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McAleece Park and Recreation Complex Concession Agreement CITY OF DUBUQUE, IOWA MEMORANDUM January 27, 1999 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: McAleece Park and Recreation Complex Concession Agreement Sealed bids were received on January 12, 1999, for operation of the concession stand at the McAleece Park and Recreation Complex. Leisure Services Manager Gil Spence is recommending award of the concession agreement to 8th Inning LLC and that the City Manager be authorized to sign the agreement. The Park and Recreation Commission endorses this recommendation. I concur with the recommendation and respectfully request Mayor and City Council approval. M[chael C. Van Milligen MCVM/j Attachment cc: Barry Lindahl, Corporation Counsel Tim Moerman, Assistant City Manager Gil Spence, Leisure Services Manager V\'enbnqno ao~o s ,}1J8\Q N!~ 02 : II \{~ 82 NVr 66 03/\13038 ". CITY OF DUBUQUE, IOWA MEMORANDUM January 21, 1 999 TO: Michael C. Van Milligen, City Manager FROM: Gil D. Spence, leisure Services Manage~ SUBJECT: McAleece Park and Recreation Complex Concession Agreement INTRODUCTION The purpose of this memorandum is to request City Council approval of awarding the concession agreement at the McAleece Park and Recreation Complex to 8th Inning LLC. DISCUSSION Bids were received on January 12th for operation of the concession stand at the McAleece Park and Recreation Complex. Attached is a copy of the concession agreement on which bids were made. The bid notice called for a base fee (guaranteed amount) or percentage of gross sales, whichever is greater. The following three bids were received: 8th Inning LLC Jodi & Mike Hoskins Dubuque Sports Complex, Inc. Base fee $ 13,500 $ 8,000 $ 5,000 Percentage of Gross Sales 30% 30% 25% 8th Inning LLC is a group of parents that want to operate the concession stand with their children to provide them (children) with summer employment. At least one adult will be present all the time the stand is open. The group seems to be well organized with the ability to provide the service we need. RECOMMENDA TION I recommend the City Council approve awarding the concession agreement to 8th Inning LLC. The Park and Recreation Commission endorsed this recommendation at its January 12th meeting. ACTION STEP The action requested is that the City Council award the concession agreement to 8th Inning LLC and that the City Manager be authorized to sign the agreement. GDS:et attachments Name Kevin Arthofer Donna McDonough Rosanne & Steve Becker Sue & Larry Bonert Teresa & Bill Brahm Jeni & ~Iike Ferring Gayla & John Roarig Julie & Tom Tressel 8th Inning Ltd. Partners Address Phone 2600 Windsor 582-4474 3723 Hillcrest Rd 582-7761 653 Kane St 588-0562 3091 Kane (t. 556-0347 42 S Algona 583-9824 5175 Saratoga Rd. 556-0892 3086 Kane (t. 582-4388 3082 Kane (t. 588-3579 8th Inning Ltd. Partners ~ Address Phone Kevin Arthofer 2600 Wmdsor 582-4474 Donna McDonough 3723 Hillcrest Rd 582-7761 Rosanne & Steve Becker 653 Kane St 588-0562 Sue & Larry Bonert 3091 Kane Ct. 556-0347 Teresa & Bill Brahm 42 S Algona 583-9824 Jem & Mike Ferring 5175 Saratoga Rd. 556-0892 Gayla & John Roarig 3086 Kane Ct. 582-4388 Julie & Tom Tressel 3082 Kane Ct. 588-3579 CITY OF DUBUQUE, IOWA MEMORANDUM January 27, 1999 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: McAleece Park and Recreation Complex Concession Agreement . Sealed bids were received on January 12, 1999, for operation of the concession stand at the McAleece Park and Recreation Complex. Leisure Services Manager Gil Spence is recommending award of the concession agreement to 8th Inning LLC and that the City Manager be authorized to sign the agreement. The Park and Recreation Commission endorses this recommendation. I concur with the recommendation and respectfully request Mayor and City Council approval. ~wU ~/1J2 Mrchael C. Van Milligen MCVM/j Attachment cc: Barry Lindahl, Corporation Counsel Tim Moerman, Assistant City Manager Gil Spence, Leisure Services Manager . CITY OF DUBUQUE, IOWA MEMORANDUM January 21, 1999 TO: Michael C. Van Milligen, City Manager FROM: Gil D. Spence, Leisure Services Manager SUBJECT: McAleece Park and Recreation Complex Concession Agreement INTRODUCTION The purpose of this memorandum is to request City Council approval of awarding the concession agreement at the McAleece Park and Recreation Complex to 8th Inning Ltd. DISCUSSION . Bids were received on January 12th for operation of the concession stand at the McAleece Park and Recreation Complex. Attached is a copy of the concession agreement on which bids were made. The bid notice called for a base fee (guaranteed amount) or percentage of gross sales, whichever is greater. The following three bids were received: 8th Inning Ltd. Jodi & Mike Hoskins Dubuque Sports Complex, Inc. Base fee $ 13,500 $ 8,000 $ 5,000 Percentage of Gross Sales 30% 30% 25% 8th Inning Ltd. is a group of parents that want to operate the concession stand with their children to provide them (children) with summer employment. At least one adult will be present all the time the stand is open. The group seems to be well organized with the ability to provide the service we need. RECOMMENDA TION I recommend the City Council approve awarding the concession agreement to 8th Inning Ltd. The Park and Recreation Commission endorsed this recommendation at its January 12th meeting. ACTION STEP . The action requested is that the City Council award the concession agreement to 8th Inning Ltd. and that the City Manager be authorized to sign the agreement. G D S: et attachments 8th Inning Ltd. Partners Name Address Phone Kevin Arthofer 2600 Windsor 582-4474 Donna McDonough 3723 Hillcrest Rd 582-7761 Rosanne & Steve Becker 653 Kane St 588-0562 Sue & Larry Bonert 3091 Kane Ct. 556-0347 Teresa & Bill Brahm 42 S Algona 583-9824 J eni & Mike F erring 5175 Saratoga Rd. 556-0892 Gayla & John Roarig 3086 Kane Ct. 582-4388 Julie & Tom Tressel 3082 Kane Ct. 588-3579 CONCESSION AGREEMENT FOR GERALD "RED" McAleece PARK AND RECREATION COMPLEX This agreement, made and entered into this ~ day ott:"\>{'d<>.r;;p-' 1999, by and between the City of Dubuque, Iowa, acting through the Park a d Recreation Commission, hereinafter called the "City", whose address for the purpose of this lease is 2200 Bunker Hill Road, Dubuque, Iowa, and 8th Inning LLC, hereinafter called the "Concessionaire", whose address for the purpose of this agreement is 3086 Kane Co.~rt (Gayla and John Roarig). WITNESSETH: WHEREAS, the City is engaged in the operation and maintenance of the public facility called Gerald "Red" McAleece Park and Recreation Complex and the City desires to engage a competent and qualified concessionaire to operate and manage the concession stand at the facility; and WHEREAS, The Concessionaire is desirous of procuring from the City the right to operate and manage 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 Gerald "Red" McAleece Park and Recreation Complex materially enhanced by granting an agreement to a reputable party who will provide certain services to the public patronizing the complex. 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 agreement for the privilege and obligation to operate the concession rights at the Gerald "Red" McAleece Park and Recreation Complex shall be for the period from April 1, 1999 through September 30, 2001 (three softball seasons). 2. PAYMENTS. Concessionaire shall pay to the City, through the Leisure Services Department, the sum of $13,500 per year or 30% percent of gross sales (excluding sales tax), whichever amount is greater, for each year that this agreement is in effect. Said fee shall be paid in monthly payments due by the 15th of the month, beginning with the second month of operation. 1 . 'J 3. FINANCIAL STATEMENTS. Concessionaire shall not later than the 15th of each month provide the City with a financial statement verifying all receipts from the operation of its business. In addition, Concessionaire shall make available to the City all its records regarding the operation of the business when so requested by the City. 4. LICENSES. Concessionaire shall obtain all licenses, permits, and other documents necessary to operate a food and beverage business, including beer sales, 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 by the Leisure ServiGes Manager without prior notice if it is deemed in the best interest of the City and by Concessionaire upon seven (7) days' written notice to the Leisure Services Manager. 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 right to provide certain services for the benefit and convenience of the public. The rights and obligation of the parties under this contract shall end with the effective day of the termination of this agreement except that the Concessionaire shall be responsible for any damages or losses attributable to his/her acts or those of his/her employees while operating the concession stand. 6. ASSIGNMENT OF AGREEMENT. Concessionaire shall not assign, sell, or in any way transfer the 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 beer, soft drinks, food, et cetera, such as are commonly found available at such places. Concessionaire shall obey all laws and regulations of the City of Dubuque and State of Iowa pertaining to the sales of said products, including dram shop insurance. The Concessionaire shall file a price list prior to April 14th for such items sold at the concession stand, with the Leisure Services Manager. These 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 shall not submit a price list to the Leisure Services Manager prior to April 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 the playing of all regularly scheduled, rescheduled, or tournament games. Closing shall not be later than fifteen minutes after the final game is concluded. The City reserves the right to prohibit beer sales during youth activities at the Gerald "Red" McAleece Park and Recreation Complex. The Concessionaire shall enforce the "no carry-in" rule for the area. The Concessionaire shall be responsible for locking all doors and gates in the area each night of operation. 2 8. MACHINERY AND EQUIPMENT. Concessionaire shall provide and maintain all machines and equipment necessary to operate its business at its sole expense. Structural changes to the building pertaining to equipment must be approved in writing by the Leisure Services Manager and done at Concessionaire's expense. When said equipment is removed, the building shall be restored to its original condition, at Concessionaire's expense. Storage shall be limited to the concession area. 9. ELECTRICITY AND WATER. City shall provide electricity and water to concession area for use by Concessionaire at City's sole expense. 10. BUILDING MAINTENANCE. City shall maintain concession building at its expense. However, Concessionaire shall be responsible for all damage done 'by employees of the Concessionaire. Concessionaire shall not alter the interior or exterior of the concession building without prior written consent of the City. 11. SIGN(S). Concessionaire, at his/her sole expense and with approval from the City, may erect suitable signs to inform the public of the products available for sale, and the prices. No signs will be hung on the outside of the concession building without approval from the Leisure Services Manager. 12. HOUSEKEEPING. Concessionaire shall be solely responsible for maintaining the concession business area and keeping the same in a clean and wholesome condition at all times. Concessionaire shall keep all garbage and refuse generated by his/her business neatly contained, including the concession portion of the building. The City shall be responsible for cleaning the rest room facilities and collecting refuse. 13. PERSONNEL IN CONCESSION AREA. Only employees of the Concessionaire or authorized personnel shall be permitted in the concession portion of the building. 14. REMOVAL OR ENCUMBRANCE OF CITY PROPERTY. Concessionaire shall not remove or encumber any property or equipment of City located in the concession building; 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 area at any time. 16. INSURANCE. Concessionaire shall provide such insurance as required by the following insurance schedule. Any policy of insurance or certificate of insurance required hereunder shall be with a carrier authorized to do business in Iowa and a carrier that has received a rating of A or better in the current Best's Rating Guide. Any policy of insurance required hereunder shall provide for a thirty (30) day notice to the City of any material change or cancelation of the policy prior to its expiration date. 3 Concessionaire shall have its insurance agent or company certify in writing that any policy of insurance required herein with an aggregate limit of liability has not been reduced by paid or reserved claims at the time of issuance of policy or certificate. Concessionaire shall furnish copies of the following policies to the City, with limits not less than the following, or greater if required by law, and shall also furnish certificates of insurance from all independent contractors or subcontractors hired by Concessionaire or any independent subcontractor, which certificates shall provide evidence of coverage for the following with limits not less than the following, or greater if required by law: COMMERCIAL GENERAL LIABILITY: General Aggregate Limit Products-Completed Operation Aggregate Limit Personal and Advertising Injury Limit Each Occurrence Limit Fire Damage Limit (anyone occurrence) Medical Payments $ 2,000,000 $ 1,000,000 $ 1,000,000 $ 1,000,000 $ 50,000 $ 5,000 OR Combined Single Limit Medical Payments $ 2,000,000 $ 5,000 Coverage is to include: occurrence form, premises/operations/products/ completed operations coverage, independent contractors' coverage, contractual liability, broad form property damage, personal injury, City of Dubuque named as an additional insured with thirty (30) days' written notice of change or cancelation. DRAM SHOP LIABILITY: Bodily Injury Property Damage Loss of Means of Support OR Combined Single Limit: x x x $ 1,000,000 City of Dubuque shall be listed as an additional insured with a thirty (30) day written notice of cancelation. 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, the Concessionaire shall provide at his own expense during the time the Concessionaire occupies the premises and throughout the term, Worker's Compensation or similar insurance affording the coverage and limits required by statute. The Concessionaire shall provide the City of Dubuque with evidence of such coverage. 4 .I 17 . INDEMNIFICATION. The 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 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. The 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 the hours of operation. Concessionaire's employees shall at all times reflect personal cleanliness. Unkempt and unclean employees will not be tolerated. Employees shall wear distinctive shirts, jackets, or smock and cap whenever working. 20. PERFORMANCE BOND. Concessionaire shall on or before April 14, 1999, execute to the 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 force and effect during the life of the agreement. Concessionaire shall pay all premiums chargeable 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 until thirty (30) days' written notice to that effect is given to the City and the Concessionaire herein. Said bond shall be in a form satisfactory to the City; and a duplicate copy, along with written evidence of payment of the required premium, shall be filed with the 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 building, the City at its option may proceed with rebuilding or repair of the building. During the period of rebuilding, Concessionaire shall have the option of continuing to operate its business from a temporary or mobile concession stand. FOR THE C]J]P[. . D~UBUQ.. F/ 11 f i; I !/,/1! / / /." ./""1-"! L- f' . l : I~,' / fYltf~~ ri..-- .) / FOR THE CONCESSIONAIRE '\t fka1~ 7~ cJ;:( cr \ o I~ Llc.. sog6 )C,ClNE- CI. VV 0Ufi) IJ~ d:. address 314~ ~~2-L-rs8g phone 5