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#3 Authorize golf facility use agreement with The First Tee of South Central Wisconsin (File Res. #2012-908)ADMINISTRATIVE SERVICES MEMORANDUM April 16, 2012 TO: City Council FROM: Jacob J. Winzenz, Dir. of Admin. Services/Assistant City Manager SUBJECT: Action on a Proposed Resolution Authorizing the City Manager to enter into a Golf Facility Use Agreement with Madison Metro Youth Golf Initiative, Inc. d/b/a The First Tee of South Central Wisconsin (File Res 2012-908) Summary In 2010 several companies toured our golf facilities as part of the process for selecting a new management company. Several of these companies commented on Blackhawk Golf Course and how this would be an ideal location for junior programming due to the relatively short length of the course and adjacent practice facility. In addition, one of the long-term strategies to reduce the General Fund subsidy of the golf courses is to increase play by reaching out to populations that do not currently golf, such as juniors. In the spring of this year Steve Loomis, General Manager at the golf courses, contacted The First Tee about establishing a program in Janesville. A local advisory board has been established and three (3) meetings have occurred to discuss becoming an affiliate of The First Tee of South Central Wisconsin. File Resolution 2012-908 authorizes the City Manager to enter into a Golf Facility Use Agreement with The First Tee of South Central Wisconsin to bring The First Tee program to Janesville. Staff Recommendation The Director of Administrative Services/Assistant City Manager recommends that the City Council adopt File Resolution 2012-908. Other than providing discounted greens fees to program participants there will be no cost to the City of Janesville. City Manager’s Recommendation The City Manager recommends approval. Background In 2010 several companies toured our golf facilities as part of the process for selecting a new management company. Several of these companies commented on Blackhawk Golf Course and how this would be an ideal location for junior programming due to the relatively short length of the course and adjacent practice facility. In addition, one of the long-term strategies to reduce the General Fund subsidy of the golf courses is to increase play by reaching out to populations that do not currently golf, such as juniors. One of the most well- known junior programs nationally is The First Tee The First Tee was established by the World Golf Foundation in 1997 as an initiative to create affordable access for those not previously exposed to the game of golf. The program has evolved into a leading youth development organization teaching life skills and character education through the game of golf. Since 1997 The First Tee has introduced the game of golf and its values to over 2.9 million participants and established over 1,100 affiliate courses that offer access and reduced rates for participants. Participants in The First Tee program receive life skills education and learn to appreciate diversity, introduce themselves, manage emotions, plan for the future, resolve conflicts, and set step-by-step goals. Throughout its educational programming The First Tee emphasizes nine (9) core values including honesty, integrity, sportsmanship, respect, confidence, responsibility, perseverance, courtesy, and judgment. In the spring of this year Steve Loomis, General Manager at the golf courses, contacted The First Tee about establishing a program in Janesville. A local advisory board has been established and three (3) meetings have occurred to discuss becoming an affiliate of The First Tee of South Central Wisconsin. One of the requirements to bring The First Tee to Janesville is entering into a Golf Facility Use Agreement. Analysis The proposed Golf Facility Use Agreement authorizes The First Tee of South Central Wisconsin to offer programming at Blackhawk and Riverside golf courses. Blackhawk Golf Course will initially be the primary location, but the Agreement covers both courses so that as golfers develop we can offer The First Tee programming at Riverside as well. The City is not committed to any additional expenses as a result of offering the programming, but it does commit the City to offering discounted greens fees for program participants. All costs associated with offering The First Tee program in Janesville will be paid through participant fees and donations. Included within these fees will be costs for the instructor(s), greens fees, golf clubs, refreshments, lunch, and snacks. 2 RESOLUTION NO. 2012-908 A resolution authorizing the City Manager to enter into a Golf Facility Use Agreement with Madison Metro Youth Golf Initiative, Inc. d/b/a THE FIRST TEE OF SOUTH CENTRAL WISCONSIN WHEREAS , Madison Metro Youth Golf Initiative, Inc., a Wisconsin nonprofit corporation, doing business as The First Tee of South Central Wisconsin (the “Chapter”), desires to bring The First Tee program to Janesville, and; WHEREAS, the City of Janesville (the “City”), is the owner of certain golf facilities located at 2100 Palmer Drive (Blackhawk Golf Course) and 2100 Golf Course Road (Riverside Golf Course) (the “Facilities), and; WHEREAS , The First Tee is a national organization with more than 1,100 affiliate relationships with golf courses whose mission is “to impact the lives of young people by providing educational programs that build character, instill life-enhancing values and promote healthy choices through the game of golf”, and; WHEREAS , The First Tee program introduces participants to the nine (9) core values of honesty, integrity, sportsmanship, respect, confidence, responsibility, perseverance, courtesy, and judgment, and; WHEREAS, since 1997 The First Tee has introduced the game of golf and its values to more than five (5) million participants, and; WHEREAS , the City desires that such programming be offered at Blackhawk and Riverside golf courses, and; WHEREAS , the Common Council hereby finds that this Golf Facility Use Agreement is in the best interests of, and benefit to, the City of Janesville. NOW, THEREFORE, BE IT RESOLVED , by the Common Council of the City of Janesville, that they hereby authorize and direct the City Manager and/or his designee, to enter into the Golf Facility Use Agreement with Madison Metro Youth Golf Initiative, Inc. d/b/a THE FIRST TEE OF SOUTH CENTRAL WISCONSIN on behalf of the City of Janesville, as the City Manager may deem necessary or desirable to effectuate the intent of this resolution. BE IT FURTHER RESOLVED , that the City Manager and his designees may, from time to time, negotiate, draft, amend, execute and enter into such changes and other documents to the property acquisition documents, contracts and agreements and take such other action as the City Manager may deem necessary or desirable to effectuate the intent of this resolution. RESOLUTION 2012-908 PAGE 2 ADOPTED: Motion by: Second by: APPROVED: Councilmember Aye Nay Pass Absent Dongarra-Adams Farrell Eric J. Levitt, City Manager Kealy Liebert ATTEST: Severson Steeber Voskuil Jean Ann Wulf, City Clerk-Treasurer APPROVED AS TO FORM: Wald Klimczyk, City Attorney Proposed by: City Manager’s Office Prepared by: City Manager’s Office 15 Page of GOLF FACILITY USE AGREEMENT Between the City of Janesville and the Madison Metro Youth Golf Initiative, Inc. d/b/a THE FIRST TEE OF SOUTH CENTRAL WISCONSIN (the “Chapter”) THIS GOLF FACILITY USE AGREEMENT (the “Agreement”), entered into by and between the Madison Metro Youth Golf Initiative, Inc., a Wisconsin nonprofit corporation, doing business as The First Tee of South Central Wisconsin (the “Chapter”), and the City of Janesville, a municipal corporation (the “City”), is effective as of the date by which all parties have signed hereunder. WHEREAS,the City is the owner of the golf facilities at Blackhawk Golf Course, located at 2100 Palmer Drive; and Riverside Golf Course, located at 2100 Golf Course Road, in the City of Janesville, Rock County, Wisconsin (the “Golf Facilities”); WHEREAS, the Chapter is a licensee of The First Tee, a division of World Golf Foundation, Inc. (“The First Tee”), pursuant to which the Chapter is responsible for introducing the game of golf to young people in Janesville, Wisconsin and the surrounding area by combining affordable access to golf together with The First Tee Life Skills brand of curriculum which emphasizes golf's unique ability to instill and develop essential values such as honesty, integrity, sportsmanship, self-discipline, respect and a solid work ethic, and to give those young people the confidence and skills to pursue broader goals in life; and WHEREAS, the Chapter desires to establish The First Tee Life Skills Education Program (the “First Tee Program” or the “Program”) at the Golf Facilities, and the City is willing to provide the Chapter access to and use of its Golf Facilities for the Program in accordance with the terms and provisions of this Agreement. NOW, THEREFORE,in consideration of the mutual covenants and agreements contained herein below, the receipt and sufficiency of which is hereby acknowledged, the City and the Chapter agree and covenant as follows: 1. City agrees to provide the Chapter access to and use of the Golf Facilities for The First Tee Program participants (“Program Participants” or “Participants”). In particular, the Chapter’s use of the Golf Facilities shall include, but not be limited to the following: (a) up to eight (8) rounds of golf at the golf course for each qualified Program Participant wishing to obtain certification under the Program (rounds of golf will be defined as either nine or eighteen holes of golf depending on the level of certification being sought by the Participant); and (b) green fees for the golf course for rounds played by Program Participants at an appropriate discounted price and time of day as agreed to by the City and the Chapter. Green fees and range ball fees will be paid by Program Participants before play or otherwise will be subsidized by the Chapter or by a third party. Such green fees and range ball fees shall not be the property of the Chapter. The City agrees to set a fee for greens fees that will not exceed the rate in effect for High School Golf 25 Page of Programs. All fees subsidized by the Chapter shall be paid in full within thirty (30) days of program completion. 2. City further agrees to permit access to and use of the Golf Facilities to the Chapter in order that the Chapter may: (i) provide programming at the Golf Facilities; (ii) organize the scheduling of all programming for Program Participants; (iii) coordinate the certification process for all interested Participants; (iv) prepare youth participants for The First Tee’s National Life Skills Academy or other Participant opportunities, as applicable; (v) coordinate all documentation for Participants eligible for college scholarships; (vi) and coordinate all necessary transportation for Participants, if required. The Chapter and Kemper Sports will use ongoing best efforts to secure donations of golf equipment and volunteers to assist with golf instruction, mentoring, fundraising events and other necessary tasks volunteers can complete. The Chapter may also provide and administer The First Tee Life Skills curriculum at other locations in Janesville and South Central Wisconsin to reach out to young people living near other golf courses. 3. Chapter and City will work cooperatively to schedule the Program hours of operation at the Golf Facilities. In determining reasonable access to and use of the Golf Course, the parties will consider, among other things, the Program’s desire to fully integrate Chapter Participants into the rhythm of play of the other patrons at the Golf Facilities. 4. The initial term of this Agreement shall begin on May 1, 2012 and shall continue until May 31, 2026. This Agreement shall automatically renew for two (2) additional five-year renewal terms. Upon written notification no later than September 1, this agreement may be terminated without cause by either party effective January 1 of the following year. 5. The Chapter shall pay to City, as a usage fee, the sum of $1.00 per year. 6. The Chapter, through its advisory board in Janesville, shall provide all operational funds necessary for all Chapter activities at Blackhawk or Riverside facilities, except as provided herein. City shall pay the cost of all utilities serving the Golf Facilities. City shall pay all maintenance and management costs associated with operating the Golf Facilities. City may assist the Chapter with applying for grants from funding sources or conducting fundraising events to help offset the financial responsibilities of the Chapter. 7. Chapter may display such Chapter logos and marks at the Golf Facilities in recognition of the Golf Facilities as The First Tee facility and permit the Chapter to comply with all requirements imposed upon the Chapter by The First Tee, provided that the City retains approval authority for the display of such logos and marks, which approval shall not be unreasonably withheld, conditioned or delayed. The use of such logos and marks is carefully circumscribed in the Chapter License Agreement between the Chapter and The First Tee. The City may promote and market Blackhawk Golf Course as “The First Tee of South Central Wisconsin – Janesville” during the term of this agreement. 35 Page of 8. The Chapter shall be liable to and hereby agrees to indemnify, defend and hold harmless the City of Janesville, and its officers, officials, agents, and employees against all loss or expense (including liability costs and attorney's fees) by reason of any claim or suit, or of liability imposed by law upon the City or its officers, officials, agents or employees for damages because of bodily injury, including death at any time resulting therefrom, sustained by any person or persons or on account of damages to property, including loss of use thereof, arising from, in connection with, caused by or resulting from the Chapter’s acts or omissions, or the Chapter’s contractors or subcontractors acts or omissions, in the performance of this agreement. 9. The Chapter will insure itself and require all contractors and subcontractors that perform services at the Golf Facilities to insure themselves, as indicated, against the following risks to the extent stated below. The Chapter shall not commence any activity under this Agreement, nor shall the Chapter allow any Contractor or Subcontractor of the Chapter to commence activity under this Agreement, until the insurance required below has been obtained and corresponding certificate(s) of insurance have been approved by the City Director of Administrative Services. Commercial General Liability The Chapter shall procure and maintain during the life of this contract, Commercial General Liability insurance including, but not limited to bodily injury, property damage, personal injury, and products and completed operations (unless determined to be inapplicable by the Director of Administrative Services) in an amount not less than $1,000,000 per occurrence. This policy shall also provide contractual liability in the same amount. The Chapter’s coverage shall be primary and list the City of Janesville, its officers, officials, agents and employees as additional insureds. The Chapter shall require all contractors and subcontractors under this Agreement (if any) to procure and maintain insurance meeting the above criteria, applying on a primary basis and listing the City of Janesville, its officers, officials, agents and employees as additional insureds. Worker’s Compensation The Chapter shall procure and maintain during the life of this contract statutory Workers’ Compensation insurance as required by the State of Wisconsin. The Chapter shall also carry Employers Liability limits of at least $100,000 Each Accident, $100,000 Disease – Each Employee, and $500,000 Disease – Policy Limit. The Chapter shall require all contractors and subcontractors under this Contract (if any) to procure and maintain such insurance, covering each contractor and subcontractor. Acceptability of Insurers . The above-required insurance is to be placed with insurers who have an A.M. Best rating of no less than A- (A minus) and a Financial Category rating of no less than VII. 45 Page of Proof of Insurance, Approval . The Chapter shall provide the City with certificate(s) of insurance showing the type, amount, class of operations covered, effective dates, and expiration dates of required policies prior to commencing activities under this Agreement. The Chapter shall provide the certificate(s) to the City’s representative upon execution of the contract, or sooner, for approval by the City Director of Administrative Services. The Chapter shall provide copies of additional insured endorsements or insurance policies, if requested by the City Director of Administrative Services. The Chapter and/or Insurer shall give the City thirty (30) days advance written notice of cancellation, non-renewal or material changes to any of the above- required policies during the term of this Agreement. 10. Neither party may assign its rights under the Agreement without the express written consent of the other party. This Agreement shall be governed by Wisconsin law and shall be binding upon and inure to the benefit of the Chapter, City, and their duly authorized successors and assigns. This Agreement shall not be modified or amended except by a writing signed by all parties. This agreement constitutes the entire agreement of the parties and supersedes all prior written and oral agreements and understandings related to the subject matter herein. IN WITNESS WHEREOF, the Parties hereto have caused this Agreement to be executed by their proper officers on the day and year first above written. FOR THE CITY OF JANESVILLE ____________________________________ ______________________________ Eric J. Levitt, City Manager Date ____________________________________ ______________________________ Jean Ann Wulf, City Clerk-Treasurer Date Countersigned: Approved as to form: ____________________________________ ______________________________ Wald Klimczyk, City Attorney Date 55 Page of FOR MADISON METRO YOUTH GOLF INITIATIVE, INC.,doing business as The First Tee of South Central Wisconsin ____________________________________ ______________________________ By: John Flesch, Chairman of the Board Date