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HomeMy WebLinkAboutContract 36692-A1 CITY ON RACTENO`` STATE OF TEXAS § COUNTY OF TEXAS § CITY SECRETARY CONTRACT NO. 36692 WHEREAS, the City of Fort Worth ("City") and C.H. Johnson Consulting, Inc. ("Consultant") made and entered into City of Fort Worth City Secretary Contract No. 36692, ("Contract"); and WHEREAS, the Contract involves professional services for the following project: Gateway Park Amphitheater Feasibility Study; and WHEREAS, it has become necessary to amend the Contract to include an increased scope of work and/or revised maximum fee. NOW, THEREFORE, City and Consultant, acting herein by and through their duly authorized representatives, enter into the following agreement which amends the contract: 1. Article I, Section 1 of the Contract is amended to change the following feasibility study services: • An economic impact report will be added to the feasibility study services • The third party operator solicitation and negotiation will be eliminated from the feasibility study services • One of the two community workshops as part of the project orientation and stakeholder input component will be eliminated from the feasibility study services Further detail regarding these services is specified in a letter dated December 10, 2008, a copy of which is attached hereto and incorporated herein. 2. Article III of the Contract is amended to provide for a decrease in the maximum fee in the amount of 6,660, which is to be paid to Consultant for all work and services under the Contract, as amended, so that the total fee to be paid by City for all work and services shall not exceed the sum of 67,515. 3. _. O' C CC `f kZ-C ETARY GTU,:-'-c`0RTH,TX L .__..- __-__ . 01 -23-09 P12: 01 IN All other provisions of the Contract that are not expressly amended herein shall remain in full force and effect. Executed on this the day of �P(UW , 2". ATTEST: CITY OF FORT WORTH A, Marty Hendrix W. Daniels City Secretary Assistant City Manager _C �GQ2TI Contract Authori zatiox Tihsard Zavala, Director (—�) Ia'Iog, and Community Services Date Department APPROVED AS T CONSULTANT: C.H. Johnson Consulting, Inc. By: � Id, J�- Assistant VA04mey Name: CHAPw-LE--, �Q0P's Title: (Company Address) P„ EAu7 Rot,) `sr. -so() Cif-hco rV �oa�o3 r . �y C.H. JOHNSON CONSULTING, INC. EXPERTS IN CONVENTION,SPORT AND REAL ESTATE CONSULTING December 10,2008 Mr. Randle Harwood City of Fort Worth 1000 Throckmorton Street Fort Worth,TX 76102 Re: Economic Impact Dear Mr.Harwood: C.H.Johnson Consulting(Johnson Consulting)is pleased to provide the City of Fort Worth with the following scope of services/change order associated with the work we have previously done for the City of Fort Worth on a proposed amphitheater in Gateway Park. It is our understanding that the City would like to see the economic and fiscal impacts regarding the amphitheater in order to determine the overall benefits associated with the project. The impact will provide an overview and detailed analysis of the increased spending and employment to the area, as well as the increase in taxes. Our scope of work/change order will include the following: ■ To revise the Fort Worth report to show the economic and fiscals impacts of the amphitheater, ■ To examine the direct spending, "ripple" spending, increased employment increase in taxes that will result from visitors to the area, ■ To re-issue the Fort Worth Amphitheater report to the City of Fort Worth, reflecting the economic and fiscal impact and final round of edits to the report and, ■ Issuing a full revised report discussing the economic and fiscal impacts. In addition we will eliminate the following tasks from our original scope of work: ■ Third Party Operator Recruitment(all of Task 8 at a cost of$12,000) ■ One of the two workshops with community stakeholders (one component of Task 1 at a cost of$3,000) 6 East Monroe St.•5"'Floor•Chicago,Illinois 60603•Phone:312,444.1031 •Fax 312.444.1125 www.chjc.com.info@chjc.com C.H. JOHNSON CONSULTING, INC. EXPERTS IN CONVENTION,SPORT AND REAL ESTATE CONSULTING SCHEDULE We will endeavor to complete our work in three weeks. FEES The cost of the services detailed above is calculated at our standard hourly rates, as noted below. Johnson Consulting Hourly Rate Schedule 2007-2008 Hourly Rates Principal/President $315 Senior Consultant/Project Director $250-$280 Project Consultant $175-$225 Support $75 We propose to complete the economic impact study for a fee amount of $8,340 as detailed below. Cost of Economic Impact Study Hours Rate Total Principal/President 4 $315 $1,260 Senior Consultant/Project Director 15 $250 $3,750 Project Consultant 18 $185 $3,330 Total Cost of Economic Impact $8,340 With prior approval from the City of Fort Worth,expenses will be billed in addition to fees, as incurred. Out-of-pocket expenses will be billed in addition to fees at 1.1 times cost. Such expenses will be incurred for direct out-of-pocket costs such as report reproduction,telephone and messenger service,and business class travel and lodging, etc. We will also bill a $7 per hour charge for indirect costs such as telephone,fax,computer time,report preparation and production,etc. The costs associated with third party operator recruitment ($12,000) and one workshop ($3,000) will be eliminated from the overall cost of the study. With the addition of the economic impact study and the elimination of the third party operator recruitment and one workshop, the new total cost for the feasibility study will be$67,515. This work would serve as a change order to our existing contract with the City. 6 East Monroe St.-5"'Floor-Chicago, Illinois 60603-Phone:312.444.1031 -Fax 312.444.1125 www.chjc.com-info@chjc.com C.H. JOHNSON CONSULTING, INC. EXPERTS IN CONVENTION,SPORT AND REAL ESTATE CONSULTING Sincerely, C.H.Johnson Consulting,Inc. C" CHARLES H.JOHNSON IV PRESIDENT AUTHORIZATION TO PROCEED Signature: Name: Title: Date: If you wish to wire payments,our wire information is provided below. Bank:ChaseBank ABA#: 071000013 Acct. #: 840714364 6 East Monroe St.•5`"Floor•Chicago,Illinois 60603•Phone:312.444.1031 •Fax 312.444.1125 www.chjc.com•info@chjc.com City of Fort Worth, Texas Mayor and Council Communication COUNCIL ACTION: Approved on 2/12/2008 - Ord. No. 17985-02-2008 DATE: Tuesday, February 12, 2008 LOG NAME: 02AMPHITHEATER �' EFERENCE NO.- -22669 SUBJECT: Authorize the City Manager to Execute an Agreement with C. . Joh son Consulting, Inc., for a Feasibility Study Pertinent to the Development of an Amphitheater in Gateway Park and Authorize the Transfer from Gas Well Bonus Revenue to the Park Gas Lease Project Fund and Adopt Appropriation Ordinance RECOMMENDATION: It is recommended that the City Council: 1. Approve the transfer of$74,175 from Gateway Gas Well Bonus Revenue to the Park Gas Lease Project Fund to fund the feasibility study at Gateway Park; 2. Adopt the attached appropriation ordinance increasing estimated receipts and appropriations by $74,175 in the Park Gas Lease Project Fund from Gateway Gas Well Bonus Revenue; and 3. Authorize the City Manager to execute an agreement with C.H. Johnson Consulting, Inc., for a feasibility study pertinent to the development of an amphitheater in Gateway Park at a total cost of$74,175. DISCUSSION: On May 14, 2002, (M&C G-13624) the City Council adopted the Gateway Park Master Plan, covering the future plans for the 503.8 acre park. Included in the Master Plan is a proposed amphitheater complex. In public meetings regarding the future plans for the park, the public has indicated that the development of an amphitheater complex is one of their top priorities. In response to this demand, a Request for Qualifications/Request for Proposals (RFQ/RFP) was issued on June 19, 2007. Proposals were received from interested consulting firms on July 27, 2007. A staff committee was formed, consisting of representatives from the City Manager's Office, the Parks and Community Services Department, Economic Development, and Public Facilities and Events. On September 4, 2007, the Committee met to review each of the proposals. Scores were compiled for each proposal reflecting how well each addressed the criteria given in the RFQ/RFP. The top three firms were then notified of their placement on the short list and interviewed on October 16, 2007. The three participating firms were scored by the Committee, and the highest scoring firm, C.H. Johnson Consulting, Inc., was recommended by the Committee to perform the feasibility study for the City of Fort Worth. The feasibility study will contain the following components: I. Project Orientation and Stakeholder Input The first component of the study will entail gathering and analyzing background information related to the Logname: 02AMPHITHEATER Page 1 of 3 feasibility of developing an amphitheatre at Gateway Park. The firm will identify appropriate contacts and obtain information and assess specific issues related to the potential development. They will also tour the proposed site and comparable venues in the area. In addition, they will hold two workshops with community stakeholders and residents to discuss the project experience in other cities, realistic expectations for the project, and their interest in such a project. II. Market Analysis The second component of the study will entail gathering population and demographic information, understanding how new and existing development may impact the use of the facility, analyzing income and employment trends, and analyzing transportation capacity and hotel supply. The firm will use the number of entertainment facilities in the area to understand how this facility will get its fair share of event demand in relation to its peers. III. Interviews and Surveys The third component of the study entails conducting interviews and surveys with promoters, ticket brokers and presenters that are located in/active in the area to analyze and identify specific market opportunities for the City of Fort Worth and for the potential amphitheater. IV. Regional Facility Analysis The fourth component of the study entails reviewing and analyzing the current and proposed competitive performance venues in the region. The types of data gathered for this component include: facility description, number of seats, types of events, annual attendance, and other measures of facility performance. V. Comparable facility analysis The fifth component of the study entails conducting case studies of comparable venues throughout the United States including information such as: seating capacity, event and attendance information, financial information such as operating income versus expenses, unique marketing and packaging strategies, schools that support demand, size and configuration of the venue, parking and traffic flow, unique design characteristics, capital budget and approach to financing, and public sector and private sector benefactor support. VI. Demand Projections The sixth component of the study entails making demand projections, including: event days by type of event, number of performances, attendance, total use days, achievable ticket prices, and specialty seating (corporate seats) market potential and pricing. VII. Financial Pro forma and Operating Model The seventh component of the study entails developing a pro forma that details the financial and operating characteristics of the proposed amphitheater for the first ten years of operations, including a pre-opening period. VIII. Third Party Operator Solicitation and Negotiation The eighth component of the study entails assessing the venue's approach to operations. The firm will analyze third party versus municipal or other approaches to operation and understand the terms of these relationships. The firm will then compile a list of potential operators, work with the Purchasing Department to develop requests for qualifications and requests for proposals, advertise the opportunity in appropriate trade and local publications, receive and analyze responses, work with legal counsel and city officials to negotiate an equitable management agreement. C.H. Johnson Consulting, Inc., is in compliance with the City's M/WBE Ordinance by committing to 22 percent M/WBE participation. The City's goal on this project is 7 percent. In return for performing the feasibility study, the City has agreed to pay C.H. Johnson Consulting, Inc., $74,175 in fees and expenses. The structure of the fees is as follows: Logname: 02AMPHITHEATER Page 2 of 3 Component Cost Market Analysis $37,000.00 Financial Analysis $9,500.00 Third Parry Operator Soliciations and Negotiation $12,000.00 Consensus Building Workshops $6,000.00 Total $64,500.00 Expenses at 15 Percent of Fees $9,675.00 Total Fees and Expenses $74,175.00 This project is in COUNCIL DISTRICT 4 and will benefit the entire city. FISCAL INFORMATION/CERTIFICATION: The Finance Director certifies that upon approval of the above recommendations and adoption of the attached appropriation ordinance, funds will be available in the current capital budget, as appropriated in the Park Gas Lease Project Fund. TO Fund/Account/Centers FROM Fund/Account/Centers C282 531200 801580033710 $74,175.00 C282 446100 801920033710 $74,175.00 C282 531200 801580033710 $74,175.00 Submitted for City Manager's Office by: Joe Paniagua (6191) Originating Department Head: Randle Harwood (6101) Additional Information Contact: Matt Thurber (6159) Logname: 02AMPHITHEATER Page 3 of 3