Swimming Pool Concess AgreementMEMORANDUM
February 25, 2003
TO:The Honorable Mayor and City Council Members
FROM:Michael C. Van Milligen, City Manager
SUBJECT:Swimming Pool Concession Agreement
Sealed bids were received for operation of the concession stands at Flora and Sutton
swimming pools. The three-year agreement asks for a base fee or percent of annual
gross sales, whichever is greater. The following bids were received:
Base Fee Percentage of Gross Sales
Baseball Dreamers $8,500 F / $3,500 S 20% F / 2O% S
Dave Maiers Concessions $6,000 F / $3,000 S 19.5% F / 18% S
Tom Tressel $3,500 F / $1,500 S 15%F/15%S
Leisure Services Manager Gil Spence recommends award of the contract to Baseball
Dreamers. The Park and Recreation Commission endorsed this recommendation at its
January 14th meeting.
concur with the recommendation and respectfully request Mayor and City Council
approval.
Michael C. Van Milligen
MCVM/jh
Attachment
cc: Barry Lindahl, Corporation Counsel
Cindy Steinhauser, Assistant City Manager
Gil D. Spence, Leisure Services Manager
CITY OF DUBUQUE, IOWA
MEMORANDUM
February 25, 2003
TO: Michael C. Van Milligen, City Manager
FROM: Gil D. Spence, Leisure Services Manager
SUBJECT: Swimming Pool Concession Agreement
INTRODUCTION
The purpose of this memorandum is to request City Council approval for entering into a
concession agreement with Baseball Dreamers to operate the concession stands at
Flora and Sutton swimming pools.
DISCUSSION
Sealed bids were received on January 10th for operation of the concession stands at
Flora and Sutton swimming pools. The three-year agreement asks for a base fee or
percent of annual gross sales, whichever is greater. The following bids were received:
Base fee Percentage of Gross Sales
Baseball Dreamers $8,500 F / $3,500 S 20% F / 20% S
Dave Maiers Concessions $6,000 F / $3,000 S 19.5% F / 18% S
Tom Tressel $3,500 F / $1,500 S 15% F / 15% S
Dave Maiers Concessions has operated the concession stands at both pools for six
years and has provided good service. Baseball Dreamers is a group out of Dyersville,
Iowa, and has provided concessions at the McAleece Recreation Complex for one
season. They, too, have provided good service. Tom Tressel was part of the group
that operated the concessions at McAleece Recreation Complex prior to the Baseball
Dreamers taking over. All three bidders are qualified, have experience with our
department, and are good to work with.
RECOMMENDATION
I recommend the City Council approve awarding the concession agreement to Baseball
Dreamers. This bid will provide a minimum of $4,000 more revenue to the City than
the second Iow bidder and could be more if the percentage of gross sales is greater
than the base fee. The Park and Recreation Commission endorsed this
recommendation at its January 14th meeting.
(continued)
swimming pool concession agreement
page two
ACTION STEP
The action requested is that the City Council award the concession agreement to
Baseball Dreamers and that the City Manager be authorized to sign the agreement
GDS:jlr
attachments
CONCESSION AGREEMENT
FOR
FLORA PARK and NICHOLAS J. SUTTON
SWIMMING POOLS
This Concession Agreement made and entered into this __ day of___________
2003, by and between the City of Dubuque, Iowa, acting through the Park and
Recreation Commission, hereinafter called the "City", whose address for the purpose of
this Lease is 2200 Bunker Hill Road, Dubuque, Iowa, and Baseball Dreamers, hereinafter
called "Concessionaire", whose address for the purpose of this Agreement is 401 - First
Avenue, East, Dyersville, Iowa 52040.
WITNESSETH:
WHEREAS, City is engaged in the operation and maintenance of the public facility
called the Flora Park and Nicholas J. Sutton Swimming Pools (the Pools) and the City
desires to engage a competent and qualified Concessionaire to operate and manage the
concession stand at the facility; and
WHEREAS, Concessionaire is desirous of procuring from City the privilege of
operating and managing the concession stand and is qualified to provide the requisite
services associated therewith; and
WHEREAS, the public interest and welfare will be served and the Pool materially
enhanced by a Concession Agreement with a reputable Concessionaire who will provide
certain services to the public patronizing the Pool.
NOW, THEREFORE, in consideration of the mutual covenants, promises and
agreements hereinafter set forth, it is agreed by and between the parties as follows:
1. LENGTH OF AGREEMENT. This Concession Agreement for the privilege and
obligation to operate the concession stand at the Pool shall be for the period from May
1, 2003, through September 1, 2005 (three swimming seasons).
2. PAYMENTS. Concessionaire shall pay to City, through the Leisure Services
Department, the sum of $8,500.00 per year or 20 percent (20%) of annual gross sales
for Flora Park Swimming Pool; $3,500.00 per year or 20 percent (20%) of annual gross
sales for Nicholas J. Sutton Swimming Pool, excluding sales tax, whichever amount is
greater, for each year that this Agreement is in effect. Said fee shall be paid in three
monthly payments due by the 15th of the month, beginning with the second month of
operation.
3. FINANCIAL STATEMENTS. Concessionaire shall not later than the 15th of
each month provide the Leisure Services Manager with a financial statement verifying
all receipts from the operation of its business. In addition, Concessionaire shall make
available to the Leisure Services Manager all its records regarding the operation of the
business when so requested by the Leisure Services Manager.
4. LICENSES. Concessionaire shall obtain all licenses, permits, and other
documents necessary to operate a food and beverage business, at its sole expense, as
required by the laws of the City of Dubuque, State of Iowa, and the United States.
5. TERMINATION. This Agreement may be terminated at any time by City
without prior notice and by Concessionaire upon seven (7) days' written notice to City.
Upon termination of this Agreement, the Concessionaire shall remove all its property and
personnel from the concession stand. It is expressly understood and agreed that this
Agreement is not a lease or a conveyance of realty, but merely a granting of the
privilege of providing certain services for the benefit and convenience of the public. The
rights and obligations of the parties under this Agreement shall end upon the termination
of this Agreement except that Concessionaire shall be responsible for any damages or
losses attributable to its acts or those of its employees while operating the concession
stand.
6. ASSIGNMENT OF AGREEMENT. Concessionaire shall not assign, sell, or in
any way transfer its business or this Agreement without the prior written consent of the
Leisure Services Manager.
7. PRODUCT SALES AND HOURS OF OPERATION. It is understood and
agreed that the Concessionaire shall handle a general line of soft drinks, food, and other
items, such as are commonly found available at such concession stands. No alcoholic'
beverages, tobacco, or gum shall be sold. Concessionaire shall obey all laws and
regulations of the City of Dubuque and State of Iowa pertaining to the sales of all
products. Concessionaire shall file a price list prior to May 14th for all items sold at the
concession stand with the Leisure Services Manager. The prices shall be in effect until
the Leisure Services Manager is notified in writing that a price change is requested. In
the event that the Concessionaire fails to submit a price list to the Leisure Services
Manager prior to May 14th, the prices of the previous season shall prevail until a new
price list is approved. The concession stand shall be open and available to the public
during the hours as determined by the City, primarily to coincide with all regularly
scheduled swimming times and special events, from approximately 1:00 to 5:00 p.m.,
and from 6:30 to 9:00 p.m. Closing shall be not later than 15 minutes after the Pool
closes. The Concessionaire shall enforce a "no carry-in" rule for the area,
8. MACHINERY AND EQUIPMENT. Concessionaire shall provide and maintain
all machinery and equipment necessary to operate its business at its sole expense.
Structural changes to the concession stand for machinery or equipment shall require the
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prior written approval by the Leisure Services Manager and shall be at Concessionaire's
expense. When machinery or equipment is removed, the concession stand shall be
restored to its original condition, at Concessionaire's expense.
9. ELECTRICITY AND WATER. City shall provide electricity and water to the
concession stand for use by Concessionaire at City's sole expense.
1 0. BUILDING MAINTENANCE. City shall maintain the concession stand at its
expense. However, Concessionaire shall be responsible for all damage caused by its
employees. Concessionaire shall not alter the interior or exterior of the concession stand
without prior written consent of the Leisure Services Manager.
1 1. SIGNS. Concessionaire at its sole expense and after approval from the
Leisure Services Manager may erect suitable signs to inform the public of the products
available for sale, and the prices. No signs shall be hung on the outside of the
concession stand without the prior written approval of the Leisure Services Manager.
12. HOUSEKEEPING. Concessionaire shall be solely responsible for the
maintenance of the concession stand and keep the same in a clean and wholesome
condition at all times. Concessionaire shall keep all garbage and refuse generated by its
business neatly contained. City shall be responsible for cleaning rest room facilities at
Sutton Pool and collecting refuse from the pool facility.
1 3. PERSONNEL IN CONCESSION AREA. Only employees of Concessionaire or
its authorized personnel shall be permitted in the concession stand.
14. REMOVAL OR ENCUMBRANCE OF CITY PROPERTY OR FUNDS.
Concessionaire shall not remove or encumber any property or equipment of City located
in the concession stand, nor shall Concessionaire dispose of or disburse any funds owed
to City.
15. RIGHT OF ENTRY. City shall have the right to enter and examine the
concession stand at any time.
16. INSURANCE. Concessionaire shall provide such insurance as required by
the attached insurance schedule.
To the extent that the Concessionaire's business is such as to place any or all of
its employees under the coverage of Worker's Compensation or similar statutes,
Concessionaire shall provide at his own expense during the time Concessionaire
occupies the premises and throughout the term, Worker's Compensation or similar
insurance affording the coverage and limits required by statute. Concessionaire shall
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provide the City of Dubuque with evidence of such coverage.
1 7. INDEMNIFICATION. Concessionaire agrees to defend, indemnify and hold
harmless the City, its officers, boards, commissions, agents, and employees from and
against all claims by any person whatsoever occasioned by the use or operation of
Concessionaire under this Agreement.
18. LIABILITY FOR CONCESSIONAIRE'S EQUIPMENT, SUPPLIES, AND OTHER
PROPERTY. City shall not be responsible in any way for lost, stolen, or damaged
equipment, supplies, or other property of Concessionaire. Concessionaire shall be solely
responsible for all of its equipment and supplies.
19. EMPLOYEES. Concessionaire shall supply at its sole expense a sufficient
number of employees to adequately serve the public during its hours of operation.
Concessionaire's employees shall at all times reflect personal cleanliness. Unkempt and
unclean employees shall not be tolerated. Employees shall wear distinctive shirts,
jackets, or smocks whenever working. The on site individual responsible for the
concession operation shall be at least seventeen years old.
20. PERFORMANCE BOND. Concessionaire shall on or before May 14, 2003,
execute to City a bond with good and sufficient security, said bond to be approved by
City, in the sum of Five Thousand Dollars ($5,000,00) conditioned upon the faithful
performance and discharge of the obligations imposed by this Agreement from the date
thereof and said bond shall remain in full force and effect during the life of the
Agreement. Concessionaire shall pay all premiums changeable for said bond and shall
keep the same in force and effect at all times throughout the term of this Agreement
and until removal of all its property from the concession area. Said performance bond
shall contain a provision that it shall not be terminated or otherwise allowed to expire
prior to thirty (30) days' written notice to City. Said bond shall be in a form satisfactory
to City and a duplicate copy, along with written evidence of payment of the required
premium, shall be filed with City during the term of this Agreement.
21. TOTAL OR PARTIAL DESTRUCTION OF CONCESSION BUILDING. In the
event of fire or other disaster causing partial or total destruction of the concession
stand, City at its option may proceed with rebuilding or repair of the stand. During the
period of rebuilding, Concessionaire shall have the option of continuing to operate its
business from a temporary or mobile concession stand.
CITY OF DUBUQUE
CONCESSIONAIRE
IT'S REPRESENTATIVE
IT'S REPRESENTATIVE
address
telephone
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