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4.3 SR 11-06-2023�, Elk s �- River Request for Action To Item Number Ma Tor and CinT Council 4.3 Agenda Section Meeting Date Prepared by Consent A enda NovembeY 6, 2023 oe Stremcha, Assistant Cit�r Admitustrator Item Description Reviewed by ISD #728 2023-2024 Ice Contract Tim Dalton, Multi u ose Facilit�r Su erintendent Reviewed by Cal Pormer, City Administrator Action Requested Approve, byT motion, the ISD #728 2023-2024 Ice Contract as presented. Background/Discussion The cityT and district negotiated a Tentative Agreement (TA) which the district planned to appeal to the Multipurpose FacilityT Advisory Commission (MFAC). District representatives `vere unable to attend the October 9 MFAC meeting and after further discussion a ne`v TA `vas found. The TA �vas for�varded to commissioners for comment with an option of a special meeting prior to the Council review. No concerns `vere raised. The negotiations with ISD #728 were in good faith and time `vas of the essence throughout negotiations. The following is rational for the staff's recommendation to approve the contract as presented: ■ The Council expects the building to operate as an unsubsidized (propertyT tax) enterprise fund. ■ The game rate is less than the MN Squatch `vhen accounting for staff time and game fees. ■ The cit�r and the district have a different tax base with the district serving non-residents of Elk RiveY who benefit from this programing. ■ The cityT-maintained ice rates were significantly below our peers during the construction and pandemic. ■ Staff's goal is to gain revenue certaintyT through ice contracts and negotiate those rates to reflect the operational costs. Ramping up to the break-even level. ■ Inflationaryr costs have hit the city exceptionallyr haYd foY staffing, propertyr/casualtyr insurance and utilities. ■ The game ice contract provides an additional $200.00 per game in revenue and reductions to facilityT staffing commitments for games, creating a more equitable game operation scenario. ■ The 2023-24 practice ice rate is $245.00/hour, a�5.00/hour increase compared to the 2022-23 contract. Financial Impact Creating an equitable agreement with the High School allows the FT Center to keep a balanced budget. Mission/Policy/Goal Responsible for everyT dollar — good stewards Attachments ■ ISD #728 2023-2024 Ice Contract The Elk River Vision A 2a�elcolning co�nlnunity 2a�ith T evolutiona� y and spizzted T esou� cefulness, exceptional se�vice, and coln�nunity engagelnent that encou�ages and ins�iz•es pTo�pe�zty. rowEREo ar �I'1 ���� Update�l• January 2023 FURNITURE AMD THINGS CDM�'IUNITY EVENT CEN'TER CITY OF ELK RIVER PRACTICE iCE FiENTAL CONTRACT ELK RlV�R HICaH SCH�OL Z023-�4 THIS ICE FACILITY USE AGREEMENT (AGREEMEN'I� IS MADE AND ENTERED INTO THIS _ DAY OF , 2023 BET'�XTEEN THE CIT'Y OF ELK RNER, A MINNESOTA MUNICIPAL CORPORATION, HEREIN AFTER REFERRED TO AS (PROVIDER) AND INDEPENDENT SCHOOL DISTRICT 728, HEREIN AFTER REFERRED TO AS (LJSER). PROVIDER AND USER AGREE TO THE FOLLOWING USE OF ICE SKATING FACILITIES WITHIN THE FURNITURE AND THINGS COMMUNIT'Y EVENT CENT'ER (FT CENTER) LOCATED AT 1000 SCHOOL STREET, ELK RIVER, MN 55330 FOR THE PERIOD OF SEPTEMBER 1, 2023, to AUGUST 31, 2024. 1. SCHEDULE OF TINIE: PROVIDER agrees to make ice time available to the USER at the time and dates shown on the attached ice use schedule for the USER. Such schedule may be amended from time to time upon the written agreement of both parties' representatives. 2. 2023-24 Season a. RATES: USER agrees to pay the following rates for FT Center usage: $245/hour b. Estimated number of practice hours reserved: Girls Program 145 hours Boys Program 145 Hours TOTAL HOURS 290 Hours @ $245/hour = $71,050 3. SERVICES: PROVIDER agrees to provide a usable ice surface, secure and clean facilities, and parking facilities for all practice sessions. a. USER shall be responsible for the complete repair of any damage to space within the FTCenter that is damaged while being utilized by USER. 4. PAYMENTS: PROVIDER shall bill USER on a monthly basis by submitting an itemized list of hourly practice and game ice, to the USER.�Upon proper billing and documentation, USER will prompdy pay PROVIDER any required deposits and an amount equal to the number of hours of practice ice usage at the rate agreed to. 5. CANCELLATIONS: PROVIDER may cancel this Agreement for any material default by the USER in terms of this Agxeement. PROVIDER may also reschedule the dates or times of the scheduled ice usage upon five days written notice to the USER. PROVIDER shall not be held responsible for the cancellation of ice time for reasons beyond the reasonable control of PROVIDER, its agents, or employees, such as but not limited to equipment failure, loss of power, severe weather or acts beyond PROVIDER'S control. In the event of such an occurrence, PROVIDER will attempt to reschedule USER'S ice times or USER may cancel and prompdy receive a return of any fees pa.id. 6. ASSIGNMENT: if scheduled ice time cannot be used by the USER, they shall promptly notify the PROVIDER in writing within 14 days and the PROVIDER will attempt to reassign that time to another group. If the time cannot be assigned to another group, the USER will pay the charged fees for their scheduled time. 7. RULES AND REGULATIONS: USER agrees to use the facilities according to the Rules and Regulations of PROVIDER which will be adopted and posted from time to time within the facility. 8. SIGNAGE: USER recognizes that it does not have rights to post any signs without the express written consent of PROVIDER. Any signs so consented to shall conform to and be consistent with the sign usage policy of PROVIDER and be subject to PROVIDER review and approval. 9. LIABILITY: USER acknowledges that PROVIDER has not asserted or accepted any responsibilities for supervision, security or control of USER'S property or activities. USER shall be solely responsible to provide security for its equipment kept on the premises and shall be solely responsible to provide supervision of its players, staff, and spectators, on and off the ice. PROVIDER shall be solely responsible for the action of its employees, agents, and invitees. USER assumes all risks of personal injury arising from its usage of the FTCenter or any part connected or contiguous thereto which result from an act or failure to act on the part of the USER or others over whom it has supervisory responsibility. USER assumes responsibility for damages to the property of PROVIDER arising out of the negligence of USER under its performance of this agreement. PROVIDER will notify the USER of any damages and allow the USER a reasonable opportunity to review the damage before repairs are made. PROVIDER is responsible for the repair or replacement of PROVIDER'S property and will invoice the USER for the damages. USER'S obligation shall be to reimburse PROVIDER for the cost of labor and replacement of like-kind and quality equipment. PROVIDER agrees to indemnify and hold harmless USER from and against all claims, costs, expenses(including attorney fees) and liabilities of whatever nature arising from(i) any negligent or wrongfiil act or omission of PROVIDER, its licensees, agents, or employees; or (u) arising from any accident, injury, including death, or damage to any person or property occurring on the premises and caused by the negligence or 2 other wrongful conduct of PROVIDER, excluding claims arising from USER'S performance under this agreement. This paragraph shall not act as a waiver of any tort liability caps or legal immunities that may e�rist to protect the PROVIDER. USER agrees to indemnify and hold harmless PROVIDER from and against all claims, costs, expenses(including attorney fees) and liabilities of whatever nature arising from (i) any negligent or wrongfiil act of omission of USER, its licensees, agents, or employees; or (u) arising fxom any accident, injury, including death, or damage to any person or property occurring on the premises and caused by the negligence or other wrongful conduct of USER, excluding claims arising from PROVIDER's performance under this agreement. INSURANCE: Both USER and PROVIDER shall maintain liability insurance against claims for bodily injury, death or property damage occurring on or about the FTCenter. Such insurance shall be written on an occurrence basis with a combined single limit of not less than $1,000,000 per occurrence. If the insurance policy is written on a"claims-made basis," the parry will maintain coverage for a minimum of three years past the expiration of this agreement. The retroactive date of the policy shall be ind.icated on the certificate of insurance outlining coverage. In addition, both parties shall name the other parry as an additional insured with respect to its own operations on said policies of insurance. Both parties will maintain all workers' compensation insurance required by law. THIS CONTRACT AND ANY ATTACHED SCHEDULES OR SIGNED ADDENDUMS CONSTITUTES THE ENTIRE AGREEMENT BETWEEN PROVIDER AND USER. THE UNDERSIGNED USER AGREES TO PURCHASE ALL HOURS OUTLINED IN THE ATTACHMENT. NO PROVISION OF THIS AGREEMENT MAY BE CHANGED, WAIVED OR TERMINATED UNLESS DONE IN WRITING AND EXECUTED BY BOTH PROVIDER AND USER. Dated: ��^�7 —Z� USER: B L��' Li/C/ Y• Its: F � �'.��,— �e�� ���f Dated: PROVIDER: CITY OF ELK RNER : : 3 FUFtNiTURE ANO THINGS COMMUNI7Y EVE�+tT CENTER CITY OF ELK RIVER GAh'[E [CE REiVTAL CC)NTRACT ELK RIVER HIGH SCHDOL 2023-�4 This ice facility use agreement (Agreement) is made and entered into this l?— day of ��sb2.t� , 2023 between the City of Elk River, a Minnesota municipal corporation, herein after referred to as (PROVIDER) and District #728 Schools ELK RIVER HIGH SCHOOL, herein after referred to as (USER). PROVIDER and USER agree to the following use of ice skating facilities within the Furniture and Things Community Event Center (FTCenter) located at 1000 School Street, Elk River, MN 55330 for the period of Se�tember 1, 2023, to August 31, 2024. 1. SCHEDULE OF TIlV�: PROVIDER agrees to make ice time available to the USER at the time and dates shown on the attached ice use schedule for the USER. Such schedule may be amended from time to time upon the written agreement of both parties' representatives. 1. Rates: USER and PROVIDER agxee to the following fee arrangement: Base Fee: 2023-24 Season Single Game: $800 Plus 50% of the remaining gate. Double Headers: $1600 Plus 50% of the rema.ining gate. Gate collections will be calculated as follows: Tota1 Gate collected —(minus) Base Fee =(equals) Amount to split. If the total Gate Collected per game does not cover Base Fee Tota1, the FT Center wi]1 receive the full base fee. 2. SERVICES: PROVIDER agrees to provide a usable ice sutface, secure and clean locker facilities, parking facilities and, on the day of games, FT Center seating for spectators as well as one (1) event operations staff to facilitate ticket sales/redemption and one game operations manager. In addition, PROVIDER shall provide appropriate facility/ice maintenance staff; Zamboni driver(s) and needed cleanup/ma.intenance staf£ The USER shall provide time/score keeper(s), penalry box attendant(s), announcers, and a site manager. All USER staffing of games to be reviewed and approved by the PROVIDER. a. USER shall be responsible for the complete repair of any damage to space within the FT Center that is damaged while being urilized by USER. 3. PAYMENTS: PROVIDER shall bill USER on a monthly basis by submimng an itemized list of hourly practice and game ice, to the USER. Upon proper billing and documentation, USER will prompdy pay PROVIDER any required deposits and an amount equal to the number of hours of practice and game ice usage at the rate agreed to. 4. CANCELLATIONS: PROVIDER may cancel this Agreement for any material default by the USER in terms of this Agreement. PROVIDER may also reschedule the dates or times of the scheduled ice usage upon five days written notice to the USER. PROVIDER shall not be held responsible for the cancellation of ice time for reasons beyond the reasonable control of PROVIDER, its agents, or employees, such as but not limited to equipment failure, loss of power, severe weather or acts beyond PROVIDER'S control. In the event of such an occurrence, PROVIDER will attempt to reschedu.le USER'S ice times or USER may cancel and promptly receive a return of any fees paid. 5. ASSIGNMENT: if scheduled ice time cannot be used by the USER, they shall prompdy notify the PROVIDER in writing within 14 days and the PROVIDER will attempt to reassign that time to another group. If the time cannot be assigned to another group, the USER will pay the charged fees for their scheduled time. 6. RULES AND REGULATIONS: USER agrees to use the facilities according to the Rules and Regulations of PROVIDER which will be adopted and posted from time to time within the facility. 7. SIGNAGE: USER recognizes that it does not have rights to post any signs without the express written consent of PROVIDER. Any signs so consented to shall conform to and be consistent with the sign usage policy of PROVIDER and be subject to PROVIDER review and approval. 8. LIABILITY: USER acknowledges that PROVIDER has not asserted or accepted any responsibilities for supervision, securiry or control of USER'S property or activities. USER shall be solely responsible to provide security for its equipment kept on the premises and shall be solely responsible to provide supervision of its players, staff, and spectators, on and off the ice. PROVIDER shall be solely responsible for the action of its employees, agents, and invitees. USER assumes all risks of personal injury arising from its usage of the FT Center or any part connected or contiguous thereto which result from an act or failure to act on the part of the USER or others over whom it has supervisory responsibility. USER assumes responsibility for damages to the property of PROVIDER arising out of the negligence of USER under its performance of this agreement. PROVIDER will notify the USER of any damages and allow the USER a reasonable opportunity to review the damage before repairs are made. PROVIDER is responsible for the repair or 2 replacement of PROVlDER'S property and will invoice the USER for the damages. USER'S obligation shall be to reimburse PROVIDER for the cost of labor and replacement of like-kind and qualiry equipment. PROVIDER agrees to indemnify and hold harnzless USER from and against all claims, costs, expenses(including attorney fees) and liabilities of whatever nature arising from(i) any negligent or wrongful act or omission of PROVIDER, its licensees, agents, or employees; or (u) arising from any accident, injury, including death, or damage to any person or properry occurring on the premises a.nd caused by the negligence or other wrongful conduct of PROVIDER, excluding claims arising from USER'S performance under this agreement. This paragraph shall not act as a wa.iver of any tort liability caps or legal immunities that may e�ust to protect the PROVIDER. USER agrees to indemnify and hold harmless PROVIDER from and against all cla.ims, costs, expenses(including attorney fees) and liabilities of whatever nature arising from (i) any negligent or wrongful act of omission of USER, its licensees, agents, or employees; or (u) arising from any accident, injury, including death, or damage to any person or property occurring on the premises and caused by the negligence or other wrongful conduct of USER, excluding claims arising from PROVIDER's performance under this agreement. INSURANCE: Both USER and PROVIDER shall ma.intain liability insurance against claims for bodily injury, death or property damage occurring on or about the FTCenter. Such insurance shall be written on an occurrence basis with a combined single limit of not less than $1,000,000 per occurrence. If the insurance policy is written on a"claims-made basis," the party will maintain coverage for a minimuxn of three years past the expiration of this agreement. The retroactive date of the policy shall be indicated on the certificate of insurance outlining coverage. In addition, both parties shall name the other parry as an additional insured with respect to its own operations on said policies of insurance. Both parties will maintain all workers' compensation insurance required by law. 3 THIS CONTR.ACT AND ANY ATTACHED SCHEDULES OR SIGNED ADDENDUMS CONSTITUTES THE ENTIRE AGREEMENT BETWEEN PROVIDER AND USER. THE UNDERSIGNED USER AGREES TO PURCHASE ALL HOURS OUTLINED IN THE ATTACHMENT. NO PROVISION OF THIS AGREEMENT MAY BE CHANGED, WAIVED OR TERMINATED UNLESS DONE IN WRITING AND EXECUTED BY BOTH PROVIDER AND USER. Dated: ��{ Z �—� USER: . � / ,�'� . Its: C�c�C�-�-���a.r �us �� ��e� Dated: PROVIDER: CITY OF ELK RNER : : n