Bunker Hill Golf Operating Agreement with G.M.S. Inc.
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CITY OF DUBUQUE, IOWA
MEMORANDUM
January 26, 1999
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT:
Approval of Bunker Hill Golf Operating Agreement with G.M.S., Inc.
(George Stephenson, Golf Professional)
Leisure Services Manager Gil Spence is recommending that the City enter into an
operating agreement with G.M.S., Inc., (George Stephenson, Golf Professional) for
the period March 1, 1999, through December 31, 1999. This will be the thirteenth
operating agreement with Mr. Stephenson as the golf professional for Bunker Hill
Golf Course.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
Michael C. Van Milligen
MCVM/j
Attachment
cc: Barry Lindahl, Corporation Counsel
Tim Moerman, Assistant City Manager
Gil Spence, Leisure Services Manager
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CITY OF DUBUQUE, IOWA
MEMORANDUM
January 22, 1999
TO: Michael C. Van Milligen, City Manager
FROM: Gil D. Spence, Leisure Services Manager
SUBJECT: Approval of Bunker Hill Golf Course operating agreement with
G.M.S., Inc (George Stephenson, golf professional)
INTRODUCTION
The purpose of this memorandum is to recommend that the City Council enter into
an operating agreement with G.M.S., Inc. (George Stephenson, golf professional)
for the Bunker Hill Golf Course, for the period of March 1, 1999, through December
31, 1999.
DISCUSSION
The attached agreement is similar to the form that has been used for the fifteen
years there has been a written agreement. Mr. Stephenson has been the Bunker
Hill golf professional for twelve seasons, so this will be his thirteenth operating
agreement.
A few items of note in the agreement include that the agreement
.; increases the pro's compensation from $10,500 to $10,700; and
.; returns to the City ten percent of the gross receipts of motorized cart rental and
restaurant and vending machine concessions. This is estimated to be $20,000
for the season.
ACTION STEP
The action requested is for the City Council to approve the operating agreement
with G.M.S., Inc. and authorize you to sign it.
G D S: et
attachment
.
CITY OF DUBUQUE, IOWA
MEMORANDUM
January 26, 1999
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT:
Approval of Bunker Hill Golf Operating Agreement with G.M.S., Inc.
(George Stephenson, Golf Professional)
.
Leisure Services Manager Gil Spence is recommending that the City enter into an
operating agreement with G.M.S., Inc., (George Stephenson, Golf Professional) for
the period March 1, 1999, through December 31, 1999. This will be the thirteenth
operating agreement with Mr. Stephenson as the golf professional for Bunker Hill
Golf Course.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
rnJJ ~;JjfJL
M'ichael 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 22, 1999
TO: Michael C. Van Milligen, City Manager
FROM: Gil D. Spence, Leisure Services Manager
SUBJECT: Approval of Bunker Hill Golf Course operating agreement with
G.M.S., Inc (George Stephenson, golf professional)
INTRODUCTION
.
The purpose of this memorandum is to recommend that the City Council enter into
an operating agreement with G.M.S., Inc. (George Stephenson, golf professional)
for the Bunker Hill Golf Course, for the period of March 1, 1999, through December
31,1999.
DISCUSSION
The attached agreement is similar to the form that has been used for the fifteen
years there has been a written agreement. Mr. Stephenson has been the Bunker
Hill golf professional for twelve seasons, so this will be his thirteenth operating
agreement.
A few items of note in the agreement include that the agreement
J increases the pro's compensation from $10,500 to $10,700; and
J returns to the City ten percent of the gross receipts of motorized cart rental and
restaurant and vending machine concessions. This is estimated to be $20,000
for the season.
ACTION STEP
.
The action requested is for the City Council to approve the operating agreement
with G.M.S., Inc. and authorize you to sign it.
G D S: et
attachment
.
.
.
OPERATING AGREEMENT FOR BUNKER HILL GOLF COURSE
between
THE CITY OF DUBUQUE
and
G.M.S., INC. (George Stephenson)
THIS Agreement, executed in duplicate, made and entered into this 1 st day of
March, 1999, by and between the City of Dubuque, Iowa, hereinafter called the
"City", whose address for the purpose of this Lease is 2200 Bunker Hill
Road,Dubuque, Iowa, and G.M.S., Inc. (George Stephenson), hereinafter called
"Golf Pro", whose address for the purpose of this Lease is Bunker Hill Golf
Course, 2200 Bunker Hill Road, Dubuque, Iowa.
WITNESSETH:
WHEREAS, the City is engaged in the operation and maintenance of the public
facility called Bunker Hill Golf Course and the City desires to engage a competent and
qualified golf professional to operate, manage, and provide certain services at Bunker
Hill Golf Course; and
WHEREAS, the Golf Pro is desirous of procuring from the City the right to
operate and provide the services and is a competent and qualified golf professional
willing and able to manage the said golf course and qualified to provide the requisite
services associated therewith; and
WHEREAS, the public interest and welfare will be served and the facilities of
Bunker Hill Golf Course materially enhanced by the City entering into this Agreement
with the Golf Pro who will provide certain services to the public patronizing the golf
course.
NOW, THEREFORE, in consideration of the mutual covenants, promises and
agreements hereinafter set forth, it is agreed by and between the parties hereto as
follows:
Section 1, TERM OF AGREEMENT.
The City grants to the Golf Pro for a period of one year beginning March 1,
1999, and ending December 31, 1999, the exclusive privilege and obligation to
operate the Bunker Hill Golf Course, including the following exclusive rights, privileges
and obligations:
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(a.) To operate concession rights at the pro shop and snack bar;
(b.) To teach and give golf lessons for compensation;
(c.) To rent and operate golf carts and equipment;
(d.) To sell golf clothing and golf equipment, including balls;
(e.) To sell food and soft drinks, and to sell beer, in accordance with the City
of Dubuque Code of Ordinances and Iowa Code.
The concession building at the Golf Course shall be provided to the Golf Pro for
his use in operating the concessions. The City shall furnish the building with all
existing fixtures and shelves, and pay the cost of an alarm system for the pro shop,
with fifty percent of the alarm cost being reimbursed by the Golf Pro to the City.
Section 2, DUTIES OF GOLF PRO.
The Golf Pro shall provide the following services:
(a.) Scheduling and supervising play at the Bunker Hill Golf Course;
(b.) Employing attendants to sell golf tickets, season passes, permanent tee
times and tournament fees to golfers all at the expense of the Golf Pro.
The attendants shall be on duty continuously during golfing hours on all
weekdays, Saturdays, Sundays and holidays during the golfing season;
(c.) Operating and maintaining on the premises a concession room for the
sale of soft drinks, confections, beer and food, consistent with the laws
and regulations of the City of Dubuque and the State of Iowa. The Golf
Pro shall file a price list prior to April 1 st for such items sold at the
concession room, with the Leisure Services Manager, and such prices
shall be in effect unless the Leisure Services Manager is notified in
writing that a price change is requested. Such prices as filed with and
approved by the Leisure Services Manager shall take effect five (5) days
after written notification of approval by the Leisure Services Manager.
In the event that the Golf Pro shall not submit a price list to the Leisure
Services Manager prior to the beginning of the golfing season, the prices
of the previous season shall prevail until a new price list is filed and
approved. It is understood and agreed that the Golf Pro shall handle a
general line of beer, soft drinks, food, etc., such as are commonly found
available to similar places. The concession room shall be open and
available to the public at reasonable times and hours each day during the
golfing season. Evening closing shall not be later than 11 :00 p.m., unless
reserved for special times.
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(d.) Providing a sufficient number of motorized golf carts to meet the needs
. of the public, and keeping the carts in a clean and operating condition.
No permit shall be required for such carts.
(1) The Golf Pro shall not rent any motorized golf cart to any person
not holding a validly issued motor operator's license.
(2) The City shall furnish the existing storage building for the golf
carts; the building shall be maintained by the Golf Pro during the
season of play.
(3) The Golf Pro shall not permit more than two (2) persons to occupy
any motorized golf cart.
(4) The Golf Pro agrees to provide and pay for printing liability release
forms used to relieve the City and the Golf Pro of liability for the
operation of said golf carts. Each golf cart operator shall sign said
form prior to operating a cart.
(5) The Golf Pro shall inform the Leisure Services Manager in writing
of all fees to be charged for renting motorized golf carts.
. (e.) Collecting for the City all green fees, permanent tee time fees, season
pass fees and tournament fees and remitting the same to the City in
accordance with policies adopted by the City.
(L) Making a true and accurate accounting of all green fees, season pass
fees, permanent tee time fees, and tournament fees collected and
accounting for all tickets, etc., issued by him for sale on a daily basis.
The Golf Pro expressly covenants and agrees to provide a place of safety
to keep and lock up any money collected for or on behalf of the City.
The Golf Pro shall be responsible for the loss of any money collected and
for any property belonging to the City, and for the failure of the Golf Pro
or his employees to fully, truly and accurately account any money
collected for the City. The Golf Pro shall also be liable and account for
all golf tickets, season passes, permanent tee time fees and tournament
fees issued to him for sale at the golf course.
.
(g.) Cooperating with City employees who have the obligation of maintaining
the golf course. The Golf Pro shall keep the premises and the area
contiguous to the building in a tidy and presentable condition at all times.
The Golf Pro shall use reasonable diligence to clean any other area where
refuse accumulates from or is caused by the concession operation. The
City agrees to cooperate in both the cleanup and hauling away of all
trash.
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(h.) Keeping accurate books and records of the golf pro shop operation, the
golf lessons given, the concession room, and motorized cart rentals. Said
books and related banking records shall be made available, at reasonable
hours and upon reasonable notice, for inspection and audit by the City.
Section 3, INDEPENDENT CONTRACTOR RELATIONSHIP; COMPENSATION.
The relationship between the City and the Golf Pro shall be one of independent
contractor and not one of employer and employee. As such, it is agreed that the
compensation of the Golf Pro shall be as follows:
(a.) A total of ten thousand seven hundred ($10,700.00) to be paid by the
City to the Golf Pro in biweekly installments for the period from March
1, 1999 to December 31, 1999, beginning on the 1 st day of March,
1999.
(b.) All income from concessions, sale of merchandise at the pro shop, golf
instruction, pull cart and golf club rental, and motorized golf cart rental,
less a return to the City of ten percent (10%) of the gross receipts of
motorized golf cart rental and restaurant and vending machine
concessions, to be paid to the City on December 31, 1 999, or when this
agreement is terminated, if prior to December 31, 1999. Monthly
statements shall be provided by the Golf Pro to the City, throughout the
1999 season, beginning May 1, 1999.
Section 4, GOLF PRO'S PROFESSIONAL ACTIVITIES.
The City shall permit the Golf Pro, subject to the prior approval of the Leisure
Services Manager, reasonable time for participation in golf tournaments and other
professional activities such as schools and seminars, which are necessary to maintain
and improve his professional status. It shall be a condition of this Agreement that the
Golf Pro shall remain a class "A" P.G.A. member.
Section 5, UTILITIES.
The City shall furnish and pay for all utilities incurred in the use and operation
of the facilities referred to in this Agreement, other than those for the golf cart
building. The Golf Pro shall pay for all toll telephone calls, for recharging all electrical
golf carts if electric golf carts are used, and for gasoline if gas golf carts are used.
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Section 6, SUPPLIES AND EQUIPMENT.
The Golf Pro shall be responsible for purchasing at his own expense all supplies
and equipment used in the pro shop, concession area and motorized cart concessions,
and shall not make such purchases with nor pledge the credit of the City.
Section 7 , ATTENDANTS AND OTHER EMPLOYEES.
The Golf Pro shall hire, at the City's expense, supervise and schedule rangers
to assist at the golf course during times of increased play, as golf activity budget
allows.
The Golf Pro shall hire, supervise and schedule, and be responsible for the
salaries, benefits, insurance, premiums for workers' compensation, social security, all
income tax deductions and any other taxes or payroll deductions required by law for
the following employees:
(a.) attendants for the sale of golf tickets and season passes;
(b.) employees necessary for the efficient operation of the club house and the
pro shop; and
(c.) additional employees required by the Golf Pro for the operation of said
golf course.
Section 8, REPAIRS, REMODELING.
The Golf Pro shall not repair, construct, remodel, or reconstruct any part of the
building without the prior written permission of the Leisure Services Manager.
Neither the Golf Pro nor anyone claiming by, through or under him shall have the
right to file, place or permit any mechanic's lien or any other lien of any kind or
character whatsoever, upon said premises, or upon any building or improvement
thereof, and notice is hereby given that no contractor, subcontractor or anyone else
who may furnish any material, service or labor for any building, improvements,
alterations, repairs or any part thereof shall at any time be or become entitled to any
lien thereon, and for the further security of the City, the Golf Pro covenants and agrees
to give actual notice of this paragraph in advance to any and all contractors and
subcontractors who may furnish or agree to furnish any material, service, or labor.
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Section 9, TOURNAMENTS.
The Golf Pro shall be responsible for organizing and conducting at least three
junior, three women's and three men's tournaments during the term of this Agreement.
The tournaments shall be designed to promote the use of the Bunker Hill Golf Course
and shall be approved by the Leisure Services Manager.
Section 10, SUPERVISION OF PREMISES.
The Golf Pro shall conduct the concession in a clean and creditable manner. He
shall keep the premises (snack bar, pro shop, rest rooms, pro office, storage areas) and
the area adjacent to the building in a tidy and presentable condition at all times. The
Golf Pro shall thoroughly clean the premises and all equipment and remove products
to proper storage, within seven (7) days of the golf course closing. The Golf Pro shall
use his best efforts to prohibit any unlawful or disorderly conduct on the premises, and
he shall assist the City in enforcing all the rules and regulations of the City Board of
Health.
Section 11, PERSONAL PROPERTY.
All personal property on the premises covered by this Agreement shall be
maintained at the risk of the Golf Pro only, and the City shall not be liable for any
damage, either to person or property, sustained by the Golf Pro or other persons, due
to any condition of the premises or any part or appurtenance thereof, or the machinery
or appliance used in connection therewith becoming out of repair or in defective
condition.
Section 12, INDEMNITY.
The Golf Pro shall indemnify, hold harmless, and defend the City of Dubuque
from and against all claims, damages, losses and expenses, including attorney fees
arising out of this Agreement.
Section 13, INSURANCE.
Golf Pro 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.
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Golf Pro 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.
Golf Pro 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 Golf Pro 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 Golf Pro's business is such as to place any or all of its
employees under the coverage of Worker's Compensation or similar statutes, the Golf
Pro shall provide at his own expense during the time the Golf Pro occupies the
premises and throughout the term, Worker's Compensation or similar insurance
affording the coverage and limits required by statute. The Golf Pro shall provide the
City of Dubuque with evidence of such coverage.
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Section 16, LETTER OF CREDIT.
The Golf Pro shall provide the City with a thirty thousand dollar ($30,000.00)
letter of credit from a Dubuque bank, to secure the performance by the Golf Pro of all
of the obligations of this Agreement. If the Golf Pro shall become insolvent or be
declared bankrupt or such premises shall come into the possession of any receiver,
trustee, or other officer or assignee acting under a court order, and the same not be
dissolved within fifteen (15) days thereafter, then the City shall have the right to
terminate this Agreement; and in the event that the City shall not exercise such right,
the City may accept rent from such receiver, trustee or officer in possession thereof,
for the term of such lease, without impairing or affecting in any way the right of the
City against the Golf Pro under this Agreement.
Section 17, NONASSIGNABILlTY.
The Golf Pro shall not transfer or assign this Agreement or any of the privileges
or premises herein without the written consent of the City. Each and every covenant
and agreement herein contained shall extend to and be binding upon the respective
successors, heirs, administrators, executors and assigns of the parties hereto.
Section 18, TAXES.
The Golf Pro shall timely pay all taxes, assessments, or other public charges
levied or assessed by lawful authority (but reasonably preserving the Golf Pro's right
of appeal) against the personal property of the Golf Pro on the premises during the
term of this Agreement. In addition, the Golf Pro shall pay any and all sales tax that
may be levied on any of the services provided under this Agreement.
Section 19, RIGHTS AND REMEDIES OF PARTIES.
The various rights, powers, options, elections and remedies of either party
provided in this Agreement shall be construed as cumulative and no one of them as
exclusive of the others, or exclusive of any rights, remedies or priorities allowed either
party by law, and shall in no way affect or impair the right of either party to pursue
any other equitable or legal remedy to which either party may be entitled, as long as
any default remains in any way unremedied, unsatisfied or undischarged.
Section 20, MODIFICATION OF AGREEMENT.
None of the covenants, provisions, terms or conditions of this Agreement to be
kept or performed by the City or the Golf Pro shall be in any manner modified, waived
or abandoned, except by a written instrument duly signed by the parties and delivered
to the City and the Golf Pro. This Agreement contains the whole agreement of the
parties.
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Section 21, TERMINATION OF AGREEMENT.
This Agreement may be terminated by the City for any reason upon three (3)
days' written notice to the Golf Pro. The Golf Pro may give notice of intent to
terminate this Agreement for violation of the Agreement by giving the City written
notice. If the City fails to correct said violation within thirty (30) days thereafter, this
Agreement shall be deemed terminated. Upon termination of this Agreement, the Golf
Pro agrees within thirty (30) days of the date of the notice of termination to vacate
and surrender the portion of the building allocated to him for the operation of the
Agreement and to remove his personal property therefrom, and to deliver possession
of the same to the City, in as good condition as said premises are now in or hereafter
may be placed, unavoidable wear through careful use and damage by fire or other
casualty beyond the control of the Golf Pro excepted. All equipment and other property
of the City on the premises shall remain the property of the City after the termination
of the Agreement. Any inventory of City properties shall be performed before release.
It is expressly understood and agreed that this Agreement is not a lease or a
conveyance of realty, but is merely granting the right to conduct certain activities and
to provide certain services for the benefit and convenience of the public. The rights
and obligations of the parties under this Agreement shall end with the effective day
of the termination of this Agreement except that the Golf Pro shall be responsible for
any damages or losses attributable to his acts or those of his employees while in
possession of the premises.
Section 22, SUPERVISION BY LEISURE SERVICES MANAGER.
The Leisure Services Manager and the Golf Pro shall cooperate each with the
other to promote the most efficient use of the golf course. The Golf Pro shall report
directly to the Leisure Services Manager, or such other person as may be specified by
the Leisure Services Manager of the City of Dubuque, Iowa.
IN WITNESS WHEREOF, the parties have executed this Agreement as of the day
and year first above written.
WITNESSETI-f\
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