HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 10/07/2008 - FIRST READING OF ORDINANCE NO. 126, 2008, AUTHORIZ ITEM NUMBER: 21
AGENDA ITEM SUMMARY DATE: October7, 2008
FORT COLLINS CITY COUNCIL STAFF: Jim O'Neill
J. R. Schnelzer
SUBJECT
First Reading of Ordinance No. 126, 2008, Authorizing the Purchasing Agent to Enter into an
Extension of the City Park Nine Golf Course Golf Services and Concession Agreement for up to
Five Additional Years.
RECOMMENDATION
Staff recommends adoption of the Ordinance on First Reading.
At its July 16,2008 meeting,the Golf Board voted unanimously to recommend extending the term
of the Agreement for up to five additional years.
FINANCIAL IMPACT
Under the terms of the existing five-year Agreement, the Golf Fund is paying a Golf Services Fee
to the City Park Nine Golf Course contractual Golf Professional/Concessionaire of$53,000 for
2008. When the Agreement began in 2004,the Golf Services Fee was $45,000, increasing$2,000
annually per the Request for Proposal. For this proposed Agreement Extension, staff and the
contractual Golf Professional/Concessionaire have mutually agreed to continue this pattern of annual
$2,000 increases to the Golf Services Fee through 2013, starting with a payment from the City of
$55,000 in 2009 and increasing to $63,000 in 2013. Sufficient funding has been included in the
2009 Golf Fund budget, and is planned at this time for 2010 through 2013.
EXECUTIVE SUMMARY
The existing Agreement with City Park Nine Golf Course Golf Professional/Concessionaire,DMAC
Golf, LLC, as owned, operated, and assigned by David R. McCleave, PGA, expires on December
31,2008. Asper terms in the RFP and the Agreement,the Agreement maybe extended beyond the
original five (5)year term if performance is satisfactory, subject to City Council approval and the
negotiation of a mutually acceptable extension agreement for up to five (5) additional years. This
is contingent on staff recommendation, public input/comment, a recommendation from the Golf
Board, and final approval by the City Council. A mutually acceptable Extension Agreement has
been negotiated, and both the staff and the Golf Board fully recommend approval by Council.
October 7, 2008 -2- Item No. 21
BACKGROUND
Staff has been very pleased with the performance of David R. McCleave, PGA, and DMAC Golf,
LLC, for the past five years. Mr. McCleave has done many things to make the Agreement
successful and has provided excellent service to the golfers and customers of City Park Nine Golf
Course. He has also developed a good working relationship with the Golf Course Superintendent
and his maintenance staff, as well as with the management staff of the Golf Division and with the
other two City Course staff. During his tenure, he has improved upon almost every aspect of the
Golf Professional and Concession Services at City Park Nine, and has continued to express a desire
for further improvements over the next five years, if his Agreement is extended. There was only
positive public input/comment,and the Golf Board unanimously agreed to recommend the extension
of his Agreement by Council.
As noted, staff has negotiated a mutually acceptable Extension of the Agreement for up to five(5)
additional one-year renewable periods through December 31, 2013.
ATTACHMENTS
1. Golf Board Meeting Minutes of June 18, 2008.
2. Golf Board Meeting Minutes of July 16, 2008.
3. Copy of Advertisements that appeared in the Coloradoan and Fort Collins Now Newspapers.
ATTACHMENT 1
Golf BoDMinutesJune 18
Page 2
and what changes need to take place. Marty said that Golf was on an upward trend;
however after 2001 things changed. He also stated that it would be better to have more
funds available for improvements. Dan Preble asked if they were leaning one way or
another and J.R. said that they haven't taken anything off the table. He did mention that
there was a concern about privatizing and that likely won't take place. Marty feels that's
not in our best interest at this time since things aren't broken, we are just looking at
improving. Deron Grothe believes that bringing in an outside company would only
decrease the quality. David Johnson was a prior Golf Professional and strongly
recommends that privatizing not be an option. He has seen it happen in the past and it has
only posed a threat. Grant asked if there would be changes to the job description for the
Manager of Golf and J.R. responded that we are looking at re-evaluating the position.
Marty commented on how well Jerry has done but we may look at hiring a Golf
Professional or Superintendent. Jerry said that as far as he knows he is the only Manager
of Golf in the area that wasn't a prior Golf Professional or Superintendent.
Shane mentioned that we now have a Policies and Procedures Manual in place and we
can build from that. J.R. stated that he and Marty are available anytime for additional
input from the Board. Marty said this is a tough decision and the position is critical to the
Division. David recommended that staff be involved in the hiring process. Marty said that
it is important to him that we hire someone that will fit in well with the great team we
already have.
Discussion and Preliminary Recommendation on Consideration of Extendine the
Term of the Agreement with the City Park Nine Golf Professional & Concessionaire
Jerry stated that he briefly mentioned the extension of the City Park Nine Golf
Professional & Concessionaire Agreement at the May Board meeting. He said that he
strongly recommends extending David McCleave's Agreement. Jerry reminded the Board
of the improvements to the clubhouse that David made. Grant Sherwood feels that David
is doing a great job. David Johnson agreed that David McCleave is doing a great job and
having him at City Park Nine is a great fit. Shane Houska said that he thinks it's great
that David is always at the course and active. He also mentioned that he has taken a look
at what does or doesn't work and makes the necessary improvements. Jerry informed the
Board that he had a discussion with the City Park Nine Superintendent Jim Higgins and
Jim said that he enjoys working with David and supports the extension.
David McCleave stated that he wants to continue working for City Park Nine and agrees
that it's a great fit. He discussed how he grew up playing at the course at a young age and
he's trying to bring back that old feel. David reminded the Board that when Dale was
renewing his contract he gave back a portion of his additional funds to the maintenance
staff and he would like to do the same. He explained that he has the opportunity to make
more money and the maintenance staff doesn't and he would like to help them any way
he can. David mentioned that he would like to potentially make some improvements to
the driving range. David Johnson asked him what that entails and David said that he
would like to consider putting in a concrete path around it as well as maybe synthetic
grass since it's so difficult to grow grass in that area. SouthRidge Golf Professional Dale
Golf Board Minutes
June 18,2008
Page 3
Smigelsky expressed the concerns he had about the course after he left as the Golf
Professional and said that it was heading in a downward spiral and when David took over
and things have now changed for the better. On a motion by Shane Houska, seconded by
Dan Preble, the Board unanimously (6:0) agreed to consider extending the term of the
Agreement with David McCleave as the City Park Nine Golf Professional &
Concessionaire. Jerry reminded the Board that we will hold our Public Input/Comment
Meeting on the extension here at City Park Nine at 7:30 p.m, on July 16th. He said that
the information will be published at the courses and in local newspapers.
Board Recommendation on Staff Proposed 2009 Golf Fees and Charges
Jerry went over the Staff Proposed 2009 Golf Fees and Charges and mentioned that t
hadn't changed since they were first proposed in 2007. He explained that he has one
research on other course's fees and charges and has found that ours are either av ge or
below. Jerry feels that it's unfortunate that we need to consider raising our fees- owever
with the way the economy has been staff feels there's no other alternative. informed
the Board that our cost of doing business is continuing to rise and it's ma' ly due to the
increase in fuel prices. Annual Pass cardholder Mr. Jerry Rice att ded the Board
meeting to express his concerns regarding the fees and charges incr e. He said he is
mainly concerned with the increase to the senior rates. Deron Gro a asked how many
times a person has to play with their Annual Pass to benefit and . Rice said he believes
it's around 23 times, but that's a great deal of play for a seni . He then stated that he
would appreciate the Board's consideration on not increasi those rates due to the fact
that seniors are on a fixed income. David Johnson said th e would enjoy being able to
drop the price of the fees and charges but that doesn't ppear to be a possibility with a
large increase in our fuel costs over the past two ye s. Jerry stated that we can hold a
Public Input/Comment Meeting next month if the oard chooses. Dan Preble suggested
that the Board go forward with the suggesti s and hold a Public Input/Comment
Meeting in July and if the Board feels that it's of in our best interest to increase the fees
for 2009 we can chose to do so at that time eny said that he would like a vote from the
Board. On a motion by Shane Houska, conded by Grant Sherwood, the Board voted
(6:0) to hold a Public Input/Coe Meeting on July 16th and then make a final
recommendation on the Proposed 20C Golf Fees and Charges.
Other Business
♦ Jerry informed the B d that "Fort Collins Fore Kids" was a success; however we
had the most no-s s than any other year. He explained that we try to hold it in
early June befo most families start vacationing. Jerry said that we had great
publicity this ar. There was a reporter from the Coloradoan there and the City's
Cable 14 to d the event.
Corres dence/Financial and Statistical Reports
♦ erry explained that we are about 2% behind on revenues through May so hopefully
the weather will be in our favor and we'll be able to catch up.
ATTACHMENT2
City of Fort Collins
Culture,Parks,Recreation and Environment
Golf Board
Minutes: Regular Meeting of July 16, 2008
Council Liaison to the Board: Councilman Diggs Brown
Staff Support to the Board: Jerry P. Brown, Manager of Golf at 221-6350, and Dawn
Worth, Administrative Aide at 416-2265
Call Meeting to Order: Board Chairperson David Johnson called the meeting to o r at
7:30 p.m. at the City Park Nine Clubhouse.
Agenda Review: There were no changes to the Agenda as printed.
Items of Note:
♦ Jerry informed the Board the City Clerk's Office didn't rec ' e any applications to
fill the vacancy created by the resignation of Jay K ell, therefore they will
advertise again for the beginning of next year.
♦ Jerry mentioned that Deron Grothe's term expires the end of the year. Deron said
that he has sent in his information to the City C1e s Office to renew his term.
♦ Jerry said that 28 women will be particip ' g in the Women's City Championship
and that's 7 more than last year,with 12 ladies signed up.
Approval of Minutes: On a motion b auren DeRosa, seconded by Dan Preble, the
Board unanimously(7:0) approved utes of the June 18,2008 Regular Meeting.
Citizen Participation:None at s time.
Public In utlComment ro osed 2009 Golf Fees and Char2es
Jerry asked the Bo f they had any questions. He mentioned that Mr. Jerry Rice was
concerned with th ee increases at our last meeting. Jerry said that he has done research
�Iothe, course the area and that our fees are still average to below average. He stated
twehav ntinualcost increases like any other business and especially when it
mes to ; and these changes are consistent with our 2009 budget needs. On a motion
by L Buckendorf, seconded by Dan Preble, the Board unanimously (7:0)
reco ended approval of the Proposed 2009 Golf Fees and Charges, recommending
th to the City Manager.
ublic ImDut/Comment Regarding Consideration of Extending the Term of the
Agreement with the City Park Nine Golf Professional & Concessionaire
Jerry previously distributed to the Board the two email& he received regarding David
McCleave's extension. He said that City Park Nine Superintendent Jim Higgins stated
that he enjoys working with David and that he feels we should extend his term. Jerry
reminded the Board that Purchasing Director Jim O'Neill who is present tonight is in
charge of the process. He asked Jim if he had any additional information and Jim said
that he didn't. On a motion by Shane Houska, seconded by Deron Grothe, the Board <—
unanimously (7:0) recommended approval of the Extension of the Term of the
Agreement with the City Park Nine Golf Professional & Concessionaire, David
McCleave,PGA.
City of Fort Collins Golf Board
PUBLIC INPUT REQUESTED
Ci�v°f- Wednesday, July 16, 2008 7:30 PM
City Park Nine Golf Course Clubhouse 411 South Bryan Avenue
Come and share your thoughts with the City Golf Advisory Board on Performance Review & Potential Agreement Extension
for the City Park Nine Golf ProfessionallConcessionaire.
The existing agreement at City Park Nine Golf Course with contractual Golf Professional/
Concessionaire David R. McCleave PGA, expires on December 31, 2008. This agreement became
effective on January 1, 2004 after being awarded through Request for Proposal #P-911. The
agreement may be extended annually beyond the original five-year term until December 31, 2013
if performance is satisfactory, subject to public input, negotiations, and City Council approval.
If you cannot attend the meeting, you may send written comments no later than July 15, 2008 to:
Email: jpbrown@fcgov.com
Fax: City Park Nine Golf Professional/Concessionaire at 221-6586 y
Mail: Golf Division, P.O. Box 580, Fort Collins, CO 80522 y
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ORDINANCE NO. 126, 2008
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AUTHORIZING THE PURCHASING AGENT TO ENTER
INTO AN EXTENSION OF THE CITY PARK NINE GOLF COURSE
GOLF SERVICES AND CONCESSION AGREEMENT
FOR UP TO FIVE ADDITIONAL YEARS
WHEREAS, Section 8-186(a) of the City Code requires that any contract for services with a
potential total term over five years in length be authorized by Council by ordinance; and
WHEREAS, David R. McCleave was the successful bidder under the City's Request for
Proposal No. 911 (the "Proposal") and entered into the City Park Nine Golf Course Golf Services
And Concession Agreement(the "Agreement")with the City on November 28, 2003; and
WHEREAS, the City and David R. McCleave agreed to an Assignment of Agreement and
Consent to Assignment on December 30,2003(the"Assignment")where David R.McCleave,a sole
proprietor,assigned his obligations under the Agreement to DMAC Golf,LLC("DMAC"),a limited
liability company owned by him; and
WHEREAS,the City and DMAC entered into a First Addendum to the City Park Nine Golf
Services and Concession Agreement (the "First Addendum") on February 20, 2004 to modify the
type of license DMAC was required to obtain under the requirements of the Agreement; and
WHEREAS, the Purchasing Agent has determined that DMAC, the current contractor
providing golf professional and snack bar concession services at City Park Nine Golf Course, has
performed those services well and to the satisfaction of the City and the general public over the
course of the existing Agreement as modified by the Assignment and First Addendum (the
"Modified Agreement"); and
WHEREAS, the Proposal and the Modified Agreement contemplate the possible extension
of the Modified Agreement beyond its original one-year term plus four one-year renewals,based on
the expectation that a longer term arrangement for those services would enable proposers to offer
more desirable services to the City at a more advantageous quality and rate than without such a
longer term potential; and
WHEREAS, the Purchasing Agent has further determined that in order to continue with the
delivery of high quality golf services and concessions to the public at City Park Nine Golf Course,
the extension of the Modified Agreement for up to an additional five one-year terms,without a new
competitive process for such services,is advisable and would maintain continuity and provide golf
professional and concessionaire stability in the delivery of those services; and
WHEREAS, the Golf Board reviewed a proposed extension at its regular meetings on June
18,2008,and July 16,2008,and after receiving positive public input/comments,voted unanimously
to recommend and encourage the City Council to authorize such an extension.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS that the City Council hereby authorizes, pursuant to City Code Section 8-186(a), an
extension of the City Park Nine Golf Course Golf Services And Concession Agreement, dated
November 28, 2003, as modified by the Assignment of Agreement And Consent to Assignment
dated December 30,2003,and the First Addendum dated February 24,2004,for the year 2009,with
annual renewal options for the years 2010 through 2013, or a potential total term of ten(10)years.
Introduced, considered favorably on first reading, and ordered published this 7th day of
October, A.D. 2008, and to be presented for final passage on the 21st day of October, A.D. 2008.
Mayor
ATTEST:
Chief Deputy City Clerk
Passed and adopted on final reading on the 21 st day of October, A.D. 2008.
Mayor
ATTEST:
City Clerk