HomeMy WebLinkAbout6.g. Arena Concessions Agreement
EXECUTIVE SUMMARY
City Council Regular Meeting: October 6, 2015
AGENDA ITEM: Arena Concessions Agreement AGENDA SECTION:
Consent
PREPARED BY: Dan Schultz, Parks and Recreation
Director AGENDA NO. 6.g.
ATTACHMENTS: Proposed Agreement APPROVED BY: ddj
RECOMMENDED ACTION: Motion to approve the attached lease agreement between the
City of Rosemount and the Rosemount Area Hockey Association for use of the Ice Arena
Concession Stand.
ISSUE
For the past several years, the City of Rosemount has leased the concession stand in the Ice Arena to the
Rosemount Area Hockey Association (RAHA). RAHA has one of their members oversee the operations
of the concession stand. For the past five years, the City and RAHA have had an agreement for RAHA to
pay the City $650 per month for use of the concession stand. The agreements have been for six months
(Oct – April) and a total of $3,900 has been collected by the City.
Recently, RAHA has requested that they rent for the concession stand rent be lowered. RAHA is
suggesting that the rent be lowered from $650 per month down to $250 per month. RAHA has indicated
that in 2014 they made a net profit of $5,200, while using 1,250 volunteer hours in the concession stand.
If approved, this would lower the total rent paid form $3,900 to $1,500 for the six month rental period.
We would collect $2,400 less in revenue from RAHA but we will make up that rental revenue in additional
ice rentals we have on the schedule for 2015 and 2016.
Staff feels that having a concession stand in the ice arena adds to the positive experience that visitors to
the rink will have. Staff does not feel the City is currently staffed to operate the concession stand and also
feels that if the City operated the stand that we could possibly lose money on the operations due to using
paid staff.
SUMMMARY
Staff feels that RAHA has done a good job in coordinating the use of the concession stand and overseeing
the maintenance and cleaning of the area.
Staff is recommending the City Council approve a new lease agreement between the City of Rosemount
and the Rosemount Area Hockey Association (RAHA) for the hockey association to lease the concession
stand in the Rosemount Ice Arena for $250 per month for six months.
ROSEMOUNT COMMUNITY CENTER
CONCESSIONS AGREEMENT
AGREEMENT made this __ day of October, 2015, by and between the City of Rosemount
("City") and Rosemount Area Hockey Association ("RAHA").
WITNESSETH:
The following terms and conditions constitute an agreement between the City and RAHA to
operate the arena concession stand at the Rosemount Community Center located at 13885 South
Robert Trail, Rosemount Minnesota, for the period commencing October 7, 2015 and ending
March 31, 2016, to wit:
1. The City and RAHA mutually agree for RAHA to manage and operate the arena
concession stand.
2. RAHA will manage and provide adequate staffing for the operation of the arena
concession stand.
3. RAHA agrees to compensate the City $250.00 per month ($1,500.00 total for 6 months.
Payment during the term of this Agreement shall be made on or before the fifteen (15th)
day of the month succeeding the period for which accounting and payment of fees are
made.
4. The City agrees to provide all utilities for the operation of the arena concession stand and
the equipment set forth in Exhibit A. RAHA will be responsible for repair and
maintenance of equipment set forth in Exhibit A. RAHA agrees to return all equipment
provided by the City at the commencement of the term of this Agreement, reasonable
wear and tear excepted.
5. RAHA agrees to maintain the arena concession stand in a clean and orderly manner, and
in accordance with procedures for the safe handling of food as directed by any applicable
local and State health agency. The City will conduct random cleaning inspections to
determine the degree of cleaning compliance. RAHA will use a
washing/rinsing/sanitizing system when washing dishes. RAHA agrees to use no tape on
stainless steel and not to store any items within 30 inches of any electrical panel.
6. RAHA will provide general liability insurance to insure against liabilities up to $500,000
for each claimant and $1,500,000 for each single occurrence.
7. RAHA shall indemnify and hold harmless the City, all its officers, agents, and
employees, of and from any and all claims, demands, actions, or causes of actions of
whatsoever nature of character arising out of or by any reason of the services and
obligations provided for herein and further agrees to defend at its sole cost and expense
any action or proceeding commenced for the purpose of asserting any claims of
whatsoever character arise hereunder.
8. The Agreement may be terminated by either party hereto by thirty (30) days written
notice to the other party.
9. RAHA is retained only for the purposes and to the extent set forth in this Agreement, and
its relationship to the City shall be that of an independent contractor. As such, RAHA
shall not be entitled to any pension, health or similar benefits which are available to
employees of the City.
IN WITNESS WHEREOF, the City and RAHA have hereunto affixed their signatures this
____ day of __________, 2015.
CITY OF ROSEMOUNT ROSEMOUNT AREA HOCKEY
ASSOCIATION
________________________ ____________________________
Mayor RAHA President
________________________ ________________________
City Clerk RAHA
Attachment A
Amana 1000 Microwave
Fridge Base 2 door (True)
Freezer stand up 1 door (True)
Stainless steel 3 sink wash station (Lamberton)
Stainless steel hand wash sink (Eagle)
15 Stainless steel mesh shelves (Eagle)
1 Stainless steel microwave shelf
1 paper towel dispenser
1 Wall mounted first aid kit
1 Telephone (651-322-6008)
1 Fire extinguisher
2 cash registers (Sam4s - 53)
7 Grey Storage Shelves
Pretzel Warmer (Star)