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Five Flags Contract ThunderbirdMEMORANDUM September 29, 2003 TO: FROM: SUBJECT: The Honorable Mayor and City Council Members Michael C. Van Milligen, City Manager Rental Agreement with Dubuque Hockey, Inc. Leisure Services Manager Gil Spence recommends City Council approval of the rental agreement with Dubuque Hockey, Inc. (Thunderbirds) for use of the Five Flags Center for the 2003-2004 season. I concur with the recommendation and respectfully request Mayor and City Council approval. Mic ael C Van Milhgen MCVM/jh Attachment cc: Barry Lindahl, Corporation Counsel Cindy Steinhauser, Assistant City Manager Gil D. Spence, Leisure Services Manager CITY OF DUBUQUE, IOWA MEMORANDUM September 26, 2003 TO: Michael C. Van Milligen, City Manager FROM: Gil D. Spence, Leisure Services Manager ?'.~ SUBJECT: Rental Agreement with Dubuque Hockey, Inc. INTRODUCTION The purpose of this memorandum is to request City Council approval of the rental agreement with Dubuque Hockey, Inc. (Thunderbirds) for use of the Five Flags Center for the 2003 - 2004 season. DISCUSSION The attached rental agreement is the same as last year, except the game fee is increased from $500 to $600 per game. This increase was agreed to last year when the fee was lowered from $600 to $500, that it would return to $600 for the 2003-2004 season. Any other change was minor and done to clarify the contract, not to change the intent. Dubuque Hockey, Inc. has approved the agreement and the Civic Center Advisory Commission gave its approval on September 29, 2003. ACTION STEP The action requested is that the City Council approve the rental agreement for Dubuque Hockey, Inc. to use the Five Flags Center for the 2003-2004 season. GDS:et attachment RENTAL AGREEMENT Lease No. 3204-017' PARTIES: THIS AGREEMENT, made this 22nd day of September, 2003, between the DUBUQUE FIVE FLAGS CENTER, a department of the City of Dubuque, hereinafter called "CENTER" and DUBUQUE HOCKEY, INC. DBA: DUBUQUE THUNDERBIRDR Address 405 MAIN STREET City DUBUQUE hereinafter called '"rENAN'P'. State IOWA Zip 52001 SPACE AND PURPOSE CENTER grants TENANT permission to use the herein named portions of the Dubuque Five Flags Center for the pedod and purposes herein set forth. 1. The space known as Satellite Ticket Office for TENANT offices. Office available for TENANT ticket sales during CENTER regular office hours, Monday through Fdday, 9:00 a.m. - 5:30 p.m. when CENTER's ticket office is open or 9:00 a.m. - 5:00 p.m. when the ticket office is closed. CENTER reserves the right to limit use due to other event needs ~, 2. Use of locker rooms ~¢2 and #3 for the pedod of September 1, 2003 until ice is removed; subject to the need for locker room space by CENTER. Use of locker room #1 for visiting team, available one and one-half hours prior to game time. Locker boxes will be removed at CENTER's request when needed for other event use. 3. Five Flags Arena with ice dnk for practice of hockey, subject to availability. May be pre-empted for other events with a minimum of seven days notice. Five Flags Arena with ice rink and seating for 2,457 persons for hockey games, according to the attached schedule. = One-half of the storage area across from locker room ~ for TENANT storage use. East press box is available for TENANT'S use, for promotional activities pending approval by CENTER. TENANT would be responsible for monitoring this usage. TENANT responsible for installation and payment of phone lines if press box is used for broadcast. 7. Northwest dressing room for use by game officials. 8. TENANT, at its sole expense, may display the team logo and team sponsors (~n the ice surface (Five Flags logo will be included) and north wall in the area designated by the CENTER. CENTER to hang free of charge. Material, size, content, and method of hanging signage to be approved by CENTER. CENTER must approve layout of on-ice logo/advertisements prior to tenant entering into any sales agreement. CENTER will work with TENANT on other advertising ideas. 9. West press box will be made available for use by TENANT for promotional actl~t~es pending approval by CENTER. TENANT responsible for monitoring usage. If west press box is used for broadcast, TENANT is responsible for installation and payment of phone lines. West press box will be made available for use of organ by one person designated by TENANT, as long as organist is a volunteer or paid by the Thunderbirds. If organ is used, west press box would not be available for broadcast purposes or promotional activities. CENTER POLICIES TENANT must abide by all CENTER policies, including No Tobacco Use Policy. Persons violating this policy will be ejected from the building after one warning. CENTER shall provide TENANT its written policies simultaneously with execution of the lease agreement. Some policies may be inadvertently omitted, but these and any new policies developed will be in effect as TENANT is made aware of them. 405 Main Street- P.O. Box 628 - Dubuque, Iowa 52004-0628 · 563/589-4254 · Fax: 563/589-4351 · TDD: 563/589-4193 j Dubuque Hockey, Inc. Lease No. Page 2 TICKET OFFICE Ticket cashiem will be provided by TENANT with CENTER providing portable ticket booth from which one ticket seller will sell tickets at Locust Street entrance. Portable ticket booth available to TENANT at 4:00 p.m. on game days. In addition, there will be one additional ticket cashier at the Locust Street entrance until the beginning of first pedod or until crowd is disbursed. There wilt be an additional ticket cashier at Main Street entrance to sell general admission tickets with a ticket runner provided by TENANT to take care of will call tickets being held at Locust Street entrance. One ticket cashier will remain on duty until the beginning of the third pedod at both entrances. People entedng after the beginning of the third period shall be admitted free of charge. TENANT may sell tickets from Locust Street porch Saturday and Sunday of game days during regular ticket office hours, Noon - 5 30 p.m. CENTER will provide table and chairs. Ticket takers will be provided at both entrances by the CENTER. All drop tickets will be turned over to TENANT immediately following the game after the attendance count has been taken by the CENTER. TENANT shall reimburse CENTER for actual cost of pdnting tickets if this service is provided by CENTER. FEE TERMS TENANT agrees to pay CENTER a fee of $600.00 per game for a minimum of 24 regular season games. TENANT agrees to pay CENTER $90.00 for each hour of practice ice. CENTER agrees to provide TENANT up to 150 hours of ice practice. Office space no charge Storage space in gate E and across from locker room no charge Use of press boxes no charge Thunderbirds refrigerator in locker room no charge Thunderbirds team boxes in locker room no charge DEPOSIT TENANT shall pay to CENTER, pdor to September 17, 2003, the sum of $1,440 as a deposit for all dates reserved for games. CENTER shall credit deposit toward the usage fee at end of payment schedule. In the event that a game is not held as scheduled, TENANT will forfeit the deposit for that game $60.00 as liquidated damages. PAYMENT OF USAGE FEES TENANT shall pay the CENTER within sixty days of the end of each month for fees incurred as based on the payment scheduled detailed under "Fee Terms". CENTER will bill TENANT at the end of each month. Sixty day payment schedule may be renegotiated for any future contract with TENANT. APPROVAL O._.~F CONTRACT It is agreed that this contract will not be enforced until it has been approved by the Civic Center Commission and City Council, and signed by TENANT and City. EVENTS BEYOND PARTIES' CONTROL (Force Majeure) FORCE MAJOR TOTAL: In the event that either or both parties are totally prevented from completion of obligations under the Agreement as a result of acts of God, civil tumult, war, dot, governmental restrictions, or other conditions beyond the legitimate control of CENTER and/or TENANT, both parties shall then be relieved respectively of their obligations hereunder and there shall be no claim for damages by either party against the other. Dubuque Hockey, Inc. Lease No. Page 3 OBLIGATION TO ADAPT TO CIRCUMSTANCES: It is also further understood and agreed that both parties shall make "best efforts" to ovemome and adapt to any and all circumstances described in this article, in order to meet the obligations of the engagement in any way possible, given the circumstances. The term "Force Majeure" as used in this section shall include all fire, earthquake, flood, tornado, act of God, strike or other labor disturbance beyond the reasonable control of CENTER, civil commotion, failure of power, machinery or equipment malfunction, or any other matter of situation of a like nature. Force Majeure shall not be interpreted to mean an act or omission by TENANT'S opposing team, but CENTER will use its best efforts to reduce or eliminate costs or expenses incurred as a result of the failure to play any scheduled game. The parties agree that they will use and continue to use their best efforts to remove, change, correct, repair, et cetera, the condition of Force Majeure preventing performance hereunder, in order to make performance under this Agreement once again possible. CONCESSIONS CENTER shall retain control and operation of all concession stands, providing food and beverage services. Final decisions on product select on and pdcing shall be at CENTER'S sole discretion. Programs and novelties may be offered for sale by TENANT, on game dates, in the leased space during the pedod of this agreement. CENTER shall designate stand locations for merchandising such items. The normal fee for the sate of such items, thirty percent of gross sales, shall be waived by the CENTER. Any promotional activities conducted in the building and game script must be approved by CENTER seven days pdor to a game. SCHEDULE OF USAGE CENTER shall provide TENANT access to arena ice dnk for games and/or practices on a minimum of 110 days in the pedod beginning September 17, 2003, and ending March 21, 2004, if ice is available. CENTER will begin the ica making process on September 8, 2003. TENANT is encouraged to view the ice making process to be kept abreast of the progress and ask any questions they may have or note any difficult weather conditions that would cause process to be halted. CENTER shall not interrupt the TENANT'S practice ice usage for longer than a six-day pedod. CENTER has an option to extend this six-day pedod with a $500 compensation per day to TENANT, excluding away games for TENANT tha~'6ccur Within this pedod. The schedule of TENANT'S games shall not be changed without the mutual consent of both TENANT and CENTER, or as allowed in this agreement. Such consent shall not be unreasonably withheld. In the event the performance of TENANT's scheduled game is prevented, due to hazardous weather conditions, CENTER shall make every effort to reschedule the game, subject to the availability of dates in the CENTER. Should it be deemed impossible by both CENTER and TENANT to reschedule the game, the CENTER shall refund TENANT'S $60.00 deposit for that game. CENTER retains the dght to alter the TENANT's practice schedule. TENANT and CENTER shall submit wdtten notice of any change in practice schedule to the other seven days in advance of the change, all changes subject to availability of CENTER dates. Practice ice time for 2003-2004 season will include regular practices scheduled between 9:00 a.m. and 11:00 a.m., Monday through Fdday, game day practices and any other use the Thunderbirds schedule through the Civic Center office. All ice usage is subject to the availability of the ice sheet and may be pre- empted by another event. Before utilizing the building for any Thunderbirds activity, i.e., player meetings, photo sessions, equipment distribution, et cetera, TENANT shall schedule such usage with Civic Center Manager to make sure other events are not scheduled. ADD TIONAL USAGES FOR PLAYOFFS Should the TENANT qualify for the M.J.H.L playoffs, CENTER agrees to maintain the ice sheet and offer it to TENANT, subject to the availability of dates for TENANT practices and playoff games for a minimum of Dubuque Hockey, inc. Lease No. Page 4 fifteen (15) days during the period beginning March 21, 2004 and ending April 7, 2004. The CENTER shall not be required to maintain the ice sheet past the date the TENANT is eliminated from the M.J.H.L. playoffs. Usages in this period shall be subject to all rates, conditions, and requirements set forth in this Agreement. Ice of sufficient quality to allow a game cannot be guaranteed after the end of March. TENANT would have to determine if they want to take the chance of an adequate ce surface. CENTER will not be held responsible for ice quality. TENANT ACCESS TENANT shall have access to arena ica rink during the hours specified in the attached practice and game schedules. TENANT shall also have access to office and locker rooms designated for TENANT'S use: In pedods dudng which the Civic Center's promenade is open to the public. When promenade is closed to the public, access to the office may be obtained through skate rental, if such access is approved by the user group in the arena/on ice. In pedod commencing thirty minutes prior to scheduled usages when the promenade is not open to the public. In pedods when games are scheduled on Saturday and/or Sunday, when the promenade is closed to the public, access will be provided to selected Thunderbirds personnel at 4:30 pm on Saturday (7:00 pm) evening games and 3:00 pm for Sunday (5:30 pm) evening games to facilitate setup of novelty stands. Gate C will be unlocked at that time. CENTER shall keep open the tunnel between the Five Flags Center and the Holiday Inn one hour before game time and 45 minutes after game is concluded. TENANT agrees to provide adequate secudty during the hours the tunnel is open for TENANT events. Special openings of the tunnel may be requested by the TENANT within reason, such requests shall not be denied by CENTER as long as TENANT agrees to provide security. CENTER reserves the dght to deny TENANT access to designated locker rooms, office, or any parts of the Civic Center if TENANT'S use of these spaces constitutes, in the reasonable opinion of the CENTER, a conflict with another event. TENANT shall be responsible for restricting its staff, players, and volunteers to the space authorized by this Agreement. Continued failure on the part of the TENANT to exercise this control may result in additional charges to TENANT for~CENTER'S labor expenses of a staff person to monitor TENANT's usage. STAFFING All doors shall open for games one hour prior to game time and close to the public forty-five minutes following completion of game. CENTER will guarantee all other ica usage to end one hour and thirty minutes prior to their scheduled game time. In the event of tournaments overtime, less time may be available. The number of personnel shall be fixed by decision of CENTER and TENANT, except that CENTER shall have discretion to determine staffing levels related to secudty and patron safety. For TENANT'S scheduled games, CENTER shall provide the following staff for agreed money of $500.00 per game: one house manager Three ushers one technical assistant two T-shirt security one policaofficar two ticket takers Dubuque Hockey, thC. Lease No. Page 5 Any additional services (such as followspots, special lighting, etc.) shall be billed as extra costs over agreed fee. Any additional staffing (such as followspot operatom, security, etc.) shall be billed as extra costs over agreed fee. In addition, TENANT shall provide the following volunteer staff to supplement that provided by CENTER: ten ushers (inc udes staffing for gates B, D, and F) two aides for zamboni operator · scorekeeper, announcer, et cetera, as TENANT needs one · medical personnel (doctor or EMTs) -- available to pub ic person to staff skaters' entrance TENANT shall provide the names of the above mentioned ushers, and Zamboni aides to CENTER no less than one week pdor to each game. Each person supplied by TENANT shall adhere to the M.J.H.L.'s lnto)dcants Policy forbidding consumption of drugs and alcohol. For TENANT'S scheduled games, CENTER shall provide, at no cost to TENANT, the following staff: one maintenance worker one Zamboni operator RESERVATION OF GAME DATES TENANT may reserve playing dates through the Civic Center Manager under the following terms and conditions: ~ · Twenty-one regular season and play-off dates plus exhibition may be reserved. If another user group requests any of these dates; twenty of the regular season dates will be held with no deposit required. For the remaining dates, including play-offs and exhibition, a $60.00 deposit will be made to secure the date. Any of these dates, secured with deposit, that are not used, TENANT will forfeit the $60.00 for that specific date. Play-off dates can be reserved with a $600.00 deposit. · All dates reserved for the playoffs will be held according to the normal booking procedure. NOTE: This section applies to dates in out years, beyond what is covered by the contract. INDEMNIFICATION TENANT shall defend, indemnify and hold harmless CENTER, its officers, agents and employees from and against all claims, damages, liabilities and expenses (including costs and attomey's fees) arising from bodily injury, personal injury, including death at any time resulting therefrom, sustained by any person or persons or on account of damage to property, including loss of use thereof, arising out of or in consequence of TENANT'S performance of this Agreement, provided such injuries to persons or damage to property are due to the negligent or intentional acts or omissions of TENANT, its officers, employees or agents. The provisions under this paragraph, however, shall only apply in proportion to and to the extent of such negligent or intentional acts or omissions. CENTER shall defend, indemnify and hold harmless TENANT, its officers, agents and employees from and against all claims, damages, liabilities and expenses (including costs and attomey's fees) arising from bodily injury, personal injury, including death at any time resulting therefrom, sustained by any person or Dubuque Hockey, Inc. Lease No. Page 6 persons or on account of damage to property, including loss of use thereof, arising out of or in consequence of (i) TENANT'S performance of the Agreement, provided such injudes to persons or damage to property are due to the negligent or intentional acts or omissions of CENTER, its officers, employees or agents or (ii) operation of the Arena, including without limitation the fixtures, entrances, exits, sidewalks and approaches of the Arena. The provisions under clause (i) of this paragraph, however, shall only apply in proportion to and to the extent of such negligent or intentional acts or omissions. INSURANCE The TENANT agrees to provide, at its own expense, a public liability insurance policy in a company which is acceptable to the CENTER and which is licensed to do business in the State of Iowa, in amounts not less than amounts indicated in the attached schedule. Such policy is to contain a provision that the CENTER will be notified at le~ast thirty (30) days pdor to any cancellation or matedal change therein. The TENANT shall have such insurance amended to include the CENTER as an additional insured, and provide certification of this insurance coverage by September 1, 2003. Ice usage will not be allowed until this certificate is received and accepted by CENTER. WORKERS' COMPENSATION To the extent that TENANT's business is such as to place any or all of its employees under the coverage of Workers' Compensation or similar statutes, TENANT will maintain during the time TENANT occupies the premises and throughout the term, Workers' Compensation or similar insurance affording the coverage and limits raquirad by statute. Upon CENTER'S request, TENANT shall provide CENTER with evidence of such coverage. ADDITIONAL ITEMS Blood borne pathogens. TENANT shall be responsible for removal of sharps, towels, rags, or any article beadng any body fluids relating to its presence in the building, including those related items belonging to the opposing team. Damage to building. All damage to the building, structure, premises, and its appurtenances caused by TENANT, its employees, agents, players, or visiting team players and staff shall be paid by TENANT at the actual cost of repairs. CENTER staff and commission members engaged in the operation and maintenance of the building shall have free ~cess tothe premises. CENTER reserves the dght to deny access to the premises to any person or eject any person admitted to the premises. 5. Marquee. CENTER shall include the upcoming games on marquee program. TENANT may place team boxes in locker room ~ and refrigerator and storage in locker room #3, but they will be removed at the request of the CENTER if requested by another user. 7. Championship banners may be hung in the arena in the area designated by the CENTER. Should TENANT desire access to the CENTER'S telephone system all actual costs of the usage must be paid by TENANT. TENANT shall designate areas where non-suited players from both teams may sit dudng games. Orpheum Room. The Orpheum Room will be provided free of charge for the TENANT during scheduled games to use as a booster room and TENANT shall be allowed to serve food items, such items should not be in direct competition with the concession stand and will not be removed from the room. 11. Majestic Room. The Majestic Room shall not be available to sponsors of the Thunderbirds as a hospitality room, except by prior arrangement and payment to CENTER. Room rental, $75.00 per day. CENTER shall provide catering, if an outside caterer is used a 10% catedng fee will be paid to the CENTER by caterer. Bar service fee of $25.00 will be charged if bar service is provided. Room capacity of 49 persons will be strictly enforced. Dubuque Hockey, Inc. Lease No. Page 7 12. Advertisinq. CENTER shall make dasher boards available on which TENANT may have exclusive dghts to sell advertising with approval by CENTER. TENANT shall pay all costs associated with said advertising. 13. No more than 3,000 tickets per game may be printed or distributed by TENANT or any game sponsor. 14. TENANT shall have the right to provide food and beverages to players of both teams and on and off ice officials as defined in league rules. TENANT will assist in clean up. If TENANT decides to use CENTER for these items, they will be charged back to TENANT at CENTER's cost as additional billing at the end of the season. 15. Any fees owed to Broadcast Music, nc for use of music played during games to be paid by TENANT. 16. Center shall not be respons ble for ost or stolen items kept in unsecured or unauthorized storage areas. FOR: DUBUQUE FIVE FLAGS CENTER By. FOR: DUBUQUE HOCKEY, INC. Title Title Date Date ...3uque Hockey, Inc. Lease No. Page 7 12. Advertising. CENTER shall make dasher boards available on which TENANT may have exclusive rights to sell advertising with approval by CENTER. TENANT shall pay all costs associated with said advertising. 13. No more than 3,000 tickets per game may be printed or distributed by TENANT or any game sponsor. 14. TENANT shall have the right to provide food and beverages to players of both teams and on and off ice officials as defined in league rules. TENANT will assist in clean up. If TENANT decides to use CENTER for these items, they will be charged back to TENANT at CENTER's cost as additional billing at the end of the season, 15. Any fees owed to Broadcast Music, Inc. for use of music played during games to be paid by TENANT. 16. Center shall not be responsible for lost or stolen items kept in unsecured or unauthorized storage areas. FOR: DUBUQUE FIVE FLAGS CENTER FOR: DUBUQUE HOCKEY, INC. By By Title%���i��� Title Date �I a5 Date 6,2