The URL can be used to link to this page

Home My WebLink AboutPR 15070: TLSK MANAGEMENT COMPANY - THIRD PARTY CONCESSIONAIRE• ,Memorandum Robert A. "Bob"Bowers Civic Center TO: Stephen Fitzgibbons, City Manager FROM: Adam J. Saunders, Civic Center Director DATE: 1/16/09 SUBJECT: Proposed Resolution No. P.R. #15070 : . RECOMMENDATION ~~ The Bob Bowers Civic Center recommends the City Council enter into a contract between the City of Port Arthur and TLSK Management Co. of Port Arthur, Texas as the third party concessionaire at the Robert A. "Bob" Bowers Civic Center. TLSK Management Co. will pay the Civic Center a fee for concessions of 26% of net sales versus $100 flat fee per event day, whichever is greater. If TLSK sells alcohol for the Civic Center it will pay, for smaller/non-concert type events, 12.5% of net sales versus $35 for the first event day and $25 for each additional event day, whichever is greater. For alcohol sales for larger/concert type events, TLSK will pay 12.5% of net sales versus $250 for each event day, whichever is greater. , BACKGROUND The Civic Center has some events that require the need for concession sales. A third party concessionaire is needed for this task. There may also be events that require the need for alcohol sales and a third party concessionaire may be needed for this task. The Purchasing Divisiori advertised in the Port Arthur News October 19 and 26, 2008.. Several bid packets were sent out with one response from TLSK Management Company of Port Arthur; Texas. BUDGETARY AND FISCAL EFFECT The fee(s) received from this will be included with rental fees received by the Civic Center. _ STAFFING EFFECT None SUMMARY The Bob Bowers Civic Center recommends the City Council enter into a contract between the City of Port Arthur and TLSK Management Co. of Port Arthur, Texas as the third party concessionaire at the Robert A. "Bob" Bowers Civic Center. TLSK will pay the Civic Center a fee for concessions of 26% of net sales versus $100 flat fee per event day, whichever is greater. If TLSK sells alcohol for the Civic Center it will pay; for smaller/non-concert type events, .12.5% of net sales versus $35 for the first event day and $25 for each additional event day, whichever is greater: For alcohol sales for larger/concert type events, TLSK will pay 12.5% of net sales versus $250 for each event day, whichever is greater. z.pr15070 P. R. NO. 15070 01/16/09 AS/dkf RESOLUTION NO. A RESOLUTION AUTHORIZING A CONTRACT BETWEEN THE CITY OF PORT ARTHUR AND TLSK MANAGEMENT CO. OF PORT ARTHUR. AS THE THIRD PARTY CONCESSIONAIRE FOR THE OPERATION OF THE ROBERT A. "BOB" BOWERS CIVIC CENTER CONCESSIONS. WHEREAS, periodically, the Robert A. "Bob" Bowers Civic Center requires a third party concessionaire to operate concessions; and WHEREAS, the Purchasing Division advertised bids in the Por[ Arthur News October 19 and 26, 2008; and WHEREAS, the bid~opening date was at 3:00 P.M., November 5; 2008: and WHEREAS, several bid packets were sentout with one response received from TSLK Management Company of Port Arthur, Texas; and WHEREAS, TLSK Management Company of Port Arthur, the third party concessionaire, will pay the Civic Center a fee for concessions of 26% of net sales versus $100 flat fee per event day, whichever is greater; and WHEREAS, if the third party concessionaire, TLSK Management Company, sells alcohol for the Civic Center, it will pay for smaller/non-concert type events, 12.5% of net sales versus $35 for the first event day and $2~ for each additional event day, whichever is greater; and WHEREAS, for larger/concert type events, TLSK Management Company, will pay 12.5% of net sales versus $250 for each event day, whichever is greater. NOW THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE' CITY OF PORT ARTHUR: z.pr15070 Section 1. That, the facts and opinions are true and correct; Section 2. That, the City Council of the City of Port Arthur hereby approves the contract between the City of Port Arthur and TLSK Management Co. as the third party concessionaire at the Robert A. "Bob" Bowers Civic Center. Section 3. That the City Council deems it is in the best interest of the City to approve and authorize the City Manager to execute a contract between the City of Port Arthur and the TLSK Management Co of Port Arthur as the third party concessionaire for the Bob Bowers Civic Center as`delineated in Exhibit "A", with the following changes: • Term of Contract: This is a two (2) year contract commencing_on January 27, 2009. The City can terminate this Contract at its convenience, with thirty (30) days written notice. • TLSK Management Company will obtain liquor licenses prior to the sale of alcohol. • TLSK Management Company will have liability insurance in the minimum amount of $1,000,000, which will also cover alcohol sales, and the City will be listed as an additional insured. • If TLSK Management Company wants to use other soft drink companies, they need to bring their own dispensing machines. Section 4. ' That, TLSK Management Co. of Port Arthur shall sign the resolution agreeing to the terms hereof. Section 5. That, a copy of the caption of this Resolution 6e spread upon the Minutes of the City Council. READ, ADOPTED, AND APPROVED, this day of January, 2009, A.D., at a Regular Meeting of the City Council of the City of Port Arthur, Texas by the following Vote: AYES: Mayor: z.pr15070 Council members: NOES: Mayor ATTEST: Terri Hanks, Acting City Secretary APPROVED AS TO FORM: / ~~/L c~~~~. Mark Sokolow, City Attorney APPROVED FOR ADMINISTRATION: Steve Fitzgibbons, City Manager APPROVED AS TO FUND AVAILABILITY Rebecca Underhill, Assistant City Manager/Admire z.pr15070 AGREED TO TERMS HEREOF: TLSK MANAGEMENT CO. OF PORT ARTHUR BY: David Curtis, General Manager a a z.pr15070 t CONTRACT FOR THE THIRD PARTY CONCESSIONAIRE WITH THE BOB BOWERS CIVIC CENTER THIS AGREEMENT, made this _ day of January. 2009 by and between the City of Port Arthur, a municipal corporation organized under the laws of the State of Texas, hereinafter called "Owner" or "City" and TLSK Management Company, a (n) Corporation herein acting by and through David Curtis hereinafter called "CONTRACTOR ". WITNESSETH: That for and in consideration of the payments, terms, conditions, and agreements set forth herein, OWNER and CONTRACTOR agree as follows: I) The Contractor agrees to perform all the work described in the specifications;. and the. contract documents and comply with the terms therein; . • Pass all City of Port Arthur health Department requirements/standazds. • Hold any certificates required by the City of Port Arthur Health Department. • Agree to purchase soft drink products from the Civic Center designated supplier, which is Coca Cola Bottling Company. • Must have the ability to obtain and hold a temporary Liquor license for the Civic Center: This requirement may be necessary with little advanced notice: • Be able to provide minimum concession food and beverages (such as fountain drink needs, nachos, hotdogs, popcorn, chips, and candy). No major cooking, such as hamburgers, French fries, corn dogs, etc. will be required due to the lack of facilities . available to TLSK. (Cooking by TLSK on the exterior (west end) of the Civic Center is approved as long as it does not interfere with the event in any way and is accepted by the City of Port Arthur Health Department). • Be able to supply equipment and supplies, excluding fountain drink dispensers and ice machines; for all concession services. ~ When requested, provide all needed alcohol, ingredients and certified bartenders. • Acknowledge and accept the Civic Center Drrectors decision on which events TLSK shall sale food and beverage (including alcohol). At times, fundraising events and/or non- profit organizations may lie allowed to sale.food and beverage (including alcohol) at the Civic Center. Concession function is as follows: • During designated events where the Civic Center retains the control of the sale of food and beverages, and TLSK is requested to do so, TLSK will provide this service for the Civio Center. • Work with the Civic center Director and staff, along with the Event Producer on placement of any cash bars. z.pr15070 Event(s) times: • -Agreed upon set up.and strike/break down times with the Civic Center Director will be scheduled. • Concessions. will be open during designated event. open hours. • Prior to the start of an event where alcohol is being sold, acut-off Mime will be agreed upon by TLSK and the Civic. Center Director. Due to extreme circumstances from the event, a change in the cut-off time can be made with the agreement of TLSK and the Civic Center Director orhis designee. • No items or product will be left at the Civic Center after strike/break down times unless written permission is given by the Civic Center Director. Fees paid to the Civic Center: • For concessions (does not include alcohol) paid to the Civic Center - 26% of net sales ' versus $100.00, whichever is the greater amount. • Same fee for` multiple day events . • If additional food is requested or required by the Civic Center Director of the Event Producer, the sale of this food will be included iri the concession sales. • For alcohol sales for consumer shows/flat shows/smaller events with low sales volume and the like paid to the Civic Center - 12.5% of net sales versus $35.00 for the first event day and $25.00 for each event day thereafter, whichever is greater. • For alcohol sales for concerts and like events with high sales volume paid to the Civic Center - 12.5% of net sales versus $250.OQ whichever is greater. The Civic Center agrees to provide the following facility & storage: • Concession stand. • Use of an ice machine. • Events where TLSK will sell alcohol, some portable/cash bars may be needed at designated locations and the Civic Center will provide what they have available. • The only storage available to TLSK is during the event day(s) in operation. No overnight or extended storage will be available. Exception to the overnight storage is for events that last more than one day. • TLSK will be allowed to store some small equipment, like popcorn machine, inside the concession stand. • TLSK assumes responsibility for anything left overnight at the Civic Center. 2) This agreement is good for three years from signing. 3) The term "Contract Documents" means and includes the following: a) Agreement ' b) Advertisement for Bids c) General Information d) Bid e) Notice of Award 4) This agreement shall be binding upon all parties hereto and their respective heirs, executors, administrators, successors and assigns. 5) IN WITNESS WHEREOF, the parties hereto have executed, or caused to be executed by their duly authorized officials, this Agreement in (2 copies) each of which shall be deemed an original on the date first written above. . z.pr15070 Signed on the day of January , 2009. CITY OF PORT ARTHUR BY Stephen Fitzgibbons, City Manager Signed on the day of January , 2009 CONTRACTOR BY David Curtis, TLSK General Manager z.pr15070