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HomeMy WebLinkAbout1984 CON American Golf Corporation - Las Palmas Municipal Golf Course Lease 1985 - 2006 (2)• • 772 f ;/13frv. LEASE AND OPERATING AGREEMENT for LAS PALMAS MUNICIPAL GOLF COURSE between THE CITY OF NATIONAL CITY and AMERICAN GOLF CORPORATION Prepared by: DONALD F. McLEAN, JR. City Attorney THE CITY OF NATIONAL CITY 1243 National City Blvd. National City, CA 92050 (916) 477-1181 Pin. Deft. Exhibit Lisa Colucci N.P. Witness: Date• p INDEX 1. PROPERTY LEASED 1 2. USE OF PREMISES 1 3. TERM 2 4. RENT 2 5. CAPITAL IMPROVEMENTS 8 6. TAXES 9 7. UTILITIES 10 8. REPAIRS AND ALTERATIONS 10 9. MAINTENANCE 11 10. CONTROLLED PRICES 12 11. DAMAGE AND RESTORATION 13 12. OUIET ENJOYMENT 13 13. DEFAULT 13 14. INSURANCE 14 15. ASSIGNMENT AND SUBLETTING 15 16. NAME CHANGE 15 17. FREE GOLF LESSONS 15 18. PLACE OF CONSTRUCTION OF THIS LEASE 15 19. SERVICES TO BE AVAILABLE 15 20. EFFECT OF REQUEST FOR PROPOSAL AND SUBMITTED PROPOSAL 17 21. WATER RIGHTS 18 22. DAMAGES 19 23. RESERVATION OF RIGHT OF RE-ENTRY 19 LEASE AND OPERATING AGREEMENT FOR LAS PALMAS MUNICIPAL GOLF COURSE THIS AGREEMENT, dated May 3 , 1984, hereinafter called "this Lease" is executed by the CITY OF NATIONAL CITY, a municipal corporation, hereinafter referred to as "Landlord", and AMERICAN GOLF CORPORATION, hereinafter referred to as "Tenant". 1._ PROPERTY LEASED 1.1 Real Property (Premises) Landlord hereby leases to Tenant and Tenant hires from Landlord the improved real property, hereinafter called "the Premises", located in National City, State of California, known as Las Palmas Golf Course, described in Exhibit "A", attached hereto, and made a part hereof. Not withstanding any other provision of this Lease, Landlord expressly reserves and retains unto itself, successors, and assigns all rights in and to all minerals, oil, gas and other hydrocarbons located in or beneath leased Premises, provided, that no lease shall be executed or drilling rights granted which permit drilling on the fairways or golf course proper. 2. USE OF PREMISES Tenant hereby covenants and agrees that the Premises shall be used only and exclusively for the purpose of operating thereon a public golf course, driving range, club house, restaurant and bar for the dispensing of food and alcoholic or non-alcoholic beverages, the furnishing of golf lessons, a golf pro shop, and related uses customarily associated therewith. Landlord hereby expressly reserves and retains the right to define other uses customarily associated with theoperation of said golf course. In no event shall Tenant use the herein Premises, nor any portion thereof, for any other purpose than that hereabove set forth, unless Tenant shall first have had and obtained the written.approval of Landlord to so do. 1 3, TERM The term of this Lease shall be for five (5) years, provided that all of the Tenant's responsibilities are fully complied with. In the event Landlord should notify Tenant of a failure to comply with any of Tenant's responsiblities as noted in this Lease, or its Exhibits, and Tenant fails to rectify such failure within sixty (60) days, and such failure continues thereafter, the Landlord may terminate this Lease. Provided Tenant has fully complied with all the obligations contained in this Lease, Tenant will have the option to extend this Lease at the end of the initial term for seven 5-year terms by the giving to Landlord written notice of such desire six (6) months before the end of the particular term in question. Landlord reserves the right to offer to Tenant, in consideration for the successful performance of the period of this Lease, two additional 5-year option periods. Tenant agrees that the Landlord shall at its sole discretion, decide whether or not said option periods shall be offered to Tenant.* 4. RENT Tenant shall pay Landlord annual rent during the term of this Lease for the Premises and equipment as provided in paragraph 1 hereinabove (regardless of the condition of any equip- ment, the depreciation and obsolescence of'which has been taken into account in determining the total rent for the original Lease), said annual rent to be net above, real and/or personal property taxes, as follows: A. During the term of this Lease, the annual rent shall be the greater of either the minimum rent hereinafter set forth for the periods stated or the percentage of gross sales stated in this paragraph. In no event shall any annual rental payment be less than the following: * These two additional 5-year option periods will be subsequent to and are in addition to the initial 5-year lease term and the seven 5-year renewal terms that are at the Tenant's option. This means that, with all extensions, the total term of this Lease can be 50 years. -2- 3.A CONSTRUCTION PERIOD Landlord and Tenant both acknowledge that there will be a Construction Period not to exceed 275 days that will occur immediately after the execution of this Lease. During the Construction Period, it will not be possible for golfers to make use of the golf course and the driving range or facilities appurtenant thereto. The term of this Lease and the Tenant's obligation to pay annual rent will not commence until the end of the Construction Period, that being the date when the golf course reopens for play. During the Construction Period, Tenant and its agents will have the right to go onto the leased property to make all necessary capital improvements. 1) Years 1 through, and including 8, $25,000.00 per year, with the first year rental due in advance on the date of execution of this Lease. 2) Years 9 through, and including 10, $36,000.00 per year (providing the Lease is renewed as herein provided); 3) Years 11 through, and including 15, $48,000.00 per year (providing the Lease is renewed as herein provided); 4) Years 16 through, and including 25, $60,000.00 per year (providing the Lease is renewed as herein provided); 5) Years 26 through, and including 40, $72,000.00 per year (providing the Lease is renewed as herein provided). Beginning upon execution of this Lease and continuing through the end of the eighth (8th) year of this Lease, the percentages shall be as follows: 1) Sales from greens fees, cart rentals and driving range - five percent (5%) of gross income; 2) Sales of food and beverages - five percent (5%) of gross income; 3) Sales from the Pro Shop - five percent (5%) of gross income. Beginning with the ninth (9th) year and continuing through the end of the tenth (10th) year of this Lease, provided the Lease is renewed as herein provided, the per- centagesshall be as follows: 1) Sales from greens fees, cart rentals and driving range - six percent (6%) of gross income; 2) Sales of food and beverages - five percent (5%) of gross income; 3) Sales from the Pro Shop - five percent (5%) of gross income. Beginning with the eleventh (11th) year and continuing through the end of the fifteenth (15th) year of this Lease, provided the Lease is renewed as herein provided, the percentages shall be as follows: 3 1) Sales from greens fees, cart rentals and driving range - seven percent (7%) of gross income; 2) Sales of food and beverages - five percent (5%) of gross income; 3) Sales from the Pro Shop - five percent (5%) of gross income. Beginning with the sixteenth (16th) year and continuing through the end of the twenty-fifth (25th) year of this Lease, provided the Lease is renewed as herein provided, the percentages shall be as follows: 1) Sales from greens fees, cart rentals and driving range - eight percent (8%) of gross income; 2) Sales of food and beverages - six percent (6%) of gross income; 3) Sales from Pro Shop - six percent (6%) of gross income. Beginning with the twenty-sixth (26th) year and continuing through the end of this Lease, provided the Lease is renewed as herein provided, the percentages shall be as follows: 1) Sales from greens fees, cart rentals and driving range - ten percent (10%) of gross income; 2) Sales of food and beverages - six percent (6%) of gross income; 3) Sales from Pro Shop - six percent 6%) of gross income. B. For each and every year during the term hereof commencing upon execution of this Lease, Tenant shall pay the amount specified hereinabove as annual minimum rent for the year concerned in twelve (12) equal monthly installments, in advance, on the first day of each and every month. C. For each and every calendar quarter or frac- tion thereof during the term of this Lease, Tenant shall pay to Landlord on or before the last day of the next succeeding month, 4 the sum of money determined by deducting the sum of the monthly minimum rents for such preceding calendar quarter from the percentage rent calculated for each preceding quarter. In no event, however, shall the monthly rent to be paid by Tenant to Landlord be less than the minimum rental herein specified. On or before January 31 of each year, the total amount of percentage rent for the previous calendar year shall be computed and, in the event that the total amount of rentals paid for such calendar year is not equal to the percentage rental payable pursuant to the foregoing formula for such calendar year, then, Tenant shall pay any deficiency to Landlord within thirty (30) days after such deficiency is determined. In the event that the total amount of rentals paid for any calendar year exceeds both the annual minimum rental and the percentage rental payable pursuant to the foregoing formula for such calendar year, Tenant shall receive a credit equivalent to such excess, which may be deducted by Tenant from the next percentage rental payment, if any, due under this Lease, and if no percentage rental payment is due, then such excess may be deducted by Tenant from the minimum rent for the month next succeeding the end of the calendar year in which such excess rent was paid. 4.1 Furnishing Statement of Gross Income. Tenant shall submit to Landlord on or before the 20th day of each and every calendar month following a calendar quarter (excluding the first year of the term hereof) at the place then fixed for the payment of rent, together with the remittance of percentage rent, a written statement signed by Tenant or a person duly authorized by Tenant, and certified to be accurate by a licensed certified public accountant, showing in accurate detail the amount of gross income of the preceding calendar quarter, and shall submit to Landlord on or before the 60th day following the end of each year at the place then fixed for the payment of rent, a statement signed by Tenant, or a person duly authorized by Tenant, showing in accurate detail the amount of gross income during the preceding year and the sales tax return filed by Tenant 5 with the State. The statements referred to herein shall be in such form and style and contain such details and breakdown as Landlord may reasonably determine. 4.2 Accounting Records. A. In order to be able to verify statements fur- nished Landlord in case of dispute, Tenant agrees to install and maintain, to the standard of accepted accounting and auditing practices, an appropriate set of bookkeeping records, during the term of this Lease and for a period of twenty-four (24) months after termination thereof, in the County of San Diego or the South- ern California area. B. Books and accounts hereinabove required shall be kept or made available at the said golf course or elsewhere within the County of San Diego, or the Southern California area and Landlord shall have the right at any and all reasonable times to examine and audit the same, within restriction. 4.3 Cost of Audit. A. In the event of a dispute of the monthly or annual statements, and such an audit to resolve the dispute, and there is crepancy of five percent (5%) or more of rent as to the accuracy dispute requires found to be a dis- due, the party proved to be incorrect shall pay all costs and fees of conducting said audit. B. In the event Tenant fails or refuses to make available its original books and records of account as hereinabove provided at the said Premises or within the territorial limits of the County of San Diego, Tenant agrees to pay Landlord ALL necessary expenses incurred by Landlord in obtaining said books and records and in conducting any audit at the location where said books and records of account are maintained, notwithstanding which party proved to be incorrect. 6 C!� 4.4 Lease Year Defined. A. "Lease Year" shall mean each period of twelve (12) consecutive calendar months commencing on the execution of this Lease and ending three hundred sixty-five (365) days later (except during those years referred to as "Leap Years", which shall consist of three hundred sixty-six (366) days), which falls within the term of this Lease. Said "Lease Year" may be changed by written agreement of the parties hereto. B. Each Lease Year shall constitute a separate accounting period for the purpose of computing percentage rent, and gross income for any one Lease Year shall not be carried back or forwarded into any other Lease Year. C. In the event this Lease is terminated, as hereinafter provided, prior to the end of the Lease Year, that short period shall be subject to appropriate pro -ration. 4.5 Gross Income. A. There shall be excluded from gross income or deducted therefrom, if previously included: 1) Cash refunded or credit allowed on returns by customers, but not exceeding in any one instance the selling price of the item in question. 2) Sales taxes, excise taxes, gross receipts taxes, and other similar taxes now or hereafter imposed upon the sale of food, beverages, merchandise or services paid by Tenant to the taxing authority whether added to or included in the selling price. 3) Sales of trade fixtures or personal property to be replaced by Tenant which are not stock -in - trade. 7 4) Income paid for golf lessons directly to instructor by student over which Tenant has no control. 5. CAPITAL IMPROVEMENTS 5.1 Improvements. During the first twelve (12) months, or sooner, of the Lease, Tenant agrees to make certain improvements to course. The precise description of these capital improvements in Exhibit "B" attached hereto and made a part hereof (hereinafter called "improvements"). 5.2 Landlord Approval. The plans and specifications for any construction, repair, renovation or modification on premises having a value of $10,000.00 or more, in such detail as may be required by Landlord, shall be submitted to Landlord for its approval prior to the commence- ment of any work and all such work shall be in accordance with such approved plans. Tenant shall provide Landlord with one set of reproducible As -Built plans for all construction, repair, restor- ation or modification on the premises that has a value in excess of $10,000.00. 5.3 Landlord's Obligation. Landlord agrees to reimburse Tenant for capital improvements made by Tenant to course a sum of $200,000.00 as follows: are listed A. $40,000.00 1) When all rough grading (including drain- age) has been completed. B. $90,000.00 1) When all fine grading has been completed; and 2) Irrigation system is operational; and 3) Greens, Tees and Fairways have been seeded. C. $25,000.00 1) When Driving Range has been completed. 8 D. $30,000.00 1) When Clubhouse is completed; and 2) Parking Lot has been repaired; and 3) Trees have been planted. E. $15,000.00 1) When course is completed and open for play. When Landlord is notified by Tenant that one of the above (A, B, C, D, and E) portions of the total capital improve- ments has been completed by Tenant, Landlord will inspect and approve said work and will pay to Tenant the appropriate sum due within thirty (30) days of Tenant's original notification. Both Landlord and Tenant agree that under no circumstances will Land- lord's contribution exceed $200,000.00. 5.4 Bonds. Prior to the commencement of any construction costing in excess of $10,000.00, except where such work is carried on by Tenant's employees, Tenant shall furnish evidence satisfactory to Landlord that Tenant is financially able to pay the contractor, workmen and materialmen and shall furnish, if requested by Landlord, to the Landlord a bond in an amount, in form, and with surety acceptable to Landlord, naming Landlord and Tenant as obligees and insuring completion of the proposed work free and clear of all liens, without cost to Landlord. In the event Landlord so requests in writing, Tenant agrees to bond the improvements during the first year of the term of this Lease. 6. TAXES 6.1 Personal Property Taxes Tenant shall be responsible for the payment before delinquency of property taxes levied on the equipment or other facilities as may be installed in or on the premises. 9 6.2 Possessory Interest Tax. A. Tenant shall be responsible for the payment before delinquency of all possessory interest taxes levied against the demised Premises. B. Anything herein contained to the contrary notwithstanding, Tenant shall have the right in good faith, at its sole cost and expense, to contest the amount or legality of any said possessory interest taxes on or attributable to the Pre- mises, including the right to apply for the reduction thereof, and Landlord shall cooperate fully with Tenant in connection therewith, provided, however, Tenant shall prosecute any such contest with due diligence, and shall, forthwith upon the final determination thereof, pay the amount of said possessory interest taxes on or attributable to the Premises as so determined together with any interest, penalties, costs and charges which may be payable in connection therewith. C. If any said possessory interest taxes on or attributable to the Premises are payable in installments, Landlord agrees to execute and join with Tenant in the execution of any application or other instrument which may be necessary to permit the payment thereof in such installments, and in such event Tenant shall pay and be liable hereunder only for the installments or portions of installments thereof which are payable during the Lease term and any interest due thereon. 7. UTILITIES Tenant shall pay before delinquency all charges for water, gas, heat, air cooling, electricity, power,_ telephone, pump taxes and other utility services used on or serving the Pre- mises during the Lease term. 8. REPAIRS AND ALTERATIONS 8.1 Repairs. A. Tenant acknowledges that it is acquiring the Premises'.solely in reliance on its own investigation thereof that 10 no representations, warranties or statements have been made by Landlord concerning the condition of fitness thereof, and that by taking possession of the Premises and equipment, Tenant accepts same in their present condition, "as is". B. Landlord agrees to assist Tenant with silt removal. The nature and extent of Landlord's obligation to "assist" Tenant with silt removal shall be as agreed upon between the parties in memorandums executed by Landlord's and Tenant's authorized representatives, but in no event, will Landlord's obligation exceed the equivalent in labor and materials, of 100 man days of Public Works crew effort, with a value of approximately $8,000 to $16,000 annually, at cost in 1984 dollars. C. Landlord shall not be obligated to make repairs, replacements or additions of any kind whatsoever to the Premises, including the building thereon and the equipment, facilities and fixtures therein contained, which Premises, building, sewer lines, cesspool plumbing, piping, wiring, equipment, facilities and fix- tures shall, at Tenant's sole expense, be kept, repaired, maintained, replaced, or added to at all times by Tenant in good order and in sanitary and safe condition and repair. 9. MAINTENANCE In connection with the maintenance and condition of the golf course, Landlord and Tenant may form a Monitoring Board at Landlord's sole discretion. The Monitoring Board will be com- posed of three persons: one selected by the Landlord and one by Tenant. Those two persons will select a third from an approved list of highly qualified golf course architects and/or maintenance persons. This Board will meet once a month, or as often as necessary, to review the condition of the golf course. The Monitoring Board will have the power to make recommendations as to better mainten- ance. The Monitoring Board will act upon a majority rule. In the event these recommendations are not complied with, Landlord may terminate this Lease, said failure to follow the Monitoring Board's recommendation being declared to be a material breach of the Lease. 11 9.A TENANT'S OBLIGATION The recommendations of the Monitoring Board do not constitute additional conditions of this Lease. Tenant will have a reasonable time in which to cure or correct any material problem in the condition of the golf course. Exhibit C to this Lease indicates a reasonable standard of maintenance and conditions for the golf course and the Monitoring Board's recommendations shall not, in any case, exceed these standards. 10. CONTROLLED PRICES 10.1. Tenant shall at all time maintain a complete list or schedule of the prices charged for all goods or services, or combinations thereof, supplied to the public on or from the Premises hereby demised whether the same are supplied by Tenant or by Tenant's subleasee, assignees, concessionaires, permittees or licensees. Said prices shall be fair and reasonable, based upon the following two (2) considerations. First, the property herein demised is intended to serve a public use and to provide needed facilities to the public at fair and reasonable cost. Second, that Tenant is entitled to a fair and reasonable return upon Tenant's investment pursuant to this Lease. 10.2. All fees charged to patrons at the demised Premises will be comparable to those fees charged by comparable competing Southern California public golf courses for similar goods and services and facilities. As of date of execution of this Lease, Tenant suggests and Landlord agrees that green fees and cart fees will be as follows: Green Fees 9 Holes 18 Holes Weekdays $ 3.50 $ 5.00 Seniors & Juniors (weekdays) 3.00 4.00 Seniors & Juniors (weekends) 3.50 after 12 noon 5.00 Weekends 4.50 8.00 Seniors & Juniors mo. ticket 15.00 weekdays & weekends Plus $1.00 for each 9 holes played. after noon. For purposes of this Section, "seniors" shall mean all persons 60 years old or older; and "juniors" shall mean all persons 16 years old or younger. Carts 6.00 11.00 10.3. Tenant agrees to honor monthly player cards outstanding as of the date of this Lease. 12 10.4 Tenant further agrees tha} changes in green fees, prices or policies will first require the approval of Land- lord, which approval shall not be unreasonably withheld. 11. DAMAGE AND RESTORATION 11.1 Duty to Restore. If the improvements on the Premises are par- tially or totally damaged by fire or any other casualty so as to become partially or totally untenable, this Lease shall not terminate and said improvements shall be rebuilt by Tenant with due diligence at Tenant's expense. Tenant shall insure said im- provements, pursuant to Section 14 hereinbelow. 12. QUIET ENJOYMENT Subject to the provisions of this Lease and conditioned uponperformance of all of the provisions to be performed by Tenant hereunder, Landlord shall secure to Tenant during the Lease term the quiet and peaceful possession of the Premises and all rights and privileges appertaining thereto. 13. DEFAULT 13.1 Notice and Remedies. In the case of Tenant's failure to pay rent or any other monetary obligation of Tenant hereunder, Tenant shall have a period of 60 days after notice thereof from Landlord to cure such monetary default. In the case of Tenant's failure to perform any of Tenant's other obligations under this Lease, or any part theroef, when due or called for hereunder, Tenant's shall have a period the nature of provided that of 60 days after Tenant's default if the nature of that it cannot be fully cured within said 60 day period, notice from Landlord specifying within which to cure such default; a non -monetary default is such Tenant shall have such additional time as may be reasonably necessary to cure such default so long as Tenant proceeds promptly after service of Landlord's notice and proceeds diligently at all times to compelte said cure. If Tenant fails to comply with the fore- going provisions, Tenant shall be deemed to be in breach of this Lease, and Landlord with or without further notice or demand of any kind may at its option: 13 10.5 Landlord and Tenant agree that the standard to be applied in making and approving changes in greens fees, cart fees or other prices is provided by Section 10.2 of this Lease, that being fees comparable to those charged by comparable and competing Southern California public golf courses. I Terminate Tenant's ri; _ to possession of the Premises and equipment because of such breach and recover from Tenant all damages allowed under Section 1951.2 of the Califor- nia Civil Code, including, without limitation, the worth at the time of the award of the amount by which the unpaid rent for the balance of the term after the time of award exceeds the amount of such rental loss for the same period that Tenant proves could be reasonably avoided, or B. Not terminate Tenant's right to possession because of such breach, but continue this Lease in full force and effect; and in that event (1) Landlord may enforce all rights and remedies under this Lease, including the right to recover the rent and all other charges due hereunder as such rent and other charges become due hereunder, and (2) Tenant may assign its interest in this Lease with Landlord's prior written consent, which consent shall not be unreasonably withheld. 14. INSURANCE Tenant shall keep or cause to be kept insured for the mutual benefit of the Landlord and Tenant with an insurance company reasonably acceptable to Landlord, all building and structures located on or appurtenant to the Premises against loss, or damage by fire and such other risks as are now or hereafter included in an "extended coverage endorsement" in common use for commercial structures, including vandalism and malicious mischief. Such policies shall be in an amount equal to eighty percent (80%) of the insurable value of such buildings and structures, and Landlord shall be named in said policy as an additional named insured. Said policies shall provide that Landlord shall receive at least ten (10) days notice prior to cancellation or termination thereof. Tenant shall deliver to Landlord upon execution hereof a copy of such policies. Tenant shall secure and maintain at its own expense during the term of this Lease comprehensive public liability in- surance with combined single limit coverage in the amount of 14 $500,000.00 per person and $1,000,000.00 per occurrence. The coverage of Tenant's liability insurance shall be primary and in addition to any carried by Landlord. Said insurance shall be in a company or companies satisfactory to Landlord and shall designate Landlord as an additional insured thereunder and shall provided for thirty (30) days notice to Landlord prior to cancella- tion or termination thereof. Tenant shall furnish evidence satis- factory to Landlord that such insurance has been obtained and that premiums have been paid as required. 15. ASSIGNMENT AND SUBLETTING Tenant shall not sublet or assign any portion or interest in this Lease without first obtaining the written consent of the Landlord. Landlord shall have right to approve all sub -tenants and their contracts. 16. NAME CHANGE It is agreed by both parties that when the course is re -opened for public play the name of the course will be changed from Las Palmas Golf Course to National City Municipal Golf Course. 17. FREE GOLF LESSONS Tenant agrees to offer during the first five (5) year term of this Lease a free golf lesson program for the citizens of National City that is acceptable to both parties. 18. PLACE OF CONSTRUCTION OF THIS LEASE This Lease is made and entered into in National City, California, and is to be performed in National City, California. In the event of any dispute, disagreement, or action arising under this Lease, the proper place for the determination of such dispute, disagreement or action is National City, California. 19. SERVICES TO BE AVAILABLE 19.1. Management. The Tenant agrees that he will operate and manage the services and facilities offered in a first-class manner and comparable to their rirst-class concessions providing similar facilities and services during the entire term of the Lease. Where such facilities are provided, Tenant agrees that he shall and 15 will maintain a high standard of service at least equal to that of other competing Southern California public golf courses, in- cluding the services of a class A PGA pro or another qualified professional who meets Landlord's reasonable requirements, as determined by the Landlord's Golf Course Committee in consulta- tion with Tenant, and to those prevailing in such areas for similar products and services and without discrimination. 19.2. Food Operations. Food operations shall be operated in such a manner as to maintain a Health Inspection Rating of "A". Food operations also shall be open and available during all hours of operation of the golf course and shall provide hot and cold food items on a full service basis during such hours of operation. Landlord agrees that Tenant shall obtain and keep current licenses as required for the on Premise sale and serving of alcoholic beverages. 19.3. Hours of Operation. The Tenant agrees that he will conduct business on the leased premises to conform with the published hours and days of operation as established, and in the best interest of the public, unless otherwise approved in writing by the Landlord. 19.4. Concession employees. Tenant will ensure that its employees shall at all times conduct themselves in a creditable manner, and they shall conform to all course rules, regulations and requirements, as well as all rules and regulations as hereafter may be promulgated or put into operation by the Landlord. The Tenant shall maintain a staff adequate to Landlord's satisfaction and administer all facilities located on said Premises. 19.5. Merchandise and Equipment. The Landlord retains the right to require the Tenant to discontinue sale or use of those items that are of a quality unacceptable to the Landlord. 16 19.6. continued Occupancy. The Tenant covenants and agrees to, and it is the intent of this Lease that the Tenant shall, continuously and uninterruptedly during the term of this Lease, occupy and use the Premises for the purpose hereinabove specified, except while Premises are untenantable by reason of fire, flood, or other unavoidable casualty, and, in that event, Landlord shall be promptly notified by Tenant. 19.7. Inspections. Landlord may make an inspection of the leased Premises at any reasonable time for the protection of properties and in the best interest of the public. 19.8. Maintenance of Premises. Tenant agrees to maintain the Premises in first class condition, which shall include but not be less than the condition of said Premises at the time Tenant first occupies the same. Tenant shall give prompt notice to Landlord of any fire or damage that may occur from any cause whatsoever. Tenant shall, to the satisfaction of Landlord, keep and maintain the leased Premises and all improvements of any kind which may be erected, installed or made thereon by Tenant in good and sub- stantial repair and conditions, including painting, and shall make all necessary repairs and alterations thereto. Tenant expressly agrees to maintain the Premises in a safe, clean, wholesome and sanitary condition, to the complete satisfaction of Landlord and in compliance with all applicable law. Tenant further agrees to provide proper containers_for trash and garbage and to keep the demised Premises, both land and water areas thereof, free and clear of rubbish and litter. Landlord shall have the right to enter upon and inspect the same Premises at any time for cleanliness and safety. 20. EFFECT OF REQUEST FOR PROPOSAL AND SUBMITTED PROPOSAL It being the desire and intent of the parties hereto that the spirit as well as the letter of this Lease be binding and enforceable, the Landlord's "Request for Proposal Municipal 17 Golf Course Maintenance and Operation City of National City, Calif- ornia", and Tenant's "Proposal for the Operation of the Municipal Golf Course" are hereby incorporated herein by reference only, the same as if fully set forth herein, and the provisions thereof shall be utilized in interpreting any provision of this Lease that comes into dispute. 21. WATER RIGHTS The parties acknowledge the presence in the Premises of a producing water well. All rights to said well and its appur- tenant parts, and all rights to water appurtenant to said well, and to the demised Premises, shall remain the sole and exclusive property of the City of National City, and no rights and interests L therein are conveyed by this Lease. During the term hereof, Tenant shall maintain said well in first class working order, making such repairs, and performing such maintenance as is reasonably necessary therefore, subject to the further right of the Landlord to inspect and test said well from time to time and require per- formance of such repair, maintenance and restoration work as may be necessary to maintain said well in first class working order. During the term of this Lease, Landlord shall have the right to pump said water from said well to meet the demands of the Landlord as the same is determined by the Landlord in its sole discretion, paying to Tenant its actual out-of-pocket expense incurred by virtue of the Landlord's use of said well. Landlord reserves to itself, in its discretion, the right to enter upon the demised Premises and construct such other and further wells and related facilities, including storage facilities, pumps and transmission lines, and underground or overhead electric power systems, as the Landlord determines proper. Landlord retains the sole and exclusive right to sell water from the existing or future wells, to the extent there is water in excess of the Landlord's needs. Tenant may operate said wells to provide water solely for the use on the demised Premises for irrigation and domestic purposes, and for rio other purposes. 18 21.1 Any other rights described in this Section notwithstanding, Tenant shall have the first right and priority to properly irrigate the golf course from water produced from the water well on the premises and Tenant's right to this water shall be at no cost, except for charges associated with the maintenance of the well and pumps and the use of electricity in running the well and pumps. 22. DAMAGES Tenant assumes the risk of damage to its property, in- cluding leasehold hereby created resulting from any condition of the demised Premises including the fact the demised Premises are subject to inundation damage. Any loss or injury or damage suffered by Tenant as a result of the foregoing described conditions, including an inundation, or flood or storm damage, or damage from flowing of surface waters shall be at the sole risk and loss of Tenant. By executing this Lease, Tenant forever releases Landlord from any liability for damage due to any loss enumerated in this Lease; and waives any claim it may have against Landlord under the Constitution of the State of California and the United States of America for a taking or damaging of its property, commonly known as an inverse condemnation. 23. RESERVATION OF RIGHT OF RE-ENTRY Landlord reserves the right to re-enter upon the real property described in Exhibit "C" hereto for the purpose of con- structing and operating thereon a restaurant facility. If Land- lord elects so to act, then Landlord shall give Tenant notice of its election and shall within 30 days thereof meet with Tenant and negotiate in good faith, with Tenant, the terms and conditions of constructing and operating said restaurant facility, so as to minimize interference with Tenant's rights under this Lease. Landlord shall not do anything pursuant to this Section which will materially interfere with Tenant's rights hereunder, or mater- ially diminish Tenant's income hereunder. In exercising the rights reserved hereunder, Landlord and Tenant covenant to deal with each other in utmost good faith, so that the purposes of this Lease be achieved, and the Landlord's rights reserved hereunder be exercised to the benefit of the taxpayers of National City. IN WITNESS WHEREOF, the parties hereto have hereunto set their hands on the date first above stated. CITY OF,NATIONAL CITY AMERICAN GOLF CORPORATION By ATTEST: By ra,e,f,t4D 19 By 4 1 ° 0 0' 0 0" WEST, ALONG THE SOUTHERLY LINE OF THE NORTH SOUTH 7120.00 FEET; THENCE NORTH HALF OF SAID QUARTER SECTION 134, PARALLEL WITH THE EASTERLY 19°00'00" WEST, ALONG A LINE WHICH IS 190.00 FEET; THENCE NORTH 71°0 OF SAID QUARTER SECTION 134, A DIS— TANCE o � ►' EAST, ALONG A LINE 'WHICH ISOUARTERPARALLEL SECWITH TIONH134OUTHERL 71 00 00 T NC OFO SAID NORTHERLYTMHALFR SAIDSUSAN A. OLIVER BY GRANT DEEDN ER OF TE OF 120.00 FEET MORE OR LESS TO THE MOST NORTHWESTERLY CORN OF THAT PORTION OF LAND CONVEYED TOOFFICE ON OCTOBER 20, SAN DIEGO EGO COUNTY RECORDER'S00 00" ALONG AS RECORDED 1 N 149; THENCE NORTH 1 9 ° ' WEST, T 1 HE 7 AS BpOY 2519 ON SAID QUA 234.07 FEET MORE OR LESSEE EASTERLY LINE OF SAID STERLY CORNERRN 134, T POON I ONT DEED D THE MOST SOUTHWESTERLY OF FORPORT PORTION OF LAND CONVEYED TO AS1958 RECORDED ITON THEN CITYG OF COUNTY RECORDER'SCIR A POINT LYING ER021, FEET IN SAN DIEGO COUNTY ALSO OFFICE ON OCTOBER 21, BEING INO BOOK 7318FTHE PAGE 76, 44°26'06"-EAST, 670.82 FEET; OF QUARTER SOUTHERLY OF NORTHWESTERLY CORNER OF THE NORTHWESTERLY QUARTER SECTION 127; THENCE NORTHFEET TO A POINT ON THENCE. QUARTER 19°00'00" WEST, 600.00 SAID POINT BEING ORNORTH NORTHERLY LINE OF SAID FTHE NORTHWESTERLY CORNER HOFE SOUTHER Y LINEQUARTER SECTION FEET EASTERLY THENCE SOUTH 71°00'00" WEST, ALONG SECTION 127; 69.75 FEET; THENCE NORTH 18°33'33" OF SAID, QUARTER SECTION 1 28,THENCE OFNO80 WEST, ALONG A LINE WHICH IS PARALLEL WITH 6St100`FEETRLY LINE OF 8 TH ACRE LOT 2 OF SAID QUARTER SECTION 128, 56°33'33" WEST, 163.00 FEET TO THE BEGINNING OF A NONTANGENT 450.00 FOOT RADIUS CURVE, CONCAVE EASTERLY, A RADIAL LINE BEARS NORTH 57 °1 3'1 8" EAST; THENCE NORTHERLY ALONG THE ARC OF F74AID.07 CURVE UFEV E 3 THENCE TANGENT TO SAID CURVE, THROUGH A CENTRAL ANGLE OF 47°3NnpRTH A DISTANCE OF 14°50'S8" EAST, 89.06 FEET; THENCE NORTH 12°39'02" 09 02„ WEST, 207.00 FEET; " 134.00 FEET; THENCE NORTH 2F° ; THENCE NORTH 67°20'58 EAST, TO A POINT WEST,HN2b5. H FEET'02 FEET MORE OR LESS THENCE NORTH 1 8 LYE' n WEST, OFT 80 118.00 ACRE LOT 1, QUARTER SECTION 128; THENCEOH THE SOUTHERLY O LINE ° '02„ WEST, ALONG THE EASTERLY OF SAID F HESCONTINUING NORTH 18 39 ACRE LOT THE SOUTHWEST QUARTER OF THEE HALF oESSOTO THE TRUE POINT OF I 621.67 FEET QUARTER SECTION 128, BEGINNING. (CONTAINING 42.835 ACRES). 3 THENCE NORTH FEET;03THENCE SOUTH 73°00'00" WEST, 40.00 FEET; IN139TERSEC— TION FEET MORE OR LESS TO A POINT SOUTH' 19°00 00" 5ION WITH WEST, EASTERLY AVENUE; THE THE EASTERLY LINE OF SAID "N" AVENUE, 227.69 FEET TO A • T ION 1Y1 TH TUE LINE OF ■N" THE CENTERLINE NE OF 28TH STREET EAST, ALONGFEET; POINT WHICH LIES 66.92 FEET FROM 000'00" EAST, PRODUCED EASTERLY; THENCE NORTH POINT 125.00OF INTERSEC— TION; 00 00" 144.00 FEET TO A THENCE SOUTH 1 A ' EAST, THE EASTERLY PROLONGATION OF THE MAP THEREOF NUMBER 1034 WITH ACCORDING THENCE SOUTH ON2, FILE JERIN SUBDIVISION, LAST DESCRIBED EASTERLY PROLONGATION, OF OD ONGLOTI OF IN THE OFFICEOFTHE COUNTY RECORDER; 5 5.54'00" WEST, AONG SAID SERA FEET MORE OR LESS TO NORTHEAST 34 191'06" EAST, ALONG FEHE JE TERINSUBDIVISION; THENCESUBDIVISION, OF J ERAl1L2'OF JERAULD'S SUBDIVISION; EASTERLYHLINE SOUTHEAST SAID LOT OF SAID LOT 19°00'00; TO THE CORNER0'00" 35.00 FEET; THENCE SOUTH EAST,THENCNORTH 7E° RECORDA75�FEET); THENCE SOUTH 71°00'001WEST, EAST, FEET FEET OF SAID TO A POINT ON THE EASTERLY LINE S 14.45 THENCE SOUTH 34°23'06" EAST, ALONG THE EASTERLY LINE SUBDIVISION;OJERAULD'S SUBDIVISION ANDS THE SOUTHERLY PROLONGATION 286.52L0FEETOTO A THE SAID EASTERLY ERAULD S SUBDIVISION EA OF INTERSECTION LINE I SAID J OF SAID JERAULD'S SUBDI— VISION;RSECTION WITH THE CENTERLINE OF THE VACATED ALLEY ADJOINING I INTO 11 12 AND 13 ADJOINING LOTS 9, 10, � ALONGTHE CENTER LINE OF SAID ALLEY, SOUTH FEET E71T (RECORDS S5.64FEET) TO A POINT OF INTER— SECTION VACATED ALLEY, 86.91 FCET N OF SECTION OF SAID ALLEY CENTERLINE AND THE OjCRAv NORTHERLY SUBDIVISION; THENCE 12 OF SAIDPROLONGATION OF THE WESTERLY LINE OF SAID , ALONG SAID NORTHERLY THENCE SOUTH 1LINE 0 EAST, TEST FEET TO THE NORTHWEST LINE OF SAID LOT 12, SOUTH 19°00'00" EAST, CORNEROE WSTERLY THENCE OF SAID LOT 12;112.11 FEET MORE OR LESS WESTERLY LINE 12,FEET MORE OR S ALONGOATHEYINOGFPARALLEL TWITH AND 43 " TO A POINT LON I A LINE ROAD SURVEY 778-2; THENCE NORTH 71 °00'00 EAST 39.98 FEET TO THE THE CENTERLINE NECONCAVE SOUTHERLY BEGINNINGN 72 ° OF A NEENTP 10430FOOT SURVEYRADIUS7 CURVE, THENCEY (EGSTA TANGS + 21.61 B.C. PER ROAD SURVEY 778-2); (BEING NG STATION ON 48RC OF SAID THROUGH A CENTRAL ANGLE OF THR TANGENT TO SAID CURVE, 0ASTERLY ALONG ISTANCEAOF 114.69 FET CURVE, MORE THENCE LESS TO A POINT ON A 0 � DI FEET HA LINE WHICH 8'01" EAST, 143.29 TH AND 240.00 FEET WESTERLY OF0THE THENCE NORTH 19 LINT WHICH LINE F PARALLELS 79.40OTFEET TO A EASTERLY OF SLASTAID QDESCRIBED UARTER TPOARALLE�L LINE, 125 FEET NORTHERLY LY OFA WEST, ALONG SAID WHICH IS PARALLEL WITH ANDHEWN ON THEPHINE ONRT A LINE OF —WAY LINE OF SWEETWATER ROAD AS S LINE NORTHERLY RIGHT—OF—WAY NORTH 82°30'43" EAST ALONG SAID IN— WHICHOAD SURVEY PARALLEL 159.08 RVEY 1323, A DISTANCE OF EASTERLY, A IS WITH THE NORTHERLY RIGHT—OF—WAY LINE -RA ATCONCAVE FEETTR ROAD BEGINNING SHOWN ONROAD ONTANGENT CURVET HENCE NORTHERLY AND TO L LINE 81 042 46"ANGLE NORTHEASTERLY BEARS NORTH � EAST; FEET TO A POINT ON THE EASTERLY TERLY ALONG THE ARC OF SAID CURVE THROUGH A CENTRALSOUTH OF OR 35°1 OF 169.5 7LI 35°19'15", A DISTANCEER134, A RADIAL LINE BEARS SOUTH LINE OF SAID QUARTER SECTION 0 ' " WEST, ALONG THE 62oS7'S9'� EAST; THENCE NORTH 19 00 00 SOUTHEAST Y 134, 449.84 FEET TO THE S THENCE CORNERLONE OF SAID QUARTER SAID QUARTER SECTION "T34; O 2 EXHIBIT "B" SCHEDULE OF PROPOSED CAPITAL IMPROVEMENTS 1984 Item: Estimated Cost:. 1. Fairway 2. Course Drainage 3. Irrigation System: A. Controllers B. Valves C. Sprinklers 4. Greens (9) 5. Tees (9) 6. Cart Paths 7. Trees 8. Clubhouse: A. Food b Beverage B. Pro Shop C. Cart Storage 9. Sand traps 10. Driving Range (including lights) 11. Parking Lot Repairs 12. Lake Repair 13. Putting Greens 14. Fencing 15. Landscaping 16. Misc. (including items: 9,12,13,1405 15) S 50,000.00 80,000.00 140,000.00 63,000.00 27,000.00 20,000.00 10,000.00 70,000.00 70,000.00 15,000.00 75,000.00 Total S620,000.00 c/, AMENDMENT TO AGREEMENT This Amendment to Agreement is made and entered this 2nd day of July , 1985, by and between the City of National City, a municipal corporation, hereinafter referred to as "LANDLORD", and American Golf Corporation, a corporation, hereinafter referred to as "TENANT". RECITALS This Amendment to Agreement is made with reference to the following recitals: A. On May 3, 1984, LANDLORD and TENANT entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course". B. LANDLORD and TENANT desire to amend Paragraph 3.A of said Agreement entitled, "Construction Period". NOW, THEREFORE, the parties hereto mutually agree as follows: 1. Paragraph 3.A, "Construction Period", of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" is hereby amended as follows: 3.A CONSTRUCTION PERIOD. Landlord and Tenant both acknowledge that there will be a Construction Period that will begin immediately after the execution of this Lease and end on August 31, 1985. During the Construction Period, it will not be possible for golfers to make use of the golf course and the driving range or facilities appurt- enant thereto. The term of this Lease and the Tenant's obligation to pay annual rent will not commence until the end of the Construction Period, that being the date when the golf course reopens for play. During the Construction Period, Tenant and its agents will have the right to go onto the leased property to make all necessary capital improvements. 2. Except as otherwise provided herein, all of the terms and conditions of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" dated May 3, 1984, shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have here- unto set their hands on the date first above stated. CITY OF NATIONAL CITY ATTEST: APPROVED AS TO FORM BY 40fItliLre BY AMERICAN GOLF CORPORATION BY IN -2- PARCL. „SUBJECT TO RIGHT OF RE -EN J THAT PORTION OF THE EAS1 HALF OF 40 ACRE LOT 2 IN A!2TER SECTION 134 OF RANCHO DE LA NAC I ON, IN THE CITY OF NATIONAL CITY, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 166 FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY ON MAY 11, 1869 DESCRIBED AS FOLLOWS: BEGINNING AT A POINT ON THE NORTHERLY LINE OF SWEETWATER ROAD, SAID POINT BEING 40.00 FEET WESTERLY FROM THE INTERSECTION OF SAID NORTHERLY LINE WITH THE EASTERLY LINE OF SAID QUARTER SEC- TION 134 AND BEING THE SOUTHWEST CORNER OF LAND DESCRIBED IN DEED TO THE CITY OF NATIONAL CITY RECORDED FEBRUARY 24, 1949 IN COOK 3120 PAGE 329 OF OFFICIAL RECORDS; THENCE NORTHERLY AND PARALLEL WITH SAID EASTERLY LINE OF SAID QUARTER SECTION 134 A DISTANCE OF 125.00 FEET; THENCE WESTERLY AND PARALLEL WITH THE NORTHERLY LINE OF SWEETWATER ROAD A DISTANCE OF 200.00 FEET; THENCE SOUTHERLY AND PARALLEL WITH THE EASTERLY LINE OF SAID QUARTER SECTION 134 A DISTANCE OF 125.00 FEET TO THE NORTHERLY LINE OF SWEETWATER ROAD; THENCE EASTERLY ALONG SAID NORTHERLY LINE A DISTANCE OF 200.00 FEET TO THE POINT OF BEGINNING. EXCEPTING'THEREFROM THAT PORTION AS DEEDED TO THE COUNTY OF SAN DIEGO RY DOCUMENT DATED ',JAY 13, 1972 RECORDED JULY 5, 1972 AS FILE NO. 173027 (KNOWN AS PARCEL NO. 69325) AND DESCRIBED AS FOLLOWS: FEE TITLE IN AND TO THAT PORTION OF THE EAST HALF OF 40 ACRE LOT 2 IN OHARTEP SECTION OF 134 OF RANCHO DE LA NAC I ON, IN THE CITY OF NATIONAL CITY, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA. DESCRIBED IN DEED TO AUSTIN J. OLIVER RECORDED AUGUST 4, 1965 IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY AS FILE NO. 139746 OF THE OFFICIAL RECORDS, LYING SOUTHERLY AND EASTERLY OF THE FOLLOWING DESCRIBED LINE: BEGINNING AT THE SOUTHWEST CORNER OF LAND DESCRIBED IN SAID DEED; THENCE ALONG THE WEST LINE THEREOF NORTH 17°41'13" \VEST 38.94 FEET TO THE TRUE POINT OF BEGINNING; THENCE LEAVING SAID WEST LINE NORTH, 78°25'14" EAST 125.43 FEET TO THE BEGINNING OF A TANGENT CURVE TO THE LEFT HAVING A RADIUS OF 20 FEET; THENCE ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 90°00'00" IN A NORTH- EASTERLY, EASTERLY AND NORTHWESTERLY DIRECTION A DISTANCE OF 31.42 FEET; THENCE TANGENT TO SAID CURVE NORTH 11 °34'46" WEST 10.80 FEET TO THE BEGINNING OF A TANGENT CURVE TO THE RIGHT HAVING A RADIUS OF 275 FEET; THENCE ALONG SAID CURVE TO A POINT IN THE NORTHERLY 4 I NE OF SAID LAND, A DISTANCE OF 49.19 (RECORD 47.02) FEET THROUGH A CENTRAL ANGLE OF 10°14'56" (RECORD 09°47'52"). (CONTAINING 12,383.31 SQUARE FEET). EXHIBIT "C" (23. Reservation of right to re-entry) to LEASE AND OPERATING AGREEMENT for LAS PALMAS MUNICIPAL"GOLF COURSE between THE CITY OF NATIONAL' CITY and AMERICAN GOLF CORPORATION 4 Exhibit C - MINIMUM MAINTENANCE STANDARDS 1. Greens, Practice Putting Greens & Nurseries A. Mowing - At lease five days per week at a height of 1/8" - 1/4" during the growing season. B. Change cup locations on all greens and practice putting greens at least five times weekly during the active season and at least three times weekly in the off-season. Cup location will be faoved at least twenty feet fro1a the previous placement. C. Repair ballmarks, divots, or any other damaged turf on all greens and practice greens at least three times per week. D. Aerify all greens, practice putting greens and nurseries three times per year during the growing season. This will be done with "Ryan Green Aire" or approved substitute which places holes on two inch centers and two inches deep. E. Topdress all greens, practice putting greens and nurseries after aerification and additionally as needed to maintain a smooth putting surface. Topdressing material will be sand or a mix similar to that used to construct the greens. F. Light vertical mowing of all greens, practice putting greens and nurseries shall be performed as appropriate to control mat and thatch build up and Poa Anua seed production. Dethatching should be performed prior to any overseeding. Note: Where bermudagrass greens are maintained, they shall be overseeded annually, in the fall of the year, approximately 2 to 3 weeks before the first annual freeze, using a blend of perennial rye, Poa Trivilas and or fine fescues - at a rate of not less than 30 lbs. per 1,000 sq.ft. The putting surface shall be prepared for overseeding by aerifying no sooner than 30 days before overseeding, lightly verticutting weekly starting three to four weeks prior, and treating for fungus each week for three weeks prior to overseeding. Overseeding shall be topdressed 1/8" with material similar to green construction material or using sand and/or sand compost mixture. A starter fer- tilizer shall be applied prior to seeding. Green shall be irrigated sufficient to remain moist but not soaked until all germinated seed has rooted. During germination period, cup shall be changed frequently. First mowing shall be at 5/16" reducing to normal cutting heights gradually. A preventative program of fungicide applications shall be maintained starting two days after over - seeding. G. Spiking of all greens and practice greens shall be performed as needed between aerifications to main- tain water infiltration. H. Fertilization - All greens, practice greens, and nurseries shall be fertilized with nitrogen phosphorous, potash, and other elements as needed to maintain color, growth and turgidity of the turf, without allowing excessive or excessively succulent growth. I. Fungicide - All greens, practice greens and nurseries shall have appropriate fungicide applications to prevent and/or control fungal disease activity. J. Pre -emergent chemicals such as Balan, Dacthal, etc., shall be used in the appropriate amounts and appropriate times to prevent intrusion into the greens of weeds difficult to eradicate such as poa anua, goosegrass, crabgrass, etc. K. Weed Control - All greens, practice greens and nurseries shall be maintained free of foreign grasses and weeds. L. Insecticide - All greens, practice greens and nurseries shall be treated on a preventive and/or curative basis as necessary. 2. Tees - All Areas Used For Tee Surface A. Mowing - All tees shall be mowed at a height of 1/2" three times per week. B. Topdressing - All tees shall be topdressed weekly to fill divots, and level tee surface. Topdressing material shall be washed sand. C. Seeding - All tee areas shall be overseeded at a rate of not less than 8 lbs./1,000 sq.ft. from November to April Seed used shall be a suitable mixture. D. Set-up - Tee markers and all tee equipment shall be moved daily for proper teeing and wearing of turf. E. Weed Control - Tees shall be kept weed free to an extent of at least 90% of the area by the proper application of herbicides. F. Vertical Mowing - All tees shall be vertically mowed as necessary to control mat or thatch build up. G. Aerification - All tees shall be aerified every two months. (March through November) H. Fertilization - All greens, practice greens, and nurseries shall be fertilized with nitrogen phosphorous, potash, and other elements as needed to maintain color, growth and turgidity of the turf, without allowing excessive or excessively succulent growth. 3. Fairways - All Areas Of Play Except Greens, Tees and Natural Growth Areas. A Mowing - All fairwaysshall be mowed twice.a week at a height of l/2" during the growing season and as needed for the balance of the year. Contour mowing as specified by the architect in the original plans shall be maintained. B Aerification - All fairways shall be aerified a minimum of two times per year. Once in the spring and once in the summer. Aerification holes shall not exceed a spacing of eigth inches on center or be of a diameter of less than 1/2". C. Fertilization - All fairways shall be fertilized twice annually. Fertilizer formulations will be made after analysis of soil and approval of the City. D. Vertical Mowing - All fairways will be vertically mowed as necessary to control mat or thatch build up. E. Weed Control - Fairways shall be kept weed free to an extent of at least 90% of the area by the proper application of herbicides. -4- 4. Planters - All Areas Planted With Ornamental Plants, Not Intended for Golf Play and Having a Definable Border. A. Clean-up - All planters shall be maintained free of trash and debris such as paper, drinking cans, bottles fallen limbs and leaves. B. Weed Control - All planters shall be maintained free of weeds or grass whether by mechanical or chemical means. C. Trimming - The plant material (trees, shrubbery and ground covering) in planters shall be trimmed for protection from wind, insect damage, and for appearance. 5. Trees - All Trees Within the Property Lines of the Golf Course A. Stake - All trees shall be staked as necessary to protect and establish sufficient size to stand unassisted.. B. Pruning - All trees shall be pruned for protection from wind and pests as well as for appearance. Proper pruning techniques shall be approved by the City. C. Irrigation - All trees shall be watered to provide adequate moisture for proper growth. D. Mowing - Large area mowers shall not be used within one foot of the trunk. E. Removal and Replacement - All damaged Trees, for whatever cause, shall be removed and replaced within fourteen days. Replacement will be with the same type tree as was damaged and if possible the same size. 6. Irrigation - All Equipment Required to Irrigate All Areas of the Golf Course A. Repair or replace all heads, valve controllers, wiring, and pipe as needed to maintain the proper operation of the entire golf course irrigation system (including greens, tees, fairways, planters, flower beds, etc.) on an on -going basis. C4 r B. The golf course shall be irrigated as necessary to support proper growth of the golf turf. 7. Fences - All Fence Blocks, Chain Link, or Barbed Wire on or Within the Boundaries of the Golf Course A. Repair all broken or damaged fencing on a monthly basis. B. Repair or replace all fences, gates, and locking devices needed for the protection of the golf course or equipment immediately. 8. Clubhouse and Buildings - All Buildings Within the Boundaries of the Golf Course A. Restrooms - All restrooms shall be maintained daily in a manner so as to provide a clean and sanitary facility for public use as well as employees of the course. Soap, towels, toilet paper ... shall be provided in adequate quantity at all times. B. Kitchen - Repair and maintain all hardware and equipment necessary for the operation of the kitchen and snack shop. C. Lobby and Patios - All lobbies and patios shall be vacuumed, dusted and swept daily. D. General Maintenance - Maintain and repair all structural areas and fixtures of all buildings as needed to insure proper function and appearance including, but not limited to: 1. Air conditioning units, power tools, appliances, hardware, building structures and fixtures. 2. Painting, carpentry, plumbing and electrical repairs. 3. Porches, walks, parking areas, delivery areas and entries. E. Cart Paths - Maintain all cart paths in a smooth condition and repair promptly as needed. 9. ,Ed9,ein9 - All edges of sidewalks, patios and cart paths must oe kept edged. Edgeing of valve boxes, meter boxes, backflow preventers, etc. shall be done as needed to insure that there is no obstruction of play from growth around these items. -0- 10. Sand Traps - All sand traps shall be edged as necessary to maintain a neat lip, raked daily and filled with fresh sand as needed to maintain a 4" depth on slopes and in the bottom. Replacement sand will be of a dust -free type, silica sand if possible. Color Areas - Various planting areas throughout course shall be regularly cultivated, weeded and pruned on a regular basis with at least two replanting programs for annuals scheduled each year. 12. Construction and Remodeling - Any change in the physical characteristics of any area of the golf course such as addition or removal of sand traps, addition or removal of any hazards (water, trees or native vegetation), regrading involving movement of soil exceeding 20 cubic yards in any single area, or the modification of any portion of the golf course or the buildings will be undertaken after consulting with the lessor. 13. Crews - A full maintenance crew shall be on duty at the course daily under the supervision of an on duty super- intendent. (A qualified golf course superintendent is defined as an individual with a degree from a two or a four year college or university accredited in agronomy) 14. Provide rodent control. 15. Trash and debris removal will be at management firm's expense. Management firm will take special care to insure minimal problems from refuse odors, insects, etc. Trash recepticals shall be conveniently stationed on tees and at clubhouse and emptied daily. 16. Other - All lakes and bridges will be maintained in a safe and sanitary manner and in good appearance. Rough mowed in all unimproved areas as needed, fairways, rough and fence lines sprayed for weed control, and soil tested with adequate analysis at least once per year. NOTE: THESE SPECIFICATIONS ARE MEANT TO INDICATE MINIMUM PRACTICES NECESSARY FOR THE PROPER MAINTENANCE OF THE GOLF COURSE IN CONDITIONS SPECIFIED EARLIER, BUT NOTHING IN THESE SPECIFICATIONS SHALL BE INTERPRETED TO LIMIT THE RESPONSIBILITY OF THE MANAGEMENT FIRM. c�� . 1 9 Exhibit C - MINIMUM MAINTENANCE STANDARDS 1. Greens, Practice Putting Greens b Nurseries A. Mowing - At lease five days per week at a height of 1/8" - 1/4" during the growing season. B. Change cup locations on all greens and practice putting greens at least five times weekly during the active season and at least three times weekly in the off-season. Cup location will be coved at least twenty feet fro1a the previous placement. C. Repair ballmarks, divots, or any other damaged turf on all greens and practice greens at least three times per week. D. Aerify all greens, practice putting greens and nurseries three times per year during the growing season. This will be done with "Ryan Green Aire" or approved substitute which places holes on two inch centers and two inches deep. E. Topdress all greens, practice putting greens and nurseries after aerification and additionally as needed to maintain a smooth putting surface. Topdressing material will be sand or a mix similar to that used to construct the greens. F. Light vertical mowing of all greens, practice putting greens and nurseries shall be performed as appropriate to control mat and thatch build up and Poa Anua seed production. Dethatching should be performed prior to any overseeding. Note: Where bermudagrass greens are maintained, they shall be overseeded annually, in the fall of the year, approximately 2 to 3 weeks before the first annual freeze, using a blend of perennial rye, Poa Trivilas and or fine fescues - at a rate of not less than 30 lbs. per 1,000 sq.ft. The putting surface shall be prepared for overseeding by aerifying no sooner than 30 days before overseeding, lightly verticutting weekly starting three_to four weeks prior, and treating for fungus each week for three weeks prior to overseeding. Overseeding shall be topdressed 1/8" with material similar to green construction material or using sand and/or sand compost mixture. A starter fer- tilizer shall be applied prior to seeding. Green shall be irrigated sufficient to remain moist but not soaked until all germinated seed has rooted. During germination period, cup shall be changed frequently. First mowing shall be at 5/16" reducing to normal cutting heights gradually. A preventative program of fungicide applications shall be maintained starting two days after over - seeding. G. Spiking of all greens and practice greens shall be performed as needed between aerifications to main- tain water infiltration. H. Fertilization - All greens, practice greens, and nurseries shall be fertilized with nitrogen phosphorous, potash, and other elements as needed to maintain color, growth and turgidity of the turf, without allowing excessive or excessively succulent growth. I. Fungicide - All greens, practice greens and nurseries shall have appropriate fungicide applications to prevent and/or control fungal disease activity. J. Pre -emergent chemicals such as Balan, Dacthal, etc., shall be used in the appropriate amounts and appropriate times to prevent intrusion into the greens of weeds difficult to eradicate such as poa anua, goosegrass, crabgrass, etc. K Weed Control - All greens, practice greens and nurseries shall be maintained free of foreign grasses and weeds. L. Insecticide - All greens, practice greens and nurseries shall be treated on a preventive and/or curative basis as necessary. 2. Tees - All Areas Used For Tee Surface A. Mowing - All tees shall be mowed at a height of 1/2" three times per week. B. Topdressing - All tees shall be topdressed weekly to fill divots, and level tee surface. Topdressing material shall be washed sand. -3- C. Seeding - All tee areas shall be overseeded at a rate of not less than 8 lbs./1,000 sq.ft. from November to April Seed used shall be a suitable mixture. D. Set-up - Tee markers and all tee equipment shall be moved daily for proper teeing and wearing of turf. E. Weed Control - Tees shall be kept weed free to an extent of at least 90% of the area by the proper application of herbicides. F. Vertical Mowing - All tees shall be vertically mowed as necessary to control mat or thatch build up. G. Aerification - All tees shall be aerified every two months. (March through November) H. Fertilization - All greens, practice greens, and nurseries shall be fertilized with nitrogen phosphorous, potash, and other elements as needed to maintain color, growth and turgidity of the turf, without allowing excessive or excessively succulent growth. 3. Fairways - All Areas Of Play Except Greens, Tees and Natural Growth Areas. A. Mowing - All fairwaysshall be mowed twice.a week at a height of 1/2" during the growing season and as needed for the balance of the year. Contour mowing as specified by the architect in the original plans shall be maintained. B. Aerification - All fairways shall be aerified a minimum of two times per year. Once in the spring and once in the summer. Aerification holes shall not exceed a spacing of eigth inches on center or be of a diameter of less than 1/2". C. Fertilization - All fairways shall be fertilized twice annually. Fertilizer formulations will be made after analysis of soil and approval of -the City. D Vertical Mowing - All fairways will be vertically mowed as necessary to control mat or thatch build up. E Weed Control - Fairways shall be kept weed free to an extent of at least 90% of the area by the proper application of herbicides. . -4- 4. Planters - All Areas Planted With Ornamental Plants, Not Intended for Golf Play and Having a Definable Border. A. Clean-up - All planters shall be maintained free of trash and debris such as paper, drinking cans, bottles fallen limbs and leaves. B. Weed Control - All planters shall be maintained free of weeds or grass whether by mechanical or chemical means. C. Trimming - The plant material (trees, shrubbery and ground covering) in planters shall be trimmed for protection from wind, insect damage, and for appearance. 5. Trees - All Trees Within the Property Lines of the Golf Course A. Stake - All trees shall be staked as necessary to protect and establish sufficient size to stand unassisted.. B. Pruning - All trees shall be pruned for protection from wind and pests as well as for appearance. Proper pruning techniques shall be approved by the City. C. Irrigation - All trees shall be watered to provide adequate moisture for proper growth. D. Mowing - Large area mowers shall not be used within one foot of the trunk. E. Removal and Replacement - All damaged Trees, for whatever cause, shall be removed and replaced within fourteen days. Replacement will be with the same type tree as was damaged and if possible the same size. 6. Irrigation - All Equipment Required to Irrigate All Areas of the Golf Course A. Repair or replace all heads, valve controllers, wiring, and pipe as needed to maintain the proper operation of the entire golf course irrigation system (including greens, tees, fairways, planters, flower beds, etc.) on an on -going basis. az- B. The golf course shall be irrigated as necessary to support proper growth of the golf turf. 7. Fences - All Fence Blocks, Chain Link, or Barbed Wire on or Within the Boundaries of the Golf Course A. Repair all broken or damaged fencing on a monthly basis. B. Repair or replace all fences, gates, and locking devices needed for the protection of the golf course or equipment immediately. 8. Clubhouse and Buildings - All Buildings Within the Boundaries of the Golf Course A. Restrooms - All restrooms shall be maintained daily in a manner so as to provide a clean and sanitary facility for public use as well as employees of the course. Soap, towels, toilet paper ... shall be provided in adequate quantity at all times. B. Kitchen - equipment and snack C. Lobby and vacuumed, D. Repair and maintain all hardware and necessary for the operation of the kitchen shop. Patios - All lobbies and patios shall be dusted and swept daily. General Maintenance - Maintain and repair all structural areas and fixtures of all buildings as needed to insure proper function and appearance including, but not limited to: Air conditioning units, power tools, appliances, hardware, building structures and fixtures. 2. Painting, carpentry, plumbing and electrical repairs. 3 Porches, walks, parking areas, delivery areas and entries. E. Cart Paths - Maintain all cart paths in a 'smooth condition and repair promptly as needed. 9. Edgeing - All edges of sidewalks, patios and cart paths must be kept edged. Edgeing of valve boxes, meter boxes, backflow preventers, etc. shall be done as needed to insure that there is no obstruction of play from growth around these items. dc -0- 10. Sano Traps - All sand traps shall be edged as necessary to maintain a neat lip, raked daily and filled with fresh sand as needed to maintain a 4" depth on slopes and in the bottom. Replacement sand will be of a dust -free type, silica sand if possible. Color Areas - Various planting areas throughout course shall be regularly cultivated, weeded and pruned on a regular basis with at least two replanting programs for annuals scheduled each year. 12. Construction and Remodeling - Any change in the physical characteristics of any area of the golf course such as addition or removal of sand traps, addition or removal of any hazards (water, trees or native vegetation), regrading involving movement of soil exceeding 20 cubic yards in any single area, or the modification of any portion of the golf course or the buildings will be undertaken after consulting with the lessor. 13. Crews - A full maintenance crew shall be on duty at the course daily under the supervision of an on duty super- intendent. (A qualified golf course superintendent is defined as an individual with a degree from a two or a four year college or university accredited in agronomy) 14. Provide rodent control. 15. Trash and debris removal will be at management firm's expense. Management firm will take special care to insure minimal problems from refuse odors, insects, etc. Trash recepticals shall be conveniently stationed on tees and at clubhouse and emptied daily. 16. Other - All lakes and bridges will be maintained in a safe and sanitary manner and in good appearance. Rough mowed in all unimproved areas as needed, fairways, rough and fence lines sprayed for weed control, and soil tested with adequate analysis at least once per year. NOTE: THESE SPECIFICATIONS ARE MEANT TO INDICATE MINIMUM PRACTICES NECESSARY FOR THE PROPER MAINTENANCE OF THE GOLF COURSE IN CONDITIONS SPECIFIED EARLIER, BUT NOTHING IN THESE SPECIFICATIONS SHALL BE INTERPRETED TO LIMIT THE RESPONSIBILITY OF THE MANAGEMENT FIRM. RESOLUTION NO. 14,902 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING AN AMENDMENT TO THE LEASE AND OPERATING AGREEMENT FOR THE LAS PALMAS MUNICIPAL GOLF COURSE BE IT RESOLVED by the City Council of the City of National City that the Mayor is authorized to sign an amendment to the Lease and Operating Agreement for the Las Palmas Municipal Golf Course to increase green fees. Said amendment is attached hereto as Exhibit "A" and incorporated herein by reference. PASSE) and ADOPTED this 8th day of April, 1986. Kile Morgan, :k'fiayor ATTEST: Ione -•-11, City Cl APP•,I �' AS TO FORM: AMENDMENT W AGREEMENT This Amendment to Agreement is made and entered this 8TH day of APRIL , 1986, by and between the City of National City, a municipal corporation, hereinafter referred to as "LANDLORD", and American Golf Corporation, a corporation, hereinafter referred to as "TENANT". RP ITALS recitals: This Amendment to Agreement is made with reference to the following A. On 3, 1984, LANDLORD and TENANT entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course", and said Agreement was subsequently amended on July 2, 1985. B. LANDLORD and TENANT desire to amend Paragraph 10.2 of said Agreement pertaining to green fees and cart fees. NOW, FORE, the parties hereto mutually agree as follows: 1. Paragraph 10.2 of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" is hereby amended to read as follows: 10.2. All fees charged to patrons at the demised Premises will be comparable to those fees charged by comparable competing Southern California public golf courses for similar goods and services and facilities. Tenant and Landlord agree that green fees and cart fees will be as follows: Green Fees 9 Holes 18 Holes Weekdays $ 4.00 $ 6.00 Seniors & Juniors (Weekdays) 3.50 5.00 Seniors & Juniors (Weekends) 5.00 after 12 noon 9.00 Weekends 5.00 9.00 Seniors & Juniors mo. ticket 15.00 weekdays & weekends Plus $1.00 for each 9 holes played. afternoon. For purposes of this Section, "seniors" shall mean all persons 60 years old or older, and "juniors" shall mean all persons 16 years old or younger. Carts 6.00 11.00 f BY: APP 2. Except as otherwise provided herein, all of the terms and conditions of the "Lease and Operating Agreement for Las Palmas Municipal Golf Ak14- Course" dated JIay 3, 1984, and as subsequently amended on July 2, 1985, shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have hereunto set their hands on the date first above stated. A'1.1'EST : IONE CAOPBELL Ione CamPbel1, City c,1erk ,. TO RAM: r- George H. Eiser, III -City Attorney CITY OF NATIOCITY Kile Morgan, .yor AMERICAN GOLF CORPORATION BY Passed and adopted by the Council of the City of National City, California, on April 8, 1986 by the following vote, to -wit: Ayes: Councilmen Nays: Councilmen Absent: Councilmen Abstain: Councilmen AUTHENTICATED BY: (Seal) Cooper, Dalla, VanDeventer, Waters, Morgan None None None KILE MORGAN Mayor of the City of National City, California Ione Campbell City Clerk of the City of National City, California By: Itt,Ok.L-tt .ac... Deputy ri I HEREBY CERTIFY that the above and foregoing is a full, true and cor- rect copy of RESOLUTION NO. 14,902 of the City of National City, Calif., passed and adopted by the Council of said City on 1986 (Seal) By: Ione Campbell April 8, City Clerk of the City of National City, California Deputy :._:.::':. AM ERCAN GOLF CORPORATION R E �(/jam , Rip r) National City Municipal fy,': " Golf Course National City, CA 92050 rcj y Y( /�rA /1 tl\! 4 ! f,�p V March 21, 1986 Mr. Tom McCabe City Manager 1243 National City Blvd. National City, CA 92050 Dear Mr. McCabe: Please find enclosed a schedule of proposed green fees for National City Golf Course and rate comparisons of comparable golf courses in San Diego. We are submitting these in accordance with Section 10.4 of our lease. It is our desire to put the new prices into effect as soon as possible. Please inform me of the date and time this proposal will be on the agenda for City Council consideration. Thank you. Sincerely, - William H. Reidelberger General Manager WH/ch AMERICAN GOLF CORPORATION * 9 HOLES * LOCAL COMPARABLE PUBLIC COURSES - FEBRUARY 21, 1986 COURSE REG. Balboa Park (9) $ 4.25 (Resident) $ 6.25 (Non Resident) Bonita $ 6.00 Chula Vista $ 4.50 Mission Bay $ 3.50 River Valley $ 4.50 SR. NATIONAL CITY GOLF COURSE (9 HOLES) WEEKEND Same Same $ 7.50 $ 5.00 $ 4.00 $ 5.00 PRESENT PROPOSED INCREASE Weekday Reg. $ 3.50 $ 4.00 $ .50 Replay $ 1.50 $ 2.00 $ .50 Weekday Sr/Jr $ 3.00 $ 3.50 $ .50 Replay $ 1.00 $ 1.50 $ .50 Weekend Reg. $ 4:50 $ 5.00 $ .50 Replay $ 3.50 $ 4.00 $ .50 *Weekend Sr/Jr (After 12:00) $ 3.50 $ 5.00 $ 1.50 Replay $ 1.50 $ 4.00 $ 2.50 *Essentially eliminates Sr/Jr rates on weekends. It is our intention to maintain current prices for all Cart Rentals and for use of Driving Range Balls at this time. City off' National City Parks & Recreation Department 140 E. 12th St., National City, CA 92050-3312 Phone: (619) 477-1181 March 28, 1986 TO: GERRY BOLINT, ASSISTANT CITY MANAGER FROM: JIM RUIZ, PARKS & RECREATION DIRECTOR SUBJECT: GOLF COURSE FEES After reviewing the proposed increase, I spoke with Bill Reidelberger, the General Manager of the golf course. The primary purpose of the fee increase is to become more competitive with other golf courses in the County and to generate more revenue. According to Mr. Reidel- berger, they have not broke even during any of the months they have been open. They also are planning to continue course improvements such as enlarging tee areas, cart paths and installing benches. Prices for cart rentals and range balls will remain the same. After reviewing comparable rates, their fee adjustment appears to be reasonable. JR/lh City of National City, Californic CUNCIL AGENDA STATEMENT MEETING DATE April 8, 1986 AGENDA ITEM NO. 9 I ITEM TITLE Resolution amending the lease agreement between the City and American Golf Corporation. PREPARED BY JIM RUIZ, DIRECTOR y(„41PARTMENT PARKS & RECREATION EXPLANATION. William Reidelberger of American Golf Corporation has requested an increase in green fees at the golf course (attached information). In order to put fees into effect, City Council must approve the request and the lease agreement must be amended. Environmental Review Financial Statement xx N/A Account No. STAFF RECOMMENDATION Recommend approval. BOARD/COMMISSION RECOMMENDATION ATTACHMENTS (Listed Below) 3-21-86 ltr from American Golf Corporation. Resolution No. 14,902 A-200 (Rev. 9/80) • From a memo sent to all senior International Telephone & Telegraph Co. managers during the early years of Geneen's mem- orable reign: Effective immediately, I want every report to spe- cifically, directly and bluntly state at the beginning a summary of the unshakable facts. The highest art of professional management requires the ability to smell a real fact from all others and, moreover, to have the intellectual curiosity, guts or plain impoliteness neces- sary to be sure that what you have is what we will call an unshakable fact. Harold Geneen is chairman emeritus of Interna- tional Telephone & Telegraph Co. NOTE: COUNCIL AGENDA STATEMENTS ARE DUE IN THE CITY MANAGER'S OFFICE BY 9 A.M. THURSDAY PRECEDING THE CITY COUNCIL MEETING. City of National City Office of the City Manager 1243 National City Blvd., National City, CA 92050-4397 (619) 336-4240 Tom G. McCabe —City Manager December 8, 1986 TO FROM SUBJECT Department Directors Assistant City Manager Las Palmas Golf Course Lease - Relocation of Corporate Headquarters Attached for your information, files and future reference as necessary is a notification from American Golf Corporation regarding relocation of their corporate headquarters. GJB:lk Attachment xc: Mayor and City Council City Manager Lease File - Las Palmas Golf Course RECEIVED • 1 4 1 ) AMERICAN GOLF CORPORA1 ION 1 December 1986 City of National City 1243 National City Boulevard National City, California 92050-4397 Attention: Tom McCabe, City Manager Re: Las Palmas Golf Course Lease Dear Mr. McCabe: rn L U' ) 19'3, CITY MANAGE" NATION c1 U, ' As is indicated in the enclosed announcement card, American Golf Corporation ("AGC") is moving its corporate headquarters, effective Monday, 8 December 1986. The purpose of this letter is to advise all of the company's lessors, major lenders, vendors and outside counsel of this change. We are advised by the United States Postal Service that mail addressed to AGC's old address will be delivered to our new office for several months following our move. In addition, if you call AGC's old corporate telephone number, General Telephone Company will have a recording which will advise you of the new telephone number. We recommend, however, that you change your mailing lists and other records as soon as possible to: American Golf Corporation 1633 26th Street Santa Monica, California 90404-4024 213-315-4200 Sincerely, St en R. Ho General Counse and Secretary of the SRH\dlb Enclosure Corporation 641 North Sepulveda Blvd . Los Angeles C;aI,h rni 900.l9 Iclelahone (2131 47ti n,; ; ; AMERICAN GOLF CORPORATION AMERICAN GOLF CORPORATION 1S pleased to 11711101111 k : t�IC lt'/Oclltl011 Ot 11,, COlpOra tt' OT,1L't:» to 1633-26th1 ,1tic'y ,1 aiit11 1O111Ct1, (1(I11 f c)1711(1 (.:1_3) 31 ?--120O »CCt'111 / '1 S, 1 )LA AMERICAN GOLF CORPORATION National City Municipal Golf Course National City, CA 92050 March 18, 1987 Mr. Tom McCabe City Manager 1243 National City Blvd. National City, CA 92050 Dear Mr. McCabe: RECEIVE CITY MANAGER NATION!`l us Nt Enclosed please find a schedule of proposed green fees for National City Golf Course. You will note they include a very modest increase in replay rates with no increase for cart rentals or driving range balls. This is submitted in accordance with section 10.4 of our lease. .----------Th It is our desire to put the the new prices into effect as soon as possi le. Please inform me of the date and time this proposal will be on the agenda for City Council consideration. Thank you. Sincerely, William H. Reidelberger General Manager WH/sm AMERICAN GOLF CORPORATION * 9 HOLES * LOCAL COMPARABLE PUBLIC COURSES - FEBRUARY 21, 1987 COURSE REG. WEEKEND Balboa Park (9) $4.75 (Resident) Same $6.75 (Non Resident) Same Bonita $5.00 $7.00 Chula Vista (18) $8.00 $11.00 Mission Bay $3.75 $4.25 River Valley $5.00 $6.00 NATIONAL CITY GOLF COURSE (9 HOLES) PRESENT PROPOSED INCREASE Weekday Reg. $4.00 $4.00 None Replay $2.00 $2.50 $ .50 Weekday Sr/Jr $3.50 $3.50 None Replay $1.50 $2.00 $ .50 Weekend Reg. $5.00 $5.00 None Replay $4.00 $4.00 None Weekend Sr/Jr(After 12:00) $4.00 $4.00 None Replay $2.50 $3.00 $ .50 ;ity of National City, California_ COUNCIL AGENDA STATEMENT 20 - MEETING DATE May 24, 1988 AGENDA ITEM NO. 6 1 ITEM TITLE RESOLUTION AUTHORIZING THE INCREASE OF FEES AT NATIONAL CITY GOLF COURSE EFFECTIVE JUNE 15, 1988 PREPARED BY JIM RUIZ, DIRECTOR EXPLANATION. DEPARTMENT PARKS & RECREATION Attached letter from American Golf requests an increase in green fees for the first 9 holes of play and for power cart rental. The replay fee would remain the same. All fee increases must be approved by City Council in accordance with the agreement with American Golf. Staff checked the rates with the local public courses as noted in their request and found them to be accurate. These fees would make them comparable with other local courses. American Golf would like to make these rates effective June 15, 1988. Environmental Review X N/A Financial Statement N/A Account No. TAFF RECOMMENDATION Recommend approval BOARD/COMMISSION RECOMMENDATION N/A ATTACHMENTS (Listed Below) 1. Letter from American Golf. Resolution No. 15,624 A-200 (Rev. 9/80) AMERICAN GOLF CORPORATION May 10, 1988 Mr. Tom McCabe City Manager 1243 National City Blvd. National City, Ca. 92050 Dear Mr. McCabe REceiveo ciry NA 7 10q4CITY NAGER Attached you will find our proposed fee increase for National City Golf Course. Included with our proposal are the nine hole fees being charged at local comparable public courses. Our new fees would be comparable to those courses. We would like these new fees to be effective June 15, 1988. Please let me know the date and time this proposal will be on the agenda for City Council consideration. Cordially, 14,tki4 * Stephen T. Harker Regional Director Mission Trails G.C. 7380 Golf Crest Place San Diego, Ca. 92119 (619) 460-5409 cc: Jim Ruiz Bill Goree AMERICAN GOLF CORPORATION *** 9 HOLES * * * LOCAL COMPARABLE PUBLIC COURSES - MAY 6, 1988 GOLF WEEKDAY WEEKEND COURSE GREEN FEE GREEN FEE CART FEE BALBOA PARK (9) $ 4.50 (RESIDENT) SAME N/A $10.00 (NON. RES.) SAME N/A BONITA $ 5.00 $ 8.00 $ 8.00 CHULA VISTA $ 5.00 $ 6.00 $ 9.00 MISSION BAY (9 OR 18) $ 6.50 $ 7.50 $ 4.50 RIVER VALLEY $ 5.00 $ 6.00 $ 9.00 NATIONAL CITY GOLF COURSE (9 HOLES) PRESENT PROPOSED INCREASE WEEKDAY GREEN FEE $ 4.00 $ 5.00 $ 1.00 REPLAY $ 2.50 $ 2.50 NONE WEEKDAY SR/JR $ 3.50 $ 4.00 .50 REPLAY $ 2.00 $ 2.00 NONE WEEKEND GREEN FEE' $ 5.00 $ 6.00 $ 1.00 REPLAY $ 4.00 $ 4.00 NONE WEEKEND SR/JR (AFTER 12) $ 4.00 $ 5.00 $ 1.00 REPLAY $ 3.00 $ 3.00 NONE POWER CART $ 6.00 $ 8.00 $ 2.00 :ity of National City, Californir COUNCIL AGENDA STATEMENT MEETING DATE April 7, 1987 AGENDA ITEM NO. 32 ITEM TITLE REQUEST FOR INCREASE IN REPLAY RATES AT NATIONAL CITY GOLF COURSE BY AMERICAN GOLF CORPORATION. PREPARED BY Jim Ruiz EXPLANATION DEPARTMENT PARKS & RECREATION American Golf Corporation has requested an increase in green fees at the golf course. The increase would only apply for REPLAY rates. Staff conducted a survey of rates in the area and found that the requested increase for replay rates to be reasonable. Environmental Review Financial Statement N/A xx N/A Account No. STAFF RECOMMENDATION Recommend approval of request by American Golf Corporation. BOARD/COMMISSION RECOMMENDATION ATTACHMENTS (Listed Below) Resolution No. Ltr. from American Golf A•200 (Rev. 9/80) May 27, 1988 Mr. Tom McCabe City Manager City of National City 1243 National City Blvd. National City, Ca. 92050 Dear Mr. McCabe Attached you will find our proposed fee increase for National City Golf Course. Included with our proposal are the nine hole fees being charged at local comparable public courses. Our new fees would be comparable to those courses. We would like these new fees to be effective July 1, 1989. Please let me know the date and time this proposal will be on the agenda for City Council consideration. Cordially, Steve Harker Regional Director American Golf Corporation 7380 Golf Crest Place San Diego, Ca. 92119 (619) 460-5400 a?,Jim" Ru i z Bill Goree *** 9 HOLES *** LOCAL COMPARABLE PUBLIC COURSES - MAY 24, 1989 GOLF WEEKDAY WEEKEND COURSE GREEN FEE GREEN FEE CART FEE *BALBOA PARK (9) $ 5.00 (RESIDENT) SAME N/A 515.00 (NON. RES.) SAME N/A BONITA 5 6.00 $ 9.00 5 8.00 CHULA VISTA 5 7.00 5 9.00 $ 9.00 *MISSION BAY (9 OR 18) 5 7.25 5 8.25 $ 9.00 (BEFORE 2PM) *RIVER VALLEY 5 5.00 5 6.00 5 9.00 *DUE TO THEIR EXECUTIVE LENGTH, THESE COURSE ARE ACTUALLY A LITTLE LESS THAN COMPARABLE TO NATIONAL CITY. NATIONAL CITY GOLF COURSE (9 HOLES) (EFFECTIVE JULY 1, 1989) PRESENT PROPOSED INCREASE WEEKDAY GREEN FEE $ 5.00 5 6.00 $ 1.00 REPLAY $ 2.50 5 3.00 .50 WEEKDAY SR/JR $ 4.00 $ 4.50 .50 REPLAY $ 2.00 5 2.50 .50 WEEKEND GREEN FEE 5 6.00 $ 8.00 5 2.00 REPLAY 5 4.00 5 4.00 NONE WEEKEND SR/JR (AFTER 12) 5 5.00 5 6.00 5 1.00 5 3.00 5 4.00 1.00 REPLAY POWER CART 5 8.00 5 9.00 5 1.00 AMENDMENT IO AGREEMENT This Amendment to Agreement is made and entered this 24th day of May, 1988, by and between the City of National City, a municipal corporation, hereinafter referred to as "LANDLORD", and American Golf Corporation, a corporation, hereinafter referred to as "TENANT". RECITALS This Amendment to Agreement is made with reference to the following recitals: A. On May 3, 1984, LANDLORD and TENANT entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course", and said Agreement was subsequently amended on July 2, 1985, and April 8, 1986. B. LANDLORD and TENANT desire to amend Paragraph 10.2 of said Agreement pertaining to green fees and cart fees. NOW, THEREFORE, the parties hereto mutually agree as follows: 1. Paragraph 10.2 of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" is hereby amended to read as follows: 10.2. All fees charged to patrons at the demised Premises will be comparable to those fees charged by comparable competing Southern California public golf courses for similar goods and services and facilities. Tenant and landlord agree that green fees and cart fees will be as follows: Green Fees 9 Holes Replay Weekdays $5.U0 $2 5U Seniors & Juniors (Weekdays) 4.00 2.UU Seniors & Juniors (Weekends) 5.00 after 12 noon 3.UU Weekends 6.00 4.UU For purposes of this section, "seniors" shall mean all persons 60 years old or older, and "juniors" shall mean all persons 16 years old or younger. Carts $8.00 $5.00 2. Except as otherwise provided herein, all of the terms and conditions of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" dated May 3, 1984, and as subsequently amended on July 2, 1985, and April 8, 1986, shall remain in full force and effect. RESOLUTION NO. 15,624 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AN AMENDMENT TO AGREEMENT WITH AMERICAN GOLF CORPORATION BE IT RESOLVED by the City Council of the City of National City that the Mayor is hereby authorized to execute an Amendment to Agreement between the City of National City and American Golf Corporation, a copy of which is attached hereto as Exhibit "A". PASSED and ADOPTED this 24th day of May, 1988. GEORGE H. WATERS, MAYOR ATTEST: 7 _. Lie IONF CAMPBELL, CITY CLERK APPROVED AS /i2 TOM: A Iv GEORGE H. EISER, III - CITY ATTORNEY IN WITNESS WHEREOF, the parties hereto have hereunto set their hands on the date first above stated. ATTEST: IONE CAMPBELL Ione Campb 11, City C L r k 1 Lt:- .ems APPROVED AS TO FORM: George H. Eiser, III - City Attorney `George i yC`Waters, Mayor AMERICAN GOLF CORPORATION /-6-64-ee-c .sv r f/s1,ef-cK BY _tpt711��___ BY Passed and adopted by the Council of the City of National City, California, on 5-2�+-88 by the following vote, to -wit: Ayes: Councilmen Nays: Councilmen Absent: Councilmen Abstain: Councilmen Cooper, Dalla, Pruitt, VanDeventer, Waters None None None AUTHENTICATED BY: GEORGE H. WATERS Mayor of the City of National City, California IONE CAMPBELL City Ciirk of the City of National City, California By:41Y4.taY4.0 E"?:1.. Il Deputy I HEREBY CERTIFY that the above and foregoing is a full, true and cor- rect copy of RESOLUTION NO. 15,624 of the City of National City, Calif., passed and adopted by the Council of said City on 5-24-88 (Seal) By: City Clerk of the City of National City, California Deputy City of National City, Californi, G'UNCIL AGENDA STATEMT MEETING DATE June 6, 1989 AGENDA ITEM NO. 16 ITEM TITLE RESOLUTION AUTHORIZING THE INCREASE OF FEES AT NATIONAL CITY GOLF COURSE EFFECTIVE JULY 1, 1989 PREPARED BY JIM RUIZ /i�r� DEPARTMENT PARKS & RECREATION EXPLANATION. The attached request from American Golf to increase green fees and cart fees would take effect on July 1, 1989 if approved by the City Council. The increases range between 50 and $2. The fees data in the request from American Golf is accurate and has been verified. These proposed increases would keep National City Golf Course competitive with other nine hole courses in the county. A representative from American Golf will be at the council meeting to answer any specific questions. Environmental Review XX N/A Financial Statement N/A Account No. STAFF RECOMMENDATION RECOMMEND APPROVAL BOARD/COMMISSION RECOMMENDATION N/A ATTACHMENTS (Listed Below) Resolution No. 15,979 Request from American Golf A-200 (Rev. 9/80) RESOLUTION NO. 15,979 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AN AMENDMENT TO AGREEMENT WITH AMERICAN GOLF CORPORATION BE IT RESOLVED by the City Council of the City of National City that the Mayor is hereby authorized to execute an Amendment to Agreement between the City of National City and American Golf Corporation, a copy of which is attached hereto as Exhibit "A." PASSED AND ADOPTED this 6th day of June, 1989. ATTEST: LORI vv ANNE PEOPLES, Cit APPROVED AS TO FORM: Clerk l/ / 9tc Wit GEORGE H. EISER, III, City Attorney GEORGE br. WATERS, Mayor AMENDMENT TO AGREEMENT This Amendment to Agreement is made and entered this 6th day of June, 1989, by and between the City of National City, a municipal corporation, hereinafter referred to as "LANDLORD," and American Golf Corporation, a corporation, hereinafter referred to as "TENANT." RECITALS This Amendment to Agreement is made with reference to the following recitals: A. On May 3, 1984, LANDLORD and TENANT entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course," and said Agreement was subsequently amended on July 2, 1985, April 8, 1986, and May 24, 1988. B. LANDLORD and TENANT desire to amend Paragraph 10.2 of said Agreement pertaining to green fees and cart fees. NOW, THEREFORE, the parties hereto mutually agree as follows: 1. Paragraph 10.2 of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" is hereby amended to read as follows: 10.2. All fees charged to patrons at the demised Premises will be comparable to those fees charged by comparable competing Southern California public golf courses for similar goods and services and facilities. TENANT and LANDLORD agree that green fees and cart fees will be as follows: EXHIBIT A Green Fees 9 Holes Replay Weekdays $6.00 $3.00 Seniors & Juniors (Weekdays) 4.50 2.50 Seniors & Juniors (Weekends) 6.00 after 12 noon 4.00 Weekends 8.00 4.00 For purposes of this section, "seniors" shall mean all persons 60 years old or older, and "juniors" shall mean all persons 16 years old or younger. Carts $9.00 $5.00 2. Except as otherwise provided herein, all of the terms and conditions of the "Lease and Operating Agreement for Las Palmas Municipal. Golf Course" dated May 3, 1984, and as subsequently amended on July 2, 1985, and April 8, 1986, shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have hereunot set their hands on the date first above written. CITY OF NATIONAL CITY ATTEST: Lori Anne Peoples, City Clerk APPROVED AS TO/O M George H. Eisef, III City Attorney By: George G. 0 Waters, Mayor AMERICAN GOLF CORPORATION By: By: -2- Passed and adopted by the Council of the City of National City, California, on 6 / 6 / 8 9 by the following vote, to -wit: Ayes: Councilmen Dal l a, Nays: Councilmen None Absent: Councilmen Pru i t t Abstain: Councilmen None AUTHENTICATED BY: Inzunzat VanDeventera Waters GEORGE H. WATERS Mayor of the City of National City, California City By: erk of the City of National Ciiy, California Deputy I HEREBY CERTIFY that the above and foregoing is a full, true and cor- rect copy of RESOLUTION NO.of the City of National City, Calif., passed and adopted by the Council of said City on 6. J8 AMERICAN GOLF CORPORATION 9 June 1989 Jim Ruiz City of National City Parks & Recreation Department 140 East 12th Street National City, California 92050-3312 Re: Amendment to Agreement Dear Mr. Ruiz: Please find enclosed two duplicate originals of the Amendment to Agreement between the City of National City and American Golf Corporation ("AGC"), both of which have been executed by David G. Price as AGC's Chairman of the Board of Directors and Chief Executive Officer. I have attested to Mr. Price's signature as secretary of the corporation and have applied the corporate seal. After you have obtained the mayor and city clerk's signatures and the city attorney's approval as to form, please return one of the two fully executed originals to me for AGC's corporate records. The other original is for the city's files. Thank you for your attention to this matter. Sincerely, I AMERICAN GOLF CORPgRION Ste j h R. Ho Vice President;--R'ecretary and General Counsel SRH/ enclosures cc: Ken Davidson Steve Harker Bill Goree 1633-26th Street, Santa Monica, California 90404-4024, Telephone (213) 315-4200 AMENDMENT TO AGREEMENT This Amendment to Agreement is made and entered this 6th day of June, 1989, by and between the City of National City, a municipal corporation, hereinafter referred to as "LANDLORD," and American Golf Corporation, a corporation, hereinafter referred to as "TENANT." RECITALS This Amendment to Agreement is made with reference to the following recitals: A. On May 3, 1984, LANDLORD and TENANT entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course," and said Agreement was subsequently amended on July 2, 1985, April 8, 1986, and May 24, 1988. B. LANDLORD and TENANT desire to amend Paragraph 10.2 of said Agreement pertaining to green fees and cart fees. NOW, THEREFORE, the parties hereto mutually agree as follows: 1. Paragraph 10.2 of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" is hereby amended to read as follows: 10.2. All fees charged to patrons at the demised Premises will be comparable to those fees charged by comparable competing Southern California public golf courses for similar goods and services and facilities. TENANT and LANDLORD agree that green fees and cart fees will be as follows: Green Fees 9 Holes Replay Weekdays $6.00 $3.00 Seniors & Juniors (Weekdays) 4.50 2.50 Seniors & Juniors (Weekends) 6.00 after 12 noon 4.00 Weekends 8.00 4.00 For purposes of this section, "seniors" shall mean all persons 60 years old or older, and "juniors" shall mean all persons 16 years old or younger. Carts $9.00 $5.00 2. Except as otherwise provided herein, all of the terms and conditions of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" dated May 3, 1984, and as subsequently amended on July 2, 1985, and April 8, 1986, shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have hereunot set their hands on the date first above written. CITY OF NATIONAL CITY ATTEST: y� &V.. Lo i Anne Peoples, City Clerk APPROVED AS TO vL) George H'. Eiser, III City Attorney By: toz- George H. Waters, Mayor AMERICAN GOLF CORPS;. TION By: By: -2- David G. Price, Cman of ie B•.rd and Chie 7 utive O ricer Sty en R. Ho T- , Secretary CITY OF -NATIONAL CITY, CALIFORNIA 1243 NAT►ONAL CITY BOULEVARD • NATIONAL CITY, CALIFORNIA 92050 • (619) 336-4226 LORI A. PEOPLES CITY CLERK June 9, 1989 American Golf Corportation Gentlemen: Enclosed are two copies of the agreement executed by the City and Resolution No. 15,979, which was adopted by the City Council on June 6, 1989. When you have fully excuted these agreements please return one to me at the City Clerk's office. Thank you, is Strangman /js Enclosures (3) AMENDMENT TO AGREEMENT This Amendment to Agreement is made and entered this 26th day of June, 1990, by and between the City of National City, a municipal corporation, hereinafter referred to as "LANDLORD", and American Golf Corporation, a corporation, hereinafter referred to as "TENANT". RECITALS This Amendment to Agreement is made with reference to the following recitals: A. On May 3, 1984, LANDLORD and TENANT entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course", and said Agreement was subsequently amended on July 2, 1985, April 8, 1986, and May 24, 1988. B. LANDLORD and TENANT desire to amend Paragraph 10.2 of said Agreement pertaining to green fees and cart fees. NOW, THEREFORE, the parties hereto mutually agree as follows: 1. Paragraph 10.2 of the "Lease and Operating Agreement for Las Palmas Muncipal Golf Course" is hereby amended to read as follows: 10.2. All fees charged to patrons at the demised Premises will be comparable to those fees charged by comparable competing Southern California public golf course for similar goods and services and facilities. Tenant and landlord agree that green fees and cart fees will be as follows: GREEN FEES 9 HOLES REPLAY Weekdays - Regular $6.50 $3.50 Weekdays - Seniors 5.00 3.00 Weekdays - Seniors (Non -National City Residents) 6.50 3.50 Weekends - Regular 8.50 5.00 Weekends - Seniors 7.00 4.00 Weekends - Seniors (Non -National City Residents) 8.50 5.00 Carts 8.00 5.00 Twilight (Weekdays) 5.00 Twilight (Weekends) 5.00 Range: X Large 7.00 Large 4.00 Small 3.00 For purposes of this section, "seniors" shall mean all persons 60 years old or older. 2. Except as otherwise provided herein, all of the terms and conditions of the "Lease" and Operating Agreement for Las Palmas Municipal Golf Course" dated May 3, 1984, and as subsequently amended on July 2, 1985, April 8, 1986, and on May 24, 1988, shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have hereunto set their hands on the date first above stated. GEORGE H. WATERS MAYOR APPROVED AS TO FORM: eA& — GEORGE H. EISER, III -CITY ATTORNEY AMERICAN GOLF CORPORATION BY: BY: RESOLUTION ND. 16,287 Passed and adopted by the Council of the City of National City, California, on June 26, 1990 by the following vote, to -wit: Ayes: Councilmen Dalla, Inzunza, Pruitt, Van Deventer, Waters Nays: Councilmen None Absent: Councilmen None Abstain: Councilmen None AUTHENTICATED BY: GEORGE H. WATERS By: Mayor of the City of National City, California City Clei}k of the City of National City, California Deputy I HEREBY CERTIFY that the above and foregoing is a full, true and cor- rect copy of RESOLUTION NO. ..... of the City of National City, Calif., passed and adopted by the Council of said City on June 26, 1990 (Seal) By: City Clerk of the City of National City, California Deputy AMENDMENT TO AGREEMENT This Amendment to Agreement is made and entered this 26th day of June, 1990, by and between the City of National City, a municipal corporation, hereinafter referred to as "LANDLORD", and American Golf Corporation, a corporation, hereinafter referred to as "TENANT". RECITALS This Amendment to Agreement is made with reference to the following recitals: A. On May 3, 1984, LANDLORD and TENANT entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course", and said Agreement was subsequently amended on July 2, 1985, April 8, 1986, and May 24, 1988. B. LANDLORD and TENANT desire to amend Paragraph 10.2 of said Agreement pertaining to green fees and cart fees. NOW, THEREFORE, the parties hereto mutually agree as follows: 1. Paragraph 10.2 of the "Lease and Operating Agreement for Las Palmas Muncipal Golf Course" is hereby amended to read as follows: 10.2. All fees charged to patrons at the demised Premises will be comparable to those fees charged by comparable competing Southern California public golf course for similar goods and services and facilities. Tenant and landlord agree that green fees and cart fees will be as follows: GREEN FEES 9 HOLES REPLAY Weekdays - Regular $6.50 $3.50 Weekdays - Seniors (National City Residents) 4.50 2.50 Weekdays - Seniors (Non -National City Residents) 5.00 3.00 Weekends - Regular 8.50 5.00 Weekends - Seniors (National City Residents) 6.00 4.00 Weekends - Seniors (Non -National City Residents) 7.00 4.00 Carts 9.00 5.00 Twilight (Weekdays) 5.00 Twilight (Weekends) 5.00 Range: X Large 7.00 Large 4.00 Small 3.00 — „ k : , a›.61,4 4:x 11' • Lti - . 4:41144:: - . ; lir- For purposes of this section, "seniors" shall mean all persons 60 years old or older. 2. Except as otherwise provided herein, all of the terms and conditions of the "Lease" and Operating Agreement for Las Palmas Municipal Golf Course" dated May 3, 1984, and as subsequently amended on July 2, 1985, April 8, 1986, and on May 24, 1988, shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have hereunto set their hands on the date first above stated. GEORGE H. WATERS MAYOR APPROVED AS TO FORM: GEORGE H EISER, III -CITY ATTORNEY AMERICGOLF CORTION BY: BY: fer, t and Secretary City of National City, CalifornicNfte COUNCIL AGENDA STATEMENT MEETING DATE June 26, 1990 AGENDA ITEM NO, 13 ITEM TITLE RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AN AMENDMENT TO THE AGREEMENT WITH AMERICAN GOLF ASSOCIATION PREPARED BY JIM RUIZ %�GiL0- DEPARTMENT PARKS & REC. EXPLANATION. Amendment allows the golf course to implement new fees for carts, range balls, and greens fees. Environmental Review X N/A Financial Statement N/A Account No. STAFF RECOMMENDATION RECOMMEND APPROVAL BOARD/COMMISSION RECOMMENDATION N/A ATTACHMENTS (Listed Below) Amendment Resolution No. 16,287 A-200 (Rev. 9/80) ©rLc ;h.RA AMENDMENT TO AGREEMENT This Amendment to Agreement is made and entered this 6th day of June, 1989, by and between the City of National City, a municipal corporation, hereinafter referred to as "LANDLORD," and American Golf Corporation, a corporation, hereinafter referred to as "TENANT." RECITALS This Amendment to Agreement is made with reference to the following recitals: A. On May 3, 1984, LANDLORD and TENANT entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course," and said Agreement was subsequently amended on July 2, 1985, April 8, 1986, and May 24, 1988. B. LANDLORD and TENANT desire to amend Paragraph 10.2 of said Agreement pertaining to green fees and cart fees. NOW, THEREFORE, the parties hereto mutually agree as follows: 1. Paragraph 10.2 of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" is hereby amended to read as follows: 10.2. All fees charged to patrons at the demised Premises will be comparable to those fees charged by comparable competing Southern California public golf courses for similar goods and services and facilities. TENANT and LANDLORD agree that green fees and cart fees will be as follows: EXHIBIT A Green Fees 9 Holes Replay Weekdays $6.00 $3.00 Seniors & Juniors (Weekdays) 4.50 2.50 Seniors & Juniors (Weekends) 6.00 after 12 noon 4.00 Weekends 8.00 4.00 For purposes of this section, "seniors" shall mean all persons 60 years old or older, and "juniors" shall mean all persons 16 years old or younger. Carts $9.00 $5.00 2. Except as otherwise provided herein, all of the terms and conditions of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" dated May 3, 1984, and as subsequently amended on July 2, 1985, and April 8, 1986, shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have hereunot set their hands on the date first above written. CITY OF NATIONAL CITY ATTEST: Lo i Anne Peoples, City Clerk APPROVE AS TO FO • George H. Eiser, III City Attorney By: George . Waters, Mayor AMERICAN GOLF CORPORATION By: By: .4/1:66—AllifLa. Robert H. Willia;�j A00 Stiiill - R. Ho eneral Vice President sel -2- CITY OF NATIONAL CITY, CALIFORNIA 1243 NATIONAL CITY BOULEVARD • NATIONAL CITY, CALIFORNIA 92050 • (619) 336-4226 LORI A. PEOPLES CITY CLERK June 28, 1990 American Golf Corporation Attn: Bert Geinsendorff 7380 Golf Creat Place San Diego, CA 92119 Dear Mr. Geinsendorff: Enclosed are four copies of the agreement executed by the City and one copy of Resolution No. 16,287 which was adopted by the City Council on June 28, 1990. When you have fully executed these agreements please return one to me at the City Clerk's office. Thank you, Enclosures (5) RESOLUTION NO. 16,297 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AN AMENDMENT TO AGREEMENT WITH AMERICAN GOLF CORPORATION, AND RESCINDING RESOLUTION NO. 16,287 BE IT RESOLVED by the City Council of the City of National City that the Mayor is hereby authorized to execute an Amendment to Agreement between the City of National City and American Golf Corporation, which is on file in the Office of the City Clerk. BE IT FURTHER RESOLVED that Resolution No. 16,287 is hereby rescinded. PASSED AND ADOPTED this 17th day of July, 1990. GEORGE H."WATERS, Mayor ATTEST: ALOR ANNE PEOPLES, Citr Clerk APPROVED AS TO FORM: GEORG H. ISER, III, City Attorney Passed and adopted by the Council of the City of National City, California, on July 16, 1990 by the following vote, to -wit: Ayes: Councilmen Dalla, Inzunza, Pruitt, Van Deventer, Waters Nays: Councilmen None Absent: Councilmen None Abstain: Councilmen None AUTHENTICATED BY: GEORGE H. WATERS By: Mayor of the City of National City, California City Clerk of the City of National ity, California Deputy I HEREBY CERTIFY that the above and foregoing is a full, true and cor- rect copy of RESOLUTION NO. 16, 29 7 of the City of National City, Calif., passed and adopted by the Council of said City on July 17, 1990 (Seal) By: City Clerk of the City of National City, California Deputy :ity of National City, California COUNCIL AGENDA STATEMENT MEETING DATE July 17, 1990 AGENDA ITEM NO. 6 ITEM TITLE RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AN AMENDMENT TO AGREEMENT WITH AMERICAN GOLF CORPORATION PREPARED BY Jim Ruiz EXPLANATION This amendment clarifies new rates for green fees and cart rentals at the Municipal Golf Course. DEPARTMENT Parks & Recreation Environmental Review Financial Statement N/A X N/A Account No. TAFF RECOMMENDATION Recommend Approval BOARD/COMMISSION RECOMMENDATION N/A ATTACHMENTS (Listed Below) Resolution No. 16,29 7 A-200 (Rev. 9/80) RESOLUTION NO. 16,287 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AN AMENDMENT TO AGREEMENT WITH AMERICAN GOLF CORPORATION BE IT RESOLVED by the City Council of the City of National City that the Mayor is hereby authorized to execute an Amendment to Agreement between the City of National City and American Golf Corporation, a copy of which is attached hereto as Exhibit "A". PASSED and ADOPTED this 26th day of June, 1990. GEORGE H.''WATERS, MAYOR ATTEST: LO I ANNE PEOPLES, CITY CLERK APPROVED AS TO FORM: vJ GEORGE "B. EISER, III CITY ATTORNEY F,Lr` e /7 TO: City of National City Office of the City Attorney 1243 National City Boulevard, National City, CA 92050-4397 George H. Eiser, Ill —City Attorney (619) 336-4220 Mayor and City Council DATE: August 28, 1990 FROM: City Attorney SUBJECT: Extension of Lease for Las Palmas Golf Course The City's lease of Las Palmas Golf Course with American Golf Corporation provides for an initial five-year term, ending August 31, 1990. The lease additionally states: "Provided Tenant has fully complied with all the obligations contained in this lease, Tenant will have the option to extend this Lease at the end of the initial term for seven 5-year terms by giving the Landlord written notice of such desire six (6) months before the end of the particular term in question." I have received a letter from Stephen R. Hofer, Vice President and General Counsel for American Golf Corporation, stating American Golf's desire to extend the lease from September 1, 1990 through August 31, 1995. The Director of Parks and Recreation confirms that American Golf has fully complied with all the obligations contained in the Lease during the initial Lease term. Since the lease provides the lessee an option to "extend" the present lease, rather than "renewing" the lease (i.e. entering into a new lease), no action by the City is required for the extension to take effect. GHE/pjl cc: George H. Eiser, III, City Attorney City Manager Director of Parks and Recreation City Clerk Stephen R. Hofer AGENDA ITEM #13 , ,11/13/90 AMERICAN GOLF CORPORATION int, • / /76 xvt".ed J,j.L • .zv„2_ E-f✓ �'� d /vim 6 _ . ,? ci--6 61-1A ti , i•L.eA4 ; eL " tzr -4 Z- G247i-'“ , ct)tL (490 Xct %td 41./..0 AMERICAN GOLF CORPORATION Bill Goree PGA Professional I General Manager Lessons by Appointment National City Golf Course (619) 474-1400 City of National City Planning Department 1243 National City Blvd., National City, CA 92050-4397 (619) 336-4310 ROGER G. POST — DIRECTOR November 9, 1990 TO: MAYOR AND CITY COUNCIL FROM: ROM. G. POST, PLI1 NNmrG Dfl'ECIOR RE: OUTDOOR SUE AT NATIONAL CITY GOLF COHSE Responding to a compliant, staff verifies' that merchandise was being displayed for sale outside the pro shop. On November 6, staff sent a notice to American Golf Corporation directing them to cease this activity. The property was reinspected on November 7 and it was determined that the violation had been abated. Section 18.92.030 of the Land Use Code limits special outdoor promotions to three days etch, twice a year. Through the issuance of a Temporary Use Permit the City Council can specify a longer timeframe. If there is a desire to allow outdoor sales of merchandise on a permanent basis, a code amendment would be necessary. This could result in a cluttered appearance around our commercial areas, however. RGP:ils 18.90.050--18.92.030 18.90.050 Li hting, All outdoor lighting toshielded and adjusted that the light therefrom is directed to fall only on the same shall be so located. premises upon which such light source (Ord. 1503 §l(part), 1976: NCLUC S976-11.04). 18.90.060 Chapter 18,62 Signs. For provisions regulatin (Signs and Outdoor Advertisin g signs, see g) • (Ord. 1503 §l(part), 1976: NCLUC §976-11.05) , 18.90.070 Tem orar ermit re uired. For regarding temporary use permit, see Cha ter 15.60. (Ord. 1987 §l(part), 1989: Ord. 1503 1 P (Ord. §976-11.06) . (part) , 1976: NCLUC Sections: Chapter 18.92 OUTDOOR DISPLAY OR SALE OF MERCHANDISE 18.92.010 18.92.020 18.92.030 18.92.040 Regulations generally. Permitted displays. Special promotions. Seasonal sale of Christmas trees and Pumpkins. 18.92.010 Re ulationsgenera . sale of merchandise shall be The outdoor display or provided in this cha p ter. (Oprohibited in the city except as §976-12 (part)) . rd• 1503 §l(part), 1976: NCLUC 18.92.020 Permitted dis la s industrial zones, businesses such as servicecstations,mercia. aan uto• In thedealers, recreational vehicle sales lots, nurseries, outdoor display and sale of flowers in conjunction with a licensed flower shops, building material determined by the planning directords, and sier onl 18 uses (0) that customarily display merchandise poutdoors may display merchandise outdoors on the site approved for such a busi- ness. (Ord. 1616 S 22, 1978; Ord. 1503 §l(part), 1976: NCLUC §976-12.01). 18.92.030 Special romotions. A. All other businesses in the commercia and industrial zones may motions at which outdoor display and sales areeallowed, pro - limited to three days each, which shall include all set-up time. No business shall have more than two sales in a days between sales. calendar year. There shall be a period of at least thirty 499 (National City 2/90) 18.92.040 B. For special promotions lasting more than or for more than two such sales in one calendar year, c days, ity council approval in accordance with Chapter 15.60mustfirst be obtained. All such sales shall be limited to the site approve for such a business or on an adjacent (contiguous) lot. C. No business shall conduct a special promotion with outdoor display on a property when the business does not have a permanent business address on the same restriction shall not apply Property. This PP y indoors. (Ord. 1987 1to sales conducted entirely 89: Ord. Ord. 1503 §l (part) , 1976: NCLUC(part), 9§976-12.02) 1925 §11, 1987: 18.92.040 Seasonal sale of Christmas trees and numr,kins. A. The outdoor seasonal sale of Christmas trees and pumpkins is only permitted in commercial zones either on developed with a commercial use or on vacant property B. Such displays and sales are limited too thirty-five days each including installation and removal of all related materials. A business license and certificate of occupancy shall be obtained each year prior to setting up displays. Application for a certificate of occupancy shall be made no more than ten days prior to commencement of each sale. (Ord. 1985 §1, 1989). 500 (National City 2/90) City of National City Office of the City Manager 1243 National City Blvd., National City, CA 92050-4397 (619) 336-4240 Tom G. McCabe —City Manager November 12, 1990 TO Mayor and City Council FROM Assistant City Manage SUBJECT CITY COUNCIL AGENDA ITEM #13 (11/13/90 MEETING) - LE'1'1'ER FROM AMERICAN GOLF CORPORATION This morning I received a telephone call from Jack Sands who is the new golf course manager. Mr. Sands stated that he would like more time to review this matter and requests that the item be held over until the Council Meeting on December 4, 1990. GJB:ld Attachment xc: City Manager City Clerk Planning Director Parks and Recreation Director Pending Agenda File 'ty of National City, California CO'CINCIL AGENDA STATEMENT MEETING DATE June 25, 1991 AGENDA ITEM NO. (-ITEM TITLE RESOLUTION AUTHORIZING THE INCREASE OF GREEN FEES AT NATIONAL CITY GOLF COURSE EFFECTIVE JULY 1, 1991 PREPARED BY JIM RUIZ EXPLANATION. The attached request from American Golf to increase green fees would take effect on July 1, 1991 if approved by the City Council. The fees data in the request from American Golf is accurate and has been verified. The request asks for a $1 increase for 9 holes and 50c for replays. The proposed increases would keep National City Golf Course just below the average rates of comparable courses in the area. The last fee increase was July 1, 1990, with increases between 50c to $1 for green fees, cart rentals, and range balls. The proposed increases this year are for green fees only. A representative from American Golf will be at the council meeting to answer any specific questions. DEPARTMENT PARKS & RECREATION Environmental Review X N/A Financial Statement N/A Account No. STAFF RECOMMENDATION Recommend approval. BOARD/COMMISSION RECOMMENDATION Recommend Approval 91-138 ATTACHMENTS (Listed Below) Resolution No. Request from American Golf A-200 (Rev. 9/80) RESOLUTION NO. 91-138 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AN AMENDMENT TO AGREEMENT WITH AMERICAN GOLF CORPORATION BE IT RESOLVED by the City Council of the City of National City that the Mayor is hereby authorized to execute an Amendment to Agreement between the City of National City and American Golf Corporation. Said Amendment to Agreement is on file in the Office of the City Clerk. ATTEST: PASSED and ADOPTED this 25th day of June, 1991. o]ti Anne Peoples, City\Clerk APPROVED AS TO FORM: • George H. Eiser, fII City Attorney George H. aters, Mayor Passed and adopted by the Council of the City of National City, California, on June 25, 1991 by the following vote, to -wit: Ayes: Councilmen Dal la, Inzunza, Van Deventer, Zarate, Waters Nays: Councilmen None Absent: Councilmen None Abstain: Councilmen None AUTHENTICATED BY: GEORGE H. WATERS By: Mayor of the City of National City, California City Clerk of the City of National City, California Deputy I HEREBY CERTIFY that the above and foregoing is a full, true and cor- rect copy of RESOLUTION NO. _9171N of the City of National City, Calif., passed and adopted by the Council of said City on .Une..2.5.....i991 (Seal) By: City Clerk of the City of National City, California Deputy AMENDMENT TO AGREEMENT This Amendment to Agreement is made and entered this 18th day of June, 1991, by and between the City of National City, a municipal corporation, hereinafter referred to as "LANDLORD," and American Golf Corporation, hereinafter referred to as "TENANT." RECITALS This Amendment to Agreement is made with reference to the following recitals: A. On May 3, 1984, LANDLORD and TENANT entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course," and said Agreement was subsequently amended on July 2, 1985, April 8, 1986, May 24, 1988, and July 17, 1990. B. LANDLORD and TENANT desire to amend Paragraph 10.2 of said Agreement pertaining to green fees and cart fees. NOW, THEREFORE, the parties hereto mutually agree as follows: 1. Paragraph 10.2 of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" is hereby amended to read as follows: "10.2. All fees charged to patrons at the demised Premises will be comparable to those fees charged by comparable competing Southern California public golf course for similar goods and services and facilities. Tenant and Landlord agree that green fees and cart fees will be as follows: GREEN FEES 9 HOLES REPLAY Weekdays - Regular $7.50 $4.00 Weekdays - Seniors 5.50 3.00 Weekdays - Seniors (Non -National City Residents) 6.00 3.50 GREEN FEES (Continued) Weekends - Regular Weekends - Seniors Weekends - Seniors (Non -National City 9 HOLES REPLAY 9.50 5.50 7.00 4.50 Residents) 8.00 Carts 8.00 Twilight (Weekdays) 6.00 Twilight (Weekends) 6.00 Range: X Large 7.00 Large 4.00 Small 3.00 4.50 5.00 For purposes of this section, 'seniors' shall mean all persons 60 years old or older." 2. Except as otherwise provided herein, all of the terms and conditions of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" dated May 3, 1984, and as subsequently amended on July 2, 1985, April 8, 1986, May 24, 1988, and on July 17, 1990, shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have hereunto set their hands on the date first above stated. APPROVED AS TO FORM: George H. Eiser, III City Attorney -124-41 George H. aters, Mayor AMERICAN GOLF CORPORATION ,,eo,-+ : .J i4 c- k S,4.cJ.DS %rO AciAlfa.4 L ,t1 % / /4rig izC,Rscr. L tf E /moo//o uJ , A.) G /s i9 ,�.�o,04vs ( C Tv /A.) c.Et.� 5 6•�c= �,v Es ,4 % A/4 i /OAJA (.. e1 Ty c$ccF Gou, ,kl.i) /4 T y COLA c.L o Vet' L, 7» /,v cde ,¢j .3 C)oUC..v //( eC E/cF.6 c r o,.J L Y /, /?9 /. o AJCLosJ+ (- 4 F€c ,& r eosA-lLs o ,J of ,' Vc=-7 or C,e. 4 6loit) A L 6o CAP. CoLAI S (.LI/tose Co (-4 LelY-our.S ,eC Co ,o,¢zi4,Q L€ 7o AJ/ T ! o/v 4 4 airy $ oC F eo u/15 C . e LA22F ,L.1T 4-6(.4L.44..... 6. So/3.5-0 (We/logy) .SEND 02 o o / 3. oft) N C. tot. 'i•So/ Z, so -TWILIGHT 5.00 1/11-E►1E/4)2. (V.So/S:oo (REPA,4 y) 7, oo/yoo 6.00/ �O Pk'o Po.S WeEK3,4 v /tCGuL,4, .,Se ,J 1 o 2 C.. o o / .3 ..co C REOI. Ay) N. C . S€,viO4. 5- co / 3 . 0 0 ', 11./.1tL1(ofr C..00 /CEE,uLAA_ SE^Iso2 7 4JIL14HT 7.so/`{.00 Aday) 9. Co /S.So (g) N,00/ q,s-o 7. o o/ , o0 • PEA. o ug. 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O'o / ONE /2.•ao A/O./6 y. 0061,4), %W, C 16 o -r' J. o o i o, o o /V oAl c nlo,Q.: // 00 n/04 * kela •-. 42` .b 7 (, A. c.. s e Pill 4 p /L '440AI LA oil L c_i¢,e .A 7?-iii- ?4 y .4 ,Qcs r ow T sc... ' t o,c. 64. N F. , City of National City, California,,, COUNCIL AGENDA STATEMENT MEETING DATE May 4, 1993 AGENDA ITEM NO. 5 r ITEM TITLE RESOLUTION OF THE CITY COUNCIL OF NATIONAL CITY AMENDING LEASE AGREEMENT WITH AMERICAN GOLF CORPORATION PREPARED BY JIM RUIZ EXPLANATION. Request from American Golf to change price of range ball buckets as follows: Current Charge Warm Up - $2 (30-35 balls) Small - $3.25 (50-55 balls) Medium - $4.50 (90-100 balls) Large - $8 (150-200 balls) DEPARTMENT PARKS & RECREATION Proposed Charge Warm Up - $1 (20-25 balls) Small - $2.50 (30-35 balls) Medium - $4.50 (60-65 balls) Large - $5 (90-100 balls) Practice - $8 (150-200 balls) Environmental Review X N/A Financial Statement N/A Account No. TA F RECOMMENDATION Approval, effective May 5, 1993 BOARD±COMMISSION RECOMMENDATION N/A ATTACHMENTS (Listed Below) .Letter from American Golf .Resolution and Amendment to Agreement Resolution No.9 3- 5 8 A-200 (Rev. 9/80) American Golf Corporation, lim Ruiz City Of National City Department of Parks and Recreation National City, Ca. 91950 Dear Mr. Ruiz As per our phone conversation, this is to inform you of the requested price increases of range ball buckets. Currently we charge; Warm-up- $2.00 Small -$3.25 Medium -$4.50 Large -$8.00 ( approx. 30-35 balls ) ( " 50-55 " ) ( 90-100 " ) ( 150-200 " ) In order to stay competitive with the local market we would like to raise bucket prices as follows; Warm-up- $1.00 (approx. 20-25 balls ) Small -$2.50 ( Medium -$4.50 ( Large -$5.00 ( Practice -$8.00 ( " " 30-35 " ) 60-65 " ) 90-100 " ) 150-200 " ) As you can see we are offering another bucketsize and adjusting the sizes to be more in line with our competitors. We will also be upgrading our ball quality with new balls every month. Per City approval these prices would be effective April 1, 1993. Please fill free to contact me if any further information is needed. Sinncerei4 Ann Gomez General Man National City Golf Course cc: Tom Frost,Regional Director, American Golf Corp. RESOLUTION NO. 93-58 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AN AMENDMENT TO AGREEMENT WITH AMERICAN GOLF CORPORATION BE IT RESOLVED by the City Council of the City of National City that the Mayor is hereby authorized to execute an Amendment to Agreement between the City of National City and American Golf Corporation. Said Amendment to Agreement is on file in the Office of the City Clerk. PASSED and ADOPTED this 4th day of May, 1993. George H.Waters, Mayor ATTEST: Lo i Anne Peoples, ity Clerk APPROVED AS TO FORM: George H. Eiser, III City Attorney Passed and adopted by the Council of the City of National City, California, on May 4, 1993 by the following vote, to -wit: Ayes: Councilmen Dal la, Inzunza, Morrison, Zarate, Waters Nays: Councilmen Non e Absent: Councilmen Non e Abstain: Councilmen Non e AUTHENTICATED BY: GEORGE H. WATERS By: Mayor of the City of National City, California anne City lerk of the City of National City, California Deputy I HEREBY CERTIFY that the above and foregoing is a full, true and cor- rect copy of RESOLUTION NO....9.3...5.8 of the City of National City, Calif., passed and adopted by the Council of said City on ...May...4......1.9.9.3 (Seal) By: City Clerk of the City of National City, California Deputy AMENDMENT TO AGREEMENT This Amendment to Agreement is made and entered this 4th day of May , 1993, by and between the City of National City, a municipal corporation, hereinafter referred to as "LANDLORD," and American Golf Corporation, hereinafter referred to as "TENANT." RECITALS This Amendment to Agreement is made with reference to the following recitals: A. On May 3, 1984, LANDLORD and TENANT entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course," and said Agreement was subsequently amended on July 2, 1985, April 8, 1986, May 24, 1988, July 17, 1990, and June 18, 1991. B. LANDLORD and TENANT desire to amend Paragraph 10.2 of said Agreement pertaining to fees. NOW, THEREFORE, the parties hereto mutually agree as follows: 1. Paragraph 10.2 of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" is hereby amended to read as follows: "10.2. All fees charged to patrons at the demised Premises will be comparable to those fees charged by comparable competing Southern California public golf courses for similar goods and services and facilities. A. Tenant and Landlord agree that green fees and cart fees will be as follows: GREEN FEES 9 HOLES REPLAY Weekdays - Regular $7.50 $4.00 Weekdays - Seniors 5.50 3.00 Weekdays - Seniors (Non -National City Residents) 6.00 3.50 GREEN FEES (Continued) Weekends - Regular Weekends - Seniors Weekends - Seniors (Non -National City 9 HOLES 9.50 7.00 Residents) 8.00 Carts 8.00 Twilight (Weekdays) 6.00 Twilight (Weekends) 6.00 Range: X Large 7.00 Large 4.00 Small 3.00 REPLAY 5.50 4.50 4.50 5.00 For purposes of this section, 'seniors' shall mean all persons 60 years old or older." B. Tenant and Landlord agree that prices for range ball buckets will be as follows: Warm Up $1.00 (20-25 balls) Small $2.50 (30-35 balls) Medium $4.50 (60-65 balls) Large $5.00 (90-100 balls) Practice $8.00 (150-200 balls) 2. Except as otherwise provided herein, all of the terms and conditions of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" dated May 3, 1984, and as subsequently amended on July 2, 1985, April 8, 1986, May 24, 1988, July 17, 1990, and on June 18, 1991, shall remain in full force and effect. /// /// 2 IN WITNESS WHEREOF, the parties hereto have hereunto set their hands on the date first above stated. APPROVED AS TO FORM: George H. Eiser, III City Attorney 3 George H. Waters, Mayor AMERICAN GOLF CORPORATION By: By:SV. Vjt& -id*(- *may of National City, California COUNCIL AGENDA STATEMENT MEETING DATE March 7, 1995 3 AGENDA ITEM NO. 1 ITEM TITLE RESOLUTION OF THE CITY COUNCIL OF NATIONAL CITY AMENDING THE CONTRACT WITH AMERICAN GOLF. PREPARED BY JIM RUIZ EXPLANATION. DEPARTMENT PARKS & REC. American Golf Corporation has requested an increase in rates for green fees at the National City Municipal Golf Course effective April 1, 1995. Their request calls for an increase of 50c for nine hole rates and up to $1 for Twilight rates. No increase is requested under Senior Citizen rates. Attachements from American Golf show a comparative survey for many of the golf courses in the region. Our rates would still remain near the bottom even with the proposed new rates. During the past four years, they have spent over $58,000 in improvements to the course. This would be the first increase in rates since 1991. Environmental Review X N/A Financial Statement N/A Account No. STAFF RECOMMENDATION Recommend Approval BOARD/COMMISSION RECOMMENDATION PRAB recommends approval. 95=34 ATTACHMENTS (Listed Below) Resolution No. Request from American Golf Corporation A-200 (Rev. 9/80) RESOLUTION NO. 9 5 - 3 4 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AN AMENDMENT TO AGREEMENT WITH AMERICAN GOLF CORPORATION PERTAINING TO FEES AT THE GOLF COURSE WHEREAS, on May 3, 1984, the City and American Golf Corporation entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course," and said Agreement was subsequently amended on July 2, 1985, April 8, 1986, May 24, 1988, July 17, 1990, and June 18, 1991; and WHEREAS, the City and American Golf Corporation desire to amend Paragraph 10.2 of said Agreement pertaining to fees. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of National City that the Mayor is hereby authorized to execute an Amendment to Agreement with American Golf Corporation pertaining to fees at the Las Palmas Municipal Golf Course. Said Amendment to Agreement is on file in the Office of the City Clerk. PASSED and ADOPTED this 7th day of March, 1995. AL George H. Waters, Mayor ATTEST: Lo Anne Peoples, Cit Clerk APPROVED AS TO FORM: A /3 George H. Eiser, III City Attorney Passed and adopted by the Council of the City of National City, California, on March 7, 1995 by the following vote, to -wit: Ayes: Councilmen Beauchamp, Inzunza, Morrison, Zarate, Waters Nays: Councilmen None Absent: Councilmen None Abstain: Councilmen None AUTHENTICATED BY: GEORGE H. WATERS By: Mayor of the City of National City, California City Clerk of the City of National City, California Deputy I HEREBY CERTIFY that the above and foregoing is a full, true and cor- rect copy of RESOLUTION NO. 95-34 of the City of National City, Calif., passed and adopted by the Council of said City on March 7, 1995 (Seal) By: City Clerk of the City of National City, California Deputy AMENDMENT TO AGREEMENT This Amendment to Agreement is made and entered this 7th day of March, 1995, by and between the City of National City, a municipal corporation, hereinafter referred to as "LANDLORD," and American Golf Corporation, hereinafter referred to as "TENANT." RECITALS This Amendment to Agreement is made with reference to the following recitals: A. On May 3, 1984, LANDLORD and TENANT entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course," and said Agreement was subsequently amended on July 2, 1985, April 8, 1986, May 24, 1988, July 17, 1990, and June 18, 1991. B. LANDLORD and TENANT desire to amend Paragraph 10.2 of said Agreement pertaining to fees. NOW, THEREFORE, the parties hereto mutually agree as follows: 1. Paragraph 10.2 of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" is hereby amended to read as follows: "10.2. All fees charged to patrons at the demised Premises will be comparable to those fees charged by comparable competing Southern California public golf courses for similar goods and services and facilities. A. Tenant and Landlord agree that green fees and cart fees will be as follows: GREEN FEES 9 HOLES REPLAY Weekdays - Regular $8.00 $4.50 Weekdays - Seniors 5.50 3.00 Weekdays - Seniors (Non -National City Residents) 6.00 3.50 Thursday Senior Day 5.00 Weekdays - Juniors 6.00 3.50 GREEN FEES (Continued) Weekends - Regular Weekends - Seniors Weekends - Seniors (Non -National City 9 HOLES 10.00 7.00 Residents) 8.00 Weekends - Juniors 8.00 Carts 8.00 Twilight (Weekdays) 7.00 Twilight (Weekends) 8.50 Super Twilight (Weekdays and Weekends) 5.50 Range: X Large 7.00 Large 4.00 Small 3.00 REPLAY 6.00 4.50 4.50 4.50 5.00 For purposes of this section, 'seniors' shall mean all persons 60 years old or older." 2. Except as otherwise provided herein, all of the terms and conditions of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" dated May 3, 1984, and as subsequently amended on July 2, 1985, April 8, 1986, May 24, 1988, July 17, 1990, and on June 18, 1991, shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have hereunto set their hands on the date first above stated. APPROVED AS TO FORM: George H. Eiser, III City Attorney George H. aters, Mayor AMERICAN GOLF CORPORATION By: By: r• utive Vice President Assistant Secretary 2 National City Golf Course American Golf Corporation 1439 Sweetwater Road National City, CA 92050 February 9, 1995 Mr. James E. Ruiz Director of Parks and Recreation City of National City 140 East 12th Street National City, CA 92050 Dear Jim: American Golf Corporation would like to propose the attached new rates for National City Golf Course to be effective April 1, 1995. As you can see by looking at the attached comparable rates for area courses we have attempted to continue to provide the customers at the Golf Course an exceptional value for their golfing dollar. We have not requested an increase in rates since 1991. Nonetheless, we have strived since that time to make major improvements to the course and practice facilities. Also, you should be aware that our maintenance costs to include seed, soil, fetilizers, utilities, supplies and labor have increased significantly since 1991. Our labor costs alone are running 10% over prior years due to salary increases, improvement project work force and rising employee benefit costs. This modest increase in selected rates will in no way compensate for our continued improvement of the facility but it will allow our rates to remain competetive with area golf courses. Please note that we are not requesting an increase in any senior rate category. I hope you will find our proposal satisfactory and look forward to meeting with the Advisory Board on February 16, 1995 and hopefully going before the Council on March 7, 1995. If you have any questions or requests, please call me at 479-4141. Attachments (3) Sincerely, �1 Ricke Crochet General Manager PROPOSED RATES FOR NATIONAL CITY GOLF COURSE WEEKDAY TYPE CURRENT 9 Hole $ 7.50 Replay 4.00 Twilight 6.00 Super Twilight 5.00 Senior Citizen 6.00 Senior Replay 3.50 Senior Resident 5.50 Senior Resident Replay 3.00 Juniors 6.00 Junior Replay 3.50 Thusday Senior Day 5.00 WEEKEND PROPOSED $ 8.00 4.50 7.00 5.50 No Change No Change No Change No Change No Change No Change No Change 9 Hole $ 9.50 $10.00 Replay 5.50 6.00 Twilight 7.50 8.50 Super Twilight 5.00 5.50 Senior Citizen 8.00 No Change Senior Replay 4.50 No Change Senior Resident 7.00 No Change Senior Resident Replay 4.50 No Change Juniors 8.00 No Change Junior Replay 4.50 No Change COMPARATIVE RATE SURVEY FOR NATIONAL CITY GOLF COURSE COURSE 18 HOLE TWILIGHT WEEKDAY/WEEKEND WEEKDAY/WEEKEND Bonita Golf Club 15.00 22.00 9.00 12.00 Chula Vista 18.00 24.00 12.00 14.00 Eastlake 29.00 45.00 20.00 20.00 Coronado 20.00 20.00 10.00 10.00 Mission Trails 20.00 27.00 13.00 16.00 Rancho San Diego (Ivan) 27.00 32.00 15.00 18.00 Rancho San Diego (MV) 24.00 28.00 15.00 18.00 Torrey Pines (County Res.) 24.50 27.00 12.50 12.50 Steel Canyon 40.00 50.00 27.00 30.00 Singing Hills (Both) 27.00 32.00 15.00 18.00 IMPROVEMENTS 1991 THROUGH JANUARY 1995 Rebuilt and enlarged practice putting green. $ 5,000 Rework and resod #1 green 4,500 Installation of young trees throughout the golf course 5,900 Installed eight target greens on driving range 3,400 Winter rye overseeding of entire course (2 years) 6,000 Tee renovation #9, #5, #2, #6. 15,000 Protective netting #9 Tee and Green 4,400 Parking lot repair and striping 3,500 Upgrade irrigation system 7,000 Install pressure regulator valve in water line to city park (March 95) 4,000 City of National City Office of the City Clerk 1243 National City Boulevard, National City, CA 91950-4397 Lori Anne Peoples - City Clerk (619) 336-4226 MEMORANDUM DATE: April 28, 1995 TO: Distribution FROM: City Clerk's Offic SUBJECT: Corrected Resolutidfi No. 95-34 Attached is a corrected copy of subject resolution with corrected amendment. Please attach to the original certification sheet, and discard the resolution and amendment originally distributed on March 10, 1995. RESOLUTION NO. 95-34 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AN AMENDMENT TO AGREEMENT WITH AMERICAN GOLF CORPORATION PERTAINING TO FEES AT THE GOLF COURSE WHEREAS, on May 3, 1984, the City and American Golf Corporation entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course," and said Agreement was subsequently amended on July 2, 1985, April 8, 1986, May 24, 1988, June 6, 1989, July 17, 1990, June 18, 1991, and May 4, 1993; and WHEREAS, the City and American Golf Corporation desire to amend Paragraph 10.2.A of said Agreement pertaining to fees. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of National City that the Mayor is hereby authorized to execute an Amendment to Agreement with American Golf Corporation pertaining to fees at the Las Palmas Municipal Golf Course. Said Amendment to Agreement is on file in the Office of the City Clerk. PASSED and ADOPTED this 7th day of March, 1995. ATTEST: APPROVED AS TO FORM: /•• ,-.€0•- George H. Eiser, III City Attorney at George H. Waters, Mayor AMENDMENT TO AGREEMENT This Amendment to Agreement is made and entered this 7th day of March, 1995, by and between the City of National City, a municipal corporation, hereinafter referred to as "LANDLORD," and American Golf Corporation, hereinafter referred to as "TENANT." recitals: RECITALS This Amendment to Agreement is made with reference to the following A. On May 3, 1984, LANDLORD and TENANT entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course," and said Agreement was subsequently amended on July 2, 1985, April 8, 1986, May 24, 1988, June 6, 1989, July 17, 1990, June 18, 1991, and May 4, 1993. B. LANDLORD and TENANT desire to amend Paragraph 10.2.A of said Agreement pertaining to fees. NOW, THEREFORE, the parties hereto mutually agree as follows: 1. Paragraph 10.2.A of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" is hereby amended to read as follows: "10.2. All fees charged to patrons at the demised Premises will be comparable to those fees charged by comparable competing Southern California public golf courses for similar goods and services and facilities. A. Tenant and Landlord agree that green fees and cart fees will be as follows: GREEN FEES 9 HOLES REPLAY Weekdays - Regular $8.00 $4.50 Weekdays - Seniors 5.50 3.00 Weekdays - Seniors (Non -National City Residents) 6.00 3.50 Thursday Senior Day 5.00 Weekdays - Juniors 6.00 3.50 GREEN FEES (Continued) 9 HOLES Weekends - Regular 10.00 Weekends - Seniors 7.00 Weekends - Seniors (Non -National City Residents) 8.00 Weekends - Juniors 8.00 Carts 8.00 Twilight (Weekdays) 7.00 Twilight (Weekends) 8.50 Super Twilight (Weekdays and Weekends) 5.50 Range: X Large 7.00 Large 4.00 Small 3.00 REPLAY 6.00 4.50 4.50 4.50 5.00 For purposes of this section, 'seniors' shall mean all persons 60 years old or older." 2. Except as otherwise provided herein, all of the terms and conditions of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" dated May 3, 1984, and as subsequently amended on July 2, 1985, April 8, 1986, May 24, 1988, June 6, 1989, July 17, 1990. June 18, 1991, and on May 4, 1993 shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have hereunto set their hands on the date first above stated. APPROVED AS TO FORM: George H. Eiser, III City Attorney George H. *aters, Mayor AMERICAN GOLF CORPORATION B B cutive Vice President Assistant Secretary 2 National City Golf Course American Golf Corporation 1439 Sweetwater Road National City, CA 91950 May 13, 1996 Mr. James Ruiz Director of Parks and Recreation City of National City 140 East 12th Street National City, CA 91950 Dear Jim: American Golf Corporation would like to propose the attached new rates for National City Golf Course to be effective after proper review and approval. We continue to compare our rates with other local courses with a view to making our rates at National City Golf Course an exceptional value for our customers. We are requesting increases in only four categories of play and have not requested increases in any senior or junior categories. We feel our proposal is fair and will allow us to help offset our rising maintenance costs such as seed, soil, fertilizers, utilities, supplies and labor. Attached are comparable rates from other local courses showing that we are still a great bargain, as well as a listing of improvement projects completed during the past year. I hope you will find our proposal satisfactory. If you have any questions or requests, please call me at 479-4141. Sincerely. Rieke Crochet General Manager Attachments (3) PROPOSED RATES FOR NATIONAL CITY GOLF COURSE TYPE WEEKDAY CURRENT PROPOSED 9 Hole $8.00 $8.50 Replay 4.50 5.00 Twilight 7.00 No Change Super Twilight 5.50 6.00 Senior Citizen 6.00 No Change Senior Replay 3.50 No Change Senior Resident 5.50 No Change Senior Resident Replay 3.00 No Change Juniors 6.00 No Change Junior Replay 3.50 No Change Thursday Senior Day 5.00 No Change Early Bird 5.00 6.00 WEEKEND 9 Hole $10.00 $11.00 Replay 6 No Change Twilight 8.50 9.00 Super Twilight 5.50 6.00 Senior Citizen 8.00 No Change Senior Replay 4.50 No Change Senior Resident 7.00 No Change Senior Resident Replay 4.50 No Change Juniors 8.00 No Change Junior Replay 4.50 No Change Early Bird 6.00 7.00 COMPARATIVE RATE SURVEY FOR NATIONAL CITY GOLF COURSE COURSE 18 HOLE TWILIGHT WEEKDAY/WEEKEND WEEKDAY/WEEKEND Bonita Golf Club 16.00 25.00 10.00 14.00 Chula Vista 20.00 26.00 12.00 15.00 Eastlake 32.00 47.00 20.00 33.00 Coronado 20.00 20.00 10.00 10.00 Mission Trails 22.00 29.00 15.00 22.00 Rancho San Diego (IVAN) 23.00 35.00 16.00 20.00 Rancho San Diego (MV) 20.00 32.00 16.00 20.00 Torrey Pines(County Res.) 24.50 27.00 12.00 12.00 Streel Canyon 46.00 60.00 35.00 40.00 Singing Hills (Both) 29.00 35.00 15.00 18.00 IMPROVEMENTS MAX 1995 THRU APRIL 1996 Tee Renovations, #'s 1, 7, 9 $3,050 Winter Rye Overseed of entire course 6,000 New Pump Station 8,200 Resod part of driving range 510 Range Ball Dispensing Machine 6,000 New Sprikler Control Boxes 400 New Range Picker Cart 4,000 ty of National City, California *4411 COUNCIL AGENDA STATEMENT 1 MEETING DATE June %, 1996 AGENDA ITEM NO. 1 ITEM TITLE RESOLUTION AMENDING CONTRACT WITH AMERICAN GOLF REFLECTING FEE ADJUSTMENTS FOR GREEN FEES. PREPARED BY JIM RUIZ EXPLANATION DEPARTMENT PARKS & RECREATION American Golf Corporation has requested an increase in green fees for National City Golf Course. Their increases are in four play categories and do not affect either senior citizens or junior rates. Increases are between 50C and $1. Comparable rates indicate that the National City course is still at the lowest end of the spectrum. A representative from American Golf will be present to answer any questions. Environmental Review Financial Statement N/A N/A Account No. STAFF RECOMMENDATION Approval of request. BOARD/COMMISSION RECOMMENDATION Approval of request. ATTACHMENTS (Listed Below) Letter from American Golf. Resolution No. 96-75 A-200 (Rev. 9/80) RESOLUTION NO. 9 6 - 7 5 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AN AMENDMENT TO AGREEMENT WITH AMERICAN GOLF CORPORATION PERTAINING TO FEES AT THE GOLF COURSE WHEREAS, on May 3, 1984, the City and American Golf Corporation entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course," and said Agreement was subsequently amended on July 2, 1985, April 8, 1986, May 24, 1988, June 6, 1989, July 17, 1990, June 18, 1991, May 4, 1993 and March 7, 1995; and WHEREAS, the City and American Golf Corporation desire to amend Paragraph 10.2.A of said Agreement pertaining to fees. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of National City that the Mayor is hereby authorized to execute an Amendment to Agreement with American Golf Corporation pertaining to fees at the Las Palmas Municipal Golf Course. Said Amendment to Agreement is on file in the Office of the City Clerk. PASSED and ADOPTED this 4th day of June, 1996. George H. Waters, Mayor ATTEST: 8'1 A �..� Lori Anne Peoples, Cityllerk APPROVED AS TO FORM: /J4 George H. Eiser, III City Attorney Passed and adopted by the Council of the City of National City, California, on June 4, 1996 by the following vote, to -wit: Ayes: Council Members Beauchamp, Inzunza, Morrison, Zarate, Waters. Nays: None. Absent: None. Abstain: None. AUTHENTICATED BY: GEORGE H. WATERS Mayor of the City of National City, California 6'4A, ity lerk of the City of National City, California By: Deputy I HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of RESOLUTION NO. 96-75 of the City of National City, California, passed and adopted by the Council of said City on June 4, 1996. City Clerk of the City of National City, California By: Deputy AMENDMENT TO AGREEMENT This Amendment to Agreement is made and entered this 4th day of June, 1996, by and between the City of National City, a municipal corporation, hereinafter referred to as "LANDLORD," and American Golf Corporation, hereinafter referred to as "TENANT." RECITALS This Amendment to Agreement is made with reference to the following recitals: A. On May 3, 1984, LANDLORD and TENANT entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course," and said Agreement was subsequently amended on July 2, 1985, April 8, 1986, May 24, 1988, June 6, 1989, July 17, 1990, June 18, 1991, May 4, 1993 and March 7, 1995. B. LANDLORD and TENANT desire to amend Paragraph 10.2.A of said Agreement pertaining to fees. NOW, THEREFORE, the parties hereto mutually agree as follows: 1. Paragraph 10.2.A of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" is hereby amended to read as follows: "10.2. All fees charged to patrons at the demised Premises will be comparable to those fees charged by comparable competing Southern California public golf courses for similar goods and services and facilities. A. Tenant and Landlord agree that green fees and cart fees will be as follows: GREEN FEES 9 HOLES REPLAY Weekdays - Regular $8.50 $5.00 Weekdays - Seniors 5.50 3.00 Weekdays - Seniors (Non -National City Residents) 6.00 3.50 Thursday Senior Day 5.00 Weekdays - Juniors 6.00 3.50 Weekdays - Early Bird 6.00 GREEN FEES (Continued) Weekends - Regular Weekends - Seniors Weekends - Seniors (Non -National City 9 HOLES 11.00 7.00 Residents) 8.00 Weekends - Juniors 8.00 Weekends - Early Bird 7.00 Carts 8.00 Twilight (Weekdays) 7.00 Twilight (Weekends) 9.00 Super Twilight (Weekdays and Weekends) 6.00 Range: X Large 7.00 Large 4.00 Small 3.00 REPLAY 6.00 4.50 4.50 4.50 5.00 For purposes of this section, 'seniors' shall mean all persons 60 years old or older." 2. Except as otherwise provided herein, all of the terms and conditions of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" dated May 3, 1984, and as subsequently amended on July 2, 1985, April 8, 1986, May 24, 1988, June 6, 1989, July 17, 1990, June 18, 1991, May 4, 1993 and on March 7, 1995 shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have hereunto set their hands on the date first above stated. APPROVED AS TO FORM: George H. Eiser, III City Attorney George H. Waters, Mayor AMERICAN GOLF CORPORATION By. ' By: 0_ 0 e 0)3 S vvvactQ A 6 Eft_._ 2 *fly of National City, California COUNCIL AGENDA STATEMENT MEETING DATE January l q, 1999 AGENDA ITEM NO. ITEM TITLE RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AN AMENDMENT WITH AMERICAN GOLF CORPORATION PERTAINING TO FEES AT THE GOLF COURSE PREPARED BY JIM RUIZ EXPLANATION_ Attached letter from the Regional Manager of American Golf Corporation requests an increase in fees for the National City Golf Course to become effective February 1, 1999. The average increase is 50C to $1. The last increase was in June 1996. The memo also explains the recent course improvements and the 1999 Capital Improvements that are planed for the course. DEPARTMENT PARKS AND RECREATION Environmental Review x N/A Financial Statement N/A Account No. STAFF RECOMMENDATION Approval BOARD/COMMISSION RECOMMENDATION ATTACHMENTS (Listed Below) Letter from American Golf Corporation Regional Manager Resolution No. 99-4 A-200 (Rev. 9/80) American Golf Corporation, December 28, 1998 Mr. Jim Ruiz Director, Parks and Recreation City of National City 140 E. 12th St. Ste. A National City, CA 91950 Dear Jim: As per our conversation regarding the 1999 green fee rates at National City Golf Course, American Golf would like to propose a fee increase effective February 1, 1999. I have outlined below the 1998 Course Improvements, 1999 Capital Improvements, attached the 1999 Proposed Rate Schedule and Comparable Rate Survey. 1998 Course Improvements: • Sod replacement on fairways 2,3,4,7,8 and 9. • Sod replacement on tees 1,4,6 and 9. • Roof repair on maintenance building • New submersible pump motor. • Replaced fence posts near Condos on # 7. • Added curbs to cart paths # 4 tee. Improvements cost: $23,000 1999 Capital Improvements: • Turf Driving Range and Replace Netting. • Course Turf Improvement. Budgeted $215,000 to complete these major projects. Jim, please call me at your earliest convenience to discuss our proposal. Regional Manager Arne' ' an Golf National City Golf Course Proposed Rates Weekday Current Replay Proposed Replay 9-Holes 8.50 5.00 9.00 6.00 Seniors 6.00 3.50 7.00 4.00 Seniors NC 5.50 3.00 6.00 3.00 Juniors 6.00 3.50 6.50 4.00 Super Twi. 6.00 7.00 Weekend 9-Holes 11.00 6.00 12.00 7.00 Seniors 8.00 4.50 9.00 5.00 Seniors NC 7.00 4.50 8.00 5.00 Juniors 8.00 4.50 8.50 5.00 Super Twi. 6.00 7.00 Carts Current Proposed 9-Holes 8.00 9.00 18-Holes 14.00 15.00 The senior resident rates at National City have not increased since March of 1995. AMENDMENT TO AGREEMENT This Amendment to Agreement is made and entered this 19th day of January, 1999, by and between the City of National City, a municipal corporation, hereinafter referred to as "LANDLORD," and American Golf Corporation, hereinafter referred to as "TENANT." RECITALS This Amendment to Agreement is made with reference to the following recitals: A. On May 3, 1984, LANDLORD and TENANT entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course," and said Agreement was subsequently amended on various dates, with the last amendment occurring on June 4, 1996. B. LANDLORD and TENANT desire to amend Paragraph 10.2.A of said Agreement pertaining to fees. NOW, THEREFORE, the parties hereto mutually agree as follows: 1. Paragraph 10.2.A of the "Lease and Operating Agreement of Las Palmas Municipal Golf Course" is hereby amended, effective February 1, 1999, to read as follows: "10.2. All fees charged to patrons at the demised Premises will be comparable to those fees charged by comparable competing Southern California public golf courses for similar goods and services and facilities. A. TENANT and LANDLORD agree that green fees and cart fees will be as follows: GREEN FEES Weekdays - Regular Weekdays - Seniors Weekdays - Seniors (Non -National City Residents) Weekdays - Juniors Super Twilight Weekends - Regular Weekends - Seniors Weekends - Seniors (Non -National City Residents) Weekends - Juniors Carts Super Twilight (Weekdays and Weekends) 9 HOLES REPLAY $9.00 $6.00 $6.00 $3.00 $7.00 $4.00 $6.50 $4.00 $7.00 $12.00 $7.00 $8.00 $5.00 $9.00 $5.00 $8.50 $5.00 $9.00 $15.00 $7.00 GREEN FEES (Continued) Range: X Large Large Small older." 9 HOLES $7.00 $4.00 $3.00 For purposes of this section, `seniors' shall mean all persons 60 years old or 2. Except as otherwise provided herein, all of the terms and conditions of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" dated May 3, 1984, and as subsequently amended, shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have hereunto set their hands on the date first above stated. APPROVED AS TO FORM: 44 .1, George H. Eiser, III City Attorney LL George H. Writers, Mayor AMERICAN GOLF CORPORATION By: By: L Qi►�vvt-a7� Operation Manager Comparable Rate Survey Weekday Weekend Chula Vista 9.00 r 11.50 r 11.00 n/r 14.50 n/r Bonita 11.00 15.00 Balboa 6.00 r 9.00 r 15.00n/r 15.00n/r Mission Bay 10.00 12.00 * r indicates resident rate, n/r indicates non-resident rate. "TRTIFICATE OF INSURANCE NO. 31 Broker: JOHNSON & HIGGINS OF CA. - 2029 CENTURY PARK EAST, LOS ANGELES, CA 90067 (1) This certificate is not an insurance policy and does not amend extend or alter the coverage afforded by the policies listed on this certificate, and (2) notwithstanding any requirement, term or condition of any contract or other document with respect to which this certificate may be concerned or may pertain, the insurance afforded by the policies listed on this certificate is subject to all the terms, exclusions and conditions of such policies. (California Insurance Code, Section 384) NAME AND ADDRESS OF CERTIFICATE HOLDER: City of National City 1243 National City Blvd. National City, CA 92050-4397 NAME AND ADDRESS OF INSURED: American Golf Corporation, Etal 1633 - 26th Street Santa Monica, California 90404-4024 This is to certify that the policy(ies) of insurance listed below have been issued to the Insured named above and are in force at this time. Coverage subject to annual aggregate limits may be eroded by prior occurrences. Type of Insurance: Real Property, Personal Property and Equipment including Golf carts. Insurance Companies & Policy Numbers: Lexington Ins. Co. #8791802 Zurich American #MLP2038433-00 Hartford Specialty #72XLSQG1086 & #72XLSQG1087 Policy Term: August 15, 1996 to August 15, 1997 Perils of Coverage: "All Risks" of Physical Damage including Earthquake & Flood. Description of Coverage: Property Damage Insurance as per policy. Limits of Liability: Valuation of Property: Deductibles: $25,000,000 Per occurrence except; $25,000,000 Flood, per occurrence, annual agg. $ 3,000,000 Earthquake, per occurrence, annual aggregate Replacement Cost - Property Functional Replacement Cost -Elect. Data Process. Equip. Actual Loss Sustained - Time Element $ 250,000 Per occurrence, All Perils, except: 29a- Per unit of insurance for Windstorm, subject to $250,000 Minimum per location, and $750,000 Maximum per occurrence. $ 250,000 Per occurrence for.Flood 5o Per unit of insurance for Earthquake, subject to $250,000 minimum, CA only. 5 Day Waiting Period for Time Element, Earthquake only. Certificate Holder is named as Loss Payee as their interest may appear. Cancellation: Should any of the above described policies be cancelled before the expiration date thereof, the issuing Company will endeavor to mail sixty (60) days written notice to the certificate holder named above, but failure to mail such notice shall impose no obligation or liability of any kind upon the COMPANY, ITS AGENTS OR REPRESENTATIVES. Date Issued: August 19, 1996 BY: George Hotaling/ KC0025532 PRODUCER Larry D. Grix AON RISK SERVICES, INC. OF SO. CALIFORNIA 707 WILSHIRE BOULEVARD, SUITE 6000 Los Angeles, California 90017 Tel: (213) 630-2012 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER, THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. COMPANIES AFFORDING COVERAGE COMPANY A LUMBERMANS MUTUAL CASUALTY COMPANY AXIV INSURED AMERICAN GOLF CORPORATION, ET AL. 2951 28th Street Santa Monica, CA 90405-2961 COMPANY B FEDERAL INSURANCE COMPANY A++XIV COMPANY C COMPANY D THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED, NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. CO LTR TYPE OF INSURANCE POLICY NUMBER POLICY EFFECTIVE DATE (MM/DD/YY) POLICY EXPIRATION DATE (MM/DD/YY) LIMITS GENERAL LIABILITY X COMMERCIAL GENERAL LIABILITY picy CLAMS MADE X OCCUR OWNER'S & CONTRACTOR'S PROT X Liquor Liability 5AA038508-00 ($200,000 Self -Insured Retention) 7/15/97 7/15/98 GENERAL AGGREGATE 10,000,000 PRODUCTS - COMP/OP AGG PERSONAL & ADV INJURY EACH OCCURRENCE 1,800,000 1,800,000 1,800,000 FIRE DAMAGE (Any one fire) 50,000 MED EXP (Any one person) AUTOMOBILE LIABILITY X ANY AUTO ALL OWNED AUTOS X SCHEDULED AUTOS X HIRED AUTOS El NON -OWNED AUTOS F5D006709-00 ALL STATES EXCEPT TEXAS, VIRGINIA F5D006711-00 TEXAS F5D006710-00 VIRGINIA ($100,000 Deductible) 7/15/97 7/15/98 COMBINED SINGLE LIMIT 1,000,000 BODILY INJURY (Per person) BODILY INJURY (Per accident) PROPERTY DAMAGE GARAGE LIABILITY ANY AUTO X GKLL - $300,000 Limit AUTO ONLY - EA ACCIDENT $ OTHER THAN AUTO ONLY: EACH ACCIDENT $ AGGREGATE EXCESS LIABILITY X UMBRELLA FORM OTHER THAN UMBRELLA FORM 98-7975-46-94 7/15/97 7/15/98 EACH OCCURRENCE 19,000,000 AGGREGATE 19,000,000 WORKERS COMPENSATION AND EMPLOYERS' LIABILITY THE PROPRIETOR/ PARTNERS/EXECUTIVE OFFICERS ARE: x INCL EXCL 5BA038949-00 7/15/97 7/15/98 U Tr1RV WMI ' j Urt I IM1TS Li FR EL EACH ACCIDENT 1,000, 000 EL DISEASE - POLICY LIMIT 1.000.000 EL DISEASE - EA EMPLOYEE 1.000.000 OTHER DESCRIPTION OF OPERATIONS/LOCATIONSNEHICLES/SPECIAL ITEMS Certificate Holder is included as an Additional Insured as respects the lease of National City Golf Course, 1439 Sweetwater Road, National City, CA 91950. City of National City 1243 National City Blvd. National City, CA 92050-4397 *Except 10 Days for Non -Payment of Premium SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING COMPANY WILL ENDEAVOR TO MAIL *30 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, BUT FAILURE TO MAIL SUCH NOTICE SHALL IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE COMPANY, ITS AGENTS OR REPRESENTATIVES. AUTHORIZED REPRESENTATIVE RESOLUTION NO. 99 — 4 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AN AMENDMENT TO THE AGREEMENT WITH AMERICAN GOLF CORPORATION PERTAINING TO FEES AT THE LAS PALMAS MUNICIPAL GOLF COURSE WHEREAS, on May 3, 1984, the City and American Golf Corporation entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course," and said Agreement was subsequently amended on various dates, with the last amendment occurring on June 4, 1996; and WHEREAS, the City and American Golf Corporation desire to amend Paragraph 10.2.A of said Agreement pertaining to fees, to be effective February 1, 1999. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of National City that the Mayor is hereby authorized to execute an Amendment to Agreement with American Golf Corporation pertaining to fees at the Las Palmas Municipal Golf Course. Said Amendment to Agreement is on file in the Office of the City Clerk. PASSED and ADOPTED this 19th day of January, 1999. George H. aters, Mayor ATTEST: I Michael R. Dalla City Clerk APPROVED AS TO FORM: 44—. George H. Eiser, III City Attorney Passed and adopted by the Council of the City of National City, California, on January 19, 1999, by the following vote, to -wit: Ayes: Councilmembers Beauchamp, Inzunza, Morrison, Soto, Waters. Nays: None. Absent: None. Abstain: None. AUTHENTICATED BY: • GEORGE H. WATERS Mayor of the City of National City, California City Clerk of the Citybf National City, California By: Deputy I HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of RESOLUTION NO. 99-4 of the City of National City, California, passed and adopted by the Council of said City on January 19, 1999. City Clerk of the City of National City, California By: Deputy City of National City Office of the City Clerk 1243 National City Boulevard, National City, CA 91950-4397 Michael R. Dalla - City Clerk (619) 336-4226 Fax (619) 336-4376 January 26, 1999 Mr. Rocco Tannone Operations Manager American Golf Corporation 2951 28th Street Santa Monica, CA 90405-2961 Dear Mr. Tannone: We are enclosing a certified copy of Resolution No. 99-4 of the City Council of the City of National City, which was passed and adopted on January 19, 1999. The Resolution authorized the Mayor to execute an Amendment to the Agreement, enclosed, with American Golf Corporation pertaining to fees at the Las Palmas Municipal Golf Course. Sincerely, Michael R. Dalla City Clerk MRD/mla Enclosure cc: Parks & Recreation ® Recycled Paper CF TO: FROM: SUBJECT: City of National City Office of the City Attorney 1243 National City Boulevard, National City, CA 91950-4301 George H. Eiser, Ill • City Attorney (619) 336-4220 FAX (619) 336-4327 TDD (619) 336-1615 Mayor and City Council City Attorney Extension of Lease for Las Palmas Golf Course DATE: April 4, 2000 The current term of the lease of Las Palmas Golf Course with American Golf Corporation expires on August 31, 2000. The original lease term expired August 31, 1990, and was extended for two additional five-year terms. The lease states: Provided tenant has fully complied with all the obligations contained in this lease, Tenant will have the option to extend this Lease at the end of the initial term for seven 5-year terms by giving the Landlord written notice of such desire six (6) months before the end of the particular term in question. I have received a letter from Theodore F. Kahan, General Counsel for American Golf Corporation, stating American Golfs desire to extend the lease from September 1, 2000 through August 31, 2005. The Director of Parks and Recreation confirms that American Golf has fully complied with all the obligations contained in the lease during the extended lease term. Since the lease provides the lessee an option to "extend" the present lease, rather than "renewing" the lease (i.e. entering into a new lease), no action by the City is required for the extension to take effect. GEORGE . EISER, III City Attorney GHE/gmo cc: City Manager Director of Parks and Recreation "City Clerk Theodore F. Kahan, Esq. �Ic ® Recycled Paper City of National City, California COUNCIL AGENDA STATEMENT w-METING DATE March 12, 2002 hp LT] AGENDA ITEM NO. 8 (-ITEM TITLE RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AN AMENDMENT WITH AMERICAN GOLF CORPORATION PERTAINING TO FEES AT THE GOLF COURSE. PREPARED BY Jim Ruiz / VC/ DEPARTMENT Parks & Recreation EXPLANATION Attached letter from the General Manager of the National City Golf Course requests an increase in fees for the golf course to be effective April 1, 2002. The average increase is $1 for nine holes. The last increase in fees was February, 1999, three years ago. These requested increases will still result in our fees being the lowest in the County. The letter also explains recent course improvements and capital improvements for 2002. CEnvironmental Review X N/A Financial Statement N/A Approved By: Finance Director Account No. STAFF RECOMMENDATION Approval BOARD / COMMISSION RECOMMENDATION Approval ATTACHMENTS ( Listed Below Letter from American Golf Resolution No. 2002-31 A-200 (9 99) RESOLUTION NO. 2002 — 31 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AN AMENDMENT TO THE AGREEMENT BETWEEN THE CITY OF NATIONAL CITY AND AMERICAN GOLF CORPORATION PERTAINING TO FEES AT THE LAS PALMAS MUNICIPAL GOLF COURSE WHEREAS, on May 3, 1984, the City and American Golf Corporation entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course," and said Agreement was subsequently amended on various dates, with the last amendment occurring on February 1, 1999; and WHEREAS, the City and American Golf Corporation desire to amend Paragraph 10.2.A of said Agreement pertaining to fees, to be effective April 1, 2002. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of National City that the Mayor is hereby authorized to execute an Amendment to the Agreement with American Golf Corporation pertaining to fees at the Las Palmas Municipal Golf Course. Said Amendment to Agreement is on file in the Office of the City Clerk. PASSED and ADOPTED this 12th day of March, 2002. 14—LJ George H. Waters, Mayor ATTEST: Michabl R. Dalla City Clerk APPROVED AS TO FORM: Aiita04: INF George H. Eiser, III City Attorney Passed and adopted by the Council of the City of National City, California, on March 12, 2002, by the following vote, to -wit: Ayes: Councilmembers Beauchamp, Morrison, Zarate, Waters. Nays: Councilmember Inzunza. Absent: None. Abstain: None. AUTHENTICATED BY: GEORGE H. WATERS Mayor of the City of National City, California MICHAEL R. DALLA City Clerk of the City of National City, California By: Deputy I HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of RESOLUTION NO.2002-31 of the City of National City, California, passed and adopted by the Council of said City on March 12, 2002. City City of rational City, California Cl rk of the By: Deputy AMENDMENT TO AGREEMENT This Amendment to Agreement is made and entered this 12th day of February, 2002, by and between the City of National City, a municipal corporation, hereinafter referred to as "LANDLORD," and American Golf Corporation, hereinafter referred to as "TENANT." RECITALS This Amendment to Agreement is made with reference to the following recitals: A. On May 3, 1984, LANDLORD and TENANT entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course," and said Agreement was subsequently amended on various dates, with the last amendment occurring on February 1, 1999. B. LANDLORD and TENANT desire to amend Paragraph 10.2.A of said Agreement pertaining to fees. NOW, THEREFORE, the parties hereto mutually agree as follows: 1. Paragraph 10.2.A of the "Lease and Operating Agreement of Las Palmas Municipal Golf Course" is hereby amended, effective April 1, 2002, to read as follows: "10.2. All fees charged to patrons at the demised Premises will be comparable to those fees charged by comparable competing Southern California public golf courses for similar goods and services and facilities. follows: A. TENANT and LANDLORD agree that green fees and cart fees will be as GREEN FEES Weekdays - Regular Weekdays - Seniors Weekdays - Seniors (Non -National City Residents) Weekdays - Juniors Super Twilight 9 HOLES REPLAY $10.00 $7.00 $7.00 $4.50 $8.00 $4.50 $7.00 $4.50 $8.00 Weekends - Regular $14.00 $8.00 Weekends - Seniors $8.00 $5.50 Weekends - Seniors (Non -National City Residents) $10.00 $5.50 Weekends - Juniors $9.00 $5.50 Carts $10.00 $15.00 GREEN FEES (Continued) Range: Range prices per ball: older." 9 HOLES $0.08 For purposes of this section, `seniors' shall mean all persons 60 years old or 2. Except as otherwise provided herein, all of the terms and conditions of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" dated May 3, 1984, and as subsequently amended, shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have hereunto set their hands on the date first above stated. APPROVED AS TO FORM: "----) ..#0 ‘.... . George H. Eiser, III City Attorney George H. ters, Mayor AMERICAN GOLF CORPORATION By: General Manager By: Operations Manager National City Golf Course American Golf Corporation 1439 Sweetwater Road ' National City, CA 91950 February 15, 2002 Mr. Jim Ruiz Director, Parks and Recreation City of National City 140 E. 12th Street, Suite A National City, CA 91950 Dear Jim: As per our conversation regarding the 2002 rates at National City Golf Course, American Golf Corporation would like to propose a fee increase effective April 1, 2002. I have outlined below the 2000-2001 Course Improvements, 2002 Capital Improvements, attached the 2002 Proposed Rate Schedule and Comparable Rate Survey. 2000-2001 Course Improvements: • Irrigation replacement on fairways 1,3,5,7, and 8. • Sod replacement on tees 4, 7 and 8. • Sod replacement on fairways 7 and 8. • Irrigation system installed at the entrance along Sweetwater Road. • Replaced water pump station on the #3 tee. • Re -painted the ceiling inside the clubhouse. • Roof repair on the clubhouse building. • Air conditioner replacement in the clubhouse. 2002 Capital Improvements: • Replacing tile in clubhouse restrooms. • New sand for the sand traps. • Irrigation improvements. • Control valve for the pump station • Replacing fence by the swimming pool on the 6`h hole. 238,000 budgeted for completion of these projects. Jim, please call me at your earliest convenience to discuss our proposal. Sincerely, gittuei Michael Linck General Manager American Golf Corporation Comparative Rate Survey: Course: National City Golf Course Location/Qualit Ratin Cours Characteristic & Condition Driving Rang Green Fee Peak Seaso Cart Fe (Full Car As of: 2/15/02 Comparative Rate survey for executive golf courses and local municipal golf courses. National City Tecolote Golf Course` Lomas Executive Mission Bay Balboa Municipal Bonita Golf Course Chula Vista Golf Course Distance from Your Course 0 miles 15 miles 21 miles 11 miles 9 miles 4 miles 2 miles Type of Course Executive Executive Executive Executive 18/9 hole 18 hole 18 hole No. Holes 9 18 18 18 18 18 18 Yardage 2,197 , 3,166 2,431 3,000 6,200 6,200 - 6,500 Number Of Stations 22 30 0 48 20 40 22 (G) Grass, (M) Mats, or Both Mats Both 0 Both Mats Both Grass Night Lighting Yes , Yes 0 Yes No No National City Tecolote Golf Course Lomas Executive Mission Bay Balboa Municipal Bonita Golf Course Chula Vista Golf Course 18 hole weekday - Resident $15.00 $18.50 $21.50 $18.00 $20.00 $22.00- $21.00 18 Hole weekend - Resident $19.00 $23.50 $25.50 $22.00 $22.00 $34.00 $28.00 Twil-light weekdays $7.00 $16.50 $17.50 N/A $11.00 $15.00 $12.50 Twi-light Weekends $7.00 $20.50 $21.50 N/A $11.00 $22.00 $22.50 9 Hole Weekday $9.00 N/A N/A $11.00 $7.50 $14.00 $9.50 9 Hole Weekend $12.00 N/A N/A $14.00 N/A $20.00 N/A 18 hole Senior Weekday $11.00 . $16.50 N/A $16.00 N/A N/A Residents 18 hole Senior Weekend $14.00 $16.50 N/A $16.00 N/A N/A Residents 9 Hole Senior Weekday $7.00 N/A N/A $10.00 $7.50 N/A N/A 9 Hole Senior Weekend $9.00 N/A N/A $14.00 N/A N/A N/A n 18 hole weekday $7.50 $12.00 $12.00 $11.00 $11.50 $12.00 $13.00 e 18 hole weekend $7.50 $12.00 $12.00 $11.00 $11.50 $12.00 $13.00 9 Hole Weekday $4.50 N/A N/A N/A N/A N/A N/A I) 9 Hole Weekend $4.50 N/A N/A N/A N/A N/A N/A Comparative Rate Survey: Course: National City Golf Course As of: 2/15/02 Location/Qualit Ratin Cours Characteristic & Condition Driving Rang Comparative Rate survey for executive golf courses and local municipal golf courses. National City Coronado Golf Course Mission Trails Eastlake Golf Course Auld Golf Course Distance from Your Course 0 miles 10 miles 14 miles 6 miles 7 miles Type of Course Executive 18 holes 18 holes 18 holes 18 holes No. Holes 9 18 18 18 18 Yardage 2,197 6,500 6,000 6,600 6,850 Green Fees Peak Seaso Cart Fe (Full Cart Number Of Stations 22 30 0 48 20 (G) Grass, (M) Mats, or Both Mats Both 0 Both Mats Night Lighting Yes Yes 0 Yes No National City Coronado Golf Course Mission Trails Eastlake Golf Course Auld Golf Course 0 0 18 hole weekday - Resident $15.00 $20.00 $22.00 $50.00 $45.00 18 Hole weekend - Resident $19.00 $22.00 $32.00 $65.00 $69.00 Twil-light weekdays $7.00 $10.00 $16.00 $31.00 $35.00 Twi-light Weekends $7.00 $10.00 $21.00 $41.00 $49.00 9 Hole Weekday $9.00 N/A $14.00 N/A N/A 9 Hole Weekend $12.00 N/A N/A N/A N/A 18 hole Senior Weekday $11.00 N/A $16.00 N/A $39.00 18 hole Senior Weekend $14.00 N/A $26.00 N/A N/A 9 Hole Senior Weekday $7.00 N/A $14.00 N/A N/A 9 Hole Senior Weekend $9.00 N/A N/A N/A N/A 18 hole weekday $7.50 $14.00 $12.00 incl. incl. 18 hole weekend $7.50 $14.00 $12.00 incl incl. 9 Hole Weekday $4.50 N/A N/A N/A N/A 9 Hole Weekend $4.50 N/A N/A N/A N/A Comparative Rate Survey: Course: National City Golf Course Comparative Rate survey for local Driving Ranges As of: 2/15/02 Location/Quality Rating Driving Rang Range Fee s Distance from Your Course National City Chula Vista Golf Course Bonita Range Palms Range Bonita Golf Course 0 miles 2 miles 1.5 miles 5 miles 3 miles Type of Course Executive 18 holes Range Range 18 holes Number Of Stations 22 20 48 22 40 (G) Grass, (M) Mats, or Both Mats Grass Both Both Both Night Lighting Yes No Yes Yes No National City Chula Vista Golf Course Bonita Range Palms Range Bonita Goff Course Small Bucket(price per ball) $0.06 Medium Bucket(price per ball) Large Bucket(price per ball) $0.06 $0.06 $0.08 $0.08 $0.08 $0.12 $0.09 $0.08 N/A $0.08 $0.07 $0.08 $0.07 $0.07 National City Golf Course Proposed Rates Green Fees-Weekda Weekday Current Proposed Replay Proposed Replay 9-Holes $9.00 $10.00 $6.00 $7.00 Juniors $6.50 $7.00 $4.00 $4.50 NC Seniors $6.00 $7.00 $4.00 $4.50 Seniors $7.00 $8.00 $4.00 $4.50 Twilight $7.00 $8.00 Green Fees -Weekend Weekday Current Proposed Replay Proposed Replay 9-Holes $12.00 $14.00 $7.00 $8.00 Juniors $8.50 $9.00 $5.00 $5.50 NC Seniors $7.00 $8.00 $5.00 $5.50 Seniors $9.00 $10.00 $5.00 $5.50 Twilight $7.00 $9.00 Cart Fees Carts Current Proposed 9-Holes $4.50 $7.00 18-Holes $7.50 $10.00 Range Range Current Proposed Range prices per ball: $.06 $.08 List of Key Expenses between 1999-2002 Payroll Expenses- 1) Minimum Wage increased from $5.75-$6.75 a) $7,280 increase per year for our cart attendants. b) $2,184 increase per year in our Food and Beverage Department. $9,464.00 increase per year on payroll wages. This will continue to increase. Power rates increase- 1) Our total charges from March 00-Jan 01 was $12,300 2) Our total charges from March 01-Jan 02 was $14,061 Maintenance Equipment - All maintenance products continue to be on the rise. Sand, seed, fertilizer, sod, etc. costs continue to escalate over 1999 prices. Product 1999 Price 2002 Price Fertilizer $14 pound $27 pound Sanitation $175 month $227 month Water $500 acre/foot $750 acre/foot Soil $40 pound $55 pound Seed $.18 $.29 These are just a small sample of the escalating prices maintaining the golf course. Food and Beverage Costs - Over the last three years food and beverage costs continue to be on the rise. Beverage products have increased $.13 since Dec. 1999. Packaged and non -packaged products have increased $.10-$1.00 (depending on the product) since Dec. 1999. City of National City Office of the City Clerk 1243 National City Boulevard, National City, CA 91950-4397 Michael R. Della, CMC - City Clerk (619) 336-4228 Fax: (619) 336-4229 March 21, 2002 Mr. Rocco Tannone Operations Manager American Golf Corporation 2951 28th Street Santa Monica CA 90405-2961 Dear Mr. Tannone, On March 12, 2002, Resolution No. 2002-31 was passed and adopted by the City Council of the City of National City, authorizing the Mayor to execute an amendment to the agreement between the City of National City and American Golf Corporation pertaining to fees at the Las Palmas Municipal Golf Course. We are enclosing for your records a certified copy of the above Resolution and two Amendments to Agreement. Please sign both agreements and return one fully executed agreement to our office in the enclosed self- addressed, stamped envelope. Sincerely, Martha L. Alvarez Deputy City Clerk /mla Enclosure File No. C86-17 1 Recycled Paper American Golf Corporation® March 29, 2002 Martha L. Alvarez Deputy City Clerk City of National City 1243 National City Boulevard National City, California 91950-4397 Re: Las Palmas Municipal Golf Course Amendment to Agreement Dear Ms. Alvarez: Pursuant to you letter of March 21, enclosed is one fully -executed original of the Amendment to Agreement dated February 12, 2002. We have retained the other original for our files. As we discussed, the rates for the Carts were incorrect as shown, and I have revised the information on both originals of the Amendment to reflect the correct rates. Should you have any questions, please do not hesitate to call me at (310) 664-4292. Very truly yours, AMERICAN GOLF CORPORATION Dona Tanaka Director of Legal Affairs cc: Stuart Hayden (w/enclosure) Brian Jackson (w/enclosure) 2951 - 28th Street • Santa Monica, California 90405 • Tel (310) 664-4000 • www.americangolf.com AMENDMENT TO AGREEMENT This Amendment to Agreement is made and entered this 12th day of February, 2002, by and between the City of National City, a municipal corporation, hereinafter referred to as "LANDLORD," and American Golf Corporation, hereinafter referred to as "TENANT." RECITALS This Amendment to Agreement is made with reference to the following recitals: A. On May 3, 1984, LANDLORD and TENANT entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course," and said Agreement was subsequently amended on various dates, with the last amendment occurring on February 1, 1999. B. LANDLORD and TENANT desire to amend Paragraph 10.2.A of said Agreement pertaining to fees. NOW, THEREFORE, the parties hereto mutually agree as follows: 1. Paragraph 10.2. A of the "Lease and Operating Agreement of Las Palmas Municipal Golf Course" is hereby amended, effective April 1, 2002, to read as follows: "10.2. All fees charged to patrons at the demised Premises will be comparable to those fees charged by comparable competing Southern California public golf courses for similar goods and services and facilities. A. TENANT and LANDLORD agree that green fees and cart fees will be as follows: GREEN FEES 9 HOLES REPLAY Weekdays - Regular Weekdays - Seniors Weekdays - Seniors (Non -National City Residents) Weekdays - Juniors Super Twilight Weekends - Regular Weekends - Seniors Weekends - Seniors (Non -National City Residents) Weekends - Juniors Carts Per Player $10.00 $7.00 $7.00 $4.50 $8.00 $4.50 $7.00 $4.50 $8.00 $14.00 $8.00 $8.00 $5.50 $10.00 $5.50 $9.00 $5.50 $10. 00 $15700 $ 7.00 $10.00 GREEN FEES (Continued) Range: Range prices per ball: older." 9 HOLES $0.08 For purposes of this section, `seniors' shall mean all persons 60 years old or 2. Except as otherwise provided herein, all of the terms and conditions of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" dated May 3, 1984, and as subsequently amended, shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have hereunto set their hands on the date first above stated. APPROVED AS TO FORM: George H. Eiser, III City Attorney George H. ters, Mayor AMERICAN GO CORP TION By: By: Dona Tanaka Secretary Amene Martha L. Alvarez Deputy City Clerk City of National City 1243 National City Boulevard National City, California 91950-4397 Cornoration,, March 29, 2002 Re: Las Palmas Municipal Golf Course Amendment to Agreement Dear Ms. Alvarez: Pursuant to you letter of March 21, enclosed is one fully -executed original of the Amendment to Agreement dated February 12, 2002. We have retained the other original for our files. As we discussed, the rates for the Carts were incorrect as shown, and I have revised the information on both originals of the Amendment to reflect the correct rates. Should you have any questions, please do not hesitate to call me at (310) 664-4292. Very truly yours, AMERICAN GOLF CORPORATION Dona Tanaka Director of Legal Affairs cc: Stuart Hayden (w/enclosure) Brian Jackson (w/enclosure) 2951 — 28th Street • Santa Monica, California 90405 Tel (310) 664-4000 • www.americanyolf.com AMENDMENT TO AGREEMENT This Amendment to Agreement is made and entered this 12th day of February, 2002, by and between the City of National City, a municipal corporation, hereinafter referred to as "LANDLORD," and American Golf Corporation, hereinafter referred to as "TENANT." RECITALS This Amendment to Agreement is made with reference to the following recitals: A. On May 3, 1984, LANDLORD and TENANT entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course," and said Agreement was subsequently amended on various dates, with the last amendment occurring on February 1, 1999. B. LANDLORD and TENANT desire to amend Paragraph 10.2.A of said Agreement pertaining to fees. NOW, THEREFORE, the parties hereto mutually agree as follows: 1. Paragraph 10.2.A of the "Lease and Operating Agreement of Las Palmas Municipal Golf Course" is hereby amended, effective April 1, 2002, to read as follows: "10.2. All fees charged to patrons at the demised Premises will be comparable to those fees charged by comparable competing Southern California public golf courses for similar goods and services and facilities. A. TENANT and LANDLORD agree that green fees and cart fees will be as follows: GREEN FEES 9 HOLES REPLAY Weekdays - Regular Weekdays - Seniors Weekdays - Seniors (Non -National City Residents) Weekdays - Juniors Super Twilight Weekends - Regular Weekends - Seniors Weekends - Seniors (Non -National City Residents) Weekends - Juniors Carts Per Player $10.00 $7.00 $7.00 $4.50 $8.00 $4.50 $7.00 $4.50 $8.00 $14.00 $8.00 $8.00 $5.50 $10.00 $5.50 $9.00 $5.50 $40.00 $r1•5.00 $ 7.00 $10.00 GREEN FEES (Continued) Range: Range prices per ball: older." 9 HOLES $0.08 For purposes of this section, `seniors' shall mean all persons 60 years old or 2. Except as otherwise provided herein, all of the terms and conditions of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" dated May 3, 1984, and as subsequently amended, shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have hereunto set their hands on the date first above stated. APPROVED AS TO FORM: George H. Eiser, III City Attorney George H. ters, Mayor AMERICAN GO _ CORP TION By: dw rd Sa se. Vi '- Chairma & CFO By: �o a ana a Secretary City of National City Office of the City Clerk 1243 National City Boulevard, National City, California 91950-4397 Michael R. Dalla, CMC - City Clerk (619) 336-4228 Fax: (619) 336-4229 October 21, 2002 Dona Tanaka American Golf Corporation, Secretary 2951 28th Street Santa Monica CA 90405-2961 Mr. Edward R. Sause Chief Financial Officer American Golf Corporation, Manager 2951 28th Street Santa Monica CA 90405-2961 Dear Ms. Tanaka and Mr. Sause, On October 15, 2002, Resolution No. 2002-157 was passed and adopted by the City Council of the City of National City, authorizing the Mayor to execute an Assignment and Delegation Agreement with American Golf Corporation and AGC Operating Company, LLC. We are hereby enclosing the above referenced Resolution and one fully executed original Assignment and Delegation Agreement. Sincerely, Martha L. Alvarez Deputy City Clerk /mla Enclosure cc: Public Works File No. C86-17/702-7-1 ® Recycled Paper RESOLUTION NO. 2002 — 157 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AN ASSIGNMENT AND DELEGATION AGREEMENT WITH AMERICAN GOLF CORPORATION AND AGC OPERATING COMPANY, LLC WHEREAS, on May 3, 1984, American Golf Corporation entered into a written lease and operating agreement, with the City, hereinafter referred to as "the Agreement", for the lease and operation of the Las Palmas Municipal Golf Course in National City, California; and WHEREAS, American Golf Corporation whishes to assign to AGC Operating Company, LLC, its rights and delegate its duties under the Agreement with the City; and WHEREAS, AGC Operating Company, LLC, is willing to accept and assume said assignment of rights and delegation of duties, and the City is willing to consent to said assignment and delegation and to the acceptance and assumption of said assignment and delegation by AGC Operating Company, LLC. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby authorizes the Mayor to execute an Assignment and Delegation Agreement with American Golf Corporation and AGC Operating Company, LLC. Said Agreement is on file in the office of the City Clerk. ATTEST: PASSED and ADOPTED this 15th day of October, 2002. rjj Mic iael R. Dalla City Clerk APPROVED AS TO FORM: AttA: George H. Eiser, III City Attorney 4118* George H. aters, Mayor Passed and adopted by the Council of the City of National City, California, on October 15, 2002, by the following vote, to -wit: Ayes: Councilmembers Beauchamp, Inzunza, Morrison, Zarate, Waters. Nays: None. Absent: None. Abstain: None. AUTHENTICATED BY: GEORGE H. WATERS Mayor of the City of National City, California rk of the City oational City, California By: Deputy I HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of RESOLUTION NO. 2002-157 of the City of National City, California, passed and adopted by the Council of said City on October 15, 2002. City Clerk of the City of National City, California By: Deputy ASSIGNMENT AND DELEGATION AGREEMENT This Assignment and Delegation Agreement ("Agreement") is made and entered into this 15th day of October , 2002, by and between AMERICAN GOLF CORPORATION, a California corporation, hereinafter referred to as "Assignor," and AGC OPERATING COMPANY, LLC, a Delaware limited liability company, hereinafter referred to as "Assignee," and the CITY OF NATIONAL CITY, a municipal corporation, hereinafter referred to as "City." RECITALS A. On May 3, 1984, Assignor entered into a written lease and operating agreement with City hereinafter referred to as "the Agreement", for the lease and operation of the Las Palmas Municipal Golf Course in National City, California. B. Assignor wishes to assign to Assignee its rights and delegate its duties under the Agreement with City. Assignee is willing to accept and assume said assignment of rights and delegation of duties, and City is willing to consent to said assignment anddelegation by Assignor, and to the acceptance and assumption of said assignment and delegation by Assignee, all subject to the terms and conditions set forth herein. NOW, THEREFORE, it is hereby agreed to the parties hereto as follows: 1. Assignor hereby assigns to Assignee all of its right, title and interest in and to the Agreement. By this assignment, Assignor further delegates to Assignee all of Assignor's duties and obligations of performance of the Agreement. 2. Assignee hereby accepts, assumes and agrees to perform all duties and obligations that Assignor has under the Agreement, as if Assignee had been an original party to the Agreement. 3. City hereby consents to the above assignment of rights and delegation of duties by Assignor, and to the acceptance and assumption of said assignment of rights and delegation of duties by Assignee. 4. This Assignment and each of its provisions shall be binding on and shall inure to the benefit of the respective heirs, devisees, legatees, executors, administrators, trustees, successors, and assigns of the parties" to this Assignment. 5. This Assignment may be amended only by a writing signed by the parties hereto. 6. This Assignment shall be governed by and construed in accordance with the laws of California. 7. The parties have the legal power, right and authority to enter into this Agreement and the instruments referenced herein, and to consummate the transaction contemplated hereby. All requisite action (corporate, trust, partnership or otherwise) has been taken by the parties in connection with the entering into this Agreement. No consent of any judicial or administrative body, governmental authority or other party, entity or person is required. The individuals executing this Agreement on behalf of the parties have the legal power, right, and actual authority to bind the parties to the terms and conditions hereof and thereof. This Agreement shall be a valid, legally binding obligation of and enforceable against the parties in accordance with its terms. 8. This Agreement supersedes any prior agreements, negotiations and communications, oral or written, and contains the entire agreement between the parties as to the subject matter hereof No subsequent agreement, representation, or promise made by either party hereto, or by or to an employee, officer, agent or representative of any party hereto shall be of any effect unless it is in writing and executed by the party to be bound thereby. 9. The parties acknowledge and agree that (i) each party is of equal bargaining strength, (ii) each party has actively participated in the drafting, preparation and negotiation of this Agreement, (iii) each such party has consulted with or has had the opportunity to consult with its own, independent counsel and such other professional advisors as such party has deemed appropriate, relative to any and all matters contemplated under this Agreement, (iv) each party and such party's counsel and advisors have reviewed this Agreement, (v) each party has agreed to enter into this Agreement following such review and the rendering of such advice, and (vi) any rule or construction to the effect that ambiguities are to be resolved against the drafting party shall not apply in the interpretation of this Agreement, or any portions hereof, or any amendments hereto. IN WITNESS WHEREOF, the parties hereto have executed this Assignment and Delegation Agreement on the date and year first above written. CITY OF NATIONAL CITY By: George H. Wate4 s, Mayor APPROVED AS TO FORM: By: George H. Eiser, III City Attorney AMERICAN GOLF CORPORATION, Assignor By: Title: Dona Tanaka Secretary AGC OPERATING COMP AI', LLC, Assignee By: Edward R. Sause Title: Chief Financial Officer 2 American Golf Corporation, Manager TO: FROM: SUBJECT: City of National City Office of the City Attorney 1243 National City Boulevard, National City, CA 91950-4301 George H. Eiser, Ill • City Attorney (619) 336-4220 FAX (619) 336-4327 TDD (619) 336-1615 Mayor and City Council City Attorney Extension of Lease for Las Palmas Golf Course DATE: April 4, 2000 The current term of the lease of Las Palmas Golf Course with American Golf Corporation expires on August 31, 2000. The original lease term expired August 31, 1990, and was extended for two additional five-year terms. The lease states: Provided tenant has fully complied with all the obligations contained in this lease, Tenant will have the option to extend this Lease at the end of the initial term for seven 5-year terms by giving the Landlord written notice of such desire six (6) months before the end of the particular term in question. I have received a letter from Theodore F. Kahan, General Counsel for American Golf Corporation, stating American Golfs desire to extend the lease from September 1, 2000 through August 31, 2005. The Director of Parks and Recreation confirms that American Golf has fully complied with all the obligations contained in the lease during the extended lease term. Since the lease provides the lessee an option to "extend" the present lease, rather than "renewing" the lease (i.e. entering into a new lease), no action by the City is required for the extension to take effect. !t GEORGE . EISER, III City Attorney GHE/gmo cc: City Manager Director of Parks and Recreation /'City Clerk Theodore F. Kahan, Esq. ® Recycled Paper TO: City of National City Office of the City Attorney 1243 National City Boulevard, National City, CA 92050-4397 George H. Eiser, Ill —City Attorney (619) 336-4220 Mayor and City Council DATE: August 28, 1990 FROM: City Attorney SUBJECT: Extension of Lease for Las Palmas Golf Course The City's lease of Las Palmas Golf Course with American Golf Corporation provides for an initial five-year term, ending August 31, 1990. The lease additionally states: "Provided Tenant has fully complied with all the obligations contained in this lease, Tenant will have the option to extend this Lease at the end of the initial term for seven 5-year terms by giving the Landlord written notice of such desire six (6) months before the end of the particular term in question." I have received a letter from Stephen R. Hofer, Vice President and General Counsel for American Golf Corporation, stating American Golf's desire to extend the lease from September 1, 1990 through August 31, 1995. The Director of Parks and Recreation confirms that American Golf has fully complied with all the obligations contained in the Lease during the initial Lease term. Since the lease provides the lessee an option to "extend" the present lease, rather than "renewing" the lease (i.e. entering into a new lease), no action by the City is required for the extension to take effect. GHE/pjl cc: George H. Eiser, III, City Attorney City Manager Director of Parks and Recreation City Clerk Stephen R. Hofer City of National City Office of the City Clerk 1243 National City Boulevard, National City, California 91950-4397 Michael R. Dalla, CMC - City Clerk (619) 336-4228 Fax: (619) 336-4229 October 21, 2002 Dona Tanaka American Golf Corporation, Secretary 2951 28th Street Santa Monica CA 90405-2961 Mr. Edward R. Sause Chief Financial Officer American Golf Corporation, Manager 2951 28th Street Santa Monica CA 90405-2961 Dear Ms. Tanaka and Mr. Sause, On October 15, 2002, Resolution No. 2002-157 was passed and adopted by the City Council of the City of National City, authorizing the Mayor to execute an Assignment and Delegation Agreement with American Golf Corporation and AGC Operating Company, LLC. We are hereby enclosing the above referenced Resolution and one fully executed original Assignment and Delegation Agreement. Sincerely, artha L. Alvarez Deputy City Clerk hula Enclosure cc: Public Works File No. C86-17/702-7-1 ® Recycled Paper RESOLUTION NO. 2002 — 157 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AN ASSIGNMENT AND DELEGATION AGREEMENT WITH AMERICAN GOLF CORPORATION AND AGC OPERATING COMPANY, LLC WHEREAS, on May 3, 1984, American Golf Corporation entered into a written lease and operating agreement, with the City, hereinafter referred to as "the Agreement", for the lease and operation of the Las Palmas Municipal Golf Course in National City, California; and WHEREAS, American Golf Corporation whishes to assign to AGC Operating Company, LLC, its rights and delegate its duties under the Agreement with the City; and WHEREAS, AGC Operating Company, LLC, is willing to accept and assume said assignment of rights and delegation of duties, and the City is willing to consent to said assignment and delegation and to the acceptance and assumption of said assignment and delegation by AGC Operating Company, LLC. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby authorizes the Mayor to execute an Assignment and Delegation Agreement with American Golf Corporation and AGC Operating Company, LLC. Said Agreement is on file in the office of the City Clerk. PASSED and ADOPTED this 15th day of October, 2002. George H. aters, Mayor ATTEST: jj Mic ael R. Dalla I City Clerk APPROVED AS TO FORM: fj 54:4: George H. Eiser, III City Attorney Passed and adopted by the Council of the City of National City, California, on October 15, 2002, by the following vote, to -wit: Ayes: Councilmembers Beauchamp, Inzunza, Morrison, Zarate, Waters. Nays: None. Absent: None. Abstain: None. AUTHENTICATED BY: GEORGE H. WATERS Mayor of the City of National City, California grA, City Clerk of the City oational City, California By: Deputy I HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of RESOLUTION NO. 2002-157 of the City of National City, California, passed and adopted by the Council of said City on October 15, 2002. City Clerk of the City of National City, California By: Deputy ASSIGNMENT AND DELEGATION AGREEMENT This Assignment and Delegation Agreement ("Agreement") is made and entered into this 15th day of o c t ob e r , 2002, by and between AMERICAN GOLF CORPORATION, a California corporation, hereinafter referred to as "Assignor," and AGC OPERATING COMPANY, LLC, a Delaware limited liability company, hereinafter referred to as "Assignee," and the CITY OF NATIONAL CITY, a municipal corporation, hereinafter referred to as "City." RECITALS A. On May 3, 1984, Assignor entered into a written lease and operating agreement with City hereinafter referred to as "the Agreement", for the lease and operation of the Las Palmas Municipal Golf Course in National City, California. B. Assignor wishes to assign to Assignee its rights and delegate its duties under the Agreement with City. Assignee is willing to accept and assume said assignment of rights and delegation of duties, and City is willing to consent to said assignment and delegation by Assignor, and to the acceptance and assumption of said assignment and delegation by Assignee, all subject to the terms and conditions set forth herein. NOW, THEREFORE, it is hereby agreed to the parties hereto as follows: 1. Assignor hereby assigns to Assignee all of its right, title and interest in and to the Agreement. By this assignment, Assignor further delegates to Assignee all of Assignor's duties and obligations of performance of the Agreement. 2. Assignee hereby accepts, assumes and agrees to perform all duties and obligations that Assignor has under the Agreement, as if Assignee had been an original party to the Agreement. 3. City hereby consents to the above assignment of rights and delegation of duties by Assignor, and to the acceptance and assumption of said assignment of rights and delegation of duties by Assignee. 4. This Assignment and each of its provisions shall be binding on and shall inure to the benefit of the respective heirs, devisees, legatees, executors, administrators, trustees, successors, and assigns of the parties to this Assignment. 5. This Assignment may be amended only by a writing signed by the parties hereto. 6. This Assignment shall be governed by and construed in accordance with the laws of California. 7. The parties have the legal power, right and authority to enter into this Agreement and the instruments referenced herein, and to consummate the transaction contemplated hereby. All requisite action (corporate, trust, partnership or otherwise) has been taken by the parties in connection with the entering into this Agreement. No consent of any judicial or administrative body, governmental authority or other party, entity or person is required. The individuals executing this Agreement on behalf of the parties have the legal power, right, and actual authority to bind the parties to the terms and conditions hereof and thereof This Agreement shall be a valid, legally binding obligation of and enforceable against the parties in accordance with its terms. 8. This Agreement supersedes any prior agreements, negotiations and communications, oral or written, and contains the entire agreement between the parties as to the subject matter hereof. No subsequent agreement, representation, or promise made by either party hereto, or by or to an employee, officer, agent or representative of any party hereto shall be of any effect unless it is in writing and executed by the party to be bound thereby. 9. The parties acknowledge and agree that (i) each party is of equal bargaining strength, (ii) each party has actively participated in the drafting, preparation and negotiation of this Agreement, (iii) each such party has consulted with or has had the opportunity to consult with its own, independent counsel and such other professional advisors as such party has deemed appropriate, relative to any and all matters contemplated under this Agreement, (iv) each party and such party's counsel and advisors have reviewed this Agreement, (v) each party has agreed to enter into this Agreement following such review and the rendering of such advice, and (vi) any rule or construction to the effect that ambiguities are to be resolved against the drafting party shall not apply in the interpretation of this Agreement, or any portions hereof, or any amendments hereto. IN WITNESS WHEREOF, the parties hereto have executed this Assignment and Delegation Agreement on the date and year first above written. CITY OF NATIONAL CITY By: George H. Watel-s, Mayor APPROVED AS TO FORM: By: /',•-a George H. Eiser, III City Attorney AMERICAN GOLF CORPORATION, Assignor By: Title: Dona Tanaka Secretary AGC OPERATING COMPANY, LLC, Assignee By: 1 �MMmi12— Edward R. Sause Title: Chief Financial Officer 2 American Golf Corporation, Manager City of National City, California COUNCIL AGENDA STATEMENT MEETING DATE December 3, 2002 11 AGENDA ITEM NO. (-ITEM TITLE PREPARED BY EXPLANATION APPROVAL OF ESTOPPEL CERTIFICATE FOR AMERICAN GOLF CORPORATION JIM RUI DEPARTMENT Parks and Recreation American Golf Corporation, the operator of the Las Palmas Golf Course pursuant to a lease with the City, has agreed to be purchased by an investor group led by Goldman Sacha and Starwood Capital. American Golf has been requested by the buyer to obtain an "Estoppel Certificate" from the City, stating that the lease is still valid, that American Golf is not in default, and stating the rent amount. Environmental Review N/A 1-Financial Statement N/A Approved By: Finance Director Account No. STAFF RECOMMENDATION Authorize Director of Park and Recreation to execute Estoppel Certificate. BOARD / COMMISSION RECOMMENDATION N/A ATTACHMENTS ( Listed Below ) Letter from American Golf Corporation. Resolution No. A-200 (9;99) American Golf Corporation® November 22, 2002 CERTIFIED MAIL RETURN RECEIPT REQUESTED City of National City Parks & Recreation Department 140 East 12th St — Ste A National City, CA 91950-3312 Attn: City Attorney RE: Las Palmas Municipal Golf Course Ladies and Gentlemen: As you know, American Golf has agreed to be purchased by an investor group led by Goldman Sachs and Starwood Capital (collectively, the "Buyer"). We are pleased to report that the transaction is moving forward and we are working toward a closing before the end of this year. In anticipation of the closing, American Golf has been requested by the Buyer to forward the attached customary Estoppel Certificate to you for your review and signature.. As you will see, the Estoppel Certificate is very straightforward and asks for confirmation of the validity of the lease, that there are no defaults, and the rent amount. We ask that you please execute the Estoppel Certificate and return it to Dona Tanaka via facsimile at (310) 664-6165, with the original to follow by mail addressed as follows: Dona Tanaka Senior Paralegal 2951 28t1' Street Suite 3000 Santa Monica, CA 90405 Thank you for your prompt attention to this matter. We would very much appreciate receiving your signed Estoppel Certificate by no later than December 5th. 2951 — 28th Street • Santa Monica, California 90405 • Tel (310) 664-4000 • www.americangolf.com City of National City November 22, 2002 Page 2 Please do not hesitate to contact me at (310) 664-4456 or Dona Tanaka (310) 664- 4292 if you have any questions regarding the Estoppel Certificate. Sincerely, CZ Pi ‘1 David Pillsbury President AMERICAN GOLF CORPORATION • 2951 — 28th Street • Santa Monica, California 90405 • Telephone (310) 664-4000 ESTOPPEL CERTIFICATE American Golf Corporation 2951 28th Street Suite 3000 Santa Monica, CA 90405 RE: Lease and Operating Agreement of Las Palmas Municipal Golf Course by and between City of National City and American Golf Corporation (the "Agreement") Ladies and Gentlemen: Please refer to the documents listed on Exhibit A hereto (collectively, the "Lease Documents") with respect to the property commonly known as Las Palmas Municipal Golf Course (the "Property"). The undersigned (the "Owner") does hereby certify to American Golf Corporation ("Tenant") and (subject to the provisions of the Lease Documents) its successors and assigns and to GMAC Commercial Mortgage Corporation and its successors and assigns, that as of the date hereof: (a) Attached hereto as Exhibit A is true, correct and complete list of the Lease Documents, and none of the Lease Documents have been supplemented, amended, modified or superseded since their original execution, and no other agreements or understandings exist with respect to the Property that are not integrated with the Lease Documents. (b) Each of the Lease Documents is in full force and effect and cover all or part of the Property as specified therein. (c) To Owner's knowledge, there are no uncured defaults on the part of the Tenant under any of the Lease Documents, and, to Owner's knowledge, there are no events that have occurred that, with the giving of notice or passage of time or both, would constitute a default by Tenant thereunder, and at the present time, to the Owner's knowledge, Tenant has no disputes against Owner under any of the Lease Documents. (d) Tenant is the current holder of Tenant's interest with respect to the Property under the Lease Documents. Tenant is currently paying $5,000 per month in base rent and in the month of October, 2002, paid $11,594 in total rent (including percentage rent, if any) (provided, however, that Owner reserves any rights it has under the Lease Documents, if any, to conduct audits in respect of the Property). All monetary obligations due under the Lease Documents to date have been fully and currently paid, and to Owner's knowledge, all other obligations on the Tenant's part to be performed to date under the Lease Documents have been performed. IN WITNESS WHEREOF, Owner has duly executed this Estoppel Certificate effective as of this _ day of , 2002. City of National City By: Name: Title: National City Golf Course/Las Palmas Exhibit A Lease Documents 1. Lease and Operating Agreement dated May 3, 1984 2. Amendment to Agreement dated July 2, 1985 3. Amendment to Agreement dated June 6, 1989 4. Amendment to Agreement dated June 26, 1990 5. Amendment to Agreement dated March 7, 1995 6. Amendment to Agreement dated February 16, 2002 7. Assignment and Delegation Agreement dated October 15, 2002 IiJuly 18, 2006 "tEETING DATE City of National City, California COUNCIL AGENDA STATEMENT 43 AGENDA ITEM NO. ITEM TITLE Resolution authorizing the Mayor to Execute an Amendment to the Agreement between the City of National City and American Golf Corporation pertaining to Fees at the National City Golf Course PREPARED BY DEPARTMENT Leslie Deese EXPLANATION Phone: (619) 336-4242 Community Services/City Manager The attached letter from American Golf Corporation requests a rate increase of $1.00 for green fees and cart fees to be effective September 5, 2006. The last rate increase was in March 2002. The proposed rate increase is supported by City staff and the MBIA MuniServices audit staff as addressed in the May 18, 2006 report on the National City Golf Course (see Agenda Item 42 .) Environmental Review Financial Statement N/A >STAFF RECOMMENDATION Adopt Resolution. X N/A BOARD / COMMISSION RECOMMENDATION N/A Account No. ATTACHMENTS ( Listed Below) Resolution No. (9..0 Q (9 - i Ll'7 1. Letter from American Golf dated June 3, 2006 / V o ! EL) 2. Resolution A-200 (9/80) RESOLUTION NO. 2006 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AN AMENDMENT TO THE AGREEMENT BETWEEN THE CITY OF NATIONAL CITY AND AMERICAN GOLF CORPORATION PERTAINING TO FEES AT THE NATIONAL CITY GOLF COURSE WHEREAS, on May 3, 1984, the City and American Golf Corporation entered into a Lease and Operating Agreement for the National City Golf Course, and said Agreement was subsequently amended on various dates, with the last amendment occurring on March 12, 2002; and WHEREAS, the City and American Golf Corporation desire to amend Paragraph 10.2.A of said Agreement pertaining to fees, to be effective September 5, 2006. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of National City that the Mayor is hereby authorized to execute an Amendment to the Agreement with American Golf Corporation pertaining to fees at the National City Golf Course. Said Amendment to Agreement is on file in the Office of the City Clerk. PASSED and ADOPTED this 18th day of July, 2006. Nick Inzunza, Mayor ATTEST: Michael DaIla, City Clerk APPROVED AS TO FORM: George H. Eiser, III City Attorney AMENDMENT TO AGREEMENT This Amendment to Agreement is made and entered this 18th day of July, 2006, by and between the City of National City, a municipal corporation, hereinafter referred to as "LANDLORD," and American Golf Corporation, hereinafter referred to as "TENANT." RECITALS This Amendment to Agreement is made with reference to the following recitals: A. On May 3, 1984, LANDLORD and TENANT entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course," and said Agreement was subsequently amended on various dates, with the last amendment occurring on February 12, 2002. B. LANDLORD and TENANT desire to amend Paragraph 10.2.A of said Agreement pertaining to fees. NOW, THEREFORE, the parties hereto mutually agree as follows: 1. Paragraph 10.2.A of the "Lease and Operating Agreement of Las Palmas Municipal Golf Course" is hereby amended, effective July 18, 2006, to read as follows: "10.2. All fees charged to patrons at the demised Premises will be comparable to those fees charged by comparable competing Southern California public golf courses for similar goods and services and facilities. follows: A. TENANT and LANDLORD agree that green fees and cart fees will be as GREEN FEES 9 HOLES REPLAY Weekday - Regular $11.00 $8.00 Weekday - Senior (National City Resident) $8.00 $6.50 Weekday - Senior (Non -National City Resident) $9.00 $6.50 Weekday - Junior $8.00 $5.50 Weekday - Twilight $9.00 $5.50 Weekend - Regular $15.00 $9.00 Weekend - Senior (National City Resident) $9.00 $6.50 Weekend - Senior (Non -National City Resident) $11.00 $6.50 Weekend - Junior $9.00 $6.50 Weekend - Twilight $11.00 $6.50 Carts (Weekday and Weekend Rates) - Per Player Pull Cart (Weekday and Weekend Rates) - Per Player Range: Range prices per ball: older." $8.00 $4.00 $3.00 $0.08 For purposes of this section, `seniors' shall mean all persons 60 years old or 2. Except as otherwise provided herein, all of the terms and conditions of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" dated May 3, 1984, and as subsequently amended, shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have hereunto set their hands on the date first above stated. APPROVED AS TO FORM: George H. Eiser, III City Attorney Nick Inzunza, Mayor AMERICAN GOLF CORPORATION By: General Manager By: Operations Manager June 3, 2006 American Golf Corporation® Leslie A. Deese Community Services Director City of National City 141 East 12th Street Suite A National City, CA 91950-3312 Dear Ms. Deese, As per your request, I am respectfully submitting this letter to propose a rate increase at The National City Golf Course. We would like to propose the new rates to be effective as soon as possible. We are proposing an increase of one dollar to all categories. This proposed rate increase was supported by the recent facility audit performed by MBIA Muniservices Company. The findings of the recent facility audit performed by MBIA were published on April 7th, 2006 and shared with The City of National City and American Golf Corporation. Our last rate increase was in 2002. The golf course is in the best shape ever. We are confident the golfers will support the increase. Ihave included a comparative rate survey for executive golf courses and local municipal golf courses for your review. I have also attached a rate sheet that shows the proposed changes. Thanks for all the support. Randy Lohrenz General Manager National City Golf Course ouss<. 3Sweetwater •at r.R - VcLI✓..� .J._�li !' �,�, ,.aC'. �ca0ilai �:i\'�.,.,,`a� c— ^O`. t-i ry^ <- C; National City Golf Course Proposed Rates Green Fees Weekday Proposed Proposed Current 9-hole Replay Replay Adults $10.00 $11.00 $7.00 $8.00 Seniors $8.00 $9.00 $5.50 $6.50 Resident Srs. $7.00 $8.00 $5.50 $6.50 Juniors $7.00 $8.00 $4.50 $5.50 Twilight $8.00 $9.00 $4.50 $5.50 Weekend Proposed Proposed Current 9-hole Replay Replay Adults $14.00 $15.00 $8.00 $9.00 Seniors $10.00 $11.00 $5.50. $6.50 Resident Srs. $8.00 $9.00 $5.50 $6.50 Juniors $8.00 $9.00 $5.50 $6.50 Twilight $10.00 $11.00 $5.50 $6.50 Date: 7/13/2006 Cart Fees Weekend and Weekday Rates Current $7.00 $2.00 Per person Pull Cart Cart Replay Current Per person $3.50 Proposed $8.00 $3.00 Proposed $4.00 2005 MARKETING PLAN: PUBLIC COURSE CMA Distance its e'-,r Course Type of Course Archdt.:1 Status ill Date of 6pentng 18 near weeliay NocaRetldent ;le •Neet;day - REside('.I tc Hole weekend • ^irnn-3 s'.der. Afeen Fees 18 Hole weekend . ttot .rent nctadad) Senior J ,r.;or tatter? c; 3 max` n. t •uses k.erd eel Pseth Cart Tee ail hole weekend Twriiryet No eia;es Estimate: Annual Rounds Yardage,Back Rehr:, Slaps Paling Tee Coed'ian Rating. Go en Coy Q an Rating Fairway Catlartios Ra'uup yySXecac Course Ret.og p �ryumber Of S:utIonS (G1 Grass -M) Mats, o B) Both N;ght Lgh6ng Quality Rating t a Chap Raong Snack Ear tflestauraet r?abng Banquet:Outingea ;rides Rc?;nc Rating Goo at G lbhodsa Rating Cas Gervfus f4at:r;g per;:al rates via N pe'.a i features awards `). o que 'ararte.! s S that set earn pr pei, name desii3fler, rtilionally -' �nl:t {ncakon. Comme;i( en any c'"or laformatiorl rolativsis creepetaNe strength, of of co; 4. t propert0 isSUe5. lrit, notin toe relational C` ry 7ecol Ga ow. Mark ,„wrt E - E eiseng b4 24.0/' S EXISTING CGAt:�E 22 DO Good 3 /raft 4 V. ry GOo:,l ry t24.:.1 4 t: e; J Cs God n Vore + a t ry GO ',,.1 varyforn1 4 lery M Mats ISIs Yes ,Jcs... Ver �r:u 4 4'cy ocI 5 Good 4 Very.o,1 Good 4 Very Good ; d Very Good 4 Ve:y _a 4 Very Ga Gocd 4 `✓etyGood 4 !err, Good a. 2 • Iar 2 Far 44 B Bcth Yes 3 9 odd 2 Fah sa;r l a• .; 2 f 7C COG Good 4 Jr'one M teats 8/14/2006 PAGE 1 OF 1 AMENDMENT TO AGREEMENT This Amendment to Agreement is made and entered this 18`h day of July, 2006, by and between the City of National City, a municipal corporation, hereinafter referred to as "LANDLORD," and American Golf Corporation, hereinafter referred to as "TENANT." RECITALS This Amendment to Agreement is made with reference to the following recitals: A. On May 3, 1984, LANDLORD and TENANT entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course," and said Agreement was subsequently amended on various dates, with the last amendment occurring on February 12, 2002. B. LANDLORD and TENANT desire to amend Paragraph 10.2.A of said Agreement pertaining to fees. NOW, THEREFORE, the parties hereto mutually agree as follows: 1. Paragraph 10.2.A of the "Lease and Operating Agreement of Las Palmas Municipal Golf Course" is hereby amended, effective July 18, 2006, to read as follows: "10.2. All fees charged to patrons at the demised Premises will be comparable to those fees charged by comparable competing Southern California public golf courses for similar goods and services and facilities. A. TENANT and LANDLORD agree that green fees and cart fees will be as follows: GREEN FEES 9 HOLES REPLAY Weekday — Regular Weekday — Senior (National City Resident) Weekday — Senior (Non -National City Resident) Weekday — Junior Weekday — Twilight Weekend — Regular Weekend — Senior (National City Resident) Weekend — Senior (Non -National City Resident) Weekend — Junior Weekend — Twilight Carts (Weekday and Weekend Rates) — Per Player Pull Cart (Weekday and Weekend Rates) — Per Player Range: Range prices per ball: $11.00 $8.00 $8.00 $6.50 $9.00 $6.50 $8.00 $5.50 $9.00 $5.50 $15.00 $9.00 $9.00 $6.50 $11.00 $6.50 $9.00 $6.50 $11.00 $6.50 $8.00 $4.00 $3.00 $0.08 For purposes of this section, `seniors' shall mean all persons 60 years old or older and `juniors shall mean all persons 16 years old or younger." 2. Except as otherwise provided herein, all of the terms and conditions of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" dated May 3, 1984, and as subsequently amended, shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have hereunto set their hands on the date first above stated. APPROVED AS TO FORM: George H. Eiser, III City Attorney Nick Inzunza, Mayor AMERIC • , tr0 : ()RPORATION By: Senior i e President/General Counsel By: w'rwv ,Vf� Assistant Sec ary NOT ADOPTED RESOLUTION NO. 2006-147 A "RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AN AMENDMENT TO THE AGREEMENT BETWEEN THE CITY AND AMERICAN GOLF CORPORATION PERTAINING TO FEES AT THE NATIONAL CITY GOLF COURSE" This Resolution was not adopted at the City Council Meeting of July 18, 2006. DATE: August 01, 2006 r Mic ael R. aI a, CMC City Clerk of the City of National City IVo f Ad'p #ed RESOLUTION NO. 2006 — 147 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AN AMENDMENT TO THE AGREEMENT BETWEEN THE CITY OF NATIONAL CITY AND AMERICAN GOLF CORPORATION PERTAINING TO FEES AT THE NATIONAL CITY GOLF COURSE WHEREAS, on May 3, 1984, the City and American Golf Corporation entered into a Lease and Operating Agreement for the National City Golf Course, and said Agreement was subsequently amended on various dates, with the last amendment occurring on March 12, 2002; and WHEREAS, the City and American Golf Corporation desire to amend Paragraph 10.2.A of said Agreement pertaining to fees, to be effective September 5, 2006. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of National City that the Mayor is hereby authorized to execute an Amendment to the Agreement with American Golf Corporation pertaining to fees at the National City Golf Course. Said Amendment to Agreement is on file in the Office of the City Clerk. PASSED and ADOPTED this 18th day of July, 2006. Nick Inzunza, Mayor ATTEST: Michael Dalla, City Clerk APPROVED AS TO FORM: George H. Eiser, Ill City Attorney RESOLUTION NO. 2006 - 163 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AN AMENDMENT TO THE AGREEMENT BETWEEN THE CITY OF NATIONAL CITY AND AMERICAN GOLF CORPORATION PERTAINING TO FEES AT THE NATIONAL CITY GOLF COURSE WHEREAS, on May 3, 1984, the City and American Golf Corporation entered into a Lease and Operating Agreement for the National City Golf Course, and said Agreement was subsequently amended on various dates, with the last amendment occurring on March 12, 2002; and WHEREAS, the City and American Golf Corporation desire to amend Paragraph 10.2.A of said Agreement pertaining to fees, to be effective September 5, 2006. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of National City that the Mayor is hereby authorized to execute an Amendment to the Agreement with American Golf Corporation pertaining to fees at the National City Golf Course. Said Amendment to Agreement is on file in the Office of the City Clerk. PASSED and ADOPTED this 1st day of August, 2006. Nick Inu'rizaayor ATTEST: 4. Mi ael Da City Clerk APPROVED AS TO FORM: George H. Eiser, Ill City Attorney AMENDMENT TO AGREEMENT This Amendment to Agreement is made and entered this 1st day of August, 2006, by and between the City of National City, a municipal corporation, hereinafter referred to as "LANDLORD," and American Golf Corporation, hereinafter referred to as "TENANT." RECITALS This Amendment to Agreement is made with reference to the following recitals: A. On May 3, 1984, LANDLORD and TENANT entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course," and said Agreement was subsequently amended on various dates, with the last amendment occurring on February 12, 2002. B. LANDLORD and TENANT desire to amend Paragraph 10.2.A.of said Agreement pertaining to fees. NOW, THEREFORE, the parties hereto mutually agree as follows: 1. Paragraph 10.2.A of the "Lease and Operating Agreement of Las Palmas Municipal Golf Course" is hereby amended, effective August 1, 2006, to read as follows: "10.2. All fees charged to patrons at the demised Premises will be comparable to those fees charged by comparable competing Southern California public golf courses for similar goods and services and facilities. follows: A. TENANT and LANDLORD agree that green fees and cart fees will be as GREEN FEES — Weekday 9-HOLE 9-hole Non -Resident $12.00 9-hole Resident $10.00 Seniors Non -Resident $10.00 Seniors Resident $7.00 Juniors $7.00 Twilight $9.00 Adults — Replay Seniors — Replay Juniors — Replay Twilight — Replay $8.00 $6.00 $6.00 $6.00 GREEN FEES — Weekend 9-HOLE 9-hole Non -Resident 9-hole Resident Seniors Non -Resident Seniors Resident Juniors Twilight $15.00 $13.00 $11.00 $8.00 $8.00 $11.00 Passed and adopted by the Council of the City of National City, California, on August 1, 2006, by the following vote, to -wit: Ayes: Councilmembers: Inzunza, Morrison, Parra, Zarate. Nays: Natividad. Absent: None. Abstain: None. AUTHENTICATED BY: NICK INZUNZA Mayor of the City of National City, California h City CI k of the City of ational City, California By: Deputy I HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of RESOLUTION NO. 2006-163 of the City of National City, California, passed and adopted by the Council of said City on August 1, 2006. City Clerk of the City of National City, California By: Deputy roR�.Alto AD �eA City of National City Office of the City Clerk 1243 National City Boulevard, National City, CA 91950-4397 Michael R. Dalla, CMC - City Clerk (619) 336-4228 Fax: (619) 336-4229 August 28, 2006 Mr. Cameron Stephens Regional Vice President American Golf Corporation 7380 Golfcrest Place San Diego, Ca 92119 Project: City of National City — Las Palmas Municipal Golf Course Agreement Amendment. Dear Mr. Stephens: On August 1, 2006 the City Council of the City of National City passed and adopted Resolution No. 2006 - 163, amending the agreement between the American Golf Corporation and the City of National City pertaining to fees at the Las Palmas Municipal Golf Course. We are pleased to enclose a fully executed original contract and a certified copy of the Resolution for your records. Should you have any questions, please contact Ms. Leslie Deese, Community Services Director at (619) 336-4290. Michael R. Dalla City Clerk MRD Enclosure cc: Leslie Deese File C86-17 ® Recycled Paper AMENDMENT TO AGREEMENT This Amendment to Agreement is made and entered this 1st day of August, 2006, by and between the City of National City, a municipal corporation, hereinafter referred to as "LANDLORD," and American Golf Corporation, hereinafter referred to as "TENANT." RECITALS This Amendment to Agreement is made with reference to the following recitals: A. On May 3, 1984, LANDLORD and TENANT entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course," and said Agreement was subsequently amended on various dates, with the last amendment occurring on February 12, 2002. B. LANDLORD and TENANT desire to amend Paragraph 10.2.A of said Agreement pertaining to fees. NOW, THEREFORE, the parties hereto mutually agree as follows: 1. Paragraph 10.2.A of the "Lease and Operating Agreement of Las Palmas Municipal Golf Course" is hereby amended, effective August 1, 2006, to read as follows: "10.2. All fees charged to patrons at the demised Premises will be comparable to those fees charged by comparable competing Southern California public golf courses for similar goods and services and facilities. follows: A. TENANT and LANDLORD agree that green fees and cart fees will be as GREEN FEES — Weekday 9-HOLE 9-hole Non -Resident $12.00 9-hole Resident $10.00 Seniors Non -Resident $10.00 Seniors Resident $7.00 Juniors $7.00 Twilight $9.00 Adults — Replay Seniors — Replay Juniors — Replay Twilight — Replay $8.00 $6.00 $6.00 $6.00 GREEN FEES — Weekend 9-HOLE 9-hole Non -Resident $15.00 9-hole Resident $13.00 Seniors Non -Resident $11.00 Seniors Resident $8.00 Juniors $8.00 Twilight $11.00 Adults — Replay Seniors — Replay Juniors — Replay Twilight — Replay CART FEES — Weekend and Weekday Rates Per Person Pull Cart Cart Replay — Per Person RANGE Range prices per ball: $8.00 $6.00 $6.00 $6.00 $8.00 $4.00 $4.00 $0.08 For purposes of this section, `seniors' shall mean all persons 60 years old or older and 'juniors' shall mean all persons 16 years old or younger." 2. Except as otherwise provided herein, all of the terms and conditions of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" dated May 3, 1984, and as subsequently amended, shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have hereunto set their hands on the date first above stated. APPROVED AS TO FORM: George H. Eiser, Ill City Attorney Nick 1nzu'n'2 , Mayor AMERICAN GO/F ORPORATION By: By: Senior President/General Counsel 711( 7/4 Assistant Secr City of National City, California COUNCIL AGENDA STATEMENT MEETING DATE August 1, 2006 22 AGENDA ITEM NO. / ITEM TITLE Resolution Authorizing the Mayor to Execute an Amendment to the Agreement between the City of National City and American Golf Corporation Pertaining to Fees at the National City Golf Course PREPARED BY Leslie Deese Phone: (619) 336-4242 EXPLANATION EPARTMENT Community Services/City Manager The American Golf Corporation has responded in writing to the City Council's request to decrease the green fees for city residents at the National City Golf Course. (See attachment.) American Golf recommends a $1 decrease in resident's green fees on weekends, but no decrease for such fees during the week. American Golf is also asking for an increase in the green fees paid by non-residents, as well as an increase in golf cart fees for all users, effective September 5, 2006. The last fee increase was March, 2002. Also attached is a copy of the General Manager's 2005 Executive Summary Review on the National City Municipal Golf Course. This information is provided in response to the City Council's request for periodic updates from American Golf on golf course performance and property improvements. Additionally, staff has asked American Golf for quarterly updates. Regarding the Council's inquiry about building ownership, National City owns the clubhouse and other buildings on the golf -course property, and American Golf is responsible for their maintenance and repair. Environmental Review N/A Financial Statement N/A >STAFF RECOMMENDATION The proposed rate adjustment only partially addresses the City Council's request for discounts to National City residents. Staff is submitting the proposed fee adjustment to City Council for their consideration. Account No. BOARD / COMMISSION RECOMMENDATION N/A ATTACHMENTS ( Listed Below) Resolution No. 1. American Golf letter dated June 3, 2006 C C, • 17 2. Resolution "1 0 3. American Golf's 2005 Executive Summary Report on the National City Municipal Golf A-200 (9B0) Caur e RESOLUTION NO. 2006 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AN AMENDMENT TO THE AGREEMENT BETWEEN THE CITY OF NATIONAL CITY AND AMERICAN GOLF CORPORATION PERTAINING TO FEES AT THE NATIONAL CITY GOLF COURSE WHEREAS, on May 3, 1984, the City and American Golf Corporation entered into a Lease and Operating Agreement for the National City Golf Course, and said Agreement was subsequently amended on various dates, with the last amendment occurring on March 12, 2002; and WHEREAS, the City and American Golf Corporation desire to amend Paragraph 10.2.A of said Agreement pertaining to fees, to be effective September 5, 2006. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of National City that the Mayor is hereby authorized to execute an Amendment to the Agreement with American Golf Corporation pertaining to fees at the National City Golf Course. Said Amendment to Agreement is on file in the Office of the City Clerk. PASSED and ADOPTED this 1st day of August, 2006. Nick Inzunza, Mayor ATTEST: Michael Dalla, City Clerk APPROVED AS TO FORM: George H. Eiser, Ill City Attorney June 3, 2006 Leslie A. Deese Community Services Director City of National City 141 East 12th Street Suite A National City, CA 91950-3312 Dear Ms. Deese, As per your request, I am respectfully submitting this letter to propose a rate increase at The National City Golf Course. We would like to propose the new rates to be effective as soon as possible. We are proposing an increase of two dollars to our weekday non- resident and senior non-resident rates. We are also proposing an increase to our weekday and weekend twilight rate of $1.00, as well as a $1.00 increase to the weekend non- resident rate. We are not requesting an increase to the weekday National City resident rate. In fact, we are proposing a decrease to the National City weekend resident rate by $1.00 at the request of Mayor Inzunza. National City residents will now be eligible for the discounted resident rate, weekday and weekend, upon check in with valid identification. We are also proposing a fifty cent increase to the weekend replay rate and $1.50 increase to the weekday twilight replay rate. This proposed rate increase was supported by the recent facility audit performed by MBIA Muniservices Company. The findings of the recent facility audit performed by MBIA were published on April 7th, 2006 and shared with The City of National City and American Golf Corporation. Our last rate increase was in 2002. The golf course is in the best shape ever. We are confident the golfers will support the increase. I have included a comparative rate survey for executive golf courses and local municipal golf courses for your review. I have also attached a rate sheet that shows the proposed changes. Thanks for all the support. Sincerely, Randy Lohrenz General Manager National City Golf Course National City Golf Course Proposed Rates Date: 7/24/2006 Green Fees Weekday Proposed Current 9-hole Variance 9-hole Non -Resident $10.00 $12.00 $2.00 9-hole Resident $10.00 $10.00 $0.00 Seniors Non -Resident $8.00 $10.00 $2.00 Senior Resident $7.00 $7.00 $0.00 Juniors $7.00 $7.00 $0.00 Twilight $8.00 $9.00 $1.00 Adults - Replay $8.00 $8.00 $0.00 Seniors - Replay $5.50 $6.00 $0.50 Juniors - Replay $4.50 $6.00 $1.50 Twilight - Replay $4.50 $6.00 $1.50 Weekend Proposed Current 9-hole Variance 9-hole Non -Resident $14.00 $15.00 $1.00 9-hole Resident $14.00 $13.00 -$1.00 Seniors Non -Resident $9.00 $11.00 $2.00 Senior Resident $8.00 $8.00 $0.00 Juniors $8.00 $8.00 $0.00 Twilight $10.00 $11.00 $1.00 Adults - Replay $8.00 $8.00 $0.00 Seniors - Replay $5.50 $6.00 $0.50 Juniors - Replay $5.50 $6.00 $0.50 Twilight - Replay $5.50 $6.00 $0.50 Cart Fees Weekend and Weekday Rates Current Per person $7.00 Pull Cart $2.00 Proposed $8.00 $4.00 Cart Replay Current Proposed Per person $3.50 $4.00 National City Golf Course 2005 Review Executive Summary Craig Hill General Manager 2005 Review Summary Index Page # 2005 Performance Recap 3 2006 Opportunities 4-5 2005 SWOT Analysis 6 2006 Green Fee & Cart Fee Rates 7 Competitive Market Analysis 8 Rounds of Golf History 9 Course Staff 10 Photo Album 11-15 2005 Performance Recap Performance Summary • Green Fee Revenue affected by record amounts of rainfall in the 1st quarter • Driving Range Revenue has exceeded 2004 by 5% to date. • The Golf Practice Experience has greatly improved due to improved ball quality, revamped lighting, and new range mats. • Cart revenue is up by 8% --twenty-two new carts has added to the guests' experience, • Food and Beverage revenue is down mainly to 1st quarter rainfall -the close proximity of numerous fast food and quick service restaurants has added to the competitive market, • Golf Course conditions are better than average; fire damage in a maintenance storage building (end of 2004) and rain damage (early 2005) have both been repaired 1. Fire debris was removed; fill dirt and fresh sod replaced Reference photographs p. 11 2, Rain and silt damage on Fairway #2 repaired with sod Reference photographs p.12 3. Ongoing Driving Range carpet repairs to improve drainage 4. Safety rail added to protective fence between Green #8 and Tee # 9 Reference photograph p. 13 5, Purchased new turf maintenance equipment • Remodeling clubhouse interior with: 1)New furniture, 2) Big screen television, 3) New carpeting, and 4) fresh paint Reference photographs p. 14 • Replaced faded and aging sign with new sign Reference photographs p. 15 • Currently trending at-66,000 rounds of golf played; number is flat to prior year performance 3 2006 Opportunities • We continue to seek tournament business by providing an alternative to full scale large golf events. Our selling point is based on our relaxed atmosphere of golf that all levels of skill can enjoy, and not spend all day doing it. Current and past events have been; Sweetwater Kiwanis, San Diego Junior Golf Association, and the USS Ronald Reagan (CVN 76). • Continue to welcome ongoing league play and the creation of new golf leagues through out the year. • Dining Room Food Sales - Renovating clubhouse interior with new carpet and paint. The addition of a big screen television and newer tables and chairs to attract and retain guests. • Maintain strong Green Fee/Cart Fee revenues through increasing the number of rounds and rate. See proposed rate increases on page 7. Last time rates were increased was February 2002. • Better COS controls in Food & Beverage and Merchandise. • Strive to continue to reach out to the local community with ongoing junior programs to teach children the fundamentals of playing golf, and special discounted rates for Seniors. We currently work with Sweetwater High School as their home course for matches and practice. Southwestern College also uses the facility for their golf class. • Continue to improve course conditions with additional new equipment and a meticulous agronomic plan for healthy turf. 4 Summary The beginning of 2005 brought record amounts of rainfall in the San Diego area. Being a business that is based upon the weather, the 1st quarter of operations was a struggle, especially compared to the prior year which had spectacular weather. As the weather conditions improved, the golfers came back to enjoy better golfing conditions. The addition of new equipment has helped improve our turf conditions. Continued capital improvement of the property helps freshen curb appeal and improve playing conditions of the golf course. A consistent staff of professionals, are dedicated to serving the City of National City's golfing needs. In 2006, we are conservatively projecting that revenue and rounds remain fairly flat due to decreasing golf participation nationwide. We will seek the highest levels of productivity and efficiency, providing a product and service that meets the needs of the people of National City, and other surrounding communities. We are dedicated to provide an outstanding golf value, a quick round of golf, and quality service to all of our guests. As always, we look forward to our continued relationship with the City of National City. 5 S.W.O.T. Analysis Strengths • Central Location - Easy access and freeway close, • Consistent customer base and established reputation in the community • Fast pace of play; usually under 2 hours for 9 holes • Great value for our guests • Lighted Driving Range Weaknesses • Not a championship full length 18 hole golf course • No grass tee line for the driving range • Limited amount of carts. • Using well water that is high in salinity, is a challenge for growing healthy turf. Opportunities • Continued growth of our niche (9-hole golf course with a fast pace of play) • Tournament sales - better resource, and alternative to full scale events. • Increase sales in Merchandise through proper planning and execution of our merchandising plan. Continue to grow our driving range business with high quality range balls, and mats. • Maintain and increase Green Fee/Cart Fee revenues through quality revenue management strategies and training. • Better course conditions Threats • Continued course improvements at competing golf courses • Economy and downward trend of participation in golf • Higher end publics causing downward pressure through aggressive discounts. • The continued increase in the price of gasoline erodes consumer discretionary spending for recreational activities. • Poor weather such as rainy days in the winter, and high heat and humidity in the summer. 6 Green Fee & Cart Fee Rates Green Fees 2003 2004 2005 2006 (Proposed) * Weekday $10 $10 $10 $11 Weekend $14 $14 $14 $15 Twilight - WD $8 $8 $8 $9 Twilight - WE $9 $9 $9 $10 Senior $8 $8 $8 $9 Senior - Resident $7 $7 $7 $8 Senior - WE $10 $10 $10 $11 SuperTwi - WD $5 $5 $5 $6 SuperTwi - WE $5 $5 $5 $6 Junior $7 $7 $7 $7 Cart Fees Regular $7 $7 $7 $8 * Last rate increase was February 2002, and the cost of operations has increased significantly over the last couple of years, and will continue to increase in order to provide continued quality of service. 2005 MARKETING PUBLIC COURSE CMA Localion/Quality Rating Distance from Your Course : Type of Course Architect Course Status (E, UC, IF)- 11 (UC or IP), Dale of Opening 18 hole weekday - Non -Resident 18 hole weekday - Resident ;:18 Hole weekend • Non -Resident Current Month Green Fees 18 Hole weekend - Resident • (Cad Not Included) ;.Senior Junior (after 2 or 3 0 most courses) Twilight Weekday , Twilight Weekend . 18 hole weekday Current Month Can Fees 16 hole weekend (Full Can) .Twilight No. Holes .Estimated Annual Rounds ' Yardage (Back Tees) Rating General information Slope Rating ( Tee Condition Rating Green Condition Rating Fairway Condition Rating Overall Course Rating Number Of Stations (G) Grass, (M) Male, or (B) Both Night Lighting Quality Rating Pro Shop Rating Snack Bar/Restaurant Rating Clubhouse Information Banquet/Outing Facilities Rating Overall F&B Rating Overall Clubhouse Rating Customer Service Rating Driving Flange Current Speclals/Offars -.Special rates via Newspaper, Email, etc. Special Features or !;Advantages , Other Comments Special features, awards, or unique characteristics that set each property apart • (i. e. -name designer nationally recognized, prime d"location etc.), ;,Comment on any other information worth noting 1 relative to competitive strengths or weaknesses or current property Issues,. AGC EXISTING COMPETITORS ' - NEW SUPPLY i4alboayark N/A Mission Trails 11-15 miles Chula Vista 6-10 miles National City 6-10 miles Tecolote 6.10 miles Mission Bay 1 t-15 miles . Bonita 11-15 miles New Club I Select one New Club 2 -Select one i Mid/Muni Mid/Daily Mid/Muni ' Low/Muni Low/Daily - Low/Muni Mid/Muni - Select one Select one E-- Existing William P: Bell E - Existing Billy Casper E - Existing - - -. E - Existing Ruben Trent Jones Sr: E - Existing E - Existing William F. Bell E - Existing Select one Select one 30. 00 23.00 $ 41.00 $ 25 00 $ 11511 $ 28,00 $ 28.00 $ 38.00 $ 38.00 $ 19.00 $ 14.00 $ 27.00 $ 21.50 $ . 10.00 $ - 18,00 $ 19.00 $ 22.00 $ :. t0.00 $ 18.00 $ 19.00 $ 22.00 $ 34.00 $ 14.00 $ - 25 00 $ 23.00 $ 36.00 $ 26.00 $ 10.00 $ 14.00 $ 8.00 $ 7.00 $ 25.00 $ 23.00 $ - 36,00 $ 16.00 $ 17.00 lit 10,50 $....-� 20.60 $ 12 00 $ 22.00 $ 27.00 $ 12. 00 $ 12.00 $ 17.00 $ 8.00 $ 16.00 Na - $ 15.00 $ 20.50 $ 24.00 $ 24.00 $ 20.50 $ 26.00 $ 9.00 $ 7 00 $ 18.00 $ 24.00 n/a $ 20.00. $ 22.00 $ 24.00 $ 26.00 $ >7,00 $ 24.00 $ 20.00 $ 24.00 '$ 17.00 2/ 148,000 $ - 10,00 18 65,000 - 6,004 69. 1 $ 20.00 18 90,000 $ 7.00 9 68,500 $ 24.00 18 $ 20.00 18 $ 24.00 18 56,000 3,161 55,000 76,800 6,291 - 71. IT 6,759 2,100 2,719 6,287 72.4 Rio 55.8 Na 68.8 12/ 126 13o rile 101 n/a 117 3 Good 3 Good 3 Good 2 Fair 2 Fair 2 Fair 4 Very Good Select one Select one 1 3 Good 3 Good 3 Good 3 Good 2 Fair 3 Good 2 Fair 4 Very Good Select one Select one �( 3 Good 3 Good: 3 Good 3 Good 2 Fair 3 Good Select one Select one 3 Good 16 3 Good. 30 3 Good 20 G Grass 3 Good 16 M Mats 2 Fair 28 2 Fair .. 30 4 Very Good. 36 Select one Select one 1 M Mats B Both B Both B Both B Both Select one Select one r No Yes No Yes Yes Yes No Select one - Select one 3 Good 3 Good 2 Fair 3 Good 3 Good 3 Good 2 Fair 3 Good - 3 Good 3 Good - '3 Good 3 Good 2 Fair 2 Fair '.3 ` Goad- -' 3. Good . Select one Select one - Select one I Select one 4 Very Good .3 Good 3 Good Select one 4 Very Good Select one Select one 2 Fair 3 Good 5 Excellent Select one Select one -3 Good 4 Very Good Select one ' Select one 2 Fair 2 Fair l Very Good 18 Hole Gotirse, and a separate executive a bolo course. Centrally located near, downtown. Great Views 3 Good 4 Very Good - 3 Good 3 Good Select one 4 Very Good Select one Select one I 3 Good 4 Very Good 3 Good 4 Very Good 2 Fair 4 Very Good Select one Select one 3 Good - Undulated layout, newly rennovated banquet facility and bar, and. - 3 Good Classic layout, newly rennovateA restaurant and banquet facility. Long and easy to walk, Conveniently located :3 Good .Fast pace of play, nine holes in 1 1/2 hours: Centrally located, a great value for all. Easy to walk,-. - 3 Good ''`g°� �> Nan'', ,�, tuning up the short game. Walkable with e Id driving range, and centrally located In ,•- _,,, 2 Fair Night golf Is an option -with Ili golf course Mostly for you beginning goiter. Centrally located In Pacific Beach 4 Very Good Fun course off the beaten path, yet easily accessible.', Great patio area to settle down end relax afterward. Select one . . i Select one I 11/23/2005 PAGE 1 OF 1 Military Tournament Senior Junior Super TW 9-hole 9-hole resident American Golf Club Comp 0 98 0 0 0 73105 1810 1176 3057 0 433 0 0 0 71783 1840 1402 4544 2222 423 0 0 0 63802 1250 1774 5170 1845 1042 60 410 341 55710 3433 1722 3791 2707 702 242 216 852 52741 4068 1063 3953 TOTAL 79246 80003 74641 68354 66545 Course Staff • Craig Hill, General Manager, has been at National Ciy for the last year. Craig is a native of Los Angeles, and attended California State Polytechnic University, Pomona where he earned his Bachelor of Science in Communication. Has been with AGC for 5 years. Most recent assignments has been at The Vineyard at Escondido as Operations Manager, and General Manager of Jess Ranch Golf Course in Apple Valley, CA. When not playing golf, Craig enjoys outrigger canoe racing as a member of Hanohano Outrigger Canoe Club of Mission Bay. • Cameron Stephens joins the San Diego Region as Regional Vice President for American Golf, Mr. Stephens was the Regional Vice President for Arizona, Colorado, and Hawaii golf properties of American Golf before moving to San Diego. • Patrick Gonzalez PGA, is a class -A member in good standing with the Professional Golfers Association of America (PGA). Not only is Patrick our Head Golf Professional, he is also Golf Shop Manager. Patrick originates from Austin, Texas where he attended the University of Texas earning his degree in Computer Science. Prior to attending the University of Texas, Patrick was a naval aviator on the carrier USS Nimitz, and is also a licensed commercial pilot. Patrick joined American Golf in 1989 working at Chula Vista Golf Course, and then moved over to National City Golf Course. • Ismael "Mayo" Velasco, course superintendent, has been maintaining golf courses since 1988. Mayo started with American Golf at Chula Vista Golf Course as an equipment operator, and has risen through the ranks to become a course superintendent. Before arriving at National City, Mayo was the Assistant Superintendent at Riverwalk Golf Club, in Mission Valley. It was at Riverwalk under the watchful eye of the Superintendent, where Mayo sharpened his skills and gained an eye for details. Originally from Tijuana, Mexico, Mayo now lives in nearby Chula Vista with his wife and 4 children. When not minding the greens, you can catch Mayo playing soccer in an adult league in Tijuana, Mexico, or restoring his 1968 Chevy Impala. • Leticia "Lefty" Torres remembers when the permanent clubhouse was built. Work on the clubhouse was completed in September 1985, and by December, Lefty was working here. Lefty has worked at the National City Golf Course continuously since then as Snack Bar Supervisor. Originally from Tijuana, Mexico, Lefty first came to California to live with her sister in Van Nuys, California. She soon moved to San Diego, and eventually National City where she has lived for the last 25 years. When not at work, Lefty enjoys spending time with her family, especially her 2 grandchildren. 10 Photo Album Rail added between fence poles for added safety of golf carts on cart path between #8 green and #9 tee 13 Clubhouse snack bar interior before new furniture, big screen television, and new carpet Updated snack bar. New menu board and paint are to be completed by the end of November. 14 Old and faded sign facing Sweetwater Rd. New sign installed July 2005 Community Services Department Memo To: Lin blurbs, Assistant City Manager From: Leslie Deese , Date: December 1, 2005 Re: 2005 Executive Summary - National City Golf Course Craig Hill, General Manager of the National City Golf Course requested that the Mayor and City Council receive a copy of the attached 2005 Executive Summary. Thank you. Attachment cc: City Manager AMENDMENT TO AGREEMENT This Amendment to Agreement is made and entered this 1st day of August, 2006, by and between the City of National City, a municipal corporation, hereinafter referred to as "LANDLORD," and American Golf Corporation, hereinafter referred to as "TENANT." RECITALS This Amendment to Agreement is made with reference to the following recitals: A. On May 3, 1984, LANDLORD and TENANT entered into a "Lease and Operating Agreement for the Las Palmas Municipal Golf Course," and said Agreement was subsequently amended on various dates, with the last amendment occurring on February 12, 2002. B. LANDLORD and TENANT desire to amend Paragraph 10.2.A of said Agreement pertaining to fees. NOW, THEREFORE, the parties hereto mutually agree as follows: 1. Paragraph 10.2.A of the "Lease and Operating Agreement of Las Palmas Municipal Golf Course" is hereby amended, effective August 1, 2006, to read as follows: "10.2. All fees charged to patrons at the demised Premises will be comparable to those fees charged by comparable competing Southern California public golf courses for similar goods and services and facilities. follows: A. TENANT and LANDLORD agree that green fees and cart fees will be as GREEN FEES — Weekday 9-HOLE 9-hole Non -Resident $12.00 9-hole Resident $10.00 Seniors Non -Resident $10.00 Seniors Resident $7.00 Juniors $7.00 Twilight $9.00 Adults — Replay Seniors — Replay Juniors — Replay Twilight — Replay $8.00 $6.00 $6.00 $6.00 GREEN FEES — Weekend 9-HOLE 9-hole Non -Resident $15.00 9-hole Resident $13.00 Seniors Non -Resident $11.00 Seniors Resident $8.00 Juniors $8.00 Twilight $11.00 Adults — Replay Seniors — Replay Juniors — Replay Twilight — Replay CART FEES —Weekend and Weekday Rates Per Person Pull Cart Cart Replay — Per Person RANGE Range prices per ball: $8.00 $6.00 $6.00 $6.00 $8.00 $4.00 $4.00 $0.08 For purposes of this section, 'seniors' shall mean all persons 60 years old or older and 'juniors' shall mean all persons 16 years old or younger." 2. Except as otherwise provided herein, all of the terms and conditions of the "Lease and Operating Agreement for Las Palmas Municipal Golf Course" dated May 3, 1984, and as subsequently amended, shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have hereunto set their hands on the date first above stated. APPROVED AS TO FORM: George H. Eiser, Ill City Attorney Nick Inzunza, Mayor AMERICAN/GOL . • - -ORATION By: By: Senior V ce President/General Counsel As istant Se .Q tary