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Bisbee council directs staff to negotiate DMO contract with Hapi
Summary
The Bisbee City Council voted 6-0 on April 21 to direct the city manager and city attorney to negotiate a contract with Hapi, the top-ranked respondent to the Destination Marketing Organization RFP, after an executive session. Council discussed costs and process fairness for other respondents.
The Bisbee City Council voted 6-0 on April 21, 2026, to direct Interim City Manager/City Clerk Ashlee Coronado and City Attorney Joseph Estes to negotiate a contract with Hapi, the council's top-ranked respondent to the Destination Marketing Organization (DMO) request for proposals. Mayor Ken Budge moved the motion and Councilmember Trish Damon seconded; the roll call vote recorded Councilmembers Karen Schumacher, Damon, Lori Reynolds, Mel Sowid, Anna Cline and Mayor Budge in favor.
Council members discussed four respondents after an executive session called to address legal issues arising since the RFP was issued. The council praised Hapi's full-service approach and noted Hapi proposed an all-inclusive retainer of $48,000 per year ($4,000 per month). Council members said Hapi confirmed there were no hidden fees and that its scope could be adjusted to fit the city's budget.
The council raised cost concerns about other firms. Council members said Verdant offered creative and sustainability-focused ideas but had an estimated annual cost of more than $130,000 plus additional expenses, which some members said could limit funds available for advertising; Verdant responded that its scope and hours could be adjusted. Destination IQ was cited for higher projected costs—around $250,000 total—and for using à la carte pricing; the firm emphasized flexibility and experience with rural destinations and stakeholder engagement. Council members also flagged a procedural concern after additional information about Bisbee Forward was sent to councilmembers outside the formal process; councilmembers described that contact as inappropriate while noting Bisbee Forward's nonprofit, local perspective and community insight.
Councilmember Karen Schumacher asked that when a negotiated contract returns to the council, the agenda include discussion of how the DMO organizational structure would function if the City served as the DMO. Mayor Budge said he would be amenable to establishing a board or commission if the full council later approved such a change.
The motion directed the interim city manager and city attorney to negotiate a contract with Hapi and bring the proposed contract back to the council for discussion; the council took no final contractual action at the meeting. The special session was adjourned at 6:59 p.m.
