Fort Walton Beach Council agenda — 01-09-2007 workshop agenda — reading text

Reta Rohling seven months' salary and benefits as she will remain a City employee at the Tennis Center under her current City employment status from October 1, 2001 through May 30, 2002. The gross amount of $17, 896 will consequently be withheld ftom the compensation to the " CONTRACTOR" each month until paid in full. ( Appendix B) In addition to the above compensation the following shall be in effect. The CONTRACTOR" shall: 4  1. Maintain during the term of this lease agreement all books of account, reports and records used in this operation as are necessary to document the activities pursuant to this lease agreement. 2. Provide the " CITY" with an annual payment which constitutes 50% of gross revenues for membership fees, daily court fees for walk-ins, daily court fees for lessons, daily court fees for tournaments and league fees over a base revenue of 32, 000. This annual payment, if applicable, will be paid by the CONTRACTOR" to the " CITY" within thirty (30) days of the anIiiversary date of the execution of this lease agreement. Should fees be increased by City Council resolution, base revenue will increase proportionally. 3. Provide the " CITY" with an annual audit of the revenues received by the tennis facility as prepared by an independent certified public accountant ( CPA). Annual audit to include a schedule C of the contractors tax return. This audit shall be submitted to the " CITY" by May 15th on an annual basis during the term ofthis agreement. 4. Provide the " CITY" with a monthly status report relating to expenditures, the number of participants and revenues generated ftom all activities held at the Tennis Center Complex. The monthly status reports will be compiled into an annual report for the City Manager and City Council review. Membership fees and daily court fees for the use of the facility will be determined by Resolution of the City Council from time to time. B. UfILITIES. The " CITY" shall pay up to $ 10, 000 annually for all charges for heat, water, cooling, electricity, sewer and solid waste collection services. The " CONTRACTOR" shall reimburse the " CITY" for electric and water/ sewer utilities which exceed $ 10, 000 on an annual basis within sixty ( 60) days of the anniversary date of the execution of this lease agreement. 5 C. PAYMENT OF LS. The " CONTRACTOR" shall promptly pay all debts incurred by Bll., him for the purchase of goods or services used by the " CONTRACTOR" in the operation of the Tennis Center Complex. SECTION 4: TAXES AND LICENSES A. REAL PROPERTY OR INTANGffiLE TAXES. Although the real property being and managed by the " CONTRACTOR" herein is owned by the " CITY", a municipality, as such, is exempt from ad valorem real property taxation, this lease agreement may create a possessory interest or security interest in the " CONTRACTOR" subject to real property or intangible taxation. Should this occur, the " CONTRACTOR" agrees to pay such real property taxes prior to delinquency, except in the case of contest of such taxation made in good faith. The " CONTRACTOR" will have the right to contest the of real property or intangible taxes by means of appropriate validity or amount the " CONTRACTOR' S" sole expense. The proceedings diligently pursued at CONTRACTOR" agrees that, upon final determination of liability, it will promptly pay the amount of taxes found owing, along with any interest, penalties or cost that may result from the " CONTRACTOR' S" contest. The " CITY" will cooperate with the CONTRACTOR" in any such contest of the validity or amount of real property or is not to the intangible taxes, provided the " CITY" required to pay any sums CONTRACTOR" or any third party as a result of such cooperation. B. OTIIER TAXES. The " CONTRACTOR" will pay all taxes, license fees or other governmental charges, ( including but not limited to commercial personal property taxes, sales and use taxes, resort taxes, etc.) assessed or imposed on the personal property of the CONTRACTOR" located at the Tennis Center Complex or upon the business operations 6  of the " CONTRACTOR" conducted at the Tennis Center Complex, or upon the personal property of the " CITY" used by the " CONTRACTOR" at the Tennis Center Complex. The " CONTRACTOR" shall secure and maintain a CITY occupational license. SECTION 5: THE OPERATION A. HOURS OF OPERATION. The " CONTRACTOR" shall operate the Tennis Center Complex seven days a week Monday through Friday, 8: 00 a. m. - 9: 00 p. m.; Saturday and Sunday 8: 00 a. m. - 5: 00 p. m. The " CITY" reserves the right to establish different hours of operation at any time it deems same to be necessary, in coordination with the CONTRACTOR". The " CONTRACTOR" shall reserve the right to close on the following Holidays: Thanksgiving Day, Christmas Day and New Year' s Day. In the event of inclement weather, the " CONTRACTOR" shall notify the office of the Director of Parks and Recreation of any intentions to close. R QUALITY OF SERVICE. All items sold shall be of high quality, and the services provided shall be rendered courteously and efficiently. The " CITY" reserves the right to prohibit the sale of any items that it deems objectionable, and the " CITY" shall have the right to order the improvement of the quality of either the merchandise or the services rendered. C. EMPLOYEES. 1. EMPLOYEE EXPENSES. The " CONTRACTOR" will be responsible for all salary expenses and insurance for assistants or employees hired by the " CONTRACTOR" to work during hours the Tennis Center Complex is open to the public. 2. All employees of the " CONTRACTOR" shall be neatly dressed at all times. Employees shall conduct themselves courteously in their relations to the public. 7  3. The " CONTRACTOR" may, subject to the approval of the " CITY", grant reduced rates to the " CONTRACTOR' S" employees under such circumstances as are customary in businesses of the character conducted under this lease agreement. 4. The " CONTRACTOR" shall provide the City Human Resources Department with necessary information/documentation to secure background checks on all employees working at the Tennis Facility. D. NON- DISCRIMMINATION. The " CONTRACTORII and/ or personnel working at the Tennis Center Complex shall not discriminate against any persons because of race, color, creed, sex, handicap, national origin or economic status by refusing to furnish such person any service or privilege offered or enjoyed by the general public within programs designed and implemented by the " CONTRACTOR" with the approval of the IICITYII. SECTION 6: TENANT' S FIXTURES The IICONTRACTORII shall furnish and install ready for use, at his own expense, all the basic equipment that is necessary to operate the Tennis Center Complex other than that listed ( Appendix A) as being furnished by the " CITY". The " CONTRACTOR" is to assume responsibility for and the costs of installation of all equipment supplied by him. All the above type equipment that is to be provided by the " CONTRACTOR" shall remain the property of the " CONTRACTORII and may be removed by him at the termination of this lease agreement. If such equipment is not removed within sixty ( 60) days after termination of this lease agreement, it shall become the property of the CITY". The " CONTRACTOR" is also required to supply all stock to be sold in the Pro Shop. 8 SECTION 7: OPERATING EXPENSES A. CITY OBLIGATIONS Except as otherwise provided herein,the " CITY" shall be responsible for the following: 1. Electric and water/ sewer utilities not to exceed $ 10, 000 annually 2. Refuse collection e, f- 3. Pest control selVices 4. Grounds maintenance, fencing, landscaping, netting and windscreens 5. Repairs to HVAC and electrical fixtures 6. Building maintenance to include repairs to the roof, windows, doors, restrooms and painting requirements 7. Storm preparations for building and Complex B. CONTRACTOR' S OBLIGATIONS Except as otherwise provided herein,the " CONTRACTOR" shall be responsible for the following: 1. Building maintenance and cleaning (including supplies & equipment) 2. Interior cleaning ( including carpet) 3. Repairs to ball machine and ice machine 4. General office supplies and equipment 5. Tournament and league supplies 6. Tennis balls 7. All program expenses 8. Staff / Employee uniforms 49  9. Utility charges exceeding $ 10, 000 on an annual basis 10. Daily litter pick-up throughout the Tennis Center Complex SECTION 8: SIGNS The " CONTRACTOR" shall not erect, install, maintain or display any exterior sign at the Tennis Center Complex without obtaining the prior consent of the City Manager and the proper permit. Flashing and flickering signs shall not be permitted at