HomeMy WebLinkAbout2012-10-22 12-344 ORDERCOUNCIL ACTION
Item No. 12- 344
Date: October 22, 2012
Item/Subject: Order, Authorizing Execution of a Management Agreement with Global
Spectrum, L.P. — Cross Insurance Center
Responsible Department: Executive
Commentary:
If approved, this order will authorize the City Manager to execute a five year agreement
with Global Spectrum L.P. for oversight and management of the Cross Insurance
Center. In 2011, the City issued an RFQ for oversight and management of the new
arena and convention center. The City received several responses and after a thorough
vetting, recommended that the contract be awarded to Global Spectrum L.P. In the fall
of 2011, the City entered into a one year agreement with Global Spectrum L.P. for pre
opening and management services with the understanding that it would be replaced by
a longer term agreement.
As proposed, the management agreement includes, a provision for a term of five years;
a management fee of $10,000 per month for the first year, with annual increases based
on the CRI; an incentive fee based upon performance that does not exceed the
management fee and a reduction in the management fee if certain standards are not
met. Said Management Agreement shall be in final form as approved by the City
Solicitor or Assistant City Solicitor. This item has been discussed with the Council at
several workshops.
Manager's Comments:
Associated Information:
Budget Approval:
Legal Approval:
Introduced for
X Passage
First Reading
Department Head
A"H 0);
City Manager
Page _of_
Finance Director
City Solicitor
Assigned to Councilor Hawes
CITY OF BANGOR
12-344
OCTOBER 22, 2012
(TITLE.) ORDER, Authorizing Execution of a Management Agreement with Global
Spectrum, L.P. — Cross Insurance Center
BE IT ORDERED BY THE CITY COUNCIL OF THE CITY OF BANGOR
THAT Catherine M. Conlow, City Manager, on behalf of the City of Bangor, is hereby
authorized to execute a Management Agreement with Global Spectrum, L. P. for the
management of Cross Insurance Center. Said Management Agreement shall include,
among other terms and conditions, a provision for a term of five years; a management
fee of $10,000 per month for the first year, with annual increases based on the CPI; an
incentive fee based upon performance that does not exceed the management fee and a
reduction in the management fee if certain standards are not met. Said Management
Agreement shall be in final form as approved by the City Solicitor or Assistant City
Solicitor.
IN CITY COUNCIL
October 22, 2012
Motion made and seconded for Pasage
a d
CITY GURK