The URL can be used to link to this page

Home My WebLink About11290Docusign Envelope ID: 39AE60D3-FEC7-895A-81 28-A201 9E612EB1 City Clerk's Office Item # S4 COUNCIL MEETING DATE: October 13, 2026 TO: President Mark Aliff and Members of City Council CC: Mayor Heather Graham VIA: Clyde Bishop, City Clerk FROM: Steven Meier, Director of Parks and Recreation SUBJECT: AN ORDINANCE APPROVING AMENDMENT NO. 2 TO THE LEASE AND MANAGEMENT AGREEMENT BETWEEN THE CITY OF PUEBLO, A COLORADO MUNICIPAL CORPORATION, AND BREGAR GOLF, LLC, RELATING TO THE ELMWOOD GOLF COURSE RESTAURANT, AND AUTHORIZING THE MAYOR TO EXECUTE THE SAME SUMMARY: This Ordinance approves Amendment No. 2 to the Elmwood Golf Course Restaurant Management Agreement to allow for restaurant repairs and improvements to be accepted by the City in lieu of rent, subject to terms and conditions. PREVIOUS COUNCIL ACTION: In 2022, Ordinance 10295 was approved by City Council approving the Elmwood Golf Course Restaurant Management Agreement, Amendment No. 1. Amendment No. 1 allowed for restaurant repairs and improvements made by the Golf Course Restaurant Manager, Bregar Golf, LLC to be accepted by the City in lieu of rent in the amount of $13,762.06. BACKGROUND: In early November 2025, Mr. Bregar of Bregar Golf, LLC met with Parks and Recreation Director Steven Meier to discuss the need to move the restaurant in a different direction by looking for a new operator before the end of the year. In January 2026, the new restaurant operators alerted Mr. Bregar that several pieces of kitchen equipment were failing and would need to be replaced. The three -door freezer was replaced by the restaurant owners on January 4, fryers were replaced on January 5, the ice maker repaired on February 24, and the sandwich prep table replaced on May 15. Docusign Envelope ID: 39AE60D3-FEC7-895A-81 28-A201 9E612EB1 FINANCIAL IMPLICATIONS: On July 9, 2026, Mr. Bregar submitted a request to Parks and Recreation for in -kind restaurant rent credit for the cost of the replaced and repaired kitchen equipment in the amount of $12,471.69. BOARD/COMMISSION RECOMMENDATION: The Golf Course Enterprise Citizens' Advisory Committee recommends approval of this Ordinance. STAKEHOLDER PROCESS: None. ALTERNATIVES: Should Council choose not to approve the request, the Golf Enterprise will be required to reimburse the restaurant operators and Bregar Golf, LLC for the replacement equipment and repair expenses. RECOMMENDATION: Approval of the Ordinance. ATTACHMENTS: 1. Amendment No. 2 to Elmwood GC Restaurant Lease Agreement_ 09.28.26 2. Elmwood GC Restaurant Rent Forgiveness Request Letter_08.27.2026 3. Itemized Project Expense Receipts_2026 Docusign Envelope ID: 39AE60D3-FEC7-895A-81 28-A201 9E612EB1 ORDINANCE NO. 11290 AN ORDINANCE APPROVING AMENDMENT NO. 2 TO THE LEASE AND MANAGEMENT AGREEMENT BETWEEN THE CITY OF PUEBLO, A COLORADO MUNICIPAL CORPORATION AND BREGAR GOLF, LLC, RELATING TO THE ELMWOOD GOLF COURSE RESTAURANT, AND AUTHORIZING THE MAYOR TO EXECUTE THE SAME WHEREAS, the City of Pueblo and Bregar Golf, LLC entered into the Lease and Management Agreement dated January 1, 2021 ("Lease") under which the City granted Bregar Golf, LLC the exclusive right to occupy, use, and operate the food and beverage operations within the Restaurant and Lounge of the Elmwood Golf Course clubhouse; and WHEREAS, the City of Pueblo and Bregar Golf, LLC desire to amend the terms of said Lease and Management Agreement; NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF PUEBLO, that: SECTION 1. Amendment No. 2 to the Lease and Pueblo, a Municipal Corporation, and Bregar Premises at Elmwood Golf Course, attached the City Attorney, is hereby approved. SECTION 2. Management Agreement between the City of Golf, LLC, a Colorado Corporation, for Certain hereto and having been approved as to form by The Mayor is hereby authorized to execute and deliver said Amendment on behalf of the City, and the City Clerk shall affix the Seal of the City thereto and attest the same. SECTION 3. The officers and staff of the City are authorized and directed to perform any and all acts consistent with this Ordinance and the attached Lease and Management Agreement to implement the transactions, policies and procedures described herein. SECTION 4. This Ordinance shall become effective on the date of final action by the Mayor and City Council. Action by City Council: Introduced and initial adoption of Ordinance by City Council on September 28, 2026. Final adoption of Ordinance by City Council on October 13, 2026. DocuSignedby: President of City Council Docusign Envelope ID: 39AE60D3-FEC7-895A-81 28-A201 9E612EB1 Action by the Mayor: C.� Approved on ❑ Disapproved on 10/14/2026 based on the following objections: V Action by City Council After Disapproval by the Mayor: ❑ Council did not act to override the Mayor's veto. ❑ Ordinance re -adopted on a vote of , on Mayor ❑ Council action on failed to override the Mayor's veto. President of City Council ATTEST Docusigned by: LG City Clerk IJUI.UDIIy I I CI IVCIUIIC IV. , LOUIJ YrC1J!-ODJf1-O IGO-MLV I UCU ILCO I AMENDMENT NO. 2 TO THE LEASE AND MANAGEMENT AGREEMENT THIS AMENDMENT NO. 2 ("Amendment") to the Lease and Management Agreement is made and entered into this 13th day of October , 2026 by and between the City of Pueblo, a Municipal Corporation ("City") and Bregar Golf, LLC, a Colorado limited liability corporation ("Manager"). WHEREAS, City and Manager entered into the Lease and Management Agreement dated January 1, 2021 (the "Lease") under which the City granted Manager the exclusive right to occupy, use, and operate the food and beverage operations within the Restaurant and Lounge of the Elmwood Golf Course clubhouse; and WHEREAS, one (1) three -door freezer, two (2) fryers, one (1) sandwich prep table, and an ice maker required repair or replacement; and WHEREAS, Manager replaced the three -door freezer, fryers, sandwich prep table, and repaired the ice maker on the Leased Premises, and City is willing to accept said repair and replacements in lieu of rent, subject to the terms and conditions of the Lease hereby modified. NOW, THEREFORE, in consideration of the foregoing and the terms and conditions set forth herein, the parties agree as follows: Manager shall submit invoices and receipts for the replacement of the three -door freezer, the fryers, the sandwich prep table, and the ice maker repair, which shall be attached hereto in Exhibit A. Manager shall pay for all costs of repair, purchase, and replacement, including all necessary installation. City shall not be liable for any associated cost. All items purchased and installed by Manager shall be tagged with City identification and shall become and remain the property of the City. Manager shall provide any other documentation requested by City immediately upon request. Failure by Manager to produce the requested documentation shall constitute a material breach for which City may immediately upon notice terminate this Amendment and Manager shall owe City all rents due for the October, November, and December of 2026 ("Waived Months"). 2. Manager shall obtain warranties for the installed equipment and shall provide a copy of said warranties to City. Only the replacement equipment and repairs on the Leased Premises attached in Exhibit A have received approval from City. All replaced equipment on the Leased Premises, shall become the property of the City upon their installation and completion. Manager shall maintain and repair the equipment and improvements in accordance with the terms of the Lease and all warranties. 4. In consideration for Manager replacing equipment and repairs detailed herein, City shall waive $12,471.69 of rent ("Waived Rent") required under the Lease for the Waived Months. The difference between the scheduled rent of $11,817.81 for the Waived Months and the Waived Rent of $12,471.69 is $653.88 ("Rent Difference"). The Rent Difference shall be deducted from the month of January 2027 scheduled rent amount. Waiver of rent shall not excuse Manager from payment of applicable fees or taxes, nor affect the calculation of rent in future months. Should Manager fail to replace and repair equipment in a timely manner, as determined by City in its sole and absolute discretion, City may I97f9742-86c7-4058-a112-6186227dcb01 IJu.,u IyII CI IVCIVpe 11.1. JOMCUV LlJ_r Cli/-OJ:J/1-O ILO -1L I VI O I upon notice to Manager forego any waiver and charge rent for the Waived Months. Said rent shall be immediately due upon notice without offset or deduction. Should the Lease or this Amendment be terminated by either party or expire prior to completion of the Waived Months, City shall not be liable to Manager for any amounts of waived rent or costs associated with the replacements and improvements made to the Leased Premises. 6. Manager shall indemnify, defend and hold harmless the City and its officers, employees, and agents against any liability for any damages, attorneys fees, and restitution that may be imposed by any court or tribunal in any suit, action or proceeding in law or equity filed by any person or entity based on tort, contract, statute, violation of civil rights, or any other legal theory, for any physical injury, psychological injury, death, property damage, or loss that may be related to or caused by the installation of equipment or making of improvements by Manager or its contractor to the Leased Premises, including claims of nonpayment or breach of contract by Manager's contractor. All work to the Leased Premises shall be adequately insured by Manager or Manager's contractor. Except as expressly modified by this Amendment, the Lease shall remain in full force and effect. Except as modified by this Amendment, any obligations to be performed under the Lease by either party are not waived nor excused in any manner but shall be performed in accordance with the terms and conditions of the Lease as it existed prior to this Amendment. IN WITNESS WHEREOF, Manager and City have executed this Amendment as of the date first written above. CITY OF PUEBLO, ATTEST: DoCIJS1�ed by: a Munipipal cqoration JLV City Clerk B y Heather Graham, Mayor APPROVED AS-JQRM City Attorney BREGAR GOLF, LLC, a Colorado limited liability corporation By Randal L. Bregar, Presdant 2 L.Ju.VDly Il L;I IVCIU JC IV. J.7MI ODUJ-r CV I ILO-tI LI 1.7CU I Exhibit A Invoices and Receipts