HomeMy WebLinkAboutAgenda Report - March 15, 2017 C-09CITY OF LODI
COUNCIL COMMUNICATION
AGENDA ITEM
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AGENDA TITLE: Adopt Resolution Authorizing City Manager to Execute Lodi Lake Boat House
Concession Agreement with Headwaters Kayak Shop
MEETING DATE: March 15, 2017
PREPARED BY: Parks, Recreation and Cultural Services Director
RECOMMENDED ACTION.
BACKGROUND INFORMATION:
Adopt a resolution authorizing the City Manager to execute the Lodi
Lake Boat House concession agreement with Headwaters
Kayak Shop.
The City entered into a concession agreement with Headwaters
Kayak Shop on April 1, 2014, turning over non -motorized boat
rentals at Lodi Lake Park to Headwaters in return for 15 percent of
gross revenue. The contract expires on March 31, 2017.
On December 21, 2016, the City Council gave the City Manager authorization to negotiate an extension
to the Headwaters agreement. The existing agreement has proven financially beneficial to the Parks,
Recreation and Cultural Services and the department has an excellent relationship with Headwaters
Kayak Shop. PRCS' annual Boat House revenue has nearly tripled since the City entered into the
agreement with Headwaters. In addition, the concessionaire has been an outstanding corporate citizen
by promoting Lodi Lake, participating in lake cleanup activities, providing free paddling activities for
injured war veterans, and other community activities, such as sponsoring PRCS' 75th anniversary
celebration last year.
The proposed contract calls for a five-year term plus a series of two-year extensions, for a maximum term
of 11 years. The City will continue receiving 15 percent of gross revenue. Other changes will address
operational requirements in the original agreement that will have no impact on the City, except that they
will increase PRCS revenue as Headwaters plans on extending its season and increasing prices slightly.
FISCAL IMPACT:
FUNDING AVAILABLE:
JH:tI
cc: City Attorney
Headwaters has increased annual Boat House revenue by nearly
$10,000 and a longer agreement will likely increase that amount.
Not applicable.
APPROVED
ecreation and Cultural Services Director
Stephen Schwabauer, City Manager
CITY OF LODI
NON -MOTORIZED BOAT CONCESSION AGREEMENT
THIS CITY OF LODI CONCESSION AGREEMENT ("Agreement") is entered into by and
between THE CITY OF LODI, a California municipal corporation ("CITY"), and Headwaters Kayak
Shop ("CONCESSIONAIRE"), to be effective on April 1, 2017:
1. Incorporated Documents. Attached and incorporated herein are the following documents: Site
Map (Exhibit A) and Non -Motorized Boat Concession Requirements (Exhibit B). The Operating
Plan submitted by CONCESSIONAIRE as part of its proposal is also attached hereto as Exhibit C
and incorporated herein. In addition to the terms and conditions set forth in this Agreement,
CONCESSIONAIRE agrees to fully abide by the Non -Motorized Boat Concessions
Requirements (Exhibit B) and the Operating Plan (Exhibit C).
2. Right to Enter. Subject to the terms and conditions of this Agreement, CITY hereby grants
permission to CONCESSIONAIRE, its employees, and agents to operate a non -motorized boat
concession ("Concession") as defined in section 3 below at the Lodi Lake Boat House, as
depicted on Exhibit A hereinafter referred to as the "Site".
3. Use of Site. This Agreement is granted to CONCESSIONAIRE for the sole purpose of allowing
CONCESSIONAIRE to operate a non -motorized boat concession of kayaks, canoes, paddle
boards and pedal boats, hereinafter referred to as "Concession." Concession means an operation
involving the conducting of non -motorized boat rentals (and tours, if included in Operating Plan),
delivering and removing non -motorized rental and tour boats, and serving the general public
under the terms and conditions of this Agreement. There shall be no commercial use of any other
areas of Lodi Lake Park by CONCESSIONAIRE without approval of the CITY's Parks,
Recreation and Cultural Services Director ("DIRECTOR"). Renting or selling of equipment or
any other merchandise unrelated to non -motorized boating is not allowed under this Agreement.
CONCESSIONAIRE shall not infringe the right of the public to use the dock and kayak launch
free of charge for their personal non -motorized boats during normal business hours. Any use
other than as a Concession as described herein shall constitute good cause for immediate
termination of this Agreement.
4. Maximum Days and Hours of Operation. CONCESSIONAIRE shall not conduct any Concession
prior to Lodi Lake Park ("Park") opening on days the park is open to the public. All non -
motorized boats must be removed from outdoor storage areas before sunset. All non -motorized
boat tours are to be completed and out of the water fifteen (15) minutes before sunset daily,
unless authorized by DIRECTOR. All Concession operations are permitted seven days a week
with the following exceptions:
a. CITY reserves the right to limit or prohibit Concession operations on the Fourth of July.
b. Special Events. Unless otherwise authorized by DIRECTOR, CONCESSIONAIRE may
not operate on days designated by CITY for Special Events when general public access to
the Park is restricted. CITY shall give CONCESSIONAIRE advance written notice of
any such Special Events.
5, Competent Management. Throughout the term of this Agreement, CONCESSIONAIRE shall
provide competent management of the Concession and the Site for the permitted uses to the
satisfaction of the City Manager or designee. CONCESSIONAIRE covenants at all times to
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operate the Concession for the above-specified purposes and diligently conduct the Concession to
maximize gross revenue.
6. Term. The term of this Agreement ("Term") shall be five years commencing April 1, 2017
("Commencement Date"), with three two-year renewal options. "Agreement Year" as used in this
Agreement shall mean the twelve-month period during the Term commencing on the
Commencement Date and each twelve-month renewal as may be exercised by CITY. Renewals
options may be exercised at the discretion of CITY based on the performance of
CONCESSIONAIRE and adherence to the terms and conditions set forth herein. CITY retains
the sole right to determine if the renewal option shall be granted.
7. Termination. This Agreement may be terminated at any time by either party upon ninety (90)
days prior written notice to the other party. Any written notice to this effect shall be served in
accordance with Section 43 of this Agreement.
8. Revocable License. This Agreement is not a lease. It is a license to use CITY -owned property,
and may be revoked by CITY, in its sole discretion, at any time. CITY shall not be obligated for
any loss, financial or otherwise, which may be incurred by CONCESSIONAIRE as a result of
termination or suspension of this Agreement. CONCESSIONAIRE expressly waives any claim
for expense or loss which CONCESSIONAIRE might incur as a result of CITY'S termination or
suspension of this Agreement or for the scheduling of any Special Events pursuant to Section 4.b
that conflict with or prohibit CONCESSIONAIRE's use of the Site.
9. Special Provisions
a. Operating Plan. The Operating Plan(s) for April 1, 2017 through March 31, 2022
submitted by CONCESSIONAIRE shall be revised by CONCESSIONAIRE, if required
by CITY to meet CITY's approval, and the final CITY approved Operating Plan(s) shall
be incorporated into this Agreement as Attachment C. Beginning April 1, 2017, and for
every 12 months thereafter during the Term, the CONCESSIONAIRE shall provide
CITY with an Operating Plan for the upcoming twelve month term for CITY'S approval
no later than February 1 beginning in 2018. All Operating Plans submitted to CITY
should be consistent with the format and content of the Operating Plans included as
Attachment C. CITY in its sole discretion shall have the right to approve or disapprove
the proposed Operating Plan. Once approved, CONCESSIONAIRE shall not make any
changes to the Operating Plan without prior written approval of CITY.
CONCESSIONAIRE shall not operate the Concession at any time during the Term
without an Operating Plan fully approved by the City valid for the time period of
operation.
b. Operations. CITY reserves the right to make changes at any time to
CONCESSIONAIRE'S tour schedule (if applicable) and/or the number of individual
non -motorized boat rentals permitted at any given time, based on operational and safety
considerations. At all times, the CONCESSIONAIRE shall ensure that all permitted
operations comply with the Non -Motorized Boat Concession Requirements
incorporated herein as Exhibit B.
c. Standard of Employees. CONCESSIONAIRE and its employees shall at all times
conduct themselves and the operations of the Concession in a respectable and courteous
manner. CONCESSIONAIRE shall thoroughly train its employees in their duties and
shall regularly monitor them to ensure that they behave in a courteous manner, do not
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disturb the quiet enjoyment of other park users, and otherwise comply with all of the
Non -Motorized Boat Concession Requirements set forth as Exhibit B to this Agreement.
CONCESSIONAIRE, its employees and agents are required to be fingerprinted and
background checked in a manner authorized by the Department of Justice.
CONCESSIONAIRE shall assume all expenses associated with the fingerprinting and
background checks. CONCESSIONAIRE shall not permit any employee or agent to
work at the Site who has been convicted of any offense identified in Penal Code section
11105.3 and shall immediately remove any employee from the Site who has been arrested
for any offense identified in Penal Code section 11105.3, until such time as CITY can
conduct an investigation into the circumstances of the arrest. Expunged convictions shall
be considered convictions for purposes of this section except where the expungement is
based on a finding of factual innocence.
d. Exclusiveness of Agreement and Unauthorized Vending. CITY, by granting this
Agreement to CONCESSIONAIRE, makes no warranty that the Site shall be free of
unauthorized vending or that any specific level of police or lifeguard enforcement against
such activities shall be maintained.
e. CONCESSIONAIRE's Storefront address is:
Headwater Kayak Shop
847 N. Cluff Ave., Suite A-6
Lodi, CA 95240
f. Site. CONCESSIONAIRE shall erect no improvements on the Site without prior written
approval by CITY. The Site must be maintained so as to present a neat and attractive
appearance to the satisfaction of DIRECTOR. Any items or improvements brought on the
Site by CONCESSIONAIRE must be approved in writing by CITY and shall not remain
at the site after permitted hours of operation, unless prior written approval of CITY is
obtained.
g.
Improvements to the Site. Upon expiration or termination of this Agreement, any and all
improvements, trade fixtures, structures, and installations or additions to the Site now
existing or constructed on the Site by CONCESSIONAIRE shall be deemed to be part of
the Site and shall become CITY's property free of all liens and claims. All personal
property remaining on the Site after expiration or termination shall also become the
property of CITY. Alternatively, CITY, at its option, may require CONCESSIONAIRE
to immediately remove any and all improvements, trade fixtures, structures, installations
and additions to the Site at CONCESSIONAIRE's sole cost and expense.
h. Maintenance of Site. CONCESSIONAIRE agrees not to commit or allow to be
committed any waste or injury or any public or private nuisance at the site, to keep the
Site clean and clear of refuse and obstructions, and to dispose of all garbage, trash, and
rubbish in or about the site to the satisfaction of CITY and at CONCESSIONAIRE's sole
cost and expense. Site must be cleaned up by CONCESSIONAIRE each day,
CONCESSIONAIRE is operating at the Site and CONCESSIONAIRE shall promptly
inform CITY of any safety concerns related to CITY property.
i. CITY Boats. CONCESSIONAIRE shall allow CITY to store motorized boats on the
water within the Boat House, provide other space as needed to store CITY equipment and
supplies used specifically for motor boat operations, and allow CITY staff to access the
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Site as needed. Customers of CITY motorized boat tours shall be allowed in the dock
area, but not within the Boat House.
10. Fees.
a. Percentage Fee. The Percentage Fee shall be calculated on a calendar month basis and
shall consist of fifteen percent (15.00%) of the total Gross Revenue (as defined in Section
10.e of this Agreement) of CONCESSIONAIRE resulting from rentals and all activities
associated with the CONCESSIONAIRE's activities as permitted under this Agreement.
The City Manager, in his sole discretion, may approve another percentage rate or
minimum rate for each other incidental service or operation supplementary to the
permitted uses stated in Section 3, Use of Site, as may be approved in writing by the City
Manager prior to the commencement of any additional service or operation. Provided
however, any activity conducted on the Site without the prior written approval of the City
Manager shall be subject to the provisions of Section 10.d Unauthorized Use Charge.
b. The Percentage Fee is to be paid in monthly installments to CITY on or before the last
day of the calendar month when the Percentage Fee is due pursuant to Section 10.i. Time
and Place of Payment. The first payment is due May 31, 2017.
c. Delinquent Concession Fee. If CONCESSIONAIRE fails to pay any Concession fees
when due, CONCESSIONAIRE shall pay the delinquent fee plus a late fee equal to five
percent (5%) of the delinquent fee. If fees remain unpaid more than fifteen (15) days past
the due date, the late fee shall be increased to ten percent (10%) of the delinquent fee,
which CONCESSIONAIRE shall pay in addition to delinquent fee. The parties agree that
such delinquent fees are appropriate to compensate CITY for loss resulting from
concession fee delinquency, including lost interest opportunities, legal costs, and the cost
of servicing the delinquent account.
d. Unauthorized Use Charge. CONCESSIONAIRE shall pay to CITY, as an additional fee,
an unauthorized use charge equal to hundred percent (100%) of the Gross Revenue (as
defined in Section 10.e) received from any service or use of the Site by
CONCESSIONAIRE that is not allowed under this Agreement. Such payment is subject
to the due date provided in this Agreement for fee payments and the provisions for
delinquent or unpaid fee. Neither the existence of such an unauthorized use charge nor
the payment of such charge, or any part of it, shall constitute an authorization of an
unauthorized use, and shall not be waiver of any of the CITY'S rights under this
Agreement.
e. Gross Revenue. "Gross Revenue," as used in this Agreement shall include all income
resulting from the Concession whether received or to become due; provided, however,
that Gross Revenue shall not include federal, state, or municipal taxes collected from the
CONCESSIONAIRE (regardless of whether the amount is stated to the consumer as a
separate charge) and paid over periodically by CONCESSIONAIRE to a governmental
agency accompanied by a tax return or statement as required by law. Possessory interest
taxes or other property taxes shall not be deducted by CONCESSIONAIRE in computing
Gross Revenue. Gross Revenues shall not include refund of deposits. The amount of
taxes and refunds shall be clearly shown on the books and records of
CONCESSIONAIRE. The Percentage Fee shall be calculated and paid by
CONCESSIONAIRE on the basis of Gross Revenue whether the income is received by
CONCESSIONAIRE or by any of CONCESSIONAIRE's agents, employees, permittees,
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or representatives, and all Gross Revenue received by any of CONCESSIONAIRE's
agents, employees, permittees, representatives, or other party as a result of occupancy or
operation of the Site shall be regarded as Gross Revenue of CONCESSIONAIRE for the
purpose of calculating the Percentage Fee required to be paid by CONCESSIONAIRE to
CITY, except as may be otherwise specified by this Agreement.
f. Payment Procedure. On or before the last day of the calendar month following the
calendar month in which the Gross Revenue subject to the Percentage Fee was earned,
CONCESSIONAIRE shall provide CITY with a correct income statement for the Site
operated by CONCESSIONAIRE together with a payment of fees on all applicable Gross
Revenue in a form selected by CITY. The statement shall be signed by
CONCESSIONAIRE or its authorized agent attesting to the accuracy of the income
statement. Each statement will include:
g.
i. Total Gross Revenue for the subject month itemized as to business categories for
which the separate Percentage Fee is established.
ii. The Percentage Fee due CITY and the manner in which such Percentage Fee was
computed and totaled.
iii. The accumulated total of all fees previously paid to CITY for the current term
year.
Inspection of Records.
i. Records. CONCESSIONAIRE shall at all times during the Term keep or cause to
be kept true and complete books, records, and accounts of all financial
transactions in the operation of all business activities conducted upon and
financial transactions resulting from the use of the Site. The records shall be
supported by source documents such as sales slips, daily cash register tapes,
purchase invoices, tour lists, or other documents as necessary to allow CITY to
easily determine the Gross Revenue. Any retail sales or charges will be recorded
by means of cash registers or other comparable devices which display to the
customer the amount of the transaction and automatically issue a receipt. The
registers shall be equipped with devices that lock in sales totals and other
transaction numbers and sales details that are not resettable. Totals registered
shall be read and recorded at the beginning and end of each business day. In the
event of admission charges or concession fees, CONCESSIONAIRE shall issue
serially numbered tickets for such admission or concession fees and shall keep an
adequate record of such tickets, as well as a record of unissued tickets. All retail
sales and charges may be recorded by a system other than cash registers of other
comparable devices provided such a system is approved by the CITY in writing.
ii. Financial Statements. Within sixty (60) days after the end of the each Agreement
Year, CONCESSIONAIRE shall at its sole cost and expense, submit to CITY a
statement in which the total Gross Receipts and the corresponding amounts of
Percentage Fees paid CITY for the year are classified according to the categories
of business established for any Percentage Fees and for any other business
conducted on or from the Site. The statement shall be signed by
CONCESSIONAIRE and a duly authorized financial representative of
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CONCESSIONAIRE attesting to the accuracy thereof, which shall be legally
binding upon CONCESSIONAIRE.
iii. Right to Inspect. All of CONCESSIONAIRE's books of account, records, and
supporting documentation, as described under Section 10.g.i., shall be kept for at
least five (5) years and made available to CITY in one location within the City of
Lodi. These books and records must be maintained separately from all other
accounts not relating to the Site. The CITY, at its discretion, shall have the right
to inspect and audit the business of CONCESSIONAIRE, its agents,
representatives and permittees operating on, and in connection with, the Site as
necessary and appropriate for CITY to determine the amounts of Concession fees
due CITY in compliance with the requirements of this Agreement. At CITY'S
request, CONCESSIONAIRE shall promptly provide, at CONCESSIONAIRE's
expense, any necessary data to enable CITY to fully comply will all requirements
of the state and federal government for Agreement information or reports
concerning the Concessions. Such data will include, if required, a detailed
breakdown of CONCESSIONAIRE's receipts and expenses.
iv. Audit Cost. The full cost of the CITY'S audit(s) will be borne by CITY unless
one or both of the following conditions exists, in which case
CONCESSIONAIRE agrees to pay CITY's cost of audit(s):
A. The audit(s) reveal an underpayment by CONCESSIONAIRE to the
CITY of more than five percent (5.00%) on an annual basis for any
Agreement Year or more than $1,500, whichever is less, between the
Total Fees Paid as reported and paid by CONCESSIONAIRE pursuant to
this Agreement and Concession fees owed as determined by the audit(s).
B. CONCESSIONAIRE has failed to properly maintain complete and true
books, records, accounts, and supporting documents in strict accordance
with this Agreement. Any fee deficiency determined by the audit shall be
considered a delinquent fee, subject to all penalties and remedies
provided to CITY for delinquent Concession fees under this Agreement
section 10.c. CITY shall credit any overpayment by
CONCESSIONAIRE determined by the audit, without interest, against
future fees due under this Agreement. If no future fees are due under this
Agreement, CITY shall refund CONCESSIONAIRE any overpayment
determined by the audit, without interest, within sixty (60) days after
CITY's certification of the audit.
h. Default. CONCESSIONAIRE's failure to keep complete and accurate records by means
of double -entry bookkeeping and failure to make them available for CITY inspection is,
like all other failures to comply with the covenants of this Agreement, a material breach
of this Agreement and good cause for termination.
i. Time and Place of Payment. Payments are due on or before the last day of the calendar
month following the calendar month in which the Gross Revenue subject to the
Percentage Fee was earned. Checks shall be made payable to the City of Lodi and mailed
to Lodi Parks, Recreation & Cultural Services, P.O. Box 3006, Lodi, CA 95241, or
delivered to the Office of the City Treasurer, Lodi City Hall, 221 W. Pine St., Lodi, CA
95240. The place and time of payment may be changed by CITY upon thirty (30) days
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prior written notice to CONCESSIONAIRE. Mailed payments shall be deemed paid upon
the date such payment is postmarked by the postal authorities. If any such postmark is
illegible, the payment shall be deemed paid upon actual receipt by the City Treasurer.
CONCESSIONAIRE assumes all risk of loss and responsibility for late payment charges
if payments are made by mail.
Reporting relationship. CONCESSIONAIRE reports directly to the DIRECTOR or
DIRECTOR's designee.
k. Security Deposit. CITY has received a one thousand dollar ($1,000.00) security deposit
from CONCESSIONAIRE. All or any portion of the principal sum of the security
deposit shall be available unconditionally to CITY for payment of delinquent concession
fees, for correcting any default or breach of this Agreement by CONCESSIONAIRE,
CONCESSIONAIRE's successors or assignees, or for payment of expenses incurred by
CITY as a result of CONCESSIONAIRE's failure to faithfully perform all terms,
covenants, and conditions of this Agreement. If at the end of the term of this Agreement,
CONCESSIONAIRE has performed all of the provisions of the Agreement, the security
deposit or any remaining balance shall be returned to CONCESSIONAIRE without
interest. CITY on thirty (30) days prior written notice to CONCESSIONAIRE may
request the security deposit may be increased proportionate to any increase in the
Minimum Fee. CONCESSIONAIRE shall maintain the security deposit throughout the
Term of this Agreement.
Notwithstanding any other provision of this Agreement, if CONCESSIONAIRE
fails or refuses to deposit or maintain a security deposit as required by this
Agreement, CITY may terminate this Agreement immediately upon such breach.
Upon such termination, CONCESSIONAIRE shall immediately cease its use of the
Site and commence and diligently pursue the removal of its property, if any, from
the Site.
i. Utilization. If CITY utilizes all or any portion of the security deposit, upon 10
days prior written notice, CONCESSIONAIRE shall reimburse the security
deposit to the full required amount.
ii. Increase. Upon thirty (30) days prior written notice by CITY,
CONCESSIONAIRE shall deliver to CITY additional funds as CITY may, in its
sole determination, require to adequately secure CONCESSIONAIRE'S
obligations under this Agreement.
iii. Return. Provided CONCESSIONAIRE is not in breach or default of this
Agreement, CITY shall return the security deposit, or any balance thereof, to
CONCESSIONAIRE within sixty (60) days after the expiration or termination of
this Agreement.
11. CITY'S Consent, Discretion. Whenever required under this Agreement, CITY's consent or
approval shall mean the written consent or approval of the DIRECTOR, unless otherwise
expressly provided. CITY's discretionary acts hereunder shall be made in the DIRECTOR's sole
and absolute discretion, unless otherwise expressly provided herein.
12. Acceptance of Site. CONCESSIONAIRE represents and warrants that it has independently
inspected the Site and made all tests, investigations, and observations necessary to satisfy itself of
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the condition of the Site. CONCESSIONAIRE agrees it is relying solely on its independent
inspection, tests, investigations, and observations in entering into this Agreement.
CONCESSIONAIRE further acknowledges that the Site is in the condition called for by this
Agreement, that CITY has performed all work, if any, related to the Site and required by this
Agreement, and that CONCESSIONAIRE shall hold CITY harmless for any defects, whether
apparent or latent, in the Site, including without limitation the presence of any hazardous
substances. By entering into this Agreement, CONCESSIONAIRE acknowledges that the CITY
does not control water levels at Lodi Lake or the Mokelumne River, that controlling entities
Woodbridge Irrigation District and East Bay Municipal Utility District reserve the right to change
levels at the discretion of each, and that Woodbridge Irrigation District lowers river levels for
several weeks each year, typically during the winter that results in the emptying of Lodi Lake.
13. Maintenance of the Site.
a. Except for the obligations of CONCESSIONAIRE described in the following section b,
City shall provide all customary and usual maintenance to the site and improvements,
consisting of the Boat House and adjoining dock.
b. CONCESSIONAIRE shall be responsible for all janitorial and cleaning services, repairs
and maintenance of the interior surfaces of the Boat House, and responsible for cleaning
the adjoining dock, except to the extent caused by a failure of CITY to perform its
maintenance obligations under paragraph 13(a). To assure notification of necessary
repairs of the leased space, CONCESSIONAIRE shall notify CITY of all interior repairs
performed by CONCESSIONAIRE. By way of explanation and not by way of limitation,
(i) CONCESSIONAIRE shall be liable for such items as (a) maintaining storage areas
and boat racks of the interior of the Boat House, (b) replacing light fixtures within the
Boat House, (c) sweeping, mopping and litter pick up in and around the Boat House,
including the dock; and (ii) CITY shall be responsible for (a) electrical systems and
wiring inside the walls of the Boat House, (b) roofing and siding of the Boat House, (c)
integrity of dock structure, and (d) wear and tear arising from normal use. Damages
resulting from CONCESSIONAIRE's failure to maintain the facilities as described will
be withheld from the security deposit described in Section 10.k.
c. CITY agrees to paint the exterior of the Lodi Lake Boat House no later than December
31, 2019 and on or before December 31, 2028, if all extensions under this Agreement are
executed. CONCESSIONAIRE shall paint the interior of the Lodi Lake Boat House no
later than December 31, 2019, and on or before December 31, 2028, if all extensions
under this Agreement are executed by the parties, using paint specified by CITY and to
CITY' s satisfaction.
14. Standard of Conduct. CONCESSIONAIRE and its employees shall at all times conduct
themselves and the operations on the Site in a respectable and courteous manner.
15. Inspection. CITY may, at all times, enter and inspect the Site.
16. Insurance. On or before the Effective Date, CONCESSIONAIRE shall deliver to CITY a current
certificate(s) of insurance for:
a. Commercial General Liability insurance providing coverage for bodily injury, including
death, personal injury, and property damage with limits of at least Five Million Dollars
($5,000,000) per occurrence, subject to an annual aggregate of Six Million Dollars
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($6,000,000). Higher insurance limits may be required by the CITY's Risk Management
Department depending on the nature of the activity.
(i) The $5,000,000 limit is to be designated strictly for the City of Lodi, its elected
and appointed Boards, Commissions, Officers, Agents, Employees, and
Volunteers.
b. CONCESSIONAIRE must maintain current workers compensation coverage which
meets statutory requirements for all employees. One Million Dollars ($1,000,000) of
employers' liability coverage is also required. A waiver of subrogation is required for
workers' compensation.
c. Automobile Liability Insurance for all bodily injury and property damage, with a limit of
at least One Million Dollars ($1,000,000) per occurrence subject to an annual aggregate
of Two Million Dollars ($2,000,000). Such insurance shall cover liability arising out of
any vehicle (including owned, hired, and non -hired vehicles) operated in performing any
and all Concessions or other services pursuant to this Agreement. Coverage shall be
written on ISO form CA 00 01 12 90, or a later version of this form, or an equivalent
form providing equivalent liability coverage.
d. Causes of Loss -Special Form Property Insurance. CONCESSIONAIRE shall obtain and
maintain, at its own cost and expense, Causes of Loss -Special Form Property Insurance
on all of CONCESSIONAIRE's insurable property related to the Site in an amount to
recover one hundred percent (100%) of the replacement cost. CONCESSIONAIRE shall
deliver to CITY a certificate of such insurance.
e. CONCESSIONAIRE must maintain a (marine) protection and indemnity policy, with
limits of not less than One Million Dollars ($1,000,000) per occurrence subject to an
annual aggregate of Two Million Dollars ($2,000,000), UNLESS proof is submitted that
CONCESSIONAIRE's non -motorized boat operations are under the commercial general
liability insurance policy. A certified copy of the CGL policy will be sufficient to meet
this requirement.
f. The following must be provided on all insurance endorsements:
Additional Insureds. Pursuant to a separate endorsement [ISO form CG 2010
(11/85) or equivalent form], "The City of Lodi, its elected and appointed Boards,
Commissions, Officers, Agents, Employees, and Volunteers" shall be named as
additional insureds in all policies.
ii. Primary & Non -Contributory. Additional insured coverage under
CONCESSIONAIRE's policy shall be "primary and non-contributory" and will
not seek contribution from CITY's insurance or self-insurance and shall be at
least as broad as ISO form CG 20 01 04 13.
iii. The limits of insurance coverage required under this Agreement, may be satisfied
by a combination of primary and umbrella or excess insurance. Any umbrella or
excess insurance of CONSESSIONAIRE shall contain or be endorsed to contain
a provision that such coverage shall also apply on a primary and non-contributory
basis for the benefit of CITY (if agreed to in a written contract or agreement)
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g.
before the CITY's own insurance or self-insurance shall be called upon to protect
CITY as a named insured.
iv. The street address of the City of Lodi must be shown along with (i) and (ii)
above: 221 West Pine Street, Lodi, California, 95240-1910; and the insurance
certificate must state, on its face or as an endorsement, a description of the
project_that it is insuring.
Insurance Policies. CONSESSIONAIRE's insurance policies shall be kept in force for
the term this Agreement and any extension thereof. The certificate(s) of insurance shall
be filed with CITY'S Risk Manager upon execution of this Agreement. CITY reserves
the right to obtain a full certified copy of any insurance policy or endorsements required
under this Agreement. Failure to exercise this right shall not constitute a waiver of
CITY's right to exercise after the Effective Date.
h. Qualified Insurer(s). All insurance required by the terms of this Agreement must be
provided by insurers licensed to do business in the State of California which are rated at
least "A-, VI" by the current AM Best Ratings Guide and which are acceptable to CITY.
Non -admitted surplus lines insurers may be accepted provided they are included on the
most recent list of California eligible surplus lines insurers (LESLI list) and otherwise
meet CITY requirements.
i. Deductibles/Retentions. All deductibles and self-insured retentions on any insurance
policy are the sole responsibility of CONCESSIONAIRE and must be disclosed and
acceptable to CITY at the time evidence of insurance is provided.
All self-insured retentions (SIR) must be disclosed to CITY's Risk Manager for
approval and shall not reduce the limits of liability set forth hereinabove.
ii. Insurance policies containing any self-insured retention (SIR) provision shall
provide or be endorsed to provide that the SIR may be satisfied by either the
Named Insured(s) or CITY.
iii. CITY reserves the right to obtain a full certified copy of any insurance policy or
endorsements required under this Agreement. Failure to exercise this right shall
not constitute a waiver of CITY's right to exercise after the Effective Date.
Continuity of Coverage. All policies shall be in effect on or before the first day of the
Term of this Agreement. At least thirty (30) days prior to the expiration of each insurance
policy, CONCESSIONAIRE shall furnish a certificate(s) showing that a new or extended
policy has been obtained which meets the requirements of this Agreement.
CONCESSIONAIRE shall provide proof of continuing insurance on at least an annual
basis during the Term. If CONCESSIONAIRE's insurance lapses or is discontinued for
any reason, CONCESSIONAIRE shall immediately notify the CITY and immediately
obtain replacement insurance.
k. Modification. To assure protection from and against the kind and extent of risk existing
on the Site, CITY, at its discretion, may require the revision of amounts and coverage at
any time during the Term by giving CONCESSIONAIRE thirty (30) days prior written
notice. CONCESSIONAIRE shall also obtain any additional insurance required by CITY
for new improvements, changed circumstances, or CITY's reasonable re-evaluation of
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risk levels related to CONCESSIONAIRE'S use of the Site in order to meet the
requirements of this Agreement.
1. Accident Reports. CONCESSIONAIRE shall immediately report to CITY any accident
causing property damage or injury to persons on the Site or person engaged in the
activities permitted under this Agreement. Such report shall contain the names and
addresses of the involved parties, a statement of the circumstances, the date and hour of
the accident, the names and addresses of any witnesses, and other pertinent information.
m. Failure to Comply. If CONCESSIONAIRE fails or refuses to obtain and maintain the
required insurance, or fails to provide proof of coverage, CITY may obtain the insurance.
CONCESSIONAIRE shall reimburse CITY for the premiums paid, with interest on the
premium paid by the CITY at the maximum allowable legal rate then in effect in
California. CITY shall notify CONCESSIONAIRE of such payment of premiums within
thirty (30) days of payment stating the amount paid, the name(s) of the insurer(s), and
rate of interest. CONCESSIONAIRE shall pay such reimbursement and interest on the
first (1st) day of the month following CITY's notice. Notwithstanding any other
provision of this Agreement, if CONCESSIONAIRE fails or refuses to obtain or
maintain insurance as required by this Agreement, or fails to provide proof of
insurance, CITY may terminate this Agreement immediately upon such breach.
Upon such termination, CONCESSIONAIRE shall immediately cease its use of the
Site and commence and diligently pursue the removal of any and all of its personal
property from the Site.
n. Insurance Coverage. It is required under this Agreement that any available insurance
proceeds broader than or in excess of the specified minimum insurance coverage
requirements and/or limits set forth above, shall be available to CITY as an additional
insured. Furthermore, the requirements for coverage and limits shall be (i) the minimum
coverage and limits specified in this Agreement; or (ii) the broader coverage and
maximum limits of coverage of any insurance policy or proceeds available to
CONCESSIONAIRE; whichever is greater.
17. Indemnification. To the fullest extent allowed by law, CONCESSIONAIRE shall protect, defend,
indemnify, and hold CITY, its elected officials, officers, representatives, agents and employees,
harmless from and against any and all claims asserted or liability established for damages or
injuries to any person or property, including injury to CONCESSIONAIRE's officers, employees,
invitees, guests, agents, or contractors, which arise out of or are in any manner directly or
indirectly connected with this Agreement or CONCESSIONAIRE's occupancy, use,
development, or maintenance of the Site, and all expenses of investigating and defending against
same, including without limitation attorney fees and costs; provided, however, that
CONCESSIONAIRE's duty to indemnify and hold harmless shall not include any claims or
liability arising from the established active negligence, sole negligence, or sole willful
misconduct of CITY, its elected officials, officers, representatives, agents and employees. CITY
may, at its election, conduct the defense or participate in the defense of any claim related in any
way to this indemnification. If CITY chooses at its own election to conduct its own defense,
participate in its own defense, or obtain independent legal counsel in defense of any claim related
to this indemnification, CONCESSIONAIRE shall pay all of the costs related thereto, including
without limitation reasonable attorney fees and costs. The defense and indemnification
obligations required by this Agreement are undertaken in addition to, and shall not in any way be
limited by the insurance obligations set forth herein.
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18. No Discrimination. CONCESSIONAIRE shall not discriminate in any manner against any person
or persons on account of race, color, religion, gender, sexual orientation, medical status, national
origin, age, marital status, or physical disability in CONCESSIONAIRE's use of the Site,
including but not limited to the providing of goods, services, facilities, privileges, advantages, and
accommodations, and the obtaining and holding of employment.
19. Local Business and Employment. CONCESSIONAIRE acknowledges that CITY seeks to
promote employment and business opportunities for local residents and firms in all CITY
contracts. CONCESSIONAIRE will, to the extent legally possible, solicit applications for
employment, and bids and proposals for subcontracts, for work associated with this Agreement
from local residents and firms as opportunities occur. CONCESSIONAIRE agrees to hire
qualified local residents and firms whenever feasible.
20. Drug-free Workplace. CONCESSIONAIRE shall be required to abide by the omnibus drug
legislation passed by Congress on November 18, 1988, by adopting and enforcing a policy to
maintain a drug-free workplace by doing all of the following:
a. Publish a statement notifying employees that the unlawful manufacture, distribution,
dispensation, possession or use of controlled substances are prohibited on the Sites and
specifying the actions that will be taken against employees for violations of the
prohibition; and
b. Establish a drug-free awareness program to inform employees about all of the following:
i. The dangers of drug abuse in the workplace:
ii. CONCESSIONAIRE'S policy of maintaining a drug-free workplace;
iii. Any available drug counseling, rehabilitation, and employees assistance
programs; and
iv. Penalties that may be imposed upon employees for drug abuse violations.
21. Disabled Access Compliance. CONCESSIONAIRE shall comply with the California Government
Code, Sections 11135-11139.5; the Federal Rehabilitation Act of 1973, Section 504, Title V; the
Americans with Disabilities Act of 1990 (ADA); and any other applicable state and federal laws
and regulations hereafter enacted protecting the rights of people with disabilities.
22. CONCESSIONAIRE's Risk. CONCESSIONAIRE shall bear all risks and liability arising out of
or in any manner directly or indirectly connected with CONCESSIONAIRE's occupancy, use,
development and maintenance of the Site and any damages to the improvements on, under, or in
the vicinity of the Site resulting directly or indirectly thereby.
23. No Nuisance. CONCESSIONAIRE shall not use the Site in any manner which, in DIRECTOR's
opinion, creates a nuisance or disturbs the quiet enjoyment of persons in and to the surrounding
area.
24. No Assignment. CONCESSIONAIRE shall not assign or sublicense any rights granted by this
Agreement or any interest in this Agreement without CITY'S prior written consent, which may
be withheld or delayed in CITY'S sole and absolute discretion. Any assignment by operation of
law shall automatically terminate this Agreement.
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25. Signs. CONCESSIONAIRE shall not erect or display any banners, pennants, flags, posters, signs,
decorations, marquees, awnings or similar devices or advertising without CITY's prior written
consent. If any such unauthorized item is found on the Site, CONCESSIONAIRE shall remove
the item at its expense within 24 hours' notice by CITY, or CITY may thereafter remove the item
at CONCESSIONAIRE's cost.
26. Advertisement and Marketing. Any advertising or marketing which reference the City of Lodi
may not be distributed by the CONCESSIONAIRE without the advanced written approval of the
CITY. If CONCESSIONAIRE uses the City of Lodi name or logo in any context to promote its
business operations without prior written approval by CITY, CONCESSIONAIRE shall be
considered to be in default.
27, Encumbrances. CONCESSIONAIRE shall keep the Site free from all encumbrances and liens of
any nature which arise out of or are in any manner directly or indirectly connected with this
Agreement or CONCESSIONAIRE's occupancy, use, development, or maintenance of the Site.
CONCESSIONAIRE shall protect, defend, indemnify, and hold CITY harmless from and against
any and all such encumbrances and/or liens, and from and against any claim, liability, cost or
expense, including without limitation all attorney fees and costs, relating to or charged against the
Site, including without limitation CONCESSIONAIRE'S failure or the failure of any contractor or
subcontractor hired by CONCESSIONAIRE to pay any person or persons referred to in Section
3181 of the California Civil Code or other applicable sections thereof.
28. Defaults and Remedies.
a. Default by CONCESSIONAIRE. Except for Safety Violations (as defined under
subsection b below) which are grounds for immediate termination, in the event that:
i. CONCESSIONAIRE shall default in the performance or fulfillment of any
covenant or condition required by this Agreement to be performed or fulfilled by
CONCESSIONAIRE, including any covenant or condition in
CONCESSIONAIRE's Operating Plan and shall fail to cure the default within
thirty (30) days following written notice from CITY; or if any default is not
curable within thirty (30) days, and CONCESSIONAIRE shall fail to commence
to cure the default(s) within said thirty (30) day period and diligently pursue cure
to completion;
ii. CONCESSIONAIRE shall voluntarily file or have involuntarily filed against it
any petition under bankruptcy or insolvency act or law; or
iii. CONCESSIONAIRE shall make a general assignment for the benefit of
creditors; then CITY may, at its option, without further notice or demand upon
CONCESSIONAIRE or upon any person claiming rights through
CONCESSIONAIRE, immediately terminate this Agreement and all rights of
CONCESSIONAIRE and of all persons claiming rights through
CONCESSIONAIRE and expel CONCESSIONAIRE and all persons so claiming
rights thereto. Provided however, in the event that any default described in
Paragraph 28.a.i of this section is not curable within thirty (30) days after written
notice to CONCESSIONAIRE, CITY shall not terminate this Agreement
pursuant to the default if CONCESSIONAIRE immediately commences to cure
the default and diligently pursues cure to completion. In any event, either party
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may terminate this Agreement without cause by giving ninety (90) days written
notice of intent to terminate to the other party.
b. Safety Violations by CONCESSIONAIRE. Notwithstanding subsection (a) above, in the
event CONCESSIONAIRE defaults in the performance or fulfillment of any covenant or
condition required by this Agreement to be performed or fulfilled by
CONCESSIONAIRE, including any covenant or condition in CONCESSIONAIRE's
Operating Plan, and said default by CONCESSIONAIRE consists of any violation of
municipal, state or federal law, or any covenants or conditions in CONCESSIONAIRE's
Operating Plan that, in the CITY's sole discretion, relate to public safety ("Safety
Violations"), CITY may, at its option, require CONCESSIONAIRE to immediately cure
said default, or, without further notice or demand upon CONCESSIONAIRE or upon any
person claiming rights through CONCESSIONAIRE, suspend or revoke this Agreement.
c. Abandonment by CONCESSIONAIRE. In the case that CONCESSIONAIRE breaches
this Agreement and abandons the Site, this Agreement shall continue in full force and
effect for so long as CITY does not terminate this Agreement, and CITY may enforce all
its rights and remedies under this Agreement, including, but not limited to, the right to
recover the Percentage Fee as it becomes due, plus damages. For purposes of this section,
the following do not constitute a termination of CONCESSIONAIRE's right to
possession or operation:
Acts by CITY of maintenance, preservation, or efforts to negotiate a new
Agreement.
ii. The appointment of a receiver upon initiative of CITY to protect CITY's interest
under this Agreement.
29. Damages. CITY, in the event of CONCESSIONAIRE's default under this Agreement, may
recover any outstanding fees (as set forth in paragraph 10) due for the remaining term of this
Agreement, less any mitigation measures taken by CITY. The remedies provided by this section
are not exclusive and shall be cumulative to all other rights and remedies possessed by CITY, and
nothing contained herein shall be construed so as to defeat any other rights or remedies to which
CITY may be entitled.
30. Compliance with Laws. CONCESSIONAIRE shall, at its sole cost and expense, comply with all
the requirements of all rules, regulations, ordinances, laws and direction of governing authorities
now in effect or which may hereafter be in effect, which pertain to CONCESSIONAIRE'S
occupancy, use, development, and maintenance of the Site.
31. Taxes. CONCESSIONAIRE shall pay, before delinquency, all taxes, assessments, and fees
assessed or levied upon CONCESSIONAIRE by reason of the business or other
CONCESSIONAIRE activities related to the Site, including any licenses or permits.
CONCESSIONAIRE acknowledges that this Agreement may create a possessory interest subject
to property taxation, and that CONCESSIONAIRE may be subject to the payment of taxes levied
on that interest. CONCESSIONAIRE shall be fully and solely responsible for payment of all such
possessory interest taxes. CONCESSIONAIRE'S payment for taxes, fees, and assessments shall
not reduce any payment due CITY under this Agreement.
32. Water Quality Assurances. The CITY and CONCESSIONAIRE are committed to the
implementation of control (best management practices, or BMPs) to manage activities on the Site
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in a manner which aids in the protection of the City of Lodi and San Joaquin County's precious
water resources. It is the CONCESSIONAIRE's responsibility to identify and implement an
effective combination of BMPs so as not to cause pollutant discharges to Lodi Lake or the
Mokelumne River.
33. Hazardous Substances. CONCESSIONAIRE shall not allow the installation or release of
hazardous substances in, on, under, or from the Site. CONCESSIONAIRE and
CONCESSIONAIRE's agents and contractors shall not store, utilize, or sell any hazardous
substance on the Site without CITY's prior written consent. For the purposes of this provision, a
release shall include but not be limited to any spilling, leaking, pumping, pouring, emitting,
emptying, discharging, injecting, escaping, leeching, dumping, or otherwise disposing of
hazardous substances. "Hazardous substances" shall mean those hazardous substances listed by
the Environmental Protection Agency in regularly released reports and any other substances
incorporated into the State of California's list of hazardous substances.
a. Remediation. If any release of a hazardous substance occurs, CONCESSIONAIRE shall
pay all costs of remediation and removal of the hazardous substance in accordance with
all applicable laws and rules and regulations of governmental authorities.
b. Indemnity. CONCESSIONAIRE shall protect, defend, indemnify, and hold CITY
harmless from any and all claims, costs, and expenses related to environmental liabilities
resulting from CONCESSIONAIRE's occupancy, use, development, or maintenance of
the Site, including but not limited to costs of environmental assessments, costs of
remediation and removal, any necessary response costs, damages for injury to natural
resources or the public, and costs of any health assessment or health effect studies.
c. Notice of Release. If CONCESSIONAIRE knows or has reasonable cause to believe that
any hazardous substance has been released on or beneath the Site, CONCESSIONAIRE
shall give written notice to CITY within three (3) days of receipt of the knowledge or
cause for belief. If CONCESSIONAIRE knows or has reasonable cause to believe that
such substance is an imminent and substantial danger to public health and safety,
CONCESSIONAIRE shall notify CITY immediately upon receipt of such knowledge or
belief and shall take all actions necessary to alleviate the danger. CONCESSIONAIRE
shall notify CITY immediately of any notice of violation received or initiation of
environmental actions or private suits related to the Site.
d. Environmental Assessment. At CITY's option upon expiration or termination of this
Agreement, an environmental assessment of the Site shall be performed by a professional
environmental consultant registered with the State of California as a Professional
Engineer, Certified Engineering Geologist, or Registered Civil Engineer. The
environmental assessment shall be obtained at CONCESSIONAIRE's sole cost and
expense, and shall establish what, if any, hazardous substances exist on, in, or under the
Site, and in what quantities. If any hazardous substances exist in quantities greater than
that allowed by CITY, county, state, or federal laws, statutes, ordinances, or regulations,
then the environmental assessment shall include a discussion of these substances with
recommendations for remediation and removal necessary to effect compliance with those
laws or statutes, and estimates of the cost of such remediation or removal.
CONCESSIONAIRE shall cause the remediation and/or removal recommended in the
environmental assessment such that compliance with environmental law is achieved, and
CONCESSIONAIRE shall pay all costs and expenses therefore.
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34. Waiver. CITY's failure to insist upon the strict performance of any of CONCESSIONAIRE's
obligations under this Agreement, in one or more instance, shall not be construed as a waiver of
any such obligation, and the same shall remain in full force and effect. The property constituting
the Site is CITY -owned and held in trust for the benefit of CITY'S citizens. CITY'S failure to
discover a breach of any obligation of this Agreement or take prompt action to require the cure of
any such breach shall not result in an equitable estoppel, but CITY may at any and all times
require the cure of any such breach.
35. Applicable Law, Jurisdiction, Severability, and Attorney's Fees. This Agreement shall be
governed by the laws of the State of California. Jurisdiction of litigation arising from this
Agreement shall be venued with the San Joaquin County Superior Court. If any part of this
Agreement is found to conflict with applicable laws, such part shall be inoperative, null and void
in so far as it is in conflict with said laws, but the reminder of this Agreement shall be in force
and effect. In the event any dispute between the parties arises under or regarding this
Agreement, the prevailing party in any litigation of the dispute shall be entitled to reasonable
attorney's fees from the party who does not prevail as determined by the San Joaquin County
Superior Court.
36. Survival. Any obligation which accrues under this Agreement prior to its expiration or
termination shall survive such expiration or termination.
37. Joint and Several Liability and Responsibility. If CONCESSIONAIRE includes more than one
person or legal entity, each such person and legal entity shall be jointly and severally liable and
responsible for the performance of each and every obligation of CONCESSIONAIRE under this
Agreement.
38. Terms of Agreement Prevail. All exhibits to this Agreement are intended to be construed as a
single document. Should any inconsistency occur between the specific terms of this Agreement
and the attached exhibits, the terms of this Agreement shall prevail.
39. Partial Invalidity. If any term, covenant, condition, or provision of this Agreement is found
invalid, void, or unenforceable by a court of competent jurisdiction, the remaining provisions will
remain in full force and effect.
40. Number and Gender. Words of any gender used in this Agreement shall include any other gender,
and words in the singular number shall include the plural, when the tense requires.
41. Captions. Section headings and captions shall not be held to define, limit, augment, or describe
the scope, content, or intent of any or all parts of this Agreement. The numbers of the paragraphs
and pages of this Agreement may not be consecutive. Such lack of consecutive numbers shall
have no effect on the enforceability of this Agreement.
42. Entire Agreement. This Agreement constitutes the entire Agreement between the parties and
supersedes any and all prior understandings, representations, warranties, agreements and permits
between them and pertaining to this Agreement and CONCESSIONAIRE'S occupancy, use,
development, and maintenance of the Site, whether oral or written. Any modification, alteration,
or amendment of this Agreement shall be in writing and signed by both parties.
43. Notices. Any notice required or permitted to be given under this Agreement shall be in writing
signed by an authorized representative of the sender and shall be deemed to have been given
when the same is personally served or upon receipt by express or overnight delivery, postage
16
prepaid, or three (3) days from the time of mailing if sent by first class or certified mail, postage
prepaid, addressed as follows:
CITY:
City of Lodi
Parks, Recreation & Cultural Services Department
Attention: Director
P.O. Box 3006.
Lodi, CA 95241
CONCESSIONAIRE:
Headwaters Kayak Shop
Attention: Daniel J. Arbuckle
847 N. Cluff Ave., Suite A-6
Lodi, CA 95240
44. City Business License Required. CONCESSIONAIRE acknowledges that Lodi Municipal Code
section 3.01.020 requires CONCESSIONAIRE to have a city business license and
CONCESSIONAIRE agrees to secure such license and pay the appropriate fees prior to
performing any work under this Agreement.
45. Governmental Approvals. By entering into this Agreement, neither CITY nor CITY's City
Council is obligating itself to any governmental agent, board, commission, or agency with regard
to any other discretionary action relating to CONCESSIONAIRE's occupancy, use, development,
or maintenance of the Site. Discretionary action includes but is not limited to re -zonings,
variances, environmental clearances, or any other governmental approvals which may be required
for CONCESSIONAIRE's occupancy, use, development, or maintenance of the Site.
46. City's Not -Liable. CITY shall not be liable to CONCESSIONAIRE, its employees, agents, or
representatives for any loss of revenue, business, or otherwise as a result of any weather
conditions, beach closures„ floods, fire, or any other acts of God, strikes, lockouts, labor disputes,
governmental delays, epidemics, causes beyond the reasonable control of CITY, or in CITY's
performance of any act related to protecting the public health and safety.
47. Subcontracts. Unless prior written approval of CITY is obtained, CONCESSIONAIRE shall not
enter into any subcontract with any other party for purposes of providing any work or services
covered under this Agreement.
48. Authority to Contract. Each individual executing this Agreement on behalf of another person or
legal entity represents and warrants that he/she is authorized to execute and deliver this
Agreement on behalf of such person or entity in accordance with duly adopted resolutions or
other authorizing actions which are necessary and proper and under such legal entity's articles,
charter, bylaws, or other written rules of conduct or governing Agreement, and that this
Agreement is binding upon such person or entity in accordance with its terms. Upon request, each
person executing this Agreement on behalf of another person or legal entity shall provide CITY
with evidence, satisfactory to CITY, that such authority is valid.
(signature page on next page)
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IN WITNESS WHEREOF, this Agreement is executed to be effective as of the Effective Date.
Date: CITY OF LODI, a California municipal corporation
ATTEST:
By:
STEPHEN SCHWABAUER
JENNIFER M. FERRAIOLO City Manager
City Clerk
"CONCESSIONAIRE"
HEADWATERS KAYAK SHOP, Sole Proprietor
Date: By:
DANIEL J. ARBUCKLE
Owner
APPROVED AS TO FORM:
By:
JANICE D. MAGDICH
City Attorney
Exhibit A - Site Map
Exhibit B - Non -Motorized Boat Concession Requirements
Exhibit C - Operating Plan
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EXHIBIT A
EXHIBIT B
Non -Motorized Boat Concession Requirements
The following requirements are subject to revision at any time by the CITY:
A commercial non -motorized boat operator issued a Concession by the CITY shall maintain continual
adherence to all terms and conditions included herein and all applicable laws and shall take the necessary
safety precautions to ensure that the public and beach are protected.
1. Mokelumne River and Safety
Concessionaire must check the Department of Water Resources, California Data Exchange Center each
day for Camanche Reservoir outflows (http://cdec.water.ca.gov/river/res_CMN.html) . Concessionaire
must provide information to clients of daily conditions and/or hazards and the dangers inherent in
kayaking, paddle boarding or other non -motorized boating in Lodi Lake and the Mokelumne River.
Concessionaire and its employees, agents and/or affiliates must adhere to all directions provided by
lifeguards, other representatives of the CITY of Lodi, or any other officer with authority to enforce local,
state or federal law. In the case of disputes, supervisory personnel may be summoned, but the decision of
lifeguards regarding any particular matter on a given day is final.
City staff reserves the right to close the Boat House, dock, kayak launch and/or terminate any boat tours
and/or rentals based on safety considerations.
2. Identifying Markers
Concessionaire (owner), its employees and/or agents must be readily identifiable, a company shirt or rash
guard with a logo in clear view, as authorized employees and/or agents of the company.
All non -motorized boats used in Concessionaire's commercial operations shall be marked with the name
or logo of the licensee's and an individual, non -duplicated number. The markings shall be plainly visible
and legible from a distance of fifty (50) feet.
3. Concession Site/Location
All business transactions must be conducted within Concessionaire's storefront address or the Lodi
Lake Park Boat House. Concessionaire will meet tour participants inside of store or in the area
designated by the CITY. Concessionaire's violation of this provision shall be considered a breach of
this Permit and may be cause for termination.
4. Boat Launch/Operator Vehicles
Concessionaire's vehicles and trailers used for the transport and delivery of non -motorized boats and/or
equipment, utilizing the Lodi Lake dock or kayak launch:
Must possess current registration, and drivers a valid California driver's license.
Vehicles and trailers must be clearly marked with the company's name by either permanent or
magnetic signs, and plainly visible and legible from a distance of one hundred (100) feet.
The boat launch area must be kept clear at all times. Boats must not be left in a position that
obstructs free use of the launch area.
5. Concession Site - Regulations
All outfitting and rigging of non -motorized boats and training of clients will be conducted on dry land at
a designated site. The boat launch area must be kept clear at all times. Non -motorized boats and
equipment must not be left in a position that obstructs free use of the kayak launch area.
6. Maximum number of tour participants/ Student to instructor ratios
Kayak tours will never exceed sixteen (16) kayaks total (fifteen client kayaks and one kayak guide), and
must adhere to the following criteria:
One (1) kayak guide for every fifteen (15) client kayaks. Should a kayak tour exceed fifteen (15) client
kayaks, an additional kayak guide will be required.
Ratio of clients to kayak guides will never exceed fifteen (15) clients to one (1) kayak guide (15:1),
regardless of the number of kayaks.
7. Water Activity Zones
Kayak tours will adhere to the California Division of Boating and Waterways laws.
8. Equipment:
At least one (1) kayak guide must have a cell phone for emergency purposes. Concessionaire shall
maintain all non -motorized boats and operational equipment in sound working order and condition.
Rental boats may not be deposited at the designated rental storage area prior to 7 a.m. and must be
removed before 8:30 p.m.
The concessionaire must provide an employee to monitor the rental kayak storage area at all times during
operation.
Non -motorized boat storage area will be maintained in a neat and orderly manner at all times. Rental
boats and equipment will be stored in a manner as to not to impede any and/or all other activities within
the Boat House or adjoining dock.
9. Waivers
The Concessionaire must have on file a signed waiver, or an electronically signed waiver, from each
participant, or their legal guardian if under 18 years of age, which holds the CITY, its agents, officers
and employees harmless and indemnifies the same from any claims relating to the participates' activities
on the CITY beach which arise from or are in any manner connected with the services provided to the
participants under this Agreement.
10. Safety Precautions/Emergency Response Plan
Concessionaire must maintain a record of the client's name, local contact number and boat identification
number to aid with locating the client should they go missing.
Rental kayak clients shall be provided with a waterproof map of the adjacent water area, clearly
depicting the Mokelumne River from the Woodbridge Dam to Highway 99, known hazards and off-
limits areas.
Concessionaire must make clients aware of know hazards and off-limits areas, preferably by referencing
the provided map, and that any violations may result in a citation and/or injury.
Concessionaire shall provide a properly fitting U.S. Coast Guard approved Type II or Type III personal
flotation device to each client.
If a client reports an injury to licensee or the Concessionaire is aware of an injury or accident that
requires medical services and the injury occurs during the performance of a licensee's services from
launch to return, in addition to alerting the local emergency services the licensee shall file an accident
report with the manager.
Concessionaire shall keep a file on record of all accident reports for three (3) years after each event.
11. Minimum Requirements for Guides
Must be at least eighteen (18) years old.
All non -motorized boat guides are responsible for completing and maintaining the minimum
qualifications as outlined:
A valid Basic First Aid certification from the American Red Cross or the equivalent.
A valid CPR certification from the American Red Cross or the equivalent.
Supervise and instruct clients and be capable of giving a suitable orientation talk to all clients
in his or her boat on relative subjects which may include, but not limited to, overall safety, personal
floatation devices, emergency signaling devices, paddling/maneuvering skills.
Possess a general knowledge of emergency access and evacuation routes, and summon and
assist, when requested, any emergency response personnel.
Concessionaire may request variations from the kayak guide qualifications set forth in this section.
Requests for variations must be made in writing to the Park and Recreation Department and the request
shall substantiate that the variation does not reduce the intent of the qualification set forth in this rule.
Documents relating to the requirements of this section shall be kept at the Concessionaire's storefront for
inspection by the manager or representative.
Keeping patrons safe while engaged in non -motorized boat tours and rentals will be the highest
priority of the operator. Should the manager or representative, Lodi Parks, Recreation & Cultural
Services staff or other official CITY personnel find violations or a pattern of violations of any
requirement of this permit then a "Violation of Permit/Safety Notice" will be issued.
12. Violations/Safety Notice
The CITY reserves the right to perform inspections and/or reviews with or without advanced notice.
These inspections and/or reviews may be for any or all aspects related to the Concession Agreement
and its exhibits, including but not limited to certificates and qualifications of tour guides; other safety
issues; records pertaining to renters. Violation of any aspect of the Concession Agreement may result
in suspension or revocation of the Agreement. With regard to safety, the CITY or any other officer
with authority to enforce local, state or federal law, has the right to terminate any tour or individual
kayak rental if there is a violation of safety requirements.
As a guideline, when a licensee or licensee's agent is issued a "Violation of Permit/Safety Notice" or
convicted for any violation related to their non -motorized boat operations, in addition to any penalty
assessed by the courts, the following actions will occur:
First Notice or conviction in a one year period - no additional action taken against the
licensee or licensee's agent
Additional notices or convictions shall be evaluated by the CITY for an appropriate and
reasonable sanction, up to and including suspension or revocation of the permit.
Third Notice or conviction in a one (1) year period - the licensee's permit may be revoked.
13. Non -Motorized Boat rentals -- additional stipulations for weekends during the peak summer
season
In addition to designated tours, each licensee will be permitted to rent no more than twenty (20)
kayaks to other individuals (non -tour) at any one time.
14. Additional Concession Stipulations
Concessionaire must have a valid license to do business within the City of Lodi, as well as a
storefront, as stated in the Agreement, where business will be conducted.
EXHIBIT C
PROPOSED OPERATING PLAN
FOR
NON -MOTORIZED BOATING CONCESSIONS
AT
LODI LAKE PARK BOAT HOUSE
SUBMITTED TO
CITY OF LODI
PARKS, RECREATION & CULTURAL SERVICES DEPT.
125 N. STOCKTON STREET
LODI, CA 94240
ON
FEBRUARY 2017
INTRODUCTION
Headwaters Kayak Shop was started in Lodi, California in 2010. We are a customer -centered
shop and are striving to make kayaking more accessible for everyone in the central valley and
beyond. The business is currently located at 847 North Cluff Avenue, Suite A-6, Lodi, California.
We provide customers with quality merchandise and most importantly, the expert instruction
and skill that they will need to get the most out of their investments and their experiences on
the water. We strive to meet each customer wherever they are in their skill set and help them
advance to achieve the goals that they have set for themselves.
Headwaters Kayak maintains local, courteous, and well-trained staff with experience on the
local water ways. Groups like the Sand Hill Crane Festival, Boy Scouts of America and Heroes on
the Water call Headwaters Kayak year after year for professional and safe tours.
This proposal is intended to present Headwaters Kayak's operational and technical procedures
for operating the Lodi Lake Park Boat House, located at 1101 West Turner Road in Lodi,
California, for a period of five years with three two-year renewal options beginning April 1,
2017 and continuing through March 31, 2022, potentially through March 31, 2028.
This operational proposal has been formatted in sections as follows:
• Operational Proposal
• Proposed Agreement Term
• Description of Proposed Operations
• Resume & Summary of Experience
• Employee Qualifications
• Emergency Response Plan
• Community Service
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Operational Proposal
Non -Motorized Boat Concession
PROPOSED AGREEMENT TERM
This proposal is for an agreement term of five years beginning on April 1, 2017 and ending on
March 31, 2022 with three two-year renewal options, potentially through March 31, 2028.
DESCRIPTION OF PRPOSED OPERATIONS
Fleet size and makeup
Headwaters Kayak shall maintain the following fleet:
• 20 single kayaks and associated paddles
• 10 tandem kayaks and associated paddles
• 1 canoe and associated paddles
• 20 standup pedal boards and associated paddles
• 2 Pedal Boats
• 60 Type III life preservers in assorted sizes to meet customer's needs.
The fleet and equipment shall be adjusted as needed to support needs of the Boat House at the
discretion of Headwaters Kayak in agreement with the Lodi Parks and Recreation Commission
Services (PRCS) director.
Operating Days & Hours of Operation
The Boat House days and hours of operation will vary based on weather conditions, lake
conditions and customer demand. It is understood that during special events closing Lodi Lake
Park to the public may impact days and/or hours of operation.
Spring Season for the purpose of this proposal shall be considered to be May 1st through
Memorial Day. During this season the Boat House shall be open Saturdays and Sundays
10:OOam-5:OOpm. Also will be open during Lodi Unified School District's Spring Break
Tuesdays -Sunday 10:OOam-5:OOpm.
Summer Season for the purpose of this proposal shall be considered to be within the
holidays Memorial Day and Labor Day. During this season the Boat House shall be open
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and operating Tuesday through Sunday (and on Mondays that are holidays) 10:OOam-
6:OOpm.
Fall Season for the purpose of this proposal shall be considered to be Labor Day through
October 1st. During this season the Boat House shall be open Saturdays and Sundays
10:OOa m-5:OOpm.
Headwaters Kayak reserves the right to modify the above schedule based on client demand,
with permission of the Lodi PRCS director. For example, if it is found during the summer season
operating hours that there is higher demand for rentals than is being accommodated with the
above schedule, Headwaters Kayak will adjust the schedule to address the needs of the
clientele. Conversely, for example, if it is found that demand is not high enough to warrant
being open both days of the weekend during the fall season, Headwaters Kayak will adjust the
operating schedule at its own discretion.
Proposed Rental Fee Schedule
Headwaters Kayak will implement this fee schedule for the five-year term of the agreement and
shall be allowed to revisit this schedule prior to entering each of the renewal options. Prices
may be changed with permission of the Lodi PRCS director at any time during the term of this
agreement.
All prices listed below include vessel, personal floatation device(s), and paddle(s):
GUIDED TOURS
Basic Bi -weekly Tour
$27 per person, includes equipment
- Children under 10 -years -old free with accompanying paid adult
- Free for those with their own equipment
INDIVIDUAL RENTALS
Basic Single Kayak
Hourly
Four Hours
$12
$30
Premium Single Kayak
$18
$40
Tandem Kayak
$25
$60
Canoe
$30
$70
Stand -Up Paddle Board $14 $35
Pedal Boat (Lake only) $20 $60
Upon approval of the transaction, clients will be handed first a water-resistant map with rules
and regulations for paddling on the Mokelumne River. Also, they will receive an appropriately
Headwaters Kayak 1 TECHNICAL PROPOSAL, NON -MOTORIZED BOAT CONCESSIONS AT LODI LAKE BOATHOUSE
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fitting Type III personal floatation device, an appropriate paddle and will be shown to their
vessel. If assistance with launching is needed, it will be provided by the employee.
Guided Tours
Guided tours will be offered during summer season once during the week and periodically
during the weekends (Friday, Saturday and/or Sunday), and will last approximately two hours.
Weekday tours will be offered in the evening, departing from the Boat House at a point in time
that will allow tours to be off of the water at least 15 minutes prior to sunset. Weekend tours
will be offered in the mornings. Regularly scheduled tours will consist of a minimum of four
clients and a maximum of thirty clients. The client -to -guide ratio shall be 15 clients to one
guide. A tour of 16 clients will be accompanied by two guides; one lead, one assistant. The
ratio is based on clients, not vessels.
Headwaters Kayak will offer the above tours at a minimum, and will increase the offering of
tours at its own discretion based on volume and client demand.
During guided tours, clients will be educated on the following aspects of Lodi Lake and the
Mokelumne River:
• Water fowl
• Fish inhabitants and annual salmon run
• Mokelumne River point of origination
• Mokelumne River support of agriculture, Woodbridge Irrigation District
• Lodi Lake and Lodi Lake Special Events (July 4th Celebration, Wine Stroll, etc)
Tours will begin with a brief presentation on safety, proper use of equipment, and the tour's
planned route from departure of the Boat House dock to the return of the same. Clients will be
instructed on basic paddling stroke, technique and skills.
Individual Non -Motorized Boat & Stand -Up Paddle Board Rentals
Vessels will be available for individual non -guided rental during the regular operating hours
mentioned above. The maximum number of rented vessels will coincide with the number of
employees on -hand at any given time. The ratio of employees to rented vessels will be one
employee to twenty rented vessels.
Prior to rental, clients will be presented a map of the waterway showing access boundaries for
the period of their rental. After verbally acknowledging the geographical limits of their rental,
clients will be presented with a standard waiver and release of liability which will indemnify and
hold harmless the City (as well as its agents and affiliates) and Headwaters Kayak for any
incident related to misuse or neglect of Headwaters Kayak equipment or instruction. The
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waiver will furthermore identify common obstructions and hazards found on waterways and
will warn clients of such.
After signing the abovementioned waiver, a brief presentation on boating safety and common
hazards will be delivered to clients. A more detailed explanation of a pre -tour presentation is
provided later in this proposal. Following the presentation, clients will be given the opportunity
to ask questions of employees.
Once the boundaries have been set, the waiver has been signed, and the safety presentation
has been delivered to clients, rental fees based on the fee schedule below will be collected in
the form or cash, debit, or credit.
Retail Products
In addition to non -motorized boat rentals, Headwaters Kayak will offer goods for retail sale that
pertain to non -motorized boating and general use of the lake. Making items available such as,
but not limited to, bottled water, dry bags, sunscreen, and lip balm will enhance the experience
of rental clientele and will also provide a resource for those using the beach or park area.
Additional items may be sold with the permission of the Lodi PRCS director.
MOKELUMNE RIVER, LODI LAKE CONDITIONS AND SAFETY
Prior to opening, the current condition of Lodi Lake and the Mokelumne River will be assessed
by a managing member of Headwaters Kayak by both personal review and internet research. A
managing member will then post current conditions on a clearly visible sign located at the Boat
House and at its storefront notifying clients of the conditions. Headwaters Kayak and associated
staff members agree to adhere to directions from lifeguards, the City, and local, state, or
federal law enforcement. In addition, Headwaters Kayak and the City will reserve the right to
cancel any rentals and/or tours if conditions are deemed by either party to be unsafe for
clients. Fees that have been accepted for tours canceled due to conditions will be fully
refunded to clients.
IDENTIFYING MARKERS
All employees associated with rentals and tours will be identifiable by means of matching
apparel and personal floatation devices that will clearly show a difference between employees
and clients. The clothing will be marked 'STAFF', 'HEADWATERS', or other verbiage that
identifies employees as a point of contact for Headwaters Kayak.
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All non -motorized vessels will be identified with Headwaters Kayak's logo or name as well as an
individual identifying marker. Identifiers will be maintained in good condition and will be
plainly visible from a distance of 50 feet.
BOAT LAUNCH/OPERATING VEHICLES
Vehicles and/or trailers transporting boats and equipment will be current on registration and
insurance, as well as operated by licensed and insured drivers. Vehicles will be clearly identified
and recognizable as vehicles of Headwaters Kayak by means of markings that are identifiable
from a distance of 100 feet.
Launch areas will be kept clear at all times, and non -motorized vessels will not be left in a
position that obstructs free use of the launch area.
CONCESSION SITE -REGULATIONS
Outfitting and rigging of non -motorized boats and training of clients will occur on the boat dock
or at a location near to the Boat House. Launch areas, as mentioned above, will be maintained
in an open and clear condition and will be kept clean at all times.
ADHERANCE TO LAWS & REGULATIONS
Operations will abide by local, state, and federal law and regulations. In the event that
regulations are conflicting, the most restrictive regulations shall govern. In addition, operations
will be in accordance with this proposal and the terms of the agreement with the City.
EQUIPMENT
All non -motorized boats shall be kept clean, well-maintained, and in working order. The
equipment will be up-to-date and current. Rental fleet shall be managed within park operating
hours. The Boathouse will be staffed appropriately during hours of operation as stated above.
Equipment will be stored in an orderly fashion as to facilitate other activities in the Boat House
and/or dock.
WAIVERS
Headwaters Kayak 1 TECHNICAL PROPOSAL, NON -MOTORIZED BOAT CONCESSIONS AT LODI LAKE BOATHOUSE
As mentioned above, Headwaters Kayak will collect waivers from each participant (or legal
guardian if participant is under the age of 18 years) of individual rentals and/or guided tours
that indemnifies and holds harmless the City of Lodi and its agents, officers, and employees
from any damages resulting from the activities of Headwaters Kayak operations as detailed in
this proposal. Waiver will additionally include a photograph release to permit sharing of photos
taken on tours, individual rentals, and the like on social media and other marketing media.
Waivers shall be kept on file for a minimum of three years and available for review.
SAFETY PRECAUTIONS/EMERGENCY RESPONSE PLAN
A log will be maintained for each individual rental and guided tour of each client's name,
emergency contact name and phone number, and identification number of the non -motorized
vessel they are assigned to. As stated above, prior to individual rentals and guided tours clients
will be informed of lake and river conditions as well as advised of hazards and boundaries.
Clients will be made aware that failure to comply may result in termination of tour/rental,
citation, injury, and/or death.
As mentioned above, each client will be fitted with the appropriate U.S. Coast Guard -approved
Type III personal floatation device. Clients will be advised to wear the personal floatation device
properly at all times while on the water, and will be made aware that failure to comply may
result in termination of tour/rental, citation, injury, and/or death. Any client refusing to use
personal floatation device properly will be refused service.
Accidents and/or injuries that occur during any of the services provided shall be handled in
accordance with our Emergency Policy & Procedure (see below). The injured party will be
returned to the Boat House if possible, or to land, and Emergency Medical Services will be
called. Headwaters Kayak owner(s) will be notified as will the City as soon as safety allows. An
Accident Report will be completed, kept on file for a minimum of 3 years, and a copy will be
given to the City.
MINIMUM REQUIREMENTS FOR GUIDES
Client safety is the top priority while providing guided tours and individual rentals on Lodi Lake
and on the Mokelumne River. Therefore, the guiding staff will be held to the following
minimum qualifications:
• 18 years of age or older
• Current Basic First Aid certified or equivalent
• Current Basic CPR Certificate
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• Knowledgeable of basic paddle strokes, rescues, overall safety, personal floatation
device fitting, emergency signals, Lodi Lake, the Mokelumne River, water safety, and
about all equipment being used
• Capable to teach clients information including but not limited to: basic paddling skills,
emergency responses, overall safety, personal floatation devices, important information
about the lake and river including hazards and boundary waters
• Possess understanding of Headwaters Safety/Emergency Policy & Procedures, including
but not limited to: evacuation routes, when to activate emergency medical services, and
provide first aid and CPR as trained
• Exceptional communication skills, public relations skills, and problem solving skills
Headwaters Kayak may request variations from the non -motorized guide qualifications set forth
in writing to the Lodi PRCS director. The request shall substantiate that the variation does not
reduce the intent of the qualification set forth in this rule.
Documents and/or copies of certificates to support the above requirements will be kept in the
Boat House and/or the Headwaters Kayak storefront, available for review.
VIOLATIONS/SAFETY NOTICES
It is understood that the City has the right to perform inspections and/or reviews with or
without advanced notification. These inspections and/or reviews may be for any or all aspects
related to the Concession Agreement and its Exhibits. Violations of an aspect of the Concession
Agreement may result in suspension or revocation of the Agreement. The City or any local,
state, or federal law enforcement officer has the right to terminate any individual rental or tour
if a violation of safety requirements is discovered.
It is understood that a "Violation of Permit/Safety Notice" will be issued, if at any time,
violations or a pattern of violations of any requirement of this permit are found.
As a guideline, when a licensee or licensee's agent is issued a "Violation of Permit/Safety
Notice" or convicted for any violation related to their non -motorized boat operations, in
addition to any penalty assessed by the courts, the following actions will occur:
• First Notice or conviction in a one-year period - no additional action taken against the
licensee or licensee's agent
• Additional notices or convictions shall be evaluated by the CITY for an appropriate and
reasonable sanction, up to and including suspension or revocation of the permit.
• Third Notice or conviction in a one (1) year period - the licensee's permit may be revoked.
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ADDITIONAL CONESSION STIPULATIONS
Headwaters Kayak will maintain a valid business license for the City of Lodi as well as the
storefront to conduct business as stated in the Agreement. Proprietor will obtain an American
Canoe Association Level 2 Instructor certificate in calendar year 2017.
NOTIFICATION REQUIREMENTS
Headwaters Kayak will notify the City in a timely manner of any repair and/or safety issues with
the Boat House and/or the adjacent dock.
COMMUNITY IMPACT & BOAT HOUSE UTILIZATION
Headwaters Kayak strives to serve the local community. By partnering with local businesses
Headwaters Kayak offers multidimensional tours that display what Lodi has to offer. Tours such
as these will be advertised at places such as local hotels, bed and breakfasts, Lodi Wine and
Visitors Center, where tourists can learn of services available at the Lodi Lake Boat House.
Headwaters Kayak looks forward to coordinating some events at the Boat House to draw in
customers from Lodi and surrounding areas. Some of the ideas are as follows; each would allow
opportunity for local businesses to participate:
Annual Lodi Lake Boat House Paddlefest: A demo day where rentals would be staged
along the Lodi Lake Beach so that clients could try out and be educated on the
equipment. Music, food, and industry Vendors and local businesses, would be
invited to set up booths for additional demonstrations, education, and fun.
Water to Wine Tours of the Mokelumne River: Each month during summer we
partner with a local winery and restaurant to provide a unique Lodi experience. We
guide a nature paddle on the Mokelumne River, followed by a picnic lunch at the
lake, followed by a tour of local wineries via local tour bus business.
Individual rentals, events, and tours will attract traffic to Lodi Lake Park, increasing revenue
from park entrance fees. Clients will be expected to park within parking lot parameters and to
follow park speed limits as posted to respect other park -goers. Employees of Headwaters Kayak
are encouraged to use alternative transportation in an effort to decrease impact on traffic and
the environment. However, employees will not be required to park offsite or to be dropped off.
Rather, they will be allowed to park a vehicle similarly to other standard places of employment.
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The Boat House space will be reserved for Headwaters Kayak and City of Lodi staff members
and storage of equipment. Headwaters Kayak understands that City of Lodi employees will have
access to the Boat House as needed where their motorized boats are stored. Typically, clients
will not be entering the Boat House space. Payment and waiver details will be taken care of
through the roll -up window near the South -East corner of the Boat -House. Staff will then walk
with clients down the ramp to the dock where client instructions will be given and clients will
be assisted into assigned vessel.
Equipment storage will be similar to current storage, additional storage for stand-up paddle
boards, canoes, and pedal boats will be found through reconfiguration. Stand-up paddle board
storage racks will be added along the South wall between the large roll -up door and the man
door. We will use the fenced storage area on the west side of the building for larger equipment
like pedal boats and canoes. A wheeled kayak rack will hold additional rental kayaks, and will
be rolled out the large roll -up door in the morning and will be stored back inside the boat house
at night. Any additional equipment needed to run the boat house will be brought in from our
storefront location and will be transported out at the end of the day. All equipment storage
will remain within the Boat House and/or fenced in storage area on the West side of the Boat
House, unless Headwaters Kayak and the City of Lodi come to another agreement.
Marketing Plan
Over the past six years that Headwaters Kayak credits social media to be the key to our
substantial growth and we plan to continue to utilize it for future marketing. Social media
including Facebook, Twitter, lnstagram, Meet -Up, Blogger, and YouTube are currently being
used for Headwaters Kayak. Some of Headwaters Kayak social media statistics are: Facebook
having over 4,500 fans, Blogger gets approximately 50,000 hits per year, the Lodi Paddle Club
Meet -Up Group currently has over 500 active members. Effectively utilizing these tools leads to
establishing and growing a community that stays involved, keeping their attention by allowing
Headwaters Kayak to remain relevant.
Facebook allows for daily posts, photos, surveys and to advertise events. Twitter and Instagram
allow short news blurbs and photos to be shared with people who may or may not be followers;
by tagging posts with #LodiLake or #Paddlelodi, people looking for things to do in Lodi will see
our posts and become aware of our services. Meet -Up is a place where Lodi Paddle Club
members can see tours planned by Headwaters Kayak, they can RSVP, ask questions, and invite
friends. Blogger is where trip reports, photos, and reviews are posted, it will often come up in
Google searches, so someone looking for kayaking Lodi or for kayak fishing for instance will be
directed to our Blogger site. YouTube is utilized by the Headwaters to make video tutorials on
new products and summaries of tours highlighting the local waterways.
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Traditional forms of marketing will also continue to be utilized by Headwaters Kayak. High-
quality business cards and pamphlets will be available at key local shops, hotels, visitor's
centers highlighting services and the beauty of Lodi Lake and Mokelumne River. Participation in
local events such as the Lodi Street Faire helps to gain publicity. Donations to local fundraisers
increase exposure, especially gift certificates for tours allowing the recipient to experience our
services. Word-of-mouth and customer recommendations have proved to be most powerful in
generating business, which is one of the many reasons we work very hard to ensure customers
get more than what they expect.
In 2016 we introduced our first online reservation system, which streamlined our reservation
process. Headwaterskayak.com has a sub -page to promote the Lodi Lake Boat House rentals
and Mokelumne river tours. Additionally, Headwaters Kayak works closely local hotels and
restaurants to offer exclusive deals for trips out of the Boat House and meals or discounted
rates for hotel guests.
Headwaters Kayak 1 TECHNICAL PROPOSAL, NON -MOTORIZED BOAT CONCESSIONS AT LODI LAKE BOATHOUSEEl
RESUME & SUMMARY OF PROPOSER'S EXPERIENCE
DANIEL JAMES ARBUCKLE. PROPRIETOR
847 North Cluff Avenue, Suite A-6, Lodi, CA 95240 (209)224-8367 Headwaterska ak@ E mail.com
Summary
Innovative customer service professional with over seven years in the kayak, canoe, and stand-up
paddle board field, specializing in rentals, guided tours, customer education and sales. Proficient
in social media marketing to foster customer awareness and increased business. Offering a unique
combination of passionate, experienced kayaker and successful entrepreneur to create the ability
to offer desired services while growing a prosperous business. A Native Lodian who is vested in
the local community who has unrivaled experience with Lodi Lake and the Mokelumne River.
SUMMARY OF EMPLOYEES' QUALIFICATIONS
Headwaters Kayak strives to maintain well trained, hard working, and courteous staff members.
Qualifications required by any potential staff member of the Boat House and thus Headwaters
Kayak are as follows but not limited to:
• Strong swimming skills
• Fundamental knowledge of kayaks, canoes, stand-up paddle boards and the like
• Intermediate to advanced knowledge of paddling skills, rescues, and water safety
• Exceptional customer service and people skills
• Honest, detail -oriented, self -motivated, courteous, and active
Our Boat House Manager will be coming back in 2017 for his third consecutive year. We have
had incredible feedback from the public about the service he provides. He is an avid paddler
with extensive knowledge of the paddlesports business. His customer service skills are
phenomenal, as evident in the many positive Boat House reviews online.
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EMERGENCY RESPONSE PLAN
Objective: To provide the safest environment possible for customers and staff by being
prepared and trained to act quickly during an emergency.
Notify owner(s) of any safety concerns or emergencies as soon as safety is established:
Dan Arbuckle (530) 351-4572 and/or Ashlie Arbuckle (209) 482-3132
SAFETY GUIDELINES
1. Instructors/Guides Qualifications:
Basic CPR certified
First Aid certified
Strong swimmer
Experienced kayaker
Knowledgeable and skilled in rescues
Familiar with waterways being paddled
2. Instructors/Guides will carry on their person/kayak during all trips, classes, and events at a
minimum:
Personal Floatation Device (PFD)*
Cell phone in a dry case
Whistle
Knife
Tow Line
First Aid Kit
3. Pre -Trip Procedure for Rentals, Tours, and/or Classes
Allow customer to read waiver and ask questions prior to signing waiver
Ask customer to disclose any physical and/or health conditions relevant
Enter into log: customer name, emergency name and contact info, boat ID number
Collect fees due
Explain Map and Rules and Regulations for paddling on the Mokelumne River
Fit customer in appropriate Personal Floatation Device (PFD)*
Basic paddling instructions
Orient customer to water where paddling including boundaries of off -limit areas, any
potential hazards, and point of turn around if applicable
Complete Customer safety presentation (See 3A)
Fit customer to kayak
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Count and note number of customers on the trip
Count customers at any stop, at turn around, and at end of the trip
A. Customer safety presentation guidelines:
In case of emergency blow whistle to notify instructor/guide
Get to land as quickly as possible or idle in position whichever provide
more safety in the given situation
Call for help if able
*AII PFDs shall be U.S. Coast Guard approved and shall have whistle attached to be used in an emergency. All
customers shall be required to wear PFD at all times while in the on the water.
EMERGENCY GUIDELINES
1. Medical Emergency and/or Injury Plan
Only trained responders should provide first aid and/or CPR assistance.
Contact Emergency Services by calling 9-1-1 and provide the following information:
❑ Number and location of victim(s)
❑ Nature of injury or illness
❑ Hazards involved
❑ Nearest emergency access point
❑ Name of person reporting
❑ Telephone number for return call
Do not move the victim unless the victim's location is unsafe; if appropriate get victim(s)
to land as soon as possible
Take "universal precautions" to prevent contact with body fluids and exposure
to bloodborne pathogens.
Direct Emergency Response Team to victim(s)
Assist emergency personnel as directed
Complete an Accident Report** (see Exhibit A for preliminary draft)
**AII accident reports shall be kept on file for a minimum of 3 years; A copy shall be provided to
the City.
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Exibit A:
Headwaters Kayak Accident Report
1 Personnel Details
Name: Contact Number
Address:
' Incident Details
Date, location and time of accident:
Name and contact information of injured person(s):
Describe the incident in detail (Continue on the back of this form as needed):
Actions Taken
What actions have been taken?
IWitness Details
List the name, contact number and address of witness(es):
All of the above facts are a true and accurate record of the accident.
Injured's Signature: DATE:
Employee's Signature: DATE:
**AII accident reports shall be kept on file for a minimum of 3 years
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COMMUNITY SERVICE
Headwaters Kayak is dedicated to the Lodi community as demonstrated by volunteering time to
Boys Scouts of America as Merit Badge Counselor for kayaking and canoeing, providing free use
of kayaks during the Coastal Cleanup Day at Lodi Lake and on the Mokelumne River, as well as
donating time, instruction and kayak use during Heroes on the Water events for wounded
veterans. Also, donations have been given to several fundraisers including for Lodi schools,
churches, and the Lodi Police Department K-9 Unit.
Headwaters Kayak hosts weekly tours of the Mokelumne River, free to those with their own
equipment and children under 10. This tour includes a paddling lesson and a guided paddle.
We hope to expand our community service efforts in the future by providing low-cost or no -
cost trips for youth in the Lodi Boys and Girls Club, discounted tours for senior citizens, and
adaptive paddling for those with disabilities.
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RESOLUTION NO. 2017-37
A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING THE
CITY MANAGER TO EXECUTE LODI LAKE BOAT HOUSE
CONCESSION AGREEMENT WITH HEADWATERS KAYAK SHOP
WHEREAS, the Parks, Recreation and Cultural Services Department entered into a
Concession Agreement with Headwaters Kayak Shop on April 1, 2014, turning over
non -motorized boat rentals at Lodi Lake in return for 15 percent of gross revenue; and
WHEREAS, on December 21, 2016, the City Council authorized the City Manager to
negotiate a new Concession Agreement due to the current agreement expiring on
March 31, 2017; and
WHEREAS, the existing agreement has proven financially beneficial to Parks,
Recreation and Cultural Services, with boat house revenue nearly tripling since the City entered
in this agreement; and
WHEREAS, the concessionaire has been an outstanding corporate citizen by promoting
Lodi Lake, participating in lake clean-up activities, providing free paddling activities for injured
war veterans, and other community activities, such as sponsoring Parks, Recreation and
Cultural Services' 75th anniversary celebration; and
WHEREAS, staff recommends that the City Council authorize the City Manager to
execute the Concession Agreement on behalf of the City of Lodi.
NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby
authorize the City Manager to execute the Lodi Lake Boat House Concession Agreement with
Headwaters Kayak Shop; and
BE IT FURTHER RESOLVED that the initial term of the Concession Agreement shall be
for five years, beginning April 1, 2017 through March 31, 2022; and
BE IT FURTHER RESOLVED that the City Manager is hereby authorized to execute
three two-year renewal options if in the best interest of the City of Lodi.
Dated: March 15, 2017
I hereby certify that Resolution No. 2017-37 was passed and adopted by the City
Council of the City of Lodi in a regular meeting held March 15, 2017, by the following vote:
AYES: COUNCIL MEMBERS — Chandler, Johnson, Nakanishi, and Mayor Kuehne
NOES: COUNCIL MEMBERS — None
ABSENT: COUNCIL MEMBERS — Mounce
ABSTAIN: COUNCIL MEMBERS — None
NIFER
ity Clerk
2017-37
FERRAIOLO