HomeMy WebLinkAboutResolution - 6017 - Agreement - Civic Lubbock Inc. - 09/24/1998Resolution No. 6017
Item No. 42
September 24, 1998
RESOLUTION
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
THAT the Mayor of the City of Lubbock BE and is hereby authorized and
directed to execute for and on behalf of the City of Lubbock an Agreement, attached
herewith, by and between the City of Lubbock and Civic Lubbock, Inc., and any
associated documents, which Agreement shall be spread upon the minutes of the Council
and as spread upon the minutes of this Council shall constitute and be a part of this
Resolution as if full copied herein in detail.
Passed by the City Council this 24th day of September '1998.
1r; F/P...';
ATTEST:
/"Aiaul
Ka a amell, City Secretary
APPROVED AS TO CONTENT:
Tommy Gofizilez,tirecar of Civic Services
APPROVED AS TO FORM:
Dbdald G. Vandiver, First Assistant City
Attorney
Ddres/Wcon.res
Ccdocs/CLIconxes.doc
AGREEMENT
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
Resolution No. 6017
Item No. 42
September 24, 1998
This Agreement is entered into on this qday of September , 199 8_,
by and between the City of Lubbock, a Texas home rule municipal corporation
(hereinafter called "City") and Civic Lubbock, Inc., a Texas non-profit corporation
(hereinafter called "Corporation").
WITNESSETH:
WHEREAS, the City and the Corporation did heretofore on the 26th day of
September, 1996, enter into an Agreement wherein City granted to Corporation a license
for the use of the Auditorium/Coliseum and the Lubbock Memorial Civic Center; and
WHEREAS, it is the desire of the City and the Corporation to enter into a new
Agreement establishing the relationship between the City and the Corporation; NOW
THEREFORE:
BE IT RESOLVED BY THE CITY AND THE CORPORATION AS FOLLOWS:
1. This Agreement supersedes and takes the place of the Agreement entered
into by and between the City and the Corporation on the 26th day of September, 1996,
and any and all prior agreements between the City and the Corporation; and upon
execution this Agreement shall establish and govern the relationship between the City
and the Corporation.
2. In consideration of the Corporation's service to the community in the
enhancement of public art and the Corporations' commitment expand its cultural and
educational programs, the City hereby grants to Corporation a license for all food,
beverage and other concession sales, in, or surrounding the Lubbock Municipal
Auditorium/Coliseum, Lubbock Memorial Civic Center, and other designated municipal
facilities as mutually determined by the City and the Corporation.
3. Corporation agrees that for and in consideration of such license, herein
granted, that Corporation shall pay:
a) City twenty (20%) of food & soft drink commission sales in fiscal year
1998-99; ten (10%) in fiscal year 1999-2000; and five (5%) in fiscal year
2000-2001 at the Lubbock Memorial Civic Center and the Lubbock
Municipal Auditorium -Coliseum and other mutually determined municipal
facilities during the term of this Agreement. The food & soft drink
concession sales commission shall be paid by Corporation to City on a
quarterly basis with the first such payment being due on the 10'' day of
January in each fiscal year, and a similar payment on the same date of each
succeeding quarter during the term of this Agreement.
b) City twenty (20%) of alcohol beverage commission sales at the Lubbock
Memorial Civic Center and the Lubbock Municipal Auditorium -Coliseum
and other mutually determined municipal facilities during the term of this
Agreement. The alcohol beverage concession sales commission shall be
paid by Corporation to City on a quarterly basis with the first such
payment being due on the 10'' day of January in each fiscal year, and a
similar payment on the same date of each succeeding quarter during the
term of this Agreement.
4. As additional consideration for this license, the Corporation agrees to pay
all operational expenses associated with such concession rights or sales, including, but
not limited to, all salaries of full or part time staff employees engaged in such sales.
Routine maintenance of all concession areas included in this license shall not be
considered an operational expense and shall be borne by the City at no cost to the
Corporation. In addition, City agrees to employ such full-time staff as may be necessary
and appropriate to assist the Corporation in carrying out the duties and responsibilities of
the concessions and accounting functions of the Corporation. Such salaries and benefits
of such employees shall be reimbursed to the City by the Corporation on a quarterly
basis.
5. At the Corporation expense, Corporation agrees to conduct an annual audit
of its book of accounts using the City's designated external auditor each year during the
term of this Agreement. The audit shall be completed no later than the 30'' day of
December, 1999 and each year this agreement is in force, and upon the same date of each
succeeding year that this Agreement remains in effect between the parties hereto.
6. If the audit presented by the Corporation to the City identifies a cash fund
balance, after payment of the total considerations hereinabove mentioned and excluding
all expenses incurred or encumbered, the Corporation is hereby authorized to retain such
fund balance as follows:
a) The first one hundred thousand dollars of such cash fund balance shall be
retained by Corporation as a reserve fund for performance of its
obligations and duties herein set forth.
b) Any fund balance remaining after the contribution to a reserve account as
mentioned above is satisfied shall be place in a reserve to fund activities
relative to the purposes of the Corporation as stated in its Charter.
7. The Corporation hereby agrees to prepare and submit to the City during
the month of July during each year of this Agreement a budget for the upcoming fiscal
year beginning October 1 of each year. The Corporation shall prepare this budget on
forms satisfactory to the City and shall present this budget to the City Council each year
for comment.
8. The Corporation agrees to use its best efforts to foster and promote
cultural and educational programs in and around the facilities hereinabove mentioned
which will add to the quality of life of the citizens of the City of Lubbock in accordance
with the Corporation's Charter. This will include, but not be limited to public art
programs in or on property owned by the City of Lubbock. Corporation also agrees to
use its best efforts to make maximum use of the Lubbock Memorial Civic Center and the
Lubbock Municipal Auditorium -Coliseum so that events providing entertainment and
adding to the cultural and educational quality of life of the citizens of the City will be
presented.
9. In consideration of the Corporation's services to be rendered pursuant to
this Agreement, the City does hereby grant the Corporation the right to use any and all of
the above mentioned or agreed upon City facilities for its business meetings and other
corporate functions. The Corporation, however, will be required to schedule such
meetings or functions at times that are mutually agreeable to both the City and the
Corporation.
10. The City agrees, that for the purposes of transferring food and beverage
concession functions to Corporation all equipment currently owned by the city that is
used for the food and soft drink concessions will be leased to Corporation for one dollar
($1.00) per year and other good and valuable consideration with such amount to be paid
upon final execution of this Agreement by all parties and upon the anniversary of such
execution each year thereafter. Corporation agrees to maintain said equipment and to
replace such equipment when it's useful life expectancy has been reached. Any
equipment replaced by Corporation shall be the property of said Corporation. In addition,
the City agrees to sell its current consumable inventory associated with such operations to
the Corporation on an "as used" basis at a total cost not to exceed thirty thousand dollars
($30,000).
111. The term of this Agreement shall be from the date first above written until
such time as this Agreement shall be terminated by mutual agreement of the parties, or,
upon ninety (90) days prior written notice, by the City unilaterally.
12. In the event that the City cancels this Agreement unilaterally upon ninety
(90) days prior written notice, then in such event, the Corporation shall nevertheless be
authorized to undertake and fulfill all existing obligations and contracts necessary and
essential for the orderly conclusion of the Corporation's business. However, the
Corporation shall not undertake any new contracts or commitments after receipt of the
unilateral cancellation notice above mentioned. The Corporation further agrees to
cooperate with the City to ensure an orderly transition of all services and facilities
hereinabove stated.
CIVIC LUBBO K, INC.:
Y
Y:
PRESIDENT
ATTEST:
CIA th f, -
Secretary
ddcon/Mcon.doc
rev. September 17, 1998
CITY OF LUBBOCK:
APPROVED AS TO CONTENT:
j
Tommy Goffialez, I)YrectoPof Civic
Services
APPROVED AS TO FORM:
Attorney
4
Lily