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HomeMy WebLinkAboutContract 57971-A1CSC No. 57971-Al FIRST AMENDMENT TO FORT WORTH CITY SECRETARY CONTRACT NO. 57971 This Amendment to Fort Worth City Secretary Contract No. 57971 ("Amendment") is made between the City of Fort Worth ("City"), a municipal corporation, and Craft Culinary Concepts LLC ("Craft"). WHEREAS, the City and Craft entered into a Food and Beverage Agreement identified as Fort Worth City Secretary Contract No. 57971 which became effective on August 10, 2022 (the "Agreement"); WHEREAS, the Agreement currently allows Craft to exclusively manage and operate the food and beverage concessions and catering services at the City owned Will Rogers Memorial Center ("WRMC") which is an equestrian and event facility located in Fort Worth, Texas, with the one exception of the period of time in which the WRMC is used for the Southwester Exposition and Livestock Show ("Stock Show"); WHEREAS, on certain occasions outside of the normal one month period for the Stock Show, there are, at times, a need by the Stock Show operators to utilize certain rooms within the WRMC for ancillary, private events ("Private Events") and there has been a request by the Stock Show operators to have their own catered alcohol services at these Private Events; and WHEREAS, the parties would like to amend the Agreement to now allow for the limited exception of catered alcohol services at the WRMC to be provided by other caterers only for the Private Events hosted by the Stock Show operators. NOW THEREFORE, known by all these present, City and Vendor, acting herein through their duly authorized representatives, agree to the following terms, which amend the Agreement as follows: 1. Section 2.1, "Concession License," subsection (c) of the Agreement is hereby deleted and replaced with the following: (c) Craft will provide professional food and beverage and other limited support services for WRMC events and visitors using the existing facilities, coupled with the new investment and equipment provided by Craft and as detailed in this Agreement. The Food and Beverage Services will generally include the purchase, preparation, sales, marketing, and service of food, alcoholic and non-alcoholic beverages, and other related food items for WRMC catered and non -catered events. Concessions are exclusive and Catering Alcohol Sales are also exclusive except for ancillary, private events hosted by the Stock Show operators from time to time throughout any given year under the term. Craft must carry the alcohol permit, or otherwise secure the right to sell and distribute alcoholic beverages pursuant to applicable law for the entirety of the WRMC unless otherwise agreed to in writing First Amendment to Fort Worth City Secretary Contract No. 57971 OFFICIAL RECORD CITY SECRETARY FT. WORTH, TX 57971- by the parties. Food and Beverage Services include the operation of permanent concessions stands, portable food and beverage outlets, and permanent food service outlets. Further the Food and Beverage Services include, but are not limited to: (1) Engaging in collaborative conversations with WRMC staff about food and beverage planning for events at the WRMC. (2) Strategic collaboration with the WRMC sales team. (3) General and special event catering. (4) Operation of temporary retail and moveable kiosks, including on the floor catering, mobile ordering platforms, and food trucks (5) Sourcing locally -grown food (6) Suspending and reinstating Craft's alcohol permit from time to time throughout the term for various rooms within the WRMC in the event it is necessary for other Catering Alochol Sales to occur by other providers for ancillary Private Events hosted by the Stock Show operators only. 2. All other terms, provisions, conditions, covenants and recitals of the Agreement not expressly amended herein shall remain in full force and effect. [Signature Page Follows] First Amendment to Fort Worth City Secretary Contract No. 57971 Pagc 2 of 3 57971- Executed effective as of the date signed by the Assistant City Manager below. City: By: 13LQJ William Johnson (A r 18, 2024 11:26 CDT) Name: William Johnson Title: Assistant City Manager Date: Craft Culinary Concepts, LLC: By: Name: Reggie Davis Title: Senior Vice President Date: CITY OF FORT WORTH INTERNAL ROUTING PROCESS: Approval Recommended: By: Name: Michael E Crum Title: Director, Public Events Dept. Approved as to Form and Legality: By: Name: Taylor Paris Title: Assistant City Attorney Contract Authorization: M&C: M&C 22-0031 (January 11, 2022) Contract Compliance Manager: By signing I acknowledge that I am the person responsible for the monitoring and administration of this contract, including ensuring all performance and reporting requirements. By: K Ka?' Name: Kevin Kemp Title: General Manager, WRMC City Secretary: By: ,0'o4O'FORpn�B p; cir A 4.es pro `' =o Pa`,o� aailn�fXa5o4p Name: Jannette S. Goodall First Amendment to Fort Worth City Secretary Contract No. 57971 OFFICIAL RECORD CITY SECRETARY FT. WORTH, TX 11/3/22, 1:52 PM M&C Review CITY COUNCIL AGENDA Create New From This M&C Official site of the City of Fort Worth, Texas FORT WORT(� DATE: 1 /11 /2022 REFERENCE M&C 22- LOG 25WRMC FOOD & BEVERAGE NO.: 0031 NAME: AGREEMENT WITH CRAFT CULINARY CODE: C TYPE: NON- PUBLIC NO CONSENT HEARING: SUBJECT: (CD 7) Authorize Execution of a Contract with Craft Culinary Concepts, LLC to Provide Food and Beverage Services at the Will Rogers Memorial Center for an Initial Term of 10 Year, with Five Optional One -Year Renewal Terms and a Management Fee in an Amount Equal to 2.75 of Annual Gross Sales RECOMMENDATION: It is recommended that the City Council authorize the execution of a contract with Craft Culinary Concepts, LLC, to provide Food and Beverage Services at the Will Rogers Memorial Center for a term of 10 years, beginning on January 13, 2022 and expiring on January 12, 2032, with five optional one-year renewal terms, and a management fee in an amount equal to 2.75\% of annual gross sales. DISCUSSION: The purpose of this Mayor and Council Communication is to consider a Food and Beverages Services Agreement with Craft Culinary Concepts, LLC (Agreement). The current agreement with Coburn's Catering Service, Inc. (Coburn's) to provide Concession and Alcoholic Beverage Services at Will Rogers Memorial Center (WRMC) expires on January 13, 2022. The Public Events Department (PED) began the process of selecting a future provider of Food and Beverage Services at WRMC in the first quarter of 2021. The City contracted with Hunden Strategic Partners (HSP) as an advisor and to manage the selection process on the City's behalf. In April of 2021, a Request for Qualifications (RFQ) was issued for WRMC Food and Beverage Provider Services. Six companies responded to the RFQ (2 local, 1 regional, 3 national). The responses of 5 of the companies were determined to be compliant with the requirements of the RFQ. In June of 2021, a Request for Proposals (RFP) was issued to the five short-listed companies. All five of the companies responded to the RFP. In August of 2021, the five respondents were interviewed. HSP then followed up on each proposal with additional questions and clarifications. Respondent's proposals were evaluated on the following criteria: Financial Proposal: 37\% Business Equity Participation: 15\% Revenue Improvement Record: 12\% Demonstrated Innovation: 12\% Fort Worth Flavor: 12\% Quality of Experience: 12\% Based on the evaluation of the interview panel, Craft Culinary Concepts, LLC (Craft) was selected as the leading candidate to serve as the provider of Food and Beverage Services at WRMC. In November of 2021, staff briefed the Fort Worth City Council about the interview panel's recommendation and Craft's proposal. Below are the essential terms of the proposed Agreement: apps.cfwnet.org/council_packet/mc_review.asp?I D=29583&councildate=1 /11 /2022 1/3 11/3/22, 1:52 PM M&C Review Term: The Agreement will be binding upon execution by the parties and will be effective for a term of ten (10) years, beginning on January 13, 2022, and include five optional one-year renewal terms. Craft will start operations in February after the end of the 2022 Fort Worth Stock Show and Rodeo. Financial Structure Craft will invest at least $750,000.00 in mutually agreed upon new food and beverage focused capital investments within the first 18 months of the effective date of the Agreement. This investment will be amortized in equal monthly amounts over a period of seven years from the date that the City accepts the improvements. Craft has also committed to investing in, and operating a, 53-foot grill and smoker tractor -trailer (valued at $1.3M), which will be used to serve customers at the WRMC and for various events throughout the City. Craft will pay the City 2.5\% of its annual gross sales for repairs, maintenance, and replacement of items at the WRMC related to the services to be provided under the Agreement. All such funds will be placed in a specially designated repair, maintenance, and replacement fund for the WRMC. City will pay Craft an annual management fee equal to 2.75\% of gross sales, which will be specifically defined in the Agreement. Craft will pay the City 90\% of its annual operating profits that it receives from the services to be provided under the Agreement. Services Craft will be responsible for providing professional food and beverage and other limited support services for WRMC events and visitors using the existing facilities, coupled with the new investment in them and new equipment. Craft's services will generally include the purchase, preparation, sales, marketing, and service of food, alcoholic and non-alcoholic beverages, and other related food items for WRMC catered and non -catered events. Catering, concessions, and alcohol are exclusives, and the Craft will carry the alcohol permit. The services will also include the operation of permanent concessions stands, portable food and beverage outlets, and permanent food service outlets. Catering services at the WRMC will be provided through a "Catering Cooperative Program" (Program). The Program will present the catering products and services of Craft, as well as the products and services of local caterers (selected by a panel representing local WRMC constituent organizations) who represent genres of "Fort Worth Flavor". The goal of the Program is to provide an elevated level of catering products and services at the WRMC that represent Fort Worth cuisine and provide opportunities to local catering firms (including Business Equity Firms), with the ultimate goal of increasing the volume of catering events and revenue and improving customer experience for the WRMC. Local and Business Equity Firms: Craft has also committed to a 33\% Business Equity participation goal that places and emphasis on doing business with Fort Worth -based companies and Business Equity Firm (BEF). FISCAL INFORMATION/CERTIFICATION: The Director of Finance certifies that upon approval of the above recommendation and execution of the contract, funds will be deposited into the Culture & Tourism Fund. The Public Events Department (and Financial Management Services) is responsible for the collection and deposit of funds due to the City. TO Fund FROM Fund Department ID Department ID Account Account Project ID Project ID Program Program Activity Budget Year Reference # (Chartfield 2) Amount Activity Budget Year Reference # (Chartfield 2) Amount Submitted for City Manager's Office by: Jay Chapa (5804) Originating Department Head: apps.cfwnet.org/council_packet/mc_review.asp?ID=29583&councildate=1 /11 /2022 2/3 11/3/22, 1:52 PM M&C Review Michael Crum (2501) Additional Information Contact: Kevin Kemp (5982) ATTACHMENTS Craft Culinary Form 1295.pdf (CFW Internal) apps.cfwnet.org/council_packet/mc_review.asp?I D=29583&councildate=1 /11 /2022 3/3 CERTIFICATE OF INTERESTED PARTIES FORM 1295 1 of 1 Complete Nos. 1- 4 and 6 if there are interested parties. Complete Nos. 1, 2, 3, 5, and 6 if there are no interested parties. OFFICE USE ONLY CERTIFICATION OF FILING 1 Name of business entity filing form, and the city, state and country of the business entity's place of business. Craft Culinary Concepts LLC Fort Worth, TX United States Certificate Number: 2021-834191 Date Filed: 2 Name of governmental entity or state agency that is a party to the contract for which the form is being filed. City of Fort Worth 12/20/2021 Date Acknowledged: 3 Provide the identification number used by the governmental entity or state agency to track or identify the contract, and provide a description of the services, goods, or other property to be provided under the contract. 25WRMCF&B Food and Beverage Services 4 Name of Interested P y (place of business) City,State, Countr Nature of interest (check applicable) Controlling Intermediary Bidwill, Michael Tempe, AZ United States X 5 Check only if there is NO Interested Party. ❑ 6 UNSWORN DECLARATION //}� /► /r My name is j! y q/C !V /Cl V iJ my `l d l and)) date of is q I I I% {� ,Q Myaddressis� d �t� �ecivll _ �ir� � � ����, ` tr'/� --aI °I via_. (street) (city) (state) (zip code) (country) declare under penalty of perjury that the foregoing is true and correct. Executed in if, 1i // County, State of Yz KC s , on the7v day ofc/ .•+k- , 20 21 (month) (year) .``‘wPii%, JASON B. HUDDLESTON tiP....OL ' 6S Notary Public, State of Texas 7v, „• �: 4; iv; Comm. Expires 02-12-2024 Signature of authorized agent of contracting business entity (Declarant) For $ ifiA �ti'by T6G1s Cyttac9 ECM ft6ggi ..R�111 YISMIEWAilineaMaftigamw,Sa 1.1=ENT, www.ethics.state.tx.us Version V1.1.191b5cdc