HomeMy WebLinkAboutRES 98-261 RESOLUTION NO.
BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF BEAUMONT:
THAT the City Manager be, and he is hereby, authorized to execute an agreement with the
Beaumont Yacht Club, Inc. for the operation and construction of improvements at the City
owned marina. The agreement is substantially in the form attached hereto as Exhibit "A."
PASSED BY THE CITY COUNCIL of the City of Beaumont this they day of
' 1998. gy
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MANAGEMENT AND CONCESSION AGREEMENT
THE STATE OF TEXAS §
COUNTY OF JEFFERSON §
WHEREAS, the City of Beaumont, a municipal corporation domiciled in Jefferson
County, Texas, hereinafter called "City" and Beaumont Yacht Club, Inc., a Corporation
domiciled in Jefferson County, Texas, hereinafter called "Yacht Club" have heretofore
entered into a Management and Concession Agreement concerning the property described
in Exhibit "A" attached hereto and made a part hereof for all purposes (herein "facility");
and,
WHEREAS, the parties recognize the mutual benefit to Yacht Club and City derived
from the existence of a first class boating marina and yacht club on the facility; and,
WHEREAS, to that end, City and Yacht Club agree as follows:
1.
City and Yacht Club mutually cancel and rescind the Management and Concession
Agreement on the facility presently existing between the parties executed on the 29th day
of April, 1987 as of the date of execution of this agreement.
2.
City hereby agrees to make its best efforts to improve the facility in a manner
consistent with the master plan of improvement as described in paragraph 3 hereof and
as set out in Exhibit "B." City will cause to have constructed all facilities on such Exhibit
"B" which in the opinion of the City Manager, herein "Manager," and the Commodore of
Yacht Club, herein "Commodore,"can be prudently constructed with available funds. Such
EXHIBIT "A"
facilities are "the improvements" as used in this agreement. Specific plans, specifications,
and/or bids for the improvements to the facility will be subject to approval of both City and
Yacht Club. Such approval shall not be unreasonably withheld by either party.
3.
Commencing upon the date of acceptance by the City of the improvements, Yacht
Club shall commence management and concession payments to the City of Beaumont.
Management and concession payments shall be paid monthly by Yacht Club. Such
payments shall be determined as follows: The principal amount shall be equal to the total
out-of-pocket City cost to complete the improvements including but not limited to
construction costs, engineering and other fees plus the unpaid balance due the City under
the previous Management and Concession Agreement as of the date of acceptance by the
City of the improvements. The plans and specifications shall require the approval of both
Central Services Director, herein "Director," and the Commodore. The Director shall
provide documentation of the total out-of-pocket City cost to Yacht Club and the Director's
determinations of such total cost shall be final. Such principal amount shall be amortized
over fifteen (15) years at an annual interest rate of for the first twelve (12)
months of this agreement. For successive twelve (12) month periods thereafter, the
interest rate shall be the ninety (90) day Treasury Bill yield as of the last day of July that
such rates are reported each year plus one percent (1%). City will provide Yacht Club a
calculation of monthly payments in August of each year. Interest rates used in calculation
of payments hereunder shall not go below six percent (6%) per annum or above eleven
percent (11%) per annum regardless of the Treasury Bill yield. Acceptance by the City of
the Improvements, as used herein, shall mean the first of the month next following the date
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upon which improvements are accepted by City. The term of this agreement shall be from
the date of its execution until the last payment is made by Yacht Club to City hereunder or
unless terminated earlier in accordance with this agreement. Should construction of the
improvements cease and the project be abandoned for any reason, the Yacht Club shall
be responsible for payment of total out-of-pocket costs as determined by Director.
Payment will be calculated and paid in accordance with this Paragraph 3. At the expiration
of this agreement, the Yacht Club shall have first option to renew a management
agreement on the facility with terms that are mutually agreeable to both the City and the
Yacht Club.
4.
During the term of this agreement, all operating costs of the facility shall be paid by
Yacht Club. In addition thereto, Yacht Club shall carry fire and extended coverage
insurance on the value of all structures on the facility and general liability, and contractual
liability coverage in the amount of Five-Hundred Thousand Dollars ($500,000) per
occurrence. The City of Beaumont shall be added as an additional named insured on the
liability policy described above.
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5.
Yacht Club may make capital improvements other than those described in Exhibit
"B" subject to the approval of the Manager. Such approval shall not be unreasonably
withheld. The parties may cancel this agreement by mutual consent. Yacht Club's
obligations to make payments to the City of Beaumont, as set out herein, can be affected
or reduced by any mutually agreed cancellation of or amendment to this agreement. In the
event that this agreement is canceled, all obligations set forth in the agreement are also
canceled.
6.
Yacht Club agrees to operate and manage the facility located on Exhibit "A" hereto
as a public marina facility. The initial schedule of authorized charges for use of the facility
are attached hereto as Exhibit "C," but may be amended from time to time with the
approval of the Manager. All such amendments to the schedule shall be in writing and
shall be filed with the City Clerk of City as a public record. In the operation of said facility,
Yacht Club shall be responsible for the maintenance of the facility and agrees to keep said
facility in a safe condition and not to permit any hazardous conditions to exist on said
facility. Yacht Club will operate the facility in compliance with all laws and regulations.
Yacht Club further agrees not to use all or any part of said facility for any unlawful purpose.
7.
Yacht Club shall be responsible for the payment of all charges for water, gas,
sewage, garbage, trash and other utility charges incurred during the term thereof.
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8.
Yacht Club shall have no authority to incur any obligation on behalf of the City nor
does City have any authority to incur any obligations on behalf of Yacht Club concerning
the facility. This Management and Concession Agreement shall not be assignable in whole
or in part by Yacht Club or City without the written consent of the other party.
9.
Yacht Club agrees to provide City with an annual financial statement of its
operations on the facility no later than one hundred twenty (120) days after the close of its
fiscal year. The statement is to be performed in a manner common to sound business
accounting practices. During the term of this agreement City retains the right, upon
reasonable notice, to examine the books and records of Yacht Club. Yacht Club shall, at
all times, keep the property of City free and clear of all liens, attachments, encumbrances
or claims arising out of Yacht Club's operations.
10.
Yacht Club.shall, at its own expenses, employ such competent help and personnel
as it shall deem necessary for the safe operations and management of the facility.
11.
In the event either party defaults in the performance of any of its obligations under
this agreement, and such default continues uncorrected for thirty (30) days after written
notice from the other party of the particular default, said notice being given by registered
mail, return receipt requested, addressed to the defaulting party at its address as
hereinafter set forth, thereupon, at the sole election of the non-defaulting party, this
agreement may be terminated. City shall have a right of re-entry and operation of the
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facility upon any termination.
12.
All notices required to be given hereunder by City to Yacht Club shall be in writing
and delivered by registered mail, return receipt requested, and addressed to Yacht Club
as follows:
All notices required to be given by Yacht Club to City shall be similarly given,
address to City as follows:
City Manager
City of Beaumont
P. O. Box 3827
Beaumont, TX 77704
Provided that either party may, by notice in writing to the other, designate any
additional or alternative address to which such notices shall be given.
13.
This agreement shall be deemed to be made and shall be performable in Jefferson
County, Texas and shall be construed in accordance with the laws of the State of Texas.
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IN WITNESS WHEREOF, the parties hereto have executed this agreement on the
day of 9
BEAUMONT YACHT CLUB, INC.
By:
ATTEST:
CITY OF BEAUMONT
By:
Ray Riley
City Manager
ATTEST:
City Clerk
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Exhibit "A"
WITNESSETH :
City does, by these presents, lease, let and demise unto Yacht Club the following
described property, to wit:
BEING a tract of land of approximately 30.18 acres out of the
W. H. Hodges Survey and the James Drake Survey, in the City
of Beaumont, Jefferson County, State of Texas, and being more
particularly described by metes and bounds as follows:
BEGINNING at the intersection of the north right-of-way line of
the Interstate Highway 10, with the left ascending bank of the
water's edge of the Neches River;
THENCE in a northeasterly direction following the left ascending
bank of the water's edge of the Neches River up said river with its
meanderings one thousand eight hundred (1800') feet more or less,
to a point lying one thousand six hundred fifty (1650') feet
perpendicularly distant from the said north right-of-way line of
Interstate Highway 10;
THENCE west along a line parallel with and one thousand six
hundred fifty (1650') feet distant from the said north right-of-way
line of Interstate Highway 10, one hundred eighty (180') feet more
or less.to a point'for corner;
THENCE in a southwesterly direction one hundred fifty (150') from .
and parallel to the left ascending bank of the Neches River a distance
of seven hundred (700') feet more or less, to a point for corner, said
point being one thousand (1000') feet perpendicularly distant from the
north right-of-way line of Interstate Highway 10;
THENCE west along a line one thousand (1000') feet from and
parallel to the said north right-of-way of Interstate Highway 10 a
distance of one thousand two hundred thirty (1230') feet to a point
thirty (30') feet east of the centerline of the old garbage dump road;
THENCE in a southerly direction thirty (30') feet from and parallel
to the old garbage dump road a distance of one thousand ten (1010')
feet more or less to its point of intersection with the north line of
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Interstate Highway 10;
THENCE east along the said north right-of-way line of Interstate
Highway 10 to one thousand fifty (1050') feet more or less to the
PLACE OF BEGINNING:
SAVE AND EXCEPT out of the above-described property, a strip
of land one hundred fifty (150') feet wide from the water's edge
back one hundred fifty (150') feet more or less to west line of the
north prong of said lease tract; the centerline of said strip being
one thousand two hundred fifty (1250') feet from the north line of
Interstate Highway 10 measured along the left ascending bank of
the Neches River.
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Exhibit "B"
Beaumont Yacht Club
Improvement Master Plan
ESTIMATED
COST
1. SHEET PILING RETAINING WALLS
A. 120" lin. ft. entry cut........................................................... $ 36,000
B. 500 lin. ft. river edge (entry to galley slip).......................... $ 150,000
C. Clean entry to 5' depth at low tide...................................... $ 10,000
Sub Total $ 196,000
2. GAS DOCKSIDE WALKWAY AND TEMPORARY DOCKING AREA
A. Install 325 ft. retaining wall................................................. $ 26,000
B. Install 325 ft. 8' treated walk...................:........................... $ 20,000
C. Install 5 new finger piers..................................................... $ 4,000
Sub Total $ 50,000
3. WEST SIDE WALKWAY AND TEMPORARY DOCKING AREA
(LAUNCH RAMP AREA)
A. Enhance bank 325 ft. or retaining wall /walk....................... $ 10,000
B. 325 ft. retaining wall............................................................. $ 26,000
C. 325 ft. 8' treated walkway..................................................... $ 20,000
D. 5 new finger piers 3x 30 .......... $ 5,000
Sub Total $ 61,000
4. REPLACE OLD WET STORAGE STALLS NOS. W-1 THROUGH W-24
A. Dredge approximately 1000 cubic yards............................... $ 8,000
B. Demolish existing wet stalls.................................................. $ 10,000
C. 25 new stalls with 13 storage sheds and 10' wide walkway.. $ 270,000
D. 360 ft. retaining wall.............................................................. $ 18,000
Sub Total $ 306,000
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Exhibit "B" Con't.
Beaumont Yacht Club
improvement Master Plan
ESTIMATED
COST
5. CONSTRUCT 20 (32' X 11') DRY STALLS.......................................... $ 50,000
Sub Total $ 50,000
Sub Total Items 1-5 $ 663,000
Plus 10% Architect Fee.................................................................. $ 66,300
TOTAL $ 729,300
ContingencyFund.......................................................................... $ 120,700
GRAND TOTAL $ 850,000
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