HomeMy WebLinkAbout2025-100 - American Golf Corporation - Amendment to Lease and Operating Agreement RESOLUTION NO. 2025 - 100
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY, CALIFORNIA,
AUTHORIZING THE MAYOR TO EXECUTE AN AMENDMENT TO THE AGREEMENT
WITH AMERICAN GOLF CORPORATION FOR THE MAINTENANCE AND OPERATION
OF THE NATIONAL CITY GOLF COURSE TO EXTEND THE AGREEMENT BY SIXTY
DAYS TO OCTOBER 31, 2025.
WHEREAS, on May 3, 1984, the City of National City ("City") and American Golf
Corporation ("American Golf") entered into a Lease and Operating Agreement for the Las
Palmas Municipal Golf Couse (the "Agreement") for operation of the golf course located at
1439 Sweetwater Rd. for an initial term of five (5) years, with the option for seven (7) five-
year extensions at the discretion of American Golf, plus two (2) additional five-year option
periods at the discretion of City; and
WHEREAS, on July 2, 1985, City and American Golf amended the Agreement to
modify language related to the "Construction Period," from which time the lease term would
commence, and subsequently entered into a number of other amendments to the Agreement
to address contractual and operational updates, include fee updates; and
WHEREAS, American Golf has exercised all seven (7) extensions at its discretion,
extending the Agreement to August 31, 2025, and has requested an offer of an additional
five-year extension from City; and
WHEREAS, under the Agreement, American Golf currently pays $72,000 annually
for the operation of the property and an additional 10% of sales from green fees, cart
rentals, and driving range, plus 6% of sales from pro shop, food and beverage sales; and
WHEREAS, the parties have discussed further extending the Agreement through
exercise of the City's option but, in order to allow sufficient time to evaluate the requested
extension and consider potential modifications to the Agreement, City desires to further
extend the Agreement by sixty(60)days, and American Golf is willing to continue to perform
such services; and
WHEREAS, to avoid any interruption in operation or maintenance of the golf course,
City staff recommends approval of an Amendment to the Agreement with American Golf to
extend the Agreement by sixty (60) days to October 31, 2025.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF NATIONAL CITY,
CALIFORNIA, DOES RESOLVE, DECLARE, DETERMINE, AND ORDER AS FOLLOWS:
Section 1: That the City Council hereby authorizes the Mayor to execute an
Amendment to the agreement with American Golf Corporation to extend the agreement by
sixty (60) days to October 31, 2025.
Section 2: That the City Clerk shall certify as to the passage and adoption of this
Resolution and enter it into the book of original Resolutions.
PASSED and ADOPTED this 19th day of Au ust, 2025.
on Morrison, Mayor
ATTEST:
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Shelley Chapel, MMC, City Clerk
APPROVED AS TO FORM:
Barry J. Itz, City At orney
Passed and adopted by the City Council of the City of National City, California, on
August 19, 2025 by the following vote, to-wit:
Ayes: Molina, Rodriguez, Yamane, Bush, Morrison
Nays: None.
Absent: None.
Abstain: None.
AUTHENTICATED BY: RON MORRISON
Mayor of the City of National City, California
ok , !01;; Shelley Chapel
• 0City Clerk of the City of National City, California
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BY:
OF C10° Shell y C el, M C, City Clerk