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HomeMy WebLinkAboutReso. 1986 - 177 - Approving the lake redding golf course operations agreement between the city of redding and john b merrill and betty d merrill . . . , III • RESOLUTION NO. W,-/27 A RESOLUTION OF THE CITY COUNCIL OF THE CITY iOF REDDING APPROVING THE LAKE REDDING GOLF COURSE OPERATIONS AGREEMENT BETWEEN THE CITY OF REDDING AND JOHN B. MERRILL AND BETTY D. MERRILL DOING BUSINESS AS LAKE REDDING GOLF COURSE, AND AUTHORIZING THE MAYOR TO SIGN SAME. BE IT RESOLVED by the City Council of the City of ; Redding as follows: 1 . That the City Council of the City of Redding hereby approves the attached Lake Redding Golf Course Operations Agreement between the City of. Redding and John B. Merrill and Betty D. Merrill, doing business as Lake Redding Golf. Course; and 2 . That the Mayor of the City of Redding is hereby authorized and directed to sign all necessary document on behalf i of the City of Redding, and the City Clerk is hereby authorized and directed to attest the signature of the Mayor and to impress the official seal of the City of Redding on the aforesaid Agreement, when appropriate. 3 . That a true copy of said Operations Agreement is attached hereto and incorporated herein by reference. I HEREBY CERTIFY that the foregoing Resolution was introduced and read at a regular meeting of the City Council of q• i NS , , i a the City of Redding on the 21st day of July , 1986 , and was duly adopted at said meeting by the following vote: AYES: COUNCIL MEMBERS: Carter, Gard, Johannessen, & Dahl NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: Fulton ABSTAIN: COUNCIL MEMBERS: None (--2A._4..:44_...) H67---"--4•_.Vice MIKE DAHL Mayor City of Redding ATTEST:� �}e /J ETHEL A. NICHOLS , City Clerk FORMPROVED: RAN ALL A. HAYS , Cii�y Attorney I -2- 111 • LAKE REDDING GOLF COURSE OPERATIONS AGREEMENT THIS AGREEMENT, entered into this day of July, 1986 , by and between JOHN B. MERRILL and BETTY D. MERRILL, doing business as Lake Redding Golf Course , hereinafter referred to as "Operator" , and the CITY OF REDDING, a municipal corporation and general law city, hereinafter referred to as "City" : WITNESSET H: WHEREAS , the Lake Redding Golf Course is open space land immediately adjacent to the Lake Redding/Caldwell Park facility of City; and WHEREAS, City is contemplating the acquisition of the Lake Redding Golf Course property from its owner, the Benton Family Trust; and WHEREAS , Operator currently has a leasehold interest to run a golf course on the property held by the Benton Family Trust; and WHEREAS, it is the intent of City to continue the golf course operation as a recreation amenity in the community; NOW, THEREFORE, IT IS AGREED by and between the parties hereto as follows : 1 . This course operations agreement (COA) , when properly signed, will go into effect only upon the acquisition of the Lake Redding Golf Course land from the Benton Estate by City and the donation set forth in paragraph 4 . Should City decide not to acquire the land, City shall issue a letter so stating to the representatives of the Benton Family Trust and to Operator. 1 . , . . , III • 2 . This COA may be transferred by Operator or their successor subject to the approval of City, which approval shall not be unreasonably withheld. In the event Operator or their successor fails to fulfill the requirements of the COA, City may require Operator or their successor to sell the equity in the COA to a party acceptable to City or to sell to City. In_ the instance where Operator or their successor is required to sell to City, City shall pay the fair market value for the equity in the course operation agreement. This fair market value shall include the value of the interest in the COA, the value of equipment owned, as well as a value assigned to any good will that may exist. To arrive at the fair market value, the parties shall attempt to agree upon an appraiser to perform the necessary appraisal. Failing to reach agreement on an appraiser, the parties shall each have a fair market value appraisal one of the interest then held. If the two appraisals so acquired vary by an amount greater than fifteen percent (15%) of the highest appraisal, a third appraisal will be acquired jointly by the parties. If such a difference does not exist, the two appraisals will be added together and averaged. That established average value will represent the value to be paid by City. In the event a third appraisal is necessary, once that appraisal is secured, the parties hereto agree that it will represent the amount to be paid by City. 3 . Upon City giving Operator or their successor ' six months notice , this COA may be cancelled by City,. City shall be respon- sible for paying Operator or their successor the value of the -2- • cancelled interest pursuant to the method set forth in Paragraph 2 above. The right to cancel upon six (6) months notice is not exercisable by City until ten (10) years subsequent to the acquisition date of the Lake Redding Golf Course property. 4 . Upon the acquisition of the Lake Redding Golf Course property by City, Operator or their successor in interest shall forthwith donate, at no cost to City, the course leasehold then held by Operator or a successor in interest. This agreement shall not go into effect until the surrender of the leasehold is accomplished. 5 . The term of this COA shall he ten (10) years, with an automatic extension at the end of the ten years for a period of five (5) years, with further automatic extensions at the end of each five-year extended period, subject to cancellation provi- sions existent in this COA. 6 . City, in addition to the land, shall own the buildings, the course water system and such other items as were under the ownership of the Benton Family Trust. City shall furnish to Operator utilities now utilized by Operator at no cost. This shall include the untreated water from the Southern Pacific well. 7 . Operator agrees to keep the course in good, playable condition according to a horticultural maintenance schedule. The course shall be open for play every day of the year except for unplayable weather or unforeseeable emergencies. The attached horticultural maintenance schedule is part of this agreement, and is to be considered as a minimum set of standards to be followed by Operator. Operator is to pay all accounts or debts promptly and in full relative to the operation of the golf course. -3- • 8 . Operator is solely responsible for hiring, directing, paying and managing all personnel working in any aspect of the golf course business, including the pro shop and food services activities. This responsibility does not, however, include any City employees whose activities relative to the golf course, if any, shall be directed by City. 9 . All expenses of golf course maintenance and operation, including building maintenance, shall be the sole responsibility of Operator. Operator is responsible for providing all equipment and materials for the maintenance and operation of the golf course. 10 . All revenues resulting from any activities of the golf course shall be retained by Operator to pay the expenses of the course and to provide income to Operator. City, by this agree- ment, does not incur any obligation to provide revenues of any sort to Operator. 11 . Operator shall submit an annual profit and loss state- ment to the City Manager within thirty (30) days of the close of Operator ' s taxable year. 12. Operator agrees to cooperate with City in establishing and conducting golfing and golf related activities for various community groups. Operator shall at all times exercise best efforts in providing these activities. Operator specifically shall develop programs for junior golfers and for senior citi- zens. 13. City agrees to cooperate with Operator in publicizing and promoting the golf course. -4- . . . . , III III 14 . City agrees to waive fees related to projects at the golf course for which there would normally be fees required and assessed. 15. The parties hereby agree that at such time as City purchases the Lake Redding Golf Course property and Operator surrenders the lease to City, the parties shall develop a method- ology for assessing and maintaining the course in a playable condition. This methodology shall include a procedure to accept and act upon player complaints and suggestions relative to the course condition. 17. Operator shall pay any and all possessory interest taxes levied by the Shasta County Assessor against the land and existing improvements which are now on the premises or which may be located on the premises during the term of this agreement or any extension thereof. IN WITNESS WHEREOF, the parties hereto have executed this agreement the day and year first above written. CITY OF REDDING By f/) 7 ; Mayor c4„,,g ------v*- ,...7., ,,_...'_ 7-8. 4 RRILL „„ ,T---,__ , \V\t,, . \ BETTY D. MERRILL 1 .tA ATTEST: 1 ETHEL A. NICHOLS , City Clerk FORM APPROVED: -7 RA. ISALI_, A. HAYS ; C . y Attorney T -5- • SCHEDULE OF HORTICULTURAL MAINTENANCE I . GREENS. A. MOWING OF GREENS. Greens shall be mowed not less than two times each week, shall be cut to a length of between 3/16" and 5/16" depending upon the time of year and the amount of play, and the mowing pattern shall be alternated each time the green is mowed. A basket device for catching grass clippings shall be used on mowers each time a green is cut, except for the first mowing after the green has been top-dressed. B. IRRIGATION OF GREENS. The greens shall be irrigated as necessary to keep the grass in optimal growing condition and to produce greens that are evenly wet over the total green. Wet and dry spots shall be minimized by controller settings or by hand irrigation. C. TOP-DRESSING OF GREENS. Greens shall be top-dressed as necessary using a recognized greens top-dresser which is compatible with the existing soil conditions. Top-dressing material shall be applied at a rate appropriate fokr existing weather and soil conditions. D. AERIFYING OF GREENS. Greens shall be aerified as necessary. E. VERTICAL MOWING OF GREENS. Greens shall be vertically mowed as necessary to control graining or thatching. They shallNbe verti- cally mowed at a 45° angle of difference each time that they are vertically mowed to assure the most benefit from the process. F. FERTILIZING OF GREENS. Greens shall be fertilized frequently enough to support constant growth which is correspondent to the particu- lar season of the year, and not less than 9 pounds of nitrogen per 1 , 000 square feet per year shall be applied. i i G. PEST CONTROL ON GREENS. Greens shall be checked regularly for fungus activity, insect infestations , or any other pest prciblem which will adversely affect the quality of the putting surface. Appropriate controls for these pests shall be applied as soon as necessary after their detection. H. WEED CONTROL ON GREENS. Greens shall be kept as free as possible of broad leaf weeds , bermuda grass , quack grass , dallis grass , crab grass , and all other grasses except annual blue grass. I . REPAIR OF GREENS. Any damage done to greens which affects the putting surface shall be repaired. In the case of voidin the grass cover of the green, all such areas shall be sodded or seeded. II. TEES AND APRONS. A. MOWING OF TEES AND APRONS. Tee areas and aprons around greens shall be mowed not less frequently than once a week and shall 1e cut at a maximum height of 1" . B. IRRIGATION OF TEES AND APRONS. Tees and aprons shall be irrigated as necessary to keep the ground in optimal growing condition. Hand irriga- tion shall be used where necessary to augment the golf course irrigation system. C. TOP-DRESSING OF TEES AND APRONS. Tees and aprons shall be top-dressed as necessary using a recognized top-dressing material. D. FERTILIZING OF TEES AND APRONS. Tees and aprons shall be fertilized in increments of not more than 1 pound of cold water soluble nitrogen per 1 , 000 square feet per application. Each tee and apron is to be fertilized frequently enough to support constant growth which is correspondent to the particu- lar season of the year. Not less than 6 pounds of nitrogen per 1 , 000 square feet per year shall be applied to the aprons and not less than 8 pounds of nitrogen per 1 , 000 square feet per year shall be applied to the tees . -2- • • 111 E. PEST CONTROL OF TEES AND APRONS. The tees and aprons shall be check daily for fungus activity and insect infestation, or any pther pest infestation which would interfere with the playing surface or the health of the turf grasses. Appropriate controls for these pests shall be put into force as soon as necessary after their discovery. F. WEED CONTROL OF TEES AND APRONS. The tees and aprons shall be kept as free as possible of broad leaf weeds, crab grass , dallis grass , course fescues , and quack grass. III. FAIRWAYS AND DRIVING RANGE. A. MOWING OF FAIRWAYS. The fairways shall be mowed at least once a week during the growing season at a height of between 3/4" and 11/2" . B. IRRIGATION OF FAIRWAYS. Fairways shall be irrigated as necessary to keep the grass in optimal playing condition. Hose and/or quick coupler watering shall be used to augment the irriga- tion system as necessary. C. PEST CONTROL ON FAIRWAYS. Fairways shall be checked frequently for any pest infestation which will affect the playing surface or the ongoing health of the turf grass. Any pest prob- lems recognized as such shall be dealt with as soon as necessary. IV. ROUGH AREAS. A. MOWING OF ROUGH AREAS. Rough areas shall be mowed as often as necessary to accommodate a smooth flow of play. However, rough areas need not be mowed during periods of no growth. B. IRRIGATION OF ROUGH AREAS. Rough areas are to be irrigated to keep the ground in optimal playing condition; provided, however, that in areas where there is no installed irrigation system, there shall be no irrigation requirement. There shall be sufficient control of weeds in rough areas as -3- • necessary to prevent the rough areas from becoming sources of inoculation for the remainder offthe golf course. V. TREES , SHRUBS, AND LANDSCAPING. All trees and shrubs shall be pruned as necessary to provide ease of play on the course and accepted aesthetic values throughout. All trees, shrubs, and other landscaped lands shall be irrigated as necessary to maintain them in the optimum condition for growth. -4-