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HomeMy WebLinkAbout6286RESOLUTION NO. 6286 A RESOLUTION APPROVING A GOLF COURSE MANAGEMENT AGREEMENT FOR THE OPERATION OF PUEBLO CITY PARK GOLF COURSE AND PRO SHOP AND AUTHORIZING THE PRESIDENT OF THE CITY COUNCIL TO EXECUTE SAME BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, COLORADO, that: SECTION 1. The Golf Course Management Agreement for the operation of Pueblo City Park Golf Course and Pro Shop between Gary Woodside and Pueblo, a Municipal Corporation dated October 11, 1988, a copy of which is attached hereto and incorporated herein, having been approved as to form by the City Attorney, is hereby approved. CV("PTnM 7 The President of the City Council is hereby authorized to execute said Agreement for and on behalf of Pueblo, a Municipal Corporation, and the City Clerk is hereby directed to affix the seal of the City thereto and attest same. ATTEST: Cit Clerk INTRODUCED: October 11, 1988 B MIKE SALARDINO Councilman APPROVED: Pre dent of the City Council CITY OF PUEBLO GOLF COURSE MANAGEMENT AGREEMENT THIS MANAGEMENT AGREEMENT entered into this 11th day of October, 1988, by and between the City of Pueblo, Colorado, a Municipal Corporation, hereinafter referred to as the "City ", and Gary Woodside, hereinafter referred to as the "Manager ". WITNESSETH: WHEREAS, the City now owns a municipal golf course open to public play and located on the premises commonly known as 3900 Thatcher Avenue, Pueblo, Colorado, and WHEREAS, the City desires to engage a qualified Manager to manage, operate, maintain and promote the golf course and its related facilities, and WHEREAS, Manager is qualified and capable of managing, promoting, maintaining and operating the golf course and its related facilities, and WHEREAS, the acceptance of Manager's proposal for operation, maintenance, promotion and management of the golf course would be in the best interest of the City of Pueblo, NOW THEREFORE, in consideration of the foregoing and the mutual promises herein contained, the City and Manager agree as follows: 1. As used herein, the following words and phrases shall have the following meaning: (a) "Golf Course" means the property owned by City comprising the City Park municipal golf course including the maintenance building, golf cart rental building, and clubhouse but excluding the restaurant area of the clubhouse under lease to the restaurant concessionaire, the parking lot and such other areas as are herein otherwise excepted. (b) "Director" means the City's Director of Parks and Recreation. 2. City hereby appoints and retains Manager, subject to and upon the terms and conditions herein set forth, as an independent contractor to operate, manage, maintain and promote the Golf Course for a period of five ( 5 ) years from October 31, 1988 to October 31, 1993, unless sooner terminated as herein provided. City reserves the right to fix and establish all fees and charges for the use of the Golf Course and all its related facilities and activities conducted thereon. 3. Manager accepts said appointment and agrees to operate, manage, maintain and promote the Golf Course and perform the following services at Manager's expense during the effective period of this Agreement. (a) Supervise and be responsible for all aspects of the operation, maintenance, management and promotion of the Golf Course and golf related activities on the Golf Course, including the efficient management of the pro shop and the maintenance and upkeep of the Golf Course in at least the same or better condition than presently existing. (b) Develop and implement efficient maintenance programs for the Golf Course greens, tees, aprons, traps and hazards, fairway, roughs and driving range including watering, chemical and fertilizer, mowing, seeding, reconditioning and reseeding, moving of green cups and tee markers, airifying and topdressing, and weed control and elmination programs. Manager shall on or before December 31 of each year submit such programs to the Director for review and approval. (c) Develop and implement efficient management programs for the operation, scheduling of and use of the Golf Course, driv- ing range and pro shop and the provision of services to the public including the presence of Manager's personnel and golf profession- als at the Golf Course. Manager shall on or before December 31 of each year submit such programs to the Director for review and approval. (d) Hire, supervise and schedule all employees needed and required for the efficient operation, maintenance, management and promotion of the Golf Course, driving range and pro shop, including without limitation, (i) a golf professional who possesses a P.G.A. Class "A" Certificate experienced in the management and operation of golf course facilities and pro shop, and (ii) a qualified golf course superintendent and greens- keeper experienced in maintenance, upkeep and care of golf courses familiar with the soil and climatic conditions of the area. The golf professional and golf course superintendent shall be acceptable to City and shall be employed by Manager on a full -time basis during the effective period of this Agreement. It is expressly understood and agreed that all employees hired by Manager shall be the employees of Manager and no contractual obligations or relationship of employer - employee shall exist between the City and such employees. Manager shall provide all workmen's compensation insurance for its employees in accordance with the provisions of the laws of the State of Colorado and furnish Director satisfactory proof that such insurance is in effect. (e) Use its best efforts to effect operation and cost controls and savings. -2- (f) Be responsible for the security and inventory of, and maintain in good condition and repair, all City's equipment and machinery used by Manager or placed under Manager's custody and control by City. City will furnish Manager with an initial inventory of such machinery and equipment and City and Manager shall annually update such inventory. (g) Monitor all activities on the Golf Course to insure compliance with all resolutions or ordinances of City governing the rules of play, regulating the use of the Golf Course, and imposing fees and charges for use of or activities on the Golf Course. (h) Keep and maintain accurate and complete accounts and records of all activities and transactions conducted by Manager on the Golf Course in accordance with generally accepted accounting principles, which accounts and records shall be available for inspection, copy and audit by City during normal business hours. Manager shall retain all such accounts and records for a minimum period of three (3) years after termination of this Agreement. (i) Submit to Director during August of each year a proposed Golf Course budget for the next calendar year. Manager understands and agrees that the Golf Course budget will not include reimbursement for any cost or expense incurred by Manager in (i) the employment of golf professionals, pro shop employees, and other employees hired to rent or sell golf merchandise, balls or carts, retrieve golf balls, or repair and maintain golf carts, (ii) the performance of management services, (iii) the performance of the services and furnishing the items described in subpara- graphs (h), (m), (s), (t), (u) and (v) of this paragraph 3, and that such costs and expenses shall be the sole responsibility of Manager. Manager further understands and agrees that the Golf Course budget will contain only such items of reimbursement as the City Council in its sole discretion may determine. (j) Keep the Golf Course in a clean, sanitary, safe and orderly condition. (k) Be responsible for scheduling and reserving tee times for golf play and plan, schedule and oversee the conduct of golf tournaments. (1) Comply strictly with all applicable federal, state and City laws, rules and regulations. (m) Remodel the pro shop in accordance with Manager's proposal and furnish all necessary interior maintenance for the pro shop, golf cart rental building and clubhouse (excluding restaurant areas), including but not limited to repainting, replacement of floor coverings including carpeting, washing all windows, cleaning restrooms in clubhouse, and maintaining plumbing -3- in good working order. (n) Keep the Golf Course including the pro shop and driving range open for business seven (7) days each week from 6:00 A.M. to one (1) hour after sunset, or as may otherwise be deter- mined by the Director and Manager from time to time subject to the approval of the City Manager of City. (o) Furnish prompt, courteous and efficient service adequate to meet all reasonable demands and needs of the public, ensuring polite and inoffensive conduct and demeanor on the part of its representatives, agents and employees. All Manager's employees who come in contact with the public shall wear a uniform or badge identifying them as employees of Manager. (p) Make no expenditure or commitment of funds not within the approved budget or in any line item of the approved budget in excess of the amount budgeted therefor. Submit to the City's Department of Finance at least monthly invoices and verified requests for reimbursement for costs incurred in the operation of the Golf Course including periodic verified request showing Manager's payroll, including wages and benefits, for its employees (excluding golf professionals, pro shop employees and other employees engaged to rent or sell golf merchandise or carts, retrieve driving range balls, or maintain and repair golf carts) during the period covered by such request. The City's Department of Finance will review the verified requests and invoices and if in compliance with the approved budget and this Agreement make reimbursement therefor provided that any reimbursement for Manager's payroll will be made directly to Manager who shall be solely responsible for paying its employees and withholding and paying all state and federal payroll obligations and taxes. Manager shall hold harmless and indemnify City from any such pay- roll obligations and taxes and shall at least monthly account to the City and submit proof of non - delinquency thereof. (q) Meet with the Director at least monthly to review the operation and maintenance of the Golf Course and the Golf Course budget and expenditures and at least semi - annually to review the fees being charged by Manager for golf club and cart rentals, lessons and driving range facilities, which fees shall be reasonable and competitive with fees charged for similar services and facilities in Pueblo County, Colorado. Manager shall be directly responsible to the Director in all matters concerning the operation, maintenance, promotion and management of the Golf Course. (r) Surrender and deliver to City, at the termination of this Agreement, (i) all remaining operating supplies, fertilizer and materials the purchase of which was reimbursed by City, and (ii) the Golf Course and appurtenances thereto including equipment and machinery furnished or made available by City in as good condition and state of repair as the same now are or were at the time of delivery to Manager or may be hereafter improved by City or Manager, reasonable use and wear excepted. -4- (s) Maintain in force at Manager's sole cost during the effective period of this Agreement comprehensive general public liability insurance and property damage insurance, including personal injury, blanket contractual, products liability, non - owned and hired motorized carts and automobile coverage, covering all activities conducted by Manager under this Agreement, in the minimum amount of $1,000,000 aggregate, per occurrence for personal and bodily injury and $500,000 aggregate, per occurrence for property damage. Certificates evidencing such insurance coverage shall be filed with the Director within ten (10) days after execution of this Agreement and said certificates shall certify that such insurance coverage is in force and will not be cancelled or reduced without at least thirty (30) days prior written notice to City and that the City is named as an additional insured under such policies of insurance. At least ten (10) days prior to the expiration of any such insurance, a certificate showing such insurance has been renewed or extended shall be filed with the Director. (t) Provide and make available at Manager's sole cost and risk for use at the Golf Course at least forty ( 40 ) new motorized golf carts and thereafter provide such additional carts as required to meet all reasonable demands therefor. Manager shall be responsible for the complete maintenance, repair and replacement of the golf carts and shall maintain the golf carts in safe operating condition. Manager shall provide each renter of a golf cart with the rules and regulations established by City for the operation of golf carts at the Golf Course and shall be responsible for the enforcement of such rules and regulations. (u) Carry and provide at Manager's sole cost and risk (i) a varied stock of merchandise for sale at the pro shop, (ii) new hand - pulled golf carts and new golf clubs and bags for rent at the pro shop, and ( iii ) golf balls and clubs for use at the driving range, sufficient and adequate to meet the needs and demand of the public. Manger shall not sell golf clubs or other golf related merchandise at or from any other location within Pueblo County, Colorado during the effective period of this Agreement. (v) Pay at Manager's sole cost, before same become delinquent, all charges for electrical and telephone services to the golf cart rental building, pro shop and clubhouse (except the restaurant area), property taxes on Manager's property, and sales taxes on the sale or rent of Manager's merchandise, carts or equipment. (w) Comply fully with state and federal antidiscrimina- tion laws, rules and regulations. Manager specifically agrees that no person shall be denied or refused services or other full or equal use of the Golf Course, nor denied employment opportuni- ties by Manager as a result of race, creed, color, sex, age, national origin, ancestry or handicap unrelated to ability or job performance. -5- 4. City, subject to availability of sufficient appropriated funds therefor, shall: (a) furnish and make available for the Golf Course equipment and machinary necessary in the City's sole judgment for the operation and maintenance of the Golf Course. (b) reimburse Manager for costs incurred in accordance with approved budgets and this Agreement for the operation and maintenance of the Golf Course. City shall not be responsible for the salary or benefits of golf professionals, pro shop employees or other persons engaged to rent or sell golf merchandise or carts, retrieve driving range balls, or maintain and repair golf carts, employed by Manager nor for any personal or private debts of Manager or any expenditure in excess of or not authorized by the approved budgets and Manager shall indemnify and hold harmless City therefrom. (c) repair and maintain the parking lot and the exterior of the buildings located on the Golf Course including roofs, walls, foundations, and the heating, plumbing and electrical systems in such buildings. (d) provide City employees to act as cashiers who shall be physically located at the pro shop or such other location as Manager and Director shall mutually determine and who shall be under the supervision of the Director of Finance of the City and responsible for the centralized collection of all fees and charges and other monies paid for the use of or activities upon the Golf Course including without limitation all fees and charges for rent of Manager's golf carts, clubs and golf balls, lessons, and sale of merchandise by Manager. All such fees, charges and other monies paid to or collected by Manager shall be held by Manager, in trust, and remitted to the City's cashiers on the day of receipt or if a cashier is not then present no later than the next day. (e) annually approve a budget for the operation and maintenance of the Golf Course containing such items of reimburse- ment as the City Council in its sole discretion may determine. Neither the 1988 budget for the Golf Course nor any subsequently adopted budget shall be binding upon the City for any year except for the year adopted. City may adjust budgets based upon prior actual and anticipated revenues and expenses and to protect the City from unreasonable or excessive operation and maintenance costs. 5. In consideration of the services to be rendered and performed by Manager hereunder, City shall pay to Manager an annual management fee of $30,000.00 in twelve equal monthly installments. All gross revenues, excluding sales taxes, fees and charges generated for the following activities shall be paid and remitted in the following percentages: Activity Manager City Sale of merchandise 95 A Hand - pulled carts and club rentals 80 20 Golf lessons 100 0 Driving range 80 20 Locker rentals 80 20 Motorized cart rentals 85 15 6. Manager shall fully indemnify and hold harmless, protect and defend at its sole cost and expense, the City, its officers, agents and employees from and against any and all risks, suits, damages, expenses, penalties or claims (including costs and reasonable attorney fees) which City, its officers, agents or employees may incur or become liable as a result of the injury or death of any person or persons, or the loss or damage of any property, or the violation of any law or regulation arising out of or in connection with the operation of the Golf Course or the performance of this Agreement by Manager or any of its officers, agents or employees or any other person acting on behalf of Manager. 7. Time is of the essence hereof and to each and every provision of this Agreement. If in the judgment of City Manager of City the manner of maintenance or operation of the Golf Course or the quality or quantity of service or merchandise does not meet the requirements of this Agreement, or if Manager breaches or is in default of any term or condition of this Agreement, City may give Manager written notice specifying with reasonable particular- ity the unsatisfactory performance or default. If Manager fails or refuses to remedy such unsatisfactory performance or default within five (5) days after receipt of such notice, City may terminate this Agreement. If City institutes any litigation to enforce its rights or remedies under this Agreement, Manager agrees to pay all costs of enforcement including reasonable attorney fees. 8. Manager understands and agrees that although located in the same clubhouse building, the operation of the pro shop is separate from the operation of the restaurant except for common use of the restrooms. Manager shall cooperate with the operator of the restaurant to obtain the most harmonious and greatest use of the clubhouse by the public and to provide adequate security for those portions of the clubhouse which may be closed to public use from time to time. Manager shall not sell tobacco products, food, foodstuffs or beverages at or on the Golf Course. Manager -7- shall not do or permit anything to be done in or about the Golf Course which in any way obstructs or interferes with the rights of the restaurant operator or other users of the clubhouse and parking lot. Manager shall not use or allow the Golf Course or any portion thereof to be used for any improper, unlawful, immoral or objectionable purpose and shall not cause, maintain or permit any disorderly conduct, nuisance or waste in, on or about the Golf Course. Manager shall not conduct any activity or sell anything at or on the Golf Course except as specifically authorized in this Agreement. 9. Manager shall not make any improvements of a permanent nature to the Golf Course or install any sign on the Golf Course or make any additions, changes, remodeling or alterations to any building on the Golf Course without the Director's prior written approval and obtaining all permits required therefor. All such improvements, signs, additions, changes, remodeling or alterations shall remain the property of the City. 10. It is understood and acknowledged by the parties that the relationship of Manager to City is that of an independent contractor and that Manager shall have no authority to employ any person as employee or agent for or on behalf of City for any purpose. 11. This Agreement sets forth all understandings and agreements between City and Manager. No change, modification or amendment shall be valid and binding unless set forth in writing and signed by City and Manager. No verbal agreement or under- standing with any officer, employee or agent of the City, either before or after execution of this Agreement, shall affect, modify or change any of the terms or provisions of this Agreement. 12. This Agreement shall not be assigned in whole or in part, nor shall the Golf Course or any part thereof be sublet, nor shall any right or privilege herein granted to Manager be sold, transferred or assigned without the prior written approval of the City. Any such sale, transfer, subletting or assignment, whether voluntary or involuntary, without the prior written approval of City shall be void and constitute grounds for immediate termina- tion of this Agreement at the option of the City. 13. City reserves the right to enter upon the Golf Course at any time for any reason. 14. The waiver by City of any breach of any term or provi- sion of this Agreement shall not be deemed to be a waiver of such term or provision for any subsequent breach of the same or any other term or provision. 15. Any notice required under this Agreement shall be in writing and personally delivered or sent by United States certified mail, postage prepaid, to: (a) if to the City: City Manager, City of Pueblo, 1 City Hall Place, Pueblo, Colorado, 81003, (b) if to the Manager: 1221 Constitution, Pueblo, Colorado, 81001; or to such other place as City or Manager may from time to time designate in a written notice to the other party. 16. If any provision of this Agreement is declared invalid or unforceable by a court of competent jurisdiction, the unaffected provisions hereof shall remain in full force and effect. 17. This Agreement shall be governed by the laws of the State of Colorado and shall be binding upon and inure to the benefit of the parties hereto and their respective successors and approved assigns. Executed the day and year first above written. CITY OF PUEBLO, A MUNICIPAL CORPORATION ' f � By Pres7i of the C Council Gary Woodside Attest: Cit Clerk TJ 30.24 -9-