Loading...
HomeMy Public PortalAbout2003 03/28 Golf Pro Agreement McCALL CITY GOLF COURSE AGREEMENT FOR PROFESSIONAL GOLF SERVICES THIS AGREEMENT, made and entered into this 28th day of March, 2002, by and between the CITY OF McCALL, IDAHO, (the "City") a Municipal Corporation, organized and existing under the laws of the State of Idaho, and Michael Buss of McCall, Idaho, hereinafter called the Professional. WITNESSETH: WHEREAS, the City owns a Twenty-Seven (27) hole golf course and clubhouse and desires to contract for a five (5) year period ending December 31, 2006, for the operation thereof by the Professional upon the terms and conditions hereinafter set forth; NOW THEREFORE, the parties do hereby mutually agree as follows: I. QUALIFICATIONS OF PROFESSIONAL: Professional shall be a Class A member of the Professional Golf Association (PGA) in good standing for the duration of this agreement. All services rendered shall be in conformity with the PGA Code of Ethics. II. GENERAL CONDITIONS: A. Professional shall be an independent contractor and not an employee of the City. B. Professional shall be solely responsible for hiring, training and supervising all assistants, marshals, starter and such other employees as are necessary to satisfactorily perform his duties under this agreement. C. The Professional shall attend all meetings of the Golf Advisory Committee, and to meet periodically with the City Manager and City Director of Golf and Parks Operations in order to maintain effective communications and enhance the quality of overall operation and maintenance of the City's Golf Course and Golf Club House; it shall be the responsibility of the Director of Golf and Parks Operations to inform the Professional of the time and place of Golf Advisory Committee meetings, and the Professional is entitled to reasonable vacations, authorized by the City Manager, one or more of which may conflict with such a meeting; D. Professional shall conform his conduct to all applicable laws and regulations, including but not limited to, payment of payroll taxes, provision of worker's compensation coverage, and obtaining and maintaining all necessary business licenses. E. The Professional's responsibility shall extend throughout the playing season at the McCall Municipal Course and such period of time immediately prior and subsequent as are necessary to prepare for seasonal operations and to conclude each season's activities. PROFESSIONAL GOLF SERVICES AGREEMENT - PAGE 1 F. The Professional shall, at his expense, maintain such records as is directed by the City Treasurer so as to provide meaningful cost and revenue data on the major elements of his operations, including revenue and expense breakouts for each major element of his operation. This shall include a minimum, cost-revenue data for the 1) practice range, 2) pro shop merchandising, including costs of goods, 3) Restaurant operations, 4) daily and seasonal passes and trail fees, and 5) cart and equipment rentals. The Professional shall also remit all receipts to the City on the next business day along with summary reports, journal tapes, and "Z" tapes annotated with explanations for any differences between register tapes and actual receipts; itemize state sales tax separately from sales price on all individual transactions at the Restaurant, and to account separately for sales tax in all reports furnished to the City in cooperation with the City Treasurer (the City will handle sales tax remittances to the State); and to provide a change bank for each cash register; The information format and reporting cycle(s) shall be at the discretion of the City Treasurer who shall be authorized to establish such audit controls as he deems appropriate including, but not limited to, such information and documents as necessary to perform an audit. This shall require provision of individual payroll data for all employees as well as compensation to any individuals working as independent contractors. This data shall be deemed confidential in nature, with disclosure limited to the City Treasurer, City Manager, Director of Golf and Parks Operations, and City Auditors. Public disclosure shall be exempt pursuant to Section 9-340(5) Idaho Code, unless otherwise consented to by Professional. At any time discussion of the data referred to herein is required between the City Council and the Professional, such discussion by the Council would be open to the public. Therefore it is understood that the Professional will request an executive session with the Council. Failure to do so will be deemed to be consent by the Professional for public disclosure of such data discussed. G. All services and facilities shall be offered and operated on a non-discriminatory basis to all members of the public in conformance with the fees and rules established by the City of McCall. H. The City Manager, or his designee, shall be the City's representative for the administration of this contract. Unless otherwise directed by the City Manager, the Director of Golf and Parks Operations is that designee for all operational issues. III. PROFESSIONAL SERVICES: A. Duties - Control of Golf Play 1. Professional shall be responsible for collecting and remitting all fees associated with play at the City's Course including daily fees, seasonal pass fees, trail PROFESSIONAL GOLF SERVICES AGREEMENT - PAGE 2 fees, locker fees and fees, if any established for city owned public cart storage. All fees, including applicable sales tax, shall be remitted to the City or its designee the first business day following receipt. In addition, the Professional shall provide a listing of season pass holders' names and addresses when remitting the fees to the City. 2. Professional shall accept tee time reservations and schedule regular play in conformity with the regulations adopted by the City during the golf season as determined by the City. The tee sheet daily log of all players shall be forwarded daily to the City Treasurer. Seasonal and life passes shall be honored for play. 3. Professional shall monitor play and players upon the course so as to ensure timely progression of play, observation of golf etiquette and preservation of turf conditions. Toward this end he shall provide vehicles for and employ golf course marshals for not less than 750 hours for the season as required to enforce golf course rules and regulations; provided, however, the City reserves the right to assume directly the responsibility for employment and supervision of the marshals; in such event, the management fee shall be subject to adjustment to reflect any reduction in costs to the Professional. 4. The Professional shall provide an adequate supply of score cards and pencils sufficient for seasonal play. 5. The Professional shall have the authority to remove or prohibit anyone from the course who willfully violates course rules, regulations or accepted golf etiquette; such decisions may be appealed in writing to the City which shall set a hearing within sixteen (16) days of receipt of the appeal. The City's decision on such matters shall be final. Appeals shall be mailed to: City Clerk, City of McCall, 216 East Park Street, McCall, Idaho, 83638. A valid appeal must be received not later than fifteen (15) calendar days after the event or incident. 6. Golf Course rules and regulations and playing fees shall be established and approved by the City Council, and shall be published and posted by the Professional together with locker rental, cart storage and trail fees in a conspicuous place at the Golf Course Clubhouse and filed with the City Clerk. The Golf Professional shall request City Council approval for all proposed increases in tournament fees through the Golf Advisory Committee. 7. It is agreed that at a minimum the data to be provided to the City Treasurer or designee is the following: a. Daily Tee Sheet Log - daily b. Marshall Payroll Records - pay cycle c. Season/Discount Pass Sales - as scheduled d. Prepaid Tournament Entrants - as received e. Trail Fees - as received f. Locker Fees - as received PROFESSIONAL GOLF SERVICES AGREEMENT - PAGE 3 B. Duties-Tournaments 1. The approved annual tournament schedule shall include conduct of the following: a. McCall Amateur b. McCall Chapman c. McCall Pro-Am d. Two Man Best Ball e. Two Lady Best Ball f. Two Man Scramble g. Idaho BSU Tournament (or comparable event) h. The McCall Seniors Tournament i. The Idaho Junior Golf Association Tournament. Provided, however, the Professional shall be responsible for setting the actual dates of tournament play in coordination with the Idaho Golf Association Tournament Committee; no greens fees are chargeable for these approved tournaments, provided that a surcharge may be required by City of each participant in the amount of $10.00 per tournament round Proposed changes to the above schedule of approved tournaments shall be first submitted by the Professional to the Golf Advisory Committee for review and recommendation prior to submission to the City Council for possible action; if approved by resolution it shall be deemed incorporated in this agreement by reference. The Professional shall so manage tournaments as to assure that no less than 9 holes of the golf course remain available for public play during tournaments unless approved in writing by the City Manager or, in the event of adverse weather, by verbal approval by the Director of Golf and Parks Operations. All 27 holes will be used for the 2 days of 2 Man Best Ball and the 2 days of the McCall Amateur tournament. 2. The Professional shall also be responsible for scheduling convention tournaments, men's and women's golf association tournaments and league play and such other tournaments, including convention related play, as can be reasonably accommodated at the golf course considering weather, seasonality, course playing conditions and utilization by season pass holders. 3. The Professional shall cooperate with the conduct of the McCall "Calcutta." 4. The Professional shall establish and maintain a separate trust account with City named as joint trustee for prepaid tournament fees; a list of entrants, to include mailing addresses, shall be provided as funds are deposited. The trust funds shall not be distributable until the event for which they were collected takes place; interest earned, if any, shall be applied to tournament expenses or prizes, as well as principal. PROFESSIONAL GOLF SERVICES AGREEMENT - PAGE 4 5. The Professionals shall maintain an adequate inventory of golf equipment, accessories and apparel so as to guarantee a reasonable selection of merchandise as prizes for tournament review. 6. The Professional shall maintain a waiting list for all tournaments and provide a copy of the list to the City at the conclusion of each tournament. 7. The Professional shall maintain a participant list for all tournaments, to include contact information for each player, and provide a copy of the list to the City at the conclusion of each tournament. C. Duties - Instruction 1. The Professional shall conduct twenty(20) hours per year of free golf instruction to at least ten (10) area youth between nine (9) and fifteen (15) years old. Scheduling shall be coordinated with the City's Recreation Department. In the event that reasonable recruitment efforts are undertaken and the Professional fails to locate sufficient numbers of youth to undertake these lessons, failure to achieve this provision of the agreement shall not be cause for termination. An adequate instructional staff shall be made available for private instruction in conjunction with the Practice Range. D. Duties - Storage/Locker Area 1. The Professional shall be responsible for maintenance and operation of the club and cart storage and locker area within lower level of the Clubhouse facility. This shall include policing and cleaning the storage and locker areas generally. He shall allocate the lockers and storage area in an equitable manner, collect all established fees and remit same as provided above to the City. E. Duties - Restaurant and Bar 1. The Professional shall manage Restaurant, which shall include performing the following duties, as well as other duties necessarily implied herein: a. To hire, fire, and supervise all Restaurant employees engaged in the operation of the business of Restaurant, to include bartenders, wait persons, bus and cleaning persons (except such as are furnished by caterers contracting with persons reserving the building for an event); to be responsible for salaries and benefits and ensure compliance with all state and federal labor laws including FICA, state and federal income tax withholding, unemployment insurance and workman's compensation insurance; b. To furnish the City a Certificate of Insurance evidencing Workman's Compensation Insurance for its employees; to provide $500,000 single limit insurance in the following categories: general liability, products (food and drink), PROFESSIONAL GOLF SERVICES AGREEMENT - PAGE 5 maintenance, and liquor liability; to provide $10,000 cash loss, theft or embezzlement bond or insurance; and to provide a Certificate of Insurance evidencing such insurance and the naming of the City as an additional insured on all such policies; c. If the Professional elects to accept credit cards, to request proof of identity of the cardholder submitting the card if that identity is not already known; d. To provide the necessary food, beverages and consumable supplies used in the business of Restaurant, provided, that the Professional shall allow food caterers access to the facilities on a nondiscriminatory basis; and to operate the bar. e. To determine the prices to be charged for food and drink served in Restaurant, none of which prices shall be stated to include sales tax; and to demonstrate at all times the requisite business and management skills to operate Restaurant successfully; f. To do no act which in any way implies that the Professional has any interest in the beverage dispensary licenses applicable to Restaurant, which are and will remain the property of the City or are issued by and revocable by the City; g. To comply with all terms of the Special Use (Conditional Use) Permit for the golf clubhouse, insofar as relates to operations of the Restaurant; h. To furnish each month a profit and loss statement for Restaurant operations in form and content satisfactory to the City Treasurer, including a full statement of expenses with supporting receipts, and proof of payment of unemployment insurance, payroll taxes and withholding, and workman's compensation insurance; and not later than sixty days after the end of operations for each year of this Contract, to furnish a complete financial report to the City to include balance sheets, and profit and loss statements, in form and content satisfactory to the City Treasurer; i. To, at a minimum, operate the Golf Clubhouse Restaurant during the golf season during daylight hours, handling all bookings and coordinating services; arranging and paying for telephone, garbage, lights, heat, water, and sewer during the period of this Contract; to handle all reservation-making for the use of the Restaurant of Clubhouse; and to inspect the premises daily to ensure that the heating and other systems are functional. During the times, if any that the golf course is closed by weather or other causes beyond the Professional's control; the Professional may in its discretion close Restaurant. The Professional shall obtain at its own expense any menus not on site. j. To insure employees do not smoke while working in the Restaurant or at the bar. k. To insure that employees do not consume alcohol while working. PROFESSIONAL GOLF SERVICES AGREEMENT - PAGE 6 To insure all employees are dressed professionally, are clean, courteous, efficient, and neat in appearance and are health certified (T.B., etc...), for food handling and preparation. USE OF PREMISES BY CITY FOR MEETINGS The City may use a portion of the restaurant for meetings without charge. Said meetings will not be deemed to cause a disruption to the Contractor. F. Duties - Other 1. The Professional in operation with the McCall Men's and Women's Golf Association shall provide for sanctioned handicapping in coordination with the USGA and IGA. He shall also coordinate league play'and tournament play activities with both organizations. 2. The Professional shall make himself available to the City's Golf Advisory Committee for information and consulting purposes so as to facilitate their duties as advisors to the City Council of McCall; he shall likewise cooperate with the Director of Golf and Parks Operations so as to deal appropriately with course conditions and tournament play. 3. The Professional shall develop and implement a marketing plan for promoting, advertising and developing play at the Golf Course; the cost associated with this shall be borne by the City subject to their review and prior approval; the initial annual budget figure is $2,500.00, subject to change on an annual basis. The marketing plan shall include, in addition to a proposed budget, targeted objectives and a summary of planned activities designed to progress towards these objectives. The Professional shall review the plan with the Golf Advisory Committee prior to submission to the City, the final plan must be provided to the City prior to March 31 annually for the following golf season commencing March 2003. 4. The Professional shall cooperate with the City's Auditors. IV. FACILITY OPERATIONS AND MAINTENANCE: A. Pro Shop 1. During the playing season the Professional shall maintain and operate the area set aside as a pro shop within the Clubhouse for the purpose of displaying and merchandising golf equipment, accessories, and apparel. He shall maintain a level of inventory throughout the season sufficient to permit an adequate selection for patrons of the course, including tournament player. Daily and seasonal golf passes, as well as cart, club and locker rentals shall be available through the shop. PROFESSIONAL GOLF SERVICES AGREEMENT- PAGE 7 2. The Professional shall provide adequate staffing and hours of operation for the pro shop so as to maximize play available to the golfing public, course conditions and weather permitting. 3. The Professionals shall, at a minimum, keep the pro shop open and staffed from 7:00 a.m. to 9:00 p.m., each day from June 1 through September 5th; operating hours prior to June 1 and subsequent to September 5th shall be based on hours playable due to weather and daylight. If the course is closed by the City Director of Golf and Parks Operations, the Professional may close the pro shop. 4. The Professional shall maintain through-out the playing season a pro shop telephone (634-7200) and will cover the costs of one line for call in purposes. In addition, the Professional shall make arrangements for an answering system in the off- season. B. Practice Range 1. The Professional shall maintain and operate the area set aside as a practice range for the use of the golfing public. He shall likewise be entitled to exclusively conduct golf instruction at the range for remuneration. Instruction shall be made available to individuals and groups, PGA qualified instructors shall be available at reasonable times. 2. The Professional shall be responsible for providing quality range balls, baskets and clubs in sufficient numbers to assure their availability throughout the season and may charge fees for their use. Responsibility for collecting, cleaning and disbursing the balls shall likewise be his responsibility. Portable tee mats may be made available at such time as are necessary to permit use of the range when use of the turf tee area is undesirable. Permanent tees, other than natural turf may be installed at Pro's expense, but only in consultation with and subject to the approval of the Director of Golf and Parks Operations. Likewise, any structures or facilities used for storage or disbursing of range balls shall be subject to like conditions and approval. 3. Turf upkeep and mowing is not the responsibility of the Professional, but he shall coordinate his operations with that of the Director of Golf and Parks Operations so as to permit timely turf maintenance activities by the Director of Golf and Parks Operations. 4. The Professional shall be responsible for policing the tee area of the practice range, as well as the maintenance of any structures, facilities, or equipment utilized by him in conjunction with the operation of the practice range. 5. The Professional shall keep specific records reflecting daily volume, revenues, expenditures, and all other income or expenses, direct or indirect, which can be reasonably attributed to the management and operation of the practice range. These PROFESSIONAL GOLF SERVICES AGREEMENT -PAGE 8 records shall be summarized monthly and made available to the City or its designee at least monthly or upon request. C. Clubhouse and Restaurant 1. The Professional accepts the Restaurant in its pre. sent condition, after complete inspection of the same. The Professional shall furnish the City a dated inventory, signed by the Professional, of all equipment and fixtures found by the Professional at the Restaurant when taking inventory in anticipation of possession. The Professional may remove City fixtures and appliances at the Professional's expense, and replace them with equal or better also at its expense, provided the Professional first obtains the written consent of the City Manager as to the change and as to storage or disposition of City property. 2. The Professional may at its expense install and provide other equipment. Any appliances, fixtures of other improvements installed by the Professional under this section will become the property of City upon the expiration of this Agreement, unless removed by the Professional prior to that date; if the Professional thus removes any appliance, fixture or improvement installed by it, it shall at its expense return and reinstall any stored City equivalent. C. Club/Cart Rentals 1. Rental of powered and pull carts, bags/clubs - The Professional shall provide, each day the course is open at least twenty (20) electrically powered golf carts, all in good repair, for rental to golf course patrons. He shall pay all expenses related to said carts, and shall receive all rental income for his own account. Rental rates for use of equipment shall be determined by him. 2. This right to rent carts, bags and clubs shall be exclusive. D. Maintenance 1. The Professional shall be responsible for routine maintenance of the areas for which he has facility responsibility and as otherwise detailed below. The Professional shall report any problem with building maintenance and utilities to the Director of Golf and Parks Operations. The Professional has no authority to contract for parts or services for building maintenance or utilities. a. Inspection: He shall make or cause to be made a daily physical inspection of the Clubhouse and adjacent grounds, including the parking lot, putting green, and practice range tee area reporting any unusual or unsafe conditions to the Director of Golf and Parks Operations immediately. PROFESSIONAL GOLF SERVICES AGREEMENT -PAGE 9 b. Clubhouse: He shall provide routine maintenance and janitorial services for the pro shop area upstairs and the lower level in its entirety, including lower level restrooms. These shall include, but not be limited to cleaning of windows, shampooing and cleaning carpets, and cleaning of restrooms, storage and locker areas. c. Grounds: He shall police daily or as necessary the Clubhouse grounds, putting green, parking lot and practice range tee area, collecting and disposing of any litter accumulation. d. Equipment Maintenance and Repair: He shall be responsible for routine cleaning and maintenance of City owned fixtures and equipment used by him and shall secure approval from the Director of Golf and Parks Operations prior to hiring out that service or purchasing replacement parts for such item. e. Restaurant: The Professional shall ensure that the facility is kept clean and attractive, including maintaining upstairs lobby, deck and rest rooms as well as providing towels, tissue, soap and other supplies, to include cleaning and maintaining all furniture, fixtures and appliances devoted to Restaurant use, including the interior walls and floor coverings, normal wear and tear excluded; f. Utilities: The Professional shall assume full responsibility and expense for all private telephone service, electrical or gas cart service, rental lockers and routine maintenance of all cart storage areas. The Professional shall also assume responsibility for payment of all taxes, utility bills (including water, electrical, sewer and garbage service), merchant invoices, and all other liabilities with respect to its operation of the golf course, clubhouse and restaurant. g. Supplies: He shall provide at his expense, supplies and tools necessary for carrying out his maintenance responsibilities, including light bulbs, soap, paper products and like consumables. 2. The City shall be responsible for all facility and ground maintenance and repair otherwise required, including electrical, plumbing and any structural matters, upkeep of landscaping and turf conditions and paving. V. FEES: In consideration of the professional services being rendered and the management, operation and maintenance of the City facilities set forth, the Professional shall receive an annual management fee of $182,000.00 payable one-fifth (1/5) on June 20, July 20, August 20, September 20, and ten (10) days following the close of the golf season provided all required information has been provided to the City. The Professional may request an advance payment of up to 75% of the current fiscal year's final installment of the annual management fee from the City Manager. Compensation is based on the City's fiscal year of October 1 to September 30. In the event total revenues from the clubhouse and restaurant exceed $175,000, the Professional and the City shall split the excess revenues on a basis of 10% to the City, 90% to the Professional. In the event that proceeds from greens fees, season and discount passes, trail fees, and locker PROFESSIONAL GOLF SERVICES AGREEMENT - PAGE 10 rentals exceed $500,000, the Professional and the City shall spit the excess revenue on a basis of 92% to the City and 8% to the Professional. The Professional's additional total compensation over the fixed fee shall not exceed $182,000.00. A. If either party believes that a change in the annual management fee would be justified, they shall submit a request for renegotiation supported by a justification. Both parties agree to negotiate in good faith the annual fee schedule for the balance of the term following the completion of the first year's operation, with a maximum adjustment of 5% up or down. B. All fee revenues collected by the Professional on behalf of the City shall be remitted to the City for deposit in designated accounts on a daily basis. These include green fees, season passes, trail fees, locker rentals, refunds and reimbursements, interest revenue, private contributions, sales of surplus property, restaurant sales, alcoholic beverage sales, clubhouse rental, and $10.00 per tournament round for a total of eight tournaments. Tournament entries shall be handled through the joint trust depository defined above. All other non-credit card revenues shall remain with the Professional. In the event that a patron makes a purchase on a credit card that includes revenues due to both the Professional and the City, the City shall reimburse the Professional the full amount of the Professional's portion of the transaction, less proportional credit card fees. The Professional's revenues include cart and equipment rental, driving range fees, pro shop sales, lessons, and tournament revenue other than as mentioned above. C. The total value of compensation received by the Professional, for operations conducted within the Clubhouse, shall not be permitted to exceed the fixed management fee set forth. Compensation is net taxable income actually earned by the Professional himself, and as defined by applicable provisions of the IRC. The collection of fees in the Clubhouse for uses or services provided elsewhere shall be deemed an incidental use. Upon the close of the Golf season, and prior to the close of the calendar year, the Professional shall be obligated to determine, and advise the City, in writing, whether or not the fee limit has been exceeded. In the event it has been, the excess remuneration shall be deemed City fee revenues and remitted forthwith to the City. D. The parties to this agreement shall at all times comply with the covenants relating to the tax-exempt status of the bonds and other obligations issued by the City to finance improvements to the golf course. To the extent of any conflict between the terms of this agreement and the provisions of the City's covenants relating to tax exemption on its bonds and other obligations, the covenants relating to tax exemption shall prevail. VI. CITY'S GENERAL OBLIGATIONS: A. The City shall maintain the McCall Municipal Golf Course, including practice range, to its own standards. This does not preclude advice from the Professionals on such matters, but such advice does not obligate the City to take action. PROFESSIONAL GOLF SERVICES AGREEMENT - PAGE 11 B. The City shall determine the official opening and closing days each season, as well as any necessary closures during such season. The decision to close shall be made by the City. The susceptibility of the course to damage from play, personal safety of the golfers, and the like shall be the criteria upon which such decisions shall be made. Inclement weather conditions alone shall not constitute grounds for closure unless its degree or duration gives rise to the adverse consequences outlined. C. The City of McCall does not guarantee an uninterrupted supply of water, or electric current; nor does the City of McCall guarantee uninterrupted service in providing any utilities. The City of McCall shall not be liable to the Professional for any loss, damage, cost or expense which may result from the interruption or failure of any utility services. D. The City shall obtain liquor licenses at the City's expense. VII. MISCELLANEOUS: A. This agreement is assignable, but only with the City's written consent and approval. The City shall not unreasonably withhold such consent. B. The Professional, at his expense, may make improvements to the pro shop, the club house, and/or the restaurant, such as painting, draperies and floor coverings with prior written approval of the City Manager. C. Each party shall bear the risk of loss to the individually owned fixtures, equipment, inventory, or structures. Each shall obtain and maintain such casualty insurance as they deem desirable or appropriate to protect against the risks involved, whether damage, theft, or other loss. D. Persistent difficulties with the public, as evidenced by public complaints which are detrimental to the Golf Course operation, shall be deemed cause for not renewing the agreement or cause for termination. Public complaints about the operation of concessions or the golf play activity shall be deemed those submitted in writing, signed, and addressed as follows: City Clerk, City Hall, 216 East Park Street, McCall, Idaho, 83638. Such complaints shall be copied to the Professional and entered into a file in the Clerk's office and shall be considered at the agreement renewal time or if action to terminate this agreement is commenced. E. The parties shall not conduct or suffer or permit others to conduct any golfing business activity on the McCall Golf Course except as specifically enumerated herein. F. The Professional shall not engage in any form of unlawful activity on the premises of the Golf Course, and shall not to permit or condone any such activity by employees, customers, or others. If observing illegal conduct by employees, customers, or others, the Professional shall report the matter to the police. In that connection, the PROFESSIONAL GOLF SERVICES AGREEMENT - PAGE 12 Professional shall provide a drug-free workplace and shall promptly discharge any employee found to be engaging in any unlawful activity or sexual harassment. G. The Professional agrees to buy out the previous Professional for on hand Professional owned inventory and fixtures, equipment and golf carts, except for Distressed or damaged merchandise in the manner described in H 7 below. H. Termination 1. The City may terminate this Agreement with thirty (30) days written notice for any failure to see to the heat in the building, or for other material cause or breach of the terms of this agreement. For such event, the Professional has ten (10) days from receipt of the City's written notice of termination to cure the defects alleged in such notice. 2. The Professional may terminate this Agreement with thirty (30) days written notice for any non-payment by the City, or for other material cause or breach of the terms of this agreement. In such event, the City has ten (10) days from receipt of the Professional's notice of termination to cure the defects in such notice. 3. Either party may terminate this agreement for cause due to non- performance of any material element herein. In the event the Professional is unable to perform due to death, physical disability or mental incapacity, the agreement shall be deemed terminated. 4. In the event of non-performance by either party, the other shall provide written notice of the basis; the notified party shall have thirty (30) days to cure the default, otherwise the agreement shall be deemed terminated for cause. 5. Pursuant to IRS guidelines, in particular REV.PROC.82-14, to the extent this contract may be construed to provide for a contract period that exceeds two (2) years, the City has the fight to cancel the contract at the end of each two (2) year period without penalty. In such event the contract shall be deemed terminated with the agreed upon termination procedures to apply. Further, in such event, if any new contract is then negotiated, such new contract will be subject to these same provisions. 6. Upon termination for whatever cause, the annual amounts, if any, accrued and payable to Professional by the City shall be determined and pro-rated as necessary as of the date of termination; the basis for pro-rating shall be based on calendar days. Calendar days between official opening and June 1 st or September 5th and official closing shall be weighed against the number of calendar days from June 1 st through September 5th. PROFESSIONAL GOLF SERVICES AGREEMENT - PAGE 13 7. Upon termination, the City agrees to require any successor contractor to buy out the Professional, or his guardians, heirs or estate, as the case may be, for on hand Professional owned inventory and fixtures, equipment and golf carts, except for Distressed or damaged merchandise, as follows: a. On-hand inventory - actual cost; b. Fixtures, equipment and golf carts - the fair market value as agreed to by the successor and Professional or representatives; c. If the parties cannot agree within ten (10) working days to the above values, they shall jointly select a third person to review their respective positions; his or her decision shall be binding as to values. I. Golf play activities and concessions shall be operated in a business-like manner and, unless addressed by the terms of this agreement, the Professional shall have the right to conduct these businesses otherwise unhindered by the City. J. The Professional shall not discriminate against anyone in his performance of the terms and conditions of this agreement on the basis of religion, race, sex, national origin, age or physical or mental handicap. K. Business financial information furnished to City by the Professional shall be confidential and protected from disclosure under I.C. § 9-340 (5). Such information may be made available by City to the, City Manager, City Treasurer, City Attorney, and City Auditors. In the event of termination by either party, the most recent two years of financial data shall be provided by the Professional to the top five incoming candidates as identified by the City. If the Professional is unavailable, the City will release the summary information relating to sales and expenses. L. This Agreement contains all agreements of the parties. All prior negotiations and discussions, and all prior agreements if any, are merged into and extinguished by this Agreement. M. The Professional and his staff shall be exempt from paying greens fees. Additionally, the Professional may provide complimentary rounds to visiting professionals or to other parties as a marketing tool, provided the round is reported as such. The Director of Golf and Parks Operations may limit the number of complimentary rounds. VIII. EXECUTION: This Agreement is executed for McCall by the Mayor, attested to by the City Clerk, with the imprinted seal of the City of McCall and executed by Michael Buss, attested to by Dave Ramsay. PROFESSIONAL GOLF SERVICES AGREEMENT - PAGE 14 ,2002. Michael Buss ATTEST: Dave l~tl~~ CITY OF MCCALL Valley County, Idaho Ralpl~ C°lton, May~r ~ ATTEST: C"h~en A:Ko~ff, -City- Clerk PROFESSIONAL GOLF SERVICES AGREEMENT - PAGE 15 STATE OF WASHINGTON ) · SS County of Jefferson) , On this ~J day of { , ~ before me, the undersigned, a Notary Public in and for-sa~fd State, personally appeared Michael Buss, 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. 1N WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal the day and year in this certificate first above written. e / ~ '! ~ ~6T~Y'~ P~LIQ~ORW&S~TON ~ g~. ~0~0 ]~ ~ Residing at ~. ~. ~x~ __J~O ~- My Commission E~pi~es: ] STATE OF ~0 ) ~ SS County of Valley ) On t~is ~y of ~, '/ ,7~ ~o~ m~, t~ a Nota~ Public in and for said State, personally appeared Ralph Colton, Mayor of the City of McCall, known or identified to me to be the person whose name is subscribed to the w~th~n instrument, and acknowledged to me that he executed the same. IN WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal the day and year in this certificate first above written. ,/7 /.  ~*~ = - . . [ V U~ ~'..O~y Commission Expires://~?/~¢ PROFESSIONAL GOLF SERVICES AGREEMENT - PAGE 16 CITY OF MCCALL October 22, 2002 Michael Buss Golf Professional McCall Municipal Golf Course McCall, Idaho 83638 Dear Michael: As you are aware, the City has received a number of complaints about the level of service at the Golf Course this season. In mydiscussions with you, you indicated that you have been working on the problems and have a plan. At the heart of the issue are the recurring customer service problems at the clubhouse. Despite providing information to you, there does not appear to be a marked improvement in customer service. This is not only impacting on the revenues for this year, but could have a long term impact on the course for many years. Quite frankl~; the City Council is under pressure to make a change following this season. Given the high level of community interest in the success of the Golf Course, I feel it would be in everyone's best interest for you to prepare a presentation to the City Council on your plans for the coming season. While including the physical aspects of your winter plan is important, the primary focus should be on resolving the customer service issues in the clubhouse. You indicated a willingness to revise our agreement to offset the clubhouse revenue shortfall, k would be helpful to have a specific proposal to address that shortfall. The first November Council meeting is scheduled for November 14th at 7:00 in the evening. With your concurrence, I will add your presentation to the Council. Ideally we would provide key information to the Council in advance as part of the Council packet. We would need that information provide in final form by noon on November 7m. If I can provide any additional information, please don't hesitate to contact me. Sincerely; Robert A. Strope City Manager C~ City Gouncil Dan Pillard 216 East Park Street · McCall, Idaho 83638 ° (208) 634-7142 * FAX (208) 634-3038 November 13, 2002 Robert Strope - City Manager Ralph Colton - Mayor City of McCall Dear Ralph and Robert, Through much deliberation and sole searching I feel that it is in both of our best interests that my contract with the City of McCall be terminated. There is no question that this has been a great challenge to put everything in place to keep the golf course operation running this last season due to the time factor and the past local following. We have started the golf course operation in the right direction and have put a number of systems in place to be successful in the future, however for me to continue it would take 2-3 years for the bad public opinion to be eliminated and don't feel it would be a benefit to my health and state of mind to try to survive through all the ridicule and slander during that time. I would be more than happy to help in any way that I can to agree on a settlement that is fair to both parties and will assist in establishing an organizational structure for a City run facility or assist in a smooth transition to another party. I am very sorry that this has taken place but see nothing but good for the future of McCall Golf Course. Sincerely, Michael C. Buss PGA Professional