HomeMy WebLinkAbout2015 Ordinance No. 011. .
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ORDINANCE NO. J/_
SERIES OF 2015
BY AUTHORITY
COUNCIL BILL NO. 8
INTRODUCED BY COUNCIL
MEMBER OLSON
AN ORDINANCE APPROVING AN AGREEMENT BETWEEN THE CITY OF
ENGLEWOOD AND BROKEN T PARTNERS LLC FOR OPERATING THE BROKEN TEE
GOLF COURSE INDOOR TRAJNJNG CENTER.
WHEREAS, the Englewood Golf Course indoor training center was part of the clubhouse
expansion in 1995, consisting of 6 hitting bays with two computer swing analyzers; and
WHEREAS, in 2007 McGetrick Golf Academy was selected to offer lessons, programs
through the indoor teaching facility and discounted lessons to all Englewood residents; and
WHEREAS, the City Council of the City of Englewood approved the McGetrick Golf
Academy Leaming Center contract by the passage of Ordinance No. 28, Series of 2008; and
WHEREAS, the City Council of the City of Englewood approved the Broken Tee Golf
Leaming Center contract by the passage of Ordinance No. 9, Series of 2010; and
WHEREAS, McGetrick Golf Academy decided to terminate their contract effective
November, 2009; and
WHEREAS, Steve Buretz and Kevin Hollem, investors with McGetrick Golf Academy
approached the City with a new agreement which included many of the same benefits that were
in place plus new program ideas; and
WHEREAS, these benefits include discounted lessons to Englewood residents, emphasis on
junior golf, improvements to the facility including a golf simulator which allows for indoor play
and lessons and providing sponsorships for the Hole-N-One program; and
WHEREAS, the passage of this Ordinance will approve the Agreement to lease and manage the
Training Center located at the Broken Tee Englewood; and
WHEREAS, the current lease payment is $17,500 plus utilities of$7,200 for a total of $24,700
annually. The lease payment will be $20,000 in the new contract and no utility fee. The financial
reduction is $4,700. Though this is a reduction in revenue, staff believes that Broken T Partners,
LLC brings great value and is a strong asset to the golf course and the golfing public.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
ENGLEWOOD, COLORADO, AS FOLLOWS:
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Section l. The City Council of the City of Englewood, Colorado, hereby authorizes and approves
the Agreement for the lease and management of the Training Center located at the Broken Tee
Englewood between the City and Broken T Partners LLC, attached hereto as Attachment 1.
Section 2. The Mayor and the City Clerk are hereby authorized to sign and attest said Agreement
for and on behalf of the City of Englewood, Colorado.
Introduced, read in full, and passed on first reading on the 6th day of April, 2015.
Published by Title as a Bill for an Ordinance in the City's official newspaper on the 9th day of
April, 2015.
Published as a Bill for an Or dinance on the City's official website beginning on the 8th day of
April, 2015 for thirty (30) days.
Read by title and passed on final reading on the 20th day of April, 2015.
Published by title in the City's official newspaper as Ordinance No. J/_, Series of 2015, on
the 23rd day of April, 2015.
Published by title on the City's official website beginning on the 22nd day of April, 2015 for
thirty (30) days.
I, Loucrishia A. Ellis, City Clerk of the City of Englewood, Colorado, hereby certify that the
above and foregoing is htrue copy of the Ordinance passed on final reading and published by
title as Ordinance No. f_f.-, Series of 2015 .
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• AGREEMENT
TIIlS AGREEMENT, hereinafter called "Lease", made and entered into this __ day of_
_______ _. 20__, by and between the CITY OF ENGLEWOOD, a Colorado
municipal corporation, hereinafter referred to as "City", and BROKEN T PAR'INERS LLC,
hereinafter referred to as "Trainer'';
WITNESSETH:
WHEREAS, the City owns certain real property which is known as the Broken Tee
Englewood Municipal Golf Course Clubhouse And Training Center, hereinafter called "Training
Center'', and located in the City of Sheridan; and
WHEREAS, City and Trainer previously entered into a lease in February 201 O; and
WHEREAS, City and Trainer desire to enter into another lease for the management of the
Training Center located at the Broken Tee Englewood Municipal Golf Course;
NOW, THEREFORE, for and in consideration of the mutual covenants hereinafter appearing
and of the payment of the monies hereinafter set forth, the parties hereto agree as follows:
Section 1. STATEMENT OF INTENT.
The purpose of this Lease is to provide video golf training, instruction, club fitting and
club sales. The Trainer will not have exclusive right to all club sales.
Section 2. GRANT.
The City hereby agrees to allow the Trainer to use the area described in "Exhibit A" of the
Englewood Clubhouse Training Center plus use of the driving range including use of range
balls at no cost and practice areas for instruction and other related activities. There will be
space on the driving range and practicing area designated for the Trainer. The Trainer will
be using an agreed upon area for their lessons/programs; however, it is generally
understood ~t the Trainer will use the western most located spaces on the range.
Section 3. DEFINITION OF PRa-flSES.
The "Leased Premises" as referred to herein is defined to be the Golf Clubhouse Training
Center, which is owned by the City of Englewood, Colorado. See Exhibit "A", and portion
of range as referred to in Section 2.
Section 4. TERM OF AGREEMENT.
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The City hereby grants to Trainer the right to hold the Leased Premises pursuant to the
terms of this Lease for a one (1) year Lease with three (4) one (1) year renewals with the
agreement of both parties. If the Trainer intends to renew the contract they must inform
the Director of Parks and Recreation ninety (90) days prior to termination of the Lease.
The City shall inform Trainer of its decision through the Director of Parks and Recreation.
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Section 5. USE OF THE PREMISES.
Trainer shall have the right to possession of the Leased Premises for the purpose of
providing video golf training, instruction, club fitting, club sales and club repair. However,
nothing in this Lease shall be construed to authorize that which is prohibited under United
States, State or local law, ordinance, code or regulation.
Section 6. SERVICES.
All services provided by the Trainer shall be reviewed and approved by the Director of
Parks and Recreation. The Trainer will provide lessons and clinics for the City. The City
will continue to offer the Hole-N-One Program, Par 3 League, golf team and some lessons.
The Trainer will provide lesson discounts for Englewood residents and Parks and
Recreation sponsored programs.
Section 7. HOURS OF OPERATION.
a) From May 1st through September 30th of each year, the Trainer shall provide golf
instruction six ( 6) days per week and during these months shall be open each day to
the public from 9:00 AM and shall remain open until 5:00 PM.
b) During the months of October 1st through April 30th of each year, the Trainer shall
provide video golf analysis five (5) days per week and during these months shall be
open each day to the public at 9:00 AM and shall remain open until 5:00 PM.
c) Nothing herein shall be construed as prohibiting the Trainer from being open for
other hours in addition to those stated in Paragraphs "a" and "b" above. Trainer may
close on Christmas Day and Thanksgiving.
d) Trainer agrees to cooperate with the Golf Course Manager in scheduling golf
meetings and events. In the event of any disagreement, the matter shall be referred
to the Director of Parks and Recreation and his/her decision is final.
e) Any adjustments to the hours of operation must be approved by the Director of Parks
and Recreation or his designee.
t) Trainer and or the City may temporarily close the Training Center for cleaning,
construction and maintenance under a mutually agreed upon schedule.
Section 8. MAINTENANCE, REP A1R AND REPLACEMENT.
a) The Trainer shall be responsible for repairs and/or replacement of all equipment
associated with the leased premise. This does not include driving range equipment
owned by the City of Englewood.
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Section 9. CLEANLINESS GUIDELINES.
a) All rules, regulations and guidelines required by the City of Englewood must be
adhered to.
b) All applicable local, state and Federal Government Acts and Regulations must be
adhered to.
c) Any specific guidelines established by the Director of Parks and Recreation must be
adhered to.
Section 10. RENT.
a) Trainer shall pay rent to the City:
i. Commencing on April 1, 2015, the Trainer shall pay $20,000 per year, in
accordance with the following schedule:
ii.
April through November: $2,500 per month.
Rent can be prepaid anytime .
Trainer will provide reasonable efforts to attain sponsorships for the Hole-N-
One Jr. Program.
The aforesaid fixed rent payments shall be paid, per schedule above on the
first day of each month or on the first Monday of each month if the first day
falls on Saturday or Sunday.
A penalty fee of$10.00 per day or part thereof shall be charged for each day or
part thereof that the rent is past due, until 12:00 midnight on the 14th day past
due. ff the rent payment is not received by midnight on the 14th day past due,
the Trainer shall be in violation of the terms of this Agreement, and subject to
termination.
Section 11. UTILITJES.
Utilities will be paid for by the City of Englewood.
Section 12. P ARKJNG FACll,ITJES.
a) The existing parking facility adjacent to the Golf Course Clubhouse (hereinafter
called "parking facility 11
) shall be open for use by Trainer and its customers; such
right of use of the said parking facilities shall be non-exclusive right.
b) City shall at its own expense maintain the parking facility, which shall include snow
removal when necessary.
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Section 13. SIGNS.
Any signage for the leased premise shall be the sole responsibility of the Trainer. All
signage must be approved by the Director of Parks and Recreation or his designee.
Section 14. ADDmONAL FACILITIES AND EQUIPMENT.
Trainer shall have the right to install additional facilities and equipment with the consent
of the Director of Parks and Recreation or his designee. Permanently attached fixtures or
equipment shall become property of the City upon termination of the lease. Permanently
attached fixtures are considered to be any item that causes · damage to the building upon
removal. In no event will a golf simulator be considered a permanently attached fixture.
Section 15. SECURITY.
Trainer is responsible for the obtaining of theft insuranc:e covering equipment, supplies and
personal property of Trainer. Such policies shall contain no right of subrogation against
the City. Trainer shall provide a copy of the policy to the Director of Parks and
Recreation. Additional costs for security, as required by the Director of Parks and
Recreation or his designee, shall be the responsibility of the Trainer.
Section 16. PERSONNEL.
a) Trainer shall at its own expense employ such qualified personnel as may be
necessary for the training operation and shall require all personnel to be clean, polite,
and courteous in their transactions with the public.
b) Trainer shall give personal supervision and direction to the operation of the Training
Center and, when absent, keep competent personnel in charge.
c) City shall not be responsible for the wages or salaries of any employee or
representative of Trainer, nor for any debts, liabilities or other obligations of Trainer.
d) Neither the Trainer nor the employees who perform services pursuant to the
Agreement shall be considered employees, servants or agents of the City of
Englewood as a result of the performance of services under the Agreement.
e) Violence or acts prohibited by law committed by the Trainer and employees of
Trainer shall cause immediate termination of the Lease, if not resolved to the
satisfaction of the City, after notification.
Section 17. LICENSES AND PERMITS.
Trainer, at its own expense, shall secure any and all licenses and permits for services.
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Section 18. lNSURANCE/INDEMNlFICATI0N.
a) Trainer agrees to furnish to City a performance bond or letter of credit in the amount
of Ten Thousand Dollars ($10,000.00) guaranteeing faithful performance by Trainer
of all payment of rent, utility costs, etc., along with all tenns, covenants, and
conditions herein contained and compliance with applicable City ordinances. Said
bond shall be furnished within 30 days of signed agreement and shall remain in
effect for the term of the lease.
b) Trainer shall at Trainer's own expense keep in full force and effect during the term of
this Lease statutory Worker's Compensation coverage if required. A copy of the
certificates of insurance shall be sent to the City in care of the Department of Risk
c) INDEMNIFICATION. Trainer agrees to indemnify and hold harmless the City of
Englewood, its Council, employees, insurers, and self-insurance pool, from and
against all liability, claims, and demands, on account of injury, loss or damage, of
any kind whatsoever, which arise out of or are in any manner connected with
Trainer, if such injury, loss, or damage is caused in whole or in part by the act,
omission, or other fault of Trainer, or any officer or employee of Trainer. Trainer
agrees to investigate, handle, respond to, and to provide defense for any such
liability, claims, or demands at the sole expense of Trainer, and agrees to bear all
other costs and expenses related thereto, including court costs and attorney fees,
whether or not any such liability, claims, or demands alleged are groundless, false, or
fraudulent.
d) INSURANCE.
i. Trainer is to procure and maintain, at its own cost, a policy or policies of
insurance sufficient to insure against all obligations assumed by Trainer
pursuant to this Lease.
ii. Trainer shall procure and continuously maintain the minimum insurance
coverage's listed below, with the forms and insurers acceptable to the City of
Englewood. In the case of any claims-made policy, the necessary retroactive
dates and extended reporting periods shall be procured to maintain such
continuous coverage.
(A) General liability and errors and omissions insurance with minimum
limits of one million dollars ($1,000,000) per each person and one
million dollars ($1,000,000) per each occurrence, plus an additional
amount sufficient to pay related attorneys' fees and defense costs.
iii Fire and Extended Coverage Insurance shall be provided by the City on the
ClubHouse building, and extended buildings included in Leased Premises,
only. Trainer shall be solely responsible for securing and paying for insurance
coverage on those improvements and contents belonging to Trainer located in
or on the Leased Premises. Trainer hereby expressly waives any cause of
action or right of recovery, which Trainer may hereafter have against City for
any loss or damage to Leased Premises or to any contents or improvements
thereto belonging to either party, caused by fire, explosion, or theft.
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iv. The policies required above shall be endorsed to include the City of
Englewood and the City of Englewood's Council and employees as additional
insured. Every policy required above shall be primary insurance, and any
insurance carried by the City of Englewood, its officers, or its employees, or
carried by or provided through any self-insurance pool of the City of
Englewood, shall be excess and not contributory insurance to that provided by
Trainer. .
v. The certificate of insurance provided to the City of Englewood shall be
completed by the Trainer's insurance agent as evidence that policies providing
the required coverage's, conditions, and minimum limits are in full force and
effect, and shall be reviewed and approved by the City of Englewood prior to
commencement of the Agreement. No other form of certificate shall be used.
The certificate shall identify this Agreement and shall provide that the
coverage's afforded under the policies shall not be canceled, terminated or
materially changed until at least 30 days prior written notice has been given to
the City of Englewood. The completed certificate of insurance shall be sent
to:
City Clerk
City of Englewood
1000 Englewood Parkway
Englewood, Colorado 80110
A certified copy of any policy shall be provided to the City of Englewood at its
request. A copy of the certificates of insurance shall be sent to the City in care
of the Department of Risk, 1000 Englewood Parkway, Englewood, Colorado
80110.
vi. The parties hereto understand and agree that the parties are relying on, and do
not waive or intend to waive by any provision of this Agreement, the monetary
limitations (presently $1,000,000 per person and $1,000,000 per occurrence)
or any other rights, immunities, and protections provided by the Colorado
Governmental Immunity Act, C.RS. 24-10-101 et seq., as from time to time
amended, or otherwise available to the parties, their officers, or their
employees.
A certificate evidencing said insurance policy shall be kept on file with the
Department of Risk of the City and shall have a provision that the same shall not be
altered, amended, or canceled without first giving written notification thereof to the
City thirty days prior thereto. Trainer further agrees to indemnify the City for any
claims brought against the City because or on account of Trainer's operation. A copy
of the certificates of insurance shall be sent to the City in care of the Department of
Risk
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Section 19. FIREORNATURALDISASTERS.
In the event fire or natural disaster renders the Club House and its Training Center
facilities inoperable, the Trainer shall be released from the terms of compensation to be
paid the City until such time as the_ Club House and its Training Center faciliti_es are
declared open and operable by the City. If in the event such Training Center facilities are
not open and operable within a period of thirty (30) days from the time of such disaster,
Trainer has the right to terminate its contract and Lease with the City under Section 20,
Termination of Lease, contained herein. ·
Section 20. TERMINATION OF LEASE.
a) This Lease may, at any time, be terminated by either party upon ninety (90) days'
written notice to the other without cause.
b) The parties may terminate the Lease by giving thirty (30) days' written notice of a
violation of paragraphs 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, and 18, provided
Trainer has been given notice of violation, Trainer has neglected to cure such
violation. ·
c) Violation of paragraph 19 shall be grounds for immediate termination of the Lease.
Section 21. DELIVERY AND REMOVAL UPON TERMINATION.
Trainer will deliver the premises at the termination of this Lease in as good condition and
state of repair as when received, except for ordinary wear and tear or loss or damage
caused by an act of God. Upon termination, Trainer shall have the right to remove any
supplies or personal property belonging to or installed by the operatpr, subject, however, to
any valid lien or claim, which City may have for unpaid fees. Provided also that if said
removal causes any damage to the premises, said Trainer will repair the same in a proper
and satisfactory manner at its own expense.
Section 22. This Agreement may not be assigned and a sublease shall not be allowed without the
written consent of both parties. Independent contractors are separate from this Section.
Section 23. ATTORNEY FEES PREVAILING PARTY.
In the event that either party to this Agreement shall commence any action against the other party
arising out of or in connection with this Agreement, or contesting the validity of this Agreement
or any provision of this Agreement, the prevailing party shall be entitled to recover from the
other party reasonable attorney's fees and related costs, fees and expenses incurred by the
prevailing party in connection with such action or proceeding.
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Section 24. NOTICES.
All notices, demands and communications hereunder shall be personally served or given by
certified or registered mail, and:
a) If intended for City shall be addressed to City at:
City of Englewood
Attention: Director of Parks and Recreation
1000 Englewood parkway
Englewood, Colorado 80110
with a copy to:
City of Englewood
Attention: City Attorney
1000 Englewood Parkway
Englewood, Colorado 80110
b) If intended for Trainer shall be addressed to Trainer at:
Broken T Partners LLC
Attention: Manager [Kevin Hollem]
2101 W. Oxford Avenue
Englewood, CO 80110
c} Any notice given by mail shall be deemed delivered when deposited in a United
States general or branch post office, addressed as above, with postage prepaid, or
when served personally at the applicable address.
Section 25. ENTIRE AGREEMENT.
This Lease, together with the Exhibit A attached hereto:
a) Contains the entire Lease between the parties; and
b) Shall be governed by the laws of the State of Colorado.
Section 26. SEVERABILITY.
If any clause of provision of this Lease is illegal, invalid or unenforceable under present or
future laws effective during the term of this Lease, then and in that event, it is the intention
of the parties hereto that the remainder of this Lease shall not be affected thereby. It is
also the intention of the parties to this Lease that in lieu of each clause or provision of this
Lease that is illegal, invalid or unenforceable, there be added as a part of this Lease a
clause or provision as similar in terms to such illegal, invalid or unenforceable clause or
provision as may be possible and be legal, valid and enforceable.
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ection 27. CAPTIONS.
The caption of each Section is added as a matter of convenience only and shall not be
considered in the construction of any provision or provisions of this Lease.
Section 28. BINDING EFFECT.
All terms, conditions and covenants to be observed and performed by the parties hereto
shall be applicable to and binding upon their respective heirs, administrators, executors,
successors and assigns.
IN WITNESS WHEREOF, the parties hereto have hereunto set their hands and seals as
of the day and year first above written.
CITY OF ENGLEWOOD, COLORADO
"City''
By:--------------
Jerrell Black, Director of Parks & Recreation
BROKEN T PARTNERS LLC ~ =~~
STATE OF(]o/oradu) A _ , _ (') ) ss.
COUNTY OF LJ})ltj { ~ )
My Commission expires:.:::l}~/ 17
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COUNCIL COMMUNICATION
Date Agenda Item Subject
April 6, 2015 9 a i Broken Tee Golf Course Indoor Training
Center
Initiated By Staff Source
Department of Parks and Recreation Bob Spada, Golf Operations Manager
Jerrell Black, Director of Parks and Recreation
COUNCIL GOAL AND PREVIOUS COUNCIL ACTION
2008 Approval of Learning Center contract -McGetrick Golf Academy
2010 Approval of Learning Center contract -Broken T Partners LLC
Staff discussed the proposed agreement with Broken T Partners LLC for operation of the Broken Tee Golf
Course Indoor Training Center and golf lessons at the March 16, 2015 Study Session.
RECOMMENDED ACTION
Staff recommends that City Council adopt a bill for an ordinance approving an agreement with Broken T
Partners LLC to operate the Broken Tee Golf Course Indoor Training Center and golf lessons for all patrons.
-BACKGROUND, ANALYSIS, AND ALTERNATIVES IDENTIFIED
The Broken Tee Golf Course indoor training center was part of the clubhouse expansion in 1995. Six
hitting bays with two computer swing analyzers were put in place.
In December of 2007, McGetrick Golf Academy (MGA) and Ortega Golf both expressed an interest in
offering lesson programs through the indoor teaching facility. Each group submitted a proposal and met
with staff on numerous occasions. Interviews were conducted and MGA was selected. MGA was selected
for the following reasons: higher revenue stream from lease payment, free instruction to our Hole-N-One
junior golf program and discounted lessons to all Englewood residents.
McGetrick Golf Academy terminated their contract with the City effective November 30, 2009. Steve
Buretz and Kevin Hollern, investors with MGA, approached staff and proposed a new agreement that
included many of the same benefits plus new program ideas. These benefits include discounted lessons to
Englewood residents, emphasis on junior golf, improvements to the facility which includes a golf simulator
which allows for indoor play and lessons, and seeking and providing sponsorships for the Hole-N-One
program. These partners changed the name to The Metagolf Golf Academy and doing business as Broken
T Partners LLC. Steve Buretz is no longer involved; however, Kevin Hollern is handling all business
operations.
The current lease payment is $17,500 plus utilities of $7,200 for a total of $24,700 annually. The lease
payment will be $20,000 in the new contract and no utility fee. The financial reduction is $4,700. Though
this is a reduction in revenue, staff believes that Broken T Partners, LLC brings great value and is a strong
asset to the golf course and the golfing public.
FINANCIAL IMPACT
The term of the agreement is for a one (1) year lease with one (1) year renewal options with the agreement
by both parties. Broken Tee Golf Course will receive $20,000 annually. Broken T Partners LLC, will no
longer pay for utility usage. This reduces the total revenue received by $4,700.
LIST OF ATTACHMENTS
Bill for an Ordinance