HomeMy WebLinkAboutYoder's Mobile Marketing, LLC - 2012-06-18City ®f Huntington Beach
2000 Main Street ® Huntington Beach, CA 92648
(714) 536-5227 ® www.huntingtonbeachca.gov
Office of the City Clerk
Joan L. Flynn, City Clerk
June 21, 2012
Yoder's Mobile Marketing
Attn: Darvin Yoder
500 E. National Highway
Washington IN 47501
Dear Mr. Yoder:
Enclosed for your records is a copy of the "Non -Exclusive Agreement and License By and
Between the City of Huntington Beach and Yoder's Mobile Marketing, LLC to Establish a
Wi Fi Hotspot and Proximity Marketing and Advertising Network in Strategic Locations
Within the City of Huntington Beach."
Sincerely,
ian"L. Flynn, CIVIC
City Clerk
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Enclosure
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Council/Agency Meeting Held:
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City Clerk's Signature
Council Meeting Date: June 18, 2012
Department ID Number: ED 12-23
SUBMITTED TO: Honorable Mayor and City Council Members
SUBMITTED BY: Fred A. Wilson, City Manager
PREPARED BY: Bob Hall, Deputy City Manager/Economic Development Director
SUBJECT: Approve and authorize execution of a Non -Exclusive Agreement and
License between the City and Yoder's Mobile Marketing, LLC to
establish a Wi Fi Hotspot and Proximity Marketing and Advertising
Network in strategic locations within the City
Statement of Issue: The City Council is requested to approve a Non -Exclusive Agreement
and License by and between the City of Huntington Beach and Yoder's Mobile Marketing,
LLC to establish a Wi-Fi service along the beach and downtown.
Financial Impact: All costs associated with the installation, maintenance and operation of
the equipment and network in total will be fully funded by Yoder's Mobile Marketing, LLC.
Yoder's Mobile Marketing, LLC will pay quarterly commissions to the City ranging from 15-
20% of the gross proceeds generated by advertising sales to support the network for a period
of five years, with an option to renew for an additional five years. The City will pay 15%
commission of all revenues from this program to Active Network, the City's municipal
marketing consultant, as compensation for their efforts to secure this program as approved
by the City Council on March 7, 2011.
Recommended Action: Motion to:
A) Approve and authorize the Mayor and City Clerk to execute the "Non -Exclusive
Agreement and License By and Between the City of Huntington Beach and Yoder's
Mobile Marketing, LLC to Establish a Wi Fi Hotspot and Proximity Marketing and
Advertising Network in Strategic Locations Within the City of Huntington Beach;" and,
B) Authorize the City Manager to execute all documents in furtherance of this Agreement.
Alternative Action(s):
Do not approve the Agreement and License and provide further direction to staff.
HB -155- Item 11. - 1
REQUEST FOR COUNCIL ACTION
MEETING DATE: 6/18/2012 DEPARTMENT ID NUMBER: ED 12-23
Analysis: In March 2011, the City Council approved an agreement with Active Network
("Active") to assist Huntington Beach in locating sponsorship opportunities for various City
facilities and programs to generate additional General Fund revenue. Thus . far, two such
opportunities — public recycling and beverage and snack vending - have been approved and
will generate revenue for the City when implementation is complete. A further revenue
opportunity has come available to provide free Wi Fi Hotspot service to the public via a
sponsored network, from which the city will receive a portion of the advertising revenue. The
program will enable businesses in the area to advertise on the network to attract customers
in the area using the free Wi Fi service.
A Request for Qualifications was released in November 2011 seeking firms interested in
providing professional services related to media services, advertising, and sponsorship sales
on a non-exclusive basis. The RFQ was provided to 17 firms and was publicly available on
the city's Planet Bids page for a period of six weeks. Three responses were submitted,
offering different types of media services. Yoder's Mobile Marketing, LLC ("Yoder's"),
submitted a response offering to provide free public Wi Fi equipment, maintenance, and
access in the downtown and beach area, supported by sponsored advertising from which the
City would receive 15-20% of gross revenue from network ad sales. Staff has reviewed
Yoder's proposal and it is recommended that the City approve a non-exclusive agreement
and license with Yoder's to implement and operate this program for a five (5) year period with
an option to continue for an additional five (5) years.
Wi Fi will allow an electronic device to exchange data wirelessly over a computer network,
including high-speed Internet connections. A device that can use Wi Fi (such as a personal
computer, smartphone, tablet, or digital audio player) can connect to a network resource
such as the Internet via a wireless network access point. In this case, the access points,
which consist of an 18 inch roof -mounted antennae connected to and a small box containing
the wireless access device, are proposed for placement at public restroom buildings along
the City beach, the Main -Promenade Parking Garage, and the International Surfing Museum,
with further expansion in a second phase along the coast, north of the pier to Golden West
Street. The equipment will be owned, operated, and maintained by Yoder's throughout the
term of the Agreement.
Any person utilizing a Wi Fi equipped device may access the network free of charge to check
email and browse the internet from their device, regardless of cellular/mobile carrier. When
operating using the proposed Wi Fi network, their web browser will automatically open to a
custom Huntington Beach "landing page" sponsored by businesses that pay a fee to Yoder's
to have their business featured on the network. Yoder's will provide $45,000-$60,000 per
year in ad design services to the City for purposes of featuring other content on the network,
including events, and important public service information.
It has become common for many municipalities and businesses — coffee shops, restaurants,
malls and shopping centers, for example - to provide hotspot access as a way of attracting
additional customers who wish to utilize their mobile device to access information. The
proliferation of social media and mobile communication in general has created a dependency
upon access to Wi Fi of this type, even at the beach. The proposed program would enable
the City to expand the available amenities in the downtown while also generating revenue
and providing a further opportunity for the business community to reach out to new and
existing customers.
Item 11. - 2 HB -156-
REQUEST FOR COUNCIL ACTION
MEETING DATE: 6/18/2012 DEPARTMENT ID NUMBER: ED 12-23
Initial installation locations are attached as Exhibit A to the agreement, and additional access
point locations will be determined at the discretion of the City Manager. An application for a
wireless permit to install the access points pursuant to the City's Wireless Ordinance is
pending with the Planning and Building Department.
Environmental Status: N/A
Strategic Plan Goal: Enhance economic development
Attachment(s):
HB -157- Item 11. - 3
iATTACHMENT #1
Item 11. - 4 HB -158-
NON-EXCLUSIVE AGREEMENT AND LICENSE
BY AND BETWEEN THE CITY OF HUNTINGTON BEACH
AND YODER'S MOBILE MARKETING, LLC
TO ESTABLISH A WI FI IIOTSPOT AND PROXIMITY MARKETING
AND ADVERTISING NETWORK IN STRATEGIC LOCATIONS
WITHIN THE CITY OF HUNTINGTON BEACH
This Non -Exclusive Agreement and License (License or Agreement), is made and entered
into this 18 day of June , 20 12 by and between Yoder's Mobile Marketing
LLC, an Indiana limited liability company (hereinafter "Licensee"), and the City of Huntington
Beach, a charter city and municipal corporation of the State of California (hereinafter "City").
Y21fi'.C1TA1,C
A. City desires to establish a Wi Fi Hot Spot proximity marketing and advertising network in strategic
locations within the City (hereinafter referred to as the "Project"), for which internet access may be
offered free of charge.
B. City desires to hire Licensee to operate the Project, and install and maintain the equipment for the
Project, in various locations in City as provided herein.
C. Licensee represents that Licensee is able and willing to provide such services and to comply with
the applicable regulations pertaining to such services, including but not limited to the
Huntington Beach Municipal Code.
D. In undertaking the performance of this License, Licensee represents that it is capable and that any
services performed by Licensee under this License will be performed in compliance with such
standards as may reasonably be expected from a professional in the field. In addition, Licensee has
the financial, legal and technical ability to provide the services, facilities and equipment as set
forth in this Agreement granting this License.
E. The terms and conditions of this License are reasonable to meet the future public service
advertising related needs and interests of the community taking into account the cost of meeting
such needs and interests.
NOW THEREFORE, in consideration of the mutual and respective promises, and subject
to the terms and conditions hereinafter set forth, the parties agree as follows:
This License shall commence on the date first written above and terminate on
June 18, , 2017 unless terminated earlier in accordance with Section 14
below. The term may be extended for one additional five (5) year term upon mutual, written
agreement of the parties.
2. GRANT OF AUTHORITY, LIMITS AND RESERVATIONS.
(a) Grant of Authority. City hereby grants to Licensee, subject to the terms and
conditions of this License and all applicable laws and regulations pertinent thereto, the non-
exclusive right, privilege, and authority to install, operate and maintain the equipment for the
11-2806.004/79133.docx I
Project within the City as further defined herein. A sketch of the specific area in which services
may be provided and available during the term of this Agreement, and locations of the initially -
proposed Wi-Fi Hot Spot installations subject to this License ("License Area") is attached hereto as
Exhibit A and incorporated by this reference. Licensee may request the opportunity to install Wi-Fi
Hot Spots in other specific locations within the area shown on Exhibit A if such installation meets
all permitting, licensing and regulatory requirements. Any modification to the License Area
described in this paragraph must be approved in writing by the City Manager or his/her designee.
(b) Scope of License. The License is intended to convey limited rights and interests
only as to those Rights -of -Way or public property in which City has an actual interest. It is not a
warranty of title or interest in any Right -of -Way or public property; it does not provide Licensee
any interest in any particular location within the Right -of -Way or public property; and it does not
confer rights other than as expressly provided in the grant.
(c) Exercise of Authority under License. This License only authorizes Licensee to
provide Project related equipment and services as described herein. Neither this License nor the
grant of the license shall be interpreted to prevent the City from imposing additional conditions
consistent with applicable law; including additional compensation conditions for use of the Rights -
of -Way or property should Licensee provide services other than those contemplated herein.
(d) License Not Exclusive. The right to use and occupy the Rights -of -Way is not
exclusive and does not explicitly or implicitly preclude the issuance of other licenses to provide
wireless internet access, advertising or similar services within City; or affect City's right to use or
authorize the use of any of its Rights -of -Way or other property by other persons as City determines
appropriate; or affect the City's right to authorize itself or to permit any other business to provide
other similar services.
(e) Licensee Bears Its Own Costs. Unless otherwise expressly provided by applicable
law or in this License, all acts that Licensee is required to perform must be performed at Licensee's
own expense.
(f) Advertising. City and Licensee will meet and create a schedule whereby Licensee
will operate the specific services described in Exhibits A and B attached hereto and incorporated
herein by reference. In addition to the services and guidelines established in Exhibit A and B, the
following applies:
1. City must pre -approve all advertising at its sole and absolute discretion. All
advertising shall conform to the requirements of Huntington Beach Municipal Code. Any proposed
advertising shall not:
a. Promote material which the City in its sole discretion determines is
offensive to community standards of good taste;
b. Promote companies whose business is substantially derived from the
sale or manufacture of tobacco products or alcoholic beverages; sexually -oriented businesses; is in
violation of any State and/or Federal law; any other industry, business or product which the city
determines, in its sole discretion, is not in the best interest of the city and/or not consistent with the
11-2806.004/79133.docx 2
goals of the Program. Any exceptions to the foregoing must be approved by a majority of the City
Council;
(g) Land Use Permits. Licensee acknowledges and is aware that certain land use permits
or entitlements may be required in order for Licensee to proceed with the Project. These permits or
entitlements potentially include, but may not be limited to, a Conditional Use Permit under the
Huntington Beach Zoning and Subdivision Ordinance, approved environmental documentation
pursuant to the California Environmental Quality Act ("CEQA"), and others. Licensee shall obtain,
at Licensee's sole cost and expense, all necessary land use permits or entitlements that may be
required to proceed with the Project.
3. COMPENSATION TO CITY.
Licensee agrees to pay to City a share of gross network advertising sales revenues generated
by Licensee for proximity marketing advertising utilized on the Wi-Fi network. In addition,
Licensee will provide the City with $5,000 per month of design and network advertisement
placement across the network.
City Revenue
Share Percentage
Gratis Network Ad
Design/Placement
Year 1
20%
$45,000
Year 2
17.5%
$60,000
Year 3
15%
$60,000
Year 4
15%
$60,000
Year 5
15%
$60,000
Licensee shall issue payment quarterly, on the first day of February, May, August and
November of each year of the Agreement. Payment shall be accompanied by statements showing
all advertisers during the quarter for which payment is being issued. Payments shall be made to the
City Treasurer, P.O. Box 711, Huntington Beach, CA 92648.
If the payment required by this section is not received by the Finance Department within ten
(10) calendar days after the end of the month for which the payment is paid, or the next business
day if the tenth day falls on a weekend or holiday, Licensee shall pay the following late charge and
penalty: 1) a late charge of ten percent (10%) shall be applied to any outstanding balance after any
payment hereunder is due but unpaid; and 2) one and one-half percent (1-1/2%) penalty per month
shall be added for each month such payment hereunder is due but unpaid.
Within sixty (60) days of the end of each contract year Licensee shall deliver to City a
Statement of Accounts for the preceding contract year, showing all advertisers during the preceding
contract year, the gross advertising revenues received from each advertiser, and the applicable net
advertising revenue for that year. The Statement of Accounts shall be prepared or approved by a
certified public accountant according to customary accounting practices and shall be accompanied
by a certificate of an authorized officer of licensee attesting to the truth and accuracy of the
information relied upon by the accountant, according to the certifying officer's best knowledge.
Further, within 60 days of the end of each contract year, in the event that the percentage revenue
11-2806.004/79133.docx 3
received by the City is less than that owed as shown in the Statement of Accounts, Licensee shall
pay the difference to the City at the time of filing the Statement of Accounts.
The City and its authorized agents shall be granted reasonable access during Licensee's
normal business hours to all of Licensee's books, documents, papers, and records that relate to this
Agreement.
4. DESIGN STANDARDS.
(a). All equipment shall meet the minimum design requirements as defined by City.
(b). All work performed in relation to this agreement within the City boundary shall
conform to City standards including the latest edition of Standard Specifications for Public Works
Construction (Green Book).
(c). Each site design shall be compatible with the landscaping in its vicinity, in a manner
satisfactory to City.
5. MAINTENANCE AND REPAIR.
Licensee shall, at its sole expense maintain all equipment, in a neat, attractive, safe, and
sanitary manner in accordance with City guidelines and to the satisfaction of the City Manager or
his/ her designee. This includes, but is not limited to, cleaning of all visible surfaces. Licensee shall
report all maintenance activities in the City each quarter.
In the event Licensee fails to correct, repair, replace, or remove equipment as required by
this Agreement, City may, at its sole discretion, cause the correction, repair, replace, or removal of
the equipment. Any costs incurred by City shall be paid directly to City by Licensee within ten (10)
days following receipt by Licensee of City's invoice. If payment is not received by the due date a
late charge of 1.5% per month, compounded monthly, will be added. If payment is not received
within 30 days of the invoice date the Licensee will be in default and the Agreement may be
terminated immediately.
6. RESERVED.
7. SITE RELOCATION.
The City will have the right to require the Licensee to relocate the equipment at its sole
expense, for the City's convenience. The Licensee shall not relocate or remove the equipment
without the City's permission. The City may require, or permit equipment to be removed or
relocated if it has been demonstrated to be incapable of proper maintenance due to excessive
vandalism or any other reasonable cause, including weathering or related damage due to
environmental or weather conditions. "Excessive vandalism" is defined as damage inflicted to an
individual equipment unit during any consecutive six (6) month period, which requires cumulative
expenditures for replacement and repair that exceed the original cost of construction and installation
of the unit.
11-2806.004/79133.docx 4
8. INDEPENDENT CONTRACTOR.
Licensee shall, during the entire term of this License, be construed to be an independent
contractor and not an employee of the City. This License is not intended nor shall it be construed to
create an employer -employee relationship, a joint venture relationship, or to allow the City to
exercise discretion or control over the professional manner in which Licensee performs the services
which are the subject matter of this License; however, the services to be provided by Licensee shall
be provided in a manner consistent with any applicable standards and regulations governing such
services. Licensee shall pay all salaries and wages, employer's social security taxes, unemployment
insurance and similar taxes relating to employees and shall be responsible for all applicable
withholding taxes.
9. CONFLICT OF INTEREST CLAUSE.
Licensee covenants that it presently has no interests and shall not have interests, direct or
indirect, which would conflict in any manner with performance of services specified under this
License.
10. WAIVER.
The failure of City or Licensee on one or more occasions to exercise a right or to require
compliance or performance under this License, or any other applicable law shall not be deemed to
constitute a waiver of such right or a waiver of compliance or performance, unless such right has
been specifically waived in writing. Any waiver of a breach is not a waiver of any other breach,
whether similar to or different from that waived.
11. NOTICE.
Any notice, tender, demand, delivery, or other communication pursuant to this License shall
be in writing and shall be deemed to be properly given if delivered in person or mailed by first class
or certified mail, postage prepaid, or sent by telefacsimile or other telegraphic communication in the
manner provided in this Section, to the following persons:
To City:
Bob Hall
Deputy City Manager / Director
of Economic Development
City of Huntington Beach
2000 Main Street
Huntington Beach, CA 92647
To Licensee:
Yoder's Mobile Marketing
500 E. National Highway
Washington, Indiana, 47501
attn: President/CEO
A party may change its address by giving notice in writing to the other party. Thereafter,
any notice, tender, demand, delivery, or other communication shall be addressed and transmitted to
the new address. If sent by mail, any notice, tender, demand, delivery, or other communication
shall be effective or deemed to have been given three (3) days after it has been deposited in the
United States mail, duly registered or certified, with postage prepaid, and addressed as set forth
above. If sent by telefacsimile, any notice, tender, demand, delivery, or other communication shall
11-2806.004/79133
be effective or deemed to have been given twenty-four (24) hours after the time set forth on the
transmission report issued by the transmitting facsimile machine, addressed as set forth above. For
purposes of calculating these time frames, weekends, federal, state, County or City holidays shall be
excluded.
12. ENTIRE AGREEMENT; AMENDMENT.
This License represents the complete and exclusive statement between the City and
Licensee, and supersedes any and all other licenses, oral or written, between the parties for the same
purpose. In the event of a conflict between the terms of this License and any attachments hereto,
the terms of this License shall prevail. This License may not be modified except by written
instrument signed by the City and by an authorized representative of Licensee. The parties agree
that any terms or conditions of any purchase order or other instrument that are inconsistent with, or
in addition to, that terms and conditions hereof, shall not bind or obligate Licensee nor the City.
Each party to this License acknowledges that no representations, inducements, promises or
Licenses, orally or otherwise, have been made by any party, or anyone acting on behalf of any
party, which is not embodied herein.
13. ASSIGNMENT.
Inasmuch as this License is intended to secure the specialized services of Licensee, Licensee
may not assign, transfer, delegate, or subcontract any interest herein without the prior written
consent of the City at the City's sole and absolute discretion, and any such assignment, transfer,
delegation or subcontract without the City's prior written consent shall be considered null and void.
Nothing in this License shall be construed to limit the City's ability to have any of the services
which are the subject to this License performed by City personnel or by other Licensees retained by
City.
14. TERMINATION.
Either party may terminate this Agreement upon sixty (60) days advance written notice to
the other party. Licensee shall, at its sole cost and expense, remove all equipment prior to any
termination of this Agreement. In the event that a notice of termination is delivered by either party,
Licensee shall continue to comply with the payment terms of this Agreement, and shall continue to
issue payment to City as scheduled for any advertising revenues earned prior to the termination
date. Within thirty (30) days following the termination date, Licensee shall deliver a final Statement
of Accounts to City as otherwise set forth in Section 3 of this Agreement.
15. DISCRIMINATION.
Licensee shall not discriminate because of race, color, creed, religion, sex, marital status,
sexual orientation, age, national origin, ancestry, or disability, as defined and prohibited by
applicable law, in the recruitment, selection, training, utilization, promotion, termination or other
employment related activities. Licensee affirms that it is an equal opportunity employer and shall
comply with all applicable federal, state and local laws and regulations.
11-2806.004/79133.docx 6
16. JURISDICTION - VENUE.
This License and all questions relating to its validity, interpretation, performance, and
enforcement shall be governed and construed in accordance with the laws of the State of California.
This License has been executed and delivered in the State of California and the validity,
interpretation, performance, and enforcement of any of the clauses of this License shall be
determined and governed by the laws of the State of California. Both parties further agree that
Orange County, California, shall be the venue for any action or proceeding that may be brought or
arise out of, in connection with or by reason of this License.
17. PROFESSIONAL LICENSES.
Licensee shall, throughout the term of this License, maintain all necessary licenses, permits,
approvals, waivers, and exemptions necessary for the provision of the services hereunder and
required by the laws and regulations of the United States, the State of California, the City of
Huntington Beach and all other governmental agencies. Licensee shall notify the City immediately
and in writing of its inability to obtain or maintain such permits, licenses, approvals, waivers, and
exemptions. Said inability shall be cause for termination of this License.
18. INDEMNIFICATION, DEFENSE, HOLD HARMLESS.
Licensee hereby agrees to protect, defend, indemnify and hold harmless City, its officers,
elected or appointed officials, employees, agents, and volunteers from and against any and all,
claims, damages, losses, expenses, judgments, demands defense costs, and consequential damage or
liability of any kind or nature, however caused, including those resulting from death or injury to
Licensee's employees and damage to Licensee's property, arising directly or indirectly out of the
obligations or operations herein undertaken by Licensee, caused in whole or in part by any
negligent act or omission of the Licensee, any subcontractors, anyone directly or indirectly
employed by any of them or anyone for whose acts any of them may be liable, including but not
limited to concurrent active or passive negligence, except where caused by the active negligence,
sole negligence, or willful misconduct of the City. Licensee will conduct all defense at its sole cost
and expense and City shall approve selection of Licensee's counsel. This indemnity shall apply to
all claims and liability regardless of whether any insurance policies are applicable. The policy
limits do not act as a limitation upon the amount of indemnification to be provided by Licensee.
19. INSURANCE.
(a) General Public Liability Insurance. In addition to workers' compensation and
employer's liability insurance as required herein and Licensee's covenant to defend, hold harmless
and indemnify City, Licensee shall obtain and furnish to City, a policy of general public liability
insurance covering the Project/Service. This policy shall indemnify Licensee, its officers,
employees and agents while acting within the scope of their duties, against any and all claims
arising out or in connection with the Project/Service, and shall provide coverage in not less than the
following amount: combined single limit bodily injury and property damage, including
products/completed operations liability and blanket contractual liability, of One Million Dollars
($1,000,000) per occurrence. If coverage is provided under a form which includes a designated
general aggregate limit, the aggregate limit must be no less than One Million Dollars ($1,000,000)
for this Project/Service. This policy shall name City, its officers, elected or appointed officials,
11-2806.004/79133.docx 7
employees, agents, and volunteers as Additional Insureds, and shall specifically provide that any
other insurance coverage which may be applicable to the Project/Service shall be deemed excess
coverage and that Licensee's insurance shall be primary.
Under no circumstances shall said above -mentioned insurance contain a self -insured
retention, or a "deductible" or any other similar form of limitation on the required coverage.
(b) Workers' Compensation and Employer's Liability Insurance. Pursuant to California
Labor Code Section 1861, Licensee acknowledges awareness of Section 3700 et seq. of this Code,
which requires every employer to be insured against liability for workers' compensation; Licensee
covenants that it will comply with such provisions prior to commencing performance of the work
hereunder.
Licensee shall obtain and furnish to City workers' compensation and employer's
liability insurance in an amount of not less than the State statutory limits.
Licensee shall require all subcontractors to provide such workers' compensation and
employer's liability insurance for all of the subcontractors' employees. Licensee shall furnish to
City a certificate of waiver of subrogation under the terms of the workers' compensation and
employer's liability insurance and Licensee shall similarly require all subcontractors to waive
subrogation.
(c) Certificates of Insurance; Additional Insured Endorsements. Prior to commencing
performance of the work hereunder, Licensee shall furnish to City certificates of insurance subject
to approval of the City's Attorney evidencing the foregoing insurance coverages as required by this
Agreement; the certificates shall:
1. provide the name and policy number of each carrier and policy;
2. state that the policy is currently in force; and
3. promise to provide that such policies will not be canceled or modified
without thirty (30) days' prior written notice of City.
Licensee shall maintain the foregoing insurance coverages in force until the work
under this Agreement is fully completed and accepted by City.
The requirement for carrying the foregoing insurance coverages shall not derogate
from the Licensee's defense, hold harmless and indemnification obligations as set forth under this
Agreement. City or its representative shall at all times have the right to demand the original or a
copy of all the policies of insurance. Licensee shall pay, in a prompt and timely manner, the
premiums on all insurance hereinabove required.
Licensee shall provide a separate copy of the additional insured endorsement to each
of Licensee's insurance policies, naming City, its officers, elected and appointed officials,
employees, agents and volunteers as Additional Insureds, to the City Attorney for approval prior to
any payment hereunder.
11-2806.004/79133.docx 8
20. COMPLIANCE WITH LAW.
Licensee shall comply with all statutes, ordinances, regulations, and requirements of all
governmental entities, federal, state, county and municipal, relating to this License whether such
statutes, ordinances, regulations, and requirements are now in force or hereinafter enacted. The
judgment of any court of competent jurisdiction, or the admission by Licensee in a proceeding
brought against Licensee by any government entity, that Licensee has violated any such statute,
ordinance, regulation, or requirement shall be conclusive as between City and Licensee and shall be
ground for termination of this License by City.
21. MISCELLANEOUS PROVISIONS.
(a) Each undersigned represents and warrants that its signature hereinbelow has the power,
authority and right to bind their respective parties to each of the terms of this License, and shall
indemnify City fully, including reasonable costs and attorney's fees, for any injuries or damages to
City in the event that such authority or power is not, in fact, held by the signatory or is withdrawn.
(b) All Exhibits referenced herein and attached hereto shall be incorporated as if fully set
forth in the body of this License. In the event that an inconsistency, conflict or ambiguity exists
between the provisions of this License and the provisions of the Exhibits referenced herein, the
provisions set forth in this License shall take precedence.
IN WITNESS WHEREOF, the parties hereto have executed this License the date and year
first above written.
YODER'S MOBILE MARKETING, LLC, an CITY OF HUNTINGTON BEACH, a
Indiana Limited Liability Company municipal corporation of the State of Cal' ornia
Mayor
to e
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ity Clerk
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Officer/Asst. Secretary - Treasurer 61
.APPROVED AS TOO FORM:
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11-2806.004/79133.docx 9
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Additional i.onal Snew,reds: City of i-w4i.ngton Beach, Cral.i..fo niLl
CERTIFICATE HOLDER ADDITIONAL INOUROD, INOUROI
City O.f, Huntington Beach., CalifOXn.iFA
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MAR-19-2012 09:31 From:DONALD50N AGENCY 8122544676
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LIGHTNING ROD MUTUAL INSURANCE
CHANGE OF DECLARATIONS ENDORSEMENT . COMMERCIAL GENERAL LIABILITY
Policy Number PACKLI-S 112B3772.> _
Named Insurrd YODER'S t=E-Mi1RKEYING INC
l3 Address 600 E NATIONAL HIGHWAY
A HINGTON __ IN 47SO1.4116
Pollcy Period: Covers From 07/29/2011 TO �071281201212'O1 A..M. Standard Timo
.ffective Date ofThIs EndorGemont 03/94/2012 12:01 A.M. Slundurd Time
Agent DONALDSON AGENCY INC 13 31830
Address PO, BOX 420
WASHINGTON IN 13 47601.0428
This pollLy In changed as follows:
PREMIUMS
OTHER P
xxxxllxxrNNNNNNNxatNxNxrxNN ENDORSEMENT CHANGES ilxNxilNNxxxNBlNxNxN14NNNxNxN
ITEM CGZ010 0704 HAS BEEN ADDED « 23.00
08/14/ZO12 TO 07/29/2012
A NEW COPY OF THIS FORM NA$ BEEN PRINTED
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ADD OTHER COMMISSION OF .2000
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ADDITIONAL PREMIUM DUE S
THIS IS NOT A SILL . SEE YOUR DIL1.1N0 STATEMENT
29.00
GL AM EN (00•94)
DIRECT BILL CM7 12070 AOENT COPY PACK LLS 1311283772 601204412 13 00006
MAR-19-2012 09:31 From:DONALDSON AGENCY 8122544676
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POLICY NUMBER' PACKLL 391283172
COMMERCIAL GENERAL LIABILITY
CG 2010 07 04
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE BEAD IT CAREFULLY.
ADDITIONAL INSURED -OWNERS, LESSEES OR
CONTRACTORS -SCHEDULED PERSON OR
ORGANIZATION
This endorsement modifies insurance provided under the IollowingI
COMMERCIAL. GENERAL l IABILITY COVERAGE PART
SCHEDULE
Name Of Additional Insured Porson(s)
AV AMn&.1s 4inn/n1.
OFFICIALS, AOCNTS, OFFICER9,2MI)LOYCE9 9 VOLUNTURS
200 MAIN ST
HUNTINOTON OUCH CA 02049
Of Covered
MACH CA 020,
In requlrrad to complote this Schedule, It not shown above, will be shown In the Doclaratlorls.
A. Section II — Who Is An Insured Is amended to
include as an uddhional Insured the porson(s) or or-
gnnfztulon(s) shown In the Schedule, but only with
rospecl to Ilabllify for "bodily Injury", 'property dam-
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in the performance of your ongoing operations for
the addltlonal insured(s) at the locHtlon(s) deslg.
natal above.
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slons apply.
This insurance does not apply to "bodily Injury" or
"property darnago" occurring after:
1. All work, Including maledats, pouts or oqulpmont
lurnished In connection with such work, on Ilia
project (other than service, maintenance or re
pairs) to be pe0ormod by or on behalf of the ad-
ditional insurod(s) al the locallon of the covered
operations has been completed; of
2. That portion of "your work" oul of which tho Injury
or damage arises has boon put to its intended
iise by any person or organization other than an-
other contractor or suhcunimctor engagod In por-
forming operations for a principal ds a part of the
same project.
CO 2010 07 04 0 ISO PrOperllus. Inc,. 2004 Pago 1 of 1 0
MAR-19-2012 09:31 From:DONALDSON AGENCY 8122544676
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LIGHTNING ROD MUTUAL INSURANCE
CHANGE OF DECLARATIONS ENDORSEMENT - COMMERCIAL GENERAL LIABILITY
Policy Number PACXLLS 1311283772
Named Insured YODER'S MOBILE MARKETING INC
B Address BOO E NATIONAL HIGHWAY
WASHINGTON 47601.4116
Paltry Period: Covors Frorn: 07/2912011TO 07/20/201212:01 A,M• Standard Time
•Ifective Dale of This Endorsement 03114/2012 12.01 A M, 5landard Time
Agent DONALDSON AGENCY INC 1331030
Address PO BOX 428
WASHINGTON IN 13 4YSOI.0428
This policy Is changed 89 follows;
PREMIUMS
OTHER PRO
Rasprap�Wrawrapap�I�epllelzt�e��a� ENDORSEMENT CHANGES MpillJtlpgMpDlgldM)4pptt�peg�sa�p�
ITEM CU2010 0704 HAS SEEN ADDED ® 25.00
03/14/2012 TO 07/29/201Z
A NEW COPY OF THIS FORA WAS SEEN PRINTED
ADD TERRITORY OF 006
ADD CLASS CODE Of 49960
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GL AAA EN (OG-94)
OIROCT BILL CM7 12070 INSURE& COPY PACK L43 1311203172 501204412 13 00003
MAR-19-2012 09:32 From:DONALDSON AGENCY 9122544676
W Ji LJ/4V 14 nvfl J U 1 ui CAA JJULO]lYON l;L1111O1VXG101 l'aX
To:17143755oe7 P.5/5
ICluuai v o 2
POLICY NUMBER: PACKLLS 1311283772
COMMERCIAL GENERAL LIABILITY
CG 2010 07 04
THIS ENDORSEMENT CHANCES T4E POLICY. PLEASE READ IT CAREFULLY.
ADDITIONAL INSURED -OWNERS, LESSEES OR
CONTRACTORS -SCHEDULED PERSON OR
ORGANIZATION
This ondoroomenl modiflns Insurnnco providod ender the folfowing
COMMNACIAI_ GFNFNAI_ I..IADIL.ITY COVE RAGE PART
SCHEDULE
Name Of Additional Incurod Porson(s)
Or Oronnizatlon(st):
CITY OF HUNTINGTON BEACH IT'S LUCTED OR APPOINTLD
OFFICIALS, AOEM'18, OFFICEROXMPLOVEC-8 A VOLUNTUNS
200 MAIN ST
HUNTINOTON BEACH CA 92049
Information requliod to completa this Schodula, it not shown aWvej will bo shown in the Declarations,,
A. Section II Who Is An Insured is amended to
Include as an additional insured the person(s) or or-
gantaatfon(a) shown In the Schedule, but only with
rospocl to liability for "bodily Injury", "propeny dam-
age" of "personal and advenising Injury" caused, In
whole or in part, by.
1. Yrx,Ir acts or olnisslons, or
2. The arts or omissions of ihoso acting on your
behall
In tho pertormanco of your ongoing oporattons for
Iho addilional insurnd(s) at the location(s) desig.
nNed above,.
B. With respect to the insurvloo ottoi ded to these
addilional Insureds, the following additlonal exclu•
lions apply::
This insurance does not apply to "bodily Injury" or
"proporty dainago" occurring attar
1. All work, including materials, parts or equipment
turnlshW In connection with sucn work, on the
project (other than sorvico, maintenance or re-
pairs) to be poiformod by or on behalf of the ad,.
dlllonol Insurod(s) at file location of the covered
operWlons has boon completed, or
2. That portion of "your work" out of which the Injury
or damage arlsos has boon put to its intended
use by any person or organization other than an.
other contractor or suIxonhaotor engagod In per-
forming oi)ortatlons for a principal as a part of the
same project,
CG 2010 07 04 0 ISO Properties, Inc., 2004 Page 1 of 1 0
MRR-15-2012 13:35 From:DONALDSDN AGENCY 8122544676 To:17143755087 P.3/3
Su f ity CITY OF H7CJI®iTI1®TG°] ON BEACH
2000 Main Street, Huntington Beach, CA 92646
hlwd.in;i n fcnch�
Declaration of Non -Employer Status
In order to comply with the City Council Resolution No,6- -W you are required
to provide proof of Workers' Compensation Insurance. If you have no
employees, this form must be signed and returned to:
City of Huntington Beach
2000 Main Street
Huntington Beach, CA 92648
I certify that in the performance of the activity or work for which this permit is
issued, l shall not employ any person In any manner so as to become subject to
California Workers' Compensation Insurance requirements.
I authorize the City of Huntington Beach to immediately and retroactively
revoke the license or permit issued under this declaration If I hire any
employee(s) or become subject to the provision of the laws requiring Workers'
Compensation Insurance.
Applicant/Company Name:
Address:
Applicant's Signature:
Title:
Location Signed:
Date Signed: —
Telephone Number:
.�..^.:'4,+v,.. �,.-�.n, ,,,.,,r.,•,,,;r.,�. ,,�,,,re�„n;.,vti�,���,;,y,.^.,•`.:„�,,,,,:..,p,�..,�..,,:....,^✓. v,,,.n�...�rti,.:,,�,.`,•..✓�.•^.�`.�,•W�n .r•',•"...r,�,%le,
EXHIBIT A
Initially proposed installations:
-Beach restrooms 1, 41 5, and 7
-Main Promenade Parking Garage
-Pier Plaza
-International Surf Museum
EXHIBIT B
Yoder's Mobile Marketing
500 E National Hwy.
Washington, IN 47501
(T) 888.963.3770
(F) 812.254.8981
b
December 19, 2011
Prepared for: Don Schulte — Active Network
Jim Slobojan - City of Huntington Beach
s�� . �Y,.,�3�-' �!s;i� t �x���"_ a"�;�.,�t:��e-:°a'E%'7P3.`�`i�ipsn".�":'�: s���;`�'iD��r=_.s.?i3�'�si�.�.,� �. _ -��x''� a� ..,; •r
Cover Letter
Yoder's Mobile Marketing is pleased to submit our qualifications to the City of Huntington Beach for
consideration as a qualified Media Services Company for public work throughout the municipality.
Specifically, Proximity Marketing services and WiFi Network access.
A Proximity Marketing network is the next level by which the City of Huntington Beach can promote and
profit from Mobile Advertising sales, Brand Awareness campaigns, local merchant Special Offers,
promotions and other relevant content broadcasted directly to Bluetooth/WiFi-enabled devices, mainly
mobile phones, within proximity of the network. To execute a successful Proximity Marketing network,
you need a mobile marketing and technology partner that understands the power of the "Third Screen",
your objectives, customers and how to successfully interact with them.
Our Solution
Our solution represents a combination of Bluetooth and WiFi Proximity Marketing devices configured for
network operation. Providing a dual layer content delivery system designed to reach the largest number
of wireless devices within the proposed coverage areas. Our patent pending Pro X Media Proximity
Marketing System is designed to deliver results while maintaining the lowest cost of operation over large
network deployments.
Yoder's Mobile Marketing is uniquely qualified to provide these strategic services. We offer global
network reach and local presence, combining depth of experience with responsive, flexible service. We're
also the leading manufacturer of Proximity Marketing systems. But our recommendations are always
based on engineering analysis, so we can guarantee the best solutions for your actual needs.
Your Results
By deploying a Proximity Marketing System, the City of Huntington Beach will see the following
benefits:
® Free WiFi Access (hotspots)
o Delivery of City and Advertiser Content to Mobile Devices.
A Drive Customers to local Merchant stores and Event locations.
® Access to Affordable Advertising for local merchants.
® Improve Communication at the Beach to the 16 million + beach visitors each year.
® Provide Emergency Management/Public Announcement messages across the entire
network (Weather/Surf reports, AMBER alerts, Distribute Law Enforcement Most
Wanted posters, City Collateral materials, etc...).
e Generate Advertising Revenue via proposed Proximity Marketing System on a Revenue
Share basis.
® No Cost to the City.
MEDIA SERVICES, ADVERTISING AND SPONSORSHIP SALES RFQ# 2011-1106 Yoder's Mobile Marketing (Vendor ID: 148433)
4i'F5''*�±i8s
Official Contact and Correspondence
Matt Longo 13568 Ottawa Ave., I San Diego CA 92117
(714)805-6646
"The Proposer agrees to be bound by and will comply with the terms and conditions of MEDIA
SERVICES, ADVERTISING AND SPONSORSHIP SALES RFQ# 2011-1106 during any awarded
contract".
"The Proposer has not discriminated and will not discriminate against minority, women or emerging
.small business enterprises in obtaining any required subcontracts".
"The Proposer acknowledges receipt of all amendments and/or addenda pertaining to MEDIA
SERVICES, ADVERTISING AND SPONSORSHIP SALES RFQ# 2011-1106"
Sincerely,
Matt Lg go SVP
Yoder's Mobile Marketing
714-805-6646
MEDIA SERVICES, ADVERTISING AND SPONSORSHIP SALES RFQ# 2011-1106 Yoder's Mobile Marketing (Vendor ID: 148433)
REQUEST FOR PROPOSAL
VENDOR APPLICATION FORM
TYPE OF APPLICANT: F-� NEW ❑ CURRENT VENDOR
Legal Contractual Name of Corporation:
Contact Person for Agreement: Matt Longo
Yoder's Mobile Marketing, LLC
Corporate Mailing Address: 500 E. National Hwy
City, State and Zip Code: Washington, IN 47501
E-Mail Address: matt.longo@pro-x-media.com
Phone: 714-805-6646 Fax: 812-254-8981
Contact Person for Proposals: Matt Longo
Title: SVP
Business Telephone: 888-963-3770
Is your business: (check one)
❑ NONPROFIT CORPORATION
Is your business: (check one)
E-Mail Address: matt.longo@pro-x-media.com
Business Fax: 812-254-8981
F-_1 FOR PROFIT CORPORATION
0 CORPORATION ❑ LIMITED LIABILITY PARTNERSHIP
❑ INDIVIDUAL ❑ SOLE PROPRIETORSHIP
❑ PARTNERSHIP ❑ UNINCORPORATED ASSOCIATION
1 of
Names & Titles of Corporate Board Members
(Also list Names & Titles of persons with written authorizationlresolution to sign contracts)
Names Title Phone
Darvin Yoder CEO 812-486-8134
Matt Longo (authorized signatory) SVP 714-805-6646
Federal Tax Identification Number: 26-0777334
City of Huntington Beach Business License Number: none
(If none, you must obtain a Huntington Beach Business License upon award of contract.)
City of Huntington Beach Business License Expiration Date:
2 of 2
Table of Contents
Background
Company .................................
7
Project Approach .................................
8
Experience .................................
10
Clients Served .................................
10
References ........... I .....................
10
Staffing .................................
11
Project
Timeline .................................
12
Maintenance Plan .................................
13
Advertiser
Advertiser Content .................................
14
Privacy Concerns .................................
14
Samples
Sample Network Template .................................
15
Infrastructure
Network Hardware .................................
17
Network Locations
Coverage Maps .................................
18
Appendices
Appendix A
Fee Proposal ................................
20
Appendix B
Cert. of Insurance ........... I .....................
23
Appendix C
Signatory ...... I ..........................
25
Appendix D
Bank Reference .................................
27
Appendix E
Sole Source Letter .................................
29
Appendix F
Staff Biography ...I .............................
31
Company Background
Yoder's Mobile Marketing is a leading developer of.location-based, hyper -local advertising products and
solutions that deliver rich media, and permission based messages, free of charge to cell phones and
wireless devices using Bluetooth® and WiFi® connectivity. The company's patent -pending Pro X
Media® Proximity Marketing hardware and web -based advertising platform combines the precision of
direct marketing with a comprehensive analytic engine to deliver more cost effective and ROI-driven
advertising than is possible via print, radio and television.
Yoder's Mobile Marketing began in the summer 2007 as a Bluetooth® Marketing company offering
location -based proximity marketing content from its broadcast hardware to handheld mobile devices. The
company Quickly evolved into a manufacturer, which consists of proprietary, feature -rich, flexible and
scalable hardware and software.
Service areas/applications include: Shopping Malls, Stadiums and Arenas, Convention Centers,
Municipalities, Educational Campuses, Entertainment Corridors, HoteUCasino and Resort Properties,
Political Campaigns, Live Events and more.
Project Approach
What makes Yoder's unique among Media Services contractors is our project approach. We believe that
the clients who have chosen us genuinely want to do something extraordinary -- and so do we. Our charge
is to discover our clients' needs and desires for the project and then foster the environment that will help
develop the vision, plan, and designs to make it a reality.
Communication is critical to every aspect of the project. It is critical to understanding our client's needs.
It is critical to developing the designs for complex network systems. It is critical to maintaining
meaningful project schedules. It is critical to the commissioning process.
We begin by developing a communication protocol and plan. By communication protocol, we mean an
agreement by all parties in the form and manner in which important project information will be conveyed
to the affected parties. For example, in most cases we have an agreement that important information is
communicated in writing. We also generally ask for each organization to appoint a point -person, or
project lead. In Yoder's case, all important project information is communicated to the SVP (Matt
Longo), Yoder's lead, who then distributes the information to the affected parties in his organization.
When the project moves into the installation phase, Yoder's Project Manager (David Sparks) will become
the communication lead.
Secondly, we develop a communication plan. The communication plan discusses what information needs
to be shared by whom, to whom, when, and in what manner. For example, some clients want to have the
project manager publish a project schedule on a weekly basis. This would go into the plan so that
everyone knows the expectation.
The second important thing about our approach after our obsession with communication is our holistic
view of the client's facilities. We start at the 10,000 foot level, getting an understanding of the entire
network footprint, and then we drill down into the individual locations, structures, and systems.
By gathering the clients' managers and community stakeholders together we build a creative environment
in which all contribute to shape the outcome. This approach will lead to the development of a Master Plan
which greatly benefit our clients by defining a vision and setting direction for the work to follow.
The development of a Master Plan is one outcome of the holistic, encompassing approach.
Yoder's scope for this project will include managing all aspects of the project from design and installation
to advertising sales and network operation.
The primary purpose for this network environment is to promote Huntington Beach's local businesses and
events, while improving communications to the 16 million + annual beach visitors, thus generating a
previously unrealized revenue stream.
The network footprint encompasses the City -owned 8.5 mile stretch of beaches, downtown shopping
district as well as the Bella Terra shopping center. Each designated zone of coverage will offer FREE
MEDIA SERVICES, ADVERTISING AND SPONSORSHIP SALES RFQ# 2011-1106 Yoder's Mobile Marketing (Vendor ID: 148433)
WiFi hotspots for consumers to logon to and consume advertiser content as well as gain limited access to
the internet.
Yoder's will utilize city -owned property and structures to base the network infrastructure. Yoder's will
request that a city engineer and/or maintenance staff assist in site preparation.
Phase I
The first phase of the project will consist of
o Site preparation
o Hardware provisioning
o Software licensing
Phase II
The second phase of the project will consist of
o Network installation
o Testing
o Commissioning
Phase III
The final phase of the project will consist of:
o Advertising Sales
o Deployment
Network advertisers are subscribed to monthly advertising agreements. These agreements are 6 month
and 12 month contracts. Special Event advertisers are billed at Special Event pricing. All revenues due
to the City of Huntington Beach are disbursed on a quarterly basis and deposited in the account specified
by the City (see Appendix A - Fee Proposal).
MEDIA SERVICES, ADVERTISING AND SPONSORSHIP SALES RFQ# 2011-1106 Yoder's Mobile Marketing (Vendor ID: 148433)
,��"�; +".4 ab frt _N i,4
k.
Experience
Yoder's Mobile Marketing is the U.S. largest manufacturer of proximity marketing equipment. With
proximity marketing networks around the globe, Yoder's Mobile Marketing holds a leading position in
technology -driven, marketing industry, products and services.
Client History
Aloha Network Downtown Raleigh I Bahamas Network
Alliance
AdCast Blue I AdCast Blue I Broadcast Services
Tourism/Shopping I Municipal I Tourism/Ent
Hawaii I North Carolina I Bahamas
02/ 10/2011 1 06/07/2011 1 04/25/2011
Ongoing 1 09/25/2011 1 Ongoing
20 units 1 100 units 1 100 units
Network Network Network
Architecture/Installation/Administration/ Architecture/Installation/ Architecture/Installation/
Advertisement Sales/ Design Design Design
Services/Consulting Services Services/Consulting Services/Consulting
Services Services
References
1. Tony Kittrell — (301) 370-5962
CEO I AdCast Blue
2. Cheri Lynn Martin — (615) 327-4487
Director of Brand Marketing and Strategic Partnerships
Country Radio Seminar
3. Samantha Bobbitt - (812) 254-5262
Executive Director
Daviess County Chamber of Commerce and Visitor's Bureau
MEDIA SERVICES, ADVERTISING AND SPONSORSHIP SALES RFQ# 2011-1106 Yoder's Mobile Marketing (Vendor ID: 148433)
RFQ Response
Staffing
Wd aW
Matt
SVP
Manages the
20+ years sales
Longo
overall business
and senior
relationship, the
operational
communication
experience
process and
advertising sales
department.
David
Chief
Manages the R&D
20+ years
Sparks
Technology
and maintains the
experience
Officer
technical aspects
encompassing
of Pro X Media's
Information
systems.
Technology,
Network Design;
Network
Development and
Management
Todd
Chief
Responsible for
20+ years
Hammer
Engineering
Software and
experience in
Officer
Product
advanced network
Engineering.
engineering and
product/software
development
Nicole
Chief
Manages
10 years
Fish
Brand
marketing,
experience in
Officer
advertising, design
digital media
and brand
design and brand
relations.
management
Darvin
Chief
Manages the
10+ years
Yoder
Executive
operations and
experience in
Officer
oversees the
business and
finances.
management
, experience
MEDIA SERVICES, ADVERTISING AND SPONSORSHIP SALES RFQ# 2011-1106 Yodelr's Mobile Marketing (Vendor ID: 148433)
-�s�s'T.k�F.?��M#�;.?�ea��c •t-. ,..t,�:.:➢=�"���. �e �, q�_^e?.�`�",t�S%�_�. ,£ x?�-..._a�,..a:���i3e��:�'�,:c��':'Y._'��E���1i,_'.i: �,�.eP�`.
Timeline
Key project dates are outlined below. Dates are "best guess" estimates and are subject to change before
being locked in by a binding contract.
e
Project Start
Jan. 2 nd
Mar 30
3 Months
2012
2012
Milestone 1
Jan. 2
Jan 13 2012
10 days
2012
Milestone 2
Jan 17
Jan 31" 2012
11 days
2012
Phase 1 Complete
Jan 2 nd
Jan 31" 2012
21 days
2012
Milestone 3
Feb Is'2012
Feb 10th
8 days
2012
Milestone 4
Feb 13
Feb 24
10 days
2012
2012
Phase 2 Complete
Feb Is'2012
Feb 24
18 days
2012
Milestone 5
Feb 27
Mar 9 2012
10 days
2012
Milestone 6
Mar 12
Mar 30
15 days
2012
2012
Proj ect End
Feb 27`
Mar 30th
25 days
2012
2012
MEDIA SERVICES, ADVERTISING AND SPONSORSHIP SALES RFQ# 2011-1106 Yoder's Mobile Marketing (Vendor ID: 149433)
ResponseRFQ
Maintenance Plan
Scheduled Maintenance procedures are primarily done remotely. However, a physical on -site inspection
may be periodically necessary to inspect each unit. This on -site inspection will occur on a quarterly basis.
MEDIA SERVICES, ADVERTISING AND SPONSORSHIP SALES RFQ# 2011-1106 Yoder's Mobile Marketing (Vendor ID: 148433)
--'+'t'?tfF*.L:;.J:?;,^'
Advertising Content
The Proximity Marketing network is primarily designed to provide Affordable Advertising to the local
Huntington Beach merchants and offer visitors the ability to engage and interact with these local
merchants and their content.
Prohibited Content
Companies whose business is substantially derived from the sale or manufacture of tobacco products or
alcoholic beverages; sexually -oriented businesses, is in violation of state and/or federal law, and/or any
other business, industry or product which the City determines, in its sole discretion, is not in the best
interest of the City and/or not consistent with the goals of the program will be excluded from advertising
materials. As such, individual advertisers must first qualify and obtain permission to advertise and the
burden is on the Proposer to make sure advertisements comply with City policy and guidelines. All
advertisers will be pre-screened by the Proposer.
Prohibited content includes, but is not limited to;
• Alcohol products
• Tobacco products
a Pornographic or sexually -oriented material
® Racially Offensive material
o Content that discriminates any person or group of persons
Privacy Concerns
Privacy is an important part of our daily lives, online as well as offline, and we take this very seriously.
The proposed Proximity Marketing Network requires the end user to initiate the connection to the
network. In short, the end user must opt -in. Once connected, the end user can freely consume the
content provided by content providers and publishers. No personal information is harvested,
acquired or scrapped from the end user. Form field submissions are encrypted and securely logged
in a database file that is only accessible to Yoder's Mobile Marketing staff and the advertising client,
through his/her Pro X Media platform account. There is no direct connection, by the end user's device,
to the infrastructure's backbone.
MEDIA SERVICES, ADVERTISING AND SPONSORSHIP SALES RFQ# 2011-1106 Yoder's Mobile Marketing (Vendor ID: 148433)
�ar�d` � `"y`.
m
Infrastructure
Yoder's Mobile Marketing will be making a significant investment into the infrastructure of Huntington
Beach. This investment consists of a hardware package valued at $125,000 and software licenses totaling
$594,000 over a 60 month term. The total installation constitutes an infrastructure value of $719,000.
The following represents the standard Pro X Media network hardware configuration. In effort to maintain
a uniform look, the enclosures and mounting hardware can be painted to match the exterior building
color.
- 2.4Ghz Antenna
5.8Ghz Antenna -
- LMR-195 Coax
Outdoor Rated Cats Cable -
Universal Mount - `V Fig 2.
The secured box will contain the PXM device,
the POE for the 5.8Ghz System and the power
supply for the PXM.
PXM riG. o will have LMR-195 Coax,going out to
the omni directional antenna. It will also have a
Cat 5 cable going from PXM to the -LAN" side of
the POE.
The POE will also have outdoor rated Cat5
cable going out to the Radio Frg. a which will be
attached to the Universal Mount in Fig 2. via the
POE Port.
The Radio for the 5.8Ghz back haul connects
directly to the antenna.
MEDIA SERVICES, ADVERTISING AND SPONSORSHIP SALES RFQ# 2011-1106 Yoder's Mobile Marketing (Vendor ID: 148433)
,bki rihi W- rkethri'a
Appendix A
Fee Proposal
Outline in d etail all fees to b e p aid to th e City (preference given for front 1 oaded,
upfront revenue guarantees). Fees should be broken down by sub -category within the
Advertising.M edia cl assification. T hese s ubcategories i nclude: O utdoor f urniture,
bus shelters, bench backs, kiosks, banners, posters, vehicles, websites, sponsorships,
naming rights and fixed digital displays.
The undersigned hereby certifies his or her compliance with the following:
"NON -COLLUSIVE PROPOSAL CERTIFICATION"
By submission of this Proposal, each Proposer and each person signing on behalf of
any other Proposer certifies, and in the case of a j oint Proposal, each party thereto
certifies as to its own organization, under penalty of perjury, that to the best of his or
her knowledge and belief:
A. The prices of this Proposal have been arrived at independently without collusion,
consultation, c ommunication, or a greement f or t he pu rpose o f r estricting
competition, as to any matter relating to such prices with any other Proposer or with
any competitor; and
B. U nless of herwise r equired b y 1 aw, t he pr ices w hich have be en quot ed i n t his
Proposal have not been knowingly disclosed by the Proposer and will not knowingly
be di sclosed b y t he P roposer pr for t o ope ning, directly or i ndirectly, t o a ny of her
Proposer or to any competitor; and
C. No attempt has been made or will be made by the Proposer to induce any other
person, partnership or c orporation t o s ubmit or not t o s ubmit a P roposal f or t he
purpose of restricting competition.
D. The undersigned has carefully examined the Proposal and License Documents
and agrees to perform this 1 icense and t o provide all s ervices, 1 abor, in aterial and
equipment necessary for this license'
SUBMITTED BY:
( gnature)
PRINT NAME Matt Longo DATE:_11/11/2011_
10
Fee Proposal
The following chart represents the Revenue Sharing proposal to the City of Huntington Beach for the
initial five years of the contract.
IievenueShare/o„
'N"" Yam"' E7' _:n4 "+..t19 ",- '�5'F
Network.Adverts**7-
r
rjG.ratis �r
N °
20% of Gross Network Ad
$45 000
Sales
�d
17.5% of Gross Network Ad
$60,000
i'.�._•�,,'`:'
Sales
.
k f .r
3W
15% of Gross Network Ad
$60,000
Sales
'N V"-1W=
15% of Gross Network Ad
$60,000
Sales
' r k
15% of Gross Network Ad
$60,000
,.
Sales
*The Revenue Share percentages are based on network advertising sales revenue. This revenue is mainly
derived from monthly network advertising agreements. Discount programs will be offered to advertisers
that are within the Huntington Beach city limits.
**The Gratis Network Adverts allows for $5,000 per month of design and network advertisement
placement across the network, to the City of Huntington Beach.
MEDIA SERVICES, ADVERTISING AND SPONSORSHIP SALES RFQ# 2011-1106 Yoder's Mobile Marketing (Vendor ID: 148433)
Pro forma Sales Summary
The following table outlines the City of Huntington Beach's projected Revenue Sharing income for 2012
and the four subsequent years thereafter. Revenues illustrated in this Pro forma are derived from proximity
marketing network advertising sales. Revenue Share disbursements shall be payable quarterly on the first
day of February, May, August and November of each year of the Agreement.
Revenue Share (HB) $81,000 $178,500 $337,500 $360,000 $360,000
Gratis Advertisements (HB) $45,000 $60,000 $60,000 $60,000 $60,000
Total Value (cashtgratis'adveris)', $126;000 ': $238,500 $397,500 $420,000` $420,000
5 Year Pro forma Deal Value: $ 1,602,000
Disclaimer: For Illustration Purposes Only. Does not constitute actual revenue.
Expected Results
Our analysis of the City of Huntington Beach's needs combined with our proposed solutions is expected
to have the following end results:
Financial Benefits
The Proximity Marketing Network
As illustrated in the "Pro forma Sales Summary table above, the following results are expected.
Monthly Benefit (HBl
60 Month Outlook
Average Cash Flow Potential $21,000+/month
60 Month Revenue Share Potential $1,317,000
Gratis Advertisements $5,000/month
60 Month Gratis Advertisements $285,000
Deal Value $26,000+/month
60 Month Deal Value $1,602,000
Disclaimer: For Illustration Purposes Only. Does not constitute actual revenue.
MEDIA SERVICES, ADVERTISING AND SPONSORSHIP SALES RFQ#12011-1106 Yoder's Mobile Marketing (Vendor ID: 148433)
Appendix B
City of Huntington Beach Insurance Requirements
12
A OR.N CERTIFICATE OPLIABILI1'� INSURANCE DATE(MWODNY)
19-6-11
PRODUCER THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION
ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE
Donaldson Insurance Agency HOLDER: THIS CERTIFICATE DOES NOT AMEND, EXTEND OR
10 E Nat'l Hwy ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW.
Washington, IN 47501 INSURERS AFFORDING COVERAGE
INSURED INSURER A'. Western Reserve -
Yoder's Mobile Marketing, Inc INSURERB:
500 E National Hwy INSURER C:
Washington, IN.47501 INSURERD:
INSURER E:
finVFRAr.FR
THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING
ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT'WITH:RESPECT:.TO:WHICH THIS CERTIFICATE MAY BE ISSUED OR
MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH
POLICIES. AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS.
I
TYPE OF INSURANCE
POLICY -NUMBER
POLICY EFFECTIVE
DATE MM/DD/Y
POLICY EXPIRATION
DATE MM/ DN
LIMITS
A
GENERAL LIABILITY
COMMERCIAL GENERAL LIABILITY
CLAIMS MADE OCCUR
- -
Paeklls1301283773
-
7--29--11
7-29-12
EACH OCCURRENCE
FIRE DAMAGE (Any one fire)
MED EXP (Any one person)
$
PERSONAL & ADV INJURY
S 00
GENERAL AGGREGATE
$
GENT AGGREGATE LIMIT APPLIES PER:
PRODUCTS •COMP/OP AGG
$ 7 nnn nnn
POLICY PE O LOC
CT
AUTOMOBILE
LIABILITY
ANY AUTO -
COMBINED SINGLE LIMIT
(Ea accident) _
$
I
ALL OWNED AUTOS
SCHEDULED AUTOS
BODILY INJURY
(Per person)
$
HIRED AUTOS
NON -OWNED; AUTOS.
-
BODILY INJURY
(Per accident)
$
PROPERTY DAMAGE--._:.....$
(Per accident)
-
...:.
GARAGE LIABILITY
AUTO ONLY • EA ACCIDENT
$
OTHER THAN EA ACC
__
$ - -
ANY AUTO
$
"
AUTO ONLY: AGG
EXCESS LIABILITY
EACH OCCURRENCE
$
OCCUR l] CLAIMS MADE
AGGREGATE
$
$
-
_
S
DEDUCTIBLE -
$.
-RETENTION - $
WORKERS COMPENSATION AND
EMPLOYERS' LIABILITY
I
I WC STATU- O7H-
TORY LIMITS Eft
E.L. EACH ACCIDENT
$ u
E.L. DISEASE - EA EMPLOYEq
$
E.L. DISEASE - POLICY LIMIT
$
OTHER
DESCRIPTION OF OPERATIONSILOCATIONSNEHICLES/EXCLUSIONS ADDED BY, ENDORSEMENT/SPECIAL PROVISIONS-
Mobile Marketing
Additional Insureds*City'of Huntington Beach, California
CERTIFICATE HOLDER I ADDITIONAL INSUREM INSURER 1 ETTER' CANCELLATION
City of Huntington 'Beach, California
SHOULD ANY OFTHE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION
DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL 20 DAYS WRITTEN
NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, BUT FAILURE TO DO SO SHALL
IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE INSURER, ITS AGENTS OR
REPRESENTATIVES.
A - I ED REPRES NTATIV
ACORN 25-5 (7/97) 0 ACORD CORPORATION 1988
Appendix C
Authorized Signatory
From: Darvin Yoder I CEO
Yoder's Mobile Marketing, LLC
To: City of Huntington Beach
Huntington Beach, CA
Date: 11/06/11
RE: Authorized Signatory Letter
The person named below is designated as the authorized signatory to represent Yoder's Mobile
Marketing in all written communications pertaining to Yoder's Mobile Marketing's
applications, proposals, contracts, agreements and memorandums relating to or arising from the
City of Huntington Beach Media Services, Advertising and Sponsorship Sales RFQ # 2011-106,
Matt Longo
SVP
Tel: (714) 805-6646
Fax: (812) 254-8981
matt. longo6i)Pro-x-media.com
A tuA � rize 'g atory signature
Darvin Yoder
CEO
500 E National Hwy., Washington, IN 47501
(t) 888-963-3770 (1) 812-254-8981
www.pro-x-media.com
Appendix D
Bank Reference
D NATION]
December 16, 2011
RE: Darvin Yoder
Lori Yoder
To Whom It May Concern:
Darvin Yoder, who is the CEO of Yoder's Mobile Marketing and his wife Lori Yoder
have been valued customers of Old National Bank for many years. Their checking and
loan accounts have been kept in a satisfactory manner. If we can be of any further
assistance, please let us know.
Sincerely,
Kathy L. Havill
Asst. Vice President
KLH/rks
Main Banking Center East Side Banking Center Depot Banking Center
204 E. Main St. 311 Southeast 21st St. 115 E. South St.
Washington, IN 47501 -Washington, IN 47501 Washington. IN 47501
812-254-1760 81 -254-1760 812-254 I760
Shoals Banking Center Loogootee Banking Center
Main St. Hwys- 231 & 50
Shoals, IN 4-581 Loogootee, IN 47553
812-247-2050 812-295-2044
Appendix E
Sole Source Letter
kig
December 19, 2011
Re: Sole Source Letter
To Whom It May Concern:
This letter serves as a sole source document for products manufactured by Yoder's Mobile
Marketing (YMM).
The Proximity Marketing equipment is manufactured solely by YMM. YMM's equipment is
protected by U.S. patent pending.
To the best of our knowledge, no other vendor manufactures and distributes these or similar
items. Please let me know should you need further details.
Sincerely,
Yoder'f Mobile Marketing I Pro X Media
Yoder's Mobile Marketing 1 500 E National Hwy., Washington, IN 47501 1 Tel: 888-963-3770 1 www.pro-x-media.com
Appendix F
Key Staff Biography
Key Staff Biography
DAVID SPARKS I Chief Technology Officer
Technical & Installations
Mr. Sparks is the Chief Technology Officer with nearly 20 years of significant experience encompassing
Information Technology, Network Design; Network Development and Management.
Most recently, Mr. Sparks served as CEO of Sparks Integrated Technologies, an Information Technology
based company in Washington, IN. There, he managed the day-to-day operations. This included, but was
not limited to, install, setup, and monitor local area network (LAN). Perform a variety of maintenance,
evaluation, installation, and training tasks to ensure LAN performance meets companies and users
requirements.
Mr. Sparks also had worked for the region's largest I.T. Company. Here he designed and maintained one
of Southern Indiana's largest wireless internet networks. In addition, he provided technical support and
management for the companies thousands of end users.
Mr. Sparks was educated at the Community College of the Air Force while he served on Active Duty at
Chanute AFB and also attended Parkland College in Illinois Where he received his A.A.S. degree in EET.
Mr. Sparks also has acquired CompTIA: A+ Certification, CompTIA: Network+, 3M Fiber Optical
Terminating, 3M BICSI Certified and Alvarion Certified Wireless Technician. In addition he also has a
valid License as an Electrician.
TODD HAMMER I Chief Engineering Officer
Technical & Network Administration
Mr. Hammer is the Chief Engineering Officer of Yoder's Mobile Marketing with over 20 years of
experience in advanced network engineering and product/software development.
Mr. Hammer most recently served as Senior Network Engineer for 15 years at RTC Communications, a
telecommunications company, where he was responsible for engineering and deploying a wide range of
Internet Service Provider products and supporting technologies, including Wireless Broadband internet,
DSL internet, Fiber -To -The -Home networks and IP Television. His accomplishments at RTC include
developing a complete network monitoring application, wireless radio provisioning and management
infrastructure as well as many other in-house software applications.
Prior to that, Mr. Hammer served in the United States Navy for 6 years as a Data Systems Technician
aboard the recently decommissioned USS Kitty Hawk aircraft carrier.
Mr. Hammer's technical expertise lies in Linux-based systems and all of the tools and applications
inherent to the Free Software ecosystem.
Mr. Hammer has acquired his Red Hat Certification.
ATTACHMENT e
HB —207— Item 11. - 53
WE
RE
City of Huntington Beach Media Serives RFQ - Vendor Dis ition List
1
.e%h,<
Atomic Outdoor Media Inc
John Kubota
877-923-2668
14252 Culver Drive, Suite A 28T
JohnK(a),atomicoutdoor.com
Irvine, CA 92604-0317
Avant Outdoor Advertising
Jacko Luong
800-560-4282
12865 Brookhurst Street
info(a)avantoutdoor.com
Garden Grove, CA 92840
Billboard Connection
Brian Alexander
310-429-3900
1015 Gayley Ave., Suite 500
balexander(s�)BillboardConnection.com
Los Angeles, CA 90024
Ultimate Outdoor Advertising
Attn: Corporate Sales
949-723-9311
503 32nd #100
robert(a)californiaoutdoor.com
Newport Beach, CA 92663
CBS Outdoor
Bryan Canley
323-222-7171
1731 Workman Street
bryan.canley(o)cbsoutdoor.com
Los Angeles, CA 90031
Clear Channel Outdoor
Lynn Palmer
858-292-2000
9660 Granite Ridge Drive
lynnpaimer(a)clearchannel.com
San Diego, CA 92123
Lamar Outdoor Advertising
Ray Baker
877-655-2627
5670 Wilshire Blvd. Suite 1690
rbaker(c)lamar.com
Los Angeles, CA 90036
Linder Advertising: Out -of -Home
Jeff Linder
714-685-2821
1382 Valencia Ave, #H
jlinder(a)absoluteexhibits.com
Tustin, CA 92780
ON Media Group
Attn: Corporate Sales
866-821-8684
5850 W. 3rd Street, #349
info(a7)deadonmarketing. corn
Los Angeles, CA 90036
Orange County Billboards.com
Jeff Harvey
714-318-1209
P O Box 1024
jeffharvey(a)ocbiIIboards.corn
Orange, CA 92865
Radiant Outdoor
Tim Kennedy
516-429-0990
5514 Caruth Blvd
tim(r)radiantoutdoor.com
Dallas, TX 75209
Radiant Outdoor
Brad Berkley
214-675-1007
5514 Caruth Blvd
bberkleyaa)silvertipvgntures.com
Dallas, TX 75209
U.S. Outdoor
David Bryman
310-482-6845
1201 Alta Loma Road
dbryman a-)usintimedia.com
Los Angeles, CA 90069
JC Decaux
Franciois Nion
213-608-0900
318 E 5th Street
francois.nion(a�icdecauxna.com
Los Angeles, CA 90013
Western Outdoor
Chris Macchio
714-376-0175
10152 Bonser Avenue
westoutdoor(cbaol.com
Garden Grove, CA 92840
Elite Media
Chad McCullough
702-492-0654
chad.mccullouah(Delitemediainc.corn
o2O Corporation
Ray Mario
949-371-5558
PO Box 5757
ray.mario a o2ocorp.rom
Newport Beach, CA 92662
o2O Corporation
Robert Curtis
949-322-0282
PO Box 5757
robe rLcurtis(a)o2ocorp.corn
Newport Beach, CA 92662
TextWeb Marketing
Marc Hanna
720-309-9148
3809 Winona Ct, Suite 1
textweb marketing a-)gmail. corn
Denver, CO 80212
12012