HomeMy WebLinkAboutRES 89-047 R E S O L U T I O N
WHEREAS, the City of Beaumont and community volunteers
will hold a festival to be called "Main Street on the Neches"
September 15 - 17, 1989 ; and,
WHEREAS, Main Street on the Neches will consist of an
Ethnic Heritage Festival, a Jazz Festival, Main Street Alive and
United States Formula I Power Boat Races on the Neches River;
and,
WHEREAS, the City desires to recognize and participate
in such festival and participate in the production of the U. S.
Formula I Grand Prix Boat Races;
NOW, THEREFORE, BE IT RESOLVED BY THE
CITY COUNCIL OF THE CITY OF BEAUMONT:
THAT the City Manager be, and he is hereby, authorized to execute
a contract with U. S. Formula I Racing Association substantially
in the form attached hereto as Exhibit "A" .
BE IT FURTHER RESOLVED that a budget for the Formula I
Races of approximately One Hundred Five Thousand Dollars
( $105,000. 00 ) is hereby established with the expectation that
festival revenues will provide for the payment of such
expenditures.
PASSED BY THE CITY COUNCIL of the City of Beaumont this
the 7th day of March 1989.
o
Mayor -
i q- 1-1? `7 �
POWERBOAT RACE AGREEMENT
THIS AGREEMENT is made and entered into by and between U. S .
FORMULA ONE RACING ASSOCIATION, INC . , an Illinois corporation,
(hereinafter referred to as "USFORA" ) and CITY OF BEAUMONT, TEXAS
(hereinafter referred to as the "PRODUCER" ) , as of the date
executed below.
WHEREAS , USFORA is in the business of organizing and
conducting "Formula One" type Powerboat races according to the
Rules and Regulations established by USFORA, as amended from time
to time; and
WHEREAS , the PRODUCER desires to stage such a Race at THE
PORT OF BEAUMONT on the Race Date hereinafter provided;
NOW THEREFORE, in consideration of the premises and of the
covenants and conditions hereinafter contained, it is hereby
agreed by and between the parties as follows :
1 . Subject to the performance of the Agreements of
PRODUCER contained herein , USFORA shall organize and conduct a
USFORA "Formula One" type. power boat race for PRODUCER on
September 16 and 17 , 1989 ; (hereinafter the "Race Date" ) , at THE
PORT OF BEAUMONT. The obligations of USFORA hereunder shall he
contingent. , however ; upon USFORA obtaining, wirhin sixty ( 60)
days of the execution hereof ; the firm participation of a
Corporate or other sponsors of the Race tipon terms, and conditions
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EXHIBIT "A"
satisfactory to USFORA in .its sole discretion. In the event
USFORA gives notice within said sixty (60) days that it will not
proceed hereunder , then USFORA shall refund all funds received to
date from PRODUCER and this Agreement shall be MiLitually canceled .
Obligations of PRODUCER hereunder are contingent upon obtaining a
contract to use. the Port of Beaumont. for the Event within sixty
(60) days of the execution hereof .
2 . The PRODUCER shall pay USFORA the slim of Thirty-Five
Thousand Dollars ($35 , 000 . 00) in considerati.on for its services
in organizing and conducting said race. . One Hundred Sixty-Seven
Dollars and Fifty Cents ($167 . 50) of said fee shall be paid by
PRODUCER to USFORA upon execution hereof , and the balance. of
Fourteen Thousand Dollars ($14 , 000 - 00) no later than sixty (60)
days prior to the Race date . All fees shall he paid to USFORA by
certified or cashiers check .
All payments shall be made directly to USFORA at 2356
Hassell Road, quite A, Hoffman Estates , Illinois 60195, unless
otherwise directed in writing.
3 . USFORA shall make arrangements with .. and secure the
participation
of , racing teams , drivers , and officials to
Partirinari-- in said Race ; provided , however , [TqFORA shall have
the right in its sole discretion to limit the number of
participants in the Race and to deny participation to such
individlial .s and teams as s.- it. Sees fit in accordanra with the Rule,-;
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and Regulations established by USFORA, as amended from time to
time.
4 . USFORA shall provide all prize money to be awarded in
connection with the Race and shall have the sole right to
determine the categories and amounts of prize money to be awarded
to participants . USFORA has the sole right to present prize
money or trophies and to stage said presentations . USFORA grants
PRODUCER the right to present one local award to winning team at
the presentation.
5. The parties agree that testing, time trials , and the
races (herein the Race) shall be conducted under the Rules and
Regulations established by USFORA, as amended from time to time.
The length of each race shall be determined by the number of laps
scheduled for said race , which number of laps shall be announced
by USFORA prior to the race . USFORA reserves the right to
curtail or terminate testing, time trials or a race after their
commencement in the event that race or weather conditions , in the
opinion of USFORA, so require . The curtailment or termination of
testing, time trials or a race shall not constitute a default of
the obligations of USFORA hereunder and shall not entitle the
PRODUCER to a refund of any part of the fee paid by the PRODUCER
to USFORA hereunder, provided said curtailment is not the direct
result of the negligence of USFORA or the failure by USFORA to
fulfill its duties required hereunder .
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6 . The Race site shall be jointly selected by the parties ;
provided, however, USFORA shall have the right of final approval
over any prospective Race site . The PRODUCER shall procure all
necessary licenses , permits , or other consents required from
municipal , county, state , Federal and/or other governmental
agencies to conduct said Race on the race dates and at the site
selected and provide copies to USFORA at least thirty (30) days
prior to the Race date .
7 . PRODUCER shall , without charge to USFORA, provide
USFORA with support personnel , services , utility services ,
equipment , space and materials set forth in Exhibit "A" attached
hereto and incorporated herein. PRODUCER agrees that USFORA
shall have the right to direct the location of said equipment ,
space and materials so as to assure adequate preparation for, and
conduct of , the Race . USFORA will provide the items listed in
Exhibit "B" attached hereto and incorporated herein.
8 . USFORA shall obtain, prior to commencement of the Race ,
comprehensive general liability insurance with Five Million
Dollar ( $5 , 000 , 000) minimum limits and coverage as provided by K
& K Insurance , or other acceptable provider , to cover personal
injury and property damage to participants , staff , sponsors , and
spectators arising from the conduct of the Race and shall name
PRODUCER as an additional insured on all applicable policies .
F
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9 . PRODUCER agrees to indemnity, defend, save and hold
harmless , USFORA, its officers , directors , shareholders , agents ,
and employees from and against any and all suits , claims ,
demands , liabilities , liens , charges , losses , costs , or damages
of every kind or nature whatsoever, including, without
limitation, reasonable attorneys ' fees , arising from, or
attributable to acts , omissions or negligence of PRODUCER or its
agents or employees in providing the personnel , services ,
equipment, space and materials to be provided by PRODUCER to
USFORA as set forth in this Agreement .
10 . USFORA agrees to indemnity, defend, save and hold
harmless PRODUCER, its agents and employees from and against any
and all suits , claims , demands , liabilities, liens , charges ,
losses , costs or damages of every kind or nature whatsoever ,
including, without limitation, reasonable attorneys ' fees ,
arising from the acts , omissions or negligence of USFORA, its
agents or employees in organizing and conducting the Race .
11 . The parties agree that in the event adverse weather
conditions , accident , unavoidable cause or other cause or factors
beyond the control of USFORA result in the cancellation of the
Race , then this Agreement shall be mutually cancelled and of no
further force and effect and neither party shall be liable to the
other. Cancellation of the Race shall be defined to mean that no
boat competing in the Race is allowed to enter the water course
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on the day preceding the Race Date and that no boat competing in
the race is allowed to enter the water course on the Race Date.
In the event of cancellation of the Race , as defined above ,
USFORA shall refund to the PRODUCER sixty-six and two-thirds (66-
2/3%) percent of the fee payable by the PRODUCER to USFORA
hereunder from funds paid to USFORA by the PRODUCER. It is
agreed that a member of the City of Beaumont Convention and
Visitors Bureau and a member of the Port of Beaumont shall be a
voting member of the USFORA Race Committee if cancellation of the
event is being considered.
12 . PRODUCER agrees that it shall not contract for ,
participate in, or otherwise authorize, any other power boat
race , of any class , size or type whatsoever., within fifty (50 )
miles of the race site for a period of thirty ( 30) days
immediately preceding and following the Race Date .
13. PRODUCER hereby assigns to USFORA, and its assigns , as
and for its exclusive property, all television, radio and other
media rights with respect to recording, broadcasting and
rebroadcasting the Race . PRODUCER further grants to USFORA the
exclusive right of use , sale and marketing of any and all video
tape or other reproduction of the Race . PRODUCER consents to the
use of its name in the description, broadcast and rebroadcast of
the Race and in all subsequent marketing of the Race description.
USFORA has the exclusive right to name the Race and adopt a logo .
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All media material , including press releases and promotional
material , relating or referring to the Race , must include the
full name of the Race , and logo if any. PRODUCER, and its
agents , shall refer to the Race , using the full name of the Race
and logo if any, in all publicity, promotions and other
communications describing Festival events .
14 . PRODUCER grants USFORA the exclusive right for
placement of banners and advertising at the Race site . PRODUCER
shall obtain approval for USFORA to sell and erect banners and
other signage around the Race site, including bridges , bulkheads ,
walls adjacent to Race course, and floating buoys . USFORA shall
erect such banners and signage in a safe manner and remove them
after the Race.
PRODUCER will provide USFORA approval to erect a concession
stand in a prime location and to sell USFORA racing
Paraphernalia, including hats , jackets , T-shirts , programs and
the like .
PRODUCER grants USFORA the right for USFORA ' s sponsors to
distribute and/or sell their product at the Race site during the
Race Date .
15 . The parties agree that USFORA is hereby granted the
exclusive right and license, subject to the limitations set forth
below, to obtain corporate or other sponsorships to the Race and
to sell advertising space , including, but not limited to ,
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television, videotape, radio, banners , buoys , signs , posters ,
programs or other advertising media as it pertains to the Race .
PRODUCER consents to the use of the corporate or other sponsor ' s
name, logo or trademark in describing the Race. USFORA will
provide PRODUCER with the name of Race title sponsor as early as
possible .
PRODUCER retains all rights to obtain and sell sponsorships L�
for its Festival not relating to the Race (hereinafter referred
to as the "Festival Sponsors" ) . In the event of a conflict
between the Race title sponsor obtained by USFORA and the
presenting Festival Sponsors obtained by PRODUCER, PRODUCER
hereby agrees to allow USFORA a right of first refusal to match
any bona fide offer of conflicting presenting Festival Sponsor .
USFORA shall notify PRODUCER within thirty ( 30) days of receipt
of notice of bona fide offer whether USFORA exercises its right
of. first refusal . If USFORA exercises such right , USFORA will
pay PRODUCER in accordance with the terms of the matched offer .
16 . PRODUCER acknowledges and agrees that "USFORA" is the
service mark and trademark property of U. S . FORMULA ONE RACING
ASSOCIATION, INC . and that any such use shall inure to the
benefit of U. S . FORMULA ONE RACING ASSOCIATION, INC .
17 . Provided PRODUCER shall have fully compiled with its
obligations hereunder , USFORA hereby grants to PRODUCER an
option, to extend this contract with USFORA, under the terms set
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forth herein, for two succeeding years , for Races scheduled on or
about the same time of year. Notice of the exercise of the
option shall be given in writing to USFORA within thirty ( 30)
days after the Race each year. If PRODUCER fails to exercise its
option for a Race, then the option will lapse as to any
succeeding years .
PRODUCER grants USFORA an option that , should PRODUCER,
directly or indirectly, produce an event having a similar Race in
the two succeeding years , USFORA may extend this Agreement to
cover all such Races . Similar Race means similar as to type of
races , locale, and date . By September 1 of the year preceding a
Race, PRODUCER shall give USFORA written notice that PRODUCER
will be producing such an event having a similar Race . USFORA
shall then have thirty days after September 1 to notify PRODUCER
in writing that USFORA exercises its option and if USFORA
provides such notice, then this Agreement shall be in full force
and effect for each such Race . If USFORA fails to exercise its
option for a Race , then the option will lapse as to any
succeeding years .
18 . The parties agree that they are each independent
contractors and that neither is the agent , servant or employee of
the other , and that neither has the authority, express or
implied, to bind the other to any obligation whatsoever .
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19 . Any notices to be provided hereunder shall be in
writing and mailed postage paid, certified mail , return receipt
requested to the respecting paries as follows :
If to USFORA: U. S . Formula One Racing
Association, Inc .
2356 Hassell Road
Suite A
Hoffman Estates , IL 60195
If to PRODUCER: John Gorman
Convention and Visitors Bureau
CITY OF BEAUMONT
P.O. Box 3827
Beaumont, TX 77704
20 . This Agreement shall not be assigned by either party
hereto without first obtaining the express written consent of the
other party hereto.
21 . This Agreement contains the entire Agreement of the
parties . No representations have been made or relied upon by
either party other than those set forth herein. This Agreement
shall not be modified or amended without the express written
consent of both parties hereto.
22 . This Contract shall be considered made at and construed
under the laws of the State of Illinois . Any litigation
instituted with respect to the subject matter hereof shall be
filed and heard only in the State of Illinois and the parties
hereby consent to jurisdiction.
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IN WITNESS HEREOF, the parties have executed this Agreement
this day of 19
U. S . FORMULA ONE RACING
ASSOCIATION, INC .
By.
(PRODUCER)
By:
11
ATTACHMENT A
SERVICES TO BE PROVIDED BY PRODUCER
A. SAFETY & SECURITY
1 . Eight ( 8) EMT/paramedics to ride in rescue. boats .
Rescue boats and drivers to be provided by TTSFORA .
2 . Marine police boats as required to control river
traffic .
3 . Police officers at Rescue. locations and Pit entrances .
4 . Two ( 2) paramedic equipped ambulances--Rescue I at pit
area, Rescue 2 at designated area (Telemetry anti
protocol required) .
5 . Pit, VIP, and Press Area , and TV locations shall be
provided with security from Thursday 5 : 00 p . m. to 10 : 00
a .m., the day following the Race , as needed .
6 . Adequate Police (crowd control ) to protect, race course
and participants .
B. EQUIPMENT
1 . Fencing around pit area and VIP Village- , and adequate
sanitary facilities and garbage cans .
2 . Officials and scorers stand with canopy top; seating
for not less than 20 , including tables and chairs ,
3 . Docks for pit and starting areas , 6 ' x 300 , x 18" above
water .
4 . Two ( 2) or three ( 3) mobile cranes with operating crews
at pit area . Cranes must have sufficient reach to
clear pit floats (maximum boat weight 15no lb.s . ) . The
minimum reach for each crane must be 115 f r .
5 . Adequate. comp I e.t-p police ; marine police ; anti fire
communications at Pits ; ; Judges area ; polir,7-
boats ;
and rescue locations . All aqi=.nci?q with
jurisdiction over the waterway will have a
representarive with radio communication - on the judgPS
stand immediately prior to and during teach races , time
trials and testing sessions .
A press room facility with telephones , rYpewri- rHrs , and
a d"Plieating marhin? (-,hnuld he near or part of VTP
area )
7 . PI-1hlir address system of I-ifficient pow-r to he cl?arly
heard -from all spectator vantage points at all times
prior and during the conduct of the Race with the
broadcast location at the officials ' stand .
8 . Sufficient electrical power and scaffolding for
television equipment, with details to be provided by
USFORA at least thirty (30) days prior to the Race .
9 . A stage at the officials stand for awards presentation
with a three ( 3) tiered platform (Olympic style) . if
desired, PRODUCER may provide. one local trophy .
10 . PRODUCER shall provide. to USFORA a Site plan for the
Race , including three suitable sites ; for tents with
necessary electrical power and connections , all
reasonably acceptable to USFORA . Said sites shall be
known as the VIP Village . Each tent site will not
exceed 40 feet by loo feet . PRODUCER also shall
provide any necessary governmental permits for the
erection , maintenance and removal of such tents . The
site shall be made available to USFORA at least two ( 2)
days prior to the start date of the Race . T.TSFOR'A will
pay for rental , erection, maintenance and removal of
the tents .
11 , If PRODUCER produces , or causes, to be produced , -a Racer
program, then the name of the Race shall be prominently
shown on the cover . PRODUCER shall provide USFORA two
full Pages of the program without charge to USFORA, in
color if the program is in color, and the right to
purchase additional space in the program at the lowest
advertising rate offered . USFORA shall provide for its
ads camera ready are and copy as necessary, and color
separation and additional mechanicals as required .
EXHIBIT B
SERVICES TO BE PROVIDED BY USFORA
1 . Sanction from the American Power Boat Association .
2 . Insurance as provided in Paragraph 9 of the Agreement .
3 . Participation of national and international racing
drivers . teams and
4 . Prize money and awards ceremony.
5 . Race officials and sonrers .
6 . Resctle boats , drivers and divers .
7 . Organizing and conducting testing, time trials and the
rarer ,
8 . Official. marker buoys , flags and race buoy.s ,. which USFORA
will Place and remove .
9 . Print media coverage. , including promotion , public relations
and advertising.
10 . In all advertising and promotion that includes Festival
identification , use the PRODUCER ' S official Festival logo .
PRODUCER ';hall providii, camera ready arr and copy as
necessary, and color separation and additional -,;=chanicals
as r?quired ; in sufficient time for inclUsinn..
11 . Will arrange to have the Race broadcast by local , national ,
and international television and/or radio . Said broadcaRtq,
shall contain reference 170 PRODUCER ' S Festival .
12 . A rnedit of Twenty Thousand Eight Hundred Thirty-Two Dollars
and Fifry Cents ( $20 ; 832 . 50) will be given to PRODUCER for
thie 1982 cancellation , reduc.ing the total sllm ro Fourteen
Thousand One Hundred sixry_SpvRn Dollars and Fifry Cents
( $14 ; 1ti7 .
ATTACHMENT C
The provisions of this Attachment C modify the provisions of the
agreement and its accompanying Attachments "A" and 11BIF and
between I.T.13FORA and CITY OF BEAUMONT sometimes here-in referred to
as PRODUCER takes precedence over them.
1 . It is agreed that a member of the City of Beaumont ' .q
Convention and Visitors Bureau and a member of the Port of
Beaumont shall be a voting member of the USFORA Race
Committee if cancellation of the event is being considered .
2 . Obligations of PRODUCER hereunder are contingent upon the
CITY OF BEAUMONT contract to use the Port of Beaurnont for
the event within sixty (60) days of the execution of .
*Revised 02-28-89 iLAIN STREET ON THE NECHES
1989 EXPENSE BUDGET
FORMULA I GRAND PRIX BOAT RACES
SEPTEMBER 16 & 17, 1989
1986 1989
PROJECTED ACTUAL
ITEM AMOUNT AMOUNT AMOUNT
a. Sponsorship Fee $ 35,000.00 $ a.$35,000.00
b. Production
Sound Reinforcement $ 4,500.00 $ 6,800.00 $
Electric $ 300.00 $ 400.00 $
Tent Rental (Judges) $ 220.00 $ 300.00 $
Crane Rental $ ------ $ 3,500.00 $
Barge Rental $ ------ $ 6,700.00 $
Portable Rest Room Rental $ 720.00 $ 800.00 $
Shuttle Bus Rental $ 1,976.00 $ 2,000.00 $
Labor (IATSE) $ 342.00 $ 400.00 $
Labor (Cleaning) $ 707.00 $ 1,000.00 $
Labor (Parking) $ 92.00 $ 150.00 $
Catering/Hospitality $ ------ $ ------ $
Lodging $ ------ $ $
Fence $ 720.00
Trophies $ 1,500.00 $
$ 127.00 $ 200.00 $
Misc. (Blueprints) $ ______ $ ______ $
Port Expenses (Not to Exceed) $ ------ $ $
b.$23,750.00
C. Insurance
Public Liability $ ------ $ 30,000.00
Rain Insurance $ ------ $ 8,250.00
c.$38,250.00
d. Event Staff
Police $ ------ $ 4,000.00 $
Neches Boat Club $ ------ $ 3,000.00 $
Fire $ ------
$ 1,000.00 $
d.$ 8,000.00
TOTALS $ 9,704.00 $
$105,000.00
a