HomeMy Public PortalAbout2021.10.21 Consession Agreement - Cheap Thrills LLC CONSENT TO
ASSIGNMENT OF INTEREST
THIS ASSIGNMENT is made and entered into this day of Q( 19e r ,2021,
by and between the Chuck Whitescarver and Peggy Whitescarver, dba Cheap Thrills Rentals,
hereinafter referred to as"Assignor,"and Cheap Thrills LLC,an Idaho Limited Liability Company,
hereinafter referred to as"Assignee,"and the CITY OF McCALL,IDAHO,a municipal corporation,
hereinafter referred to as "the City."
WITNESSETH:
WHEREAS,the City and Assignor entered into that certain Concession Use Agreement dated
November 29, 2012, and signed by the City December 3, 2012, and signed by Assignor on
December 11, 2012, attached hereto as Exhibit A hereinafter referred to as "the Agreement;" and
WHEREAS,Assignor wishes to assign all of their rights,duties,obligations and interests,in
the Agreement without limitation to Assignee for the remainder of the term of the Agreement; and
WHEREAS,Assignee wishes to assume,without qualification or precondition of any kind all
of Assignor's rights, duties, obligations, and interest in the Agreement without precondition,
modification or accommodation of any kind whatsoever for the remainder of the term of the
Agreement; and
WHEREAS,the City agrees and consents to the assignment between Assignor and Assignee
as described herein.
NOW THEREFORE, the City, Assignor and Assignee do hereby consent and agree as
follows:
1. The City consents to Assignee's assumption of Assignor's interest in the Agreement
provided that Assignee agrees to assume all, and nothing less than all, of Assignor's rights,
ASSIGNMENT OF INTEREST- 1.
obligations,duties and interest,in the Agreement without any precondition,change in the Agreement
or qualification of any kind whatsoever on the part of Assignee.
2. The City's consent shall be effective upon written notice to the City of the assignment
of Assignor's interest in the Agreement to Assignee, and acceptance thereof by Assignee.
3. This consent shall be effective throughout the term of the Agreement and shall not be
construed to operate as a waiver or amendment of any of the terms of the Agreement except that
Assignee shall assume all of Assignor's right's duties and obligations as provided in the Agreement.
4. The above and foregoing recitals shall be considered a part and parcel of this
Assignment.
IN WITNESS WHEREOF, the parties have hereunto set their hands the day and year first
above written and do hereby agree to the terms as provided herein.
ASSIGNOR:
LIZ
Chuck Whitesca er Date
41'e#FVhitescarver Date
STATE OF IDAHO )
:ss
County of Valley )
On this ok5� day of OcA-06e f ,in the year aoa..l ,before me,Chuck Whitescarver
and Peggy Whitescarver known or identified to me to be the persons whose names are subscribed to
the within instrument.
T 1
, SARAH EN
SE` 44ARY PUBLIC-STATE OF IDAHO
COMMISSION NUMBER 20200108
MY COMMISSION EXPIRES 1-10 2026 Notary Public for Idaho
ASSIGNMENT OF INTEREST-2.
ASSIGNEE:
Cheap Thrills LLC
By: :gn6�l U1.2$�2d.2�
Gerry Ikola Date
Bj Ain 0 ft)
achae kol Date �
STATE OF IDAHO )
:ss
County of Valley )
On this day of Qc}pb6a in the year 2021, before me,
a Notary Public,personally appeared Gerry kola and Rachael Ikola,
the of the Cheap Thrills LLC,known or identified to me to be the
person whose name is subscribed to the within instrument,and acknowledged to me that he executed
the same on behalf of Cheap Thrills LLC and was authorized to do so.
SARAH EDSON
NOTARY PUBLIC-STATE OF IDAHO
COMMISSION NUMBER 20200108 Notary Public for Idaho
MY COMMISSION EXPIRES 1-10.2026
(SEAL) Commission Expires: I— l0 —ZOZ6
ASSIGNMENT OF INTEREST-3.
CITY OF McCALL, IDAHO
By:
Robert S. Giles, Mayor
Attest:
BessieJo W gner, City 4rk
STATE OF IDAHO )
:ss
County of Valley )
On this 22 day of 0CAyhe-,✓ in the year 2021, before me,
a Notary Public,personally appeared Robert S.Giles&
BessieJo Wadner, the Mayor and City Clerk, respectively, of the CITY OF McCALL, IDAHO,
known or identified to me to be the persons whose names are subscribed to the within instrument,
and acknowledged to me that they executed the same on behalf of the City of McCall, Idaho and
were authorized to do so.
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(SEAL) .� ••'y PUB..• * r---
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ASSIGNMENT OF INTEREST-4.
EXHIBIT A
The Concession Use Agreement
ASSIGNMENT OF INTEREST-5.
CONCESSION USE AGREEMENT
THIS USE AGREEMENT (hereinafter referred to as the "Agreement") is made and entered into
this 29 day of November 2012, by and between the City of McCall hereinafter referred to as
"City", and Chuck Whitescarver and Peggy Whitescarver, dba Cheap Thrills Rentals hereinafter
referred to as "Licensee", located at 303 North 3rd Street, McCall, Idaho 83638.
WHEREAS, the City of McCall is the owner of Legacy Park and the Municipal boat launching
ramp in Payette Lake located at the west end of Fir Street in McCall, Idaho (hereinafter referred
to as"City Boat Ramp").
WHEREAS, on November 29, 2012 the McCall City Council approved limited use of the City
Boat Ramp and designated beach area by Cheap Thrills Rentals, from January 1, 2013 to
December 31,2022, subject to the terms of this agreement.
NOW,THEREFORE, City and Licensee, agree as follows:
1. The term of this Use Agreement shall be from January 1, 2013 to December 31, 2022.
2. Licensee agrees to follow the terms set out in Licensee's proposal, attached as Exhibit A, to
the extent not inconsistent with the specific terms of this agreement, and to comply with all
applicable laws, including the McCall City Code, and agrees that its use of the City Boat Ramp
and designated beach area is nonexclusive and shall not interfere with any other public use.
3. Licensee shall maintain regular hours of operation which shall not begin earlier than 7:30 a.m.,
and shall end not later than 7:00 p.m. each day, Sunday through Saturday. Licensee shall be
allowed to operate evening hours of 7:00 p.m. until 9:30 p.m. for four (4) nights per week to be
coordinated with the Parks and Recreation Director.
4. All boat instructions and safety awareness must be completed at Licensee's regular place of
business or on City Docks.
5. All personal watercraft instruction and safety awareness must be completed at Licensee's
regular place of business or on designated beach area.
6. After loading and unloading of watercraft, trailers will be parked in designated trailer parking
area located east of Municipal boat launch ramp as coordinated with the City of McCall or off-
site,and done in a timely manner.
7. All major repair work will be completed off of City property.
8. Watercraft refueling will be done away from City beaches.
9. Public has primary use of the boat launch ramp, docks and beaches.
Pagel of 4
Concession Use Agreement
November 29,2012
10. Pamphlets, brochures, and flyers will not be given to public in Legacy Park, unless requested
by a member of the public.
11. A. All clothing worn by employees must clearly identify the individuals as employees of
Licensee.
B. All vehicles used by the Licensee or their employees must display an identification tag
or sticker.
12. Licensee shall immediately provide the City of McCall a Certificate of Liability Insurance
(ACORD Form 27) with the City added as an additional insured in an amount not less than
$1,000,000 per occurrence, and also agrees to indemnify and hold the City harmless from any
and all claims arising out of Licensee's use of the City Boat Ramp and designated beach area.
Licensee shall not use the City Boat Ramp or designated beach area until the Certificate of
Liability Insurance described herein has been provided to the City of McCall.
13. Nothing contained in this Agreement shall create any relationship between Licensee and the
City as partners,joint venture, principal and agent, or employee and employer. This relationship
is solely that of an independent user with permission for the non-exclusive use of the City Boat
Ramp from January 1, 2013 to December 31, 2022.
14. Either party may terminate this Agreement upon 90 days written notice.
15. In the event Licensee breaches this agreement, City shall provide Licensee with written
notice of the default, either delivered to Licensee at its registered office or mailed by regular first
class mail to Licensee's address set forth above. In the event the default, in the sole discretion of
City, constitutes a threat to the health, safety or welfare of City, its citizens, or Payette Lake, City
may demand that Licensee immediately cease operations at Legacy Park and the Boat Ramp,
which operations will not be allowed to resume unless, and until, the default is cured. For
defaults not involving a threat to the health, safety, or welfare of City, its citizens, or Payette
Lake, such default must be cured not later than five (5) days after personal delivery or mailing of
the written notice. Failure to cure a default, or repeated defaults, of whatever nature, shall be
grounds for termination of permission to use City property.
16. The negotiated fee for the Concession Agreement shall be $7,100 yearly, which sum is
payable prior to Licensee's commencement of operations, but in any event not later than May 14
of each year. The Fee shall be adjusted annually effective May 1, 2013 and each May 1
thereafter, for the term of this Agreement, according to the percentage increase of the Consumer
Price Index (Bureau of Labor Statistics) using the Western Urban index for the twelve calendar
months prior to and including the month of March immediately preceding the date the fee is
payable.
17. This Agreement authorizes Licensee to conduct commercial activities as described in Exhibit
A from the southerly face of the southernmost dock at the Municipal Boat Launching Ramp near
the west of end Fir Street and on 106 feet of beach south of the Pump station dock in Legacy
Park.
Page 2 of 4
Concession Use Agreement
November 29,2012
18. The City reserves the right to relocate the licensee to another location within Legacy Park or
adjacent City-owned waterfront areas during the term of this agreement.
The effective date of this agreement is the 1 day of January, 2013.
CHEAP THRILLS RENTALS:
a
By:,,
Chuck Whitescarver
B C Y__
Peg,JyVhifescarver
CITY OF WCALL:
oF
°Cyr'%�� Donald C. Bailey, Mayor
EST:
' DABessieJo W gner, Citykrerk
Page 3 of 4
Concession Use Agreement
November 29,2012
STATE OF IDAHO, )
ss:
County of Valley )
On this day ofCe��Lfx�' , 2012, before me, a Notary Public,
appeared CHUCK WHITESCARVER and PEGGY WHITESCARVER, husband and wife,
known or identified to me to be the LICENSEE that executed the said instrument, and
acknowledged to me that he/she executed the same Qn behalf of CHEAP THRILLS RENTALS.
to
(SEAL) �SE « 7'gN•ti• Notary Public for IdAho
4� tyOTgRr c�2; Commission Expires:
S
TF OF
STATE OF IDAHO, )
ss:
County of Valley )
On this day of , 2012, before me, a Notary Public,
appeared DONALD C. BAILEY AND BESSIEJO WAGNER, known or identified to me to be
the MAYOR AND CITY CLERK RESPECTIVELY OF THE CITY OF MCCALL that
executed the said instrument, and acknowledged to me that he/she executed the same on behalf
of THE CITY OF MCCALL.
(SEAL) O*ILA $&*ILA Notary Public for Ida o l
Commission Expires:
Page 4 of 4
Concession Use Agreement
November 29,2012
Attachment A
CHEAP THRILLS RENTALS
For 2013-2022
Watercraft Rental Concessionaire Proposal
For Legacy Park
Statement of Compliance:
It is a commitment of Cheap Thrills Rentals to be in compliance with all rules and
requirements set forth by the City of McCall.
We agree to use the beach area no longer than 7:30 am until 10:00 pm unless coordinated
with the City of McCall.
We agree that all boat instruction and safety awareness will be completed only at our place
of business or the designated City docks.
We agree that all personal watercraft instruction and safety awareness will be completed at
our place of business or at designated beach area.
We agree that after the unloading and loading of watercraft, our trailers will be parked in
designated trailer parking area located East of the Municipal boat launch ramp as
coordinated with the City of McCall or off-site and done in a timely manner.
We agree that all major repair work will be completed off city property.
We agree that watercraft refueling will be done off city beaches.
We agree that the public has primary use of the boat launch ramp, docks and beaches.
We agree that no pamphlets, brochures or flyers will be given to the public in the Park
unless requested by a member of the public.
We agree that all vehicles and clothing worn by employees will be clearly identified with
our company name.
We agree that all of our operations will be in compliance with City code.
We agree to continue to provide a Certificate of Liability insurance with the City as an
additional insured in our current amount of$1,000,000 per occurrence, and indemnify and
hold-harmless the City from any and all claims that may arise from rental operations.
Proposed Services:
It is our proposal to continue to conduct our family owned and operated business, Cheap
Thrills Rentals, at 303 North Third Street in McCall, by offering the same summer season
services of personal watercraft and boat rentals as we have done for the past thirteen years.
We are currently in our 141h year of operation renting personal watercraft, boats and
snowmobiles. We rent only Yamaha Waverunner personal watercraft. There are two
reasons for this. The first is that they are the number one rental machines in the country.
Throughout the world water quality issues are being brought to the forefront and for many
years now have been addressed by the watercraft manufacturers. Yamaha is committed to
lead the industry in environmental technology and we have found them to be overall a
superior product, as we have tested just about every brand in our rental fleet. They also
have more renter friendly machines. WE DO NOT OFFER HIGH PERFORMACE
WATERCRAFT TO BE USED ON OUR LAKE. We find that with the experience level
I
Concessionaire Proposal
s
Attachment A
We purchase a portion of our fleet brand new each year. This year we expect to have
completed our transition to an entire 4 stroke fleet.
This year we are again requesting a multi-year permit. We request a five year permit if at
all possible to tie in with the upcoming renewal of our building lease. The amount of
beach area we are proposing to use for the term of the agreement is the same 106 feet as we
have had the past three years. If in any year of this agreement no one else applies for and
is granted the remaining 54 feet of motorized beach available immediately south of the
south side of the launch ramp, we would like to add this area to our permit for that year.
This way the city is guaranteed the full fees each year to fund the boating ambassador
program. Since we have a rather large fleet of watercraft, we can certainly use the extra
space. As far as concession fees are concerned, we accept paying what the Park and
Recreation Advisory Committee is proposing and requesting in their guidelines of$9.44
per foot,plus the $50 per machine fee. The number of personal watercrafts we will be
renting will be approximately 36 but this number may change due to our dealer's ability to
obtain the machines to fill our current watercraft order. These details are not usually
determined until spring from the factory so as of the date this proposal is due we can only
plan for approximate maximum possibilities. For this multi-year agreement, we propose
an escalation factor equal to the Federally posted cost of living index,thereby keeping pace
with wages and the economy of the nation.
Our day to day operation would continue as in the past years. Our customers come to the
office to conduct transactions and complete a portion of their training. A portion of the
training needs to be done at the beach and/or dock at the time the customer takes possession
of the equipment. At the end of day the equipment is checked in by our staff and then
loaded on trailers and taken to the gas station to refuel before returning to our location for
storage. We limit the number of machines that we do half day morning and afternoon
rentals on that require turnarounds, being re-launched. At the half day on boats they are
refueled at the gas station before re-launching. On personal watercraft, part of them are
taken to the gas station for refueling and part are refueled on a trailer using the refueling
tank in our company trucks. This is an official fueling tank with hand held nozzle with
automatic shut off, etc. as used at any gas station. We are aware this is only to be done in
the designated area. We have NEVER had a fuel spill doing this but do have safety
procedures in place for in the event it ever did occur, including carrying the absorbent fuel
collection pads in our vehicles.
We normally do not begin putting watercraft on the beach until Sam. They are usually
picked up approximately 7pm but this may vary if a customer is late, etc. We do have a
very small number of them out later than this on occasion for a few weeks of the summer,
but those are off the lake by sunset.
Chuck has extensive boating and safety training as well as first aid and CPR. This
information is passed on to our employees during their extensive training time. Each
employee that works at the beach area has to do a one on one internship with Chuck to be
allowed to perform their duties. We are quit strict on this matter and most of our
employees work for us for several years as their summer job through high school and
3
Concessionaire Proposal
Attachment A
college. Our policies and safety procedures are reinforced throughout the summer. All
employees carry in their vehicles or on their person first aid kits, fire extinguishers,
absorbent fuel collection pads and cell phones. They also obviously have to be in good
physical shape and be able to swim well enough to assist in a rescue if ever need be. We
have never had to use an emergency procedure but our staff is prepared in case such events
occur.
Personal watercraft renter's training is mandated by the state. The state actually goes
undercover to the rental companies as a customer to observe the training procedures in
place and to check compliance. We have never had a violation. Instead quit the opposite
has occurred. We have been informed on multiple occasions by the state that we have, in
place, the best renter training on our boats and personal watercraft of all the rental
companies in the state. We have had this renter training in effect long before the state
began requiring it. We have been told by the state that we are the model they want other
rental companies to go by. The state requires anyone driving rental watercraft to watch a
safety video in which they now provide. We are also required to read renters a list of
boating laws prior to them obtaining an acknowledgement of education card they are
required to carry on board when operating watercraft. When the renter then gets to the
water we have them go through yet another training period on proper operation, safety, fire
extinguishers and proper beaching and starting of equipment to prevent beach and
equipment damages, and safety pertaining to the specific equipment they are renting prior
to them getting on the watercraft. Our renters are advised to not operate near the no wake
zone along the border of the lake and also to not operate in the same area for an extended
period as to minimize any annoyance to waterfront property residents. They are advised
on restricting noise as much as possible. Each renter is given a map of the lake and are
pointed out the known lake hazards. Our maps all indicate that we do not allow any of our
watercraft up the river at north beach.
One of the rules that we have to read to the renter is about not drinking and driving. We
stress this point to our renters. We work very closely with the sheriff's department on
enforcement of all of the laws and do require our renters to sign that they will obey all
local, state and federal laws. The sheriffs department has confirmed to us that they have
NEVER found one of our renters to be intoxicated and will send you a letter to this effect if
you would like. We provide to all of the sheriff's patrol boats copies of our renter
checklist so they are aware of what all is covered in our training in the event they have to
stop one of them. We point this out to our renter. We also let them know that if we view
them breaking the law we will call the sheriff ourselves, as we have had to do on rare
occasion.
One of the rules the state has had in place that usually surprises people is that there is no
age limit in the state of Idaho for operating personal watercraft. We have again confirmed
this with the state Department of Parks and Recreation as of the date of this proposal. If
you are a private user you can be 5 years old and be a legal driver. There is also no
required training for private users when they purchase a watercraft. The local dealer does
frequently send new buyers to our office to go through our training program as they are
aware of the extent we go to. We were informed there was an attempt to set an age limit a
4
Concessionaire Proposal
Attachment A
few years ago but it was defeated by the state legislature. Being a rental company we can
set guidelines and age limits we require renters to adhere to. In the event someone makes
a statement that rental companies are known for renting to under-aged and undereducated
people, quite the opposite is actually the case. Perhaps this is an issue that the city will
feel compelled to address with state representatives to revisit the potential for at least
setting minimum age limits.
We opened our family business 14 years ago. We began then and continue to be the
lowest prices in McCall. Our Waverunner half day rate (4 hour rental) is $130 per
machine and our full day (8 hour rental) is $180. The price on our personal watercraft
includes the first tank of fuel. You will find that our prices are much lower than other
resort areas. Our focus is affordable family friendly prices, great products and the very
best in customer service. The vast majority of our customers are simply families wanting
to spend quality time together. We are frequently told by customers that this is the
highlight of their vacation and that they will come back to McCall because of us. They are
always impressed that we care about the quality of their stay and the safety of their
families. It's what people expect from a small town. We try to impress upon our
employees that what may be a simple boat rental to them is a lasting memory to our
customers, perhaps the last fishing trip with a terminally ill family member, a bridal party
arriving at a lakeside ceremony, teaching their children to ski for the first time, or even a
marriage proposal. It may also make the difference in the quality of the persons stay in
McCall. Though they may not choose to do lake activities the next time they come to
town, there will be hotels, restaurants, shops and other businesses that will benefit from
their experience with us.. We are very much aware that our employees represent our
business, our family, our town. We stress upon them our"ambassador theory"and they
are encouraged to help the general public whenever possible and to insure that they
conduct themselves in a professional and friendly way. Chuck works at the water every
single day of the summer. He does the majority of the waterfront watercraft safety
training. He works alongside our employees and sets a standard for quality control and
compliance they must meet. In addition he has had our employees assist him in helping
clean the beach regularly ever since we've been open. This past year our business
employed 19 people. It is probable that this number will grow.
We are hoping that we have adequately addressed the concerns of the Advisory Committee
set forth in the proposal guidelines. If additional questions arise as a result of this
proposal, we will gladly meet with you or we can address them in writing if that is your
preference. In addition, if there is ever subject matter before the Advisory Committee or
the City that could benefit from our knowledge and experience, we would be happy to
assist in any manner possible. We would like you to know that we are the only rental
company of our kind to ever last more than a year or two that does rentals only. The only
other long term successful rental companies have also been dealers that did not rely
completely on rentals for the success of their business. We believe this should account for
something and would indicate that we must be the kind of reputable business that the public
and City can feel good about.
5
Concessionaire Proposal