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HomeMy WebLinkAbout5.D.2. Approve Renewal of Tahpah Park Concession Agreement with Shakopee Jaycees I S:1\2., CITY OF SHAKOPEE . ..."'~ .. . .. '/- .- MEMORANDUM . CONSENT To: Mayor and City Council Mark McNeill, City Administrator From: Sherry Dvorak, Recreation Supervisor Meeting Date: April 18, 2006 Subject: Renewal of Tahpah Park Concession Stand Agreement INTRODUCTION City Council is asked to renew the concession stand agreement with the Shakopee Jaycees for operation of the concession stand at the Tahpah Park softball complex. BACKGROUND The City had an agreement with the Shakopee Jaycees to operate the Tahpah Park softball complex concession stand for the 2005 season. That agreement has since expired. Terms of the agreement specify that the Shakopee Jaycees are responsible for the overall operation of the concession stand, including staffing, inventory, food preparation and day-day-c1eaning and upkeep. The City's primary responsibility will be to maintain the building. The Jaycees would like to operate this facility in a way to help raise funds for future improvements to Tahpah Park. Commission payments to the City will be 10% of gross receipts. In lieu of the 2005 concession payment, the Shakopee Jaycees are donating $25,000 for the Tahpah Park Reconstruction Project. DISCUSSION Terms of the agreement (Attachment A) are similar to the past agreements for operation of Joe Schleper Stadium Concession and Ice Arena Concession stand. The agreement specifies that the concessionaire is responsible for the overall operation of the concession stands, including staffing, inventory, food preparation, liability, and day-to day cleaning and upkeep. I met with Ms. Kasey Block of the Shakopee Jaycees to discuss the details if the concession operations for 2006. As part of our discussion was how the concession stand would operate during for weekend tournaments. From May through July, Tahpah Park is used almost every weekend for some type of tournament. The tournament coordinators typically provide the concession service as part oftheir fundraising efforts. . The Jaycees are aware.of these tournaments.and will work with the tournament . , coordinators to coordinate the concessions for those tournaments. Tournament coordinators will ne.ed to communicate with the Jaycees to what extent they want the Jaycees involved. The Jaycees will 1) provide all concession services with a percentage going to the tournament coordinator or 2). allow the tournament coordinators to independently offer concessions. A meeting between currenttournament coordinators, Shakopee Jaycees and staff will be scheduled asto outline responsibilities of all parties. Finally, the Shakopee Jayceeswill be required to obtain the state-required food license they need to operate.the concession stand. Each organization that hosts a.tournament that would not be utilizing the Shakopee Jaycees for their concession operation would also need to obtain the state-required special event food licenses. Each organization would sign a hold-harmless agreement as part of their special use permit. This is consistent with the City's other concession stand agreements. v VISIONING RELATIONSHIP This action appears to meet the following aspects of the City's vision: Goal: Financially strong Strategies: Foster community.connections Ensure City's fiscal health RECOMMENDATION I recommend renewal of the agreement as proposed. REQUESTED ACTION If City Council concurs, mOve to authorize renewal of the agreement with the Shakopee Jaycees providing concession service at Tahpah Park throughJuly 31,2006. AttacIIHd A SHAKOPEEJAYCEES CONCESSIONS AGREEMENT 2006 This agreement, made and entered into this _ day of .. ' 2006, by and between the City of Shako pee, a Minnesota municipal corporation, located at 129 Holmes Street, Shakopee, in the County of Scott, State of Minnesota (hereinafter referred to as "CITY") and the Shakopee Jaycees, P.O. Box 133, Shakopee, in the County of Scott, State of Minnesota (hereinafter referred to as "ORGAN IZA TION"). WITNESSETH: Whereas the CITY is desirous of providing efficient concession services to patrons of the Tahpah Park Softball Complex; and Whereas the ORGANIZATION wishes to provide concession services at the Tahpah Park Softball Complex in order to raise funds for the ongoing support of the future improvements of Tahpah Park; and , Whereas the CITY desires todesignate at least a portion of the concessions earnings to go into the Park Reserve fund, which is used in part to fund future improvements at the liJ Tahpah Park SoftbalLComplex, which jsa benefit to the CITY; Now, therefore, in consideration of the promises, terms and conditions stated herein, the parties agree as follows: I. DUTIES AND RIGHTS OF ORGANIZATION A. The ORGANIZATION agrees to obtain and maintain all licenses and permits necessary to operate a concession stand asrequired by any and all governmental agencies. B. The ORGANIZATION agreesto provide full and complete services for the sales of food concessions at the Tahpah Park Softball Complex concession stand on the dates that adult softball plays its league games. The CITY may request to provide these services at additional times and the ORGANIZATION may meet those requests, jf given two weeks notice. C. The ORGANIZATION agrees to pay the CITY an amount equal toTen Percent (10%) .of the gross receipts. from concessions at the T ahpah Park Softball Complex. D. Payment shall be made annually, on or before October 15th of each year. E. The ORGANIZATION agrees to purchase and maintain all food goods, materials and supplies necessary for the concession stand. The ORGANIZATION may sell souvenirs and other hard goods not sold by the CITY, as approved by the CITY in writing. ORGANIZATION souvenirs and other hard good sales and beer sold in the concession stand under the licenses of a separate organization, shall not be subjecUothe commission specified in I.C., above. F. The.ORGANIZATION agrees to provide, maintain and repair equipment as necessary for the sale of concessions. The ORGANIZATION will be responsible for the cost of any losses resulting from spoilage of frozen or refrigerated foods due to a power outage or equipment failure. If equipment is needed, either in replacement of or addition to the existing equipment, the equipment must meet appropriate NSF standards. G. The ORGANIZATION agrees to provide all manager(s), supervisor(s) and attendant(s) and other personnel for its concessionoperations. The ORGANIZATION also agrees and understands that nothing contained herein creates or establishes the relationship of copartners between itself and the CITY and that it is an independent contractor and its officers, managers, supervisors, volunteers, attendants and other employees are not employees, agents or representatives of the CITY with respect to any services performed under this agreement. SLJchpersonnel or other personal associated with the ORGANIZATION shall not require nor be entitled to any compensation, rights or benefits of any kind whatsoever from the CITY, including, without limitation, tenure rights, medical and hospital care, sick and vacation leave, Worker's Compensation, Unemployment Compensation, disability or severance pay and PERA. H. The ORGANIZATION agrees to maintain an internal control system, which includes a Cash Report, on forms approved by the CITY. Such reports shall be submitted along with each annual remittance of the CITY's share of the gross receipts. In accordance with Minnesota Statutes 168.06, Subdivision 4, the ORGANIZATION further agrees to allow the CITY or the State Auditor or their agents to review, upon request, all records associated withthe performance of the agreement, including invoices for concession goods and supplies, all canceled checks for payment of such invoices, all inventory records, and to be presentat the taking of inventories, and to verify inventory shrinkage records. I. 'On or before October 15th .of each year, the ORGANIZATION shall provide the CITY with a.copy of the season's concession financial report prepared by the ORGANIZATION. J. The ORGANIZATION shall conduct its activities upon the premises so as not to endanger any person lawfully thereon; and shaH indemnify, save and hold harmless the CITY and all of its officers, agents and employees from any and all claims, losses, injured, damages and liabilities to persons or property occasioned wholly or in part by the acts or omissions of the ORGANIZATION, it agents, officers, employees, volunteers, patrons, or any persons associated with or served by the ORGANIZATION's concessions operations. K. The ORGANIZATION agrees to provide a certificate of insurance showing proof of general liability in the minimum amount of $1,000,000 per occurrence, and fire/property damage in the amount of $100,000 per occurrence. The required insurance certificate must name City of Shakopee, its officials, agents, employees, and volunteers as additional insured's. A copy of the certificate must be submitted to the City Clerk, and all pOlicies shall provide and the certificates issued evidence that the CITY will be notified at least 30 days prior to cancellation or modifications of coverage. Renewal certificates shall be provided to the CITY 30 days prior to the expiration date of coverage. All insurance must be provided at the ORGANIZATION's expense and at no costs to the CITY. L. The ORGANIZATION or the CITY may terminate this agreement upon thirty (30) days written notice to the other party. In the event of such termination by either party, the ORGANIZATION agrees to pay the CITY the full remittance owed as of the date of termination. M. The ORGANIZATION, agrees to comply with Minnesota Statutes 181.59 and other related state and federal laws prohibiting discrimination in performance of this agreement on the basis of race, color, creed, religion, national origin, sex, martial status, disability and status with regard to public assistance. age or familial status. The ORGANIZATION agrees to hold harmless and indemnify the CITY from costs including but not limited to damages, attorney fees and staff time in any action or proceeding alleging illegal discrimination. N. The ORGANIZATION agrees to comply with the Americans With Disabilities Act and not to discriminate on the basis of disability in the admission or access to, or treatment of employment in its services, programs, or activities. Upon request, accommodation will be provided to allow individuals with disabilities to participate in all services, programs, and activities. The CITY has designated coordinators to facilitate compliance with the Americans Disabilities Act of1990 (ADA), as required by Section 35.107 of the U.S. Department of Justice regulations, and to coordinate compliance with Section 504 of the Rehabilitation Act of 1973, as mandated by Section 8.53 of the U.S. Department of Housing and Urban Development regulations. The ORGANIZATION agrees to hold harmless and indemnify the CITY from costs including but not limited to damages, attorney fees and staff time in any action or proceeding alleging a violation of the ADA. O. The ORGANIZATION agrees to abide by all applicable State laws and requirements, including but not limited those of the Minnesota Department of Health. II. DUTIES AND RIGHTS OF THE CITY A. The CITY agrees to provide and maintain the concession stand building necessary for the sale of concessions for use by the ORGANIZATION. The CITY further agrees to provide storage for ORGANIZATION inventories, subject to the limitations of available space atthe Concession Stand. The CITY assumes no liability for lost, stolen or damaged merchandise or equipment left or stored in the Concession Stand. B. Should the building become unsuitable for the sales of concessions, due to vandalism, fire, weatherrelated events, etc, the CITY reserves the right to terminate this agreement. C. The CITY may immediately terminate this agreement in the event that the ORGANIZATION fails to perform its duties under this agreement. D. The CITY may terminate this agreement upon thirty (30) days written notice to the ORGANIZATION for any reason other than stated in II.B orll.C. III. JOINT DUTIES AND RIGHTS A. The ORGANIZATION and the CITY agree to work to develop a security plan for controlling access to the concession area. This plan will designate which ORGANIZATION personnel.will be issued keys to the concession stand. Individuals on this Iistmay not transfer their keys to other individuals without prior approval by the CITY. The plan will also designate which CITY staff have access to the concession area for conducting building maintenance, inspections, etc. B. The ORGANIZATION and the CITY agree that in the event a tournament sponsored by a local sports association or other organization is held in at the T ahpah Park during the terms of this agreement, that th.e ORGANIZATION will: 1) Provide all concession services with a percentage going to the tournament coordinator. The amount to be negotiated between the ORGANIZATION and tournament coordinator. 2) Allow the tournament coordinators to independently operate concession operations. The tournament coordinators would not have access to equipment, supplies and inventory that the ORGANIZATION owns. C. It is mutually understood and agreed that this Agreementrepresents the entire agreement between the parties and supersedes and all prior agreements or proposals, written or oral, and that no alternation, modification or addenda to the terms ofthis Agreement shall be valid unless made in writing and signed by the parties hereto. D. This Agreementshall commence upon execution by both parties, and shall terminate on July 31st, 2006, unless otherwise provided for as in Section (I). E. This Agreement shall not be assignable except by the written consent of the CITY. F. This Agreement shall be governed by the laws of the State of Minnesota. IN WITNESS WHEREOF, the parties have caused this Agreement to be executed by their proper officers, thereunto duly authorized, as of the day and year first above written. CITY OF SHAKOPEE SHAKOPEEJAYCEES ORGANIZATION Mayor President City Administrator City Clerk