(A) The 95% proceeds obtained from the collection of taxes pursuant to this program shall be used in accordance with M.S. § 469.190, as the same may be amended from time to time, to fund a local convention and tourism bureau for the purpose of marketing and promoting the city as a tourist and convention center. The city may retain a maximum of 5% for administrative costs.
(B) The city by and through an agreement, entitled “Agreement for the Establishment of a Convention and Visitors Bureau Between the City and the Area Chamber of Commerce” (hereinafter “the agreement”), with the Area Chamber of Commerce (hereinafter “Chamber of Commerce”) hereby permits the Chamber of Commerce to create the Area Convention and Visitors Bureau (hereinafter “the CVB”). The CVB will be funded by the tax set forth herein and pursuant to M.S. § 469.190, as it may be amended from time to time. The agreement sets forth the purpose and duties of the CVB and provides for its internal structure. Pursuant to the terms of the agreement, and specifically incorporated herein without limiting the effect of the agreement, are the following terms:
(1) The CVB shall establish and maintain separate books and records;
(2) The CVB shall establish separate bank accounts; and
(3) The CVB shall not commingle its funds with the Chamber of Commerce or any other entity.
(C) Any and all employees of the Chamber of Commerce or the CVB, or any other persons, while engaged in the performance of any service required by the Chamber of Commerce, shall not be considered employees of the city, and any and all claims that may or might arise under the Worker’s Compensation Act of the state, being M.S. §§ 176.001 et seq., as it may be amended from time to time, on behalf of those employees or other persons while so engaged, and any and all claims made by the third party as a consequence of any act or omission on the part of the Chamber, or its agents or employees or other persons while so engaged in any of the services provided to be rendered herein, shall in no way be the obligation or the responsibility of the city. In connection therewith, the Chamber of Commerce hereby agrees to indemnify, save and hold harmless, defend the city and all its agents and employees thereof, from any and all claims, demands, actions or causes of action of whatever nature or character arising out of or by reason of the execution or the performances of the services provided in accordance with this agreement, excepting therefrom City Administrator duties and city duties relating to the collection of taxes.
(D) The annual budget submitted by the CVB to the Council for its approval shall be approved or disapproved in total.
(2004 Code, § 116.38) (Ord. 801, passed 2-22-1989)