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Home My WebLink About2012-12-27-Meeting Agenda Commission Meeting Agenda Commission Chamber 12/27/2012 2:00 PM INVOCATION: PLEDGE OF ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA. CONSENT AGENDA (Item 1) PUBLIC SERVICES 1. Motion to direct the Department of Recreation, Parks and Facilities to enter into a lease agreement with Virginia Beach Golf Management to operate the Augusta Municipal Golf Course with the contract being brought back to the committee for approval. (Approved by Public Services Committee December 10, 2012) Attachments ****END CONSENT AGENDA**** AUGUSTA COMMISSION 12/27/2012 AUGUSTA COMMISSION REGULAR AGENDA 12/27/2012 (Items 2-2) LEGAL MEETING A. Pending and Potential Litigation. B. Real Estate. Upcoming Meetings www.augustaga.gov C. Personnel. Commission Meeting Agenda 12/27/2012 2:00 PM RFP 12-206 Operations of the Augusta Municipal Golf Course Department:Recreation, Parks and Facilities Caption:Motion to direct the Department of Recreation, Parks and Facilities to enter into a lease agreement with Virginia Beach Golf Management to operate the Augusta Municipal Golf Course with the contract being brought back to the committee for approval. (Approved by Public Services Committee December 10, 2012) Background:An RFP for the operations of the Augusta Municipal Golf Course was issued on September 20, 2012. The RFP was opened on October 5, 2012. Subsequently, there were three (3) firms that submitted responses in which all three were called in for interviews. Analysis:The item was evaluated by the Department and the evaluation team that included representatives from the following Departments: Recreation, Parks and Facilities; Procurement; Finance; and the Administrator's Office. Staff has initiated negotiations and terms for a final agreement with two firms, one for a lease agreement and one for a management agreement. Both firms have demonstrated their abilities through previous and current golf course operations. Both firms have been vetted, references checked and contact has been made with the two municipal governments that currently have contracts with these firms. Financial Impact:Option 1 would provide for a lease agreement with one firm that would compensate Augusta a total of $250,000 over the ten year lease arrangement (5 year base and a 5 year option). There also would be incentives for the City if gross revenues exceed established revenue projections. The City will be responsible for capital improvements exceeding $5,000, per occurrence in cost. The selected firm will also provide a performance bond in the amount of the terms listed in the lease. Option 2 would provide for a management agreement which would obligate Augusta for all operating expenditures. Total projected revenues and total projected expenditures for the first year of operations would result Cover Memo Item # 1 in a projected net operating loss of $224,000. In addition the firm's management fees would be $7,000/mo. or $84,000 per year. Thus the total impact on the general fund would be $308,000 projected from year one operations. Alternatives:1. Option 1 is to lease the operations of the Augusta Municipal Golf Course to a firm that will be obligated for all expenses associated with this operation and provide rent to Augusta, Georgia of $250,000 over the life of a ten year lease. 2. Option 2 is for a management firm to operate the Augusta Municipal Golf Course at an estimated first year cost of $308,000. This management firm projects that after the first four years of operations, there could be a realized profit of @$70,000. Recommendation:The Recreation Department Director, based on the information provided recommends Opton 1. (Leasing the Operations of the Augusta Municipal Golf Course to Virginia Beach Golf Management, which will be obligated for all expenses associated with this operation and provide rent to the City of Augusta. Funds are Available in the Following Accounts: REVIEWED AND APPROVED BY: Cover Memo Item # 1 REQUEST FOR PROPOSAL – PROFESSIONAL SERVICES Request for Proposals will be received at this office until Friday, October 5, 2012 @ 11:00 a.m. for furnishing: RFP Item #12-206 Management Operations of the Augusta Municipal Golf Course - (The Patch) for Recreation, Parks & Facilities RFPs will be received by: The Augusta Commission hereinafter referred to as the OWNER at the offices of: Geri A. Sams, Director Augusta Procurement Department 530 Greene Street - Room 605 Augusta, Georgia 30901 RFP documents may be viewed on the Augusta Georgia web site under the Procurement Department ARCbid. RFP documents may be obtained at the office of the Augusta, GA Procurement Department, 530 Greene Street – Room 605, Augusta, GA 30901. All questions must be submitted in writing by fax to 706 821-2811 or by email to procbidandcontract@augustaga.gov to the office of the Procurement Department by Wednesday, September 26, 2012 @ 5:00 P.M. No RFP will be accepted by fax, all must be received by mail or hand delivered. The awarded firm shall post a Payment Bond payable to Augusta, Georgia in the amount of 100% of the bid price. A Performance and Fiduciary Bond will be negotiated with the awarded firm. Such bond(s) are due prior to contract execution as a guarantee that goods meet requirements of the contract including timely delivery, performance specifications and warranty requirements. Such bonds will also guarantee quality performance of services and timely payment of invoices to any subcontractors. No RFP may be withdrawn for a period of 90 days after time has been called on the date of opening. Invitation for bids and specifications. An invitation for bids shall be issued by the Procurement Office and shall include specifications prepared in accordance with Article 4 (Product Specifications), and all contractual terms and conditions, applicable to the procurement. All specific requirements contained in the invitation to bid including, but not limited to, the number of copies needed, the timing of the submission, the required financial data, and any other requirements designated by the Procurement Department are considered material conditions of the bid which are not waiveable or modifiable by the Procurement Director. All requests to waive or modify any such material condition shall be submitted through the Procurement Director to the appropriate committee of the Augusta, Georgia Commission for approval by the Augusta, Georgia Commission. Please mark RFP number on the outside of the envelope. Bidders are cautioned that acquisition of RFP documents through any source other than the office of the Procurement Department is not advisable. Acquisition of RFP documents from unauthorized sources places the bidder at the risk of receiving incomplete or inaccurate information upon which to base his qualifications. GERI A. SAMS, Procurement Director Publish: Augusta Chronicle September 20, 2012 cc: Fred Russell Administrator Bill Shanahan Deputy Administrator Ron Houck Recreation, Parks & Facilities Commissioners Augusta, Georgia Attachment number 1 \nPage 1 of 1 Item # 1 VENDORS Attachment B E-Verify # Original 7 Copies Virginia Beach Golf Management 4840 Princess Anne Road Virginia Beach, VA 23462 YES 605267 YES YES Pope Golf 4261 MacLowe Drive Sarasota, FL 34241 YES 465209 YES YES Hampton Golf Clubs 10401 DWD Park Blvd Ste 2130 Jacksonville, FL 32256 YES 475803 YES YES Jerry Pate Design 301 Schubert Drive Pensacola, FL 32504 Paramount Golf Partners 1480 Fayetteville Highway Lewisburg, TN 37091 RFP Item #12-206 Management Operations of the Augusta Municipal Golf Course (The Patch) for Augusta, Georgia - Recreation, Parks & Facilities Department RFP Due: Friday, October 5, 2012 @ 11:00 a.m. SUBMITTED NO BID RESPONSE SUBMITTED NO BID RESPONSE Page 1 of 1 At t a c h m e n t n u m b e r 2 \ n P a g e 1 o f 1 It e m # 1 Evaluation Criteria PTS Hampton Golf Clubs 10401 DWD Park Blvd Ste 2130 Jacksonville, FL 32256 Pope Golf 4261 MacLowe Drive Sarasota, FL 34241 Virginia Beach Golf Management 4840 Princess Anne Road Virginia Beach, VA 23462 Type of Proposal Management Option Management Option Lease Option 1. Proposal Overview 35 24 30 30 2. Professional Qualifications 10 7 9 8 3. Business Plan 25 20 21 20 4. Golf Complex Maintenance 20 16 18 19 5. Vision for the Augusta Municipal Golf Course (The Patch)20 14 17 19 6. Financial Benefit to the Augusta Municipal Golf Course (The Patch)20 12 8 20 7. Environmental Practices 10 4 9 9 8. Proximity to Augusta Within Augusta Richmond County - 10 pts Within the CSRA - 8 pts Within Georgia - 6 pts Within SE United States - 4 pt All Others - 2pt 10 4 4 4 Total 150 99 115 128 Cumulative Evaluation Sheet RFP Item #12-206 Management Operations of the Augusta Municipal Golf Course (The Patch) for Augusta, Georgia - Recreation, Parks & Facilities Department Comments: Attachment number 3 \nPage 1 of 1 Item # 1 Attachment number 4 \nPage 1 of 1 Item # 1 Attachment number 5 \nPage 1 of 4 Item # 1 Attachment number 5 \nPage 2 of 4 Item # 1 Attachment number 5 \nPage 3 of 4 Item # 1 Attachment number 5 \nPage 4 of 4 Item # 1 Attachment number 6 \nPage 1 of 3 Item # 1 Attachment number 6 \nPage 2 of 3 Item # 1 Attachment number 6 \nPage 3 of 3 Item # 1