2019-20 Landmark Golf Management Amendment 2 - SilverRock Golf Managemetta QW�Kra
— GE\1,,jW, DESERT —
MEMORANDUM
TO: Frank J. Spevacek, City Manager
FROM: Gil Villalpando, Acting Facilities Director'
DATE: "June 13, 2019
RE: Landmark Golf Management, LLC., Amendment #2, Golf Course
Management Services for SilverRock
Attached for your signature is Amendment #2 with Landmark Golf Management
Services, for SilverRock Golf Course Management Services.
Please sign the attached agreement(s) and return to the City Clerk for processing
and distribution.
Requesting department shalt check and attach the items below as appropriate:
X Contract payments will be charged to account number: 601-0000-60208
X Amount of Agreement, Amendment, Change Order, etc.: $119,000
NA A Conflict of Interest Form 700 Statement of Economic Interests from Consultant(s) is attached with
no reportable interests in LQ or reportable interests
1 A Conflict of Interest Form 700 Statement of Economic Interests is not required because this Consultant
does not meet the definition in FPPC regulation 18701(2).
Authority to execute this agreement is based upon:
X Approved by the City Council on May 21, 2019
X City Manager's signature authority provided under Resolution No. 2018-014 for budgeted expenditures
of $50,000 or less. This expenditure is $119,000 and authorized by Council.
NA Initial to certify that 3 written informal bids or proposals were received and considered in selection
Th_e_ of owing required documents are attached to the agreement:
X Insurance certificates as required by the agreement (approved by Risk Managero [ r+ � r Iq Ire)
NA Performance bonds as required by the agreement (originals)
X City of La Quinta Business License number 000185 exp 01/31/2020
X A requisition for a Purchase Order has been prepared (amounts over $5,000)
X A copy of this Cover Memo has been emailed to Finance (Claudia)
Revised May 2017
AMENDMENT NO. 2
TO GOLF COURSE MANAGEMENT AGREEMENT
This Amendment No. 2 ("Amendment 2") to Golf Course Management
Agreement ("Agreement") is made and entered as of the 1st day of July 2019
("Effective Date") by and between the CITY OF LA QUINTA ("City"), a
California municipal corporation, and LANDMARK GOLF MANAGEMENT, LLC.
("Manager").
RECITALS
WHEREAS, on or about July 1, 2013, the City and Manager entered into
an Agreement to provide services related to managing golf course operations
at SilverRock Resort; and
WHEREAS, on or about May 21, 2018, the City and Manager executed
Amendment No. 1 and mutually agreed to amend the Agreement amount by
an additional $114,000, and to extend the term for one additional year from
July 1, 2018 until June 30, 2019 ("Extended Term"); and
WHEREAS, the City and Manager mutually agree to extend the term of
the Agreement for one additional year, from July 1, 2019 to June 30, 2020
("Extended Term") pursuant to Section 2.2 Management Term; and
WHEREAS, City and Manager mutually agree to suspend deposits from
the Golf Course Accounts for the 2% Capital Improvement Funds pursuant to
Section 3.10.1 Capital Improvement Funds until June 30, 2020; and
WHEREAS, City and Manager mutually agree to amend Section 4.1.1
Management Fee by implementing a four percent (4%) annual increase to the
Management Fee for a total not to exceed annual amount of $119,000 for
fiscal year 2019/20; and
WHEREAS, Section 8.1 Termination by City is amended to change the
date by which the City, in its sole discretion, without penalty or cause, and
terminate the Management Term on any date after June 30, 2020.
NOW, THEREFORE, in consideration of the mutual covenants herein
contained, the parties agree as follows:
AMENDMENT
In consideration of the foregoing Recitals and the covenants and promises
hereinafter contained, and for good and valuable consideration, the sufficiency
and receipt of which are hereby acknowledged, the parties hereto agree as
follows:
2.2 Management Term
The Management Term shall commence July 1, 2019. The Management
Term and this Agreement shall end on June 30, 2020. The City has the
option to renew the contract for two (2) additional one-year extensions.
3.10.1 Capital Improvement Funds
City shall suspend deposits from the Golf Course Accounts for the 2%
Capital Improvement Funds until June 30, 2020.
4.1.1 Management Fees
Manager shall receive from City an annual Management Fee increase of
four percent (4%) in the amount of One Hundred Nineteen Thousand
Dollars ($119,000) until expiration of the Agreement.
8.1 Termination by City
The Management Term may be terminated by the City, in its sole
discretion, without penalty or cause on any date after June 30, 2020
with a minimum sixty (60) day prior Written Notice of early termination
provided by the City Manager to Landmark Golf Management.
In all other respects, the original Agreement shall remain in effect.
IN WITNESS WHEREOF, the City and Manager have executed this Amendment
No. 2 to the Agreement on the respective dates set forth below.
CITY OF LA QUINTA
a California municipal corporation
and Charter City
y
Spe acek, ty Manager
LANDMARK GOLF MANAGEMENT, LLC
By: 4� VnL
Andy Voss r, President & CEO
�+ � l3 20� q
Date: �1 Date: dcA,�_: ,
ATTEST:
Monika Radeva, City Clerk
City of La Quinta, California
(City Seal)
APPROVED AS TO FORM:
�t �-� -
William H. Ihrke, City Attorney
City of La Quinta, California