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FINANCIAL

This Contractual Agreement ("Contract") is entered between the City of Cannon Beach (City) and the Cannon Beach Chamber of Commerce (Chamber) to serve as the Destination Management Organization (DMO) for the purpose of the Chamber promoting tourism and providing visitor information services in the City of Cannon Beach.

In 2015 the City of Cannon Beach increased its transient room tax (TRT) by 1% ("2015 increase"); and pursuant to state law, 70% of the increased TRT must be used for "tourism promotion" or "tourist-related facilities." The City of Cannon Beach and the Cannon Beach Chamber of Commerce has a long-standing relationship whereby the Chamber provides tourism promotion and a visitor's center for the City of Cannon Beach. The parties desire to enter into an agreement for the City to transfer to the Chamber 70% of the revenue from the 2015 increase and additional funds to be used to promote travel to the City from October 1st through May 31st.

The parties agree to the following:

Quarterly Reporting.
Chamber will submit to City a detailed quarterly report ("Quarterly Report") of activities in the approved Scope of Work Plan within thirty (30) days of the end of each quarter, including a year-over-year analysis and the following information:

a. Detailed status report of the activities agreed upon for inclusion in the Scope of Work Plan;
b. A report of actual expenses from each activity;
c. Public relations advertising equivalent value;
d. Advertising - paid media;
e. Website and social media impressions (gross hits);
f. Share any industry or foreseeable changes in travel habits that may result in promotion strategy changes or modified revenue expectations; and
g. Activities and statistics relevant to the Visitor's Information Center operations.