Resolution 19-014 Issuing RFP to Manage, Lease, and Renovate the Homer Education and Recreation Complex (HERC 1)

CITY OF HOMER
HOMER, ALASKA

Erickson/ Aderhold

RESOLUTION 19-014

A RESOLUTION OF THE CITY COUNCIL OF HOMER, ALASKA, ISSUING A REQUEST FOR PROPOSAL (RFP) TO MANAGE, LEASE AND RENOVATE THE HOMER EDUCATION AND RECREATION COMPLEX (HERC 1).

WHEREAS, The City passed Resolution 19-006(A) on January 28, 2019 issuing a request for letters of interest for tenants to occupy the Homer Education and Recreation Complex (HERC1); and

WHEREAS, The City received four (4) letters of interest from the Bunnell Streets Art Center, City of Homer Community Recreation Program, Fireweed Academy, and K-Bay Martial Athletics detailing  the City’s Community Recreation  detailing their prospective space needs, use, rent, lease term and capital improvement needs and overall demonstrating a current demand for use of HERC 1; and

WHEREAS, The Homer City Council held a work session February 25, 2019 to discuss the four letters of interest and next steps listed in Resolution 19-006(A); and

WHEREAS, Resolution 19-006(A) further directed Council to develop a Request for Proposal for a third party to manage and lease HERC 1, including performing any necessary improvements required for occupancy; and

NOW, THEREFORE, BE IT RESOLVED that the City Council of Homer, Alaska hereby authorizes the City Manager to issue a Request for Proposal (RFP) for a third party to manage and lease HERC 1.

BE IT FURTHER RESOLVED that a successful proposal will include:

• Experience in long-term property management and relevant examples
• Intended use of the property with preference given to proposed uses that are educational and/or recreational in nature;
• Intended management structure
• How much the proposer is willing to invest in capital improvements to the HERC 1 to bring it up to code from its current condition for intended use as determined by the State Fire Marshall;
• Any improvements or financial support the City would need to provide for the renovation, operation, and maintenance of HERC 1.
• How the City of Homer Community Recreation Program will be incorporated as a tenant;  
• How much the proposer is willing to pay to lease the facility from the City on an annual basis;
• A lease term of that ranges from a minimum of 10 years to at maximum of 20 years with the possibility of two five (5) year options to extend.
• Expressed interest in either maintaining or not maintaining the surrounding grounds, including the skate park.

BE IT FURTHER RESOLVED that the successful proposer will be expected to cover operations and maintenance of HERC 1 and the surrounding grounds, including the skate park and plowing/sanding of both the upper and lower parking lot during the term of the lease (see exhibit A).

BE IT FURTHER RESOLVED that HERC 2 is excluded from the lease and that parking in front of HERC 2 will be reserved for City vehicles. However, should the City vacate HERC 2 and it become available for lease, the successful proposer will have first right of refusal to expand their lease to include HERC 2.

BE IT FURTHER RESOLVED that the RFP review committee will consist of a combination of City staff and professionals who have specialized experience in large structure renovations and construction, valuations, operations and maintenance.

PASSED AND ADOPTED BY THE CITY COUNCIL OF HOMER, ALASKA, this ___ day of ___ 2019.

CITY OF HOMER

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KEN CASTNER, MAYOR

ATTEST:

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MELISSA JACOBSEN, MMC, CITY CLERK

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