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Home My WebLink About1991-09-23 91-358 ORDERDate September�23,u 1991 Item no. 91-358 Item/Subject: Contract for Lease of Midway: Bangor State Fair Responsible Department: Purchasing Commentary: On August 26, 1991 the Finance Committee approved a three year .option renewal for the midway contract with Uptown Festivals, USA. After discussions between staff and Uptown Festivals, the attached contract was approved by the Finance Committee n September 16th. Thecontract contained three changes that are outlined in the attached memorandum to the City Manager. In addition to the three changes there is a staff recommendation to perform a marketing study to help with the pricing policies for the Bangor State Fair. The marketing study is not included in the midway contract and is not part of this Council Order. A more detailed and rehensive recommendation will be brought bef a the Fi once Committee when the total scope of the mark: sde 'ned. Depart�v gr. iea Manager's Comments: v w...o t1v F".v hod' (.,.w.a, F�dn.'a City Mager it Associated Information: Memorandum to Mr. Barrett, Proposed Contract Budget Approval: Finance Director Legal Approval: City Solicitor Introduced For: Passage / % First Reading / / Referral Page 1 of 1 91-358 Aseiped to Councilor Cohen, September 23, 1991 CITY OF BANGOR (TITLE.) ot/r1:0C nacn dzi.& the,C py. Purchasing._4se c comminute a three yea.r.. contract f the-operatstate Fair. & By W cum (Sagami of OGy of Bottom: ORDERM TMST the Purchasing Agent is barely authorised on behalf of the City of Bangor, to execute a contract with Uprose Festivals, USA for the operation of the midway during the Bangor State Fair for the 1992, 1993. and 1996 seasons. in City Council 3egtamhar 231991 Amended by deleting Paragraph #11 Passed as emended 'ty�i Ci�� 91-358 ORDER Title, Authorizing the Dity Purchasing Agent to E Aute a Three Year Contract for ...................................... the operation of the nd� during the liaz�gor State Fair ................................ A �u.�✓asU . � nn(uiyp^ned�to ....... Jam .. ..... .:.......unci..... Councflmen 91-358 September 12,_1991 MEMORANDUM TO: Edward A. Barrett, City Manager FROM: David N. Pellegrino, Purchasing Agent RE: Midway Contract On August 30, 1991, Michael Dyer, Dale Theriault and I met with Pat Mulcahey Of Uptown Festivals to discuss the terms and conditions of our midway, contract for the next three years. This meeting was held after the Finance Cottee agreed with our recommendation in August to exercise the three year option provision in the current midway contract. At our meeting we all agreed that the Uptown Festivals organization bad done an excellent job with the Bangor State Fair over the past four years and that there was little to discuss in the way of concerns. We did agree that the following changes should be included in the contract. 1. A concern was brought up by Uptown Festivals about other fairs and carnivals operating in Bangor shortly before the Bangor State Fair (there were two "carnivals` at the waterfront within 60 days of our fair; the closest on July 4th). We agreed that this does not help fair attendance and that the following language should be included in the contract. "No license for the operation of a fair, carnival or festival (more than 6 rides) during the 60 day period prior to the Bangor State Fair shall be issued by the City of Bangor." 2. We also agreed that the -split- in gate receipts should be handled as follows: The first $350,000 to the city The next 150,000 to Uptown Festivals The next 70,000 to the City The next 30.000 to Uptown Festivals $600,000 All proceeds over $600,000 will be shared 708 to the City and 308 to Uptown Festivals. This arrangement reflectsmost of the original terms when 'one price" admission was five dollars instead of the current six dollars. 3. The last contract change simply specifies that all admission pricing will be by mutual agreement so that no change will take place without the consent of both parties. It was during the discussion of this last item that it became apparent that we should seek assistance from a marketing consultant to help with our pricing policies. We all thought there should be surveys taken before, during and after the fair to determine ^limits" and recommend various revenue optimization scenarios. We are, therefore, recommending that we do next year's fair. in accordance with the attached contract and then pattern the second and third years around the recommendations of a marketing consultant. HARBOR STATE FAIR MIDWAY OPERATION 1991 THROUGH 1994 AGREEMENT Agreement made this th of September, 1991 by and between the City of Bangor, hereafter referred to as "CITY and Uptown Festivals USA, Inc., hereafter referred to as "SHOW". The parties hereby agree to uphold the following terms and conditions for the operation of the midway during the 1992, 1993 S 1994 Bangor State Pairs: 1. All terms, conditions or agreements included in the uptown proposal, shall be incorporated into this agreement and become a part thereof. This agreement may be subject to negotiated changes which are mutually agreeable to both parties. 2. The number and quality of the rides and shows during the life of this agreement shall consist of a minimum of (30) major rides which will include a minimum of (6) spectacular rides. All rides will be in excellent condition andclean at all times. The Shows and Concessions shall also be clean and of good quality with a sufficient number to fill the midway with ana ssortment that i in keeping with the past tradition of theBangor State Pair. All SHOW employees .shall be clothed in clean attire when on duty and shall wear photo identification badges. All SHOW employees or personnel retained by the SHOW shall be courteous to the public at all times and any complaints concerning the behavior of any SHOW personnel shall be resolved immediately by the SHOW management. 3. The SHOW must have all rides erected and operable on the opening date of the fair and all concessions set up and ready to go. no rides o concessionsshall be dismantled before eleven o'clock PM on the closing date of the fair without permission of the CITY. 4. The area around the rides and concessions will be cleaned by the SHOW at the close of each day and the CITY shall provide and maintain barrels and a dumpster in which to put refuse. 5. All admission pricing and special promotions, (such as senior citizens' day) will be done by the mutual consent of .the CITY and SHOW. 6. The SHOW shall provide posters for promotion of the fair which will be distributed by the CITY. 1 of 3 J. The midway area controlled by the CITY and the SHOW midway area will be determined by the CITY with the concurrence of the SHOW. B. All surplus trucks, trailers, and vehicles shall be parked off the midway in an area designated by the CITY. 9. The CITY shall have control of all Harness Facing activities. 10. The term of this Agreement is for the 1992, 1993, 6 1999 Bangor State Fair dates. This Agreement, however, may be terminated annually by either party- if written notice is given by November 15th. 11. No license for the operation of a fair, carnival or festival (more than 6 rides) during the 60 day period prior to the Bangor State Fair shall be issued by the City of Bangor. 12. Payments for the midway rentals shall be paid as follows: (a) All tickets to be $6,00. (b) All tickets shall be provided by the SHOW and sold by the CITY. (a) The price of admission will include all mechanical rides, all grandstand shows and all satellite stage shows and lair supplied entertainment. Non-mechanical back -end -shows- provided by the SHOW will charge an admission fee. OEmoney received from paid admissions the CITY will keep the first $350,000.00. The next $150,000.00 received as paid admissions will go to the SHOW. The next $70,000.00 receivedas paid admissions will go to the CITY. The next $30,000.00 received as paid admissions will go to the SHOW. Admissions money above $600,000.00 will be split seventy percent 170%) to the CITY and thirty percent (30%) to the SHOW. The SHOW will keep all rent from its Midway area. The SHOW will provide electricity for the operation of its rides, food and games. In addition, the SHOW will assist the CITY with the promotion and gate mechanics of the Pay -One -Price Fair concept. 13. The SHOW will provide insurance in the amount of one million dollars for public liability for its operations. A certificate for such coverage will be provided to the CITY at least one month prior to opening day of the fair. The City of Bangor shall be specifically noted on the policy as a co-insured. 2 of 3 14. This contract shall be administered for the CITY by the Director of Parks and Recreation or his designee. This contract shall be adminiatered for the SHOW by Patrick R. Mulcahy, President, Uptown Festivals, Inc. or his designee. Written notice will be given immediately to the other part if anyone is designated to act in the stead of the two individuals noted above. IN WITNESS WREREOF, the parties hereto have caused this instrument to be signed on the day and year first above written. Uptown Festivals USA, Inc. City of Bangor BY: BY: Patrick B. Mulcahy David N. Pellegrino President Purchasing Agent 3 of 3