Res 070-91 4/16/1991RESOLUTION NO.Io 97
RESOLUTION AUTHORIZING CITY MANAGER TO EXECUTE
GOLF COURSE CONTRACT AMENDMENT NUMBER SIX WITH
RSL FOR MANAGEMENT OF THE WEEKS PARK MUNICIPAL
GOLF COURSE
WHEREAS, RSL requested certain amendments and fee increases
to the existing contract with the City for the management of the
Weeks Park Municipal Golf Course; and
WHEREAS, the City and RSL were unable to agree on the
appropriate fee structure; and
WHEREAS, the golf course management contract provides that
in the event of such disagreement the fee structure is to be
decided through arbitration; and
WHEREAS, the City's arbitration representative and RSL's
arbitration representative have met and agreed to a fee structure
pursuant to Council approval of certain contract modifications
that do not pertain to fees;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF WICHITA FALLS, TEXAS, THAT:
The City Manager is hereby authorized to execute Amendment
Number Six to the Golf Course Management Contract with
Recreational Services, LTD. A copy of the amendment is attached
to and hereby made a part of this resolution.
PASSED AND APPROVED this the 16th • of April,
1
or
M Y O R
ATTEST:
Ativt
Ci y Clerk
STATE OF TEXAS
COUNTY OF WICHITA ) (
GOLF COURSE MANAGEMENT
CONTRACT AMENDMENT
NUMBER SIX
WHEREAS, the City and RSL entered into the arbitration
process to resolve a fee dispute; and
WHEREAS, the City's arbitration representative and RSL's
arbitration representative have met and agreed to a fee structure
pursuant to Council approval of certain contract modifications
that do not pertain to fees;
NOW, THEREFORE, in consideration, that arbitration
proceedings resulted in modifications to the original contract
and in consideration that both parties agree to make changes to
the original contract, the contract between them is hereby
modified as follows:
The arbitration agreement, signed by both parties'
representatives, hereby is incorporated as a permanent attachment
to the contract. Also, Sections Nine, Thirteen, and Twenty-Eight
of the original contract, as amended, are modified and
hereinafter shall provide in their entirety as follows:
Section Nine. Utilities
City shall provide raw water to the golf course for purpose
of irrigation at no charge as long as:
a) . green fees are waived by RSL for the tournament rounds
of the Texas/Oklahoma Junior Golf Tournament
participants,
b) . RSL continues to support the Texas/Oklahoma Junior Golf
Tournament as per section Twenty-Four of the contract,
and
c) . RSL provides a full-service snack bar during the hours
the course is open for play.
City also agrees to transfer electric accounts located at
the Golf Course to City's name in order to take advantage of
lower municipal rates. In return, RSL agrees to provide City
with a deposit equal to the average of all electric bills for a
two month period. Accounts will be transferred into City's name
upon receipt of such deposit. City shall pay electric bills from
such deposit and forward invoice to RSL as to the amount of such
payments. RSL shall reimburse City within fifteen (15) days of
receipt of invoice. City shall not pay subsequent month(s) bills
until reimbursement has been received from RSL. All other
utility expenses, including treated water, gas, telephone, sewer
and waste disposal, required to operate the golf course and its
associated facilities will continue to be paid directly by RSL.
Section Thirteen. Fees
Because the golf course is a public facility, all
merchandise sold and services offered to customers at the
premises shall be competitively priced. The following fees are
authorized at Weeks Park effective May 1, 1991:
Weekday Green Fee 7.75
Weekend and Holiday Green Fee 9.75
Weekday (Junior & Senior) Green Fee 5.25
Weekday Twilight Green Fee 6.75
Weekend Twilight Green Fee 7.75
Weekday Senior Annual Membership 300.00
62 & Over)
Single Annual Membership and Spouse
Weekday and Weekend)
Single Annual Membership 435. 00
Spouse 150. 00
Each Dependent 90. 00
Junior Summer Membership Age 17 and Under
Weekday Only May 1 - August 31) 110. 00
18 Hole Cart Fee 15. 00
9 Hole Cart Fee 8.00
It is hereby agreed by both parties that green fees shall
not exceed the rates established above. It is further agreed
that the annual membership fees shall be prorated in accordance
with the number of months remaining in the membership year at the
time of payment.
RSL shall annually have the right to file a request for any
increase in fees with the City. In order to assist the City in
evaluating proposed fees, RSL shall submit along with their fee
request, comparison fee information on no less than ten similar
municipal courses in the State of Texas. Courses to be used must
be approved in advance by City.
City shall have the right to approve the proposed increases
in whole or in part and to negotiate a fee structure with RSL
which may result in lower than requested increases. In case of
disagreement between City and RSL regarding fees, such
disagreement shall be submitted for arbitration. City shall
select one member of arbitration panel, RSL one, and these
members shall select a third member acceptable to both parties.
Decisions of the arbitration panel shall be final.
Should City not act on recommended fee increases within
forty-five (45) days of their submission by RSL, RSL may request
that an arbitration panel be established
Section Twenty-Eight. Payments to City_
RSL shall pay to the City the following minimum guaranteed
annual payments, or a percentage of Gross Revenues, whichever is
greater:
MINIMUM PERCENTAGE OF
YEARS (MONTHS) OF CONTRACT ANNUAL PAYMENT GROSS REVENUES
01-08-86 through 07-31-86 0 0%
08-01-86 through 10-31-86 4, 000/month 0%
11-01-86 through 04-30-89 1, 000/month 0%
05-01-89 through 10-31-90 50,000 9%
11-01-90 through 02-28-91 50,000 10%
03-01-91 through 12-31-92 0 0%
Beginning January 1, 1993, the City has the option to
reinstate rental payment to the City. Should the City reinstate
the rental payment, RSL may request fee increases. The City is
not obligated to grant fee increases to generate additional
revenue to make the rental payment.
At such time that rental payments are reinstated, quarterly
interim payments shall be paid according to the scheduled
percentage of gross revenues. Any additional sum due because the
minimum annual payment owed by RSL exceeds the sums paid as
quarterly interim payments shall be due in full and shall be
fully satisfied in the fourth quarter payment for that year.
Payments shall be made to:
Director of Finance
City of Wichita Falls
Memorial Auditorium
1300 Seventh Street
P. O. Box 1431
Wichita Falls, TX 76307
All payments are due and payable on the first day of the
month following each payment period. RSL agrees that all
payments shall be paid in full within 25 days after they are due.
Late payments will include a two percent (2%) penalty on the full
amount overdue. RSL also agrees that payments received after
thirty-five (35) days of due date shall include a two percent
2%) penalty plus interest calculated from the 15th day when
payment was due at the same rate as quoted in the Wall Street
Journal. "
This modification shall become effective as of the date it
is signed by both parties.
IN WITNESS WHEREOF, the parties hereto have caused this
modification to be signed this day of
1991.
CITY OF WICHITA FALLS
By:
James Berzina, City Manager
ATTEST:
City Clerk
RECREATIONAL SERVICES, LTD.
By:
Title:
ATTEST:
Title:
APPROVED AS TO FORM:
City Attorney