HomeMy WebLinkAboutresolution.council.061-03 REsoLunoN
(Series of 2003)
A RESOLUTION APPROVING A CONTRACT BETWEEN THE CITY OF
ASPEN, COLORADO, AND BBC CONSULTING SETTING FORTH THE
TERMS AND CONDITIONS REGARDING RETAIL CONSULTING
SERVICES AND AUTHORIZING THE CITY MANAGER TO EXECUTE
SAID CONTRACT
WHEREAS, there has been submitted to the City Council a contract between
the City of Aspen, Colorado, and BBC Consulting, a copy of which contract is
attached hereto and made a part thereof.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF
THE CITY OF ASPEN, COLORADO:
Section 1
That the City Council of the City of Aspen hereby approves that contract
between the City of Aspen, Colorado, and BBC Consulting regarding consulting
services related to the retail businesses in the City, a copy of which is attached
hereto and incorporated herein, and does hereby authorize the City Manager of the
City of Aspen to execute said contract on behalf of the City of Aspen.
Dated: ~.~'~z ~ /~'/o,~g2,,9 ?
.
I, Kathryn S. Koch, duly appointed and acting City Clerk do certify that the
foregoing is a tree and acc.ur.at~,copy of that resolution adopted by the City Council
o~meeting held July 14, 2003,
Kathryn S. I~ch', City Clerk ' ~
RETAIL CONSULTING SERVICES
AGREEMENT FOR PROFESSIONAL SERVICES
This Agreement made and entered on the date hereinafter stated, between the CITY
OF ASPEN, Colorado, ("City") and BBC Research and Consulting ("BBC").
For and in consideration of the mutual covenants contained herein, the parties agree
as follows:
1. Scope of Work and Completion. BBC shall commence work immediately
upon execution of the agreement, which shall constitute a Notice to Proceed
from the City, and complete all phases of the Scope of Work, as set forth at
Exhibit "A" attached hereto and by this reference incorporated herein, as
expeditiously as is consistent with professional skill and care and the orderly
progress of the work in a timely manner. The parties anticipate that all work
pursuant to this agreement shall be completed no later than December 31,
2003, or as otherwise adjusted as required as the project proceeds, and which
shall include allowances for periods of time required by the City's Contract
Administrator and other agents of the City for review and approval of
deliverable products. Deliverable products shall be in hard copy and in digital
format compatible with the City's Microsoft Word, Excel, and/or Power Point
software, as applicable, and/or other formats determined acceptable by the
City.
2. Payment. In consideration of the work performed, City shall pay BBC for all
work performed according to the scope of work, attached hereto as Exhibit "A."
The products and work shall be performed on a time a materials basis not to
exceed those hourly and materials rates set forth in Exhibit "A," appended
hereto. Except as otherwise mutually agreed to by the paffles, the total payments
made to BBC shall not initially exceed $65,000. Travel expenses shall not
exceed an additional $6,000. Additional "optional" services may be requested
by the Contract Administrator according to the rates identified in Exhibit "A."
BBC shall submit, in timely fashion, invoices for work performed. The City
shall review such invoices and, if they are considered incorrect or untimely, the
City shall review the matter with BBC within ten days from receipt of BBC's
bill.
3. Non-Assignability. Both parties recognize that this contract is one for personal
services and cannot be transferred, assigned, or sublet by either party without
prior written consent of the other. It is expressly understood by both parties that
Komfield Koslosky Properties, LLP and CommArts will be performing services
as sub-consultants to BBC. Sub-Contracting shall not relieve BBC of any of the
Contract for Services: BBC Research and Consulting
Retail Consulting Services Page 1
H:\econ sustainXBB C_contract.doc
responsibilities or obligations under this agreement. BBC shall be and remain
solely responsible to the City for the acts, errors, omissions or neglect of any
subcontractors officers, agents and employees, each of whom shall, for this
purpose be deemed to be an agent or employee of BBC to the extent of the
subcontract. The City shall not be obligated to pay or be liable for payment of
any sums due which may be due to any sub-contractor.
4. Termination. BBC or the City may terminate this Agreement, without specifying
the reason therefore, by giving notice, in writing, addressed to the other party,
specifying the effective date of the termination. No fees shall be earned after the
effective date of the termination. Upon any termination, all finished or
unfinished documents, data, studies, surveys, drawings, maps, models,
photographs, reports or other material prepared by BBC pursuant to this
Agreement shall become the property of the City. Notwithstanding the above,
BBC shall not be relieved of any liability to the City for damages sustained by
the City by virtue of any breach of this Agreement by BBC, and the City may
withhold any payments to BBC for the purposes of set-off until such time as the
exact amount of damages due the City from BBC may be determined.
5. Covenant Against Contingent Fees. BBC warrants that s/he has not employed or
retained any company or person, other than a bona fide employee working for
BBC, to solicit or secure this contract, that s/he has not paid or agreed to pay any
company or person, other than a bona fide employee, any fee, commission,
percentage, brokerage fee, gifts or any other consideration contingent upon or
resulting from the award or making of this contract.
6. Independent Contractor Status. It is expressly acknowledged and understood by
the parties that nothing contained in this agreement shall result in, or be
construed as establishing an employment relationship. BBC shall be, and shall
perform as, an independent Contractor who agrees to use his or her best efforts
to provide the said services on behalf of the City. No agent, employee, or
servant of BBC shall be, or shall be deemed to be, the employee, agent or
servant of the City. City is interested only in the results obtained under this
contract. The manner and means of conducting the work are under the sole
control of BBC. None of the benefits provided by City to its employees
including, but not limited to, workers' compensation insurance and
unemployment insurance, are available from City to the employees, agents or
servants of BBC. BBC shall be solely and entirely responsible for its acts and
for the acts of BBC's agents, employees, servants and subcontractors during the
performance of this contract. BBC shall indemnify City against all liability and
loss in connection with, and shall assume full responsibility for payment of all
federal, state and local taxes or contributions imposed or required under
unemployment insurance, social security and income tax law, with respect to
Contract for Services: BBC Research and Consulting
Retail Consulting Services Page 2
H:\econ sustain~BB C_contract.doc
BBC and/or BBC's employees engaged in the performance of the services
agreed to heroin.
7. Indemnification. BBC agrees to indemnify and hold hannless the City, its
officers, employees, insurers, and self-insurance pool, from and against ail
liability, claims, and demands, on account of injury, loss, or damage, including
without limitation claims arising from bodily injury, personal injury, sickness,
disease, death, property loss or damage, or any other loss of any kind
whatsoever, which arise out of or are in any manner connected with the
negligent or intentionai acts or omissions of BBC, its employees, or
subcontractors. BBC agrees to investigate, handle, respond to, and to provide
defense for and defend against, any such liability, claims or demands at the sole
expense of BBC, or at the option of the City, agrees to pay the City or reimburse
the City for the defense costs incurred by the City in connection with, any such
liability, claims, or demands. If it is determined by the finai judgment of a court
of competent jurisdiction that such injury, loss, or damage was caused in whole
or in part by the act, omission, or other fault of the City, its officers, or its
employees, the City shall reimburse BBC for the portion of the judgment
attributable to such act, omission, or other fault of the City, its officers, or
employees.
8. BBC's Insurance. (a) BBC agrees to procure and maintain, at its own expense, a
policy or policies of insurance sufficient to insure against all liability, claims,
demands, and other obligations assumed by BBC pursuant to Section 7 above.
Such insurance shail be in addition to any other insurance requirements imposed
by this contract or by law. BBC shall not be relieved of any liability, claims,
demands, or other obligations assumed pursuant to Section 7 above by reason of
its failure to procure or maintain insurance, or by mason of its failure to procure
or maintain insurance in sufficient amounts, duration, or types.
(b) BBC shall procure and maintain, and shall cause any subcontractor of BBC
to procure and maintain, the minimum insurance coverages listed below. Such
coverages shail be procured and maintained with forms and insurance
acceptable to the City. All coverages shall be continuously maintained to cover
all liability, claims, demands, and other obligations assumed by BBC pursuant to
Section 7 above. In the case of any claims-made policy, the necessary retroactive
dates and extended reporting periods shail be procured to maintain such
continuous coverage.
(i) Workers' Compensation insurance to cover obligations imposed by
applicable laws for any employee engaged in the performance of work under
this contract, and Employers' Liability insurance with minimum limits of
FIVE HUNDRED THOUSAND DOLLARS ($500,000.00) for each
accident, FIVE HUNDRED THOUSAND DOLLARS ($500,000.00)
Contract for Services: BBC Research and Consulting
Retail Consulting Services Page 3
H:\econ sustain'tn B C_contract.doc
disease - policy limit, and FIVE HUNDRED THOUSAND DOLLARS
($500,000.00) disease - each employee. Evidence of qualified self-insured
status may be substituted for the Workers' Compensation requirements of
this paragraph.
(ii) Commercial General Liability insurance with minimum combined single
limits of ONE Mil J JON DOLLARS ($1,000,000.00) each occurrence and
ONE MILLION DOLLARS ($1,000,000.00) aggregate. The policy shall be
applicable to all premises and operations. The policy shall include coverage
for bodily injury, broad form property damage (including completed
operations), personal injury (including coverage for contractual and
employee acts), blanket contractual, independent contractors, products, and
completed operations. The policy shall contain a severability of interests
provision.
Oii)Comprehensive Automobile Liability insurance with minimum combined
single limits for bodily injury and property damage of not less than ONE
MIII.ION DOLLARS ($1,000,000.00) each occurrence and ONE
IVlILLION DOLLARS ($1,000,000.00) aggregate with respect to each
BBC's owned, hired and non-owned vehicles assigned to or used in
performance of the Scope of Work. The policy shall contain a severability of
interests provision. If BBC has no owned automobiles, the requirements of
this Section shall be met by each employee of BBC providing services to the
City under this contract.
(c) The policy or policies required above shall be endorsed to include the City
and the City's officers and employees as additional insureds. Every policy
required above shall be primary insurance, and any insurance carried by the City,
its officers or employees, or carried by or provided through any insurance pool
of the City, shall be excess and not contributory insurance to that provided by
BBC. No additional insured endorsement to the policy required above shall
contain any exclusion for bodily injury or property damage arising from
completed operations. BBC shall be solely responsible for any deductible losses
under any policy required above.
(d) The certificate of insurance provided by the City shall be completed by
BBC's insurance agent as evidence that policies providing the required
coverages, conditions, and minimum limits are in full force and effect, and shall
be reviewed and approved by the City prior to commencement of the contract.
No other form of certificate shall be used. The certificate shall identify this
contract and shall provide that the coverages afforded under the policies shall
not be canceled, terminated or materially changed until at least thirty (30) days
prior written notice has been given to the City.
Contract for Services: BBC Research and Consulting
Retail Consulting Services Page 4
H:\econ sustainXB B C_contract.doc
(e) Failure on the part of BBC to procure or maintain policies providing the
required coverages, conditions, and minimum limits shall constitute a material
breach of contract upon which City may immediately terminate this contract, or
at its discretion City may procure or renew any such policy or any extended
reporting period thereto and may pay any and all premiums in connection
therewith, and all monies so paid by City shall be repaid by BBC to City upon
demand, or City may offset the cost of the premiums against monies due to BBC
from City.
(f) City reserves the right to request and receive a certified copy of any policy
and any endorsement thereto.
(g) The parties hereto understand and agree that City is relying on, and does not
waive or intend to waive by any provision of this contract, the monetary
limitations (presently $150,000.00 per person and $600,000 per occurrence) or
any other rights, immunities, and protections provided by the Colorado
Governmental Immunity Act, Section 24-10-101 et seq., C.R.S., as from time to
time amended, or otherwise available to City, its officers, or its employees.
9. City's Insurance. The parties hereto understand that the City is a member of the
Colorado Intergovernmental Risk Sharing Agency (CIRSA) and as such
participates in the CIRSA Property/Casualty Pool. Copies of the CIRSA policies
and manual are kept at the City of Aspen Finance Department and are available
to BBC for inspection during normal business hours. City makes no
representations whatsoever with respect to specific coverages offered by
CIRSA. City shall provide BBC reasonable notice of any changes in its
membership or participation in CIRSA.
10. Completeness of Agreement. It is expressly agreed that this agreement contains
the entire undertaking of the parties relevant to the subject matter thereof and
there are no verbal or written representations, agreements, warranties or
promises pertaining to the project matter thereof not expressly incorporated in
this writing.
11. Contract Principals and Notice. It is expressly acknowledged and understood
by the parties that only the following principals are authorized to act on behalf of
the respective parties in all matters of this contract. Requests to proceed on
services shall only be considered valid direction from the City upon written,
which shall include email correspondence, authorization from the City's
contract principal identified herein.
City of Aspen: BBC:
Julie Ann Woods Ford C. Frick
Community Development Director Managing Director
Contract for Services: BBC Research and Consulting
Retail Consulting Services Page 5
H:\econ sustainXBB C_contract.doc
City of Aspen BBC Research and Consulting
130 South Galena Street 3773 Cherry Creek N. Drive, Suite
850
Aspen, Colorado 81611 Denver, CO 80209-3827
12. Non-Discrimination. No discrimination because of race, color, creed, sex,
marital status, affectional or sexual orientation, family responsibility, national
origin, ancestry, handicap, or religion shall be made in the employment of
persons to perform services under this contract. BBC agrees to meet all of the
requirements of City's municipal code, Section 13-98, pertaining to non-
discrimination in employment.
13. Waiver. The waiver by the City of any term, covenant, or condition hereof shall
not operate as a waiver of any subsequent broach of the same or any other term.
No term, covenant, or condition of this Agreement can be waived except by the
written consent of the City, and forbearance or indulgence by the City in any
regard whatsoever shall not constitute a waiver of any term, covenant, or
condition to be performed by BBC to which the same may apply and, until
complete performance by BBC of said term, covenant or condition, the City
shall be entitled to invoke any remedy available to it under this Agreement or by
law despite any such forbearance or indulgence.
14. Execution of Agreement by City. This agreement shall be binding upon all
pa~ies hereto and their respective heirs, executors, administrators, successors,
and assigns.
15. General Terms.
(a) It is agreed that neither this agreement nor any of its terms, provisions,
conditions, representations or covenants can be modified, changed,
terminated or amended, waived, superseded or extended except by
appropriate written instrument fully executed by the parties.
(b) If any of the provisions of this agreement shall be held invalid, illegal or
unenforceable it shall not affect or impair the validity, legality or
enforceability of any other provision.
(c) The parties acknowledge and understand that there are no conditions or
limitations to this understanding except those as contained herein at the time
of the execution hereof and that after execution no alteration, change or
modification shall be made except upon a writing signed by the parties.
(d) This agreement shall be govemed by the laws of the State of Colorado as
from time to time in effect.
Contract for Services: BBC Research and Consulting
Retail Consulting Services Page 6
H:\econ sustain'tBB C_contract.doc
IN WITNESS WHEREOF, the parties hereto have executed, or caused to be
executed by their duly authorized officials, this Agj:eement in three copies each of
which shall be deemed an original on the date hereinafter written.
ATTESTED BY: CITY OF ASPEN, COLORADO:
City Manager
City of Aspen
Date: <~'-t/q~' ~ 2
WITNESSED BY: BBC Research and Consulting
:
BBC Research and Consulting
Date: ~"~ I~( ,. O'P~
Contract for Services: BBC Research and Consulting
Retail Consulting Services Page 7
H:\econ sustainkBBC_contract.doc
EXHIBIT "A" to Professional Services Agreement
Scope of Work and rate schedule
(See Attached)
Contract for Services: BBC Research and Consulting
Retail Consulting Services Page 8
H:\econ sustain~BBC_contract.doc
~~ Exhibit A
P, zs , p, cH
CONSULTING
3773 Cherty Creek North Drive
Suite 850
Denve- Colorado $0209-3827
303.321.2547 fax 303.399.0448
May 16, 2003
Mr. Steve
City Manoger
City o£Aspen
130 S. Galena Street
Aspen, Colorado 8161!
Re: Aspen Retail Analysis
Dear Steve:
Thank you ve.ry much for your ~n~dtation to propose on the Aspen Retail assessment. We appreciate
your giving the consultants considerable flexibility in suggesting how this effort should be
approached. We've assembled a very experienced retail team with the breadth of talent necessary to
tackle the multi-disciplinary issues underlying retail and commercial revitalization in Aspen.
Our approach to this study is shaped in part by a recognition that commercial stagnation in Aspen
· ' has received considerable recent attention, generated a great deal of data and analysis, and produced
ample public debate along with various proposals for action and reform. We are familiar with
most of these analyses, having participated in some, induding the 1999 Downtown Study and the
recent Economic Sustainability Report, and having reviewed the remainder as a result of other
proiects in the area. The consultants will have a strong base of data and past community involvement
to start this effort.
Our Team
We have assembled a tightly focused project team to ensure that BBC' Research & Consulting's
(BBC) knowledge of resorts, resort retail and resort market trends is supplemented with practical
knowledge of retail development feasibility, commercial leasing economics, retail management and
-- retail design. Key participants are:
· Ford Frick - BBC Research & Consulting Ford has over two decades of experience
in resort development market and economic analysis and considerable local experience
including very recent retail redevelopment analyses in Snowmass. Carbondale and
Avon, Colorado. He has completed a broad array of retail market studies and
commercial revitalization studies in resorts across the West.
Page 2
· Brad Kornfield - Kornfleld Koslosky Properties, LLP (KKP). Brad is a real estate
attorney and an owner, operator and developer of retail projects. KKP has developed
and managed over 3.5 million square feet of retail space including projects in Eagle and
Summit Counties and elsewhere in the Rocky Mountain region. Brad brings practical
retail ownership, leasing, legal and development experience to this proiect, and offers an
informed and realistic perspective on current retail trends and developmenr economics.
· Henry Beer - CommArts. Henry is an internationally known retail designer
specializing m connecting the concepts of place and brand. Communities, shopping
districts, retail developers and resorts have all used CornmA~s to assist them in creating
workable, successful and compelling experiential environments. Henry's retail prolecrs
have ranged from Park Meadows Mall in Denver to million plus square foot complexes
in New York and Singapore.
All members of the team have long standing professional and personal ties to the Aspen area. Each
member different retail issues: function and brand
brings
perspective
design,
on
straregles,
ownership, tenancy and management logistics, and resort market and commumty trends. We have all
worked together in the past. We are hoping that members of the Aspen Sustainability and Infill
Committees will remain engaged in this effort to ensure that their pasr efforts will continue to be well
represented.
Resumes and additibnal background materials are appended to this proposal
Project Objectives
The purpose of this study ~s to quantif7 and characterize Aspen's current retail position, articulate
communit7 goals for Aspen's retail core, and develop practical strategies for spurring the
community's retail revitalization. It is anticipated that this study will serves as a roadfor the new
map
downtown liaison position that will be £tlled later this year.
Analysis Approach
Traditionally, urban retail development is a "reactive" business, which is to say retail development
and retail success is generally dependent upon the growth of jobs and the availability of local
household income. Urban development is a reasonably formulaic business operating under the basic
retail equation:
Traditional retail demand = number of household x hovaehold income x percent spent on retail
As a community grows so too will the demand for retail space. Individual project location,
convenience, price and product variety will determine where and what nature of retail is successful.
Resort retail is far more complicated because it is driven by different factors:
Resort retail = "number of guests x length of stay x discretionary spending) + resident spending
Page 3
Most notably, resort retailing is reliant on discretionary spending, i.e., guests may have the ability to
spend, but they don't have the requirement to spend. Thus, resort retail success isn't so much a
product of convenience and price, but has more to do with the attractiveness and quality of the retail
experience, the product and service mix and the creation of compelling retail environments. The
complexity and non-quantifiable elements of resort retail markets requires a broader, multi-
disciplinary approach to retail opportunity analysis. Simply stated, in the resorts, the numbers don't
tell the whole story.
Aspen once hosted an extraordinary commercial environment, probably a better functioning retail
core better than any other mountain resort, bur it isn't working as well as ir once did. This project is
about identifying what has happened, what factors have contributed to Aspen's decline, what can be
considered realistic expectations for revival, and how can revitalization can be stimulated.
Technical Approach
We suggest a four-task approach, building on the work that has been done to date and engaging the
different perspectives offered by each team member. Our project organization is straight forward:
Task 1 will organize ail existing data and inform participants; Task 2 w'dl incorporate an aggressive
outreach effort to engage the retail, landlord and business community, as well as all interested
members of the community, in analyzing the Aspen experience; and Task 3 will be analysis and
synthesis by the consultants, Task 4 will involve reporting final results.
These efforts are described in greater detail below.
Task 1. Data collection, anatysis and public participation. BBC wi~[ spearh~d the T~sk 1
data collection and assimilation effort, ultimately assembling a notebook of relevant past studies, city
and state data on retail sales performance, information on visitor market trends, inventories of Aspen
retail operanons, and data on trends in down valley competition. We will seek out int'ormafion on
each of the variables and trends identified below as a starting point for basic market supply and
demand analyiis. These notebooks will be provided to all team members and serve as a common base
of data for ongoing use, re~:lew and comment.
Page 4
Exhibit 1 reflects the traditional factors that determine retail success and failure. Task 1, which is
primarily a data collection effort, will focus on these factors.
Exhibit 1.
Retail Analysis
Key Market Variables ......................
· '. Market size (residents and visitors)
.:. income or available $
Demand o Visitor spending
-, Demographic
-:. Market character and relationship to retail
~.. Amount [sq. ft.); location
~. Character/variety/ambiance
· :. Functionality, organization
· Support (e.g., parking, lighting, signage)
Supply
· :. Complementary uses
·:. Safety
· Marketing, events, attractions
.:. Competition
BBC will also complete a comparables analysis of other resort communities to determine
how their experience compares with Aspen's. BBC recent retail work in Breckenridge,
Mammoth, Telluride/Mountaln Village, Steamboat Springs and elsewhere will be helpful in
developing meaningful comparisons.
Task 2. Assimilation and analysis. The full team will meet in Aspen for three days of working
sessions, which will focus on reviewing and discussing the implications of the data notebook and
resting the logical conclusions of the empirical data with local retailers, property owners, elected
representatives, and interested citizens. BBC, with local assistance, will organize key person interviews
to engage storeowners, merchants, landlords and others with an interest and knowledge of the Aspen
retail environment.
Page $
We anticipate setting up a temporary office, perhaps at the municipal building or the ACRA
offices, and inviting interested persons to ioin us for informal focus groups or individual
discussion about the nature, trends and prospects for Aspen retail, At these meetings we will
share our data collection results and mutual review observations, interpretations, conclusions,
dnd issues. We will supplement this process with aggressive outreach efforts to engage
knowledgeable persons who might not be available to join us in this process, including
contacts from other resorts and retail centers around the country.
Through our team's contact with the Inrernational Council of Shopping Centers, IICSC),
we believe we can extend this conversation to Aspen's second home community, many of
whom are active ICSC parucipants with impressive credentials in national retailing and a
true passion for and commitment to the Aspen community. Our initial informal contacts
indicate a high leVel of intereSt in this kind of participation, as well reasonable availability
during the summer months. We would welcome the input of these national retailing
participants and expect a challenging set of reactions, observations and offers of assistance.
Task 3. Draft conclusions, strategies and recommendations. In the above process, the
Aspen retail/commercial experience wilt be sorted through the respective lens of each team
participant: retail designer, marl(et analyst and retail developer/manager, while at the same nme
engaging the community in informal discussions of retail changes, trends, causes and prospective
The project team will complete final, follow-up investigations in response to what we heard and
develop findings regarding Aspen and regional retail trends, and contributing causes and weaknesses
-- in essence a diagnoses of Aspen's retail malaise and recommendations for remedy. We will draw
upon the team's practical knowledge and experience in retail development and positioning to fashion
recommendations for addressing these problems and stimulating retail reVival. We expect to tackle
the breadth of issues confronting Aspen retail, including the costs and benefits of the new Infill
proposal, the loss of locally oriented merchants, the growing down valley comperiuon, and the
problems of non-retail incursions into the retail core.
The project team will recommend enhancement strategies and public regulatory and investment
options aimed at short and long term stimulation of Aspen retailing. Along with individual strategies,
we expect to offer at least three bundles of options each tied to a different level of public engagement.
One option might be a more passive strategy aimed at accommodating current trends and
emphasizing maintenance of the historic Aspen experience. Other strategies will focus on increasingly
interventionist efforts to change course. A final option will offer an aggressive set of actions,
suggesting considerable public engagement in snmulating or managing the local retail markets and
retail supply.
Task 4. Report and presentation. With participation of the full team, BBC will draft a report
documenting the baseline findings, the analytical process, conclusions, strategies and
recommendations. Key project team members will participate in a public presentation of results at an
Aspen City Council meeting.
Page 6
Administration
This project will be under BBC's direction and we will have final responsibility for report
publication. We assume that a City contact will be defined to help coordinate our efforts and help
with local contacts. We expect that a large share of this assignment will require senior personnel.
Some iunior staffwill help with data collection and repor~ preparation, but the value of this team lies
primarily in the experience and knowledge of its senior members. The principals from each firm will
be in Aspen for working sessions, public participation and presentations.
Professional fees will not exceed $65,000. Costs estimates are based on the following hourly rate.~ and
a commitment of over 450 total person hours.
Exhibit 2.
Professional Fees - Hourly Rates
Principal $180 $1 75 $200
Senior Associate 140 125
Associate 110 100
Support 60 60
Based on 20 person days at $200/day plus mileage expenses from Denver, direct expenses, per diem,
overnight expenses, travel and long distance phone will not exceed $6,000. Most travel will be by car
unless more cost effective air travel becomes available. Total project costs will not exceed $71,000.
Qualifications
We have assembled a superb team for this assignment acknowledging that resort retail success is
about the quality of experience as much as tt is a formula of market size and income. We anticipate
that if Aspen wishes to reinvigorate its retailing experience it will have ro acknowledge practica]
retailing realities, and we have engaged the appropriate talent to reflect that perspective. Finally: we
have structured an approach that is straightforward, but ensures that the community will have
maximum personal engagement with the full consulting team for all those who wish to participate.
Additional materials and examples of similar work are appended to this proposal.
We appreciate your consideration and look forward to hearing from you.
Sincerely,
Ford C. Frick
Managing Director
RESEARCH (~ aoa.~21.~47
CONSULTING v,,w,bbcresearch.com ~;~bbcrese~rch.corn
MEMORANDUM
To: Steve Barwick & Julie Ann Woods
From: Ford C. Frick. BBC Research & Consulting
Re: Aspen Retail Workscope Supplement
Date: June $o, ~005
This memo offers further detail regarding BBC's workscope for the Aspen retail study. This
memo is the product of our recent discussions and your recent meetings with the Aspen
Merchants Retail Association. The memo supplements our May 16. ~o0~ proposal.
Our May proposal describes project objectives, the BBC team and our general approach. Our
discussions over the past few weeks have not fundamentally altered our approach to this
assignment, but it has allowed us to refine some of the details regarding how we expect to
interact with the retail community and how we will organize the analytical process.
Project Objectives
The purpose of this study is to quantify and characterize Aspen's current retail position.
articulate community goals for Aspen's retail core, and develop practical strategies for spurring
the commumry's retail revitalization. The consultant will work closely with the Aspen business
commumry and the final product will reflect community's perspective as well as the consultant's
expertise.
Approach
Our May proposal describes a multi-step process beginning with situational analysis and data
collection, followed by assimilation, analysis, and finally conclusions, strategies and
recommendations. We had accommodated stakeholder participation through a series of personal
interviews, focus groups and workshops.
Based on your recent meetings with the Merchants Association we suggest some refinement to
this approach· Instead of the informal workshops and focus groups initially proposed, the
project team will host four structured meetings during the course of this project. These
meetings are summarized below·
Page2
Exhibit 1
Aspen Retail Analysis -- Meeting schedule
· KKP Presentation:
Retail synergy, tenanting strategy, retail mix & inventory, landlerd
pempective, retailing trends, Eady October
· Participant workshop
At each meeting, we envision a brief presentation by the consultants covering each of the above
perspectives on the Aspen problem, followed by an informal workshop and discussion regarding
implications for Aspen, and what these observations mean for defming a revitalization strategy.
Following each meeting, the consultant team will summarize the workshop results for a review
session that will start the following workshop. It is hoped that this process will cumulatively
allow a full airin'g of the issues and prospective solutions for Aspen's downtown and retail
communities. Strategies for stimulation will be identified early in the process and continually
evaluated as information and new perspectives are developed
At the end of the four sessions, BBC will prepare a report, thai offers an assessment of the
current situation, a review of important trends, a comparison with other resort commmxities,
results of our workshops and recommendations for marketing, promotion, public investment,
policy changes and/orregulatory reforms that will spur support of Aspen's downtown and its
retail businesses.
.... Cllent~ 71 9 BBCRESE ,
ACORn, CERTIFICJ TE OF LIABILITY INSURANCE I ~/-/-""'"~*'"'~ '
H~H ~ Co~ ONLY AND CONFERS ND EIG~S UPON THE CE~IFIcATE
HOLDER. THIS c~IFICATE DOES NOT AM~ E~ENO OR
720 S. Colorado B~d ~e PH N ALTE~THE cOVE~GE ~FO~DE~,,~YTHE ~LICI~ ~. , ......
P.O. BOX
Delve, CO
BBC
3~3 Che~ Creek
~er, CO 80209~827
wm~ c~e.~&.~ ~o og101103 09/0t~4
L~bili~ ~{y if re~i~ by w~en Lpli~ on~
as r~= o~ing ~ Insured for the Celeste
Holder. All coverage te~s, conduits; t~ ~li~
~n~)
cANCELaTION
e A~RD CO~O~TmN
IMPORTANT
If the setti~cate holder an ADDITIONAL INSURED, the policy(lee)mLtSt ba endorsed. A~atement
on this ~e d~es co~fer flgh~ to the ~e~lfl~te h~lder in lieu ~ ~u~h e~dememe~s~
If SUBROGATION I~ ~ dVED, subJe~ to t~te~s and ~n~ions oft~ ~ll~, ce~ain polices m~
mqul~ an endomemee A s~e~[ on this ee~cate do~ not co.er dgHts to the
holder in l~u ~ SU~
DISCLAIMER
The Certificate ofh~sum~ ;eon the reverse.side of this form doesnat, constitute s co~ract between
the isSuing insurer(S), al hatched representative ar producer, and the certifiCate holder, ~er does it
effirmetk, aly or rtegetivel s~end, eXtend or alter th~ coverage afforded by the polio{es I~sted ~herao~.
ACOeO 2S.S (:~0atme} 2 of 3 ilT.~s24/M't74'ts6