HomeMy WebLinkAboutMINUTES Advertising and Public Relations Committee 1988-01-19BRADFORD PUBLISHING CO.
RECORD OF PROCEEDINGS
/Advertising Committee - Executive Session
January 19, 1988
Committee: Chairman Barker, Trustees Dickinson and Hix
Attending: All
Also Attending: Town Administrator Hill, Town Attorney White,
Finance Officer Vavra, Clerk O'Connor
Absent: None
PROPOSAL TO RESTRUCTURE CHAMBER ADVERTISING COMMITTEE - REVIEW OF LEGAL
OPINION.
The Committee reviewed Town Attorney White's legal opinion concerning the
aforementioned proposal. Town Attorney White reported a meeting was held
with Officers of the Chamber of Commerce to clarify certain issues in the
proposal. Attorney White's findings are as follows:
1. The structure and membership of the committee should be decided by
the Town through the Board of Trustees. The Advisory Marketing
Committee may recommend the number of members or individual
members; however, those decisions must be made by the Board of
Trustees.
2. The Town may continue to provide compensation for an advertising
coordinator as long as the compensation is directly related to
that person's activities on behalf of the Town's Advertising
Program.
In Attorney White's opinion, the 1988 Agreement with the Chamber of
Commerce must be more specific. The 1988 Agreement should also contain
language concerning the structure and membership of the Advisory Marketing
Committee, and the coordinator position must also be defined.
There is no indication the above findings are unacceptable to the Chamber
of Commerce; however, the ownership of Second Wind, Ltd. has raised certain
areas of concern:
1. The proposal that Second Wind, Ltd. become a Town -owned, in-house
advertising agency is not legally feasible. The Colorado Consti-
tution prohibits the Town from becoming the owner or part-owner of
any private business organization. The advertising agency must be
owned by some entity or persons other than the Town. Under
present industry practices, the Town may contract with an ad-
vertising agency and thereby receive the discount available to
that advertising agency.
The Chamber of Commerce acquired the advertising agency in 1985.
It has been advantageous for the Chamber to own the agency due to
the discounts allowed which amount to approximately $45,000/year.
During the meeting mentioned above, the Chamber stated the ad-
vertising agency should be owned by the Town. The Chamber ex-
pressed concern regarding taxing liability and indemnification.
Following discussion, the Committee recommends Chairman Barker meet with
the Chamber Ad Committee to discuss ownership of Second Wind, Ltd. and
discuss those findings listed above.
There being no further business, the meeting adjourned.
Vickie O'Connor, Town Clerk