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HomeMy WebLinkAboutContract 28959-A3A1 C1TY SF 'TAR CONTRACT to. ? FIRST AMENDMENT TO CITY SECRETARY CONTRACT NUMBER 28959-A3 AMENDED AND RESTATED LEASE AGREEMENT FOR PORTIONS OF ROCKWOOD PARK AND GOLF COURSE This FIRST AMENDMENT TO CITY SECRETARY CONTRACT NUMBER 28959-A3 ("First Amendment") is made and entered into by and between the City of Fort Worth, a home-rule municipal corporation of the State of Texas (the "City"), acting by and through its duly authorized Assistant City Manager, and the Fort Worth Junior Golf Foundation, Inc., dba The First Tee of Fort Worth (the "Foundation"), a Texas non-profit corporation acting by and through its duly authorized Executive Director. WHEREAS, the City owns Rockwood Park and Golf Course located at 1851 Jacksboro Highway, Fort Worth, Texas 76114; WHEREAS, the City and Foundation are parties to a Lease Agreement for portions of Rockwood Park and Golf Course ("RGC"), which allows the Foundation to use designated portions of RGC, including a Learning Center, for the operation of a youth development and education program, the same being Fort Worth City Secretary Contract No. 28959-A3 (the "Contract"); WHEREAS, the Foundation wishes to conduct sales of donated golf equipment and perform golf club repair services on Tract One — Learning Center Area of the leased premises to support and further its program goals; and WHEREAS, it is the mutual desire of the City and Foundation to amend the Contract to set forth the terms and conditions under which the Foundation will be permitted to conduct its sales and perform its repair and maintenance services on the lease premises. NOW, THEREFORE, the City and Foundation do mutually covenant and agree as follows: I. The second bolded and underscored subsection titled "Tract One" of Section 6 of the Contract titled "PERMITTED USE OF PREMISES AND RGC" is amended to add the terms and conditions under which the Foundation shall be permitted to conduct sales of donated golf equipment and perform golf club repair services on Tract One — Learning Center Area of the leased premises. The Tract One subsection of Section 6 is amended to add the following terms and conditions: "Equipment Sales. The Foundation may conduct sales of donated golf equipment at the Learning Center on dates and times approved by the Golf Director. The Foundation may sell any item that would not be in competition with the Rockwood Golf Shop, including, but not limited to, golf clubs, used golf balls, and used golf bags. The Foundation may not sell any new golf equipment OFFICIAL RECORD i i rrr SECRET TARP that has been donated by manufacturers that is less than two years older than the current model year. The Golf Director, in his/her sole discretion, shall determine whether an item to be sold is in competition with the Rockwood Golf Course. Upon notice by the Golf Director, the Foundation shall immediately desist from selling any such items deemed competitive. The Foundation shall record any and all sales with written sales receipts. Unless otherwise agreed to by the parties in writing, any and all signage related to the equipment sales, except those directly related to parking, must meet the following criteria: (1) signs must be affixed to and/or located inside the Learning Center; (2) signs cannot be larger than 24" x 24"; and (3) signs cannot be displayed any earlier than 72-hours prior to the date designated for the equipment sales. The Foundation shall not display any banners outside of the Learning Center. The Foundation may place parking signs in locations specifically designated by the Golf Director. The City shall not be responsible for any costs related to the signage. All signs must be approved by the Golf Director before being displayed. All equipment sales must take place inside the Learning Center, on the rear deck of the Learning Center, in the basement of the Learning Center, and/or underneath the deck area immediately outside the basement area of the Learning Center (which said area perimeter extends vertically from the above edges of the deck). Club Repair Services. The Foundation may perform golf club repair services at the Learning Center. All services to be performed hereunder must be recorded with the customer's name, date, and description of services performed and must be conducted inside the Learning Center. The Foundation shall record any and all sales with written sales receipts. Unless otherwise agreed to by the parties in writing, any and all signage related to the Foundation's club repair services must be located inside the Learning Center. The Foundation shall not display any banners outside of the Learning Center related to the services herein. The City shall not be responsible for any costs related to the signage. All signs must be approved by the Golf Director before being displayed. Notice. Either party to this First Amendment may terminate the rights granted herein with or without cause, by providing the other party with no less than thirty (30) days written notice prior to the intended termination date. This termination provision shall only affect the rights granted in this First Amendment, specifically the Equipment Sales and Club Repair Services and shall not, in any way, be construed so as to affect or supersede any termination or expiration provision currently existing within the Contract, specifically, Section 29 — Expiration and Termination, all of which shall remain in full force and effect. Improvement and Maintenance Fund. The Foundation shall maintain an improvement and maintenance fund ("Fund") equal to twenty-five percent (25%) of "gross receipts" from all equipment sales and club repair. For purposes of the Contract, "gross receipts" shall mean and includes the total amount of money received or to be received by the Foundation or by any agent, employee,or subcontractor of the Foundation from all sales,whether for cash or credit,whether collected or uncollected, made as a result of the rights granted under herein. Furthermore, "gross receipts" shall include all monies paid or to be paid by a purchaser of any services provided by the Foundation. It is agreed and understood that the following conditions shall apply to the administration and use of the Fund: a. All amounts paid into the Fund shall be placed into an account administered by the Foundation. b. All of the funds in the Fund shall be spent on items requested by the Golf Director, in his/her sole discretion. The Golf Director shall have final approval authority affecting all items purchased, including, but not limited to, brand, quality, provider, installer, company, and the like. The Foundation shall provide any items requested by the Golf Director on or before the date and time specified by the Golf Director. C. The Foundation shall provide a full accounting of the Fund to the City on a quarterly basis, which shall be based on a calendar year. The City also has the right to inspect all books and records related to the Fund or the account in which the same is kept. The Foundation shall provide to the City all requested records within five (5) working days after the City requests such documentation, unless otherwise agreed to by the parties in writing. d. Anything purchased from the Fund or improved or maintained from the Fund shall be and become the sole and absolute property of the City upon purchase unless installation is required. If installation is required, then ownership shall pass to the City upon final acceptance of the installed item(s) by the Golf Director. Final acceptance shall be in writing and deemed effective on the date Golf Director sends the written notice of final acceptance. If any warranties attach to anything purchased from the Fund, then the Foundation shall transfer those warranties to the City. If anything purchased from the Fund will require installation of any type, then the Foundation shall coordinate with the Golf Director, with the Golf Director reserving final approval authority over all things related to installation, including,but not limited to, date and time. e. Upon the expiration or other termination of the Contract or any rights granted herein, any and all amounts in the Fund shall become the exclusive property of the City without limitation of any kind. The Foundation shall pay all amounts remaining in the Fund to the City within thirty (30) calendar days after written demand from the City, along with a complete accounting of all funds to date. f. The Foundation acknowledges and agrees that it shall be solely responsible for paying all taxes assessed or imposed by any governmental entity in connection with the Fund or any expenditure therefrom." II. The sixth bolded and underscored subsection titled "Parking Lots" of Section 6 of the Contract titled "PERMITTED USE OF PREMISES AND RGC" is amended to address the parking situation for the designated equipment sales referenced in Section I of this First Amendment. The Parking Lots subsection of Section 6 is amended in whole to state the following: "The Foundation shall have a non-exclusive license to use the RGC parking lots in accordance with the terms of this paragraph. Foundation's full-time and regular part-time employees shall be permitted to park in the Lower Parking Lot. Except as otherwise provided, the Foundation shall use all reasonable efforts to ensure that all other individuals associated with the youth golf program (including, but not limited to, volunteers, contract instructors, and parents of the program participants), all customers attending each designated equipment sale, and all club repair customers park their vehicles in the Upper Parking Lot. Notwithstanding anything in this paragraph to the contrary, individual with a valid State-issued handicapped parking hang tag or license plates shall be permitted to park in any designated parking space." III. All terms and conditions of the Contract that are not expressly amended pursuant to this First Amendment shall remain in full force and effect. IV. All terms in this First Amendment that are capitalized but not defined shall have the meanings assigned to them in the Contract. [SIGNATURES APPEAR ON FOLLOWING PAGE] IN WITNESS WHEREOF, the parties hereto have executed this First Amendment in Fort Worth, Tarrant County, Texas, this day of ) 2012. CITY OF FORT WORTH FORT WORTH JUNIOR GOLF FOUNDATION, INC. By By: usan Alanis Kevm ong 6 Assistant City Manager Executive Director APPROVAL RECONTWNDED BY: Ric and Zavala, Director Par and Community Services Department APPROVED AS TO FORM AND LEGALITY Tyler F. allach Assistant City Attorney ,o411 ATV�o° °'�,��� 0 u OA 0 0., � J. Kayser j o0 00 4VO �w� ty Secretary �� �`0000000-ocy M&C C-24605 w M&C Review Page 1 of 2 Official site of the City of Fort Worth,Texas CITY COUNCIL AGENDA FORTWORTH COUNCIL ACTION: Approved on 11/16/2010 DATE: 11/16/2010 REFERENCE NO.: **C-24605 LOG NAME: 80FIRSTTEE2 CODE: C TYPE: CONSENT PUBLIC NO HEARING: SUBJECT: Authorize Execution of Amended and Restated Lease Agreement with the Fort Worth Junior Golf Foundation, Inc., d/b/a The First Tee of Fort Worth, for Portions of Rockwood Park and Golf Course for the Development, Construction and Operation of a Youth Golf Practice Facility/Leaming Center(COUNCIL DISTRICTS 2 and 7) RECOMMENDATION: It is recommended that the City Council authorize the City Manager to execute an amended and restated lease agreement with the Fort Worth Junior Golf Foundation, Inc., d/b/a The First Tee of Fort Worth, for portions of Rockwood Park and Golf Course for the development, construction and operation of a youth golf practice facility/learning center. DISCUSSION: Since 2003, portions of Rockwood Park and Golf Course have been leased to the local chapter of The First Tee program for purposes of developing, constructing and operating a youth golf practice facility/learning center(City Secretary Contract Nos. 28959, 33818 and 35314). The First Tee was founded in 1997 as a national initiative of the World Golf Foundation, Inc., with a mission "to impact the lives of young people by providing learning facilities and educational programs that promote character-development and life-enhancing values through the game of golf." Since its inception, The First Tee program has impacted over 750,000 young people nationwide. The First Tee of Fort Worth (TFTFW)currently has over 2,500 enrollees in their program and comes into contact with more than 12,000 children annually through community outreach programs and local schools. TFTFW and many other local groups require a central place to teach people how to play golf. Since the current lease was executed in 2003, TFTFW has paid for the cost of developing and constructing a driving range at Rockwood Park and Golf Course and has been working to raise funds for the development, construction and operation of a youth golf practice facility/learning center. Thanks to recent donations, TFTFW is prepared to begin construction in the next few months with a goal of completing the project by the middle of next year. TFTFW is currently in the process of finalizing financial arrangements for the construction and has requested that the City agree to revise the current lease to address concerns raised by TFTFW's financial institution. Because the current lease has already undergone two amendments, staff is recommending that a new amended and restated lease be authorized. The main terms of the proposed agreement are: 1. A twenty year lease period with a 20 year renewal option; 2. $1.00 per year monetary consideration plus in-kind consideration in the form of operation of a golf education and development program to provide young people of all backgrounds an opportunity to develop life-enhancing values such as confidence, perseverance, and judgment through golf and character education; 3. Use of an identified tract consisting of approximately 1/2 acre adjacent to existing Rockwood Golf Course Clubhouse for construction of the learning center: http://apps.cfwnet.org/council_packet/mc—review.asp?ID=l 4406&councildate=11/16/20 10 8/28/2012 M&C Review Page 2 of 2 4. All construction costs of learning center to be paid by TFTFW; 5. Annual operating expenses of learning center to be paid by TFTFW with exception of water and sewer costs which will be paid for by the City; 6. TFTFW to install an eight inch water line to provide fire protection and potable water in a sufficient quantity to serve the new Rockwood clubhouse if and when it is built as well as TFTFW learning center; 7. City's Golf Fund to reimburse TFTFW for one-half of the cost of initial installation of the water line when construction begins on the new Rockwood clubhouse; 8. TFTFW to have use of one-half of the hitting stations on the driving range during scheduled class times with other stations remaining open to the public; 9. City to proceed with plans to develop and construct practice holes on a portion of the old Trinity Nine course and to provide TFTFW a discount of at least 25 percent off of the lowest offered rate for use of the practice holes after they are constructed; 10. If the agreement is terminated by the City prior to the end of the initial 20-year term, the City would pay TFTFW the fair market value of the building based on an independent appraisal. If the agreement is not renewed or is terminated during the second 20-year term, the City would pay TFTFW the cost of the building's construction less straight-line depreciation calculated on a 40-year period. Rockwood Park and Golf Course is located in COUNCIL DISTRICTS 2 and 7 serving all citizens. FISCAL INFORMATION/CERTIFICATION: The Financial Management Services Director certifies that the Parks and Community Services Department is responsible for the collection and deposit of funds due to the City. TO Fund/Account/Centers FROM Fund/Account/Centers Submitted for City Manager's Office by- Susan Alanis(8180) Originating Department Head: Richard Zavala (5704) Additional Information Contact: Nancy Bunton (5717) ATTACHMENTS http://apps.cfwnet.org/council_packet/mc review.asp?ID=14406&councildate=l1/16/2010 8/28/2012