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sr-091410-1tCity Council Meeting: September 14, 2010 Agenda Item: ~~ To: Mayor and City Council From: Andy Agle, Director of Housing and Economic Development Subject: Buy Local Santa Monica Campaign Recommended Action Staff recommends that the City Council authorize the City Manager to allocate $67,000 from Account No. 01268.566250 for the Buy Local Santa Monica campaign. Executive Summary Buy Local Santa Monica is a campaign that was created by City and business representatives to support local businesses and raise awareness of the community, economic and social benefits of choosing to purchase goods and services locally. To date, the campaign has been funded on an ad-hoc and limited basis by the City and its partners. In light of the City's continued commitment to sustainable economic development and the fact that local businesses continue to struggle through the second year of a severe economic downturn, staff recommends that the City Council make a one-time allocation toward the campaign to help promote local businesses and sustainable purchasing during these difficult economic times leading up to the holiday season. Discussion The Buy Local Santa Monica campaign has been in effect for nearly two years. Buy Local Santa Monica efforts include a website (www.buylocalsantamonica.com), Facebook and Twitter pages, selected newspaper advertisements showcasing local businesses, Buy Local events, participation in local community events (Santa Monica Festival, Main Street Summer Soulstice, Sustainability Week, etc,), Buy Local discount days and other similar activities. Buy Local Santa Monica partners include various City departments (Office of Sustainability and the Environment, Housing and Economic Development, City Manager's Office, City TV), the Chamber of Commerce; all. four Santa Monica business improvement districts (Bayside, Pico, Main and Montana), the Pier Restoration Corporation, Sustainable Works, Santa Monica Jaycees, Santa Monica 1 Daily Press, Santa Monica Mirror and the Santa Monica Convention and Visitors Bureau. To date, the Buy Local campaign has been produced through in-kind contributions and small, ad-hoc contributions from participating partners and has lacked the level of funding necessary to raise awareness throughout Santa Monica of the benefits of buying locally: Through surveys and interactions. with community members at events, Santa Monica residents and workers have shown great receptivity to the value of purchasing goods and services from Santa Monica businesses. If the Buy Local campaign were able to reach a larger Santa Monica audience, the benefits would reach not only the 3,307 owners and employees of the 220 currently participating businesses, 877 of which are Santa Monica residents, but the community at large, which would benefit from the sales and tax revenues that would remain within the community as well as from the decreased carbon emissions associated with shopping locally. In response to this opportunity, as well as the continued struggles of many Santa Monica businesses during these .difficult economic times, staff recommends aone-time infusion of funding toward the campaign that would coincide with the holiday shopping season. The additional campaign funding would be allocated toward a variety of activities designed to heighten awareness and build support in the short-term, while providing longer-term benefits to support the City's efforts to create a more sustainable economy. Attachment A identifies the recommended funding priorities that have been endorsed by the interagency Buy Local Santa Monica steering committee. With Council's approval, staff will work with the Buy Local steering committee to implement the additional measures immediately. Financial Impacts & Budget Actions Funding for the Buy Local Santa Monica campaign's enhanced efforts, not to exceed $67,000, will come from Account No. 01268.566250. Should the increased efforts exceed the Housing and Economic Development Department's budget authority, any 2 necessary budgetary adjustments will be recommended as part of the City Council's rnid-year review of the Fiscal Year 2010-2011 Budget. Prepared by: Jennifer Taylor, Senior Development Analyst Approved:- - -~ ~/ ~/ Andy Agle, Director Housing and Econo Attachments: Forwarded to Council: ~..~~~ Rod Gould City Manager A. Recommended Buy Local Campaign Expenditures B. Eight Great Reasons to Buy Local 3 Attachment A Ua\santamon~ SANTA MC)N1CA Recommended Campaign Quantity Cost Item Buy Local posters: Top 8 reasons to buy 500 $1,000 local messaging (for shop windows, communi centers, etc On-going BLSM ad campaign (BLSM 4 months campaign $20,000 spotlights + Top 8 reasons ad campaign, with weekly ads in SM (Potential for BIDS to continuation of existing in SMDP, SM Mirror+SMDP share costs) Mirror, Ba side Beat, etc Buy Local coasters for local restaurants + 5,000 $850 ubs ve o ular BLSM + Big Blue Bus ad + banner Varies $2,000 (at-cost) romotions Lar e Banner 7th + MT Ave ,reusable 1 $900 Street light BLSM banners (reusable)- Rotate to various $15,000 incl. banners, brackets, installation/ take .parts of City (e.g. down, etc. outside City Hall, Montana Avenue BID Ba Stuffers: Thank ou for bu in local 10,000 $150 BLSM Shoppin List ost-it 1,000 $500 PR marketing support 8 press releases,. $5,000 photographs, social media outreach BLSM tee-shirts (prize for BLSM bloggers, 200 $1,500 ood advertisin BLSM City of SM staff event (e.g. walking + Event organizer $5,000 bike tour, pub crawl, metrics survey) assistance/ survey anal sis Retail Leakage study to aid Future business Report, survey + $15,000 recruitment + retention efforts anal sis TOTAL $66,900 1. It keeps dollars in Santa Monca's economy;. 2. Jthelpsthe environment by reducing traffic and. air pollution and helping to conserve land: 3: -1t creates and keeps local jobs. 4. It helps o keep us unique, with businesses thatrare diverse and distinctive 5. it nurtures our community, by supporting businesses committed o reinvesting in Santa Monica: 6. It creates more :choice.. Local businesses often carry a wider array of unique products. 7. It spurs entrepreneurs, the lifeblood. of California's economy. ~_~~t~ s~rl'~ M~~il~~ Here are eight great reasons...