July 12 Yoakum Rodeo Arena Usage Draft Agreement

This agreement is made and executed ______________________ and effective as of _______, 2022, by and between the City of Yoakum (City) and the Yoakum Rodeo Facility Operations Group.  

Whereas, it is appropriate the following agreement be entered into for the benefit and convenience of the  general public in the use and enjoyment of the Yoakum Rodeo Facility (Facility). 

GOVERNANCE OF YOAKUM RODEO FACILITY OPERATIONS GROUP  

The Yoakum Rodeo Facility Operations Group shall consist of a Board of Directors as approved by the  Yoakum City Council of at least seven members. At inception that Board shall include at least one  member of the Yoakum City Council, and the City Manager or his designee. Council and Manager may  be replaced by two members representing the annual membership group. Within the context of this  agreement, the appointed Board of Directors is referred to as the Operator. 

GENERAL AGREEMENT 

Under this agreement, the Rodeo Facility and current improvements located there shall be used  exclusively by the Operator for the benefit of the rodeo community of Lavaca and DeWitt Counties. The  Operator is given authority to regulate the use, maintenance and improvements of the Facility within the  Hours of Operations listed below.  

TERM 

Initial term of the agreement will be for one year, beginning on August 1, 2022, and ending July 31, 2023.  This Agreement is renewable by Yoakum City Council for up to three (3) additional one-year periods.  Yoakum City Council will give notice of its intent to exercise its right to renew or decline to renew at least  ninety (90) days prior to end of each year that the Agreement remains in effect. 

HOURS OF OPERATION 

The Faculty is part of the City’s Park System and as such, shall be closed between the hours of 11:00 PM and 6:00 AM. Hours may be extended to accommodate events sanctioned by the operator. However,  activity shall not extend past 1:00 a.m., unless specifically approved by the City Council in advance of the  event. 

At initiation of this agreement, the Facility shall remain accessible to the general public, to be used only  for its intended purposes, between the hours of 8:00 and 4:00pm Monday through Friday. At discretion of  the Operator, a gate fee may be charged.

Outside of those two timeframes, in order to generate funding for the maintenance of and improvements to the Facility, this agreement allows the Operator to charge for use of the facility. 

MEMBERSHIP AND USE FEES 

As recommended by the Operator, and approved by the Yoakum City Council, the following facility  charges may apply: 

∙ One time individual entry fees for single day use. 

∙ Annual membership fees that will allow unlimited access to the facility whenever not otherwise  scheduled. 

∙ Facility rental fees and deposits to be applied to: 

o For any private party group use, when access from the general public as either an  attendee or a participant is not anticipated 

o For any public event, when access from the general public as either an attendee or a  participant is anticipated.  

∙ A fee charged for use of any city electric service for any event requiring the use of the arena  lights will be paid directly to the City. 

Private party group use and public events hosted by any member of the Board or any ‘user member’ shall  pay the standard rental fee. 

Future use of the facility would be guaranteed for the Yoakum Stock Show, any event scheduled in  association with the Yoakum ISD and to any event scheduled in conjunction with the Tom Tom Festival. 

PAYMENT DUE CITY 

The City of Yoakum shall receive 25% of all proceeds derived from Membership and Use Fees (less  deposits returned). These funds shall held for future expenses related to the facility. 

In addition, the City shall receive any portion of the remaining 75% of all proceeds derived from  Membership and Use Fees (less deposits returned) net of any documented Operator costs directly associated with the insurance required under this agreement and the value of any documented material  and/or contracted services expended to improve the Facility.  

A monthly statement of operations for the facility, as well as any payment due shall by submitted by the  Operator, on or before the 15th of the month of the month following operations. 

Income derived from the sale of concessions should be used to cover costs of providing that service  and/or retained by the Operator to cover direct and indirect costs of providing concessions.  

CONCESSIONS 

The Operator is given sole authority and responsibility for the sale of food and beverages, including  alcohol. The Operator is not entitled to any concession revenue from any of the exempted events listed  above in this Agreement. Operator should be responsible to secure all licenses and permits necessary 

under local, state and federal laws that govern those sales. The operator can allow a third party to  provide these services, however it cannot waive its responsibility under this agreement.  

Income derived from the sale of concessions shall be retained by the Operator to cover direct and indirect costs of providing concessions. Income net of those expenses shall be retained by the Operator to be  used to further enhance the future use of the Facility as determined by the Board. 

SALE OF ALCOHOL 

Outside of personal consumption, this agreement prohibits the sales, storage, giving away or otherwise  providing alcohol on the facility premises by the Operator or any other person utilizing the facility. 

This provision may be waived by the City Council, for specific events upon a written request to City  Council and after action taken by city council at a regularly scheduled City Council meeting or at a  specially called City Council meeting to approve such waiver.  

Should alcohol sales be permitted, such sales shall be limited to beer only.  

Operator is to comply with all federal, state, county and departmental laws, rules, regulations and permits requirements governing the handling or the sale of alcohol. 

Prior to the storage, sales, use or giving away of alcoholic beverages on or from the Facility by the  Operator or any other person utilizing the facility, Operator shall obtain a policy or policies of insurance  issued by responsible insurance companies and in a form acceptable to the Comptroller of the State of  Texas saving harmless and protecting the City of Yoakum, its employees and the City Council against  any and all damages, judgments, claims, liens, costs, and expenses arising under the Texas Alcoholic  Beverage Code or under any present or future law, statute or ordinance of Texas or other governmental  authority having jurisdiction of the premises, by reason of any such storage, sale, or use or giving away of  alcoholic beverages on or from the premises. The policy or policies of insurance liability limits shall be at  least the following amounts: $1,000,000.00 Bodily Injury and $1,000,000.00 Property Damage. A  Certificate of Insurance shall at all time be on file with the City. 

If a City Council waiver is granted during the term of this Agreement, a A licensed peace officer shall be  on site, at the expense of the Operations Group, to provide security at any time beer is sold or otherwise  provided for consumption in the Facility.  

Income derived from the sale of beer shall be retained by the Operator to cover direct and indirect costs  of providing this concession. Income net of those expenses shall be retained by the Operator to be used  to enhance the future use of the Facility as determined by the Board. 

BREACH 

Failure to follow any part of this agreement shall be considered a breach of the agreement, and will lead  to immediate suspension of the agreement until review by the Yoakum City Council review. In its review  of the breachable offense, City Council can, at its option terminate, temporarily suspend, amend and/or  revise this agreement.

MAINTENANCE, REPAIRS AND REPLACEMENTS OF EXISITING FACILITIES 

The City shall be responsible for the repairs and maintenance of all structural and mechanical  components permanently attached to the structure, including but not limited to roofs, walls, foundations and plumbing and electric systems in place at the signing of this initial agreement. 

The City will mow and weed eat the facility grounds and maintain the bathroom facility as needed. 

The City shall be responsible for the maintenance of all publically accessible roads, parking and walks  adjacent to and serving the Facility.  

The City acknowledges the need to address electrical/lighting issues and roof drainage issues that  currently exist in the facility. The Operator shall be responsible for all other maintenance of the Facility as  needed. 

IMPROVEMENTS 

As funding allows, the Operator and the City shall make improvements to the Facility.  

The Operator will not enter into any construction or addition to the Facility without written permission from  the City. All improvements made by the City and funded through the City’s General Funds shall be owned  and maintained by the City. 

All improvements funded by the Operator, and permanently attached to the Facility shall become the  property of the City, to be maintained by the Operator for the term of this agreement. 

All other improvements, equipment or accessories funded by the Operator shall be disposed of by the  Operator at the end of this agreement. 

AREA OF CONTROL 

At the adoption of the agreement, area to be controlled by the Operator shall be as described on  Attachment A including all building, improvements and facilities currently owned by the City of Yoakum.  Upon adoption of agreement the Operator can fence the agreed area so as control access to the Facility. 

The City reserves its right to enter the Facility at any time, with or without notice, in order to ensure  compliance with this agreement, to access any area adjacent to the Facility, or to address any maintenance need for the preservation and operation of the facility.  

UTILITIES  

Except for the use of the arena lights, the City shall be responsible for the maintenance and the cost of water, sewer, sanitation and electric services.  

A fee charged for use of any city electric service for any event requiring the use of the arena lights.

COMPLIANCE WITH LAWS/ENFORCEMENT 

The City Manager, the Chief of Police or their designee reserves the right to cancel any event, terminate any activity or otherwise close the facility as needed if  

∙ An event or activities associated with an event are illegal, 

∙ An event or activities associated with an event are found to be detrimental to the facilities, the  operator or the public. 

∙ An event or activities associated with the event are not permitted by the City’s zoning ordinance,  or  

∙ An event or activities associated with the event are based on false information. 

LIENS AND ENCUMBRANCES 

The Operator will promptly pay all bills owing from their operations. The Operator shall not incur any debt  or create any liens that cannot be funded out budgeted current year funds without the approval of the City  Manager or his designee. 

INSURANCE 

The City shall maintaining insurance coverage on any of the real or personal property under its direct  control for the term of this agreement. 

The City shall maintain signage that notifies all users of the facility that neither in City nor the Operator  are liable for injury during use, in accordance with Texas Law (Chapter 87, Civil Practice and Remedies  Code). 

The Operator shall maintain a comprehensive liability insurance, acceptable to the City, under which the  City shall be named as an additional insured during the full term of this agreement and at no cost to the  City. Liability limits shall be for at least the following amounts $1,000,000 Bodily Injury and $1,000,000  Property Damage. 

The Operator, or any other group or person utilizing the facility for either a private party or public event,  shall demand specific spectator insurance for any event open to the general public whether an admission fee is collected or not.  

BOOKS AND RECORDS 

The Operator shall keep separate and accurate records for the Facility and maintain an accounting  system having controls governing inventories and receipts, and detailed records of all income and  expenses of all business conducted from the premises, and shall provide City a monthly written report of  income for all business conducted from the premises.  

INDEMNIFICATION

The Operator pledges and agrees that it will fully indemnify and hold harmless the City of Yoakum, its  officers, employees and agents, City Council individually and collectively, Mayor, and City Manager, from  any suits, damages, expenses or claims (including court costs and reasonable attorney’s fees) which City  may incur or become liable for as a result of the injury or death of any person, or the loss or damage of  any property in connection with the operation of the Facility. 

NON-DISCRIMINATION 

The Operator agrees to comply fully with the federal Americans with Disabilities Act and Equal  Employment Opportunities Act and with all applicable state laws, and the Operator agrees that no person  shall be denied or refused service or other full or equal use of the licensed facilities, nor denied  employment opportunities as a result of race, creed, color, religion, sex, national origin or ancestry, age,  physical or mental handicap. 

AGREED TO THIS _____ DAY OF JULY, 2022. 

YOAKUM RODEO FACILITY OPERATIOSN GROUP 

BY: ______________________________ 

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__________________________________  

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CITY OF YOAKUM, TEXAS 

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CARL L. O’NEILL, MAYOR 

ATTEST: 

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CITY SECRETARY