HomeMy WebLinkAboutSmoovies Concession/Lease Agreement Pasco Softball ComplexCITY OF PASCO
CONCESSION/LEASE AGREEMENT
Pasco Softball Complex
1. PARTIES. This Lease Agreement (Agreement) is made and entered into as of this
3d day of jQhuatr� 2017, by and between the City of Pasco, a municipal corporation (City)
andY1ow�es (Concessionaire).
1.1 The following are the name of the contact person and the mailing address of the City and
the Concessionaire that are to be used for any official communications relating to this
agreement:
CITY
City of Pasco, Recreation Services
Attn. Brent Kubalek
PO Box 293
Pasco, WA 99301
CONCESSIONAIRE
Sm nov �-es
I h Uo M eltclovv i I s r.
Whe-g35Z
2. TERM. This Agreement shall commence upon execution, and unless terminated for a
breach or as provided herein, shall continue in full force and effect through December 31, 2017.
3. PREMISES. City hereby leases to Concessionaire and Concessionaire hereby leases and
takes from City those certain real properties at the Pasco Softball Complex in the City of Pasco, County
of Franklin, State of Washington. The leased premises consists of approximately 570 square feet, more
or less, in the Pasco Softball Complex office/restroom/concession building (referred to as the "PSC
Premises"), together with all improvements thereon and appurtenances thereto, as shown in the
attached Exhibit "A".
4. RENT. Monthly rent shall be payable to the City by the Concessionaire in the amount of
$487.42 with an additional $62.58 leasehold excise tax each month according to the following
operating season:
• Pasco Softball Complex Operating Season: March — October
NOTE: In the event that an individual month within the stated season should have 3 or fewer
tournament days, then the monthly rent shall be reduced by $200 and the leasehold excise tax shall be
reduced accordingly making the rent $287.42 and the leasehold excise tax $36.90 for that given month.
4.1 Monthly rent payments shall be payable on or before the 10th day of each month of the
Term. Rent shall be payable to City at the address shown above, or to such other address as City may
designate by written notice as provided herein, without demand and without deduction, setoff or
counterclaim.
4.2 Leasehold Tax. The leasehold excise tax specified by this Section 4, is payable in
accordance with Chapter 82.28A RCW (the "leasehold tax"). Concessionaire shall pay the rent and
leasehold tax to the City and City will forward to the State of Washington, as required by law, the
leasehold tax amount.
4.3 Rental Deposit: The Concessionaire will pay a $200 rental deposit, due at time of first
month's rent. This deposit will be held to the end of the season and then returned less any costs
incurred due to damages. Should the contract be extended for an additional year, the deposit will be
held and applied to the following year.
5. CONCESSION RIGHT. Concessionaire shall have the exclusive right during scheduled
softball or other events, subject to payment of the concession compensation and the provisions set forth
herein, to sell food and non-alcoholic beverages at the Premises.
5.1 Concession Equipment. Except as specifically provided by this agreement, Concessionaire
shall supply, at its own expense, all equipment, fixtures, supplies, staff and other items required or
necessary to provide concessions to patrons of the Premises.
5.2 Concessionaire is required to use adequate electrical equipment. If Concessionaire supplies
any electrical equipment that overloads the electrical system capacity in the Premises, Concessionaire
shall, at its own expense, (but only with prior consent of the City) make whatever changes are
necessary to meet the applicable electrical code.
5.3 If Concessionaire declines to provide concession service to a non -softball event at the Pasco
Softball Complex, the City may permit another entity to sell concessions from a portable concession
stand brought into the Pasco Softball Complex for such purpose.
6. CONCESSION RIGHT COMPENSATION. Exclusive food and beverage service
concession at the Pasco Softball Complex shall be included as part of the rental payment as laid out in
Section 4.
6.2 Reports. Concessionaire shall provide to City with each monthly concession payment, an
itemization of its gross receipts for the month, listing separately food, beverage and vending machine
sales, any other general product sales category conducted on the premises, and year to date totals in
each category and total gross receipts.
Example:
June Food Sales. $
June Beverage Sales. $
June Machine Sales: $
...Etc.
Less Sales Tax. - $
YTD Food Total: $
YTD Beverage Total. $
YTD Machine Sales. $
Less YTD Sales Tax. - $
June Gross Receipts. $ YTD Gross Receipts: $
7. DEFINITION OF GROSS RECEIPTS. For the purposes of this agreement, the term
"gross receipts" shall mean the total sum of all sales made at or from the designated premises, whether
for cash or on credit, less the amount of any sales tax or other direct consumer tax which may
specifically be paid by the purchaser or customer at the time of purchase or payment, and including but
not limited to orders taken at the premises but filled elsewhere and orders taken elsewhere but filled at
the premises.
8. USE OF LEASED PREMISES. Concessionaire agrees that the leased premises shall be
used by the Concessionaire exclusively for food and non-alcoholic beverage service and associated
office use. Such use shall conform with applicable city ordinances and state and federal laws. No other
usage of the Premises shall be allowed unless prior written consent is obtained from the Pasco City
Manager which shall be granted or not granted at the absolute discretion of the city. Concessionaire
may not sublet any or all of the premises without prior written approval from the Pasco City Manager.
9. DAYS AND TIME OF OPERATION. Concessionaire shall provide food and beverage
services from the designated premises as follows:
9.1 Pasco Softball Complex — Service shall be provided up to seven (7) days a week and
during the hours that the Softball Complex is open for scheduled play. Scheduled play shall mean
school, league and tournament play as authorized by the Recreation Services Division of the City. The
softball complex will normally be scheduled March through October. Concessionaire may provide such
services for additional times and hours at its discretion.
10. OTHER CONCESSIONAIRE RESPONSIBILITIES. hi addition to providing the
concession services described above, Concessionaire shall provide for the following:
10.1 To lock and unlock the restroom facility at the softball complex for each day of scheduled
operation. Coordination of this duty should be with the facility supervisor (Charlie 509-987-9087).
10.2 To assist in litter pick-up throughout the complex at the close of each day. Especially
disposing of all trash produced as part of providing concession service and in the area immediately
surrounding the Concession Premises.
10.3 To negotiate with the City's selected soft drink vendor for the beverages it shall offer for
sale. Coca-Cola is the selected soft drink vendor through February, 2025.
10.4 To present its employees as neat, clean and professional with clothing or identification
which distinguishes them as employees of the Concessionaire.
10.5 To provide for City's review and secure the City's approval of the products and prices that
it proposes to offer to patrons of the Premises. City's approval shall not be unreasonably withheld.
11. CITY PROVIDED IMPROVEMENTS. City shall install at its sole expense, the site
improvements as listed on Exhibit `B", attached hereto.
12. CONCESSIONAIRE PROVIDED EQUIPMENT. Concessionaire shall provide, at its
sole expense, the equipment listed on Exhibit "C". Cash registers shall be sealed and so designed as
to show the customer the amount of the sale and to record accurately all the daily and monthly
total gross receipts. Such cash registers shall be available to City at any reasonable time for
inspection.
13. UTILITIES, REPAIRS AND MAINTENANCE.
13.1 City shall provide, at its own expense, water and sewer service and solid waste disposal to
the Premises. City shall also provide janitorial services for the adjacent restroom facility at the Softball
Complex. City shall also maintain and repair the Premises, except for maintenance or repairs required
as a result of Concessionaire's negligence. Concessionaire shall give City access to the Premises at all
reasonable times, without charge or diminution of rent, to enable City to examine the same and to make
such repairs, additions and alterations as City may deem advisable or is required hereunder to
accomplish.
13.2 Concessionaire shall pay, in addition to rent, $245.00 per month to City during the months
of March through October to offset a portion of the expense of electrical service for the PSC Premises
and restroom facility. Concessionaire shall also provide for janitorial services for the Premises, not
including the restrooms or umpire/city staff office area.
14. CITY'S REPRESENTATIONS, WARRANTIES AND COVENANTS. City hereby
represents and warrants to Concessionaire that it has the full right, power and authority to lease the
Premises to Concessionaire. Except as specifically set forth herein, neither City nor its agents have
made any representations with respect to the Premises. No rights, easements, or licenses are acquired
by Concessionaire by implication or otherwise except as expressly set forth in the provisions of this
Agreement. The taking of possession of the leased property by the Concessionaire shall be conclusive
evidence that the Premises were in good condition at the time possession was taken.
CONCESSIONAIRE ACCEPTS THE PREMISES AS -IS.
15. QUIET ENJOYMENT. City agrees that so long as Concessionaire observes and performs
all of the agreements and covenants required of it hereunder, Concessionaire shall peaceably and
quietly have, hold and enjoy the Premises for the Term without any encumbrance, interference or
hindrance by City, its agents or employees.
16. TAXES. Concessionaire shall pay all taxes assessed against and levied upon
Concessionaire's trade fixtures, and all other personal property of Concessionaire contained in or
around the Premises.
17. INDEMNIFICATION / HOLD HARMLESS. Concessionaire shall defend, indemnify,
and hold harmless the City, its officers, officials, employees and volunteers from and against any and
all claims, suits, actions, or liabilities for injury or death of any person, or for loss or damage to
property, which arises out of Concessionaire's use of Premises, or from the conduct of
Concessionaire's business, or from any activity, work or thing done, permitted, or suffered by
Concessionaire in or about the Premises, except only such injury or damage as shall have been
occasioned by the sole negligence of the City.
18. INSURANCE. The Concessionaire shall procure and maintain for the duration of the
Agreement, insurance against claims for injuries to persons or damage to property which may arise
from or in connection with the Concessionaire's operation and use of the leased Premises.
18.1 Minimum Scope of Insurance. Concessionaire shall obtain insurance of the types
described below:
(a) Commercial General Liability insurance shall be written on Insurance Services Office (ISO)
occurrence form GC 00 01 and shall cover premises and contractual liability. The City shall be named
as insured on Concessionaire's Commercial General Liability insurance policy using ISO Additional
Insured Managers or Lessors of Premises Form CG 20 11 or a substitute endorsement providing
equivalent coverage.
(b) Property insurance shall be written on an all risk basis.
18.2 Minimum Amounts of Insurance. Lessee shall maintain the following insurance limits:
(a) Commercial General Liability insurance shall be written with limits no less than $1,000,000
each occurrence, $2,000,000 general aggregate.
(b) Property insurance shall be written covering the full value of Concessionaire's property and
improvements with no coinsurance provisions.
18.3 Other Insurance Provisions. The insurance policies are to contain, or be endorsed to
contain, the following provisions for Commercial General Liability insurance:
(a) The Concessionaire's insurance coverage shall be primary insurance with respect to the
City. Any Insurance, self-insurance, or insurance pool coverage maintained by the City shall be excess
of the Concessionaire's insurance and shall not contribute with it.
(b) The Concessionaire's insurance shall be endorsed to state that coverage shall not be
cancelled by either party, except after thirty (30) days prior written notice by certified mail, return
receipt requested, has been given to the City.
18.4 Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M. Best
raring of not less than A: VII.
18.5 Verification of Coverage. Concessionaire shall furnish the City with original certificates
and a copy of the mandatory endorsements, including but not necessarily limited to the additional
insured endorsement, evidencing the insurance requirements of the Concessionaire.
18.6 Waiver of Subrogation. Concessionaire and City hereby release and discharge each other
from all claims, losses and liabilities arising from or caused by any hazard covered by property
insurance on or in connection with the Premises. This release shall apply only to the extent that such
claim, loss or liability is covered by insurance.
18.7 City's Property Insurance. City shall purchase and maintain during the term of the
Agreement, all-risk property insurance covering the Premises for their full replacement value without
any coinsurance provisions.
19. DAMAGE OR DESTRUCTION; CONDEMNATION. If the Premises are damaged or
destroyed in whole or in part; or if the Premises or a substantial portion thereof were taken by
condemnation or under the power of eminent domain, City may, at its option, elect to terminate this
tenancy.
20. SURRENDER AT EXPIRATION. Upon expiration of the Agreement term or earlier
termination on account of default, Concessionaire shall surrender the Premises in the same condition as
at the commencement of the Agreement, reasonable wear and tear expected.
21. DEFAULT. Concessionaire shall be in default of this Agreement if it fails to comply with
any term or condition or fulfill any obligation of the Agreement. In the event of a default, this
Agreement may be terminated at the option of City by written notice to Concessionaire. Whether or
not the Agreement is terminated by the election of Concessionaire or otherwise, City shall be entitled to
recover damages from Concessionaire and City may retake possession of the Premises, and reserves
any other remedy available to the City under the applicable law.
22. MISCELLANEOUS.
22.1 Environmental Compliance By Concessionaire. Concessionaire shall not cause or permit
any Hazardous Material to be brought upon, kept or used in or about the Premises.
22.2 Signs. Concessionaire shall not erect signage without City's prior written consent.
22.3 Non -waiver. Waiver by either party of strict performance of any provision of this
Agreement shall not be a waiver or of prejudice to the party's right to require strict performance of the
same provision or any other provision in the future.
22.4 Notices. Any notice required or permitted under this Agreement shall be deemed to have
been given when actually delivered or 72 hours after deposited in the United States mail as certified
mail addressed to the address first given in this Agreement or to such other address as may be specified
from time to time by either of the parties in writing.
22.5 Time of Essence. Time is of the essence of the performance of each of the obligations
under this Agreement.
22.6 Recording of Agreement. This Agreement shall not be recorded.
22.7 Concessionaire shall observe reasonable Rules and Regulations established and amended
by City for the Premises from time to time upon 30 days advance, written notice from City to
Concessionaire. Concessionaire shall have a reasonable opportunity to comment on proposed rules and
regulations.
22.8 Assignment. Concessionaire shall not assign, transfer or grant to any third party the right
to occupy the Premises or to sell food or beverages as granted under this Agreement.
22.9 Alterations, Improvements And Additions. Concessionaire shall make no alterations,
improvements or additions to the Premises without prior written approval of the City. Concessionaire
shall not add furniture or other items to the Premises, except for furnishings in the interior of the
Premises, which are reasonably necessary for Concessionaire to conduct its permitted activities.
22.10 Compliance with Laws, Ordinances and Regulations. Concessionaire shall comply with
all laws, ordinances and regulations of any governmental agency or public authority having jurisdiction
over the Premises or Concessionaire's use thereof.
22.11 Responsible Party. Following is the name, phone, email, and mailing address of the
party which may be contacted in an emergency (24 hours per day; 7 days per week availability):
Organization/Business \"mc)pV 12S Contact Name: Oarol U Vl Navi i
Phone Number OS— 4W Email CA G6/L701COV I eS, Cep✓Vt
I1
�^
Address 100 Meadoii Lhll S -A-V'e
City1 - pa&lmd State Vtii'� Zip T1352
IN WITNESS WHEREOF, the parties hereto have executed or caused this instrument to be
executed as of the day and year first above written.
CITY OF ASCO
Rick Terway,
A&CS Department Director
Date: / 0� 1/ 7
CONCES=
Ca ro I yh
5 r'vlOd V � e,S
Date: ��
EXHIBIT "A"
SITE DIAGRAMS/MAPS
• PSC PREMISES
EXHIBIT "B"
CITY IMPROVEMENTS
• The City shall not be providing any additional improvements.
EXHIBIT "C"
CONCESSIONAIRE PROVIDED EQUIPMENT
• Chest Feezer(s)
• Point of Sale Hardware and Software
• Ice Cream Freezer
• Shaved Ice Machine
• Coffee/Espresso Machine
• Microwave
• Chili/Cheese Warmer
• Popcorn Machine
• Cotton Candy Machine
• Menu Banners
• Grill/Griddle