DISCLAIMER

 

07-0187R


RESOLUTION AUTHORIZING CITY OFFICIALS TO ENTER INTO AN AGREEMENT WITH BERNICK’S PEPSI OF DULUTH, PROVIDING FOR A LEASE AND OPERATING AGREEMENT OF THE PARK POINT BEACH HOUSE BUILDING.

BY COUNCILOR REINERT:

     RESOLVED, that the proper city officials are authorized to execute and implement an agreement for year 2007, with four one-year renewal options, with Bernick’s Pepsi of Duluth, providing for a catering business and building rental operation within the Park Point Beach House Building located at 5000 Minnesota Avenue; said agreement to be substantially in the form of Public Document No. ____________ on file in the office of the city clerk; said monies to be deposited into General Fund 0100, Department/Agency 400, Organization 1812, Revenue Source 4627-01.


STATEMENT OF PURPOSE:  This resolution authorizes a lease agreement between the city and Bernick’s Pepsi of Duluth and provides for a catering business and building rental operation within the Park Point Beach House Building, located at 5000 Minnesota Avenue in Duluth, Minnesota.


This agreement shall be effective for year 2007. According to the agreement, Bernick’s Pepsi will be responsible for facility rental operations during the primary, early, and late seasons, and related inquiries, showings, and bookings year-round. The lease agreement provides the city with 20 percent of total gross receipts from all facility rental operations.


In October of 2006, the city published a request for proposals (RFPs) in the Duluth News Tribune, but received no offers. Then, in December of 2006, the parks and recreation department sent a letter to 11 vendors, inviting them to submit RFPs no later than December 22, 2006. Northwoods Children’s Services and Bernick’s Pepsi, both located in Duluth, were the only two who responded.


This agreement would authorize the city to renew the agreement on an annual basis for five years commencing in 2007 and expiring December 31, 2011.


Requisition Nos. 06-0694 & 07-0295