HomeMy WebLinkAbout1988-12-13 Support Documentation Town Council Work Session
NAIL TOWN COUNCIL
WORK SESSION
TUESDAY, DECEMBER 13, 1988
2:00 p.m.
AGENDA
1. Discussion of Rick's Streetside Diner Lease Agreement
2. Update on Town of Uail/Nail Metropolitan Recreation District
Agreement
3. Discussion of Pursuing Convention Business in Town Facilities
4. Planning and Environmental Commission Report
5. Information Update
6. Other
7. Executive Session - Legal Matters
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UAIL TOWN COUNCIL
WORK SESSION
TUESDAY, DECEMBER 13, 1988
2:00 p.m.
EXPANDED AGENDA
2:00 1. Discussion of Rick's Streetside Diner Lease Agreement
Larry Eskwith
Mike Rose Action Requested of Council: Approve/deny/modify the new
lease effective January 1, 1989 to December 31, 1989 for 15%
of gross with a $7,200 minimum. The minimum is down from
the current lease of 10% of gross or $12,000.
Background Rationale: The new lease rate is a more accurate
representation of the gross revenue that can be generated
from the space.
2:20 2. Update on Town of Uail/UMRD Agreement
Eric Affeldt
Tom Steinberg Background Rationale: The Joint Committee will be meeting
Larry Eskwith Friday, 12/9, and the Council committee members will give an
update on agreement negotiations.
2:50 3. Discussion of Pursuing Convention Business in Town
Mike Cacioppo Facilities
Action Requested of Council: Receive and discuss Mike's
ideas regarding convention business in Town facilities.
3:10 4. Planning and Environmental Commission Report
Peter Patten
3:20 5. Information Update
Ron Phillips
3:25 6. Other
3:40 7. Executive Session - Legal Matters
Action Requested of Council: Mike Cacioppo would like to
discuss the Roger Addis prosecution through Municipal Court.
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RICK'S STREETSIDE DINER
LEASE AGREEMENT
THIS AGREEMENT, made and entered into as of the day of ,
1988 by and between the TOWN OF VAIL, COLORADO, a Colorado municipal corporation,
hereinafter referred to as the "Town",.and VAIL MYRIAD INC. d/b/a RICK'S STREETSIDE
DINER, hereinafter referred to as "Lessee".
WITNESSETH:
WHEREAS, the Town now owns, operates and maintains a transportation center at
Lionshead, Vail, Colorado, which is known as the Lionshead Parking Structure,
hereinafter referred to as the "LPS", and more particularly described as Exhibit A
attached hereto; and
WHEREAS, Lessee is engaged in the principal business of operating a frozen
yogurt and restaurant retail business and wishes to lease certain space in the LPS.
NOW, THEREFORE, in consideration of the covenants and agreements herein
contained and the payment of moneys as hereinafter set forth, the parties hereto
agree as follows:
1. LEASED PREMISES
The Town hereby leases to the Lessee and the Lessee hereby leases from the
Town the premises in the LPS more particularly described as the cross hatched area
on Exhibit B attached hereto and made a part hereof by reference. Lessee agrees to
accept the leased premises in their existing condition and agrees not to make any
installation in or on the premises unless it can be removed without damage to the
premises.
Lessee shall have the right to place vending machines on the first floor of
the LPS Auxiliary Building depicted on Exhibit 6. Lessee shall not install any
vending machine except with the prior written approval of the Town which consent as
to the type of machine shall not be unreasonably withheld. The Town shall have the
absolute right to designate the location of any vending machine the Lessee wishes to
install.
2. USE OF PREMISES
Lessee shall use the premises only as a retail outlet for the sale of food,
frozen yogurt and related items for a facility for the cooking and sale of food to
patrons of the Teen Center Cafe and Rick's Streetside Diner.
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3. ALTERATIONS
Lessee shall make no alterations, additions or improvements in or to the
premises without the Town's prior written consent. All such work shall be performed
in a good and workmanlike manner.
Lessee shall pay or cause to be paid all costs for work done by or caused
to be done by it in or to the premises and Lessee shall keep the premises free and
clear of all mechanic°s liens and other liens on acco~~nt of work done for Lessee or
persons claiming under. Should any liens be filed or recorded against the premises
or any action affecting the title thereto to be commenced, Lessee shall give the
Town written notice thereof. Lessee shall thereafter cause such liens, or claims
against the Town in lieu of liens, to be removed of record within five (5) days
after the filing thereof. If Lessee shall desire to contest any claim or lien it
shall furnish the Town with security satisfactory to the Town of at least one
hundred fifty (150) percent of the amount of the claim, plus estimated costs and
interest. If a final judgment establishing the validity or existence of any lien or
claim for any amount as entered, Lessee shall pay and satisfy the same at once.
Prior to the commencement of any work in or to the premises by Lessee,
Lessee shall notify the Town of the proposed work and the names and addresses of the
persons supplying labor and materials for the proposed work. During and prior to
any such work on the premises, the Town and its agents shall have the right to go
upon and inspect the premises at all reasonable times.
4. TERM OF AGREEMENT
The term of this Agreement shall be a period of twelve (12) months, from
January 1, 1989 through December 31, 1989, unless sooner cancelled as hereinafter
provided.
5. LEASE RENT
Lessee agrees to pay to the Town rent for the premises as follows:
A. Lessee shall pay the Town as minimum rent for the premises the fixed,
annual minimum rent of seven thousand two hundred dollars ($7,200) payable in
monthly installments in the amount of six hundred dollars ($600) per month in
advance, on the first day of the term of this lease and on the first day of each
succeeding calendar month during the term of this lease. The minimum rent due
hereunder shall be apportioned for any fraction of a calendar month at the beginning
and end of the term of this lease and any renewals or extensions thereof.
B. In addition to guaranteed minimum rent, Lessee shall pay the Town as
additional rent for each lease year during the term of this lease, of fifteen (15)
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percent of Lessee's gross sales over one. hundred thousand dollars ($100,000) (as
that term is defined below) payable within twenty (20) days after the end of the
lease year ("percentage rent").
C. As used in this lease, the term "gross sales" shall mean the entire
amount of the price charged, for the wholly or partly for cash or on credit or in
exchange for goods or services, for all food and beverage sold, and all charges made
for services performed or for the extension of credit in, at or from any part of the
premises or through the substantial use of the premises by Lessee or anyone acting
on Lessee's behalf or under a sublease, license or concession from the Lessee,
including, without limiting the generality of the foregoing, the amount allowed for
any "rain check" or "complimentary" services or products given, all deposits not
refunded to purchasers, and all orders taken in or from the premises for which
Lessee would in the normal course of its operations credit or attribute to its
business in the premises, .even though such order may be filled elsewhere, without
deduction in any case for uncollected or uncollectable credit accounts; they shall
also be included in "gross sales" the gross receipts from all mechanical or other
vending devices placed in the premises by Lessee or under authority .from Lessee,
other than such devices which are installed in portions of the premises not open to
the public for the convenience of Lessee's employees. Gross receipts from the sales
made and orders taken in the premises shall be included in "gross sales" even though
the account may be transferred elsewhere for collection and though the delivery of
food and beverage sold or the performance of services ordered may be made elsewhere
than at the premises. Every transaction on a deferred payment basis shall be
treated as a sale for the full price at the time such transaction is entered into,
irrespective of the time for payment. Gross sales shall not include the amount of
any cash or credit refund in fact made upon sales from the premises where the food
and beverage sold or some part thereof is not paid for by the purchaser because of
dissatisfaction or made solely for the convenient operation of Lessee's business and
not having the affect of consummating a sale made or which would have been made at
the premises, no returns to shippers or manufacturers, nor sales of fixtures or
equipment after their substantial use in the conduct of Lessee's business in the
premises, nor interest on charge accounts or revolving credit accounts, nor the
amount of any sales, use or excise taxes directly on sales from the premises, where
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such taxes are both added to the selling price (or absorbed therein) and paid to the
taxing authorities by Lessee. No other taxes shall be excluded from gross sales.
D. If Lessee's gross sales are required to be reported on any federal,
state or municipal sales tax return or any other similar form of return, and gross
sales as so reported on any such returns shall exceed the gross sales as reported by
Lessee, as herein provided, then the gross sales shall be taken at the highest
figure so reported. If any government authority shall increase the gross sales
reported by Lessee on any such tax return, after audit, for any lease year for which
such sales have been reported, then Lessee shall properly notify the Town of such
increase and shall. promptly pay any additional percentage rent due.
6. .MAINTENANCE OF RECORDS
A. Lessee shall keep a current and accurate account of all monies
received through the operation of the premises and shall on or before the tenth day
following the close of each quarter during the term of this lease, render and
deliver to the Town an itemized statement showing all monies so received during the
quarter immediately preceding.
B. Annual Accounting. Lessee shall submit to the Town no later than
January 30 of each year during the term of this Agreement a profit and loss
statement prepared by a Certified Public Accountant. Such statement shall contain
an appropriate certification that all gross receipts during the yearly accounting
period have been properly reported to the Town.
C. Lessee shall maintain with respect to the business transacted in or
from the lease property on the premises or some other location agreed to by the Town
a permanent, accurate set of books and records of all gross sales during each day of
the lease term of this lease agreement and all supporting records, including any
excise tax reports, state sales tax, business and occupation tax and gross income
tax report; and such records shall be kept obtained and preserved for at least three
(3) years. Such books and records shall be maintained in accordance with good
accounting practices and shall contain sufficient information to permit the accurate
calculation of gross sales as defined herein. The Town or its agent or designee
shall have the right to examine during regular business hours with twenty-four (24)
hours notice to the Lessee all books and records of the Lessee in any way pertaining
to the business transacted in or from the premises. If upon any examination or
audit by the Town, its agent or designee the gross revenue shown by the Lessee's
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statement for such year shall be found to be understated by more than five (5)
percent, the Lessee shall pay to the Town the cost of such audit.
7. NOT A PARTNERSHIP
Nothing contained in this lease shall be construed as creating a
partnership or joint venture between the Town and the lessee or between the Town and
any other party or cause the Town to be responsible in any way for the debts or
obligations of the Lessee.
8. PARKING
Town agrees, during the term of this Agreement to provide Lessee or its
manager, one (1) parking space within reasonable proximity to the leased premises at
no charge.
9. CARE OF AREA AND SIGNS
Lessee agrees to keep all premises occupied by it in the LPS in a neat,
clean, safe, and orderly condition at all times and will so use the premises and the
LPS as not to injure it except as such injury may arise out of ordinary wear and
tear resulting from lawful use in accordance with the terms of this Agreement.
Lessee further agrees that no signs or advertising material shall be
painted on, erected, or placed in any manner upon the LPS without the prior written
approval of the Parking Superintendent.
10. OPERATION OF THE PREMISES
Lessee agrees to operate its business hereunder in the following manner:
A. Lessee shall operate the premises in a first-class manner; food and
other articles sold shall be pure and of good quality; the service shall be prompt,
clean, courteous, and efficient.
B. Prices. The price for food and beverage sold to the general public
shall compare with other comparable restaurants within the Town of Uail. The Lessee
understands however that a portion of his operation is for the primary purpose of
servicing the patrons of the Teen Center Cafe where the Lessee's kitchen is
located. It is the intention of the Teen Center to issue a youth card to youths who
meet the qualifications established by the Teen Center and the Town of Vail
Recreation staff. The restaurant agrees to charge holders of the youth card the
following prices for the following items:
Hamburger ~~" ~ •~ ~~
p
French fries .50/.75 ,}$ /-~ ~~
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C. Menu. The Lessee shall submit the menu and any changes thereof to the
Town for the approval of the Town's staff, which approval shall not be unreasonably
withheld. Lessee agrees that the menu shall at all times include hamburgers, soda
pop, and french fries.
D. Whenever practicable, the Lessee will use reasonable efforts to hire
as employees local youth in such positions as busing, waiting tables, counter help,
etc.
E. Lessee agrees to keep the premises open and operating for business a
minimum of forty (40) hours a week and forty-four (44) weeks per year. In addition,
Lessee agrees to use all reasonable effort to adjust his operating hours to meet the
demand from the youth of the Town of Vail and to be open for business during all
public school holidays.
F. Lessee shall at all times retain in the town an experienced manager
who will spend appropriate hours on the premises and who is authorized to act for
the Lessee on issues pertaining to the operation of his business pursuant to this
Agreement. Said manager shall be skilled in communicating with young people and
make every effort to cooperate with the Town and the Teen Center and shall at all
times present an appropriate image for a manager of a cafe whose primary patrons are
young people.
G. Lessee agrees to have a sufficient n-umber of trained personnel on duty
at the premises for the proper operation of the concession covered by this
Agreement. Said employees shall at all times maintain the highest standards of
personal hygiene and dress and behavior.
H. Lessee agrees to keep the lease premises and all fixtures and
equipment in a clean, neat, safe, sanitary and orderly condition at all times and to
prevent unreasonable emanation from the premises of fumes and odors. Lessee agrees
that all deliveries of supplies to the lease premises shall be made at reasonable
hours. All waste matter shall be stored in a manner satisfactory to the Supervisor
of the Lionshead Parking Structure, and the Lessee agrees to dispose of all trash
daily in the trash unit in a manner satisfactory to the Lionshead Parking Structure
Supervisor. Lessee also agrees that it will neither do nor permit anything to be
done within its premises which might interfere with the effectiveness or
accessibility of the drainage and sewage system, the fire protection system, the
alarm system, or any other facilities or devices for the protection of the LPS and
the public.
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I. Lessee agrees to meet the requirements of the United States Health
Service, Colorado State Board of Health, and the Town Health Officer with respect to
health and sanitary laws and regulations, and access will be given to the duly
authorized representatives of said agencies or any Town of Vail agents for
inspection purposes.
J. Because the primary purpose of the concession operated by the Lessee
is to provide food and beverage to the Teen Center Cafe, it is of the utmost
importance that the Lessee and the Town make every effort to cooperate in the
operation of the premises, and to make the premises an attractive and desirable place
for the young people of the town to patronize. In furtherance of this goal, the
Town and the Lessee hereby agree to establish an advisory committee for the
operation of the Youth Cafe which will consist of Mike Rose, Rick Richards or
another representative of'the Lessee, the Cafe Supervisor designated by the Town of
Vail Recreation Department, and one or more youth representatives. The advisory
committee shall meet at least on a monthly basis to assure that the Cafe operates
smoothly and successfully..
11. INDEMNIFICATION
Lessee hereby agrees to release, indemnify, and save harmless the Town, its
officers, agents, and emp oyees from and against any and all loss of, or damage to,
property, or injuries to ,' or death of, any person or persons, including property and
employees or agents of th'~,e Town, for which Lessee would be held legally responsible,
and shall defend, indemnify, and save harmless the Town, its officers, agents, and
employees, from any and all claims, damages, suits, costs including attorneys fees,
expense, liability, actions, or proceedings or any kind or nature whatsoever, of or
by anyone whomsoever, in ',any way resulting from or arising out of, directly or
indirectly, any act or omission of Lessee in connection with its operations or its
use or occupancy of any portion of the LPS, and including acts and omissions of
officers, employees, representatives, suppliers, invitees, contractors, and agents
of Lessee.
12. LIABILITY INSURANCE
Lessee covenants and agrees that it will, during the term hereof, carry a
comprehensive general liability insurance policy, including automobile and products
liability, in a form and in a company or companies approved by the Town in amounts
of not less than five hundred thousand dollars ($500,000.00) for bodily injury to or
death of any person or persons or damage to property. Lessee shall furnish the Town
a certified copy of said policy or policies. Said policy or policies shall include
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the Town as an additional insured. All such policies shall contain a provision that
the same may not be cancelled or materially changed or altered without first giving
thirty (30) days prior written notice, sent by registered mail, to the Town.
13. FIRE INSURANCE
Lessee agrees to carry fire insurance in an amount and in companies to be
approved by the Town to adequately cover fire loss on the premises to its personal
property and equipment used in the operation of this Agreement. Lessee agrees that
if such personal property or equipment shall be damaged or destroyed by fire, or any
other cause, said damage shall be promptly repaired or new equipment which has been
approved by the Town to serve the same purpose shall be promptly substituted
thereof, all at the expense of Lessee, and without expense to the Town.
14. INSURANCE REQUIRED OF ANY CONTRACTOR PERFORMING WORK FOR LESSEE
Lessee shall require that any contractor who performs work for Lessee on
the leased premises will furnish a good and sufficient performance bond in an amount
not less than the full amount involved in the contract as surety-for the faithful
performance of the contract by the contractor, and for the payment of all persons
performing labor and furnishing material in connection with the work. Lessee shall
further require the contractor who does any work on the leased premises to procure
adequate contractors general public liability and property damage insurance and
workmen's compensation insurance. Lessee shall before the commencement of any work
furnish the Town with evidence that its contractor is adequately covered as here in
provided. If at any time during the continuancy of the contract as surety in the
contractors bond or bonds become defunct or otherwise irresponsible, the Town shall
have the right to require additional and sufficient sureties which the contractor
shall furnish within ten (10) days after notification to do so.
15. THIRD PARTIES
This Agreement does not, and shall not be deemed or construed to, confer
upon or grant to any third party or parties (except parties to whom Lessee may
assign this Agreement in accordance with paragraph 21 hereof, and excepting any
successor to the Town) any right to claim damages or to bring any suit, action, or
other proceeding against either the Town or Lessee because of its execution,
attempted execution, or the terms hereof.
16. TAXES, COMPENSATION INSURANCE, AND LICENSES
Lessee agrees to pay promptly all taxes, excises, license fees, and permit
fees of whatever nature, applicable to its operation in the LPS, and to take out and
keep current all licenses, municipal, state or federal, required for the conduct of
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its business hereunder, and further agrees not to permit any of said taxes, excises,
or license fees to become delinquent. Lessee further agrees at all times to
maintain adequate Workmen's Compensation insurance (including occupational disease).
with an authorized insurance company, or through the Colorado State Compensation
Insurance Fund, insuring the payment of compensation to all its employees in
connection herewith. Lessee further agrees to furnish the Town, upon request,
duplicate receipts or other satisfactory evidence showing the prompt payment by it
of social security, unemployment compensation, and Workmen's Compensation insurance,
all required licenses, and all taxes. Lessee further agrees to pay promptly when
due, all bills, debts, and obligations incurred by it in connection with its
operation of said business at the LPS, and not to permit the same to become
delinquent, and to suffer no lien, mortgage, judgment, execution, or adjudication in
bankruptcy which will in any way impair the rights of the Town under this
Agreement.
17. COMPLIANCE WITH ALL LAWS AND REGULATIONS
Lessee agrees not to use or permit the premises to be used for any purpose
prohibited by the laws of the United States or the State of Colorado or ordinances
of the Town of Vail, and it further agrees that it will use the roadways and other
areas of the premises in accordance with all general rules and regulations adopted
by the Town or its Parking Superintendent for the governing and operation of the
premises, either promulgated by the Town or said Superintendent on its or his own
initiative or by or in compliance with regulations or .actions or any Federal agency
authorized to regulate interstate travel to and from said premises.
18. DEFAULT
The occurrence of one or more of the following events of circumstances
shall constitute a default hereunder by the Lessee:
A. The filing by Lessee of a voluntary petition of bankruptcy.
B. Proceedings in bankruptcy instituted against Lessee and adjudication
of Lessee as bankrupt as pursuant to such proceedings.
C. Appointment of a receiver of Lessee's assets or divestiture of
Lessee's estate by other operation of law.
D. Abandonment of the premises by Lessee and the discontinuance by Lessee
of the conduct and operation of the business required hereunder for a period of ten
(10) consecutive days, unless such discontinuance is allowed under paragraph 10B.
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E. Failure of Lessee to make -lease rent payments due to the Town as
provided in this Agreement within three (3) days after the Town gives notice to
Lessee of its delinquency.
F. Failure of Lessee to perform, keep and observe any of the terms,
covenants, or conditions herein contained on its part to be performed, kept or
observed, which failure continues for a period of ten (10) consecutive days, after
notification of such failure.
Failure of the Town to seek redress for violation or to insist upon the
strict performance of any covenant or condition of this lease shall not prevent a
subsequent act, which would have originally constituted a violation from having all
the force and effect of an original violation. The receipt of the Town of rent with
knowledge of the breach of any covenant of this lease shall not be deemed a waiver
of such breach. No provision of this lease shall be deemed to have been waived by
the Town unless such waiver is in writing and signed by the Town.
19. REMEDIES OF THE TOWN
If the Lessee shall default under this lease as set forth in Section 18,
the Town shall have the following rights and remedies, in addition to all other
remedies at law or equity, and none of the following,whether or not exercised by the
Town, shall preclude the exercise of any other right or remedy whether herein set
forth or existing at law or equity.
A. The Town shall have the right to terminate this lease by giving tenant
ten (10) days notice in writing to be served as herein provided, and the term hereby
remaining shall thereupon cease and .expire in the same manner and to the same effect
as if it were the expiration of the term herein stated. Upon any. termination of
this lease, tenant shall quit and surrender to the landlord the premises as set
forth in Section 16. If this lease is terminated, Lessee shall remain liable to
landlord for all rent and other sums accrued and .unpaid hereunder to the date of
termination of this lease.
B. The Town may further, without demand or notice, reenter and take
possession of the premises or any part thereof, and repossess the same as of the
Town's former estate and expel the Lessee and those claiming through or under
Lessee, and remove the effects of any and all such persons (forcibly if necessary)
without being deemed guilty of any matter of trespass, without prejudice to any
remedies for arrears of rent or preceding breach of covenants and without
terminating this lease or otherwise relieving tenant of any obligation hereunder.
Should the Town elect to reenter as provided in this Section, or should the Town
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take possession pursuant to legal proceedings or pursuant to any provision provided
for by law, the Town may, from time to time, without terminating this lease, relet
the premises or any part thereof for such term or terms and at such rental or
rentals, and upon such other conditions as the Town may in its absolute discretion
deem advisable, with the right to make alterations and repairs to the premises. No
such reentry, repossession or reletting of the premises by the Town shall be
construed as an election on the Town's part to terminate this lease unless a written
notice of termination is given to the Lessee by the Town. No such reentry,
repossession or reletting of the premises shall relieve the Lessee of its liability
and obligations under this Lease, all of which shall survive such reentry,
repossession or reletting. Upon the occurrence of such reentry or repossession, the
Town shall be entitled to the amount of the monthly rent, and any other sums which
would be payable hereunder if such reentry or repossession had not occurred, less
the net proceeds, if any, of any reletting of the premises after deducting all of
the Town's expenses in connection with such reletting. Lessee shall pay such amount
to the Town on the days on which their rent or any other sums due hereunder would
have been payable hereunder if possession had not been retaken. In no event shall
the Lessee be entitled to receive the excess, if any, of net rent collected by the
Town as a result of such reletting or with the sums payable by the Lessee to the
Town hereunder.
20. CANCELLATION AND TERMINATION BY LESSEE DAMAGE TO LEASED PREMISES
Lessee, in addition to any other right of cancellation herein given to
Lessee, may cancel this Agreement and terminate all of its obligations hereunder at
any time by giving the Town sixty (60) days written notice upon or after the
happening of any one of the following:
A. The breach by the Town of any of the covenants or agreements herein
contained and the failure of the Town to remedy such breach for a period of thirty
(30) days after receipt of written notice of the existence of such breach; provided
that at such time the Town shall not in good faith be attempting to remedy such
breach.
B. (1) The inability of Lessee to use the leased premises for a period
of one hundred eighty (180) days for any reason, including but not limited to
destruction or damage by fire or other casualty.
(2) Notwithstanding subparagraph B.(1) hereof, in the event the
leased premises are partially damaged and rendered unusable but can be repaired
within one hundred eighty (180) days, this Agreement shall remain in full force and
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effect, except that Lessee shall be entitled to a proportionate reduction of monthly
payments due from the date the damage occurred while repairs are being made, such
proportionate reduction to be based upon the extent to which the making of such
repairs shall materially interfere with the business carried on by Lessee.
21. SURRENDER OF POSSESSION AND REMOVAL OF EQUIPMENT
Lessee agrees to yield and deliver to the Town possession of the leased
premises at the termination of this Agreement, upon the expiration of the term or as
otherwise herein provided, in good condition and in accordance with the express
obligations hereunder, except for reasonable wear and tear, fire, or other casualty
beyond the control of Lessee. Lessee shall have the right at any time during the
term hereof to remove that equipment and any other personal property other than
fixtures which is to remain the property of Lessee and placed in it, at its expense,
in or about the said premises, subject, however, to any valid lien or claim which
the Town may have for unpaid rent, provided, however, that if Lessee in the removal
causes any damage to the premises, Lessee will repair the same in a proper and
satisfactory manner at its sole cost and expense.
22. HOLDOVER
If Lessee or any assignee, subtenant or transferee of or from the Lessee
shall remain or continue to be in possession of the premises or any part thereof
after the end of the term of this lease, at the Town's option, the Lessee shall be
deemed to be a legally retained possession or shall be deemed to be a month-to-month
tenant of the premises on all the terms and conditions of this lease except that the
monthly minimum rent shall be an amount equal to three hundred percent (300%) of the
monthly minimum rent payable immediately prior to the end of the term. Nothing
contained in this paragraph shall be construed to limit the Town's right to obtain
possession of the premises upon termination of this lease by unlawful detainer
proceedings or otherwise in the event that the Town does not exercise its option to
treat continued possession by tenant as a month-to-month tenancy.
23. WAIVER OF DAMAGES
Unless caused by the Town's officers', employees', or agents' negligence or
willful conduct, the Lessee hereby expressly waives any and all claims for
compensation for any and all loss or damage sustained by it by reason of any defect,
deficiency, or impairment of the LPS, including but not limited to the water supply
system, drainage and heating systems, steam system, electrical system, or wires
leading to the leased premises; and Lessee hereby expressly releases and discharges
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the Town and its officers,. employees, and agents from any and all demands, claims,
actions, and causes of action arising from any of the causes aforesaid.
24. SECURITY
Lessee hereby pledges as security for the payment by the Lessee of the rent
and any other sums due under this lease and for the faithful performance of all the
terms, conditions and covenants of this lease. The equipment set forth in Exhibit C
is attached hereto and made a part hereof. -Said equipment shall be located at all
times during the term of this lease on the premises and Lessee shall execute upon
request by the Town a security agreement and security statement evidencing the
Town's security interest in said equipment. If at any time Lessee shall be in
default in the performance of any of the provisions of this lease, the Town may, but
shall not be required to, use such security, or so much thereof as necessary, in
payment of any rent or any other sums due under this lease in default, in
reimbursement of any expenses incurred by the Town and in payment of the damages
incurred by the Town by reason of the Lessee's default, or at the option of the
Town, such security-may be retained by the Town as liquidated damages. In the event
the security has not been utilized that is described above, the equipment, or as
much thereof as has not been utilized for such purposes, shall be refunded to the
Lessee without interest, upon full performance of this lease by Lessee.
25. NOTICES
All notices required to be given to Lessee hereunder shall be given by
registered mail addressed to Vail Myriad Inc. d/b/a Rick's Streetside Diner at P. 0.
Box 1703, Vail, Colorado 81658; all notices required to be given the Town shall be
given by registered mail to the attention of the Town Manager at 75 South Frontage
Road, Vail, Colorado 81657; provided, however, the parties, or either of them, may
designate in writing from time to time a substitute address for said notices.
26. WAIVERS
No waiver of default by the Town of any of the terms, covenants, or
conditions hereof to be performed, kept, and observed by Lessee shall be construed
as or operate as a waiver by the Town of any subsequent default of any of the terms,
covenants, or conditions herein contained to be performed, kept, and observed by
Lessee.
27. ASSIGNMENT
Lessee shall not assign or in any manner transfer this lease or any
interest therein, nor sublet the premises or any part or parts thereof, nor permit
occupancy by anyone with, through or under it without the previous written consent
-13-
of the Town. The Town's consent to such assignment or sublease shall not be
unreasonably withheld. Consent by the Town to one or more assignments of this lease
or to one or more sublettings of the lease premises shall not operate as a waiver of
the Town's right under this Section or to any subsequent assignment or subletting,
nor release Lessee or any Guarantor of Lessee of any of its obligations under this
lease, nor be construed or taken as a waiver of any of the Town's rights or remedies
hereunder. Among other reasons, the Town may withhold its consent, if, in its sole
judgment, the proposed assignee or sublessee has not shown proven financial ability
or experience to run a first class operation of the type operated by the Lessee on
the premises.
Any combination of sales, transfers or assignments of issued outstanding
capital stock and/or the issuance of new capital stock which result in ownership by
the presently existing shareholders as represented at the conclusion of this lease
of less than fifty-one (51) percent of the then issued and outstanding capital stock
of the Lessee, shall be deemed to be ah assignment under this paragraph requiring
the prior written consent of the Town.
28. UTILITIES
The Town agrees that it will, at its own expense, furnish the necessary
electricity, heating, lighting, trash removal, and water for the leased premises.
Janitorial and all other services necessary to maintain the leased premises in a
clean and orderly condition, as well as special lighting lamps not normally
furnished by the Town, are to be secured and supplied at Lessee's own cost and
expense.
29. NO DISCRIMINATION
Lessee, for itself, its successors and assigns, as a part of the
consideration hereof, does hereby covenant and agree as a covenant running with the
land that in the event facilities are constructed, maintained, or otherwise operated
on the property covered hereby for a purpose for which a Federal Department of
Transportation program or activity is extended or for another purpose involving the
provision of a similar service or benefit, Lessee shall maintain and operate such
facilities and services in compliance with all other requirements imposed pursuant
to Title 49, Code of Federal Regulations, Department of Transportation Subtitle A,
Office of the Secretary, Part 21, Nondiscrimination in Federally-assisted programs
of the Department of Transportation--Effectuation of Title VI of the Civil Rights
Action of 1964, and as said regulations may be amended. That in the event of breach
of any of the above nondiscrimination covenants, the Town shall have the right to
-14-
terminate the Agreement and to reenter and repossess the premises covered hereby and
the facilities therein and thereon, and hold the same as if said Agreement had never
been made or issued.
30. AUTHORIZED REPRESENTATIVE
The Town's authorized representative for purposes of this Agreement shall
be the Town Manager or the Parking Superintendent until written notice to the
contrary is hereafter given to Lessee by the Town.
31. PARAGRAPH HEADINGS
The paragraph headings contained herein are for convenience in reference
only and are not intended to define or limit the scope of any provision of this
Agreement.
32. ATTORNEY FEES AND COSTS
Should either the Town or the Lessee incur any cost or expense in enforcing
any provisions of this Agreement, that party found not in default shall be entitled
to recover all expenses including reasonable attorney's fees and attorney's fees
shall be considered to be cost and may be awarded by the court to the prevailing
party.
33. RIGHT OF INSPECTION
The Town's authorized representative shall have the full right to enter the
premises for the purpose of inspecting or protecting such premises and for the
purpose of doing anything which the Town deems necessary for the proper operation of
the LPS.
34. AGREEMENT BINDING
This Agreement shall be binding on and extended to the successors and
assigns of the respective parties hereto.
35. AGREEMENT MADE IN COLORADO
This Agreement shall be deemed to have been made in, and construed in
accordance with the laws of the State of Colorado.
-15-
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be made the
day and year first above written.
TOWN OF VAIL, COLORADO
By:
Rondall V. Phillips, Town Manager
ATTEST:
Pamela A. Brandmeyer, Town Clerk
VAIL MYRIAD INC. /b/a
RICK'S STRE,ETS~ DINER
'~
,,:-
By : ~'`
Rick Edward Richards, President
ATTEST:
-16-
EXHIBIT A
Lot 1, Block 2, Vail Lionshead first filing, Town of Vail, County of Eagle, State of
Colorado.
TOWN OF VAIL/VAIL METROPOLITAN RECREATION DISTRICT
AGREEMENT
THIS AGREEMENT is made and entered into this day of ,
1988, by and between the TOWN OF VAIL, COLORADO, a Colorado municipal corporation,
hereinafter referred to as "the Town," and the VAIL METROPOLITAN RECREATION
DISTRICT, a Colorado quasi-governmental body, hereinafter referred to as "the
District".
WHEREAS, the Town and the District provide recreational programs and services to
the inhabitants and guests of the Town; and
WHEREAS, it is the desire of both parties to provide for the provision of all
such services by the District; and
WHEREAS, the Town and the District are authorized by the Constitution and
Statutes of the State of Colorado, including C.R.S. 29-1-203, as amended, to enter
into governmental agreements to govern the provision of such services to the
inhabitants and visitors of the Town.
NOW THEREFORE, in consideration of the mutual promises contained herein, the
parties hereto agree as follows:
1. PURPOSE
It is the general purpose of this Agreement to transfer the management and
provision of all recreational services to the inhabitants and visitors of the Town
of Vail to the District. It is intended that such a transfer shall be financially
neutral to the Town and that all financial benefits and costs will accrue to the
District.
2. SERVICES TO BE PROVIDED BY THE DISTRICT
The District shall provide to the Town recreational programs and services.
Such services and programs shall be of high quality and shall be of sufficient
diversity and scope to meet the recreational needs of the inhabitants of the .Town
and the visitors thereto.
3. REAL PROPERTY AND IMPROVEMENTS THEREON
A. The Town grants the District a license to use the following real
estate, and improvements thereon set forth below and more particularly described in
Exhibit A attached hereto (the Premises):
i)
ii)
iii)
iv)
v)
vi)
vii)
subject to the fol
John Dobson Ice Arena
Upper Floor of the Old Town Shop
Youth Center
Nature Center
Upper Bench of Ford Park
Public Tennis Courts
Athletic Field
lowing terms and conditions:
1) Use of Premises
The premises shall be used for recreation programs and services
only. The District shall permit the Town to use the Upper Bench of Ford Park for
skier parking during the ski season. The Town, at its sole cost, shall repair any
damage to the Park caused by such parking.
2) Utilities
The District shall pay all charges for gas, electricity, light,
heat, power, and telephone, or other communications services used, rendered, or
supplied upon or in connection with said premises and shall indemnify the Town
against any liability or damages on account of such charges..
3)
Access to the Premises
The Town and its agents shall have the right to enter in or on
the premises to examine them, to make and perform such alterations, improvements, or
_2_
additions that the Town may deem necessary or desirable for the safety, improvement,
or preservation of the premises.
4) Alterations by the District
The District shall make no alterations, additions, or
improvements in or to the premises without the Town's prior written consent. All
such work shall be performed in a good and workmanlike manner, and all alterations,
additions, or improvements upon the premises shall, unless otherwise agreed at the
time the Town's consent is obtained or unless the Town requests removal thereof,
become the property of the Town.
5) Maintenance and Repairs
The District shall take good care of the premises and the
fixtures and improvements therein including without limitation, any storefront
doors, plateglass windows, heating and air conditioning systems, plumbing, pipes,
electrical wiring and conduits, and at its sole cost and expense perform maintenance
and make repairs, restorations, or replacements as and when needed to preserve them
in good working order and first class condition. The District's obligation for
repair and replacement shall include all interior, exterior, structural,
nonstructural, ordinary and extraordinary, unforeseen and foreseen repair and
replacement, snow removal, and rubbish removal. The Town shall replace all plumbing
facilities and equipment installed for the general supply of hot and cold water,
heat, air conditioning, and electricity when such replacement is necessary to keep
the property and improvements functioning properly, when the cost of the replacement
thereof exceeds five thousand dollars ($5,000). The Town shall not be responsible
for the replacement of any equipment damaged by the willful acts or negligence of
the District. The District shall develop a maintenance schedule for each respective
improvement used pursuant to this Agreement, which schedule shall be subject to the
-3-
approval of the Town. The District shall keep a log setting forth actual
maintenance performed during the term hereof.
6) Assignment
This license shall be non-assignable and the District shall not
mortgage, hypothecate, or encumber any of the facilities set forth herein without
the prior written consent of the Town in each instance.
7) Damage to or Destruction of Premises
If any of the licensed premises are damaged by fire or other
cause so that they may not be used for the purpose which they were intended and the
repair or replacement of such premises shall require substantial cost, the Town may
elect not to repair such damage and this license shall automatically terminate as it
relates to said damaged or destroyed premises effective as of the .giving of notice
by the Town of such election.
8) Injury to Person or Property
a) The District covenants and agrees that the Town, its agents,
servants and employees shall not at any time or to any extent whatsoever be liable,
responsible or in any way accountable for any loss, injury, death or damage to
persons or property or otherwise which at any time may arise in connection with the
premises or be suffered or sustained by the District, its agents, servants or
employees, or by any other person rightfully on the premises for any purpose
whatsoever, whether such loss, injury, death or damage shall be caused by or in any
way result from or arise out of any act, omission or negligence of the District, its
agents, servants or employees or of any occupant, subtenant, visitor or user of any
portion of the premises, or shall result from or be caused by any interference with
or obstruction of deliveries to the premises by any person or by the loss or
destruction by any person of furniture, inventory, valuables, files or any other
property kept or stored on or about the premises or by any other matter or thing
-4-
unless resulting solely from the negligence or willful misconduct of the Town, its
agents, servants or employees. The District shall forever indemnify, defend, hold
and save the Town free and harmless of, from and against any and all demands,
claims, causes of action, liabilities, losses, damages or judgments on account of
any of the foregoing provided that this indemnity shall not extend to damages
resulting solely from the negligence or willful misconduct of the Town, its agents,
servants or employees. The foregoing obligation to indemnify shall include
indemnification to the Town for all costs, expenses and liabilities (including, but
not limited to, attorneys fees) incurred by the Town in investigating and defending
any of the matters covered hereby.
b) The Town, its agents, servants and employees shall not be
liable for injury, death or damage which may be sustained by the improvements,
betterments, persons, goods, wares, merchandise or property of the District, its
agents, servants, employees, invitees or customers or any other person in or about
the premises caused by or resulting from fire, explosion, falling plaster, steam,
electricity, gas, water, rain or snow, leak or flow of water, rain, or snow from or
into part of the building or from the roof, street, subsurface or from any other
place or by dampness of from the breakage, leakage, obstruction or other defects of
the pipes, sprinklers, wires, appliances, plumbing, air conditioning or lighting
fixtures of the. building or the premises.
9) End of Term
Upon the expiration or other termination of this Agreement, the
District shall promptly quit and surrender to the Town the premises in good order
and first class condition, ordinary wear excepted. The District shall remove such
alterations, additions, improvements, fixtures, equipment, and furniture as the Town
shall require, and shall fully repair any damage occasioned by the removal of same.
-5-
B. In addition to the recreational premises set forth in this Agreement,
the Town further grants a license to the District to utilize the offices they are
presently utilizing at the time of the signing of this Agreement in the Vail Public
Library for continued use as office space only, subject to the terms and conditions
set forth in Section 3A hereof, except that the District shall not pay utility costs
for said offices which costs shall be the responsibility of the Town. The Town
further grants the District the right to utilize ( ) parking spaces on the
land commonly known as the Mud Lot. The right to use said parking spaces may be
terminated by the Town upon the giving of thirty (30) days written notice of such
termination to the District.
C. The Town currently leases from third parties the following premises
for recreational purposes:
a) Red Sandstone Gym
b) Potpourri Day Camp
The Town shall attempt to assign said leases to the District subject
to any restriction on assignment contained in said leases.
4. E UIPMENT
A. The Town hereby transfers to the District for its use during the term
hereof the personal property, equipment, and vehicles set forth in Exhibit B hereof.
B. Except as otherwise provided for herein, the District shall furnish
and supply all necessary labor, supervision, equipment, motor vehicles, office
space, operating and office supplies necessary to provide the Town with the services
contemplated hereunder. All equipment and vehicle maintenance costs shall be the
sole responsibility of the District.
5. SERVICES PROVIDED BY THE TOWN
The Town shall provide the District financial and computer services as set
forth in Exhibit C attached hereto and made a part hereof by reference. The Town
_g_
shall not be obligated to provide the District with any other services. The
District may, however, contract with the Town for other services such as employee
training or long range planning, upon such terms and conditions as may be
subsequently be agreed upon by the parties. Throughout the term of this Agreement
the Town shall have the right to use the Apple computer located in the District
office on the date of execution hereof or any substitute therefor, at all reasonable
times.
6. HEALTH INSURANCE
The District shall be liable for eleven and one-half percent (11.5%) of
accrued liabilities of the Town's health insurance plan existing on December 31,
1987 based on the number of eligible District and Town employees as a percentage of
the plan's total eligible employees.
7. CONTROL OF THE JOHN DOBSON ICE ARENA
The parties understand the John Dobson Ice Arena is a multi-use facility
utilized for both recreation and other purposes by the Town. During the term of
this Agreement, the Town shall have the right to use the Dobson Ice Arena for thirty
(30) days during each year of the term hereof for whatever purposes it deems
appropriate upon the giving of thirty (30) days written notice of such use to the
District. If the Town makes a good faith decision at a public meeting that the
welfare of the Town and its inhabitants requires that the Dobson Arena be utilized
entirely for purposes other than recreation, it shall give notice thereof to the
District. The District shall have ninety (90) days from the giving of such notice
to vacate the premises in accordance with the provisions set forth in paragraph
3A(9) hereof.
8. RECREATION PLAN
During the month of February, 1989, at a regular or special meeting of the
Town Council of the Town of Vail, and during each subsequent February during the
-7-
term of this Agreement, the District shall present a recreation plan to the Town
Council detailing the District's plans and programs for the forthcoming year. The
Town Council shall be given the opportunity to critique the plan and suggest changes
in the plan to the District. The District shall give due consideration to all
requests of the Town regarding the plan and shall comply with all reasonable
requests. The District shall base its recreational program for the forthcoming year
on said plan.
9. FINANCIAL CONTRIBUTIONS
During the first year of this Agreement the Town shall contribute to the
District the sum of dollars ($ ) to be used by the
District exclusively for the provision and development of recreational services,
programs, and facilities to the Town. This contribution shall be made to the
District as follows:
A. January - 4%
B. February - 2%
C. March - 15%
D. April - 6%
E. May - 6%
F. June - 6%
G. .July - 6%
H. August - 14%
I. September - 10%
J. October - 10%
K. November - 6%
L. December - 15%
For each subsequent year during the term hereof, the Town may contribute additional
funds to the District as it deems appropriate subsequent to its review and approval
-8-
of the recreational plan provided for in paragraph 8 hereof. Ninety (90) days
subsequent to the end of any calendar year during the term hereof in which the Town
has contributed money to the District, the District shall give the Town a full
accounting of how said funds were expended.
10. DEBT
The Town shall be solely responsible for all debt related to recreation
facilities owned by the Town existing on the effective date of this Agreement. All
financing for recreational purposes occurring subsequent to the effective date of
this Agreement shall be agreed upon by the Town and the District on a case by case
basis.
11. PERSONNEL
The Town and the District and their respective officers, agents, and
employees shall fully cooperate so as to facilitate the performance of this
Agreement. The provision of recreational services and programs as contemplated in
this Agreement, the hiring, firing, and discipline of District employees shall be
the responsibility of the District. No person employed by the District, in
accordance with this Agreement, shall have any right to Town benefits including
health insurance and pension. The District, however, may invest pension funds with
the Town subject to such conditions as may be established by the Town and permitted
by law. The Town shall not be liable for the payment of any salaries, wages, or
other compensation to any District personnel performing recreation services pursuant
to this Agreement, nor for any obligation of the District other than provided for
herein. Nothing herein shall obligate the Town to be liable for the injury or
sickness of any District employee arising out of his/her employment.
12. LIABILITY AND INSURANCE
A. The Town, its officers, and employees shall not be deemed to assume
any liability for the intentional or negligent acts, errors, or omissions of the
District or of any officer, agent, or employee thereof. Likewise, the District, its
-9-
officers, and employees shall not be deemed to assume any liability for the
intentional or negligent acts, errors, or omissions of the Town or of any officer or
employee thereof.
B. The District agrees to indemnify, defend, and hold harmless, to the
extent allowed by law, the Town, its respective agents, officers, .servants, and
employees of and from any and all loss, costs, damage, injury, liability, claims,
liens, demands, action, and causes of action whatsoever, arising out of or related.
to the District's intentional or negligent acts, errors, or omissions, or that of
its agents, officers, servants, and employees, whether contractual or otherwise.
Likewise, the Town agrees to indemnify, defend, and hold harmless, to the extent
allowed by law, the District, its respective agents, officers, servants, and
employees of and from any and all loss, costs, damage, injury, liability, claims,
liens, demands, action, and causes of action whatsoever, arising out of or related
to the Town's intentional or negligent acts, errors, or omissions, or that of its
agents, officers, servants, and employees, whether contractual or otherwise.
C. The District and the Town shall respectively provide their own public
liability, property damage, and errors and omissions insurance policies sufficient
to ensure against all liability, claims, and demands or any other potential
liability arising from this Agreement. Further, the District and the Town,
respectively, shall name, subject to the approval of each respective party's
insurance carriers, the other respective party as a coinsured under such insurance
policies and to the extent of any potential liability arising under this Agreement
and, upon reasonable written request, shall furnish evidence of the same to the
other respective party. In any event, each party respectively shall procure and
maintain the minimum in insurance coverages listed below. All coverages shall be _
continuously maintained to cover all liability claims, demands, and obligations
assumed by the parties hereto. In the case of any claims-made policy, the necessary
-10-
retroactive dates and extended reporting periods shall be procured to maintain such
continuous coverage.
a) Workman's Compensation insurance to cover obligations imposed by
applicable laws for any employee engaged in the performance of work under this
contract.
b) General Liability insurance with minimum combined single limits
of one million dollars ($1,000,000) each occurrence and one million dollars
($1,000,000) aggregate. The policy shall be applicable to all premises and
operations and shall include coverage for bodily injury, broad form property damage,
personal injury, blanket contractual, products, and completed operations.
c) Comprehensive Automobile Liability insurance with minimum
combined single limits for bodily injury and property damage of not less than one
million dollars ($1,000,000) each occurrence and one million dollars ($1,000,000)
aggregate with respect to each of the parties owned, hired or non-owned vehicles
used in the performance of services hereunder.
d) Errors and Omissions insurance with minimum limits of one million
dollars ($1,000,000) each claim .and one million dollars ($1,000,000) aggregate.
Failure of either party hereto to maintain policies providing the
required coverages shall constitute a material breach of this contract, upon which
the non-breaching party may immediately terminate this Agreement.
13. EFFECTIVE DATE
This Agreement shall become effective on the first day of January, 1989.
14. TERMINATION
A. Unless sooner terminated as provided for herein, this Agreement shall
terminate on December 31, 1994. Notwithstanding the foregoing provision, either
party with or without cause may terminate this Agreement upon the giving of two
hundred seventy (270) days prior written notice of such termination to the other
-11-
party. Notice shall be deemed to have been given upon the mailing of said notice by
United States certified, first class mail, postage prepaid, and addressed to the
parties at the respective addresses as they appear herein.
B. Upon termination of this Agreement as set forth herein, the District's
license to use Town real property and all improvements thereon shall cease as
provided for in paragraph hereof. In addition, the District shall convey to
the Town all equipment, vehicles, and personal property set forth on Exhibit B which
had been previously transferred to the District. In the event that any such
equipment, property, or vehicles had been replaced by the District, the District
shall convey to the Town such replacement.
15. MISCELLANEOUS PROVISIONS
A. No modification or waiver of this Agreement or of any covenant,
condition, or provision herein contained shall be valid unless in writing and duly
executed by the party to be charged therewith.
B. This written Agreement embodies the whole Agreement between the
parties hereto and there are no inducements, promises, terms, conditions, or
obligations made or entered into either by the Town or the District other than those
contained herein.
C. This Agreement shall be binding upon the respective parties, their
successors or assigns.
D. All agreements and covenants herein are severable, and in the event
that any of them shall be held invalid by a court of competent jurisdiction, this
Agreement shall be interpreted as if such invalid agreement or covenant were not
contained herein.
E. The District and the Town have represented to each other that each
possesses the legal ability to enter into this Agreement. In the event that a court
of competent jurisdiction determines that either of the parties did not possess the
-12-
legal ability to enter into this Agreement, this Agreement shall be considered null
and void as of the date of such court determination.
F. Any notices to be sent to the parties pursuant to the terms of this
Agreement shall be mailed to the following addresses:
Town Manager
Town of Vail
75 South Frontage Road
Vail, CO 81657
Chairman
Vail Metropolitan Recreation District
292 West Meadow Drive
Vail, CO 81657
G. This Agreement shall not be deemed to confer or grant to any third
party any right to .claim damages or bring any legal action or claim against either
the District or the Town because of any breach hereof or of any covenant, condition,
or provision contained herein.
IN WITNESS WHEREOF, the Town and the District have executed this lease as of the
date first set forth above.
TOWN OF VAIL, a Colorado municipal
corporation
VAIL METROPOLITAN RECREATION
DISTRICT, a Colorado
quasi-governmental corporation
By:
Rondall V. Phillips, Town Manager
By:
Timothy R. Garton, Chairman
-13-
EXHIBIT C
FINANCIAL/COMPUTER SERVICES THE TOWN WILL PROVIDE FOR VMRD FOR A
FEE
PURCHASING AND CASH DISBURSEMENTS
Input Claims
Print Checks
Prepare Hand Checks
Prepare Checks for Signing
Review Checks and Backup
Mail Checks
File Checks and Stamp Paid
PAYROLL
Master File Updates
Print and Distribute Time Sheets
Time Sheet Preparation
Input Time
Verify Batch Totals
Input Voids and Handwrites
Run a Trial Register and Verify
Print and Sign Checks
Run Reports
Maintain Payroll Personnel Files
Process Payroll Advances
Quarterly Reports
Preparation of W-2's
CASH RECEIPTS
Audit Daily Sheets and General Ledger Posting
Ice Arena
General Recreation
Nature Center
Tennis Courts
Golf Deposits
Make the Bank Deposits (For Recreation and .Ice Arena)
CASH MANAGEMENT
Maintain Cash Ledger
Invest Excess Cash.
Track Interest Income
Reconcile Bank Accounts
EXHIBIT C
PAGE 2
COMPUTER
Provide Necessary Computer Time
Dail~~ Backups
Upgrades to Financial Software
System Maintenance
Payroll
Query into Accounts Payable, Accounts Receivable, and General
Ledger
OTHER
Reconcile any Hotel Advance Deposits
Prepare Sales Tax Return
Reconcile other General Ledger Accounts
Review Month End General Ledger
Maintain Fixed Asset Ledger as information is provided by
VMRD
TOWN OF VAIL FEE
Total 1989 fee for these services will be $33,375. The Town
will bill VMRD in equal monthly installments of $2,781.25.
VMRD is to let the Town know on an annual basis, by mid-July,
what financial/computer tasks they want the Town to provide
for the next year. The Town will then provide VMRD the next
years cost for those services.
FINANCIAL/COMPUTER SERVICES VMRD WILL PERFORM FOR THEMSELVES
CASH RECEIPTS
Receipt Cash Through the Register
Close the Register and Prepare Daily Cash Sheet
Deliver Cash Daily
Collect Bad Checks and Bad Debts
EXHIBIT C
PAGE 3
PURCHASING CASH DISBURSEMENTS
Purchase Order Preparation
Print Purchase Orders and Distribute
Distribute Mail
Obtain Purchase Order Authorization
Vouch the Invoices
Reconcile Monthly Statements
Sign Checks
PAYROLL
Payroll Audit per FLSA
COMPUTER
P.C. Maintenance
Software Maintenance and Requested Upgrades
PURCHASE OF FORMS
VMRD is responsible for the procurement and payment of their
own payroll and accounts payable checks, time sheets,
computer paper and any other necessary forms.
ONGOING FINANCIAL/COMPUTER RELATED SERVICES TOV WILL PROVIDE FOR
AN ADDITIONAL FEE
Financial/computer related services not included in standard
fee to VMRD but the Town will provide upon request for a fee
of $3d per hour, adjusted annually.
Meeting Attendance
Financial Planning
Budget Control
Preparation of Month-end Treasurer's Report
Contract Administration
Preparation of Annual Budget
Audit Preparation
Financial and Computer Training
Cash Flow Projections
Document, Design and Maintain Accounting Systems for Good
Internal Control
EXHIBIT C
PAGE 4
ONE-TIME SERVICES AND PURCHASES
The Town will perform these one-time services for VMRD at an
hourly rate of $20 plus any direct equipment or service costs.
Set up New Accounts with Budget History (1987-1988} Data
Transfer Employee Master File Information to VMRD
Fixed Assets
Set up Independent Cash Receipting System
Dot Matrix Printer for Purchase Orders and Receipts
Pension Plan Document and Trust Agreement
Modifications to Quarterly Benefit Statement and Reports
Personnel Systems and Processes
OTHER
VMRD will maintain a printer at the recreation offices to:
Print Purchase Orders
Print Financial Reports
Print Daily Cash Reports
Do Two Check Runs Per Month
VMRD is responsible for all their own procurement of supplies
and materials.
The pay phones in the Ice Arena and the Teen Center shall
continue to exist with the Town per its multi-year agreement
with U.S. Transcommunications, Inc. U.S. West pay phones
shall remain the responsibility of recreation.
If the Town performs VMRD's financial services as described
herein, then VMRD agrees to bank at the same bank as the
Town. The Town and VMRD may contract together for banking
services in order to maximize savings.
The Town shall notify the District Manager in a timely manner
of any violations of policies or procedures established by
the District. The Town Controller shall be notified if any
changes are made to policies and procedures established by
the District.
The Town's accounting staff shall not be held liable for
errors and irregularities that may occur if they acted
prudently and in conformance with the District's written
accounting policies and procedures, or if the District has
not provided for written accounting policies and procedures.
12-05-88
Planning and Environmental Commission
December 12, 1988
3:00 PM
12:00 PM Site Visits:
Hong Kong, Ulbrich Property
1:15 PM Work Session
1. Work session on proposed addition to Vail
Valley Medical Center.
2. A presentation of Congress Hall studies by
architectural students.
3:00 PM Public Hearing
1. Approval of minutes of 11/14 and 11/28.
2. A request to zone a recently annexed parcel
commonly known as the Ulbrich property,
Lots 16 and 19, to Hillside Residential
Applicant: John Ulbrich
3. A request for an exterior alteration in
Commercial Core I for the Hong Kong Cafe.
Applicant: Phil Hoversten
4. A request for a condominium conversion for
the Bell Tower Building.
Applicant: Bell Tower Associates, Ltd.
5. Preliminary hearing to determine review
period for exterior alterations in
Commercial Core I.
-,
Michael J. Cacioppo ,~
Vail Town Councilman
Drawer 3300
Vai I, CO 81658
(303) 476-1590
December 7, 1968
Dear Vai I Taxpayer,
At the Tuesday evening. December 6th meeting of the Vail Town Council. the
"Rubin Hood" law pawed on f first reading. This is a law that would attach a
marketing fee to the busine~ licer~,e and would generate approximately $225,DDD.O[h ~~r'l~
to wi~ich the Vail Council has budgeted $175.DDD.DD additionally. for a total of
$400,000.CI11 to he spent by government on m$rkr.ting Vail.
,~~~ This "Robin t-food" law. in effect. would take advertising bud~et~; from some
' businesses and give it to the benefit of others, under the misguided premise that
ciovernment knows what's best for businesses. I believe its trn-American and is
further govt~rnment intrusion on the rights of business owners.
Tl~e audien~:e nt ab~iut twenty pro-marketers were asked i1 they cared about how
the $4DD,UOD.UU in marketing dollars were raised. and most nodded that they
didn't, a~: long as it wa; raised. I informed them that C:ouncit had received new
information earlier that !fay in which we were told that 1~.f8Ei sales tar.. revenue~~
would show a $665,GUU.UD surplus. This could allow Council to write a check far
S225_DDD.DD out of tl~e surplus_ and still add the $175.ODO.DD balance i~rrt of the
1~H9 budget.
Dut the pro-marketers would have none of this! They still want ttre new tax..
Some even said "Council could now give them more!"
It.s tune for- thr, r,•nmmunity to t~sake up and demand an end to i.he nonsense of
raising fees and ta~~+~:= wfren it is clearly not necessary to do so! I repeat, it is time
for the community to WAKE UP AND DEMAND AN END TO THE NONSENSE
OF RAISING FEES AID TAXES WHEN IT IS CLEARLY NOT NECESSARY TO
DO SO!
I suspect that some of those wfrr~ supported the increased business license fee in
the marketing survey would na longer do so if they new that Counci! had the
sales tax revenue to write the check for marketing. Ttre "Robin Head" law wilt
take effect upon second reading on Tuesday evening, December 20th.
Please contact me at 476-1590 if you are willing to work to defeat this
business license fee increase that will pose an unnecessary burden to rn.~~ny of Vail's
businesses. Time is of the essence!
Sincerely,
. ~ ' i,
,r
Michael J. Cacioppq,
Vail Town Caunci Irrran
MJC: c,j
~ ., r ~
i' ~,
1-
DESIGN REVEIW BOARD AGENDA
DECEMBER 7, MEETING
3:00 P.M.
SITE VISITS
2:30 P.M.
1 1. Borne Duplex (Final Approval)
Lot 18. Block 5, Bighorn 5th
TABLED TO DECEMBER 21ST MEETING
2. Lodge at Vail Sign Variance (Final)
TABLED TO DECEMBER 21ST MEETING
2 3. Vail Gear Awning (Final)
Village Center Building
TABLED TO DECEMBER 21ST MEETING
MEMBERS PRESENT
Ned Gwathmey
Kathy Warren
Dan Leary
Roy Sante
STAFF APPROVALS:
MEMBERS ABSENT
Bryan Hobbs
Zoo-Z-Q Sign - Sunbird Lodge
Bridge Street Photo Lab Sign - Otto Stork Building
Pizza Bakery Awning - Lifthouse Building
The Plaza Lodge Painted Design Around Windows
~,
1989 WORLD ALPINE SKI CHAMPIONSHIPS ~
ENHANCEMENT EVENTS \
Revised 12/4/88 '
Date Street Entertainment Community Activities Invitation Only
Race Location Time Location
Jan 19 7:30 - 9:30 Pep Rally for volunteers and wellwishers
Jan 28 2 Days Vail-Aspen Interconnect Ski
Jan 29 12:00 McCoys 6:30 Pre-show for opening ceremonies
SUNDAY 12:45 Beaver Creek Mall 7:00 Opening Ceremonies
Beaver Creek 3:30 Vail Childrens Fountain 9:00 John Denver Concert
Races 10 & 12:30
Jan 30 12:45 Beaver Creek Mall 6:30 Press Parry -Ski Country
MONDAY 3:30 Vail Childrens Fountain
Beaver Creek 3:30 Beaver Creek Mall
Races 10 & 12:30
Jan 31 3:00 Vaii Childrens Fountain 10:00 - 3:00 Snowshoe Tours 4:00 - 6:00 Tea Dance
TUESDAY VMRD Vail Golf Course
7:00 - 11:00 American Graffiti-Dobson-Rotary
Feb i 3:00 Vail Childrens Fountain 10:00 - 3:00 Cross Country Ski Tours 7:00 Dine Around -foreign press
WEDNESDAY 3:30 Lionshead Mall VMRD Vail Golf Course
Feb 2 1:30 Vail Childrens Fountain 4:00 - 8:00 Art Galleries Reception, Local Artists 7:00 Subaru Dinner - W Schaeffler
THURSDAY 3:30 McCoys Show and Foundry Tour
Vail 4:00 - 6:00 Children's Carnival on Ice -Dobson
Race 11:00 4:00 Awards -Gore Creek Promenade
8:00 - 11:00 Rock on Ice w/DJ and Video -Dobson
Feb 3 12:45 Beaver Creek Mall 4:00 Awards -Gore Creek Promenade
FRIDAY 3:00 Vail Childrens Fountain 5:00 - 8:00 Avon Winterfest Skating Party, Balloon
Beaver Creek Glow and Fireworks
Race 11:00
Feb 4 1:00 Beaver Creek Mall 1:00 - 5:00 Winterfest -Ski Joring, Black Powder 9:30 Perlman Reception-Westin
SATURDAY 2:00 McCoys Rendezvous, Chili Cook Off
Beaver Creek 3:30 Vail Childrens Fountain 4:00 Awards -Gore Creek Promenade
Race 11:00 8:00 Itzhak Perlman Concert -Dobson Arena
Feb 5 12:00 Mid Vail 1:00 - 5:00 Winterfest -Ski Joring, Black Powder 7:00 FIS Reception - Beano's
SUNDAY 1:00 Vail Village Rendezvous, Chili Cook Off
Vail 2:45 Vail Childrens Fountain 4:00 Awards -Gore Creek Promenade
Race 1:00 3:30 Lionshead Mall (~.5cti ~.~.w_ D
Feb 6 11:30 McCoys 3:00 - 5:30 Min 6:00 Colorado Economic
MONDAY 12:45 Beaver Creek Mall 4:00 Awards -Gore Creek Promenade Development Reception-Westin
Beaver Creek 3:30 Vail Childrens Fountain 8:00 Ice Show -Dobson Arena
Races 10 & 12:30
Feb 7 11:30 Mid Vail 4:00 Awazds -Gore Creek Promenade 6:00 - 8:00 Vail Friends Night
TUESDAY 1:30 Vail Childrens Fountain 8:00 Ice Show -Dobson Arena
Vail
Race 11.00
Feb 8 11:30 Mid Vail 4:00 Awards -Gore Creek Promenade 7:00 '89 Club Party-Village Hall
WEDNESDAY 1:30 Vail Childrens Fountain 8:00 Ice Show -Dobson Arena
Vail
Race 11:00
Feb 9 11:30 Mid Vail 4:00 Awards -Gore Creek Promenade
THURSDAY 1:30 Vail Childrens Fountain 6:00 - 10:00 Western Party honoring atheletes
Vail Dobson- Eagle Rodeo Assoc
Races 10 & 12:30 8:30 Gatlin Bros. -Dobson
Feb 10 11:30 Mid Vail 11:00 AM Mini Bi-athalon 7;00 - 11:00 Official Gala -
FRIDAY 1:30 Vail Childrens Fountain VMRD Vail Golf Course Village Hall
Feb 11 1:30 Vail Childrens Fountain 4:00 Awazds -Gore Creek Promenade
SATURDAY 8:00 Concert -Dobson Arena
Vail
Races 10 & 12:30
Feb 12 1:00 Vail Childrens Fountain 3:00 Awards and Closing Ceremonies
SUNDAY Gore Cteek Promenade
Vail
Races 9 & 11:30
1989 WORLD ALPINE SKI CHAMPIONSHIPS
STREET ENTERTAINMENT
Revised 12/4/88
This is a local volunteer effort with the exception of Sport Goofy, Helmut Fricker and the Gore-Tex
Fashion Shows. They are under contract to VA and we have limited use and scheduling flexibility.
The major emphasis is music and we aze limited in the kind we can present as our entertainers must be
mobile and have limited musical equipment requirements.
The Eagle Valley schools form the core of our scheduling as they had the least flexibility as far as
scheduling is concerned. We tried to fill in around their preferences. The schedule is tentative as there may
have to be changes in venue as a result of our just having learned that there are no pianos available at any of
the on-mountain venues and no amplification equipment available either.
The schools participating are as follows:
BMHS Battle Mountain High School -Choir and Jazz Band
EVES Eagle Valley Elementary School -Chorus
EVHS .Eagle Valley High School -Chorus and Band
MMES Meadow Mountain Elementary School -Chorus
MMS Minturn Middle School -Chorus and Band
RSES Red Sandstone Elementary School -Chorus
VMS Vail Mountain School -Band and Chorus
There will be approximately 350 students total appearing from the listed schools.
Musical guidelines: American
Includes: American Folk, Show,. Jazz, Contemporary, and Traditional music.
Examples of selections being prepared:
Music Man
West Side Story
Grease
Battle Hymm of Republic
Strike Up the Band
Stephen Foster Favorites
Born in the USA
Mood Indigo
Stars and Stripes Forever
It's a Small World
Puff the Magic Dragon
I't Like to Teach the World to Sing
In addition to the schools we will be presenting the Sweet Adelines, the Vail Community Chorale, and a
small Barbershop Group from the Chorale.
The Alpine Resort Ministry will be doing vocal and instrumental presentations as well as clowns that do
balloon sculptures. They will also be doing the Armchair Theatres which are a combination of clowns,
music, and short skits.
We could use more acts, specifically mimes and clowns. Naturally any volunteers must not be in need of
housing, money, nor indoor concert type venues since we have none of these to offer.
~r
~~
P
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TM
~,
lows o uai y'
p.o. box 567 1
vail, Colorado 81658
(303) 479-2200
department of police
December 7, 1988
The Lodge Properties
174 East Gore Creek Drive
Vail, Colorado 81657
Attention: Paul A. Jeppson
Dear Paul:
VAIL 1989
I have received your letter. of November 16, 1988 sent to our
Town Manager concerning the loading zone area in front of The
Promenade Shops on Gore Creek Drive. As you are aware,
deliveries in the Village Core area are a serious concern for
all involved parties and an area that we have spent a
considerable amount of time brainstorming.
The particular plan relating to Core closure and delivery
hours has been developed by our Parking and Transportation
Task Force,. which reviewed numerous suggestions. The plan now
in effect seems to best satisfy most involved parties' needs
and concerns and appears to be functional.
As it relates to your specific concern of idling vehicles, we
have recently revamped our parking permits issued at
Checkpoint Charlie to reflect the fact that idling of vehicles
is prohibited by Town of Vail ordinance. We hope to get
voluntary compliance from the delivery truck drivers, but will
take a strong enforcement posture should it become necessary.
I am enclosing a sample of the permit for your review.
I appreciate your concern and hope that by working together we
can make our Town an even more pleasant place to live and
visit.
r.
.,
Paul A. Jeppson
December 6, 1988
page 2
Should you have any additional questions or comments, please
feel free to contact me.
Sincerely,
TOWN OF VAIL
Kenne
Chief of Police
Enclosure
cc: J!lail Town Council
Ron Phillips, Town Manager
Hans Turnovszky, The Lodge Properties
Jorge J. Bosch, The Lodge Properties
James Cavanaugh, The Lodge Properties
Lyn Lee, Crabtree & Evelyn
William M. Mayer, FILA of Vail
Gwen Gunther, FILA of Vail
r
r~
~~~~~~
. t0~~a 0 Val ~'
p.o. box 567
veil, Colorado 81658 •
• (303) 476-5671
department of police
w~ccvM~
Va.i,e V.c.Z~,ag e .c,b a pede~s~ri.an maw, ceod ed .to
~ca~b~,c 8:30 a.m. - 10:30 a.m, and
2:00 p.m. - 5:00 p. m. -
Vehi.cee~s minx .atop a~ unmafcFzed .irLte~usecti.on.d.
Remindetc: Id.~i.ng os vehi.c.~e~s .cis pnohi.b.cted.
VAIL 1989
~hi.ve .a.2ow.~y and enjoy youh v.c,a.ct.
I 4
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• •NSON• G•• f~
CHaIl~aY O ~ a l
CHOi(IUY N
VAIL VILLAGE LOADING ZONES
I••Tl O//Kll '~ _
~ s. -AAKIMG IN D[EIGMAT ED LOADING ZONES ON111
1 I /~~. ~ .fir: ~ ALL OTUERI HILL 1E TICA[TED ANO TOMCD
/ aoou ODYIY .~~ /1
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00.
l0lM Ilaa~M
~~ ~ ~E~ - ~ 19~~
(/l~~men~s I~esourc~ Center I/1/I~C of Eac~leCount~
tower Level, Vail Library
P. O, Box 3414
HONORARY BOARD Vail, Colorado $1658
303/476-7384
Lt. Gov. Nancy Dick
Dr. Jack Eck 6 December 1988
Betty Ford
RenieGorsuch Dear Town Council Members
Sheiks Gramshammer
Mrs.CortlandiHill The Women's Resource Centerwishes to state it's concern
over the possible transfer of the Vail Youth Services to
David Kanally
-
the auspices of the ~lMRD. We strongly support the Buddy
Dottie Lamm program, and recognize the impact this excellent program
Richard Lamm has had on the community. To see it lose any of its very
Gail Wahrlich-Lowenthal necessary strength would be a great loss . The various
Darlene DeerTruchses other Human Services programs that have traditionally
been Town programs are also of great importance to our
families. Although not highly visible, these are the very
services that keep our community strong and healthy. We
need to protect them.
If the transfer is made, we request that some safeguard
be created for future years. To lose Human Services in
the overall recreational picture would devastate a much
]_arger part of our population than most of us realize. Not
only would individual families suffer the loss of services,
the schools would be impacted, as would the strong sense of
community that is generated by the Human Services programs.
We thank yoiz for your thoughtful consideration of these
significant issues.
Sin ly yours,
P mela Telleen
Chairperson, Executive Board
Cheryl L~ Pallet
Director
cc: Pat Dodson
clp/
RECREATION
A PUNISHING RUH
FOR SI(1 RESORTS
They must lure new fans to the sport to justify huge investments
11 through Thanksgiving week-
end, throngs of well-heeled skiers
milled through the snow-packed
streets of Vail, Colo. No wonder. A $40
million expansion program doubled ski-
ing terrain at the resort this year, mak-
ing Vail and neighboring Beaver Creek
North America's largest ski playground.
Meanwhile, Vail Village has added even
more gourmet restaurants and glittering
shops. Callers are flooding Vail's reser-
vations lines at twice last
year's pace.
The bad news is that Vail
is the exception. For most of
the nation's $1.6 billion ski
industry, the newly opened
season promises to be anoth-
er flat run. The slopes them-
selves have never been bet-
ter: Resort owners have
pumped $1.5 billion since
1980 into faster lifts and
high-tech grooming ma-
chines. But the huge invest-
ments haven't sparked much
interest. Skiers bought 53.9
million day passes at U. S.
resorts last season-barely
topping the record set a
year earlier and up only 8%
from the 1978-79 season.
The problem: Resorts
have failed to attract many
new skiers to the sport. So,
stuck with their heavy in-
vestments, many have fallen
back on cutthroat price bat-
tles in a desperate bid for
market share. "It's not a
healthy financial environ-
ment," admits Bob Bailey,
executive director of the
Utah Ski Assn. Indeed, Uni-
versity of Colorado business
professor Charles R. Goeldner figures
the average ski area made just $120,000
before taxes, on revenues of $6.3 million,
in the 1986-87 season. Even if skier visits
climb 3% this season, as expected, finan-
cial results won't be much better.
DISCOUNT couPONS. Those ugly num-
bers have begun shaking the glamorous
industry, into action. For the first time,
some Colorado resorts are making major
efforts to attract foreign customers: As-
pen now has 43 native German-speakers
on its ski-school stall', and Breckenridge,
purchased last summer by Japanese ski-
retailer Victoria Ltd., plans to lure down-
hillers from Tokyo. Others hope to keep
aging baby boomers in the sport by
grooming smoother trails. A few opera-
tors have initiated direct-flight programs
that allow out-of-state skiers to fly non-
stop into remote resorts. Utah plans to
build transportation links between five
to seven resorts near Salt Lake City.
There is even cooperation among nor-
malty. fractious developers. Consultant
McKinsey & Co. early next year will
deliver an industry-sponsored plan de-
signed to get more people on every
slope. "There are millions and millions of
people who would ski if they knew what
it was all about," contends Preston L.
Smith, CEO of s-x-t Ltd., which owns Kill-
ington, Vermont's biggest area.
That may be wishful thinking. Many
people shun the sport, turned off by the
potential for injury. And skiing remains
an expensive pastime: In some areas,
ticket prices run as high as $35 a day.
Although those prices may be justified
economically, they're frequently more
than the market will bear. Depressed
economies in Denver and Texas, for ex-
ample, have touched off a vicious dis-
counting war among Colorado resorts.
Ten of the state's smaller ski resorts are
offering a plan that slashes day-ticket
prices to $10. Steamboat Springs is of-
fering free skiing to children under 12
who are accompanied by an adult. Even
Vail, long the domain of wealthy out-of-
staters, is handing out discount coupons.
LONGER sEASON. Trouble is, as carmak-
ers can attest, once consumers get used
to cut-rate pricing, it's a habit that's
hard to break. "We've created a monster
with this discounting," complains Kelley
Davidson, vice-president for marketing
at Copper Mountain Resort. Indeed,
Goeldner reports that 11 of
18 Colorado resorts lost
money in the 1986.87 season.
"If our owners had put their
money into cns, they would
have had many times the re-
turn we've provided," adds
David Peri, marketing direc-
tor at Breckenridge.
The picture's a bit
brighter in New England-
but only just. Resorts in
Maine, New Hampshire, and
Vermont are far closer to
major population centers,
and they have pumped mil-
lions into snowmaking
equipment that has expand-
ed the season significantly.
They have also shunned
costly discounting. The re-
sult: "The best bottom line
in the industry" in recent
years, says Goeldner. Even
so, with such exceptions as
Killington and Maine's Sun-
day River, "this is not abig-
profit-margin business," ad-
mits Phillip C. Camp,
executive director of the
New England Ski Areas
Council.
Thin profits and big in-
vestment requirements have
buried many smaller resorts: The num-
ber of ski areas has declined by 35%
since 1980. Although most of the re-
maining 650 seem likely to survive,
"there are significant questions as to
how well we will live if we can't do a
better job of selling our product," pre-
dicts Leslie B. Otten, president of Sun-
day River. But selling ski vacations isn't
as easy as making snow: Facing a limit-
ed market, resorts will have an uphill
climb.
By William C. Symonds in Vail, Colo.
38 BUSINESS WEEK/DECEMBER 12. 1988
CONSTRUCTION IN YAILi DISCOUNT WARS NAVE ERODED PROFITS
TOWN OF VAIL MEMORANDUM
TO: Council Members
Ron Phillips
FROM: Finance, Steve Thompson
DATE: December 9, 1988
RE: November 30, 1988 Investment Report
Enclosed is the Investment Report with balances as of 11/30/88.
Short-term interest rates continued to be very strong in the month
of November. Our yield on overnight repurchase agreements has
been as high as 8.40% with an average of about 8..10%. Our goal is
to start reducing the amount of money in overnight repurchase
agreements to purchase some short-term (less than one year) dis-
count notes yielding over 9.0%.
On December 1, 1988, $2.7 million of our portfolio was used to
make our debt service payment. Since December 1st, the following
transactions have transpired:
1. The balance in the Colorado Trust has been reduced to
$932. We do not plan on using the Trust as an invest-
ment instrument unless the rates offered go up sub -
stantially.
2. We purchased $250,000 two-year treasury notes with a
bond equivalent yield of 9.07% in order to lock in a
higher rate of return for a two-year period. The yield
on the two-year note has not been this high since 1985.
3. We purchased $250,000 FHLB discount notes that mature on
4/28/89 yielding 9.11%.
Please let me know if you have any questions or comments. A pre-
sentation of the investment report is scheduled for the December
20, 1988 work session.
cc: Charlie Wick
4 ak~ri a{' !'all, Lai ar ada
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~ 1;x,128,185 is reserYes that the Town does not ha,re aaess to +er aperztien
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_______________________________
Fi s% usn: of 'v';~i i - iasiir-ancL
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AG E2~ DA
J ~ REGL '~R MEETING
~-~-•~ VAIL t~TROPOLI~~~~21 RECREATION DISTRICT
~~ BOARD CF DIRECTORS
WEDNESDAY, DECE~~SBER 14, 3:00 PM -TOWN COIINCIL CHAMBERS
1. Call to order - 3:00 PM 1. min
2. Approval of Minutes, Nove^ber 3 & 9, 1988 1 min
(see attached)
3. Financial report - Steve Thompson. 5 min
4. Gold Eagle Pass usage-Bob Knous (see attached letter) 15 min
a. discussion of billed 1988 rounds
5. X-Country Ski 20
a. Barb Masoner - track fee and equipment
b. Gene idauman - Colorado Nordic centers
6. Sleighride Agreement (see attached agreement) 10
a. Review Jones performance -1987/88
b. 1988/89 fee to be paid by Jones
7. Golf fees committee report - Wilson 10 min
(see attached notes)
8. Director of Golf - 1989 contract 20 min
Discussion and evaluation of 1988
9. Consolidation Discussion
10. Greater Eagle County Golf Association (see attached) 20 min
a. Discussion of VI•iRD participation - Town of Eagle
Willie Powell
11. Approval of PO's 5 min
Attachments: Minutes 11/3 & 9/88
Knous letter-Gold Eagle Pass
Sleighride Agreement
Golf Committee meeting notes 11/22/88
Greater Eagle County Goif Association
Rr'7~7I.AR MF,F'i'F?3G
~,'Aa, tfI;_"II~F~1LI~`~N F;EQZEA~TO?3 DISTRICT
P~,'ET 9, 1988
~.:~~~.~ ~'~'~~': Ken i~'ilson, iferv Lapin, Tim Garton, Gail Molloy, George
Knox
~~ tiT: Fat Da3son
C<~.L, 'lU OR~,EFt: The meeting was called to order at 3:08 PM.
AP~~VAL CF t~ttJI15: Wilson moved to approved the minutes from October 3, 1988
meeting, second by Knox, passed unanirio~~:sly.
STE`JE ~' iF'~'1
FIi~NCTAT, REF~3RT Steve Tho::,pson joins the meeting and hands out the
treasurer's report and revenues/expenditures report (see
attached).
Gail Molloy joins the meeting 3:10 I~i~i.
The collection of fees is ccmwlete for 1988. The green
fees are under by $51,169. Total shortage on revenue is
$74,767. The expenditures appear to be closer to budget
with an ending fund balance of $75,876.
Garton stated he and Pat officially shut the golf course
dawn on November 1, 1988.
Thai~on indicated the Town of Vail golf and tennis pass
usage revenue i.s included in t`iis report. The Gold Eagle
still has revenue due.
Garton wanted to know why the green fees are so far off?
The reasons could be more Gold Eagle play, more passes
used, no golf in April and November and October play was
from pass holders only.
Lapin arrives 3:21 P.~!
S~~~ant Pat to co~r~ up with some guidelines for setting pass
and green fee projections. Wilson feels VI~iRD is not
"losing" green fees. t~'e are keeping passes affordable
for the locals. Ron Phillips suggested the Boan-i look at
a pass ~~hich is good for a couple rounds per t~~eek and
anott~~er pass that is for unlimited play. Ron feels the
gre=~n fees were budgeted to aggressively for the 1988
budget -use more conservative projections in the future.
Garton would also like a conservative favor pst into the
future revenue projections.
Thorson foresees no reason VriRD will have to re}ce any
short term loans to get through the winter. Thorson
leaves at 3 : 3 3 P:~; .
. ~ __<~ F.f:~ r~~: D~~son sated 915 r` _:~.~ .ere ;:sue i:i L32 season. 130
passes ware sold. iiZe Fo.u~ation a.•.es ~~~~ $4, 920 for
rcun~ t.2sed over the base of 750 ~~-oiuxis.
I~dscn`s 1989 p%rs31 is:
600 tot..al yearly ra~.:r2ds
450 rou-~s June 10 to Septe.::ber 20 - any excess dur'isng
tt-~e pri.r.•~ tires tai11 be billed at $40.
Lapin moved the Gold Eagle pass proposal be adopted pP~-
October 28, 1988 r:~-io and $40 be charged for overages,
second by rolloy, passed unani-~o~.isly.
~ ~ rP0`JAL OF VAIL ~~'Y
:~~'~~TICY CG_FI1~~CT: Bob Krohn joins the ::meeting at 3:42 PF~I. SeA attacrr«ent C
for plantings at Gold Flak. t•;olloy is concerned the
b,ishes are too wall and of no use. Garton feels the
Be*r~~ay plan is fire. rolloy roved to approve the Vail
Vail Foundation contract as s~.~b ,fitted, second by Wilson,
passed unanirlously.
%~PF~VAL OF 'IRACr F
C02~Cr: Larry L,ichliter joins the meeting. Dodson stated he was
initially ccn~rned this new contract charged the
original lease teen of the contract.. Collins assured
Dodson the now lease DOES 2~ change the time frame.
Garton asked if the amended Fon3 Park master plan falls
through, can VMRD still. construct two tennis courts
at Gold Peak? Dodson stated Phillips indicated the ZnV
is delighted with the addition to Fon3 park and
encouraged taking the money frc¢n VA contingent on
an approval letter from the 'IOV. Lichliter stated he
will give the check to VMFtD only if he has a signed
agreement. The Board will postpone the signing of the
acrreement perxiing the approval of the amended Foni Park
taster Plan on December 6, 1988. The Board wants Jim
Collins to add a paragraph to the contract stating in the
event the Master Plan is not approved by the Tcx:m
Council, VtfitcD has the riot to build two tennis courts at
Cold Peak.
Lapin roved to approve the Second ti:~x~ent to the Ground
Lase and Termination of Agree_TM~ent bet':•:een V,"~RD and VA
pending approval of the revised Fond Park .•iaster Plan by
the To~h*n Council and accept the $125,000 from Vail
Associations, send by Wilson, approved unanimo~.isly.
X-CJ~P~7~tY S<I~~ ~iOLI~'
Ate'-:~~:r: Barb l~:asoner joins the m~etir~. She s~..ated the contract
bet~•ee..ri the TOV and ~~•u2D is the same as the past 2
years. Tne Tr.~,n will provide x-country skiing, snow
shoeing and after school progra^s. Knox moved to approve
the co~~ract, second by ~ti7ilson.
Barb indicated Ca;:~z tti~ilson will be co:~.ing to this meeting
to dise•~:ss the x-ceintry program. Lapin Uants to charge
a trac}: fee. The Bo.~d will defer this decision until
D~:~z Prilson sha;;s up.
~~ox ..~~d:t.a his _ ._ ~_cn to a~1_sa~~re ~,e contract.
Note: Later in the ::Ming after "recr~=~tion ~aestio^.s
on C~l~+J~ ~ lad t..lvn" Lapin ^ade a -potion ~~ arrrrove the x-
country s',;i c.:.nu~ct, seti..::xi by Knox, passed
unani ~u51y.
r,P~ Y nI, GF BY-LAt~
~:D y:Du~^~7IFTCA~I(~i
i~OLITI'IC~i: Lapin asks "may Collins t.2nted this. Dodson Stated to
protect .the :~oa n-~ and have an appro~,~ed set of guide
lines to follaa. Lapin Wade a motion to approve the Ey
La,as ar~d 7.zr?e~~rnification Resolution per Collins m emo on
Septe:.ber 28, 1988, second by tdilson, passed
unani~asly.
:`~~ :'AL Qr 1989 i~ff:L
LEVY: Lapin moved to set a 1.41 nil levy and encouraged the
hoard not to use the new construction next year and an
amount not to exceed $420,843.55, second by Knox, passed
unani r~x~~ly.
APPf~3'JAL OF VI~2D BC7D~"Er: Wilson stated he would approve the budget today an work
out the green fees after Satterstrnm and the board gets
together to discuss a green fee~rcrease for the
weekends. Wants to talk about the fees in January.
Wilson made a motion to approve. the 1989 budget as
presented for a total budget amount of $1,602,159, second
by Lapin, passed unanimously.
Garton wants to be co:~ervative on the green fee
estir.~tes .
Dodson clarifia3 the after 5 pass: Cost of pass is $125
Pre and Post season play is $10 anytime, during season is
$10 after 5 PM. Garton asked Wilson, Knox and Molloy to
meet with Satterstrom and discuss the fee s'~cture.
X-CU[7h~32Y SKIIh~: Dawn Wilson joins the meeting at 4:56 PM. Dawz gave the
board a letter from the Vail Nordic Ski Club (see
attached). Da4~z asked ~~o is responsible for x-country
skiing. Garton e~~laired Vi~~D is golf and tennis. TOV
is x-country, but `~~D is in the process of assuming. all
recreation. They are very interested in quality x-
country skiing. <<.olloy asked what Dawz was suggesting.
Dawz -would like more t:~e spent on track setting, but
do not c~.asge fe~._.s this year.
C-azten state3 t:ney will set track as best they can and
c'r~~~e a s-.all voluntary fee. Lapin 4rants Dawn to
forrally organize the Vail Nordic Ski Club and obtain
their 5013c stat?as. V~RD will ask the TOV if they can
ta};e over all asp`c-ts of '~,e x-country ski operation.
~~ "RD grants Fat to co ':e up ~~; ith a proposed budget for the
x-country prog?~~:. 'ron fillips suggests the Tern
mechanics could help revise the existing equip-:ent a.*rl
Larry L:ic~~~liter of ~~ r~s a~vess to used egii~~nt.
~,~~1_~_
CXd Q'~SOLiI1~T021: Garcon stated tte c .alma ~ ~ er `will r~:.in ne~.:tral
to the e~loye`-s. 'Ihe 1.45°~ for .~~licare he feels is a
~Tlefit t0 the G.T;?p1G'~ ~a c„T"2~ ~.h~4' =}:C'.:id pcy fvr lt. '1*:e
3rd i'?31Caed i}'.°y ~:~:'ula I'i^.. }J°_ irT..y'?::~5 o.i" arter the
cha_r~e o-~er. '~ney ~•: ill erect ever~`t':ir~r ; ~y~-~agh meson
or the person in D~.:son's p.:siticn. Garton ..,~icated the
n~ ` s}ems fcr ~'~~D `r; lli b? ~o ~t , TZth ~.he ~;:n C~~ncll
lri 2 Weeks, Ncve:;b`-r 22, i~o8 at 2; 30 Ri~. Gays-',-.on 4antS
Dodson to ar~._.nd the organizational plan_to reflect the
ne`.a costs .
~~ S~~:~~ I2~;.y~A:vTC'E: See attached ne~o fm_n D~'.son. Fat re•.:.,,::::2~...s the BcatZi
carry the Stephenson ins~,z~~.r-~ b`~~.~e cf the previous
boas~is co.--~T:i~~ent. Tne ~,`ife' s insce is up to the
&~x:zrls option. 1~Iolloy rade a rrstion to provide health
insurance of $725 per year, per person (Art and wife
Marilyn) , se~..cn~d by P7ilscn, pass: u::a.-+.: measly.
BTTT• ~2IGf~: Dodson indicated he had spoken to j'7right and he will sign
his contract and return to work for VN.~2D in 1939.
GOI~ MA~?~*K~ SHOP
I~~: Dodson stated a rs. Glass had called him and indicate
Vr~2D has a 1 year option to purchase the golf maintenance
land. Af'•~er 1 year the option to purchase the lard will
be opened to the public. Ron Phillips stated the Board
and Dodson should avoid speaking to Tart Glass re~arcling
the ~arGhase of this land.. VI•'~D should speak directly to
the Forest service to negotiate a purchase. Dodson,
Iarty Eskwith and Ron Phillips will get together to gEt a
handle on this p~zrchase of this property.
PURGS3ASE G?S: D~olloy rade a motion to approve the P0, second by Knox,
unanil-nous .
AI110L'F~fiiII~Ir: ~,~e board adjo~zrned at 6:39 Pi~i.
Ga_1 I•iolloy, Secre~..ary
7~~y.~ 1"tLlVv' 1..3~i+17~r~T~tV.
RD;G~IAR '.i3ii11.:V
VAIL ~Ir"~POL1'I~'1 R~ATIOid DLSI"32ICT
2i~.rF3~' 3, 1988
2•'25 air: Ren ttiilson, Merv Lapin, Tim Garton, Gail 1iolloy
r~r~S Affi ,+~: Gearge K*rex
CALL ~ ORDr'~2: The meting Eras called to order at 2:16 PM.
Ftr."SOIITZ'ICb7 GFR~It3G
A:~~•~fr 6 OF Tf~
ODLU'ZADO OO2~iION: Lapin Wade a motion to approve the resolution, second by
Wilson, passed ur.~animous.
1989 NBL IVY: Dodson handed out ~ (see attached ). Garton stated
the 2 ways to earn revernse is through green fees or mil
levy. Garton is against a tax increase and t=rants to go
with version 2 from the attached memo. Lapin made a
motion to approve 1.41 mil to produce $411,170 net taxes,
second by Wilson, passed unanimously.
CXX~LSOI3II1'~'1'ION: Barwick joins the meeting. See attached draft of
Consolidation Plan. Barwick will take out the $22,000
for the additional insurance fees. Recreation er~loyees
were being classified under "other e.~loyees" at a $1.50
rate vs. $7.58 rate.
L~1 f~.s $12,500. The Board feels this is a 1 time fee
only arrd the Town Attorney will do the District work
after the contract is finalized.
Garton handed out the Vail Plan for Reorga...nized
Recreation (see attached). Garton stated the Board
should actually wri~,~ out some narrative that the true
issue is effectiveness and not are we .only going to
increase in effectiveness by this move, but also the TOV
from reducir~ sore of their staff from working with us in
a slightly inefficient canner. t~~ich the To;•m admits
therselves because. of their lack of being in the loop or
having any au~~hcrity - they do not have the level of
efficiency they ;could li~~e to have. I think the tn:e
issue is one of effectiveness and ~~rhat has escaped people
up to now is this transfer ~•rill irpro-~e the T'OJ' s
of fe~-tive~tess .
Garton and Bodscn will get together and finalize this
prop/sal and reset with t':e Council on Nove.::oer 22, 1988.
Collins should attend t.:`zis ~.~ting.
~~.r~TICi ~•~I:f~Y~
%C•:3: 1he B~ _~3 irxai^~}..ed t}_air inventicrs ~:~`re nct
to ray=.e a_ny chances in s.laries or i~ ref its fcr u'~e rTMJV
~ac.~aticn E-~loy~s. They ~•d'J:iid li,~>e to oL..=...raT`e the
rec~;sation procr~-~ for 1 year :,-efore r~}:i.. y any raj or
c~^.as~es. 'fie B~ar3 pants all E~loyees to ~-~ and talk
to ~n~r~ at 5 rid d:zring t'~:eir ^~~ re;^.~~ ar ruing.
3ar~:ick leaves t':e reetir~.
"'~•",,.L~~T TO F~~D PAS
iy'~` ~ PIA'7: meter Patten joins the Ir:~ting. Fatten ~:~ants to hold a
joint TrJV/~fi~D and staff. r~•etir~g, to fcr::-alize the Ford
Pa~k 2 `3.ster Pl~~ a.: ~.rx~~~er:t . 'r'.e would also 1 ine Trip to
dY-aw up the ar~nded plan. Then a ~eetirg s.,ould be held
with Vail Valley Foundation, Alpine Gai~ens, and any
softball representative or any other interes+..ed party.
This plan should be passed by the Ta.~m Council December
6, 1988. Ken Wilson and Tint Garton will be the 2
representatives of VI~2D for the purpose of the above
m.°etings.
Summary
First Meeting: Task force review site and have THK
redraw the plans.
Second P:•eeting: meet with groups, tennis, softball,
Alpine Garden, etc.
'Third 2•ieeting: Go to Cbemcil
Gail 2~Solley aria Peter Patten leave rr~ting
AII70L'?Z2~;•'~~: Meeting was adjourned at 4:49 PM
Gal liolloy, Secretary -
r~
~~
i 'J
~~ ~~~~ ~~~~~1
Hoard of Directors
7esidert vrra:d R. Ford November 15, 1988
Ro:rrt E. Barre^.:
~aTeS F1e:T~' Lraddal:
ack L,rOCi,c
!-?. Ben;am:n Duke, ir.
`iam H. i=ra:r.^:on. III
Gmrer \. iJ _ett, lr.
Fe^~ vrarnhammer Mr. Tim G3rtOn
.'.!artha Head
`~`ii:ia:n':. Hybl Chairi;3an
~ckn;u Vail Metropolitan Recreation District
Hcnrt' R. i:ra~is 292 West Meadow Drive
iam~ D. Rohin~on, IIl
F.^hu4ti~;,., Vail, Colorado 81657
'.1•~hael S. Fannon
Raincc E. ~;iter
Richard L ~~ig
l)scar L. Tang Dear Tim,
Time is flying by as we get ready to greet the skiing world, only 75 days
twokn~t~ away. A number of issues have come up which I want to address with
President respect to the Vail Valley Foundation and the Vail Metropolitan Recreation
District.
First, thank you for working with Bob Krohn on difficult negotiations
regarding the Golden Peak stadium. When you see 40 teams march in, listen
to Sohn Denver sing the National anthe-n; hear President Ford; watch Stein
Ericksen ski the last leg of the Aspen to Vail FIS Flag Run - I hope all
your members will be pleased that they were a part of this event.
Second, we are trying to help Pat in his efforts to secure Vail as the
host site for the "Symphony of Sports". It is on ABC's schedule. We
would like them to sell banner sponsorship .with ad sales. Pat will have
to work it, but we might be able to open the door.
Third, space permitting, we will try to get the story about Eagle
providers in our 89 official pragra,-n. This will be decided by
Thanksgiving when the book goes to press.
Fourth, we are interested in the "Vail Athletic Ambassador" program, but
honestly, it is tough for us to focus on anything .but the Championships
now. I hope you keep moving forward with the Town until we can help out.
r P Fifth, we are in receipt of your "overage" fee for $4,920 for 1988 Eagle
,, r,y use. Tim, I agree with the accounting, except for the charge for the
`,?-~ Eagles.
v\~,
A Coiorado'`on-Profit Corporation
Organising athletic. edu:atiora: and cuitura! procrartu in the ~'a:'i Vallee.
Post Oitue Box 3~~ • Fail, wlorado :+1 E~~ • (3~ 314 i 6-9~~~~
Trlex: 91 ~-Z~~_ I9gQ Fax: t 3.31 i ~ 6- ~ 32~~
~ai1 UaIley Fou~~a~ori
Mr. Tim Garton
~oara ~t Diresxors 'vove.~:ber 15, 1988
.r:K:den: Gera;d R. Ford Page TWO
'3.^.105 YT^: -~.. a, :~~ak
a:k cr~5~,
..- 3cn~am:n Duke. Ir.
~:ar::a .._>..
\1 :.i:am i. iz~bi
Ftic }:nom
Henn' R..l": a~~s
lames D. F~~~:tuon, III
F;~;,~~:~, s`~tt
~11.'lael J. ~ha:lnon
Roinec E. S;fr.
R1:hard L ~u~g
115;.ar L. Tang
X57 To-rrn of Vail = 29 total uses
I3 prime Vises
n58 Town of Vail = 27 total uses
7 prime uses
#I00 Chris Kempf = 42 total uses
15 prime uses
Total: 98 uses X 30 = $2,940
We propose that the balance of $1,980 ($4,920 - $2,940) is the correct
figure. We would like to finalize this and submit this a'nount
[w•~ 1~nJU5 ?
~~
["r051dCR: /
immediately.
~i ~- Finally, that brings us to an agreement for the summer of 1989. The VMRD
_ ~~ `~
~ Board has correctly focused on the "prime time" (June 10th to September
-;~-- `.r
~
` 20th) of Eagle pass impacts. We agree that an overage fee of $40.00 is
~.~
' ~;
.
' appropriate for rounds in excess of 450. Actual usage in 1988 for this
_
1J_~ period was 432.
However, I think everyone agrees the impact of the Eagle passes are far
less in the "pre" and "post" prime periods. In 1988, 482 rounds were
played in these periods (note: calculations based on Memorial Day to Labor
Day). Because the impacts of "pre" and "post" rounds are less severe, we
would like to have these rounds contributed. The net result is that we
are not focusing on 900, 750, or 600 rounds, but 450 in prime time.
Tim, this really addresses the Eagles' impact on the fine Vail course.
Would you consider this and let me know the Board's thoughts?
Thank you in advance for your thoughtful consideration of these matters.
I know you have been patient, which we truly appreciate. Now with the ski
season here, we are looking forward to finalizing them soon.
Sincerely,
~ r
O'
Bob Knous
President
cc: Patrick Dodson
:~ Colorado \on-Profit Corporation
Organ~;n¢ athletic, educaronal and cultural ~ r xra:rs 1n the Fail \'a;iey.
Pos ~~Ince &~x ~.^a . \~>::. l`o'.;,rado ~ 1 r,~ ~ . i j; i i ~ , ~.qj `\
t
.. r
t`... --. _ r ... _~
SLEIGHRIDE AGREE'fENT
THIS AGREE2~~NT is entered into on this iC:~ day of November,
1987, between VAIL METROPOLITAN RECREATION DISTRICT, a Colorado
quasi-governmental entity.("District"), and STEVE B. JONES, INC.,
a Colorado corporation ("Jones").
w'HEREAS, the District is the lessee and operator of the
Vail Municipal Golf Course ("Golf Course"); and
~~~r:EREAS, in order to add to the enjoyment and benefits
received by the public and, in particular, the guests, citizens,
and residents of the District and the Town of Vail, the parties
find that it is desirable that Jones have the nonexclusive right
to make available to the public sleighride services during the
winter months.
IN CONSIDERATION of the payments agreed to be made by
Jones, and the other covenants and promises contained herein,
the parties agree as follows:
1. Jones shall have the nonexclusive right, subject to
all the terms and provisions of this Agreement, to provide
sleighride services to the general public on certain areas of
the Vail Golf Course. Nothing. in this Agreement shall be
construed to give the Town the right to allow any other person
or entity to use the trails which are packed and maintained by
Jones.
All the areas which Jones shall be x~ermitted to use
for trails shall be approved by the District's Golf Course
Superintendent and the Town of Vail's Cross-Country Ski Director.
It is understood by the parties that sleigh trails may
be affected by snow conditions and changes in the areas Jones is
permitted to use for its trails may be changed from time to time.
:.inor changes may be approved by the Golf Course Superintendent
if, in his sole opinion, he determines that such changes are
reasonable, necessitated by prevailing snow and trail conditions
and would not be detrimental to the Golf Course or the
cross-ccuntry ski trails located thereon. 2~iajor charges shall
require the approval of the District.
The Golf Course Superintendent shall, in his sole
judgment, have the authority and power to dete~--Wine whether any
requested change is major or minor.
It is expressly understood by Jones that the sleighride
operation shall in no way interfere with the cress-country ski
trails which are located on the Golf Course, or any Town of Vail
or Departrent programs relating to cress-country skiing.
The parties understand, however, that cross-country
skiers use Janes' sleigh trails on a regular basis and complaints
from skiers relating to the conditions of the trails designated
by the District for use of Jones and maintained by Jones shall
not be evidence of interference by Jones with the cross-country
ski tracks an the Golf Course.
2. Jones will pay all costs of installation, maintenance,
construction, and operation necessary for the satisfactory
operation of the sleighride services. These costs will include,
by way of example and not limitation, utility services,. salaries
of employees, maintenance of sleigh and related equipment, and
the maintenance and feeding of the horses. All equipment and
facilities incident to the satisfactory operation of the sleigh-
ride services will be furnished by Jones.
3. The location of the trails to be utilized by Jones and
the length of such trail shall be exclusively designated by the
District. Any alterations to the Golf Course to be made by
Jones incident to the operation of the sleighride services must
be approved by the District .prior to the com,uencenent of any
alterations. Jones will operate the sleighride services so as
not to interfere with the nornal cainter use and enj oyr:.ent of the
Golf Course by the general p~.zblic. All rules and regulations of
the District shall be adhered to by Jones, as well as all the
ordinances of the Town of Vail and the laws and statutes of the
State of Colorado and the rederal goverment. Jones shall
2
operate its sleighs in a safe and prudent .manner at all times
and in such a way as to cause no darage to the Golf Course.
Jones will repair, at no cost to the District, any
damages to the Golf Course property which may be ca~.:sed by
Jones, its agents, or enpl yees.
4. All horses to b ~t' 'ze/~in the sleighride operation
shall be stabled at a to ora'~~ barn next to the sixteenth
fairway.,~~ The design of`th barn Hall be subject to the approval
of the District and the To of Vail.
5. The sleighs to a used in the sleighride operation
shall be maintained in a safe, neat, and satisfactory condition
and they shall be subject to the inspection of the District at
all times.
6. In operating the sleighride operatian, Jones shall act
as an independent contractor and not as an agent, representative,
or employee of the District. The District shall not be respon-
sible for the wages or salary of any employee or representative
of Jones, nor for any debts or liabilities or other obligations
of Jones. Its employees shall not be considered as District
employees and shall not be eligible for the benefits incident to
District erployees or subject to supervision by District offi-
cials. Jones shall employ only individuals who conduct them-
selves in a canner which shall be a favorable reflection on the
District and the Town of Vail, and to demonstrate tact, courtesy,
and good judgement. All employees of Jones shall be competent to
perform their job and shall not use alcohol or drugs during
working hours. Should the District determine that any of Jones
employees is conducting himself in an improper manner, Jones
shall be notified and .Jones shall have ten (10) days to rectify
the situation. Should the employee continue to act in an
improper fashion after said ten (10) day period, the District
shall have the right, through its officers and agents, to eject
such e::~ployee from the premises, and Jones, for itself, its
agents, and employees, waives any and all claims for damages
3
r.
against the District, its officers, and agents and/or police
o~ficers on account thereof.
7. Jones will carry wor}~an' s corper.sation insurance
covering all persons employed by it in connection with the
sleighride operation. Jones shall not cor.:mence operation until
it has procured and filed with the District a policy or policies
of public liability insurance, naming the District as an addi-
tional named insured, in the liability amounts as follows:
$500,000 for injury to one person in one accident and $500,000
for injury to more than one person in one accident; property
damage insurance in an amount not less than $500,000.
Fire and casualty insurance in an amount equal to the
replacement value of any building or structure Jones may con-
struct on the Golf Course shall also be obtained by Jones.
8. Jones shall not by virtue of this Agreement be deemed
to have become a tenant of the District, or any of the premises
referred to in this Agreement, nor to have been given by the
District the possession of any such real property. As to the
premises it is entitled to use in accordance with this Agreement,
it shall be deemed merely to be a licensee permitted to enter
thereon solely for the purpose of exercising. the rights and
privileges granted in this Agreement. Upon- any termination of
the Agreement, the District shall have the right through such
means as it sees fit to remove and exclude from its premises
Jones and any of its agents~or employees without being deemed
guilty of any unlawful entry, trespass, or injury of any sort
whatsoever.
9. Jones shall pay to the District far the privileges
granted in this Agreement, two and ore-half percent (2 1/2~) of
the gross monthly receipts.
Said payment shall be made to the District at the Town
of ~~ail P.ecreation office on or before the tenth (10th) day of
the month succeeding each calendar month of the term, or portion
thereof, for Jones' operation of the preceding month.
4
Gress receipts as used in this Agreement means all
fees paid or payable to Jones for sleighrides, whether received
by cash or by credit. Gross receipts, however, shall not
include any federal, state, or municipal sales tax or other
similar taxes which are separately stated and collected from
custe^Wers of Jones, nor sums received as insurance proceeds or
otherwise for damages to the equipment or other property of
Jones, except as otherwise provided for in this Agreement.
Each monthly payment required of Jones by this para-
graph shall be accompanied by a report, in a foam acceptable to
the District, showing Jones' gross receipts for said month and
cumulative gross receipts for the contract year to and including
said month.
Jones shall also y the District $1,000, payable upon
the signing of this co j~and the additional amount of
,~ - ~
$1, 000 on each of the ~~ - ~iversary dates thereafter, for the
use of the Track Setter e pment.
Jones shall maintain at its main officA at Eagle
County, Colorado, its books, ledgers, journals,. or records in
which are kept all entries reflecting its operations at the Golf
Course under this Agreement. Such books, ledgers, journals,
accounts, or records shall be available for inspection and
examination by the District and its designated agents and
employees, at all reasonable tines during business hours and
upon reasonable notice, the District shall be permitted to make
copies and excerpts from said records as may be necessary to
make a full, proper, and complete audit of all business trans-
acted by Jones in connection with its Golf Course operation.
j•+ithin thirty (30) days of the expiration of each year of the
term of this Agreement, Jones shall furnish to the District a
stater,ent prepared by a certified public accountant and attested
to by an officer of Jones, covering all business transacted by
Jones in co:~nection with its operation on the Golf Course and
showing the gross revenue derived by Jones from such operation.
5
10. No later than April 30 of each year, Janes shall
remove all of the equipment, property, and personnel from the
premises described in this Agreement and restore all of said
property to the state in which it existed at the tilde of the
signing of this Agreement.
11. Jones agrees that it shall, at its own expense,
defend, indemnify, save, and hold harmless the District, its
officers, employees, and agents from and against all liability
and ccsts, including attorneys' fees, or loss from injuries to
or against the persons or da~.age to property caused by any act
or omission to act, or use of, or occupancy of the property and
premises described in this Agreement by Jones, its employees,
licensees, agents, and invitees, or any other person authorized
by Jones to use the said property or any portion thereof, as a
result of any of their or Jones' operations or other activities,
regardless of whether said operations or other activities are on
or off said premises. Jones shall give the District prompt and
timely notice of any claim made or suit instituted coming to the
knowledge of its or its employees or agents which in any way
reasonably appears to affect or which might affect the District.
12. Jones shall keep and maintain its barn in a clean and
.sanitary condition and in a state of good repair..
13. Unless terminated for cause or as set forth in this
paragraph, the license or privilege granted by this Agreement
shall be for a term which will commence on the date of execution
and shall expire five years thereafter, but the period of
operation each year shall be no longer than November 15 to April
30. Ho:aever, the District shall have the right to terminate this
Agreement without cause upon the giving of thirty. (30) days
written notice of such termination to Jones. Subsequent to
April 30 of each year, Jones' performance shall be reviewed and
evaluated by the District. If Jones' performance is found to be
satisfactory, this Agreement shall continue in full force and
effect, except that the fee to be paid by Jones to the District
6
shall be subject to renegotiation by the parties. Both the
com.:~encement date and termination date of the sleighride
operation are subject to modification by the District should it
be determined that there is not sufficient snow on the Golf
Course to allow sleighrides without damage to the Golf Course.
14. Jones shall obtain and pay for any permits or licenses
re~sired by the State of Colorado or the Town of Vail prior to
the operation of its sleighride operation.
15. Jones shall obtain and present to the District a
letter from the present lessors of the Golf Course, acceptable
to the District, granting their penaission to Jones to run a
sleighride operation on the Golf Course and erect a barn on the
Golf Course.
16. No advertising by posters or handbills shall be
permitted on the Golf Course by Jones. Signs approved by the
District and the Town of Vail Design Review Board shall be
permitted.
17. Jones will obtain its own telephone and phone number
for its sleighride operation.
18. Jones shall not assign this Agreement without the
written consent of the District, nor shall Jones assign any of
the rights or privileges herein granted without the written
consent of the District. For the purposes of this Agreement, a
sale or assignment of more than fifty percent (50$) of the
outstanding common stock of Jones to an individual other than
Steve Jones shall be considered as assignment of this Agreement.
19. This Agreement represents the entire understanding of
the parties and it shall not be amended or modified except by an
Agree:~ent in writing signed by the parties.
20. Any waiver of any breach of the terms contained in
this Agreement shall not be considered a continuing waiver and
shall not operate the bar or prevent the District from declaring
a fcrfeiture for any succeeding breach of the same conditions or
any otter term or covenant of this Agree~::ent.
7
21. Jones, each year prior to using the Golf Course for
sleighrides, shall deposit with the District the amount of
$5,000 as security for the. full and faithful performance by Jones
of all the terms and conditions of this Agrezment. The District
nay apply or retain the, whole or any part of the security
deposit to the extent required by reason of Jones' default in
respect to any of the terms hereof, including but not limited to
any damages to the Golf Course as determined by the Golf Course
Superintendent or deficiencies in payments to the District. In
the event that Jones will conply with all of the terms of this
Agreement, the security deposit shall be returned to Jones by May
31 of each year. Said security deposit shall be placed in an
interest bearing account each year and the interest thereon at
the average rate of earnings shall be paid to Jones, provided
Jones has complied with all the terms of this Agreement. Whether
or not Jones has complied with all the terms of this Agreement
shall be determined by the District.
22. In the Event any covenant, condition, or provision
contained in this Agreement is held to be invalid by any court
of competent jurisdiction, the invalidity of any such covenant,
condition, or provision contained herein, providing that the
validity of said covenant, condition, or provision does not- -
materially prejudice either the District or Jones in their
respective rights and obligations- as contained in the valid
covenants, conditions, or previsions of this Agreement, shall
not affect the validity of the other provisions of this
Agreement.
8
t
IN ~4'I~i-::ESS h':iEREOF, the parties have signed this Agree~+ent
as of the date first above written.
By:
11 t~1G•
VAIL b~TROPOLITAN
RECR~`ATI~N DISTRICT
By: ~ /.
Title:
ATTEST:
,, ~,
`-Secretary
9
r n
NOTES FROM GOLF COi~'?~IITTEE I~ZEETING 11/ 2 2/ 8 8
The Golf Cor.:mittee composed of Ken Wilson, Gail Molloy, Steve
Satterstrom and Pat Dodson met and made recor~nendations to update
the 1989 golf fee schedule. Their recommendations were as
follo~~:s:
Passes:
Resident restricted Monday to Friday $400
Resident restricted Aionday to Friday and after 1:30 on the
weekends $500.
Resident unlimited pass can play any time - $650
Resident Pre/post & after 5 pass $125 + $10 green fees
Green Fees:
Non resident/non owner $50 for 18 holes
Non resident/non owner greens fees 9 holes $25
Resident/owner/Nail hotel guest $40 for 18 holes
Resident/owner/Nail hotel guest $22 for 9 holes
Resident ID green fee card $25 - entitles holder to pay resident
rate for green fees.
Carts:
A suggestion was made that a minimum of $5 be charged for every
cart that leaves the cart barn. Free to Ben, Steve and certain
other people. No decision made. Committee felt no reason to
charge board members for carts. They felt no decision should be
made until they receive input from the other board members.
Under these recommendations the following would remain the same.
Jr. Golf Pass (up to 17 years, Eagle County Resident) $50
Resident Sr. Citizen Pass - 50% discount
Resident Sr. Citizen ID Card (entitled to 50% off green fees)
$25
Jr. Green Fees (up to 17 years, resident & non res) 50% off
Resident Sr. Citizen (65 years, men & women) must have ID pass
50% off
CC: All board members
... ~ '
.~
., .
_ ~'~ DEC ~ 3 1~~~
BRADWAY ENTERPRISES, -INC.
POST OFFICE DRAWER 369, VAIL, COLORADO 81658.• (303J 476.1112
REAL ESTATE • CONSTRUCTION • PI?OPERTY MANAGEMENT • RESORT SERVICES
December 12, 1988
Council Members
Town of Vail
75 S. Frontage Road best.
Vail, CO -81657
HAND DELIVERED
10 COPIES
REFERENCE:. Proposed Ordinance No: 38-1988
Ladies & Gentlemen:
I would like to reiterate and amplify some of the comments I made at the
December 6 public hearing on this ordinance and I request that these comments
be made a part of the official record.
First I would like to say that I agree with Bill Post's remarks that this
ordinance may be subject to legal challenge for several reasons, including
the fact that the ordinance smacks of a tax on gross income for which
Colorado Municipalities are prohibited from collecting. I believe this
may be so due to the stated goal of aligning. the amount of the fee (or
tax) with sales tax receipts by class of licencee.
Notwithstanding this consideration, I wish you would give some attention
to a few provisions as follows:
A. Revise 5.04.040(8) and 5.04.020(F,) by adding that unit fees shall
not be paid more than once in any year for the same unit. If, for
example, a time-share project pays a fee for unit~XXX, an outside
rental agent will not also have to pay the fee just because it rents
a particular week.
6. Clarify 5.04.040 to avoid a business paying more than its fair
share merely because that business conducts activity in sevaral cat-
egories. I might suggest that the fee be calculated for each activity
and the business then pays the highest.
C. Strengthen 4.04.070(F.) and 5.04.050 to provide for both civil
and criminal penalties for the divulgence of any information obtained
as a result of administering or enforcing this ordinance.
D. Amplify 5.04.100 by adding that "the proceeds of the special
revenue fund shall not be used directly or indirectly for private
Town of ~Vai 1
December 12,.1988
Page Two
purposes or to promote one or more businesses of -the same
category."
E. Revise 5.04.060 (Exemptions) C. and G. to refer only to
organizations exempt under U.S. Tax Code Section 501, et. seq.
There is no sound basis for exempting "non-profit" corporations
solely. on that basis for we all know they-can and do carry on
"profitable" (remunerative) activities in direct competition
with "for-profit" businesses. The only true test of an
organization's eleemosynary motives is whether they have a
federal tax exemption in the subject year.
Additionally, in Section G., I believe there is no such. thing
as an "exempt" individual in this context.
I appr fate your consideration of my concerns.
Si cerely
Trevor T. Bradway
TTB/sb
P.S. You may recall my references to a letter the VRA recently sent to
its members and their vehement denial. A copy of that letter is
attached which I believe speaks for itself! This exemplifies
the reason I am very concerned about making sure these public
funds are not used for private purposes.
May
T~
t ~~~~/
•
f~ ~
~OLI V L~ ~~~~~01~ V
`~~~~~ ~. ~ 1~8~
241 E. Meadow Drive Vail, Colorado 81657
DATE:' VRA Lodging Members
FROM: Sylvia Blount, Executive Director
RE: Marketing Fund
Enclosed please find an invoice for your first monthly contribution. to
the marketing fund. As we discussed at the September 22nd Lodging
_ Meeting, the lodges would begin contributions into the marketing fund
until the Town of Vail fund is established. The fund which will replace
the current business license fee will be $325 plus $17 per unit from.
lodges in Zone 1 (Manor Vail to Cascade Village) and $275 plus $12.75
for lodges in Zone 2 (East Vail, West Vail, Sandstone,~Avon & Beaver
Creek). Because of the tremendous need to get our 8004 out to the
consumer, it was decided by your board of directors that we must start
the marketing fund immediately. We have pro-rated the amount accord-
ing to your zone. Vail Associates has also agreed to contribute $50,000
to the marketing fund and will pay a monthly amount of $4167 to the VRA
until the TOV marketing fund is in place.
A special line item in our budget has been established so you know that-
this money is going for marketing and advertising and not for adminis-
trative costs.
If you have any questions please give me a call.
CENTRAL RESERVATIONS • (303) 476-5677
MARKET[NGjCHAMBEft SERVICES • (303) 476-1000 • Denver Line 595-94fi$
**** M E M O R A N D U M
TO: RON PHILLIPS
FROM : DICK DURAN {(~)~
DATE: DECEMBER 6,1988
RE: DOGS IN MATTERHORN
* * * * * * * * * *
On 11/28/88, I asked Laura Paxton to do extra patrol in the
Matterhorn area, due to a complaint of dogs running in packs.
The following is a list of dates and times, with situations
found. Please let me know if you want us to continue this much
patrol in this area.
DATE TIME DOGS / SITUATIONS FOUND
28-Nov-88 13:45 DINGO / WITH LEASH / RAL
NEIGH BOR TOOK DOG HOME
15:00 DINGO / LOOSE AGAIN
TAKEN TO SHELTER
29-Nov-88 08:00 NONE
10:00 NONE
12:15 NONE
30-Nov-88 09:00 DOG / PTARMIGAN / RAL
12:00 NONE
13:30 NONE
16:30 NONE
01-Dec-88 08:00 NONE
11:30 NONE
16:00 NONE
03-Dec-88 08:00 NONE
09:00 NONE
12:45 NONE
14:00 NONE
04-Dec-88 07:45 NONE
10:00 NONE
14:00 NONE
06-Dec-88 09:00 NONE
09:30 NONE
town o(uai
75 south frontage road
vail, Colorado 81657
(303) 476-7000
December 6, 1988
Mr. Hans D. Turnovszky
Managing Director
The Lodge at Vail
174 East Gore Creek Drive
Vail, CO 81657
Dear Mr. Turnovszky:
I received your letter
88-6 - Exemptions, and spoke
wanted to write and let you
concerning the Vail Sales Tax Policy
with your assistant last week. I
know what we had discussed.
The first question was on how to deal with the World Alpine
Ski Championships which is handled by the Vail Valley Foundation
(a tax-exempt organization): Although the Foundation itself is
tax exempt, the only lodging which qualifies for tax-exempt
status would be the lodging for those people directly involved
with putting on the Championships - entertainers, speakers, staff
organizing the events, etc. A guest of the Foundation who is not
involved with the production of the events would pay tax.
Your second question concerned foreign embassy employees as
well as ambassadors and consulate employees: As you state, these
persons do not pay sales tax on many items, but they may pay sales
taxes on some items. Each diplomat is issued a Department of
State tax-exemption card, and these are clearly marked as to what
type of purchases are tax exempt. We have contacted the Colorado
Department of Revenue at 1-800-332-2085 for you and asked them to
send you copies of the Tax Exemption Program Sheet. This sheet
will show each of four types of cards, explaining what is tax
exempt, and they are perfect for reference purposes.
Finally, on your third question, many organizations that have
tax-exempt numbers also make purchases that do not fall under the
proper use of a tax-exempt number. One example is a school (tax
~.' exempt) that collects money from students for a ski trip and pays
by school check. '
Page Two
Mr. Turnovszky
Because the students contributed to the trip, the trip no longer
falls under the tax-exempt status. This has been law in the State
of Colorado for many years, and the Town's policy was designed
very similarly to the State law.
A final note, it was stated the visitor to Vail is being
penalized, however, tax-exempt status is a privilege, not a right
for these organizations. We encourage tax-exempt groups to use
their exemption numbers properly, but at the same time, curtail
the improper uses of these licenses..
If you have questions, please feel free to contact me at 479-
2125, and thank you for asking for clarification on this issue.
Respectfully,.
,~~ C/
Danielle Hild
Sales Tax Administrator
DH/ j p
cc: Ron Phillips
Town Manager
~.
lows a
75 south frontage road
vail, Colorado 81657
(303)476-7000
MEMORANDUM
T0: RON PHILLIPS
FROM: PAM BRANDMEYkR~
DATE: 12DEC88
RE: SUMMER MARKETING FILM CONTRIBUTIONS
VAIL 1989
Per Jeff Bowen, the following entities have contributed to the Eagle
Valley summer marketing film:
$26,112.00 Town of Vail
10,000.00 .Eagle County Commissioners
1,000.00 Town of Eagle
($500.00 paid/$500.00 to be paid after 1-1-89)
1,000.00 Town of Minturn
($500.00 paid/$500.00 to be paid after 1-1-89)
5,000.00 Town of Avon
2,500.00 Eagle-Vail
3,000.00 Foreset Service
$48,612.00 TOTAL CONTRIBUTIONS
Jeff indicated a couple other entities have expressed interest in making
a contribution; however, there is nothing firm at this moment.
MEMORANDUM
TG: Ron Phillips
FROM: Mike Rose
DATE: December 13, 1988
SUBJECT: Lionshead Information Booth Repairs
The following repairs to the booth will be done by December 23, 1988:
Repair weather-stripping - TOU crew
Repair deadbolt hole - TOV crew
Replace carpet - Ruggs Benedict (same contractor for Village
Information Booth).
Replace entryway plywood floor - Replace with redwood deck/rail by TOU crew
MR/bsc
nnii
Revised: 12/ 8/88
TOWN OF VAIL
REAL ESTATE TRANSFER TAX
History and Budget
1988
1980 1981 1982 1983 1984 1985 1986 1987 1988 1988 BUDGET
MONTH ACTUAL ACTUAL ACTUAL ACTUAL ACTUAL
----- ACTUAL
----------- ACTUAL
----------- ACTUAL
------------- BUDGET
----------- ACTUAL
----------- VARIANCE
----------
------------
January ---------
63,999 ------------
98,089 ----------
106,981 -----------
119,972 ------
78,053 80,733 101,374 131,916 88,320 96,119 7,799
February 40,595 69,018 105;024 132,220 86,289 170,052 64,906 44,040 75,687 109,873 34,186
March 69,886 126,935 109,533 137,820 62,693 63,831 92,557 38,791 79,300 68,1(14 ( 11,196)
April 76,855 94,653 65,900 103,526 173,321 90,396 182,743 95,554 95,731 179,671 83,940
May 42,738 84,324 54,663 90,599 96,006 228,673 98,651 120,984 82,287 99,736 17,449
June 62,239 125,433 54,488 140,638 76,467 49,513 79,915 73,509 71,243 101,364 30,121
July 49,367 186,110 104,262 68,539 157,598 88,528 70,441 47,949 81,307 126,537 45,230
August 79,859 115,499 71,282 97,806 58,937 32,860 100,182 61,137 70,813 109,315 38,502
September 59,800 113,992 49,332 96,746 64,671 48,516 108,167 78,819 ; 69,052 116,557 47,505
October 108,510 154,000 42,498 122,546 88,732 109,633 93,860 124,291 97,733 177,360 ?9,627
November 102,623 107,768.. 81,698 91,385 105,109 74,909.
--- 89,047
----------- 114,839
------------- 87,177
----------- 241,888
----------- 154,711
----------
------------
Subtotal ---------
756,471 ------------
1,275,821 ----------
845,661 -----------
1,201,797 -----------
1,047,876
------- --------
1,037,644
----------- 1,081,843
----------- 931,829
------------- 898,652
----------- 1,426,524
----------- 527,872
----------
-----------
December ----------
142,662 ------------
133,867 ----------
110,911 -----------
56,533 ----
81,890 333,139 106,695 95,495 ; 101,348
TOTAL 899,133 1,409,688 956,572 1,258,330 1,129,766 1,370,783 1,188,538 1,027,324 1,000,000 1,426,524 527,872
/ TY
IOW~TV81
75 south frontage road
vail, Colorado 81657
(303)476-7000
office of the town manager
VA,IL 1989
December 9, 1988
Mrs. Pepi Gramshammer
231 Bridge Street
Vail, Colorado 81657
Dear Sheika:
Thank you for visiting with me and with Mike Cacioppo about early
morning snow removal and late night noise in the Village Core.
Concerning the early morning snow removal, I have asked Stan Berryman to
develop a plan by which snow removal in the Village Core will not begin
until after 6:00 a.m. As those decisions are made in the next few days,
I will let you know about the specifics since I am sure that you
understand if we get a large amount of snow overnight that snow removal
efforts may have to begin occasionally before 6:00 a.m.
The noise problem in the Village with people leaving the bars between
1:00 a.m. and 2:00 a.m., we have been trying to work with you on ove r
the past couple of years. I have mentioned your concerns. again to Ken
Hughey, and the Police Department will be addressing the issue of having
additional patrols in the Village during that time. I am sure you
understand it is difficult to be at all places at all times, and if you
have an occurrence without an officer present, we would request that you
immediately call the Police Department and ask for someone to respond.
The location of your lodge, restaurant and sports shop has the wonderful
advantage of being in a high traffic area which also creates a
disadvantage of late night noise and snow removal problems. I hope we
Mrs. Pepi Gramshammer
December 9, 1988
Page 2
can all work together to minimize the problems but continue to
understand the unique issues your downtown location challenge us all
with.
Since el ,
ondall V. Phillips
Town Manager
RUP/bsc
cc: Vail Town Council
Stan Berryman
Ken Hughey