HomeMy WebLinkAboutContract 26484 QTY SECRETARY
TRACT NO.
AMENDMENT NO. 2 TO
CITY SECRETARY CONTRACT NO. 23858
CITY OF FORT WORTH GOLF OPERATIONS
FOOD AND BEVERAGE AGREEMENT
WHEREAS, on the 11th day of May, 1998, the City of Fort Worth and PRP Food
Services, Inc. entered into an agreement whereby PRP Food Services, Inc. is to provide
food and beverage concessions at the Pecan Valley, Meadowbrook and Rockwood
Municipal Golf Courses, same being City of Fort Worth City Secretary Contract No.
23858, as amended on August 3, 1999 by City Secretary Contract No. 25216; and
WHEREAS, it was necessary to close the Pecan Valley "River" and
Meadowbrook Golf Courses in whole or in part, during construction; and
WHEREAS, the parties to City of Fort Worth City Secretary Contract No. 23858,
as amended by City Secretary Contract No. 25126, desire to amend the terms thereof to
address the effect of the improvements on the operations of the food and beverage
operation.
NOW, THEREFORE, KNOW ALL BY THESE PRESENTS:
The City of Fort Worth, acting herein by and through Libby Watson, its duly
authorized assistant city manager, hereinafter referred to as "City", and PRP Food
Services, Inc., acting herein by and through Phil Parker, its duly authorized President,
hereinafter referred to as "Contractor" do hereby agree as follows:
1.
Paragraph 3.10 of City Secretary Contract No. 25126 is hereby amended
to be and read as follows:
3.10 During renovation of Pecan Valley River Golf Course ("River"),
the Contractor shall continue to operate the snack shop at Pecan
Valley River Golf Course to serve remaining customers. For such
period of time as the "River" course is closed, Contractor, for and
in consideration of the use of the Facilities and the rights and
privileges granted hereunder, hereby covenants and agrees to pay
each month to the City, without notice and free from any and all
claims, deductions, or set-off against the City, the sum of$4,167 or
the combined gross sales of (10%) at Meadowbrook and
Rockwood Golf Courses, and five percent (5%) of gross sales at
Pecan Valley golf Course during those months the "River" course
remains closed, whichever is greater.
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Upon the reopening of the "River" course, the provisions of this
paragraph terminate and the terms and conditions under Paragraph
3.10 of the original contract, City Secretary Contract No. 25216,
shall be in force and effect.
2.
All other terms, conditions and covenants of City of Fort Worth City Secretary
Contract No. 23858, as amended by City Secretary Contract No. 25126, not expressly
amended herein remain in full force and effect.
Executed this the /0 day of G , 200 .
CITY F FORT WORTH PRP FOOD SERVICES, INC.
Libby Wat on Phil Parker, President
Assistant City Manager
ATTEST: ATTEST:
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Gloria Pears , City Secretary Corporate Secretary
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APPROVAL RECOMMENDED: APPROVED AS TO FORM AND
LEGALITY:
David Yett, City Attorney
ichard Zavala, Director Assistant Cit Attorney
arks and Community Services
-- _ 19460
Contract Authorisation
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Date
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City of Fort Worth, Texas
a ar Ani Council Communication
DATE REFERENCE NUMBER LOG NAME PAGE
12/19/00 **C-18400 1 80FOOD 1 of 2
SUBJECT EXECUTION OF CONTRACT AMENDMENT NO. 2 WITH PRP FOOD SERVICE, INC.
TO REDUCE THE PERCENTAGE OF GROSS SALES UNTIL PECAN VALLEY
"RIVER" GOLF COURSE REOPENS
RECOMMENDATION:
It is recommended that the City Council authorize the City Manager to execute an amendment with
PRP Food Service, Inc. to reduce the percentage of gross sales to the City from 10% to 5% at Pecan
Valley Golf Course until the "River' course reopens.
DISCUSSION:
On April 21, 1998 (M&C C-16735), the City Council authorized the City Manager to execute a five-year
agreement with PRP Food Service, Inc. (PRP), for the management and operation of the snack shops
at Rockwood, Pecan Valley and Meadowbrook golf courses. This was the result of a golf management
study, which recommended that one concessionaire specializing in food and beverage operations
operate the golf course snack shops.
On July 20, 1999 (M&C C-17535), the City Council authorized an amendment that reduced the
guaranteed minimum PRP paid to the City during golf course construction at Pecan Valley from
$60,000 to $50,004. The 10% of gross sales originally stated in the contract were retained.
During this past year, the Golf Division began renovations at the Pecan Valley "River" Golf Course.
However, the reopening of the golf course has been postponed due to weather, contractual change
orders, and the contractor's inability to establish viable turf. All these actions have prevented the
contractor from completing construction and grow-in of the golf course in a timely manner.
The closure of Pecan Valley's "River" course has significantly reduced revenues at Pecan Valley and
the snack shop has been operating at a loss. The proposed amendment retains the guaranteed
minimum as outlined in Amendment No. 1 at $50,004 for all golf courses, and keeps the 10% of gross
sales at Meadowbrook and Rockwood golf courses. The amendment does allow PRP to reduce the
percentage of gross sales at Pecan Valley from 10% to 5%, thus allowing PRP to better control their
cash flow in the Fort Worth golf course food service operations.
The proposed amendment would become effective upon execution and continue until Pecan Valley
"River" Golf Course reopens, tentatively scheduled for July 2001. Once the course reopens, the
provisions in this amendment would terminate and the original guaranteed minimums and percentages
would revert.
Both the Golf Advisory Committee and the Parks and Community Services Advisory Board endorsed
the proposed amendment at their regularly scheduled meetings on November 8 and 21, 2000,
respectively.
City of Fort Worth, Texas
"near andCommunication
Caun"R
DATE REFERENCE NUMBER LOG NAME PAGE
12/19/00 **C-18400 1 80FOOD 2 of 2
SUBJECT EXECUTION OF CONTRACT AMENDMENT NO. 2 WITH PRP FOOD SERVICE, INC.
TO REDUCE THE PERCENTAGE OF GROSS SALES UNTIL PECAN VALLEY
"RIVER" GOLF COURSE REOPENS
Meadowbrook Golf Course is located in COUNCIL DISTRICT 4.
Pecan Valley Golf Course is located in COUNCIL DISTRICT 3.
Rockwood Golf Course is located in COUNCIL DISTRICT 2.
FISCAL INFORMATION/CERTIFICATION:
The Finance Director certifies that the Parks and Community Services Department, Golf Division is
responsible for the collection and deposit of all revenues due to the City under this contract.
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Submitted for City Manager's FUND ACCOUNT CENTER AMOUNT CITY SECRETARY
Office by: (to)
APPROVED
Libby Watson 6183 CITY COUNCIL..
Originating Department Head:
DEC 19 2000
Richard Zavala 5704 (from)
Additional Information Contact: •
City Secrerar;of the
City of Fort Worth,Texas
Richard Zavala 5704