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HomeMy WebLinkAbout1995-08-28 PRC Packet CITY HALL: 216 NORTH FOURTH STILLWATER, MINNESOTA 55082 PHONE: 612-439-6121 e 6. 5. 4. e A2enda: The Stillwater Parks and the City Council Ch August 28, 1995 MEETING NOTICE STILL WATER PARKS AND RECREATION BOARD ,~villw(lt~r --- ::::::::: THE B I R T H P LAC E 0 F ~l~, MINNESOTA J J e Submitted by: Mike Polehna e Acting Secretary Motion by Steve Wolff, seconded by Marguerite Rheinberger to adjourn the meeting. All in favor Adjournment The Board discussed a letter to the police chief regarding Gannon's parking lot. Judy Gulden asked for a letter of support from the Parks Board. Friends of Stillwater Parks. Tim was asked to have NSP check all the lights at Northland Park. Motion by Al Liehr, seconded by Rob McGarry to add a basketball court, fencing, and lights to Staples Park. All in favor. Motion by Steve Wolff, seconded by Marguerite Rheinberger to approve the Lily Lake Ice Arena Lease with St. Croix Catering, adding no-smoking to the lease, and increasing the lease fee 4% to $11,400. All in favor. e Park Plan. Sue Fitzgerald reported the City Council approved $15,000 for the Pioneer Park Plan. Staffhas obtained five proposals and will make a selection by September 15. The Chair or Vice-Chair will be on the selection committee. Lily Lake Ice Arena Lease. Tim Thomsen discussed the Parks Department budget, the CIP plan, and maintenance plan. Diane Deblon answered questions from the Board. Bud~et. Tim Thomsen, Parks Director; Sue Fitzgerald, City Planner; Diane Deblon, Finance Director Also: Dave Junker Absent: Rich Cummings, Judy Gulden, Alan Liehr, Rob McGarry, Ken Meister, John Melville, Del Peterson, Mike Polehna, Marguerite Rheinberger, and Steve Wolff Present: August 28, 1995 MINUTES e STILL WATER PARKS AND RECREATION BOARD e ~~ Please review the agreement and let me know if it meets with your approval. Feel free to contact me if you have any questions regarding the agreement. I have talked to Dick Anderson and he has confIrmed that St. Croix Catering, Inc. would like to continue to operate the Lily Lake Arena for the 1995/96 season. I am providing you with a draft of a proposed agreement between the City of Stillwater and St. Croix Catering, Inc. for the operation of the Lily Lake Ice Arena for the 1995/% ice season. The agreement is identical to prior year e agreements (except for the changes in dates, signatures, etc.) DATE: August 22, 1995- SUBJECT: 1995/96 Ice Arena mgmt. agreement FROM: City Coordinator TO: Park and Recreation Board MEMORANDUM e Note: The circled areas are the areas that are subject to change (negotiations/). The numbers were not changed from previous years for your information and review. 1 All checks shall be made payable to the City of Stillwater and any overdue rent shall bear interest at the rate of 8 percent (8%) per month, and in addition any rent more than 15 days overdue shall result in a penalty of 10% of the amount due which shall be payable as additional rent. (b) In the event that the total gross sales exceeds the base period, that percentage rental shall be paid within thirty (30) days after the end of the month in which it was exceeded. (a) The basic monthly rental shall be payable in advance on the first day of each and every month. The rentals shall be paid at the office of City Treasurer in the following manner: o ~f the increase in gross sales over the base period 2-93 season. (b) Four and one halfpercen\( which is the same period 0 ayable monthly. (a) The basic yearly rental 3. Rental. Tenant shall pay as ren 2. Term of a~reement. The term of this agreement shall be for a period of one year commencing on October 1, 1995 and terminating on September 30, 1996, unless sooner terminated as hereinafter provided. 1. Demised premises and property: the Lily Lake Ice Arena (as the area is described in Exhibit "A", and that personal property described in Exhibit "B"). NOW, THEREFORE, in consideration of the promises, covenants, terms and conditions herein contained, the parties mutually agree: WHEREAS, Tenant is desirous of leasing the Arena to Tenant for the operation of a skating rink; WHEREAS, City is the owner of the premises commonly known as the Lily Lake Ice Arena (the "Arena"), This agreement, entered into this 1st day of October, 1995, by and between the City of Stillwater, a municipal corporation of the State of Minnesota, hereinafter called "City", and St. Croix Catering, Inc., a Minnesota Corporation of Stillwater, Minnesota, hereinafter called "Tenant", witnesseth: LEASE DRAFT e e e '. \ 2 e 8. Alteration. repair or improvements. Tenant shall not make any alterations, repairs, or improvements to the building or to the area immediately surrounding the building without obtaining the prior written consent of the City. Requests to make any alterations, repairs, or improvements shall be in writing. Any such permitted alterations, repairs, or improvements shall be made at the expense of Tenant and shall be come the property of the City. Tenant shall not use or permit the premises to be used for any other purpose, or for any unlawful, immoral or indecent activity. Tenant shall confine its activities to the area rented by it under the terms of this agreement. Tenant shall not allow any person to live or sleep on the premises, nor shall it permit disorderly persons to remain upon or loiter within the premises. At no time shall Tenant sell or give away any alcoholic beverages, or allow any alcoholic beverages to be consumed on the premises. The price charged by Tenant for ice time, services, food and drinks shall be reasonable and shall not be in excess of prices prevailing elsewhere for the same kind and quality of service and shall be subject to the approval of the Stillwater Recreation Commission. 7. Scope of lease. Tenant shall provide ice time to the general public without discrimination as to race, color or creed. Sales shall be limited to ice time, food items, and restricted to soft drinks served in paper cups, coffee, tea, shaved ice, candies, light lunches, sandwiches, popcorn, peanuts, ice cream products, and such similar items. e 6. Performance security. The Tenant shall deposit with the City, as security for the full and faithful performance of this agreement by Tenant and which may be used by City for the purpose of remedying any default in the performance of any of the terms of this agreement, a surety bond in the amount of $150,000.00, executed by a surety or sureties approved in writing by the City and the office ofthe city attorney, naming City as obligee and Tenant as principal. 5. Inspections of records. Tenant shall keep accurate records of all sales and receipts in accordance with the bookkeeping systems as City may approve; and City shall have the right to inspect the books, records and inventories of the Tenant at any reasonable time for the purpose of ascertaining the correct amounts due the City under the terms of this agreement. 4. Gross income statement. Tenant shall present a statement of the gross income of the Tenant for the month at the office of the City Treasurer within 15 days after each month. Failure to comply shall constitute a breach of this agreement. Failure to pay the rent when due shall constitute a breach of the agreement and shall be grounds for termination of the agreement by City. e 3 17. Duty to City. Tenant shall use its best efforts to insure that the public using the premises is treated in a fair and courteous manner. Further, the Tenant shall use its best efforts to promote the sale of ice time and to meet and accommodate users and scheduling of contract ice e 16. Subletting and assignments. Tenant shall not sublet the whole or any part of the premises, nor assign, hypothecate, or mortgage the lease or any or all of its rights hereunder without the prior written consent of the City. 15. Destruction of premises. If during the term of this agreement the demised premises are destroyed or damaged by acts of God, war or other catastrophe, so that the same is unfit for occupancy or use, the rentals shall abate until such time that the premises shall have been duly repaired and restored by City, whereupon the lessee at its option may terminate this lease or continue thereunder pursuant to the terms and conditions of this agreement. A prorated portion of any rental prepaid, prior to the destruction or damage as is contemplated by this paragraph, shall be refunded for the period Tenant was not allowed the use of the premises. 13. Equipment. The equipment defined in Exhibit B is leased to the Tenant in an "as is" condition, without warranty or promise to the Tenant as to its fitness for any purpose. e 14. Hours of operation. Tenant may operate the Arena during any hours of the day without limitation, however the tenant shall remain open and shall honor all contracts for ice time made by the City with users and assigned to the tenant as part of this agreement. Tenant shall maintain the open skating schedule and the figure skating schedule that has been established by the City during the term of this agreement. 12. Compliance with laws. Tenant shall observe and comply with all laws, statutes, ordinances, rules and regulations of the United States Government, the State of Minnesota, the City of Stillwater and the County of Washington, or any department or agency of the above. 11. Snow Removal. City shall be responsible for plowing the parking lot, and the Tenant shall be responsible for all other snow removal. 10. Utilities. taxes and other charges. Tenant shall contract for and pay for all utility services, taxes, or other charges incurred or assessed against the operation of the demised premises during the term of the lease. 9. Maintenance of Property and Responsibility for Damage. Tenant shall be responsible for the reasonable and proper care of the Ice Arena building. It shall repair, or cause to be repaired, any damages to the property or equipment caused by itself, its employees, agents, guests or patrons. Tenant shall keep and maintain the building in a clean and sanitary condition and shall comply with the rules and regulations of the Washington County Board of Health. Tenant shall be responsible for the proper removal of all garbage and refuse from the premises in a timely manner at its own cost. e 4 e 20. Breach of contract. In the event of any breach of any of the terms or provisions of this agreement, City shall have, in addition to any other recourse, the right to terminate this agreement, to enter and obtain possession of the entire premises, to remove and exclude any and all persons from the premises, and to remove and exclude all property of Tenant therefrom, all without service of notice or resort to legal process and without any legal liability on its part. In the alternative to this coverage, the Tenant may provide other alternative coverage such as a combined single limit policy as is approved by the office of the City Attorney. All insurance required herein shall be secured from an insurance company or companies which shall have been approved by the director of finance and the office of the city attorney, and shall name City as an additional insured therein. All insurance premiums shall be the obligation of, and shall be paid by, Tenant. All insurance policies and evidence of the initial payments made thereunder shall be delivered to the director of finance at the signing of this agreement, and shall be held by City for the term of this agreement. During the term of this agreement, Tenant shall also deposit with City all evidence of additional premium payments made under the policies. Each insurance policy shall contain a clause whereby the insurance company shall agree to give written notice to the director of finance ten (10) days prior to any cancellation or alteration of the policy. (c) Fire insurance in an amount equal to the replacement value of the building and the improvements thereon, as approved in writing by the director of finance. e (b) Property damage insurance in an amount not less than $1,000,000. (a) Public liability insurance in an amount not less than $200,000 for injury to one person in one accident and $600,00 for injury to more than one person in one accident. 19. Insurance. Tenant shall purchase and maintain the following insurance during the term of the agreement: 18. Indemnity. Tenant shall so conduct its activities upon the premises so as not to endanger any person lawfully thereon; and shall indemnify, save and hold harmless City and all of its officers, agents and employees from any and all claims for losses, injuries, damages and liabilities to persons or property occasioned wholly or in part by the acts or omissions of Tenant, its agents, officers, employees, guests, patrons, or any person or person admitted to the premises are used by or under the control of Tenant. time at all times during the term of this lease, even after it has determined not to renew this lease. Tenant shall honor the priority that the City has given to ISD #834 and the St. Croix Valley Hockey Association with regard to scheduling and price. e 5 NOTARY PUBLIC e The foregoing instrument was acknowledged before me this _ day of 1995, by Jay L. Kimble, Mayor, and MOrli Weldon, City Clerk, on behalf of the City of Stillwater. STATE OF MINNESOTA ) )ss. COUNTY OF WASHINGTON) By Its By Its ST. CROIX CATERING, INC. Morli Weldon, City Clerk e Jay L. Kimble, Mayor CITY OF STILL WATER 23. Termination. This agreement shall terminate for a breach of any condition, and, if not before, one year from the effective date. If either party desires to renew this lease for additional periods, it must send notice of its intention to do so to the other party at least 90 days prior to the termination date. Negotiation for a renewal period must be complete at least 30 days prior to the termination date unless both parties agree to a later date in writing. Neither party is under any obligation to renew. 22. Surrender of premises upon termination. Upon the termination of this agreement, Tenant shall peaceably surrender and deliver up possession to City of the demised premises, including all improvements or additions thereto, in good order and condition, reasonable wear and tear excepted. 21. Inspection by City. City shall have the right to make inspections at any reasonable time to insure compliance with this agreement. e 6 NOTARY PUBLIC The foregoing instrument was acknowledged before me this _ day of 1995, by , , on behalf of St. Croix Catering, Inc. STATE OF MINNESOTA ) )ss. COUNTY OF WASHINGTON) e e e