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2002-03-11 I CITY OF SOUTHLAKE 2 PARKS AND RECREATION BOARD MEETING 3 4 March 11, 2002 5 6 MINUTES 7 8 Board Members Present: Cara White, Vice-Chair; Mary Georgia, Secretary; Frank 9 Cornish, Tim O'Connor, Bobby Rawls, and Lisa Stokdyk 10 11 Board Members Absent: Chris Miltenberger, Chairman 12 13 Staff Members Present: Kevin Hugman, Director of Community Services; Chris 14 Carpenter, Senior Park Planner; Steve Moore, Recreation Supervisor; and Administrative 15 Secretary Linda Carpenter 16 17 Guests: Stephen and Mia Poorman 18 19 Regular Session: 20 21 Agenda Item No. 1. Call to Order 22 23 Vice Chair Cara White called the meeting to order at 7:03 p.m. 24 25 Agenda Item No. 2, Administrative Comments 26 27 Recreation Program - Recreation Supervisor Steve Moore provided an update 28 on the City recreation programs. 29 30 Mr. Moore commended the recreation staff for their hard work and said he 31 was very pleased with their performance and the recreation programs. 32 Therapeutic Recreation (TR) programs will be expanded to include new 33 events to be held this summer, whereas in the past TR programs could not 34 be offered during the summer because of insufficient staffing. TR will 35 combine with the Summer Camp programs and will have use of Bob Jones 36 Park, and the Aquatics Center. Participants are primarily Southlake 37 residents, however, some participants are from surrounding communities. 38 Mr. Moore commented that the City would be adding some outdoor 39 programs at Bob Jones Park. Staff members are seeking counselor 40 certification from the Texas Parks & Wildlife. Ms. White suggested offering 41 kickball as an event. Summer Camp is conducted at Durham Intermediate 42 School. Rented vans are used by the City for transporting participants to and 43 from events. Movies in the Park will commence again this summer. 44 45 The T.A.A.F. Regional Tournament held March 1-3, 2002, was a 46 tremendous success in spite of the icy weather. City staff members received March 11, 2002 Parks & Recreation Board Regular Meeting Page I of 11 1 many positive comments from participants about the organization of the 2 events and the performance by staff members. 64 teams participated and the 3 events were well attended. Ms. White commented that she received many 4 good comments about the event, but especially about the special needs 5 group. 6 7 Mr. Moore said interest in the volleyball program has resulted in an increase 8 from 50 participants last year, to over 120 registering for the upcoming 9 season. 10 11 The recreation staff is working to develop more teen programs, such as the 12 Southlake Saturday Nite event, which has become very popular with the 13 youth, bringing in about 300-400 youth each event. 14 15 The summer issue of the Southlake Scene is expected to be mailed to 16 residents the end of April or early May. 17 18 Director of Community Services Kevin Hugman said he wanted to echo Mr. 19 Moore's comments about the recreation staff and their efforts - they have 20 been working very hard and have done a lot of great things. In addition to 21 the oversight of recreation programs, recreation staff members have been 22 involved in running the Tennis Center during the last six months, which has 23 taken many extra hours of work. The recreation staff is to be commended 24 and recognized for their efforts on behalf of the community. 25 26 Chesapeake Park Work Day - A volunteer work day will be held Saturday, March 23, 27 8:30 - 12:30 p.m. at Chesapeake Park to plant trees and to do general clean-up of the 28 park. 29 30 Bob Jones Park Status - The contractor (Botanical Technologies) has been declared "in 31 default" by the City and the Community Services Department, Public Works and the 32 City Attorney Office are working with the bonding company to affect the takeover of 33 the construction at Bob Jones Park. A claim has been filed for the damaged 34 restroom/concession building with the City insurance carrier. The bonding company is 35 ready to begin work on all other construction items once it has been worked out 36 through the Attorney's office. The City Council is informed about the developments. 37 38 39 CONSENT AGENDA 40 41 Agenda Item 3-A, Approval of the Southlake Parks and Recreation Board meeting 42 minutes of February 11, 2002. 43 44 Agenda Item 3-B, Matching funds request from Grapevine-Southlake Soccer Association 45 (GSSA) for a field-striping machine. March 11, 2002 Parks & Recreation Board Regular Meeting Page 2 of l1 1 2 A motion was made to approve Consent Agenda items 3-A, 3-11. 3 4 Motion: Stokdyk 5 Second: Rawls 6 Ayes: Cornish, Rawls, Stokdyk, and White 7 Nays: None 8 Vote: 4-0 9 10 Motion carried. 11 12 13 ADDITIONAL INFORMATION ON CONSENT ITEMS 14 15 Agenda Item No. 3-A, Approval of the Southlake Parks and Recreation Board meeting 16 minutes of February 11, 2002. Approved as presented. 17 18 Agenda Item 3-B, Matching funds request from Grapevine-Southlake Soccer Association 19 (GSSA) for a field-striping machine. 20 21 The City received a request from the Grapevine-Southlake Soccer Association (GSSA) 22 for consideration of matching funds for the purchase of a new field-striping machine. 23 Staff currently uses a mechanism that utilizes spray cans. The GSSA has indicated that 24 often times the field lines are too light and do not last long enough. The proposed field- 25 striping machine is similar to what is used to stripe parking lots. It would allow paint to 26 be applied at a much heavier rate thus reducing the number of times the fields would have 27 to be lined each season. 28 29 Approval of this matching fund request will commit the City to fund the purchase of a 30 field-striping machine for a cost of up to $750 as part of the FY 2001-02 SPDC Matching 31 Fund Program. 32 33 The Park Board approved 4-0 the Consent Agenda to include the GSSA request for 34 matching funds for an amount not to exceed $750 for a field striping machine during 35 Consent Agenda and will forward their recommendation to SPDC. 36 37 38 REGULAR AGENDA: 39 40 Agenda Item No. 4, Public Forum 41 42 Vice Chair White asked if anyone present would like to speak during Public Forum. 43 There was no one present to speak during Public Forum. Public Forum was closed. 44 45 March 11, 2002 Parks & Recreation Board Regular Meeting Page 3 of 11 I Amenda Item No. 5-A, Recommendation to enter into a contract with Stephen and Mia 2 Poorman for management of the Southlake Tennis Center. 3 4 Director Kevin Hugman presented the proposed tennis center management and operation 5 contract with Stephen and Mia Poorman and asked the Park Board to make their 6 recommendation to City Council. A copy of the draft contract is attached to the minutes. 7 8 Ms. Georgia arrived at 7:19 p.m. Mr. O'Connor arrived at 7:24 p.m. 9 10 Mr. Hugman briefly reviewed the background information provided to the Board in his 11 cover memo dated March 6, 2002. Three (3) proposals were received by the City for the 12 management of the tennis center. The proposals were received from: 13 14 (1) Stephen and Mia Poorman of Southlake; Stephen was former junior 15 development director under previous contractor, and is currently contracted by 16 City as the head pro while under interim City management of facility. 17 (2) Andrea Rains, contracted by City of Dallas for management and operation of 18 L.B. Houston Tennis Center in Dallas. 19 (3) Dino and Donnia Bondallian, dba Bondallian Tennis Inc.; operate and 20 manage several tennis complexes associated with resort hotels in Hawaii. 21 22 Mr. Hugman said significant points of the contract for consideration by the Board were: 23 24 • Term of proposed agreement with the Poormans is for three (3) years, 25 automatically renewable for successive one-year terms. Termination allowed 26 for default conditions or no-default termination by either party with ninety 27 (90) days written notice. 28 • Makes the two tennis courts on the "hill" available for the Contractor's 29 exclusive use Monday through Friday, 8:00 a.m. to noon. All remaining 30 times, the courts will be available free to the general public for open play. 31 • Proposed increase in court usage fees from $2.50 to $3.00. 32 33 Other points of the contract include: 34 • Contractor agrees to pay City a percentage of court usage fees associated with 35 open play, lessons, leagues and drills. 36 • Allows for deferral of first three (3) months payments to City, the accrued 37 payments to be paid on a pro-rated basis over the remaining nine months of 38 the contract year. 39 • Hours of operation to be determined by Contractor with approval of City. 40 • Allows Contractor to close tennis center in event of inclement weather. 41 • Requires Contractor to reserve two (2) courts at tennis center for open play at 42 all times. 43 • Allows Contractor to market facility patron cards if desired, that allow for 44 advance reservation privileges. 45 • Requires Contractor to submit weekly, monthly and annual reports on tennis 46 center activities and revenues. March 11, 2002 Parks & Recreation Board Regular Meeting Page 4 of 11 1 • Allows for City to place a lien on the Contractor's property should Contractor 2 default in payments to City. 3 4 A panel of citizens assisted staff in the interview process. Following the interviews, 5 Stephen and Mia Poorman were selected by the Director of Community Services to enter 6 into contract negotiations. 7 8 Mr. Hugman said the Poormans have received a tremendous amount of support from 9 Southlake residents and the tennis community, which is very important in insuring the 10 success of the center. In addition, Mr. Hugman has received a lot of positive comments 11 about how the Poormans conduct their business and their customer service attitude. 12 Those character traits are very important in serving the community because the Tennis 13 Center is reflective of the City. The Poormans will run the Center as their sole 14 responsibility and not be a part of several centers that they would be running, which 15 means they would give it their full attention. 16 17 Mr. Hugman said that staff was asking the Park Board to recommend to the City Council 18 that the Poormans be selected to enter into a three-year contract for the operation and 19 management of the Tennis Center. 20 21 Mr. Hugman explained the rationale behind the section in the contract granting the 22 Contractor weekday morning exclusive use of the courts on the "hill." The proposal will 23 help ensure the success by the Poormans in managing the Tennis Center and the tennis 24 pros currently using the "hill" courts for classes will not be working in direct competition 25 with the tennis facility. This allows the Poorman's an additional income by being able to 26 run classes and programs on those courts. It also helps serve the general public in that 27 those courts can be used for junior lessons during the summertime instead of holding the 28 courses in the hot afternoon. This provision would allow the courts to be available to the 29 general public for open play at no charge, on a first-come first-serve basis during the rest 30 of the time. A revision to the policy will be made which would allow a tennis pro to use 31 the courts if they pay the City a flat monthly fee. Stipulations on the amount of time the 32 pros may have use of the courts would be added to the policy. 33 34 Mr. Hugman explained that the provision in the contract pertaining to the increase of 35 court usage fees from $2.50 to $3.00 was proposed by the Poormans. They have spoken 36 to many people in the tennis community and found that many actually suggested going to 37 $3.00 because they do not want to get change back. Area cities court usage fees vary 38 from $2.00 to $2.50. The Poormans do feel that the $3.00 fee is a viable cost. 39 40 Mr. Hugman said one remaining legal issue to be determined in the contract is whether 41 sales tax needs to be paid. If it does, the sales tax would be taken out of the $3.00 fee; it 42 would not be added to the $3.00 court fee. 43 44 45 46 March 11, 2002 Parks & Recreation Board Regular Meeting Page 5 of 11 I Discussion: 2 3 Ms. White said it was amazing the number of phone calls and emails she received from 4 citizens in support of the Poormans - she told the Poormans they have "a huge following 5 of people who have high regard for both of you!" 6 7 Ms. Stokdyk made comments about the "hill" courts being used exclusively by the 8 Poormans during the morning hours and said she had concerns about the general public 9 not having access to those courts at that time, during the favored time of play, on public 10 park land. She agreed with the problem of pros using or abusing the courts, but feels that 11 the public should not be barred from use of those courts. 12 13 Mr. Hugman said staff has not seen anyone else using the "hill" courts in the mornings 14 other than the tennis pros running their lessons, nor has anyone asked city staff why they 15 can not get onto the courts. He said staff felt that Monday through Friday would not be an 16 issue and that the time when most people would want to play on the courts in the 17 mornings would be on the weekends. Mr. Hugman said that he felt that if the Poormans 18 did not have a class scheduled in the mornings on the "hill" courts, they would probably 19 allow the courts to be open for anyone wanting to use them. 20 21 Mr. Rawls talked about the use of the "hill" courts and favored the provision in the 22 contract allowing the Poormans exclusive use during the weekday mornings. He said 23 "you don't see many people out at 8:00 in the morning playing tennis during the week - 24 weekends, yes." 25 26 Ms. Poorman responded to questions from the Board. 27 28 Ms. Poorman said the reason this was originally discussed was because of the 29 provision in the contract that there be two courts available for use at the Tennis 30 Center that can't be reserved, that are to be left for open play all the time. That 31 means there are only 11 courts available. A lot of the leagues use up courts in sets 32 of four and so if they have the two courts on the "hill" in the mornings, it would 33 allow the Contractor to add another level of teams for the ladies leagues at the 34 Tennis Center because they can leave one court open at the Tennis Center and 35 then one court open on the "hill" and leave the second court open for lessons 36 during those times. Ms. Poorman said there is a league like TCD, where everyone 37 plays on Thursday, and the use of the "hill" courts would allow them to field four 38 additional teams. 39 40 Ms. Stokdyk spoke again about the courts on the "hill" and mentioned that the there is no 41 court usage fee for the "hill" courts and "that the average person might be intimidated 42 perhaps approaching the Tennis Center knowing or not knowing that there is open play 43 and a fee, and that those courts are separate and are perceived as open and no fees 44 attached." Ms. Stokdyk said there are residents of Southlake utilizing the tennis pros who 45 offer lessons on the "hill" courts, so there must be citizens in town who have a desire to March 11, 2002 Parks & Recreation Board Regular Meeting Page 6 of 11 I play tennis, who are not just the league players and she said it might be wrong to try to 2 take away those courts from them. She said she understood the competition problem. 3 4 Ms. Poorman said that she did not know exactly who the tennis pro's clients were, 5 but that the reason women gravitate to those courts is because that particular pro 6 charges substantially lower fees. The reason he can afford to do that is that he is 7 not paying court fees imbedded in the lesson like the pros at the Tennis Center 8 are. Ms. Poorman spoke on the competition issue. 9 10 Mr. O'Connor asked if the "hill" courts were on a first come, first serve basis currently 11 and if the City had a way to reserve them? Mr. Hugman explained why they were 12 originally set up as open courts. He said there are some pros now running their business 13 there and they are operating in direct competition with the Tennis Center. 14 15 Mr. O'Connor asked if the Tennis Center could become the manager over those courts so 16 that the Tennis Center would schedule their use? Mr. Hugman said yes. Mr. Hugman 17 said they did not want to make the "hill" courts completely exclusive to the Tennis 18 Center - but compromised by giving the Tennis Center a block of time that the "hill" 19 courts are under their supervision; the rest of the time the courts are open to the general 20 public as they are now. 21 22 Mr. Rawls said he had heard that the tennis pros who were teaching lessons on the "hill" 23 courts were mostly teaching people from Colleyville and Keller, and he had a problem 24 with that. He said the pro was tying up those courts and not paying any type of fees. 25 26 Board members heard Mr. Hugman talk about issues involved in monitoring the court use 27 and how difficult it is when the courts are dispersed throughout a city. He said the 28 advantage to the "hill" courts is that they are in close proximity to the Park buildings and 29 the Tennis Center. 30 31 Ms. Georgia mentioned the Management Agreement attachment and said she did not see 32 where there was language inserted to allow the Tennis Center manager to be able to 33 police the courts use. Mr. Hugman said that was not in this contract because the City does 34 have a policy that will be revised. At this time, they are looking at the exclusive use of 35 those courts, Monday - Friday, 8-12:00 noon which is provided for in the Management 36 Agreement. Staff will present another policy that better defines the jurisdiction of the 37 "hill" courts in general at a later date. 38 39 The City Council will consider the percentage of court usage fees that the City will 40 receive at their next meeting. 41 42 Ms. Stokdyk questioned whether it would be better for the tennis managers to produce bi- 43 monthly reports instead of weekly? Ms. Poorman explained why it was necessary to have 44 two people running a tennis facility to effectively meet the needs and desires of the 45 community - one person runs the tennis programming and one person manages the 46 Tennis Center. It is the Poorman's intention to put in a software package that would allow March 11, 2002 Parks & Recreation Board Regular Meeting Page 7 of 11 I them to run daily/weekly/monthly reports. She said they prefer to provide weekly reports 2 so that the City would have confidence in their managing of the Center. 3 4 A motion was made to approve the recommendation to enter into a contract with 5 Stephen and Mia Poorman for management of the Southlake Tennis Center. 6 7 Motion: Georgia 8 Second: Rawls 9 10 Discussion: 11 12 Ms. Stokdyk stated she was uncomfortable with the provision in the contract regarding 13 exclusion of the courts on "the hill" at Bicentennial Park for use during morning hours, 14 Monday through Friday to the general public. 15 16 Ms. Georgia revised her previous motion stating that her recommendation was clearly to 17 recommend approval of Stephen and Mia Poorman for management of the Southlake 18 Tennis Center. She said she did NOT include the agreement in her motion. She asked 19 Mr. Hugman if that was the intent? 20 21 Mr. Hugman responded that would be fine, but the Agreement covers the first two points 22 that staff asked the Board to recommend - the term of the contract, that it be with the 23 Poormans and the tennis courts on "the hill." The contract does not address the court 24 usage fees going from $2.50 to $3.00. Mr. Hugman said he would like for the Park Board 25 to make a recommendation on the fees as well. The three main points that staff was 26 seeking a recommendation from the Park Board on were: 1) enter into a contract with the 27 Poormans; 2) address the courts on "the hill"; and 3) address the court usage fees. 28 29 Ms. White felt that the court usage fees were separate from the rest of the contract issues. 30 31 Ms. Georgia asked if it was acceptable with Mr. Rawls, since he made the "second" on 32 the original motion, she would like to amend her motion on the floor to state: To go 33 ahead and not only recommend Stephen and Mia Poorman for management of the 34 Southlake Tennis Center, but to go ahead and support the Poormans' management 35 of the courts on "the hill" for the hours specified in the draft agreement that the 36 Park Board has, which are from 8:00 a.m. to 12:00 p.m., Monday-Friday, and to go 37 ahead and to recommend the term of the agreement to be three years; and the court 38 usage fees to $3.00 from $2.50. 39 40 Second: Rawls 41 Ayes: Cornish, Georgia, O'Connor, Rawls, and White 42 Nays: Stokdyk 43 Vote: 5-1 44 45 Motion carried. 46 March 11, 2002 Parks & Recreation Board Regular Meeting Page 8 of 11 I Board members thanked the Poormans for being present and responding to their 2 questions. Ms. Georgia said she too had received many calls and emails in favor of the 3 Poormans and said they came very highly recommended. 4 5 Agenda Item No. 5-B, Approval of the Park Signage Plan for neighborhood park 6 facilities. 7 8 Senior Park Planner Chris Carpenter presented the Park Signage Plan for neighborhood 9 parks. The Park Board and SPDC previously approved the appropriation of $35,000 for 10 neighborhood park signage at their February 11, 2002 and February 19, 2002 meetings. 11 12 Mr. Carpenter presented the three (3) conceptual neighborhood park signs (attached to 13 minutes) and explained that the signs utilize materials that are durable, easy to maintain, 14 and aesthetically pleasing. The signs will also incorporate landscape beds to include 15 shrubs, ground cover and trees. Implementation of the neighborhood park signs will help 16 to form the base from which future park components may be added. The signs will 17 provide easy identification of the sites and improve their overall appearance. The signs 18 will be placed at Noble Oaks Park, Chesapeake Park, Royal and Annie Smith Park, 19 Koalaty Park and Lonesome Dove Park. Each sign will include the City logo, name of 20 the park and address. 21 22 Discussion: 23 24 The Park Board reviewed Option A, B and C on the overhead presented by Mr. Carpenter 25 and discussed their preference. 26 27 Ms. Georgia said Option A was a great idea and asked if native elements with 28 grasses/shrubs would be used? Mr. Carpenter said they would be irrigated as soon as 29 possible. The plan is to sleeve for irrigation and to plant with materials that would require 30 that type of thing and also have conduit sleeve so that at some point in time there may be 31 added a low voltage sign. He said they would start with the features themselves. The 32 plantings will be individual to the neighborhood parts. Staff hopes to get the 33 neighborhoods groups involved; hold meetings and ask what species they prefer. The 34 emphasis would be on having native plant material. 35 36 To discourage skateboarders from riding the tapered stonework on the signs, Ms. Stokdyk 37 suggested that the stonework be rough and jagged on the top rather than smooth. 38 39 After a brief discussion the Board agreed they preferred Option A as the design for the 40 neighborhood park signs. 41 42 A motion was made to select Option A. 43 44 Motion: O'Connor 45 Second: Georgia 46 Ayes: Cornish, Georgia, O'Connor, Rawls, Stokdyk, and White March 11, 2002 Parks & Recreation Board Regular Meeting Page 9 of 11 I Nays: None 2 Vote: 6-0 3 4 Motion carried. 5 6 This item will be presented to SPDC at their meeting next week. 7 8 Agenda Item No. 6, Discussion: No items this agenda. 9 10 Agenda Item No. 7, Liaison reports 11 12 Board members reviewed the following: 13 14 (a) Recreation/Special Events - T.A.A.F. regional basketball tournament was 15 held March 1-3, 2002 for boys and girls 8-under and 10-under divisions. 16 Sixty-four teams participated in the tournament, (eighteen from Southlake), 17 playing more than 87 games. Teams came from Flower Mound, Grapevine, 18 Colleyville, The Colony, Coppell, Haltom City, Arlington, Stephenville and 19 Mineral Wells. Many positive comments were received by staff on how well 20 the tournament was organized and run. Steve Moore and his staff, 21 particularly Recreation Specialist Missy Fisher, did an outstanding job. 22 23 (b) Youth Sports Associations - The park maintenance crew is working to get 24 the various sports fields ready for opening day. 25 26 (c) Community Groups KSB will be having its annual statewide cleanup at 27 Bob Jones Park on April 6. Contact Emily Galpin for details. 28 29 (d) SPIN - Joint SPIN/City Council meeting will be held March 27. The 30 Candidates Forum will be held April 9 at Johnson Elementary School. 31 32 (e) SPDC - SPDC approved the matching funds request from GSSA for 33 additional soccer goals, and the neighborhood park improvement plan 34 priorities as recommended by Park Board. 35 36 (f) JUC At the JUC meeting on February 21, 2002 Councilmember Greg 37 Standerfer was selected as the new Chair to replace Councilmember Patsy 38 DuPre. 39 40 (g) City Council Monthly Report - Mary Georgia will present the Park Board 41 Report at the March 19, 2002 City Council meeting. 42 43 (h) Equestrians - Work is progressing and completion is expected in April. 44 March 11, 2002 Parks & Recreation Board Regular Meeting Page 10 of 11 1 (i) Nature Center Committee - Subcommittees have been selected and field 2 trips to various area nature centers are being planned. 3 4 Agenda Item No. 7, Adjournment 5 6 A motion was made to adjourn the meeting at 8:07 p.m. 7 Motion: Rawls 8 Second: Georgia 9 Ayes: Cornish, Georgia, O'Connor, Rawls, Stokdyk, White 10 Nays: None 11 Abstention: None 12 Vote: 6-0 13 Motion carried. 14 15 16 17 18 C(ZC 19 Cara White 20 Parks & Recreation Bo ice Chair 21 22 23 Mary Georgia 24 Secretary 25 26 Attachments: Item 5-A, Tennis Center Management Contract w/Stephen and Mia Poorman 27 Item 5-13, Neighborhood Parks Signage Plan - Option A, B and C March 11, 2002 Parks & Recreation Board Regular Meeting Page 11 of 11 City of Southlake, Texas MEMORANDUM March 6, 2002 TO: Parks and Recreation Board members FROM: Kevin Hugman, Director of Community Services SUBJECT: Recommendation to enter into a contract with Stephen and Mia Poorman for management of the Southlake Tennis Center Action Requested: Parks and Recreation Board recommendation to City Council to enter into a management agreement with Stephen and Mia Poorman for operation of the Southlake Tennis Center. Background Information: In November 2000, City Council approved guidelines that were used to develop a Request for Proposal (RFP) from prospective contractors for management and operation of the Southlake Tennis Center (STC). RFPs were sent to or picked up by, ten prospective contractors that had expressed interest, as well as being advertised in the local newspaper as required by state law. Three (3) proposals were received by the deadline: (1) Stephen and Mia Poorman of Southlake; Stephen was former junior development director under previous contractor, and is currently contracted by City as the head pro while under interim City management of facility. (2) Andrea Rains, contracted by City of Dallas for management and operation of L.B. Houston Tennis Center in Dallas. (3) Dino and Donnia Bondallian, dba Bondallian Tennis Inc.; operate and manage several tennis complexes associated with resort hotels in Hawaii. Each of the prospective contractors was interviewed in January by a panel consisting of Councilmembers Tom Stephen and Rex Potter, Park Board/SPDC member Bobby Rawls, NETT president Laurie Starks, and staff members Kevin Hugman and Steve Polasek. Following the interviews, Stephen and Mia Poorman were selected by the Director of Community Services to enter into contract negotiations with based on the following: • The Southlake Tennis Center would be the sole focus of the Poormans. The other contractors indicated they would continue to operate their other facilities as well, dividing their attention with other properties. • The Poormans are residents of Southlake and have a strong desire to see the Tennis Center be successful. • Stephen Poorman has established a successful reputation with STC customers, and has a strong base of support from the tennis community, which would be crucial in ensuring the success of the tennis center. 5A- i Parks and Recreation Board members March 6, 2002 Page 2 The interview panel concurred with the decision. Staff has negotiated a proposed management agreement with the Poormans. Significant points of the contract for consideration by the Board include: • Term of proposed agreement with the Poormans is for three (3) years, automatically renewable for successive one-year terms. Termination allowed for default conditions or no-default termination by either party with ninety (90) days written notice. • Makes the two tennis courts on the "hill" available for the Contractor's exclusive use Monday through Friday, 8:00 a.m. to noon. All remaining times, the courts will be available free to the general public for open play. • Proposed increase in court usage fees from $2.50 to $3.00. Other points of the contract include: • Contractor agrees to pay City a percentage of court usage fees associated with open play, lessons, leagues and drills. • Allows for deferral of first three (3) months payments to City, the accrued payments to be paid on a pro-rated basis over the remaining nine months of the contract year. • Hours of operation to be determined by Contractor with approval of City. • Allows Contractor to close tennis center in event of inclement weather. • Requires Contractor to reserve two (2) courts at tennis center for open play at all times. • Allows Contractor to market facility patron cards if desired, that allow for advance reservation privileges. • Requires Contractor to submit weekly, monthly and annual reports on tennis center activities and revenues. • Allows for City to place a lien on the Contractor's property should Contractor default in payments to City. Financial Considerations: In future years, annual resurfacing of 3-4 courts will begin, which is estimated to be $10,000 annually. Expected annual expenditures to the City will be approximately $43,000, with electric utilities being most of this cost ($2,800 per month). The Poormans have committed to work with the City to reduce electrical costs by stringently monitoring court lighting. Revenues received from the Contractor will offset the City's operating expenditures. Citizen Input/ Board Review: A panel of citizens assisted staff in the interview process. Numerous citizens have expressed support for Stephen and Mia Poorman to manage and operate the Southlake Tennis Center. (copies of e-mails attached). 5A-2 Parks and Recreation Board members March 6, 2002 Page 3 Legal Review: The City Attorney is reviewing the management agreement. Alternatives: Park Board input as desired. Supporting Documents: • Management Agreement, with bold/strikeout showing changes from previous contract with Mr. Joe Snailum. • Summary table showing area city tennis centers operating revenues and expenditures. • Southlake Tennis Center Proposal and resumes, submitted by Poormans • Proposed Court Fees for lessons and programs, submitted by Poormans. • Citizen communications in support of Poormans. Staff Recommendation: Park Board approval and recommendation to City Council to enter into contract as proposed, with Stephen and Mia Poorman for management and operation of Southlake Tennis Center. 5A-3 Attachment A DRAFT ^1',-"03/04/02 MANAGEMENT AGREEMENT THIS TENNIS CENTER MANAGEMENT AGREEMENT ("Agreement") is made between the City of Southlake, Texas ("CITY"), a municipal corporation, and ("CONTRACTOR"). WHEREAS, CITY desires that CONTRACTOR manage the operation of the CITY'S tennis center; NOW, THEREFORE, CITY AND CONTRACTOR AGREE as follows: ARTICLE 1. DEFINITIONS Unless the context clearly indicates otherwise, in this Agreement: BEGINNING DATE means the date on which CITY gives CONTRACTOR written notice to begin management of the tennis center. EXPIRATION DATE means three (3) years after the beginning date or, if the Agreement is automatically renewed, as provided in Section 3.1, any annual anniversary of the original expiration date. FISCAL YEAR means the period beginning October 1 of any year and ending September 30 of the following year. TENNIS CENTER means the property and all improvements located on the Property, including, but not limited to the clubhouse, and any other tennis courts the City may make available to the CONTRACTOR as provided herein. OPERATING ADVANCE ACCOUNT means an interest-bearing account maintained by CONTRACTOR for the deposit of funds received from customers for the operations of the tennis center. PROPERTY means the land on which the tennis center is located as indicated on the map attached as Exhibit A, at 450 W. Southlake Boulevard, Southlake, Texas. DRAFT n / 5.1-20 ,03/04/02 STANDARD COMPARABLE TO SPECIFIED TENNIS CENTERS IN THE REGION means a standard of operation comparable to the operation of moderately priced private tennis centers and the best municipal tennis centers in the region, including, but not limited to municipal tennis centers in Fort Worth, Arlington, North Richland Hills, and the Bayard H. Friedman Tennis Center at Texas Christian University. "NON-LEAGUE OPEN PLAY" means any court usage other than lessons or leagues. "LEAGUE" means any regularly scheduled, organized team competition with a season of more than six weeks. ARTICLE 2. GENERAL REQUIREMENTS §2.1 Management of the tennis center. CITY hires CONTRACTOR to manage, supervise, and operate the tennis center in accordance with this Agreement. CITY delegates to CONTRACTOR the responsibility and authority to implement operating policies and charge court usage fees, both of which are subject to approval by CITY'S Council, and take other actions necessary to operate the tennis center in a manner that meets a standard comparable to specified tennis centers in the region. Other than court usage fees, all pricing associated with lessons, leagues, drills, camps, services, food and beverages, shall be at the discretion of the CONTRACTOR. §2.2 Independent contractor. CONTRACTOR is an independent contractor with respect to the CITY and nothing in this Agreement and its performance shall create the relationship of employer and employee. Nevertheless, CONTRACTOR agrees to seek advice from CITY and cooperate with CITY in his management of the tennis center. §2.3 Use of the property. CITY grants to CONTRACTOR the use and possession of the property during the term of this Agreement for the purposes of MANAGEMENT AGREEMENT PAGE 2 N:1Parks & Recreation\Tennis Center\Contracts\Tennis Center Agreement002-b.do DRAFT ^0T03/04/02 managing and operating the tennis center, subject to the rights of CITY under this Agreement. (a) In addition, City will make available to CONTRACTOR the two tennis courts located in Bicentennial Park near the water tower (the "hill") for CONTRACTOR's exclusive use Monday through Friday, 8:00 a.m. to 12:00 p.m. On occasion, CITY may make these courts available to CONTRACTOR for tournaments or other special events. §2.4 City's right to inspection. CITY and its representatives have the right at all reasonable times to enter upon and to examine and inspect the tennis center for any reason. In the event of a default, CITY has the right of access to the tennis center that is reasonably necessary to cause the proper maintenance of the tennis center. ARTICLE 3. TERM §3.1 Term. The term of this Agreement is three (3) years, commencing on the beginning date, unless terminated earlier under one of the following provisions. This Agreement is automatically renewable for successive one-year terms, unless either party requests in writing at least 60 days before the expiration date, to renegotiate the terms of the Agreement. Nothing in this Article shall be construed as a limitation on either party's right to terminate this Agreement in accordance with Section 9.6 hereof. ARTICLE 4. RESPONSIBILITIES OF CONTRACTOR §4.1 Operation of the tennis center. In the management, supervision, and operation of the tennis center, CONTRACTOR shall: (a) operate the tennis center as a municipal tennis center, open to the general public without discrimination, subject to fees, rules, and policies approved by the CITY; (b) retain employees sufficient and necessary to assure operation of the tennis center at a standard comparable to specified tennis centers in the region; MANAGEMENT AGREEMENT PAGE 3 NAParks & Recreation\Tennis Center\Contracts\Tennis Center Agreernent002-b.docW-Warks DRAFT nn r,-~T03/04/02 (c) maintain restrooms, showers, and locker rooms in a clean and sanitary condition at all times; (d) provide food and beverage service and sales, offering a variety of food; (e) operate a tennis pro shop, offering merchandise comparable to pro shops at specified tennis centers in the region, and maintain an annual average minimum of $15,000 worth, wholesale, of merchandise in stock in the pro shop. CONTRACTOR agrees to make reasonable efforts to stock items for in-line hockey and basketball. (f) CONTRACTOR will ensure that the staff is trained in providing customer service, and that staff is discrete and polite concerning complaints or concerns about the tennis center; (g) maintain the tennis center in a condition that is generally accepted in the tennis industry as safe; (h) maintain the courts and all elements of the tennis center in optimum playing condition, in accordance with a standard comparable to specified tennis centers in the region; (i) maintain all personal property in good working order and replace items when necessary to operate the tennis center at a standard comparable to specified tennis centers in the region; (j) comply with all applicable government health, safety and environmental regulations; (k) operate the tennis center in an efficient and cost effective manner; and collect membership and court reservation fees in amounts approved by the CITY; (1) pay all operating expenses of the tennis center, except for those expenses which the CITY agrees herein to pay for (i) repairs, and (ii) water, sewer, electricity and natural gas expenses, which shall be paid by CITY. MANAGEMENT AGREEMENT PAGE 4 NAParks & RecreationlTennis CenterlContractsUennis Center Agreernent002-b.docW-\Parks 2, DRAFT 4 0.14 4-03104/02 (m)provide a tennis professional with current membership in the USPTA, who is certified through the USPTA. The tennis professional and a sufficient number of CONTRACTOR's staff must maintain First Aid and CPR certification. QWy, m d- ;.A.; h a r-, h rhall bo @p ---m of thrQ@ m9ppipqs p@p wook from 9-00 m to 12-QQ r, A4 fi(n) maintain the Center with tho f@iio;.,iAq minimum hours of operations as approved in writing by the Director of Community Services. A.42-pr-.14 I thrQWqh QC'Wbop ~4' 2--0-0- a.m. W AQ- lat@ P thap 4 Q;QQ P'-P4 Wo-yoh thrNOigh G vohsr6lali 2Q~ /~9r e rblali 29 in a IeaTp Rioar-r1 I Iv'T V'llmlpoylr 4 1 l1 IIV11 1 l~~ m T rO~ 91C7 CONTRACTOR may be allowed to close or partially close the tennis center for inclement weather (on-going rain or snow, temperatures below 40 F, or approaching severe weather such as tornadoes). The Center shall close not later than 10:00 p.m. on any day. CITY reserves the right to approve the closing of the tennis center at all times other than the as provided in this Agreement. 4{ )(o) CONTRACTOR shall not permit alcohol sales or possession or consumption of alcohol on the tennis center premises at any time or allow anyone who is intoxicated to play tennis. (gy(p) Reserve ##;ee-(~) two (2) tennis courts for i;@p leagwo-open play at all times, except during sanctioned tournaments. G=4 rQ_@Q_P.Aa_r_% tho right to MANAGEMENT AGREEMENT PAGE 5 N:\Parks & Recreation\Tennis Center\Contracts\Tennis Center Agreement002-b.do DRAFT n /'T03/04/02 {r4(q) CONTRACTOR agrees to schedule no more than nine tournaments per year, a maximum of four of which may be sanctioned tournaments utilizing the entire tennis center complex. Not more than two tournaments may be scheduled per month. 44(r) Retain the physical condition necessary to perform the duties and responsibilities of the Agreement. (t4(s) Not cause to be placed any sign or advertisement upon the premises or upon the property of CITY without the prior written consent of the CITY. §4.2 Rules and policies. CONTRACTOR shall obtain CITY'S approval before implementing or changing clubhouse and ground rules or other policies affecting the public's use of the tennis center, including changes to hours of operation. CONTRACTOR agrees not to utilize the Property for any purpose other than for conducting tennis programs without the CITY'S prior written approval. §4.3 Promotion of tennis activities. (a) CONTRACTOR agrees to conduct a continuous program of advertising, public relations, and promotional activities to assure that the tennis center has an appropriate and ongoing visual image and presence in print and communications media. (b) CONTRACTOR shall offer Southlake residents the opportunity to register early for all tennis activities. (c) CONTRACTOR shall develop a marketing plan for promoting tennis play, activity, sales, concession, lessons, tournaments and leagues and submit the plan to the CITY within 90 days of occupancy. (d) CONTRACTOR may market and sell patron facility cards that allow for open play reservation privileges, but shall ensure that Southlake residents who are non-card holders, are afforded the MANAGEMENT AGREEMENT PAGE 6 N:\Parks & Recreation\Tennis Center\Contracts\Tennis Center Agreement002-b.do DRAFT n ""03/04/02 opportunity to make open play court reservations prior to non- residents. §4.4 Tennis center personnel. (a) CONTRACTOR shall recruit, interview, and hire the employees for the tennis center, including management, tennis professionals, food and beverage staff, child care providers, maintenance personnel, janitorial staff, and others determined by CONTRACTOR to be necessary for the operation of a facility comparable to specified tennis centers in the region. All personnel shall be employees of CONTRACTOR or independent sub-contractors to CONTRACTOR, and not employees of CITY. (b) CONTRACTOR shall ensure that its employees have a professional appearance at all times, and that all employees shall wear neat appearing uniform shirts , or nametags clearly identifying them as employees of tennis center. (c) CONTRACTOR shall follow the CITY'S personnel policies with respect to hiring its employees, including the responsibility to conduct criminal background checks and pre-employment drug screenings. CONTRACTOR will provide results of such screenings to CITY. CITY will provide a copy of the CITY'S personnel policies to CONTRACTOR and arrange for CITY'S Director of Human Resources to review all applicable policies. §4.5 Operations review. (a) Periodically, but not less than once a month, CONTRACTOR shall meet with CITY staff and review its management, promotional activities, programs, finances, and policy recommendations concerning the tennis center. 61-Y I MANAGEMENT AGREEMENT PAGE 7 N:\Parks & Recreation\Tennis Center\Contracts\Tennis Center Agreement002-b.do DRAFT n1't03/04/02 as spogifiod in Seatiop 4.4 (9). (b) CONTRACTOR shall keep CITY fully informed of all tennis center management activities and operations and shall provide the weekly, monthly and annual reports similar to, and containing the information specified, as those in Exhibit B.- §4.6 Licenses, bonds and permits. CONTRACTOR shall obtain all licenses and permits required by governmental entities for activities conducted at the tennis center. CONTRACTOR shall obtain and maintain a fidelity bond issued min an amount and form acceptable to the CITY. ARTICLE 5. CONSIDERATION §5.1 Amounts due to city. On or before the fiftoopth tenth day of each month, beginning with the first month following the beginning date of the Agreement, CONTRACTOR shall pay CITY , to WGIwd@ COWTIR-ACTOR shall also pay GIT~4, as sot forth al;ov@, 25 popgol;t of the fees as stipulated below. A $25 fee will be charged for any checks returned from CONTRACTOR'S bank for insufficient funds. A five percent (5% ) late fee will be charged if payments are not made to CITY within five (5) days of the due date. (a) Year 1 of contract: % of gross receipts, less sales tax, from all court usage fees. CONTRACTOR shall be allowed to defer actual payment of CITY's earned receipts for first three (3) months, however, these accrued payments shall become due and payable MANAGEMENT AGREEMENT PAGE 8 N:\Parks & Recreation\Tennis Center\Contracts\Tennis Center Agreement002-b.do DRAFT 4 00 4.03/04/02 on a pro-rated basis during the remaining nine (9) months of the contract year. (b) Year 2 of contract: % of gross receipts, less sales tax, from all court usage fees. (c) Year 3, and any subsequent years of contract: % of gross receipts, less sales tax, from all court usage fees. §5.2 Management fee due to contractor. As consideration and compensation for the management, operation and supervision of the tennis center, CONTRACTOR shall receive, and is authorized to withdraw from the account described in Section 6.1 below, all gross revenues less and except only the sums due to CITY under Section 5.1 above. ARTICLE 6. FINANCES §6.1 Deposit of revenues. All revenues from the operation of the tennis center shall be deposited daily into an account established for that purpose. §6.2 Fees and charges. (a) Fees to be charged for tennis activities at the tennis center will be determined each year during the budget process. CITY and CONTRACTOR agree that fees should be sufficient to pay operating expenses , but also be competitive with fees at other public tennis centers in the region. (b) Court membership &Ad usage fees, and membership or patron facility card fees, if used, must be approved by CITY. Prices charged for lessons, drills, camps, services, food, beverages, and merchandise shall be determined by CONTRACTOR. All patrons of the tennis center shall be charged according to a published schedule of fees and charges, and any complementary food, merchandise, or services shall be documented. MANAGEMENT AGREEMENT PAGE 9 NAParks & RecreationUennis Center\Contracts\Tennis center Agreement002-b.do DRAFT 9.14 5422Q94-03/04/02 (c) CONTRACTOR or CONTRACTOR's employees shall not waive any fees which would lessen the gross revenue that would otherwise be derived from the operation of the Tennis Center, unless with the written consent of the Director of Community Services. §6.3 City's payment of certain expenses. CITY shall be responsible for, and pay for all necessary repairs to the actual physical conditions of the tennis center, including without limitation, the tennis courts, light poles, exterior of the tennis pro shop (including all structural aspects such as the foundation, walls, roof, etc.), lawns, parking, sidewalks, seating, landscaping and plumbing, electrical, heating, ventilating and air conditioning, and natural gas systems and fixtures. CITY shall also perform court resurfacing, and necessary replacement of nets, windscreens, and lights due to ordinary wear and tear. All other maintenance responsibilities shall be CONTRACTOR's responsibility. fop PoG94% of fiParwial §6.4 Contractor's responsibility for furnishings and equipment. CONTRACTOR shall provide all necessary equipment and furnishings for the operation of the tennis center, including, but not limited to, office furniture and supplies, pro shop inventory and display racks, racquet stringing equipment, ball machines, etc. §6.5 Facility improvements. Any improvements or modifications to the tennis center that are of a permanent nature or installed as fixtures to the tennis center, shall become the property of the CITY. CITY approval is required prior to any modifications or improvements to the tennis center. §6.6 Annual operating budget. (a) MANAGEMENT AGREEMENT PAGE 10 NAParks & Recreation\Tennis Center\Contracts\Tennis Center Agreement002-b.do GoAtep DRAFT X03/04/02 CONTRACTOR shall submit ap;°iar}-proposed op@patipq budget considerations e-4-to the Director of Community Services by April 1 of each year for review of potential impact to the City's operating budget and capital improvements budget. (KWo W AT ABOUT 1Tapital expendiberes and (1) A12112hnvA11 nr QI II1(_CT QV TL.IC /`ITV71 ARTICLE 7. ACCOUNTING, REPORTS, AND AUDITS §7.1 Accounting records. CONTRACTOR shall maintain efficient and accurate accounting records in accordance with generally accepted accounting principles in a format consistent with other public tennis centers. §7.2 Monthly reports. (a) CONTRACTOR shall prepare daily and weekly reports showing the amounts, total and types of revenues collected at the Tennis Center. (b) On or before the 4510th day of each month, CONTRACTOR shall submit to CITY a financial statement showing in detail the gross revenues and operating expenses of the preceding month and the fiscal year to date., including the weekly reports for the preceding month as required by 7.2(a) above. MANAGEMENT AGREEMENT PAGE 11 N:\Parks & Recreation\Tennis CenteAContracts\Tennis Center Agreement002-b.do DRAFT Q./I 5.12Q §7.3 Annual audit r-el;Q4 financial review. Within 90 days after the close of each fiscal year of the CITY, CONTRACTOR shall submit to CITY an financial review certified by a certified public accountant, covering the specific financial condition and performance of the tennis center. The aifinancial review must span the fiscal year then ended. CITY reserves the right to require a full audit, certified by a certified public accountant, should there be reason to believe an audit is warranted. If the report does not contain an "unqualified opinion," CITY may take such steps as it determines are necessary to obtain an unqualified opinion. CITY may terminate this Agreement if a4;-CONTRACTOR fails to provide an unqualified opinion fails to within 120 days of the end of a fiscal year. §7.4 CITY'S right to inspect and audit. CITY has the right to inspect the books, records, invoices, deposits, sales slips, canceled checks, and other financial data or transactions of CONTRACTOR's operation of the tennis center at reasonable times during normal business hours. CITY also has the right to select an independent accounting firm to audit the books and records of the operation of the tennis center. §7.5 Location of records. CONTRACTOR shall keep all tennis center records on-site at the tennis center and periodically relocate them to the CITY'S off-site records storage facility. §7.6 Fiduciary relationship. CONTRACTOR has a fiduciary duty to CITY in its operation of the tennis center, which includes, but is not limited to, the obligation to faithfully make an accounting and report to CITY and to make all payments to CITY in accordance with this Agreement. ARTICLE 8. INDEMNITY AND INSURANCE MANAGEMENT AGREEMENT PAGE 12 N:\Parks & Recreation\Tennis Center\Contracts\Tennis Center Agreement002-b.do DRAFT n0T03/04/02 §8.1 Indemnity By Contractor. CONTRACTOR ASSUMES ALL LIABILITY AND RESPONSIBILITY FOR AND AGREES TO FULLY INDEMNIFY, HOLD HARMLESS AND DEFEND CITY AND ITS OFFICERS, AGENTS, SERVANTS AND EMPLOYEES FROM AND AGAINST ALL CLAIMS, DAMAGES, LOSSES AND EXPENSES, INCLUDING BUT NOT LIMITED TO ATTORNEY'S FEES, FOR INJURY TO OR DEATH OF A PERSON OR DAMAGE TO PROPERTY, ARISING OUT OF OR IN CONNECTION WITH, DIRECTLY OR INDIRECTLY, THE PERFORMANCE, ATTEMPTED PERFORMANCE OR NONPERFORMANCE OF THE WORK AND SERVICES DESCRIBED HEREUNDER OR IN ANY WAY RESULTING FROM OR ARISING OUT OF THE MANAGEMENT, SUPERVISION, AND OPERATION OF THE TENNIS CENTER UNDER THIS AGREEMENT, INCLUDING THE WORK, SERVICES, OPERATIONS AND LEGAL DUTIES OF CONTRACTOR, HIS OFFICERS, AGENTS, SERVANTS, EMPLOYEES, SUBCONTRACTORS, OR LICENSEES, IF ANY. IN THE EVENT OF JOINT AND CONCURRING RESPONSIBILITY OF CONTRACTOR AND CITY, RESPONSIBILITY AND INDEMNITY, IF ANY, SHALL BE APPORTIONED COMPARATIVELY IN ACCORDANCE WITH TEXAS LAW, WITHOUT WAIVING ANY DEFENSE OF THE PARTIES UNDER TEXAS LAW. THE PROVISIONS OF THIS PARAGRAPH ARE SOLELY FOR THE BENEFIT OF THE PARTIES HERETO AND ARE NOT INTENDED TO CREATE OR GRANT ANY RIGHTS, CONTRACTUAL OR OTHERWISE, TO ANY OTHER PERSON OR ENTITY. §8.2 Insurance . (te(a) CONTRACTOR shall obtain public liability insurance of the types and in the amounts set forth below from an underwriter licensed to do business in MANAGEMENT AGREEMENT PAGE 13 NAParks & RecreationlTennis CenterlContractsUennis Center Agreement002-b.do DRAFT X03/04/02 the State of Texas. CONTRACTOR shall furnish to CITY certificates of insurance or copies of the policies, evidencing the required insurance on or before the beginning date of this Agreement. CONTRACTOR agrees to submit new certificates or policies to CITY at least 30 days before the expiration date of the previous certificates or policies. The insurance shall be the following types in amounts not less than the indicated amounts: (1) Worker's Compensation and Statutory Employer's Liability or acceptable alternative. (2) Comprehensive General (Public) Bodily injury: Liability (or its equivalent), including $ 500,000 each person but not limited to the following: $1,000,000 each occurrence (i) premises/operations and (ii) independent contractors Property damage: (iii) personal injury $ 250,000 per occurrence (iv) products/completed operations or $1,000,000 combined single limit for bodily injury and property damage. (3) Fidelity insurance covering Amount sufficient to protect all employees and officers the loss of the largest dollar having access to money collected. amount in the control or possession of an employee at any time, but not less than $125,000 or such other amount determined by CITY. (4) Property insurance for physical Coverage for minimum of damage to the property of 100% of the fair market value CONTRACTOR located at the of the property. Tennis Center. (5) Automobile liability, including Bodily injury: coverage for the following: $ 500,000 each person $1,000,000 each occurrence (i) owned/leased automobiles and (ii) non-owned automobiles Property damage: (iii) hired cars $ 250,000 per occurrence $1,000,000 combined single limit for bodily injury and MANAGEMENT AGREEMENT PAGE 14 N:\Parks & Recreation\Tennis Center\Contracts\Tennis Center Agreement002-b.do DRAFT X03/04/02 property damage. (.G4(b) On all insurance required in Subsections (a) and (b), CONTRACTOR shall require that the insurance provider: (1) name CITY its officers and employees as an additional insured; (2) provide a waiver of subrogation in favor of CITY; and (3) provide 30 days' written notice to CITY of any material change to or cancellation of the insurance. ARTICLE 9. TERMINATION §9.1 For default. CITY may terminate this Agreement in accordance with this article for a default by CONTRACTOR. §9.2 What constitutes a default. The following events constitute a default by CONTRACTOR: (a) a breach of the fiduciary obligations of CONTRACTOR under Sections 5.1, 5.2, and 7.6 of this Agreement; (b) filing by CONTRACTOR of a voluntary petition for protection under federal bankruptcy laws, or the failure to obtain the dismissal of an involuntary petition under federal bankruptcy laws within 30 days after filing; (c) a discontinuance by CONTRACTOR of its business or abandonment of its activities at the tennis center; (d) the inability of CONTRACTOR to provide an unqualified opinion in the annual audit report in accordance with article 7; or (e) a failure of CONTRACTOR to perform his duties under this Agreement. (f) The commission by CONTRACTOR or any of CONTRACTOR's employees of a felony or crime of moral turpitude if the CITY, in its sole discretion, reasonably believes that CONTRACTOR or CONTRACTOR's employee committed the act (regardless of whether convicted) and that the act could, on becoming public knowledge, impair the public's confidence or trust in CONTRACTOR or the personnel at the tennis center or in the operation of city government in general. MANAGEMENT AGREEMENT PAGE 15 NAParks & RecreationlTennis CenterlContractslTennis Center Agreement002-b.do DRAFT W.115.120 03104/02 §9.3 Correction. CONTRACTOR shall have 30 days after written notice from CITY specifying the nature of a default under Section 9.2(e) or Section 9.2(f) because of the commission of an offense by an employee of CONTRACTOR, to correct the default (including without limitation, terminating an employee who causes a default of the agreement under Section 9.2(f) by committing a felony or crime of moral turpitude). If the default is of such a nature that it cannot be corrected within 30 days, CONTRACTOR shall have additional time as may be reasonably necessary to correct the default so long as CONTRACTOR diligently pursues the correction. §9.4 Election to terminate. CITY may elect to terminate this Agreement pursuant to this article by giving written notice of default to CONTRACTOR. If the default is under Section 9.2(a), (b), (c), or (d), or is under Section 9.2(f) because of the commission of an offense by CONTRACTOR, this agreement shall terminate immediately upon delivery of written notice from CITY to CONTRACTOR of its election to terminate the agreement. If the default is under Section 9.2(e) or is under Section 9.2(f) because of the commission of an offense by an employee of CONTRACTOR, this Agreement shall terminate upon expiration of the correction period if correction has not been made pursuant to Section 9.3, and CITY delivers to CONTRACTOR notice of its election to terminate the Agreement. §9.5 Remedy for certain defaults. If CONTRACTOR defaults under Section 9.2(a), CONTRACTOR shall pay all amounts due CITY under the terms of this Agreement and in addition, pay all costs, damages, expenses, and reasonable attorneys' fees incurred by CITY as a result of the default and in pursuing its remedy. §9.6 Lien. CITY has, at all times, a valid security interest to secure payment of all fees and other sums of money becoming due under this Agreement from CONTRACTOR and to secure payment of any damages or loss that CITY may suffer by reason of CONTRACTOR s breaching any covenant, agreement, or condition contained in this Agreement. The security interest covers all goods, wares, equipment, fixtures, furniture, and other personal property of CONTRACTOR that is now on the Property or placed on the Property at some later date, and all proceeds from them. This MANAGEMENT AGREEMENT PAGE 16 NAParks & Recreation\Tennis Center\Contracts\Tennis Center Agreement002-b.do DRAFT 194r~T03/04/02 property may not be removed from the premises without CITY s consent until all arrearages in fees and all other sums of money then due the CITY under this Agreement have been paid and discharged, and all the covenants, agreements, and conditions of this lease have been fully complied with and performed by CONTRACTOR. If CONTRACTOR is in default, CITY may, in addition to any other remedies provided in this Agreement or by law, after giving reasonable notice of the intent to take possession and giving an opportunity for a hearing on the issue, enter on the Property and take possession of any goods, wares, equipment, fixtures, furniture, and other personal property of CONTRACTOR situated on the premises, without liability for trespass or conversion, and sell the property at public or private sale, with or without having the property at the sale, after giving CONTRACTOR reasonable notice of the time and place of any public sale or of the time after which any private sale is to be made. CITY or its assigns may buy any items to be sold at such a sale unless they are prohibited from doing so by law. Unless otherwise provided by law, and without excluding any other manner of giving CONTRACTOR reasonable notice, the reasonable notice requirement is met if notice is given at least ten (10) days before the time of sale. The proceeds from any such disposition, less any expenses connected with taking possession, holding, and selling the property (including reasonable attorney's fees and other expenses), will be applied as a credit against the indebtedness secured by the security interest granted in this section. Any surplus will be paid to CONTRACTOR or as otherwise required by law, and CONTRACTOR will pay any deficiencies immediately. When City requests, CONTRACTOR will execute and deliver to CITY a financing statement in sufficient form to perfect CITY=s security interest in the property and proceeds under the provisions of the Business and Commerce Code in force in Texas. §9.7 Other termination. Either party may terminate this Agreement upon a minimum of 44 ninety (90) days written notice to the other party. MANAGEMENT AGREEMENT PAGE 17 NAParks & Recreation\Tennis Center\Contracts\Tennis Center Agreement002-b.do DRAFT 220"03/04/02 ARTICLE 10. ASSIGNMENT Neither party shall assign this agreement without the prior written consent of the other party. ARTICLE 11. NOTICES All notices to the parties shall be in writing and shall be sent by certified mail, return receipt requested, to the addressees and addresses specified below: All notices to CONTRACTOR shall be sent to: All notices to CITY shall be sent to: City Manager City of Southlake 1400 Main Street, Suite 460 Southlake, Texas 76092 ARTICLE 12. WAVES ATTORNEYS FEES DRAFTING STILL TO BE DEVELOPED BY CITY ATTORNEY- MANAGEMENT AGREEMENT PAGE 18 N:\Parks & Recreation\Tennis CenteAContracts\Tennis Center AgreementO02-b.docW-422rks 2- DRAFT 40 .11 ARTICLE 13. SEVERABILITY If any provision of this Agreement is held to be invalid or unenforceable as applied in a particular case for any reason, those circumstances shall not have the effect of rendering the provision invalid or unenforceable in any other case. The invalidity of one or more phrases, sentences, clauses, or sections in this Agreement shall not affect the remaining portions of the Agreement. ARTICLE 14. GOVERNING LAW This Agreement shall be governed by and construed under the laws of the State of Texas, and venue in any proceeding relating to this Agreement shall be in Tarrant County, Texas. ARTICLE 15. ENTIRE AGREEMENT This agreement constitutes the entire agreement between the parties and neither of the parties shall be bound by any promises, representations or agreements except as expressly set forth in this Agreement. ARTICLE 16. BINDING CLAUSE This Agreement shall be binding upon the parties, their heirs, executors, administrators, devisees, legatees, trustees, successors, and assigns. EXECUTED this day of , 2001~ 2002 CITY OF SOUTHLAKE, TEXAS By: Mayor ATTEST: City Secretary CONTRACTOR MANAGEMENT AGREEMENT PAGE 19 N:\Parks & Recreation\Tennis Center\Contracts\Tennis Center Agreement002-b.do 1- Q--to; Aq;samaptQ02,doc City of Southlake, Texas MEMORANDUM March 7, 2002 TO: Kevin Hugman, Director of Community Services FROM: Ben Henry, Park Planning and Construction Superintendent SUBJECT: Approval of the Park Signage Plan for neighborhood park facilities Action Requested: Parks and Recreation Board approval and recommendation of the park signage plan for neighborhood park facilities. Background Information: The Parks and Recreation Board and the Southlake Parks Development Corporation (SPDC) expressed a desire to begin development of neighborhood park facilities by setting aside funding for improvements during each fiscal year. This funding line item was established as a lump sum with the intent of staff developing a proposed project improvement plan for presentation and endorsement by the Parks Board and SPDC. One planned improvement, as recommended by staff and approved by Parks Board and SPDC, was the installation of park signage ($35,000) for Noble Oaks Park, Chesapeake Park, Royal and Annie Smith Park, Koalaty Park, and Lonesome Dove Park. Staff has developed three conceptual neighborhood park signs for review by the Board. The signs utilize materials that are durable, easy to maintain, and aesthetically pleasing. The designs are classic in style and intended to be subtle yet sophisticated. They will also incorporate landscape beds to include shrubs, ground cover, and trees. Implementation of the neighborhood park signs will help to form the base from which future park components may be added. The signs will provide easy identification of the sites and improve their overall appearance. Financial Considerations: Funding in the amount of $150,000 was approved in the FY 2001/02 SPDC budget for neighborhood park improvements. To date, $30,000 of the funds have previously been allocated for the trails at Bicentennial Park and Smith Park leaving a fund balance of $120,000. The proposed neighborhood park improvements (park signage and irrigation) are estimated at $105,000, of which $35,000 has been allocated for park signage, leaving a line item contingency amount of $15,000. Citizen Input/ Board Review: SPDC and City Council approved the line item budget for neighborhood park improvements at their September 18, 2001 meetings. 5B- i Kevin Hugman, Director of Community Services March 7, 2002 Page 2 Parks Board and SPDC approved the appropriation of $35,000 for neighborhood park signage at their February 11, 2002 and February 19, 2002 meetings. Legal Review: Not Applicable. Alternatives: Parks Board discussion and comment. Supporting Documents: Supporting documents include the following items: ■ Options A, B, and C representing concept plans for the neighborhood park signs. Staff Recommendation: Parks and Recreation Board approval and recommendation of a park signage plan for neighborhood park facilities. 5B-2 CITY OF SOUTHLAKE Neighborhood Park Entrance Sign - Option `A' - rt f ~ ff Neighborhood Park yr= r.. _ y 1\ d cL( J ' 2J Sunested Material List: • Milsap stone radial wall descending in height from 36-inches. • Cast aluminum letters mounted to stained textured concrete 42-inches in height. • Letter style is `Goudy Bold' (similar to Times New Roman). Goudy Bold . its j • ABCDEFG HI1)(UMN OPQRSTU VWXYZ • CITY OF SOUTHLAKE Neighborhood Park Entrance Sign - Option `B' r A l 1 Nei hbo~ho,od Park ---j- a I ~ x err r • n f'^7 v 1 ~ Cz 2ov~-rac o Su~~ested Material List: List: G°"d'' s°'d~ 126 • Milsap stone serpentine retaining wall desending in height from 36-inches. • ABCDEFC Cast aluminum letters in `Goudy Bold' style. oPQRSTU vwxtz S CITY OF SO UTHLAKE Neighborhood Park Entrance Sign - Option `C' A Neighborhood Park ~E. dim V 3 Suggested Material List: Goudy Bold • Milsap stone square columns with cast stone cap. _ 126 • Cast aluminum letters mounted to stained textured concrete. . A B C D E F G • Letter style is `GoudyBold'. HI]KLMN OPQRSTU VWXYZ