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HomeMy WebLinkAbout25F - AGMT - CABRILLO TENNIS CENTER MANAGEMENTREQUEST FOR COUNCIL ACTION CITY COUNCIL MEETING DATE: July 1, 2013 TITLE: AGREEMENT FOR THE MANAGEMENT AND OPERATION OF THE CABRILLO TENNIS CENTER lr'-? COT -NAGER RECOMMENDED ACTION CLERK OF COUNCIL USE ONLY: APPROVED ? As Recommended ? As Amended ? Ordinance on 1s` Reading ? Ordinance on 2nd Reading ? Implementing Resolution ? Set Public Hearing For_ CONTINUED TO FILE NUMBER Direct the City Attorney to prepare and authorize the City Manager and Clerk of the Council to execute an agreement with Match Point Tennis Academy, LLC in an annual amount of $48,000 for the management and operation of the Cabrillo Tennis Center for a five-year term, subject to non- substantive changes approved by the City Manager and City Attorney. DISCUSSION The Parks, Recreation and Community Services Agency entered into a one-year license agreement with Match Point Tennis Academy in November 2007 for the use of four tennis courts. At the time, the City was spending $80,000 annually to operate the Center. Because of budget shortfall, the City negotiated with Match Point in 2008 a five year agreement to allow their tennis academy to operate at Cabrillo Tennis Center and to keep all nine tennis courts at the Center open to the public. With this action, the City was able to reduce the general fund burden by $80,000 and increase revenue by $48,000 a year. Match Point is responsible for making sure that tennis courts are made available to the public and at the same time they have been given authority to operate the tennis academy at the Center. This new agreement adds a new clay court to the agreement for a total of 10 tennis courts. Under the direction of Elson De Cantuaria, a former professional tennis player who has an extensive background in tennis center management and administration, Match Point Tennis Academy has been successful in helping to revive the sport of tennis in Santa Ana. Match Point has increased the overall number of participants at the Cabrillo Tennis Center and has introduced more young people to tennis by providing free training, consulting services, and scholarships for Santa Ana youth. In addition, Match Point has successfully completed key improvements to the facility to enhance the playability of the courts. Improvement projects completed by Match Point over the years include resurfacing the tennis courts, painting the light posts and perimeter fencing surrounding the tennis courts, replacing court windscreens, and aesthetic improvements to the interior of the existing clubhouse. 25F-1 Match Point Agreement July 1, 2013 Page 2 The proposed agreement will authorize Match Point Tennis Academy to supervise and maintain the entire leased premises at the Cabrillo Tennis Center, including, the tennis courts, club house, Twist Basler House, clay court, locker rooms and showers. Match Point will also be responsible for enforcement of safety practices and regulations consistent with the City's policies and regulations at the facility. Match Point will also continue to sponsor Santa Ana youth into its player development program and provide the residents of Santa Ana with a discounted court fee and priority use of the tennis courts. Two tennis courts will also be made available to Santa Ana residents at all times, and a total of ten tennis academy scholarships will be available to Santa Ana youth. This five year agreement will provide the City with the ability to renegotiate with Match Point a modification of their Academy program if City Council determines that a new program designed to advance the sport of tennis among Santa Ana youth will be established at Cabrillo Tennis Center. This opportunity is limited to non-profit programs that will serve low-income youth and is not intended to allow for a new professional tennis school to be considered within the five year term of this agreement. The City will provide a six month notice if the City decides to make this agreement modification. In addition, Match Point will pay the City a monthly base rental of $4,000 (or $48,000 annually). This agreement will help achieve salary savings and other operational cost savings. FISCAL IMPACT Funds generated from the agreement will be deposited into the General Fund-Tennis Reservation account (no. 01113002 53318). Approved as to Funds and Account: Gerardo Mouet, / Executive Director Parks, Rec. and Com. Svcs. Agency Francisco Gutierrez, Executive Director Finance and Management Services Agency 25F-2