HomeMy Public PortalAboutAB 21-275 Parks Concession Use Agreement ExtensionMcCALL CITY COUNCIL 216 East Park Street
AGENDA BILL McCall, Idaho 83638
Number AB 21-275
Meeting Date November 18, 2021
AGENDA ITEM INFORMATION
SUBJECT:
Request for Approval of a Three Year Extension to an Existing Parks Concession Use Agreement to reflect new ownership
Department Approvals
Initials
Originator
or
Supporter
Mayor / Council
City Manager
Clerk
Treasurer
Community Development
Police Department
Public Works
Golf Course
COST IMPACT:
Increased Revenue Stream
Parks and Recreation
KW
Originator
FUNDING SOURCE:
Concession Agreement Fee Revenue
Airport
Library
TIMELINE:
November 18, 2021
Information Systems
Grant Coordinator
SUMMARY STATEMENT:
At the October 21 Meeting, Council approved an assignment of interest in a concession use agreement from Cheap Thrills Rentals to the new owners Cheap Thrills LLC for the remainder of
the agreement. The new owners, at the request of their lender, requested an extension or renewal of the concession use agreement with the City once the sale was complete. They were
informed that this action would need to follow the process outlined in the Guidelines for Commercial Activity and Concession Sales Within McCall City Parks, which would be the same
course of action for any new or existing concession proposal.
Within the Guidelines, there is a calendar window for staff to review large and small concession proposals and a process for review and approval which involves meeting with staff, staff
review, and a presentation to the Parks and Recreation Advisory Committee (PRAC) who then provide a recommendation to City Council. The Ikolas submitted their proposal within that calendar
window and have met with staff and presented to the PRAC. The proposal requested a 3–5-year extension of the existing agreement. Under that proposal, the concession operations would
not change from what is outlined within the existing agreement and an adjustment to the annual concession fee amount to reflect changes in the Consumer Price Index over the life of
the existing agreement. That amount equates to an estimated annual increase from $7,100 to approximately $9,200. Cheap Thrills LLC proposed we round the fee up to an even $10,000.
The current agreement and operation have continuously proven to function as an ambassador program for the department and the facility. It has helped staff monitor use, generate revenue,
and streamline parking. Based on the department’s current efforts and the time frame to update the Parks & Recreation Master Plan, and recent efforts to better understand and study
the impacts of increased use on Payette Lake a three-year extension will put us in a position to maintain operations while we complete these studies and plan for future needs and assessments.
It is staff and the PRAC’s unanimous recommendation to extend the existing Concession Use Agreement with Cheap Thrills LLC for 3-years.
RECOMMENDED ACTION:
Extend the existing Concession Use Agreement with Cheap Thrills LLC for three years, with an increase in the annual concession fee from $7100 to $10,000 and authorize the Mayor to sign
all necessary documents.
RECORD OF COUNCIL ACTION
MEETING DATE
ACTION
10/21/21
Approved the Assignment of Interest in the Concession Use Agreement