal Year and adjusted for inflation utilizing the Consumer Price Index (“CPI”).
A breakdown of the services and corresponding City contributions are provided in table 1 below:
Table 1: FY 2025-26 Proposed City Contributions
Event/Services Current
Agreement City
Contribution
Proposed City Contributions
(FY 25-26)
Multi-Chamber
Mega Mixer
$2,100 $2,140
Legislative
Luncheon
$3,800 $3,865
Elf Yourself 5K
Charity Run
Use of Sports Park
& Barricades and
Approval of B&W
Use of Sports Park & Barricades
Approval of B&W; Joint City-Chamber
Promotion, including Ad in City Leaflet
Business
Appreciation
Luncheon
15,000 $15,260
B&W Garden at
Tree Lighting
Bar Rental Bar Rental
New Business
Reception
$1,700 $1,730
Career
Workshop/Job Fair
$3,700 $3,765
Meet the
Mayor/State of the
City
$8,500 $8,645
Business Seminar
& Expo
$4,500 $4,580
Social Media
Workshop
$1,700 $1,730
Women In
Business Event
Use of Community
Center & Approval
of B&W
Use of Rooms/Approval of B&W
B&W Gardens at
Concerts (1)
Canopy Rental &
Barricades
Canopy Rental & Barricades
B&W Gardens at
Concerts (2)
Canopy Rental &
Barricades
Canopy Rental & Barricades
B&W Gardens at
Concerts (3)
Canopy Rental &
Barricades
Canopy Rental & Barricades
Coffee Chats (twice
monthly)
$1,000 $1,020
Chamber Board
Meetings
Hickory Conference
Room – Quarterly
Use
Hickory Conference Room – Quarterly Use
Total: $42,000 $42,735
As demonstrated in Table 1, the New Agreement includes a slight increase in requested funds. In addition, staff would escalate the FY 2026-27 contribution based on a CPI adjustment; however, the two-year agreement would not exceed $88,461.45. The Scope of Services and the proposed New Agreement are attached for the City Council’s consideration.
Conclusion:
The City’s partnership with the Lake Forest Chamber of Commerce provides services that allow the City to reach a greater number of Lake Forest businesses.
The collaborative partnership provides the Lake Forest business community with greater access to seminars, events, and resources. If approved, staff would actively engage with Chamber leadership to ensure the successful implementation of the proposed New Agreement. Staff worked with the City Attorney’s office to prepare the proposed New Agreement for FY 2025-26 and FY 2026-27. At this time, staff recommend the City Council approve the New Agreement with the Chamber.
FISCAL IMPACT:
The proposed New Agreement with the Chamber includes a two-year term with a not-to-exceed compensation amount of $88,461.45. The 2025-2027 Operating Budget includes sufficient funds to cover the cost of the recommended actions.
ATTACHMENTS:
1. Meeting Minute Excerpt - June 1, 2021, City Council Meeting
2. Lake Forest Chamber of Commerce Annual Report
3. Lake Forest Chamber of Commerce Business Development Proposal
4. Lake Forest Chamber of Commerce Contractual Services Agreement FY 2025-27
Initiated By: Adrian Grijalva, Economic Development/Housing Manager Submitted By: Keith Neves, Assistant City Manager
Approved By: Debra Rose, City Manager