HomeMy WebLinkAboutResolution - 1265 - Contract - GHS Developers Inc - Water Theme Park, Mackenzie State Park - 11/18/1982JCR: da
RESOLUTION
RESOLUTION 1265 - 11/18/82
IBE 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 a Contract by and
between the City of Lubbock and GHS Developers, Inc. for the construction and
operation of a water theme park in Mackenzie State Park conditioned upon the
terms of said agreement being the same as presented to the City Council on
November 18, 1982 and further conditioned that said contract be approved by
the City Attorney of the City of Lubbock.
BE IT FURTHER RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
THAT the aforementioned Contract after its execution 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 fully copied herein in
detail.
Passed by the City Council this 18th day of November ,1982.
i 12,
BILL McALISTER, MAYOR
ATTE-6T:..
elyn Gaffga, City Secretary- reasure
"P
,ROVED) TO CONTENT:
Weston, Director of Community Facilities
APPROVED AS TO FORM:
m C. Ross, Jr., City Attorney
STATE OF TEXAS
COUNTY OF LUBBOCK
RESOLUTION 1265 - 11/18/8?
(Note: Authorized by Council 11/18/82
but GHS did not execute contract until
4/18/83; the Mayor's signature was
affixed at some unknown time prior to
attestation of City Secretary.)
LEASE AND SUBCONCESSION AGREEMENT
This Agreement is entered into by and between the CITY OF
LUBBOCK, TEXAS, hereinafter called "City", acting by and through
its Mayor heretofore duly authorized to execute this instrument,
and GHS DEVELOPERS, INC., a Texas Corporation, hereinafter
referred to as "Concessioner", acting by and through its Presi-
dent, Bill J. Gregory, hereunto duly authorized.
WHEREAS, the City is the grantee of the Texas State Parks
and Wildlife Department of all of the concession rights in
Mackenzie State Park, hereafter referred to as "Park", which
Park is situated in the County of Lubbock, Texas, and wholly
within the corporate limits of the City of Lubbock, under an
agreement executed by and between the City and Texas State Parks
Board on June 4, 1953, and an addendum thereto executed by the
Executive Director of the Texas Parks and Wildlife Department
and the Mayor of the City of Lubbock, both thereunto duly
authorized, on same date as execution of this Lease and Sub -
concession Agreement; and
WHEREAS, said agreement explicitly provides that City may
sublet concessions in Mackenzie State Park during the term of
said agreement and that City shall receive all rentals and
revenues therefrom to assist City in the upkeep and maintenance
of said Park; and
WHEREAS, said agreement and the addendum thereto grants
City such concession rights for a term of years ending on
December 31, 2015; and
'WHEREAS, the Parks and Recreation Board of City of Lubbock
requested the City Council of the City of Lubbock to solicit
offers to build and operate a project as herein provided for,
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and has recommended to the City Council of the City of Lubbock
the approval of this agreement; and
WHEREAS, the Texas Parks and Wildlife Department, has
reviewed and approved this agreement; and
WHEREAS, Concessioner desires to provide facilities and
services for members of the public who visit said park; and
WHEREAS, the City Council of the City of Lubbock believes
that such facilities and services will increase the public use
and enjoyment of said Park and desires that Concessioner provide
such facilities and services; and
WHEREAS, the City Council of the City of Lubbock finds that
the grant of rights under this agreement will serve the public
interest and promote the health, happiness, and general welfare
of the citizens of the City;
NOW THEREFORE, City and Concessioner in consideration of
the mutual promises herein expressed do hereby covenant and
agree to and with each other as follows:
SECTION 1. TERM OF CONTRACT AND RENEWAL RIGHTS
This contract shall be for a term of twenty (20) years
beginning on January 1, 1983, and ending on December 31, 2002,
inclusive, except as it may be terminated as hereinafter pro-
vided. Concessioner shall have the option to renew this
contract for two (2) successive five (5) year renewal periods,
upon the same terms and conditions as the primary term, provided
that at least twelve (12) months prior to the expiration of the
initial term of this contract, or prior to the expiration of the
first five (5) year renewal period if Concessioner seeks to
exercise its rights to renew for the second renewal period,
Concessioner shall inform the City in writing of its intent to
seek such renewal of this contract and provided that Conces-
sioner is not in default of any of its obligations under the
terms of this contract. City shall grant Concessioner
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a five (5) year renewal of this Lease and Sub -concession Agree-
ment upon Concessioner's compliance with the above stated
conditions.
SECTION 2. PURPOSE
It is the purpose of this agreement to grant Concessioner
the privilege of constructing, operating, and maintaining a
water theme park and related concessions and activities on the
properties hereinafter described.
SECTION 3. LAND AND IMPROVEMENTS
A. The City does hereby lease and let to the Concessioner
during the term of this contract the following described prop-
erty and all improvements thereon, hereinafter referred to as
"leased premises", and generally described as follows:
A tract of land and all existing structures and improve-
ments thereon consisting of approximately twenty (20) acres
located in the southeast corner of Mackenzie State Park
adjacent to the South Plains Fair Grounds and fronting on
East Broadway; all of which tract of land_ is situated
within the corporate boundaries of the City of Lubbock,
Texas, and within Lubbock County; such tract of land is
more specifically described in Exhibit "A", attached
hereto.
Said leased premises, and all buildings, structures, fixtures,
improvements, and equipment therein and thereon shall be
operated and maintained by Concessioner for the use and benefit
of the public as a recreational area in accordance with the
terms hereof. ,
B. The City shall have the right at any time to enter
upon any lands and improvements leased hereunder for any purpose
it may deem reasonably necessary for the administration of the
Park and the government services carried on therein.
C. "Government improvements", as used herein, means the
buildings, structures, fixtures, equipment, and other improve-
ments now located upon the leased premises, or hereinafter
constructed thereon by any governmental entity or provided by
the City for the purposes of this contract. In addition, any
sunken concrete pool hereafter constructed by Concessioner on
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the premises shall be considered a government improvement, and
any such pools shall not be considered a taxable asset of
Concessioner.
D. The City hereby grants to the Concessioner the right
to occupy and use such government improvements during the term
and subject to the conditions of this contract.
E. Said leased premises, and all buildings, structures,
fixtures, improvements, and equipment therein and thereon shall
be maintained and repaired by Concessioner at Concessioner's own
cost, risk, and -expense, in a clean, sanitary, and safe condi-
tion, as required by law, ordinance, or by order of the Parks
and Recreation Board, including disposing of garbage and other
refuse; and Concessioner agrees and accepts the responsibility
to account for, and to be liable at all times for damage to said
leased premises and all buildings, structures, fixtures, improve-
ments, and equipment therein and thereon; provided that, if a
government improvement is damaged by casualty or otherwise to an
extent requiring major repair or rebuilding, then the Conces-
sioner shall not be obligated to repair or rebuild such
improvement unless such improvement is necessary to a satis-
factory performance of the Concessioner's obligation under
Section 4 of this contract; and in that event such repair or
rebuilding- shall be deemed an addition and a Concessioner's
improvement under Section 6 of this contract.
F. Concessioner shall provide and use covered receptacles
for all garbage, trash and other refuse, of a type normally
required by City for such business or activity. Piling of
boxes, cartons, barrels or other similar items, in an unsightly
or unsafe manner, on or about the leased premises is prohibited.
City agrees to provide for the collection and disposal of waste
and garbage, and Concessioner shall receive this service pro-
vided it abides by the regulations and ordinances applicable
thereto. In the event such service is not available or is
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discontinued, Concessioner shall provide .a complete and proper
arrangement for the adequate sanitary handling and removal of
all trash, garbage, and other refuse caused as a result of the
operation of its business at its sole expense.
G. Concessioner shall assume and pay for all costs or
charges for metered utility services furnished to Concessioner
during the term of this contract and shall bear the cost of
extension and installation of such utility services where
required.
SECTION 4. ACCOMMODATIONS, FACILITIES, AND SERVICES AUTHORIZED
A. The City authorizes the Concessioner, during the term
of this contract, to provide at the sole expense of Conces-
sioner, accommodations, facilities, and services for the public
within the Park, and Concessioner hereby agrees to provide such
accommodations, facilities, and services as follows:
1. Subject to the terms hereof, Concessioner shall
commence the construction of a water oriented fun park by
undertaking the following construction:
(a) Phase I shall include construction of the facilities
and furnishing of the equipment and services designated in
Exhibit "B", attached hereto and made a part hereof by this
reference. All construction and the provision of equipment
and services encompassed in Phase I shall be completed or
provided on or before April 15, 1984.
(b) Solely within the discretion of Concessioner, at any
time after the completion of construction of Phase I and
the operation thereof, it may undertake to begin con-
struction of Phase II which shall include construction of
the facilities and the furnishing of the equipment and
services designated in Exhibit "C", attached hereto and
made a part he by this reference. If Concessioner
decides to enter into Phase II then all construction and
provision of equipment and services encompassed therein
shall be completed or provided on or before April 15, 1986.
Concessioner has the right to change or alter the facili-
ties and equipment in Exhibit "C" at the beginning of
construction of Phase II to comply with industry changes at
that time. Any material deviation shall require the
written approval of City. Notwithstanding the termination
date provided in Section 1 hereof, if Phase II is not
completed by the above date, the 1n The nprov
3his
isi nte of s of
contract shall be December , 1998.
Section 9A shall apply to the construction of Phase II.
2. During the term hereof, Concessioner shall have the
right to remodel, update, modernize and alter the facilities and
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all improvements thereon in keeping with good business practices
and asthetics in the Park; provided that Concessioner abides by
all applicable laws and ordinances with regard thereto, and this
includes the right to add or construct new concessions, rides or
facilities compatible with the purposes hereof. However, this
right is subject to the prior written approval of the Director
of Parks and Recreation, which approval shall not be unrea-
sonably withheld.
3. Any provision hereof to the contrary notwithstanding,
no alteration to existing improvements or the park grounds or
construction of new improvements shall commence without in each
case securing a prior written approval from the Texas Parks and
Wildlife Department. In this connection, sufficient information
regarding such alteration and construction including, as appro-
priate, plans and specifications shall be provided to the Texas
Parks and Wildlife Department by City. The above approval by
the Texas Parks and Wildlife Department shall not be unreason-
ably withheld and will be given promptly.
4. Without prior written approval of the City Council of
Lubbock, Concessioner agrees that it will make no structural
alterations of the Mackenzie Terrace Party House, the existing
Pottery Building, or the Children's Wading Pool and that Con-
cessioner shall preserve the exterior appearance of said Party
House and Pottery Building.
5. Except as otherwise provided herein, Concessioner
agrees that without the prior written consent of the Director of
Parks and Recreation of the City of Lubbock, neither it nor any
contractor or subcontractor of Concessioner shall remove or
injure any tree growing on the leased premises at the time of
the activity of the Concessioner or of such contractor or
subcontractor if such tree measures more than twelve inches in
the circumference of its trunk when measured at a height of
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three feet above the ground. All pruning and trimming of such
trees shall be performed by City or its designated agent.
B. The Concessioner shall not bind, or attempt to bind,
City for payment of any money in connection with construction,
repairing, alterations, additions, or reconstruction work on the
leased premises and that it shall not permit any mechanic's,
materialman's or contractor's liens to arise against such
premises or improvements thereon or any equipment, machinery,
and fixtures belonging to the City, and Concessioner expressly
agrees that it will keep and save the leased premises and the
City harmless from all costs and damages resulting from any
liens or lien of any character created or that may be asserted
through any such act or thing done by the Concessioner.
In the event any such mechanic's or other liens shall be
filed against the leased premises or improvements thereon, or
the government owned property located thereon or therein, during
the term hereof, Concessioner shall within ten (10) days cause
the same to be canceled and discharged of record, by bond or
otherwise at the election and expense of Concessioner, and shall
also defend on behalf of the City, at Concessioner's sole cost
and expense, any action, suit or proceeding which may be brought
thereon or for the enforcement of such lien or order.
C. The nature and type of merchandise and services which
are to be sold or furnished by the Concessioner within the Park
shall be reasonable and in compliance with federal, state and
local law, ordinance or regulation.
SECTION 5. CONCESSIONER'S RISK
A. The Concessioner shall maintain and operate at Con-
cessioner's own cost, risk, and expense, the said accommoda-
tions, facilities, and services and shall provide at Conces-
sioner's own cost, risk and expense, the plant, personnel,
equipment, goods, and commodities necessary therefor.
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B. Concessioner shall be deemed to be an independent
contractor and operator responsible to all parties for its
respective acts or omissions, and City shall in no way be
responsible therefor.
SECTION 6. CONCESSIONER'S IMPROVEMENTS
A. "Concessioner's improvements", as used herein, means
buildings, structures, fixtures, equipment, and other improve-
ments affixed to or resting upon the leased premises, authorized
or contemplated by this contract and provided by the Conces-
sioner for the purposes of this contract; except only any sunken
concrete pools. Upon request of City, Concessioner shall
furnish to City a full and complete list of all Concessioner's
improvements, together with its depreciation schedule therefor.
B. In the event that a Concessioner's improvement is
removed, abandoned, demolished, or substantially destroyed, and
no other improvement is constructed on the site, the Conces-
sioner shall, promptly upon the request of the City, restore the
site as nearly as possible to a natural condition.
C. Upon termination of this contract due to fault of
Concessioner, City shall have the right to re-enter the premises
and to claim as its own all or part of Concessioner's improve-
ments; provided, that the City will take such property subject
to all valid liens or security interest against same. All
property not so claimed by the City will be removed by Con-
cessioner. Upon expiration of the term of this Agreement,
Concessioner's improvements shall become the property of the
City, subject to the terms and conditions set out in the City's
lease agreement with the Texas Parks and Wildlife Department
dated June 4, 1953.
D. Notwithstanding any other provision of this Contract,
upon termination of this Contract, Concessioner's right to
remove from the leased premises any property belonging to the
Concessioner shall be conditioned upon payment of all sums of
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money due and accrued to City under Section 8 of this Contract
and a rendering by Concessioner of a full and complete accoun-
ting of all receipts and other data required.
E. Upon termination of this contract for any reason
whatsoever, except upon City's failure to discharge its obli-
gation hereunder or by act of law, Concessioner shall restore
the leased premises and all government improvements thereon to
as good order and condition as that existing upon the date of
commencement of the term of this contract, damage beyond the
control of Concessioner and due to wear and tear excepted.
F. Upon termination of this contract for any reason
whatsoever, except upon City's failure to discharge its obli-
gations hereunder or by act of law, and in the event the City
enters into an agreement with another Concessioner and it is
agreeable with the City for the new Concessioner to purchase
Concessioner's improvements, and assume the debts against same,
but the Concessioner and the proposed purchaser cannot agree
upon the fair value of any item or items, the fair value thereof
(taking into consideration all liens against same) shall be
determined by the majority vote of a board of three appraisers
to be selected as follows: ,
The City shall choose one member of such board, Conces-
sioner shall choose one member of such board, and the two shall
choose a third member of such board. Each party shall pay the
compensation and expenses of the member chosen by such party and
one-half of the compensation and expenses of the third member
shall be paid by each party hereto. The appraised valuation as
determined by such board of appraisers as the full consideration
for any improvements, equipment, materials, supplies, or other
property belonging to Concessioner and used in connection with
its operation under this contract shall be binding on the
parties.
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In the event that either party hereto fails to appoint an
appraiser within 30 days after notification to do so, then in
such event, the County Judge of Lubbock County shall be auth-
orized to appoint the appraiser for the party refusing or
failing to appoint same.
SECTION 7. ACCOUNTING RECORDS AND REPORTS
A. Concessioner shall use and adhere to an accounting
system reasonable and customary for such type business and will
maintain true and accurate books, records, and receipts, which
will show all of the gross revenue of all business transacted
pursuant to the rights and privileges herein granted and shall
make all such books, records, and receipts available during
regular business hours at reasonable intervals to authorized
representatives of City.
B. Concessioner shall submit annually a copy of its
annual financial report prepared by the accountant employed and
used by Concessioner, covering operations conducted pursuant to
this contract and showing the total gross revenues received from
such operations during the period covered by such reports.
C. The City Auditor or his designee shall for purposes of
audit and examination have access to records and other books,
documents, and papers of the Concessioner pertinent to this
Contract.
D. In addition, the City Manager shall have the right
during any calendar year of this lease to authorize an audit of
Concessioner's records pertaining to any operation conducted
pursuant to this contract; such audit shall be undertaken by a
reputable firm of independent Certified Public Accountants
satisfactory to the City. The cost of such audit shall be borne
by the City, unless results of the audit reveal a discrepancy of
more than five percent (5%) between gross revenues reported in
accordance with Section 8 hereof and the gross revenue as
determined by such audit for any twelve-month period. In case
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of a discrepancy of more than five percent (5%) in favor of
Concessioner, Concessioner shall bear the full cost of the
audit.
E. The term gross revenues as used herein shall mean the
total amount paid or generated from the operation of any facil-
ity or activity on the leased premises and received by Conces-
sioner, including, but not limited to, payments or charges for
food, beverages, merchandise, sports equipment, and all other
personal property sold or rented on the leased premises and all
services furnished thereon, but excluding from such amount any
sales, admission, use or other similar tax.
F. Concessioner shall at all times maintain a consecu-
tively numbered ticket system, turnstyle counter or cash regis-
ter receipts or any combination thereof to be used for entrance
by members of the public into the area of the leased premises
and/or for any individual ride or concession within such area.
It being understood that Concessioner shall give some compli-
mentary tickets, but that this privilege will not be abused.
SECTION 8. PAYMENTS TO CITY
A. The Concessioner shall pay to the City the following
sums, said payments to be made at the time hereinafter provided
and at the office of the City Secretary -Treasurer of the City of
Lubbock.
Commencing on January 1, 1984, and continuing until
December 31, 1987, Concessioner shall pay to City each year
the greater of FIFTEEN THOUSAND DOLLARS ($15,000.00) or six
percent (6%) of that year's annual gross revenues over FIVE
HUNDRED THOUSAND DOLLARS ($500,000.00).
Commencing on January 1, 1988, and continuing until
December 31, 1989, Concessioner shall pay to City each year
six percent (6%) of that year's annual gross revenues over
FIVE HUNDRED THOUSAND DOLLARS ($500,000.00).
Commencing on January 1, 1990, and continuing until
December 31, 1995, Concessioner shall pay to City each year
seven percent (7%) of that year's annual gross revenues
over SEVEN HUNDRED THOUSAND DOLLARS ($700.000.0'0).
Commencing on January 1, 1996, and continuing throughout
the remaining term of this contract, Concessioner shall pay
to City each year ten percent (10%) of that year's annual
gross revenues over ONE MILLION DOLLARS ($1,000,000.00).
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Such concession fees shall be paid annually on or before
January 31st of each year, starting January, 1985, based on
the gross revenues for the preceding calendar year.
The above compensation due City shall not change in the
event Phase II is constructed, but the City shall receive
its percentage of the annual gross revenues over the
specified amounts as stated above, and the revenues from
Phase II shall be included in determining annual gross
revenue.
B. The Concessioner shall also pay to City, on demand,
any sum which may have to be expended after the expiration,
(unless same is caused by the City's failure to discharge its
obligations hereunder or by act of law) revocation, or termi-
nation of this contract in restoring the leased premises and all
government improvements to as good order and condition as that
existing upon the date of commencement of the term of this
contract, damage beyond the control of Concessioner and due to
wear and tear excepted.
SECTION 9. FINANCING AND LIENS
A. Notwithstanding anything to the contrary herein, it is
understood and agreed that this contract and all terms, condi-
tions and obligations hereof, are expressly made subject to
Concessioner obtaining proper financing of the project, which
will include first liens or security interests on the equipment
to be provided by Concessioner hereunder; except, under no
circumstances shall there be any liens or security interests
given on any sunken concrete pools to be installed under any
phase hereof, nor shall such liens extend beyond the termination
date provided herein without the express written consent of
City. For the purpose of establishing liens and security
interests only, all property and equipment to be installed by
Concessioner hereunder shall remain personal property except for
the sunken concrete pools as heretofore mentioned. Concessioner
shall have 60 days from the date of execution hereof within
which to inform the City in writing of its obtaining or its
failure to obtain such financing, and should Concessioner fail
to so notify City within such time, it will be irrebutably
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presumed that the contract is in full force and effect. It is
further understood that Concessioner shall have the right .to
assign this contract to the lenders furnishing the financing as
herein mentioned, as additional security for their loan, and
City agrees to such assignment provided that City approves the
lenders, which approval will not be unreasonably withheld. In
this connection, when Concessioner informs City of its obtaining
of financing it shall also name the lender or lenders, and City
Manager agrees to approve or disapprove same within twenty (20)
days of receipt of such notice. City's failure to notify
Concessioner of its approval or disapproval shall be irrebutably
presumed as its approval of such lender or lenders. Conces-
sioner agrees to use reasonable efforts in obtaining such
financing, but the acceptability thereof shall be left solely to
the discretion of Concessioner. There shall be no subsequent
refinancing of the project or equipment by Concessioner without
the written consent of the City.
B. As security for the faithful performance by the Con-
cessioner of all of Concessioner's obligations under this
contract, and the payment to the City of all damages or claims
that may result from the Concessioner's failure to observe such
obligations, the City shall have at all times a lien on all
assets of the Concessioner within the \Park, but such lien and
any other lien or security interest of City shall be second and
inferior to that of the lender or lenders mentioned in subpara-
graph A. above, as well as any party providing financing under
Phase II.
SECTION 10. TERMINATION OF CONTRACT BY CITY
In case of any default by the Concessioner under this
contract, or in case Concessioner should fail to meet any
requirement or stipulation set out in this contract, or should
Concessioner breach any term, provision, covenant, or considera-
tion of this contract, then the City may terminate this contract
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if after giving notice in writing to the Concessioner, such
default is not cured within 30 days. In the event such default
is not cured in such time, the City shall be entitled to take
immediate possession of the leased premises, and all improve-
ments thereon as provided in Section 6.C., and this right shall
be in addition to any other remedy provided by law in such
instance.
SECTION 11. ASSIGNMENT
Concessioner shall not assign or sublease its rights
hereunder without the written consent of City, which consent
will not be unreasonably withheld. Any such assignee will take
subject to the terms of this Agreement.
SECTION 12. PREFERENTIAL RIGHT
A. Nothing contained herein shall prohibit City from
granting other concession agreements in Mackenzie Park or any
other public area not covered by this Agreement.
B. Nothing contained in this Section or elsewhere in this
contract shall be construed as interferring with any lease,
easement, permit, right, or privilege heretofore entered into or
granted by the City on lands compromising the Park other than
that described on Exhibit "A" hereof.
SECION 13. INSURANCE
A. Concessioner shall maintain at all times, at its sole
expense, insurance with an insurance underwriter acceptable to
the City and from one authorized to do business in the State of
Texas, as follows:
(1) insurance against claims of public liability and
property damage resulting from Concessioner's business
activities upon the leased premises. The amount of insur-
ance coverage shall be not less than THREE HUNDRED THOUSAND
($300,000.00) DOLLARS for property damage as a result of
any one event; or less than FIVE HUNDRED THOUSAND
($500,000.00) DOLLARS for personal injury or death of any
one person in any one event; or less than ONE MILLION
($1,000,000.00) DOLLARS for personal injury or death of two
or more persons in any one event.
(2) The Concessioner shall provide workmen's compensation
insurance to meet statutory requirements.
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'(3) Fire, wind, and hail insurance on all improvements,
except sunken concrete pools, located on the leased pre-
mises in amounts sufficient to cover replacement costs of
such improvements or the maximum for which same are
insurable, whichever is less.
B. City reserves the right to require Concessioner to
secure additional amounts of insurance from time to time
throughout the term of this contract as the City deems necessary
to protect its interests and the interests of members of the
public who visit the Park, but such required increase shall be
based on such factors as additional construction of facilities,
increased usage of facilities and inflation.
C. In the event of loss, in whole or in part, of any
government improvement, as may be insured pursuant to the
provisions hereof, the Concessioner shall apply all proceeds
received from such insurance toward either (1) its replacement,
rehabilitation, or repair, or (2) the construction of any other
building, structure, fixture, improvement, or purchase of
equipment of like value at the option of City.
D. In the event of loss or destruction of 50% or more of
the value of Concessioner's improvements as may be insured
pursuant to the provisions hereof, Concessioner, at its sole
discretion shall have the same options as mentioned in sub-
paragraph C immediately above, as well as the option to do
neither and apply the insurance proceeds to liens on Conces-
sioner's improvements and any balance shall belong to Conces-
sioner, and in such latter event, either party shall have the
right to terminate this Agreement, the same as if the time
hereof had expired. In the event of loss or destruction of less
than 50% of the value of Concessioner's improvements, Conces-
sioner's options shall be those set forth in subparagraph C
immediately above.
E. Certificates of insurance or other satisfactory
evidence shall be filed with the City Secretary prior to entry
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upon leased premises by the Concessioner. Each policy shall
name the City as an additional insured as its interest may
appear. Each policy shall also provide "It is agreed that
insurer shall notify the Director of Finance of the City of
Lubbock, Texas,, of any alteration, renewal, or cancellation of
this policy and that this policy shall remain in full force and
effect until ten (10) days after such notice is received by the
Director of Finance."
SECTION 14. CONCESSIONER'S EMPLOYEES
A. The Concessioner shall require Concessioner's
employees who come in direct contact with the public, so far as
practicable and if required ,by the City, to wear a uniform or
badge by which they may be known and distinguished as the
employees of said Concessioner.
B. The Concessioner shall not employ or retain in Con-
cessioner's service, or permit to remain upon any of the
premises herein provided for, any person declared by the City to
be unfit for such employment or otherwise objectionable.
C. The Concessioner shall require Concessioner's
employees to observe a strict impartiality as to rates and
services in all circumstances and to exercise courtesy and
consideration in their relations with the public.
SECTION 15. TERMINATION BY CITY OR LAW
If this Agreement is terminated by default on the part of
City or by operation of any law, statute or ordinance, or
otherwise than by default on the part of Concessioner or expira-
tion of the term hereof, then Concessioner shall have the right
after such default remains uncured after 30 days written notice
thereof, to remove any improvements, fixtures, equipment, or
other property, or any part thereof, placed on the leased
premises by Concessioner during the term hereof, except the
sunken concrete pool or pools, and same shall thereafter belong
to, and be the property of Concessioner, and Concessioner shall
16
have no obligation to repair the remaining improvements or the
premises and shall have no further liability to City hereunder
in any manner whatsoever, and this right shall be in addition to
any other remedy provided by law in such instance.
SECTION 16. GENERAL PROVISIONS
A. Operations under this contract shall be subject to all
federal laws and regulations, to all rules and regulations of
the Director of Parks and Recreation of the City of Lubbock and
of the State of Texas, and to all City and County ordinances,
orders, and regulations, applicable to said Park with regard to
construction, sanitation, licenses, and permits to do business
and all other matters; and Concessioner shall comply with all
said laws, rules, regulations, orders, and ordinances, and shall
pay all taxes imposed by the federal and state government and
their agencies and political subdivisions upon the property or
business of Concessioner. This contract is also subject to all
of the rules and regulations of the State which are now in
force, or as may hereafter be enacted or promulgated, which are
for the maintenance or operation of the State Parks of Texas.
B. Concessioner is prohibited from publicizing facilities
operated hereunder, or refusing service hereunder, in any manner
that would directly or indirectly reflect upon or question the
acceptability of any person because of race, creed, color,
ancestry, or national origin.
C. Neither the City nor the State of Texas shall be
responsible for damages to property or injuries to persons which
may arise from or be incident to the use and occupation of the
leased premises, and all buildings, structures, fixtures,
improvements and equipment therein and thereon, nor for damages
to the Concessioner's improvements, or for injuries to the
person of Concessioner, or for damages to the property or
injuries to the person of Concessioner's officers, agents,
servants, or employees, or others who may be on said leased
17
premises, or any building, structure, or improvement thereon at
their invitation or the invitation of any of them; and Conces-
sioner shall hold the City and the State of Texas harmless from
any and all such claims, or from any cause of action that may
arise in connection with the maintenance, operation, repair and
improvement of said leased premises, buildings, structures,
fixtures, improvements and equipment therein and thereon, or
from any accommodation, facility or service provided by Con-
cessioner.
D. This contract cannot be changed, altered or amended
except by written instrument properly executed by all princi-
pals, and any such amendment or supplement shall attach to and
become a part of this original contract, or by rule or regula-
tion promulgated by the Parks and Wildlife Commission or Depart-
ment of the State of Texas. No employee of City shall have
authority to grant either a temporary or permanent exclusion or
exemption to any of the terms or provisions contained in this
contract.
E. This contract can be canceled by the City without
recourse of- Concessioner should, at any time, evidence be
disclosed that the Concessioner has intentionally submitted
materially false and misleading information in any document
submitted to the City in support of Concessioner's offer leading
to the selection of said Concessioner.
F. References in this contract to "City" shall mean the
Mayor and the City Council of the City of Lubbock, the City
Manager of the City of Lubbock and his duly authorized desig-
nees.
G. In addition to the covenants and agreements contained
herein, City agrees to perform the maintenance and to provide.
the services listed on Exhibit "D", attached hereto and made a
part hereof for all purposes.
18
H. Notices to the City required or appropriate under this
contract shall be deemed sufficient if in writing and mailed,
certified mail, postage prepaid, addressed to the City Manager,
City of Lubbock, P.O. Box 2000, Lubbock, Texas 79457. Notices
to the Concessioner shall be deemed sufficient if in writing and
mailed, certified mail, postage prepaid, addressed to the GHS
Developers, Inc., Route 5, Box 346, No. 4A, Lubbock, Texas
79407, or such other place as may be designated in writing given
in like manner.
I. This Contract is subject to Concessioner obtaining a
parking agreement satisfactory. to City Director of Parks and
Recreation from South Plains Fair Association, providing for
necessary parking for Concessioner's activities hereunder. City
agrees to cooperate in obtaining such agreement to the extent
possible.
J. The Concessioner acknowledges that it is informed that
Texas law prohibits contracts between the City and its
"officers" and "employees," and that the prohibition extends to
an officer and employee of City agencies such as City -owned
utilities and certain City boards and commissions, and to
contracts with any partnership, corporation or other organiza-
tion in which the officer or employee has an interest. Con-
cessioner certifies (and this contract is made in reliance
thereon) that neither it nor any person having an interest in
this contract is an officer or employee of City or any of its
agencies.
K. Should any part or section of this contract be held
void or unenforcible for any reason, the remaining parts or
provisions hereof shall continue in force and effect.
L. This contract constitutes the entire agreement of the
parties.
19
IN WITNESS WHEREOF, we hereunto set our hands at Lubbock,
Texas, this the 18th day of Apri 1 1983
lx)gm
CITY OF LUBBOCK, TEXAS
„ATTEST:
r
by:
Evelyn Gliffga, City retary BILL McALISTER, MAYOR
GHS DEVELOPERS, INC.,
CONCESSIONER
by:
BILL J. GORY,
ADDRESS:
APPROVED AS TO CONTENT:
& CA -%
Bob Cass, Assistant City
Manager
APPROVED AS TO FORM:
�444/L
,Io n Sherwin, Assistant City
6ptorney
REVIEWED AND APPROVED BY THE PARKS AND
rl�DLIFE DEPARTMENT OF THE STATE OF TEXAS
[C�A&4 4 ) 1MVil
By: Executive Director
20
-;� EXHIBIT A
HUGO REED AND ASSOCIATES, INC.
LAND SURVEYORS . CIVIL ENGINEERS
Tommie E. Anderson, R.P.S., President 121Avenue
dc
Lubho, Texas 794011
$061763-5642
Bernard J. Gradel, Jr., P.E., R.P.S. _ -
---David GoYette, Mgr• 419 West 4th St., Suite 812
Robert L. Smith, RtiP.S. _ . _ - Odessa, Texas 79761
Charles M. Rothwell, P.E. _ 915/333-2635
METES AND -BOUNDS DESCRIPTION for a 20.0000 acre tract located in
Section 3, Block 0, Lubbock County, Texas, being further described as
follows:
BEGINNING at a 5/8" iron-rod_set with a yellow cap which bears South
1109.93 feet and East 1201.-67 feet from the Northwest corner of
Section 3, Block 0, Lubbock County, Texas, said point being the
Northwest corner of this tract;
THENCE N. 84°56'33" E. a distance of 339.33^feet-to_a 5/8" iron rod
set with a yellow cap in the West bank of the North Fork of the
Double Mountain Fork of the Brazos River;
THENCE S. 09°04'03" W., along said bank,-a_distance_of._85.92-feet;
THENCE S. 41°07'09" W.,.along said bank, a distance of 35.19 feet;
THENCE S. 50°36'22" W., along said bank, a distance of 88.73 feet;
THENCE S. 29°45'11" W., along said bank, a distance of 47.56 feet;
THENCE S.04°14'40" W., along said bank, a distance .of 199.43 feet;
THENCE S. 20°18'09" W., along said bank, a distance of 108.04 feet;
THENCE S. 06°24'40" E., along said bank, a distance of 62.31 feet;
THENCE S. 00°29'51" W., along said bank, a distance of 81.57 feet;
THENCE S. 06°08'12" W., along said bank, a distance of 106.97 feet;
THENCE S. 07°39'45" E., along said bank, a distance of 75.99 feet;
THENCE S. 10°19'09" E., along said bank,.a distance of 98.03 feet;
THENCE S. 01°44'14" W., along said bank, a distance of 109.21 feet;
THENCE S. 21°04'00" E., along said bank, a distance of 79.77 feet;
THENCE S. 40°26'19" E., along said bank, a distance of 99.90 feet;
THENCE S. 49°29'09" E., along said bank, a distance of 135.12 feet;
Page 1 of 3
Subdivisions - Topographic Surveys - Lot Surveys - Planning - Oil Well Locations - Improvement Surveys - Farms and Ranches
Drainage - Streets - Utilities -Water 8 Sewer Systems - Total Surveying & Cavil Engineering Services
THENCE S. 47°57'41" E., along said bank, a distance of -157.11 feet;
THENCE S. 62°53'38" E., along said bank, a distance of 395.08 feet;
THENCE .S. 84031'08" E., along said bank, a distance of 62.56 feet;
THENCE N. 61°30'33" E., along said bank,.a distance of 51.59 feet
to the Southwest corner of a concrete bridge;
THENCE S.. 00°13'48" E. a distance of 151.10 feet to a 5/8"iron rod
set with a yellow cap in the North right-of-way line of U. S. Highway
62-82, same being the North right-of-way line of East Broadway;
THENCE S. 89°27'00" W., along said right-of-way.line,.a distance of
1216.70 feet to a 5/8" iron rod set with a yellow cap;
THENCE N. 00°53'41" W. a distance of 408.92 feet to a 5/8" iron rod
set with a yellow cap;
THENCE N. 03°25'48" E. a distance of 34.98 feet to a 5/8" iron rod
set with a yellow cap;
THENCE S. S9°58'54" E. a distance of 38.90 feet to a 5/8" iron rod
set with a yellow cap;
THENCE N. 01°13'50" E. a distance of 213.13 feet to a 5/8" iron rod
set with a yellow cap;
THENCE N. 89°37'53" E. a distance of 5.1.93 feet to a 5/8" iron rod
seti with a yellow cap;
THENCE N. 12°53'13" W. a distance of 39.87 feet to a 5/8" iron rod
seti with a yellow cap;
THENCE N. 20°19'55" W. a distance of 70.36 feet to a 5/8" iron rod
set with a yellow cap;
THENCE N. 85°15'46" E. a distance of 19.73 feet to a 5/8" iron rod
set with a yellow cap;
THENCE N. 05°13'42" W. a distance of 40.64 feet to a 5/8" iron rod
set with a yellow cap;
THENCE N. 14°38'14" W. a distance of 39.91 feet to a 5/8" iron rod
set with a yellow cap;
THENCE N. 57°33'12" E. a distance of 58.37 feet to a 5/8" iron rod
set with a yellow cap;
THENCE N. 01°31'05" E. a distance of 108.99 feet to a 5/8" iron rod
set with a yellow cap;
Page 2 of 3
f s
i
THENCE N. 53°57'32" W. a distance of 97.82 feet to a 5/8" iron rod
set with a yellow cap;
THENCE N. 01°47'02" E. a distance of 224.13 feet to a 5/8" iron rod
set with a'yellow cap;
T THENCE S.'87°12'43" E. a distance of 135.75 feet to a 5/8" iron rod
set with a yellow cap;
THENCE N. 04°17'44" W. a distance of 119.71 feet to a 5/8" iron rod
set with a yellow cap;
THENCE N. 17°19'33" E. a distance of 286.20 feet to a 5/8" iron rod
set with a yellow cap;
THENCE N. 24°22'34" E. a distance of.29.60 feet to -the Point of
- Beginning.
Certified correct.
December 22,"1982
Registered Public Surveyor
Lubbock, -Texas
TOME I il6;ifAStA!
.....rye...........
1616 _
SU
Page 3. of 3
CITY OF LUBBOCK
MEHO
F
TO: Honorable Mayor and Members of the City Council
FROM: Larry J. Cunningham, City Manager
SUBJECT: Status of Negotiations with GHS Development, Inc.
for Water Theme Park
November 17, 1982
On November 11, Council was advised in work session that we had received one response
to our Request for Proposals for a Theme Park in Mackenzie State Park. At that time,
Council authorized staff to enter negotiations with GHS Development, Inc. While we
have reached a tentative agreement with GHS. represent atives, it will be several more
days before the Legal Department can incorporate those provisions into a contract.
Since HS':n:eeii o"7aye,'a:contracL_._in.::hand by :December._..l�in:'order_ To_meFC—adlfries
€br"4"3f6y 1983=.opening we are forwarding the major terms of the contract for your
approval. At tomorrow's meeting, we would recommend that Council pass the attached
resolution authorizing the Mayor to sign the completed document prior to December 1.
CONTRACT TERMS
The original proposal submitted by GHS was forwarded to you in your agenda folders.
Since that time, negotiations have resulted in tentative agreements which will sub-
stantially alter portions of the original proposal: The most critical portions of
the proposal were Attachments A, E and F. Following is a summary of the status of
each of those portions of the proposal:
A. Attachment A (Project Description) --Negotiations have not altered
this portion of the original proposal, but we are again bringing
it to your attention since it is an integral part of the proposed
contract. Council should be aware of the fact that the contract
document will be worded in such a way -that the firm will not be
obligated to build these facilities in the event that they are
unable to secure financing. The contract document is necessary in
order to meet with lending agencies.
R. Attachment E (Compensation Proposed to City) --In drafting their
original proposal, the Operators were assuming that the City
would be providing a number of "up -front" costs at our expense.
When it became evident that we would be unable to do this, the firm
felt a need to revise their compensation proposal. Under this par-
ticular
ar-ticular arrangement, theGitjr Wi_T.•recei�►E-a-.�ar2i.oR of-grevenue
after the company meets its projected break-even point ($500ross_ ,000 -during
years 1-5, $700,000 during years 6-10, and $1,000,000 during years 10-
32). Note, however, that t, r,i.ng years--I-3J receive a a
Honorable Mayor and Members of the City Council
November 17, 1982
Page 2
G4irg tee DO6 whether or not revenues exceed $500,000. This
will enable us to'recover our costs for services to be provided
(Attachment F) and:to secure a reasonable lease rate on the twenty -
acre site.
The Operators understand that the City Audit staff will audit
all revenues in determining the amount to be remitted to the City.
C. Attachment F (Items to be Supplied by City) --In the original proposal,
the Operators were requesting that the City provide a substantial
investment in terms of utilities, water, etc.Subsequent negotiations
have reduced the l_tems Ymy—Vp 47e 7 y_�lie: t i fy}to those included on
this attachment.
1. regular; �feeit'111btiJint,--Our estimates are that this
w 11 cost us app rox imateIy 16100 ,ped _weef4 idu ngng -,-t Re
gawng;3_1 Council should be aware of the fact
that we are currently mowing the property and that this
will, therefore, represent no new expense to the City.
.--___---�M
2. �rJriang' end 5hapifig of wEx�stjng Tree --ble estimate that
this will cost us approximately IS -1.100) Again, this
is an expense for whichw a have budgeted and which will
represent no new expense to the City.
3. Vet 5210.2, q :R9�I%oom. o-1i'lowat"teye'-Y-Thi s is a lone-iimt
expense which will cost approximately 761' . The
$15,000 guarantee will cover this amount.
4. temoye weeds;:, v EgErrU, tilY�e c-Tongnj.Z wa;! 1 --
this is alQn `r ee penle ofUIT$D$'. Again, the
$15,000 guarantee will cover our expense.
5.0 ar yrvPo'aca_ro1#-Thi s is a function already
budgeted by the Police Department.
b.raql�ng_:o�f.."Parkir5.-L!D --City Engineer indicates that
the Cos t-tier&-_ouidi be -minimal andthat'�;tfie: uwrahte
onjd fioi`L7 an cover our expen_sgp Council should
be awareofthe fact that the Operators have yet to
secure an agreement with the Fair Association for
use of the facility. While we anticipate no problems
in this regard, the contract document between the City
and the Operators will indicate that everything is
contingent upon this type of agreement.
Honorable Mayor and Members of the City Council
November 17, 1982
Page 3
7.egu ar' 7e.ctor_ antrs"l --Thi sb-!�Zi norporated . rpt
t he eZ'�T
8. Ze ta;d ,,Descry#p_ %ortro a�"�a"% urve ) --Thi s i s a emo te'
..�.1 _... ._
u�_m'e expense of $1„x6 5jnd can be covered by the $15,000
guarantee.
Additional terms to be included in the final contract are attached to the recom-
mended resolution.
EFFECT ON EXISTING OPERATION
The attached map shows the area and facilities to be leased by GHS. With regard
to the land, we anticipate absolutely no detrimental effects on park operations.
If anything, the development should greatly improve the image of the park.
Fa-c11c l:ii�_es that w 11 bea ecc ei� �fi �u the17Ter cewParlr ;"-�iou e a $ the E. 6-g er.
Ce�f`e'1. The Operators intend to use this complex for an arcade/refreshment com-
plex. we ntpate rP3_Crmg�e tentaT� ffec ash
IM'�e:'p1 � iFig'"i� �i1�e��andwer, House�yip recent:yeai-s�a�`:�-fovi-d ed us�wi h: additional
Espace. The i Tub` `a..s�ysed,jttq$ favi i rty otra weekly basis Lfor the last 27b
t-yej@-r s. I t i s T:"70Tr7f e-1 n j, however, that the expz h-ott_�of rhe ommuni t�► cenTer a
ie
to ex -.Tar"k. ► `J �Fore, luny meed it.,need$. In the event that this proves unsat i s -
factory, we can look at other alternatives at a future time.
� nt^er_du,rir+ haS 7�-or Phase y 1of their development Thixs-give �y th Yfot rgy
At present the Q ua are_ an ic_ pata ng a_reed 1"or ,spacez occupied
s-ti�a eat'to3
flan.:rrglocat1on;� 7� "felt t At present, we would ah7UK_1X4EEC,moy;irsg,-thu
fac -t t --G�t
:vppetawj,ins--Cent�e( With the opening of the East Lubbock Senior
Citizens Cente� r adjacent to Mae Simmons Community Center, we have long anticipated
shifting the Senior Citizens Program from Copper Rawlins to a new location. In
addition, we have had declining attendance at other activities at -that center for
some time and feel that the Pottery Center would be a good addition to the program.
While we would hope to be able to accomplish the move within our operating budget,
the fact that the move will not be necessary for more than a year will get us ade-
quate time to plan and get back to Council should we see the need for additional
funding.
SUMMARY
We have concluded negotiation talks with GHS for the development of the Water Theme
Park in Mackenzie State Park. We have not drafted all agreements into a contract
document. We are recommending that Council pass the attached resolution which will
authorize the Mayor to sign a document which includes the provisions noted above.
Since the document is needed by the Developers by December 1, we will submit it to
the Mayor within the next week.
Honorable Mayor and Members of the City Council
November 17, 1982
Page 4
We will be prepared to discuss this at work session tomorrow. It is our
standing that,representatives from GHS will be present at tomorrow's sess
Please let me know if you see the need for additional information.
1��
w <<�
Oary J. Cunningham
LJC:rb
November 8, 1982
City of Lubbock
Mr. Floyd Nesbitt
P.O. Box 2000
Lubbock, Texas 79457
Gentlemen:
RECEIVED
?a8
PURCHASING DEPT.
Please accept this package as our proposal for the development
of a theme park in Mackenzie State Park. Hopefully, we have
included sufficient information to help you base your decision
in the selection process.
GHS Developers, Inc. is certainly interested in working with
the City of Lubbock on this project. Naturally, our proposal
is subject to negotiation in some areas and changes in other
areas.
Should you have further questions, please give me a call at
794-5897.
Thank you.
Best Regards,
Bill J. Gregory
Preidem- /
GHSy Dev�lpoers, Inc.
BG:ms
TNTRODUCTION
GHS Developers, Inc. wishes to introduce a water -
oriented fun park for family amusement and recreation to
be constructed in Mackenzie State Park in Lubbock. The
project is based upon five major facts: 1) Lubbock and
its surrounding area has a desperate need for family enter-
tainment, 2) Lubbock is the last of the larger Texas cities
without a water recreation park or waterslide facility,
3) the summer climate of Lubbock is ideal for water recrea--
tion, 4) there is a large number of elementary school
through college age youth in the community and, 5) the per
capita income of Lubbock can justify low to medium cost
entertainment.
Initially, we had hoped to have the project underway
by mid-October 1982 in order to obtain guaranteed delivery
dates ori certain equipment. However, time has slipped
away and we have changed our approach to this project.
The overall plan now calls for development of the park
in two major phases, with the second phase to last more
than one year. Since Lubbock is a "smaller" city, it is
important to enter into this project carefully, with
additional development coming in proportion to the inital
success of Phase I. This should insure success without
rushing into the project and becoming over -financed.
We are currently planning to begin Phase I for the
1983 season; however, if further problems occur and time
is too short we will be forced to postpone the initiation
of Phase I until mid -1983.
Also, this proposal is subject to receiving approval
for parking on the fairgrounds parking lot, which we are
currently pursuing.
ATTACHMENT A
PROJECT DESCRIPTION
1. Our proposed facility is a water -oriented fun park.
Basically, much of the project will involve water -related
rides or attractions for amusement and recreation.
The popularity of water -fun parks across the U.S. has
created a shortage in the more popular types of equipment.
For this reason, we cannot attempt to complete lete theould l hole
project for the 1983 season. 'Therefore,
ike to
propose a project which would be built in phases.
Since construction time is short and weather unpredictible,
our proposed Phase Z,aofhas
facilitiesawhichecouldtbelscheduled
The following is a list
for the 1983 season:
,.,..�
two,.. mrk
_�
�rsl�dey:ne:-"b-asr
A. A Vwo�'
upon the latest engineering innovations. The flumes will
be designed for different speeds as well as excitement
levels. Tunnels, lighting and sound ieffects along with
drop sections providing a free -fall sensation will pro-
vide riders with the latest in waterslide design.
B. A d_oui�% - pe 5 -;4_Q which is also a waterslide, but,
it is straight and fas�e slidesis sallowanother
participants participants
across the U.S. the
fence speed and a hydrSlideestartseffect
from aetower gangingafromg
pool. Generally, the
40 to 80 feet in height and lands in a pool 40 feet in length
(after slowing down in a flume section 80 feet in length.)
C,gp�-#�g�s3 These are small boats comprised of a
ers
giant rubber tube wdtattemseat
toand
avoid.P. getting bineumpeddfor
bump other boats an Pt
the duration of the ride.tom These would be operated in
the river at the
,.. ----• -�e ,$Tin$-_�f--`gni _s -.a how
D. �cCh7�l�ren ��::PU--�'':..� _ _
gol; complete with various amusement and recreational devices
incorporated into the area.
shade
E. SpeC1a_X_._ o h�giantchotland cool ete with tubstforf relaxa-
in a passave area wit
tion.
F.
g�-'�e�t �.n •o r oli � �e�'virig-'•:ab o_ve�.ar�
G . 7e r: a gK: t^ to in S
below the canyon.
H. Other items depending on outcome of Phase I budget.
2. Proposed Support Facilities.- Phase I
The proposed support facilities will
mcins st of
fsiolargea.
game arcade, merchandising area and one
NOTE: Phase I includes numerous expenditures
necessarSome y
the general preparation of the project.
the major areas include the main entrance landscaping, ticket walkways,
ing, pump and filter houses,
decks, in -park lighting, lockers and signs.
�Pra3--c for Phase --
JP�10.w';
At present, we are uncertain as to which course of
development would actually we areeplanningn after tto install he close f athe
1983 season. Ire P
FJ e- ne�a-�n of for...he��8�"'or 85��eason. However,
cular attraction will depend
justification of this parti
on overall success of Phase I development.
- y o mmenf- would
P -
sofi is ; iI= A 7;a�_ .. �an` c d 'ems
eck-ar
sts"be a a .- - __ yid additional
.� _....� ,, .._. _.- Y111Ti_ . __ _ _ ._ _ . _
m ght' i - �titi-da o: °as�omo_ ate_:s�aimmi g
ides. would
be builtms built
enablein aaddinggvariouss
on the canyon wall would be
rides into the lower level lPool-ower levelAn adevelopmentoncgurther
stand would accompany the of
utilization of the river could be developed
yuse formini
motor boats. Miniature golf is also a possibility
Phase II or beyond.
D��ASE
Due to the many changes herudevelopmentsbusiness,
beyond Phase
we are unable to predict furt
II. However, development wounds aturalld acontinllow ue as the
park's successfulness and bo
Projected cost for
�1T'�603
ATTACHMENT B
NSIDERATIONS
FINANCIAL CO
1. At present, our proposed project has been presented to
several local financial institutions for consideration.
However, in order to finalize any financing, we are awaiting
the proposal selection process to be completed and negotia-
tions to begin.
Personal financial statements of the principals are with-
held at present for confidential reasons. However, they can
be made available before any contract with the City would be
signed. It is possible to state that the principals involved
have combined net worths in excess of $5,000,000 and annual
incomes amounting to around $600,000 per year.
This proposal is conditional on our ability to finalize
the financing necessary for Phase I. Therefore, no contract
would be signed prior to this condition being met.
ATTACHMENT C
'
PROBABLE COMPLETION DATES
Initial
Proposed
Construction
Com leti
Phase
December 1982
December
April 1983
Phase I or
November 1983*
or
April 1984
October 1983
April 1985
Phase II or
October 1984
* If construction is unable to get underway for the 1982
season, we will plan to proceed in 1983 with Phase I.
ATTACHMENT D
PRINCIPAL EXPERIENCE
The emergence of water fun parks has basically come about
since the late 1970's. The actual expansion of individual
parks into different areas did not take place until 1981 when
White Water of Branson, Mo. began to expand. At present,
there are only two major parks which are expanding into
different cities. These firms are limited to the largest
metropolitan areas of the South and Southwest such as Dallas,
Houston and Oklahoma City. All other "local" water parks
are not expanding. This tends to limit the number of
individuals or firms experienced in the actual operation
of this type of park.
Our group has thoroughly studied the operating techniques
of fourteen water fun facilities around the country for over
one year. On site visits with owners have taken place at
most of the parks. We have received numerous tips which
will help us to avoid many of the problems encountered by
other parks. Our studies have convinced us that this type
of business is no different than most businesses. Good
business practices and the ability to manage and host people are
the basic qualifications for operating this type of facility.
Each of our team members are experienced in various
backgrounds of business. Several other businesses have been
started and operated successfully by Lewis Hearon and Gary
Slaughter. They are currently involved with operating and
managing several businesses ranging from oilfield services
and real estate to convenience stores. Bill Gregory has
heavy administrative and supervisory experience in business.
He has been involved with managing and coordinating the
administrative operations of the worlds largest drilling
contractor. He has also been involved with banking for
several years. Gregory will assume the role of managing
all park operations.
Several experienced contractors will assist in the
construction of the project. Water Parksof America, a
South Carolina based firm will design, engineer and
supervise the installation of the waterslides and speed
slides. All pools will be designed by Aquatic Concepts,
a local pool contractor with the actual construction
performed by a Midland -based sub -contractor. If installed
as a part of Phase II, the wave pool would be engineered
locally and approved by WaveTek of Mansfield, Ohio. The
park layout and design has been performed by David Brown,
a local landscape architect and pool designer known for
his originality in design work.
Construction of the other facilities will be bid with
the contract awarded to the bidder having experience and
favorable bid numbers.
ATTACHMENT E
COMPENSATION PROPOSED TO CITY
the
-
se �approximatel"I
ers, Inc. will be for �i�--vs�
i olyding--ftki __. . E,anges
The lease provided GHS Develop nz_�PZ7 tate j>jj�' �"`" • tiha[ structuraYl
oca'd" _ y �e understanding a period o_��Is
acres _ __ — ---- -� prem ses� i
? '0e n�,,5t�ruzx es� �'�ff
a 'f. =-- Said ;�EasE wi 11 Z3Y
nes.,_ �._
,t.=-' arty house are not allowed) .
to the par
�_np-- �. f Lubbock will be calculated as follows:
Lease payments to the City o 00,000.
osspa
"rt revenues over $5
�-- .
Years -0.�00,000
Years"T'"Iro� -W revenues over $�
_ -
o�g.rk revenues ov,pber $1,000,000
Yea rs._•. .. 1 of each year.
ayments will be made on or before October 3 arteT"o# erti�sr`-?fl0�- >
saidP uT
e operator will 8e
he gre
Ith
DqU
-par f-reenue _..�.-
6�:01�.`g
ADDITIONAL ITEMS AGREED TO BY GHS DEVELOPERS, INC.,
AND
CITY OF LUBBOCK
The i of Lubbock wi 11 be n i 'a .�nsur_e _pat_ty_. acci en did L 11
suraol icies.
The term of the lease will be thirty-two 132)x" • This date coincides with
the City's current lease agreement with the State of Texas.
The grossc�!on��s5i16ns�mo_u-nj wi 11 be a _ j. e _liy e `a ty ofy=ub�o' fintecnaj
VGpS Teve l o a rs - .:"enc:. Iw i 1 1 s e r'e ,. aPk.i n �a reem ril: _Ht� "` 1ie"5ou'th :l?la,i '
€atjT Association.
The agreement will contain a clause which will declare the contract null and
void if construction is not started within three (3) years.
ATTACHMENT F
REVISED
If
the summer operating
facility during fertilizing
of the entire Trim work, watering, take
-� other months- The mowing hours*
gu arwe during the Operator. ark opening
months and as needed handled by completed before P Grass seed
and "hand work" will h will be comp orning•
hours and next available morning.
services
plaGe in the mo be can be resumed the and as req take
this Por-
leted, necessar�anda or may take over
If not comp available when
will also be made advised otherwise
provided until
will be P season)• those to be tagged
tion during a later ..tee -a (exceptThe
Fie a� c� o ypanc by the OherCity.will remove
City tree crews will P:ruil aot be removed and
2. in the facility that are
for removal) all trees of tagging.
to
operator will tag not! be
he
the said trees upon g-mb� for location. d ted
3. s
4.
5•
6.
7•
- — 3tiie- ems... upped and sta a septic 1 oca
wt l-1 be tic tanks
ma : 7rest�'oom' 1 i nes or stake -out of any
Any water
,trod? °� • location
ma
City will provide a
area. --�-�ITyaI
in the restroom
onstruc ion.
The City wi 11m°�' prior fact'
ity during
!thin the facility P will
w. o _r Ce ��-vj. around the
patrol be
act Frequency and intensity ,
will P ov Freq
The City its construction• in the City'
and after areas he
a s for similar .-.nece� r'y i.xcf"9?�ade^�t.�.
the same P"et - - - w i 11 be °n a
Cnent� ed Thi s 141
th the
wi11 FT -JA rlate agreements
The City remote` o- the approp
that
B.
raririr�' r_e
assumes
--basis and arranged. in a manner
one'"'ame:'-°?i Y. �' be or the faci 1 i ty
Fair Association can to control`
ov1 3
e_toossiu l- { the City*
e .. 041
The City will P --- rovided in sir:�ilar area t �..af
to that P i 3scriP_�.__.
comparable
�-
The City w �elap--to-be�5e.
boundaries -
Ic.:IIU Ivi ILLUi ✓
�1parking 1
e ting of
1
1 �
house
�f
storage
at re \
fn c nzle pottery censer s ooms 1
ko 814
f I Mackenzie
P y ouse \ `
I I -- \\
I \ �
I �
Future development is planned for land areas to the \ \ parking
/ North and East of the immediate area
/ leased land for
/ future development
east broadway
north
water*therme park
M E M 0
March 21, 1983
T0: Bob Cass, Assistant City Manager
Jim Weston, Director, Community Facilities
Dan Kamp, Director, Parks & Recreation.
RE: (a) ADDENDUM to and renewal of concession agreement with State
of Texas re Mackenzie Park
(b) Extension agreement with Texas Parks & Wildlife Dept and
City of Lubbock re Mackenzie Park.
2(c) Resolution 1265 - Contract w/GHS, developers of water
theme park - 11/18/82
(d) Lease and Sub -concession Agreement with GHS folks
We have a mess on our hands with the above matters, and I have conferred
today with Jim Underwood and Dan Kamp about establishing procedures.
I am in need of your assistance in making some sense out of this maize
of transactions, most of which are not official to date.
(a) I have on my desk an Addendum, referenced above, which has been
signed by the Mayor, undated, with reference to an Extension Agreement
with the Texas Parks & Wildlife Departemtn, and with reference to
a Lease and Sub -concession agreement with the GHS folks.
This Addendum and the other referenced documents have not been submittec
to the Council for action.
(b) Extension of A reement between the City and the State (Tex.
Parks &7Wildli?e_De_ptT was completed in November, 1982
(according to verbage in the Addendum).
There is no official action by the Council showing this extension
was accepted or authorized; no copy of the STate document has
been submitted to my office for the official files; and no
referenced has been made reflecting that the State concurred with
the GHS contract for a water.theme park.
(c) Resolution 1265 - contract w/GHS Developers for water theme
park - november 18,•1982.
The resolution passed but at that time there was no contract
with GHS submitted to the Council for their perusal; there was
no contract submitted through this office to the Mayor for execution;
there is not now nor has been a contract on file with GHS; and
there is not contract recorded in the Minutes.
Please submit duplicate originals of this contract for proper
completion and recordation.
(d) Lease and Sub -concession Agreement with GHS Developers (as"
referred to in the Addendum).
This item has not been submitted to the Council for approval.
This is a portion of the Extension Agreement with the State, as
understand it, for the GHS folks to receive the concession
rights associated with the water theme park.
Since revenues are involved, this needs Council sanction.
Here's what we need to do:
Items (a), (b) and (c) need to be on the Markk31 agenda for
Council action -- housekeeping procedures. Go through the
proper channels to do so.
Submit a copy (duplicateoriginals preferably) of Item (c) --
contract with GHS -- for proper signature of the Mayor and
the undersigned, and to be recorded in the Minutes of
November 18, 1982, as well as to be a part of the official files.
In the future, it is most important that all documents related to these
matters be channeled through this office and not directly to the Mayor
for :signature. This recommendation is not a deterrent to your doing
your work; it is a means of keeping official files current and clear on
this as well as on your grant -stuff, which was approved in blanket form
February 10 (Reso. 1316). Each and every grant is to pass through these
portals!
If you have any questions, don't hesitate to give me a call.
EVELYN GAFFGA, CMC
City Secretary
cc: Jim Underwood
Joan Sherwin ,
Larry Cunningham
-2-
PERIMETER SURVEY OF A 20,0000 ACRE TRACT
LOCATED IN
SECTION 3, BLOCK 0,
LUBBOCK COUNTY, TEXAS
SH
O
?�q
I Ll ('(l R" 1
�j
20.0000 Acres
—
�IVil G NFvc
EAST BROADWAY- U.S. HWY 62-82