HomeMy WebLinkAbout2002 Ordinance No. 050•
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BY AUTHORITY
~ j:f 1i' .t -..100,1,
10 b iv
ORDIN ANC E NO. 21/,)
SERIES OF 2002
COUNC IL BILL 0 . 53
INTRODUCED BY COUNC IL
MEMBER GARRETT
AN ORD INANCE APPROV IN G THE LEASE AGREEMENT BETWEEN THE CITY OF
ENGLEWOOD . COLO RADO. AND "TNT TRAI NING FOR GOLF' FOR THE LEASE AND
OPERATION OF THE ENGLEWOOD GOLF COURSE INDOOR TRAIN ING CENTER .
WHEREAS . the En glewood Uo lf Co urse indoor tra ining ccn1er was pan of 1hc clubhouse
expansion in 1995 ; and
WHEREAS. for the traini ng cenler lo be succe ssfu l. a staff person need s , .. be on site
during operating hour!i for the golf swin g anal ys is. instructio n. go lf club fin ing an t. 4.!0 lf club sales:
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WHEREAS , Tim Gro ve. TNT, Inc. O\Vner, would be nn exc ellen t addition i.o the staff for
thi s trainin g wh ic h will gen erate additi onal sales and reve nu e fo r th e En glewood Golf Course; and
WHEREAS. the Golf Course tra inin g ce nter will stil l be av ai lable to the golf course for
classes and training .
NOW , THEREFORE. BE IT ORDAINED BY THE CITY COUNC IL OF THE CITY OF
ENGLEWOOD . COLORADO , AS FOLLOWS :
~-The Lease Agreement betweeu lhe City of En glewood. Culorudo . and TNT. In c. for
vid!!o golf trainin g, in stru c1i on. i;Jub fining and Dimen sion Z club sal es is hereb y approved .
SWinn..l... The Mayor is authorized to sign and 1he Cit y Clerk 10 atte st th e Agreement between
lh l! Cit y or En glewood . Colorad o. and TNT, In c. for and on bch alr or the Cit y or Englewood.
Introduced. read in full . und passed on first readin g on the 7th day of October , 2002.
Publi shed as a Bill for an Ordin ance on the I It h day of Octobe r. 200 2.
Read by titl e and pa."iscd on fi na l re adin g on the 2 1st day of Oc tober , 2002.
Publi shed by tlll e as Ordman cc No ~tJ . Se ne s or 2002 . on the 25 th da y of Octo ber. 2002
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[. Loucrishi a A. Elli s. City Cl erk of th e City of En glewood . ccnif th at the
above o.nd foreg oi~.,\s a tru e copy of th e Ordinance passe d on fi
as Ord inan ce No.~. Seri es of 2002 .
AGREEMENT
THIS AGREEMENT , herei nafter ca lled "Lease", made and entered into tlus __ day of
---------~ 2002, by and between the CITY OF ENGLEWOOD . a
Colorado municipal co rporation, herei nafter referred to as "City", and TNT TRAINING FOR
GOLF , hereinafter referred to as "Trainer":
WITNESSETH :
WHEREAS. the Ci ty owns ce rtain real property which is known as the Englewood
Municipa l Golf Co urse Clubhouse And Training Center. herei nafter called "Training Ce nter",
and loca ted in the City of Sheri dan; and
WH EREAS . City and Tra iner desire to e nte r into a lease for the management of the
Training Ce nter loca ted at the Englewood Municipal Golf Course ;
NOW, THEREFORE. for and in co nsideration of t he mutual cove nants he reinafter
a ppe a ring and of the pay ment of the monies hereinafter set fort!1 , the parties hereto agree as
follows:
S•;~ STATEME NT OF INTE NT.
The purpose of thjs Leu se is to provide video golf training, instruction, clu b fitting a nd
Dime nsion Z club J.!i le:ci
~ GRANT .
Tl:"' City he reby agrees to a llow the Trainer to 1ae the area described in "Exhibit A" of
the Englewood Clubhouse Training Ce nte r .
~-DEF! lTION OF PREMISES .
The "Leased Pre mi ses" as re ferred to herei n is defined to be the Go lf Clubhouse
Training Cen t e r. which 1s ow'led by the Ci ty of Englewood. Co lorado. See Exh1b1t "A".
~-TERM OF AGR EEMEN T.
The City here by gr.::m td to Trainer the right to hold the Leased Premises pursuant to
the terms of t his Lease for a one ( l) year Le:i se with tw o (2) one (1 ) year renewal
pe riod s by the agreement of both parties. The City reservc-s the right to accept, modify.
or reject said written prnposa l. [f the Trainer intends to renew the co ntract they mus t
info rm the Directo r of Parks a nd Recreation thirty (30) days prior to termination of the
Le ase. The City s hul.l inform Tr:uner of it s de cision t hrough the Director of Parks :ind
Rec re a tion .
~ USE OF THE PRE MISES .
Trainer sha ll h,1ve the right to possession of the Lea sed Premises for the purpose of
proVlding vide•.> ~o lf tr:unmg instructum. club fitttng and Dimension Z club sales . The
Trainer agrees to poy the Er.glewood Gulf Co urse :!5% of net sales of Dimension Z
clubs. However. nothing in this Le :,se shall be co .i trued to authorize that which is
prohibited under Umted Stntes . State or locn l law ordinance. code or regub.tion. v n
occns1on and with prior notific:1t1o n to the Trainer. the City may have a need to use the
len sed premise. Trni nl!I' s hall allow such use. When t he Tro.i ning Center is closed . the
Ci t y ha s the right to u~e thl! hittmg bay:1'.
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~-SERVl CES .
All se rvices provid ed by the Trainer sha ll be reviewed and approved by the Director of
Parks and Rec reatio n.
~-HOURS OF OPERATION .
a) From May 1st through Septemb er 30th of oach year, the Trainer shall provi de
video golf training seve n (7) day s per wee k and during these months s hall be
open each da y to the public fr om 8:00am and s hall remain open until 8pm
Tuesday-Saturday.
b) During the months of October 1st through April 30th of each year , the Trainer
shall provide video golf training seven (7) days pe r week and during t hese months
s hall be open each day to the public 8:00am un til 8:00 p.m. On Mondays, the
Trainer has the option of closing at 6pm. On Mondays, th e Trainer has th e
option of clos ing at 6pm .
c) Hours of operation may be modified with written a pproval from the Director of
Parks and Recreation or his designee.
d) Closing on Sunday is permitted . Nothing herei n shall be co nstrued as
prohibiting the Trainer from being ope n for other hour s in addition to those
stated in paragraphs "a" a nd "b" above. Trainer may close on Christmas Day
and Thank sgi ving Da y.
e) Tr ainer agrees to coo perate with the Golf Course Manager in sche duling golf
meetings and eve nts . In the eve nt. of any disagreement, the matter shall be
referred 00 the Directo r of Park s and Recreation and his/her deci sion is final .
l) Any adjustments to the hours of operation mu st be approved by the Directo r of
Parks & Recreation or his designee .
g) Tra ine r and or th e City may temporarily clo se th e Traini ng Ce nter for cleaning ,
co nstruction and maintenance und er a mu tually agreed upon schedule.
~ MAINTENANCE, REPAIR AND REPLACEMENT .
a. The Trainer shall be respon :-i hle for repairs and/or replace me nt of mats ,
ne tting , paintin g, carpet, vidfu equipm e nt. TV's, cam~ras and all othe r
equipment associate d with th e lea se d premise .
SECTION !J. CLEANLI NESS GUJDELINES.
a) All r ules, regulations and guidelines requ ired by th e City of Englewood mu st be
adhered to.
b) All applicable loca l , s tate and Federal Gove rnm e nt Acts and Regul ations mu st be
adhered to.
c) Any s pec ifi c guide line s esta blis hed by the Directo r of Parks a nd Recreation must
be adhered to.
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~-INSTRUCTOR USE AGREEMENT INCO RP ORAT:ON .
The Trainer unde rstands that its use of the Golf Course Training Center facility is also
s ubj ec t t o any a nd a ll instructor u~e agree me nts and s ubjects itse lf to the te rms of those
agree me nts.
Smi2n..il, RENT .
a) Trainer shall pay rent to t he City in acco rdance with the follow in g schedule:
Commencing on -----~ the Trainer shall pay S $15,000 pe r year
pa id monthly ($1250 per month) plus 10% of the net procee ds (paid
a nnually). Expe nses include but are not lim ited to lea se payment, labor,
opera t ing costs, a nd fixed charges.
The aforesaid fixed re nt payments shall be paid each month, in advance, on
t he first day of each month or on the first Monday of e ach month if the first
day falls on Saturday or Sunday.
A penalty fee of $10.00 per day or port thereof sha ll be charged for each day
or part thereof that the re nt is past due, until 12 :00 midnight on the 14th
day past c!ue . If the re nt payment is not re ceived by midnight on the l4th
day past due, the Traine r s ha ll be in vio lation of the te rms of this
Agreement, :tnd s ubject to termination.
~-UTIL ITIES.
City sh o U provide all utility costs for operation . If a dditional utiliti es are necessa ry,
the Trai ner will be re s ponsible for inst a ll a tion cos ts.
5illilm.1a. JANITORI AL SE RVICE AND TRASH REMO VAL.
City shall be respons ibl e for t he rea so na bl e cos t of tras h removal and janitoria l service
for the Len sed Pre mi ses. No thing in this Pa ragraph s ha ll dim ini s h the Trainer 's
requireme nts se t fo r t h 111 P:1r:1 graphs 9 a nd LO.
~ PARKI NG FACIL :T IES .
a) The ex isting parking facility adjacent to the Golf Co urse Clubho use (hereinafte r
call ed "parking fa c11ity") s hall be open fo r use by Trainer and its c ustomers; s uch
right of use of the sa id parking fac ilities sha ll be non-e xclusive right.
b) City s hall a t its own ex pense maintain the parking facility , which s ha ll include
snow removal whe n necessnry.
~ SIGNS .
Any sign age for the leased prem ise s hall be the so le responsi bility of t he Trainer. All
signage must be a r >Jroved by the Director of Parks a nd Recreation or his des1gne e.
~ ADDITIONAL ,ACILITI ES A:-1D EQ UIPME NT.
Trainer s hall have the ri g ht to mst.::ill a dditio nnl faciliti es a nd eq ui pme nt with the
co nse nt of the Director of Parks a nd Recreation or hi s designee. Pe rmanently attached
fixtu res or equipment dhall become property of t he City upon termination of t he lease.
Perm a nently a.ttnched fixtures are co ns id e red to be a ny item that ca uses damage to the
buildi n g upon re moval.
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~SECURITY.
Trainer is responsible for the obtaining of theft insurance covering equipment, supplies
and personal property of Trainer . Such poli cies sh all co ntain no right of s ubrogation
against the City . Trainer shall pro"'~• a copy of the polic y to the Director of Parks and
Recreation. Additional costs for security, as required by the Director of Parks and
Recreation or hi s designee, s ha ll be the responsibility of the Trainer.
~-PERSONNEL.
a) Trainer s hall at its own expense employ such qualified personnel as may be
ne cessary for the co ncessio n operati on and s hall 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 ab se nt, ke e p competent per so nnel in charge.
c) City s hall not be re s ponsible for the wages or salaries of any employee or
representative ofTr::iiner, nor for any debts. liabilities or other obligations of
Trainer.
d) Neither the Tro.incr nor the e mployees who pet fo rm services purs uant to the
Aereement shall be co nsidered employees, se rvants or agents of the Ci ty of
Englewood as a resu lt of the perfo rma nce of services under the Agree ment.
e) Violence a nd acts prohibited by law committed by Trainer or emplo··ees of
Trainer shall ca use immediate termination of the Lease.
• Silli2n...ll, LICE NSES AND PERMITS .
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Trainer, at its own exp ense, s hall se<.. I:! a ny and all licenses and permits for services.
~-INSURANCE/INDEM NIF!CATlO
a) Trainer agrees to fu rnis h to City n performance bon d or letter of cr edit in the
amount of Ten Thousand Doll ars ($10,000) ~uaranteeing faithful perfor mance by
Trainer of all payment of rent, pre-paid pas•3es, lesso ns , etc. along with all terms,
covenants, a nd co nditions herein co ntained :md co mpli ance with a pplicable City
ordinances. Suid bond s hall be furnished as of the within 30 days of signed
agreement.
b) Trainer s hall at Troiner's own expense keep in full force and effect during the
term of tlus Lease st.1tutory Worker's Co mp ensation coverage. A copy of the
certificates of insurance s hall he sent to the City in ca re of the O1'.!partment of
Risk.
c) INDEMNIFICATION. Trainer agrees to indemnify and hold harm.less the City of
Englewood , its officers , e mployees, insurers, and self-insurance pool, fr om a nd
against all liability, claims , and demands, on account of injury, loss or damage, of
any kind whatsoeve r, which ari.5e out of or are in any manner co nnected with
Tra iner, if :mch injury. loss. or damnge is caused in whole or in part by the act,
omission, or other fault of Trainer, or a ny officer or employee of Trainer. Trainer
agrees to investi i;:\te, handle, res pond to, and to provide defense fo r any such
liability. claims. or dem :mds at the sole expense of Trainer. and agrees to bear all
other costs and ex pensc:i related thereto, including co urt costs and attorney fees,
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whether or not any such liability, claims, or deD1ands alleged are groundless, false,
or fraudulent .
d) INSURA NCE.
i. Trainer is to procure and maintain, at its own cost, a policy or policies of
insurance sufficie nt to insure aga111st all obligations assumed by Trainer
pursuant to this Lease.
ii. Trainer shall procure and continuously ma intain the minimum insurance
coverage's listed below, with the forms and ins urers acceptab le to the City
of Englewood. In the case of any claims-made policy , the necessary
re troactive dates and ex tended reporting periods s hall be procured to
maintain such co ntinuous coverage.
(A) General liability and errors and omissio ns insurance with minimum
limits of one milli on dollars ($1,000,000) per each person and one
million dollars (S1 ,000,000) per each occurrence , plus an additional
amount s ufficient to pa y related attorneys' fees and defense costs.
iii Fire and Extended Cove r age In s urance shall b, provided by the City on the
Clu bHouse building, and ex tended buildings in cluded in Leased Premises,
only . Trainer s hall be so lely re spo nsible for sec uring and paying fo r
insurance covera.i; ... on those improvements and con tents belonging to
Trainer loc:ited in or on the Leased Pr~mises . Trainer hereby expressly
wa ives any cause of action or right of recovery, whi ch Trainer may
hereafter have ag uinst City for any loss or Uc1 mage to Leased Premises or l')
any contents or improvements thereto be tonging to either party, caused by
fire or ex plo sio n.
iv. The policies required above s hall be end or sed to include the City of
Englewood and the City of E nglewood 's officers and emp loyees &s
additiona l insured. Every policy required above s hall be primary
insura nce, and any insuranc e ca rri ed by th e City of Englewood, its officers,
or its employees. or ca rried by or provided through any se lf-insurance pool
of the City of Englewood, shall be excess and not con trib utory insurance to
that provi ded by Trainer.
v. The certificate of in s urance provided to the City of Englewood shall be
completed by the Traine r's ins urance age nt as evidence that policies
pro viding the required coverage 's, conditions, and minimum limits are in
full forc e and effect, and shall be re viewed and a pproved by the Ci ty of
Englew ood prior to com menceme nt of the Agreement. No othe r form of
certificate shall be used . The ce rtificate s hall identify this Agreement and
sha ll provi de that the coverage's afforded under the policies shall not be
canceled , terminated or materially changed until at lea st 30 days prior
written notice has be en given to the City of Englewood. Th e co mpleted
certificate of insurance shall be sent to :
Department of Risk
City of Englewood
1000 Englewood Parkway
)lnglewood , Colo r ado SOI 10
A certified copy of any policy shall be provided to the City of Englewood a t its
request . A copy of the certific3tes of insur3nce shall be se nt to the City in co.re of
Department of Ri sk, 1000 Englew oo d Parkw ay . Englewood , Co lor ado 80 110.
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• vi. The parties hereto und erstand and agree that the parties are relying on,
and do not wai ve or intend to wa ive by any provis ion of this Agree ment, the
mon etary limitations (presently $1,000,000 per per son and $1,000,000 per
occ urrence) or any other rights , immunities, and protections provided by
the Colorado Governmental !mm unity Act, C.R.S. 24-10-10 I et seq., as fr om
time to time amended, or otherwis~ available to the parties, their officers,
or their em ploy ees.
A ce rtific:1te evide ncing said insurance policy shall be kept on fil e with the
Departme nt of Ri s k of the City and shall have a provision that the same s hall not
be altered, amended, or canceled without first giving wr itten notification thereof
to the City thirty days prior thereto. Trainer further agrees to indemnify the City
for any claims brought a cainRt the City because or on account of Trainer's
operation . A copy oft.he ce r tificates of ins urance sha ll be sen t to the City in care
of the Departm ent of Risk.
~-FIRE OR NATURAL DISASTERS .
In :he event fir e or natura l disas ter render s the Club Hou se a nd its Training Center
fa cili ties ino perable . the Trainer s hall be re leased from the terms of compensation to be
paid the City until s uch time as tl.ci City declares the Club House a nd its co ncessio n
facilities ope n and ope rab le. If in the eve nt s uch concession facilitie s are not open and
operable wit hin 3 period of thirty (30) days from the ti me of such disaster, Trainer has
the right to terminate its co ntract and Lease with the City under Section 24,
Termin atio n of Lease, contained herein.
• ~ TENA NT RECORDS .
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Trainer sha ll keep and maintain complete and accu ra te reco rd s and accounts of its
busi ne ss on a cale ndar yea r basis . A month ly repo r t shall be ge ne rated providing a
breakd own of "gross sa les". Such records shall be maintained in accordance with
generally accep ted accounting principles and s hall be ,1udited annually by an
in de pende nt acco untant ce rtified in the Stnte of Colo rado. The reco rd s shall clearly
show Tr:1iner's gross sa les. Such reco rd s :m d a,:co unts , includbg all sales tax reports
that Tr:iiner fur nishes to a ny gover nment or gover nm ental age ncy shall be made
availab le for inspection at a ny reasonable time up on req uest of the Ci ty, the City's
auditor, or other author ized representative, :ind a co py of s uch annua l a udit, including
all writte n comments and reco mm endati ons of s uch indep endent accountant, s hall be
fw·nished to the City Clerk wi thin no days of the close of the fiscal year be ing so
audited .
~-TERMl )IATION OF LEASE .
a) Tlus f '""·" may, a t any time. be terminated by either party upon thirty (3 0) days'
wri~ ten nc..tice to th~ other witho ut c:iuse.
b) The parties m:iy terminate the Leai;e by givi ng thirty (30) days' wri tten notice of a
vio lation of sectio n 5. 6. 'i, 8. 9, 10, 11 , l:.?. 13, 14. a nd 15
c) Vio lation of paragraphs 16. 17, 19 , and 20 shall be grounds for immediate
termination of the Le:i se .
~-DELIVERY AND REMOVAL uPON TERMINATION .
Trai ner will delh·er the premises :lt the termination of this Lea se in as goo d condition
::ind state of rep=i.ir as when rcce1,·ed, ~xcept for ordinary wear and tear or loss or
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damage ca used by an act of God . Upon termination, Trainer shall have the right to
remove any s upplies or personal property belonging to or installed by the operator, •
subject, however , to any valid lien or claim, which Ci ty may have for unpaid fees .
Provided rilso that if said re moval ca uses any damage to the prem.\Ses, said Trainer will
ru·pair the sa me in a pt:"!"@r and sa tisfacto ry manner at its own expense .
~-This Agree ment may not be assigned and a s ublease shall not be allowed wi tho ut
the written co nsent of both purti es .
~.NOTICES.
All notice s, demands and communicat1,,ns here unde r shall be personally served or
given by certified or re gi --• ,red mail , and:
a) If intended for City s hall be addressed to City at:
City of En gle wood
Attentio n: Director of Park s and Recre ati on
1000 Engle wood pa rkway
Englewood , Coloradv 80110
with a co py to :
City of Englewood
Atte ntio n: City Attorney
1000 Englewo od Parkway
Englewood , Colorado 80110
b) If intended for Tra in er •hall be add r essed to Trainer at:
Tim Grove
659 S. Dudley St
Lakewoo d , CO . 80226
c) Any notice give n by moil s ha l! be deemed delivered when deposited in a United
States general or branch post office , addre ssed as above, wit h postage prep aid , or
when served perso na lly at the applicable address .
~-ENTIRE AG REEME NT.
This Lease, to~ether with th e ex hib it A 3ttac-h ed here to :
a) Contains the ent ire Lease betwee n ,he parties : and
b) Shall ~.<! governed by the '. ws of the State of Co lorado.
~-SEVERABILITY.
U any clau se of prov is ion of th 1i; L,:ase hi illegal. invalid or unenforcea ble und er present
or fu ture law s effe ctive dunng the te rm of this Lease. then and in tha t event , it is the
in tentio n of the pal'ties ht!l'e to thnt the re mn inder of this Lea st. shall not be affecte d
thereby . It is also the inr ention of the parties to this Lea se that in lieu of each clause or
provisio n of this ~use th ~lt ii; illega l. in\'alid or une nforceable. there be added as a part
of this Lease a clause or pro\.ision as similar in terms to s uch illegal. invalid or
un enforcea b:~ clau se 0 1· provision at1 may be po ssible and be legal. valid and
enfo,cea bl e.
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~ CAPTIONS .
The captio n of each Section is added as a matter of convenie nce only and shall not be
conside red in the con s truction of any provision or provisions of this Lease .
~. BINDING EFFECT.
All terms, conditions and <.-ovenants to be observed and performed by the parties
hereto s hall be applicable to and binding l 1pon 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 .
~. ADJUSTMENTSTOAGREEMENT
An}' chans-es or adjustments to thi s tJ greement must be approved by the Director of
Parks & Recreation .
CITY OF ENGLEWOOD . COLORADO
"City"
By: ---------------
Jerrell Black. Director of Porks & Recreation
TNT TRAINING FOR GOLF
"Train e~.; -.
B;: -~----------------
Tim Grove. Owner/Operator T NT
STATE OF
COUNTY OF
The foregoing instrument w~s acknowledged befort7 me this_ day of _______ :mo_, by ________ as ______ of
Notary Public
My Corr.mi ssion expires : ___ _
City Of Englewood ..
<G(O)JLIF. .JC_(O)ILJm.§JE
Exhibit A
Exhibit A
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Date
October 7, 200~
Initia ted By
COUNCIL COMMUNICATION
Agen da Item
10 a iv
Staff Source
Subject
Engle, ood Go lf Course Indoor
Trai n in Center
Department of Parks and Recreation Jerrell Bla ck, Direc tor o f Parks and Recreatio n
Bob Spada, Golf O erati ons Mana er
COUNCIL GOAL AND PREVIOUS COUNCIL ACTION
one
RECOMMENDED ACT ION
Staff re commends 1ha1 City Council ado ~• a bill by ordi nance approving th e agreemen t w ith TNT,
Inc . to operate the Engle wood Golf Course indoor training ce nter.
BACKGROUND , ANA LYS IS , AN D ALTE RNATIVES IDENTIFIED
The Engl ewood Golf Cours e indoor traininb cen ter was part of th e clubhouse ex pan sio n in 1995.
Six hitting bays with two co mputer swing anal yzers were put ii• place. While th e facility has been a
positive addition to the cl ubh o us e, the reve nue stream has been minimal. Monthl y use passes we re
c rea ted in ·1999 to generate partic ipa ti o n and , ,venue in th e faci li,y. In the first yea r approxi mately
ninety pass es were sold. Th e follow in g year 1ha1 number was cul in half. It 11as bee n realized that in
o rder for the training center 10 be successful , a staff person needs to be on site during opera ting
ho urs due 10 the golf swing analysis and to operate the co mputers pro perl y. Staff believes Tim
Grove (TNT, Inc. owner) will be an exce ll en t additi on to the staff and will generate additional sa les
and revenue fo r th e Englewood Golf Course. The service, training and club fitting provided w ill be
• positi ve addi ti o n 10 the ex isting facility. The Golf Cou rse will still be able to use the training center
fc classes, training, etc.
FINANCIAL IMPACT
The Englewood Golf Cour e wi ll receive $15,000 plus I 0% of the net profits . Currently, rev enues
are approximately $8,000 from th e indoor training ce nter. In addition , this will als o allow a sav in gs
oi approxima te ly S 1,500 in staff cos ts due 10 closi ng the pro shop at dusk during the w inter hours.
LIST OF ATTACHMENTS
Proposed Bill fo r an Ordinance
TNT, Inc. Agreemen t
I