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HomeMy WebLinkAbout2009-05-11 09-161 ORDERCOUNCIL ACTION Item No. A 161 Date: May 11, 2009 Item/Subject: Order, Authorizing Execution of an Amendment to the Bangor State Fair Midway Operation Agreement with Fiesta Shows Responsible Department: Legal Commentary: The City of Bangor and Fiesta Shows are parties to an Agreement wherein Fiesta Shows operates the midway for the Bangor State Fair. The Agreement provides for a division of income from ride tickets. This Order will authorize the execution of an amendment to the Agreement which will eliminate ride tickets and replace it with a pay -one -price admission for the 2009 Bangor State Fair. City personnel who have been involved with the Fair have been in discussion with Fiesta Shows regarding how the Fair might most appropriately respond to a declining admission trend in recent years and current economic conditions which have had an impact on discretionary spending. After reviewing a number of alternatives, they agreed that offering a pay one price admission to the Fair and midway would be an appropriate step to respond to these trends and realities. Based on conservative assumptions, this change is projected to have a positive impact on net fair revenues while providing fairgoers an opportunity to enjoy the fair and midway at a lower overall cost. This was reviewed by the Finance Committee which recommended approval. Department Head Manager's Comments: n ZF&��Xy - City Manager Associated Information: Budget Approval: Fina Director Legal Approval: Wy Solicitor Introduced for X Passage First Reading Referral Assigned to Councilor BRONsoN MAY 1 1 2009 ���� AN�o't,r• CITY OF BANGOR �Rq�� FE '_ .rte► (TITLE.) ORDER, Authorizing Execution of Amendment to Bangor State Fair Midway Operation Agreement with Fiesta Shows WHEREAS, the City of Bangor and Fiesta Shows are parties to an Agreement wherein Fiesta Shows operates the midway activities for the Bangor State Fair: and WHEREAS, the parties wish to amend that portion of the Agreement that pertains to ride receipts to provide for a pay -one -price admission for the 2009 Bangor State Fair; NOW, THEREFORE, BE IT ORDERED BY THE CITY COUNCIL OF THE CITY OF BANGOR the City Manager is hereby authorized, on behalf of the City of Bangor, to execute a First Amendment to Agreement with Fiesta Shows. The Amendment shall be in substantially the form as attached hereto and in a final form as approved by the City Solicitor or Assistant City Solicitor. IN CITY COUNCIL May 11, 2009 Notion Made and Seconded for ssage CITY CLERK ORDER (TSE,) AUTHORIZING EXECUTION OF AN AMENDMENT TO THE BANGOR STATE FAIR MIDWAY OPERATION AGREEMENT WITH FIESTA SHOWS Assigned to Councilor. u� FIRST AMENDMENT OF BANGOR STATE FAIR MIDWAY OPERATION AGREEMENT BETWEEN THE CITY OF BANGOR AND FIESTA SHOWS THIS AMENDMENT OF AGREEMENT dated as of the day of May, 2009 by and between THE CITY OF BANGOR, a municipal corporation organized and existing under the laws of the State of Maine and located in Penobscot County, State of Maine (hereinafter referred to as CITY'S and Fiesta Shows a Corporation with its principal place of business at 15 Pine Street, Seabrook, New Hampshire (hereinafter referred to as ""CONCESSIONAIRE'S. WITNESSSETH WHEREAS, the City and Concessionaire entered into a Bangor State Fair Midway Operation Agreement dated April 23, 2007; and WHEREAS, the City and Concessionaire wish to amend the Agreement to provide for a pay -one -price admission policy for the 2009 Bangor State Fair, including the midway. NOW, THEREFORE, for and in consideration of the above recitals, the mutual and reciprocal covenants, terms and conditions contained herein, it is mutually covenanted and agreed as follows: By deleting Article 6: Share of Ride Receipts and replacing it with the following: Article 6: Share of Ride Receipts: The City will sell all admission tickets, pre -sale promotions, etc. and retain all receipts for settlement. Concessionaire shall provide unlimited ride wristbands at its sole expense . The division of receipts paid to the city is as follows: Pay -one -price Receipts $10.00 - $650,000.00 $650,010.00 -$ 700,000.00 Percentage to the City of Bangor 62% 55% $700,010.00 plus 50% X61 �9 16 Except Except as herein expressly modified, all of the provisions of the Agreement are hereby ratified and confirmed. This Amendment of Agreement shall be only for the 2009 Bangor State Fair and shall be binding upon and inure to the benefit of the successors and assigns of the respective parties. IN WITNESS WHEREOF, this Amendment of Agreement has been duly executed by the parties hereto as of the date and year first above written. WITNESS: CITY OF BANGOR (CITY) BY: Edward A. Barrett City Manager WITNESS: FIESTA SHOWS (CONCESSIONAIRE) BY: Eugene J. Dean Owner