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HomeMy WebLinkAboutCOD-069-09CJlari~~gton Loosing ea. way REPORT CORPORATE SERVICES DEPARTMENT Meeting: GENERAL PURPOSE AND ADMINISTRATION COMMITTEE G Date: November 16~h , 2009 ~e~Ol~-~-~d'~ ~ ~ ~~ ~ `~~T ~ I Report #: COD-069-09 File # By-law # °~~d9 ~~~ Subject: RFP2009-12 -Leasing/Operation of Pro-Shops in Municipal Recreation Centres Recommendations: It is respectfully recommended that the General Purpose and Administration Committee recommend to Council the following: 1. THAT Report COD-069-09 be received; 2. THAT the proposal from On the Edge Skate Sharpening be accepted for the leasing of the space available at Garnet B. Rickard Recreation Complex and South Courtice Arena, for a two year term with the option to renew for an additional 5 years pending satisfactory terms for both sides; 3. THAT the Evaluation Committee be authorized to proceed with negotiations for a lease agreement with On the Edge Skate Sharpening on behalf of the Municipality of Clarington to the satisfaction of the Municipality; 4. THAT the Evaluation Committee be authorized to negotiate with Legends New & Used Sporting Goods for South Courtice Pro-shop, as the alternate proponent should negotiations with On The Edge Skate Sharpening fail to produce an acceptable lease agreement; and 5. THAT the attached By-law marked Schedule "C", be approved authorizing the Mayor and the Clerk to execute th~lease agreement which is satisfactory to the Municipality. Submitted by: ~ Reviewed by: ~ ' ""'""L arie Marano, H.B.Sc., C.M.O., nklin Wu, Director of Corporate Services Chief Administrative Officer MM\JDB\sm STREET, CORPORATION OF THE MUNICIPALITY OF CL~ C 3A6 T (905)623-3379 F (905)623-41 REPORT NO.: COD-069-09 BACKGROUND AND COMMENT PAGE2 1. With the ceasing of operation of Municipal run Pro-shops in Municipal Recreation Centres and at the request of Community Services a Request for Proposal (RFP) 2009-12, Leasing/Operation of Pro-Shops in Municipal Recreation Facilities was issued. The intent was to determine what outside interest there was in leasing this space. The RFP was created to solicit from interested parties proposals for leasing of the pro-shop space at Garnet B. Rickard Recreation Complex and South Courtice Arena. The term requested was 5 years with the option to extend for an additional 5 year term. This RFP was publicly advertised. 2. Upon closing, the Municipality of Clarington received two submissions. One submission included the leasing of both offered spaces while the other was an offer to lease only the space offered at South Courtice Arena. Each of the submissions received could be deemed as working and fitting within the vision and objectives of the Municipality for the use of this lease space. Attached as Schedule "B" are summaries of the submissions. 3. Proposed lease rates were similar, as were the leasehold improvements the proponents were proposing. Both submissions were based on a two year initial agreement with the option to extend for an additional 5 year term pending success of the first year. 4. As noted herein, staff are recommending that negotiations take place with On the Edge Skate Sharpening, Courtice. Because the release of RFP details could prejudice the ability to negotiate with the second proponent, the details of the proposals are. provided as a confidential attachment. Release of the submissions at this time will place staff at a disadvantage in the negotiation process not only with the primary proposed tenant but also with the alternate in the event initial negotiations fail. 5. The Evaluation Committee met to review and rank the proposals received. Upon completion of the evaluation, On the Edge Skate Sharpening, Courtice ranked highest. On the Edge has experience and knowledge in this type of business and the proposed business plan fit within the expectation. The proposed operating hours and the services provided are a good fit for the existing hours of operation or use of the facility in general. The recommendation is to try to negotiate a lease with this company first. REPORT NO.: COD-069-09 PAGE3 6. Staff are recommending that the proposal from On the Edge Skate Sharpening be accepted and the Evaluation Committee be authorized to negotiate with On the Edge Skate Sharpening a lease which is satisfactory to both parties. It is further requested that the Mayor and Clerk be authorized to execute an agreement satisfactory to the Municipal Solicitor. 6.1 Should negotiations fail to produce an acceptable lease agreement staff are recommending negotiations with Legends New & Used Sporting Goods as the alternate proponent for the leasing of South Courtice Arena Pro-Shop space provided they remain interested. Concurrence: Director of Community Services Director of Finance Attachments: Attachment 1 -Schedule "A", Summaries of Submissions, Confdential Attachment 2 -Schedule "B", By-Law CONFIDENTIAL REPORTS ✓ G PA REPORT NO. COD-069-09 Attachment Only Resolution#: By-law#: DATE OF REPORT: Schedule "A" — Summary of Lease Rates Schedule "C" THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON BY-LAW 2009- Being a By-law to authorize an agreement between the Corporation of the Municipality of Clarington and On the Edge, Courtice, Ontario, to enter into agreement for the lease space at Garnet B. Rickard Recreation Complex, 2440 King Street West, Bowmanville, Ontario & South Courtice Arena, 1595 Prestonvale Road, Courtice, Ontario to operate afro-shop. THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON HEREBY ENACTS AS FOLLOWS: THAT the Mayor and Clerk are hereby authorized to execute, on behalf of the Corporation of the Municipality of Clarington and seal with the Corporation Seal, a contract between, On the Edge, Courtice, Ontario, and said Corporation; and 2. THAT the contract attached hereto as Schedule "A" form part of this By-law. By-law read a first and second time this day of , 2009. By-law read a third time and finally passed this day of , 2009. Jim Abernethy, Mayor Patti L. Barrie, Municipal Clerk