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HomeMy WebLinkAboutNB 1 C.T. PK CONCESSION 4-7-86DATE: April 1, 1986 TO: FROM: S U BJ ECT: City Council Community Services Department COLUMBUS TUSTIN PARK CONCESSION STAND PROPOSAL RECOMMENDATION: If Council decides that a concession is appropriate at Columbus Tusttn snack bar, direct Community Services staff and the City Attorney to work together to ensure that all legal requirements are met in the process. (Although Mr. Ascher has done a lot of research thusfar, state or federal laws may require a competitive bid.) BACKGROUND: Dave Ascher, a Tustin High graduate, has been very active, in Tustfn youth sports programs for many years. In addition to his involvement with the Foothill High School Booster Club, Dave is the current Vice-President of the Tusttn Bobby Sox program. Mr. Ascher originally contacted the Community Services Department to operate the Columbus Tusttn snack bar as a non-profit entity for the exclusive benefit of the Foothill Booster Club, with proceeds going towards the Foothill Girls' Softball program. This concept was not pursued nor supported by the Foothill Boosters due to the following objections: 1. The long hours would create a difficulty in getting volunteers. 2. It would be a seven-day-a-week job with late hours. 3. Other schools might object to exclusive operation by Foothill High School. Mr. Ascher, feeling that it would be a worthwhile project, decided to pursue the snack bar on his own. He has spent considerable time and energy in the organization of this project. Among his proposals are: 1. To form a business entity for the operation; either a non-profit corporation or a profit corporation has been suggested. 2. Said corporation would donate agreed-upon amount of profits to all types of local youth sports programs. Cost estimates of between $10,000 to $12,000 to meet County Health Department requirements, structural changes, attorney fees to initiate corporate status, insurance fees, licensing fees, and supplies would be met by Mr. Ascher and/or the corporation. COLUMBUS TUSTIN PARK CONCESSION STAND PROPOSAL Page Two April 1, 1986 4. Fees paid to the City of Tustin would be 5 percent of the monthly gross after one year. Prior to the full year of operation: a. First Quarter: One percent of monthly gross. b. Second Quarter: Two percent of monthly gross. c. Third Quarter: Three percent of monthly gross. d. Fourth Quarter: Four percent of monthly gross. Mr. Ascher would present to the City of Tusttn, a monthly accounting statement due on or before the 1Sth of each month. Insurance policy of not less than $1,000,000 for public liability and a policy for not less that $25,000 for property damage would be purchased. Copies of said policies would be filed with City of Tusttn. In addition, a Workers Compensation oolicy would be purchased to cover employees. 7. Clean-up of trash would be provided by employees of the corporation or volunteers. The builder is ready, the building is available, eaulpment and supplies ready for purchase, insurance applications filled out, attorney retained, and plans drawn for submittal to County Health Department. Mr. Ascher is anxiously awaiting City Council approval of his proposal. Staff cautions that the City Attorney must first research whether such a proposal requires open, competitive bids. Susan M. Jones Recreation Superintendent SJ:sk