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HomeMy WebLinkAboutAmending Agreement of Operations between St Joseph Co Hotel-Motel Tax Board South Bend Civic Center Board of managersORDINANCE NO. 7166 -83 Passed by the Common Council of the City of South Bend, Indiana Attest: _February 14, 19 83 IRENE K. GAMMON Presented by me to the Mayor of the City of South Bend, Indiana February 15, �9 83 Clerk of Common Council City Clerk IRENE K. GAMMON Approved and signed by me L L , 19 ORDINANCE NO. 7 16 ( �/ 3 AN ORDINANCE APPROVING THE FORM AND TERMS OF AN AMENDED AGREEMENT OF OPERATIONS BETWEEN ST. JOSEPH COUNTY HOTEL -MOTEL TAX BOARD OF MANAGERS AND SOUTH BEND CIVIC CENTER BOARD OF MANAGERS AND CITY OF SOUTH BEND AND AUTHORIZING THE EXECUTION THEREOF PERTAINING TO THE SOUTH BEND CIVIC CENTER. WHEREAS, the South Bend Civic Center Building Authority was created under the provisions of Public Law 220 and operates under authority of I.C. 36- 10 -10 -1, et. seq., for the purpose of financing, acquiring, constructing, equipping and leasing to the City of South Bend, Indiana, the property located at 120 So. St. Joseph Street, South Bend, known as Century Center; and WHEREAS, in 1975 an Agreement of Operations was entered into by the St. Joseph County Hotel -Motel Tax Board of Managers, the South Bend Civic Center Board of Managers, and the City of South Bend, and that Agreement was approved by Ordinance No. 5885 -75; and WHEREAS, the City of South Bend, the South Bend Civic Center Board of Managers, and the St. Joseph County Hotel -Motel Tax Board of Managers desire to amend said agreement, while still pro- viding for annual payment for the next twenty (20) consecutive years of One Hundred Fifty Thousand Dollars ($150,000) each year from the annual collection of the Hotel -Motel Tax; and WHEREAS, notice of public hearing on the proposed Agree- ment of Operations before this Common Council was duly given by the required legal publication of notice, and said hearing has been held in accordance with said notice and the governing statute. NOW, THEREFORE, BE IT ORDAINED by the Common Council of the City of South Bend, Indiana that: SECTION I. Ordinance 5885 -75 is hereby repealed. SECTION II. The form and terms of the Amended Agreement of Operations between the City of South Bend and the St. Joseph County Hotel -Motel Tax Board of Managers, attached hereto as Exhibit A and made a part hereof, are hereby approved. SECTION III. This Ordinance shall be in full force and effect from and after its passage by the Common Council and approval by the Mayor. 1st READING ; ' o2 9 — O o� PUBLIC HEARING 2nd READING NOT APPROVED REFERRED PASSED CV—,/ �V9 ._ — M M MM7 of the Comm EItED ID CLEr.,TS OFFICE ,J AMENDED AGREEMENT OF OPERATIONS. BETWEEN ST. JOSEPH COUNTY HOTEL -MOTEL TAX BOARD OF MANAGERS AND SOUTH BEND CIVIC CENTER BOARD OF MANAGERS AND CITY OF SOUTH BEND THIS AGREEMENT amends the agreement made on September 9, 1975, by and between the CITY OF SOUTH BEND, its agent, the CENTURY CENTER BOARD OF MANAGERS (hereinafter referred to as "Century Center Board "), and the ST. JOSEPH COUNTY HOTEL- MOTEL TAX BOARD OF MANAGERS (hereinafter referred to as "Board of Managers "), and when the term "both boards" is utilized herein, that term shall mean both. the Century Center Board and the Board of Managers. This agreement is made this day of , 1982. SECTION 1. PURPOSE The purpose of this joint or cooperative undertaking is to provide for the operation of a convention center for St. Joseph County which has been-constructed by the South Bend Civic Center Building Authority as a part of South Bend Century Center. Such cooperation is on a basis of mutual advantage and will provide services and facilities in an efficient manner pursuant to forms of government organization. SECTION 2. AGREEMENT This agreement is executed by and between the Board of Managers and the City, executed by the Common Council, the Mayor, and the Century Center Board. For and in consideration of an annual payment for twenty (20) consecutive years, of $150,000 each year from the annual collection of the Hotel- Motel.Tax as distributed to the County Auditor, such payment being made within sixty (60) days of distribution, the City shall thereafter operate and maintain a convention facility located on the banks of the St. Joseph River at St. Joseph- Street, to be commonly called the South Bend Century Center. SECTION 3. PAYMENT OF THE TERMS OF THIS AGREEMENT All tax monies received by the Board of Managers each year shall be first applied to the payment of the terms of this agreement. The $150,000 annual payment due under this agreement will become effective as soon as this contract is signed or January 1, 1983, whichever is later, and shall remain in effect. thereafter for a period of twenty (20) years, so long as.the terms of this agreement are complied with by the Century Center Board designated by the City to manage and control Century Center. SECTION 4. DESIGNATED SPACE The convention facility is defined as that portion of the Century Center on all 'levels of the building except the Art Center and that portion of the building which contains Discovery Hall Museum. Users shall pay a rental fee(s) for the convention facilities to the Century Center Board. Setup for conventions shall be the responsibility of the Century Center Board, which shall cooperate with the -person(s) scheduling the convention and the user in furn ishing adequate setup and facilities for each convention. SECTION 5. EQUIPMENT Responsibility for the furnishing of adequate tables, chairs, and equipment for the operation'.of the convention facilities shall be the joint responsibility of the Century Center Board and the Board of Managers. The Board of Managers may provide additional furnishings and equipment and funding will be provided by supplemental capital improvement budget. SECTION 6. COMMON SPACE Common space can be scheduled and used for convention purposes at a rental fee as determined by the Century Center Board when the same is determined.to be available by the Century Center Board. SECTION 7. OPERATIONS Either the Century Center Board or the Board of Managers may call for the establishment of a joint committee to be of three: (3) members from the Century Center.'Board and three (3) members from the Board of Managers. The duties of the joint committee may include considering and making recommendations to the'Century Center Board on the operations of the convention center including the following specified matters: A. The preparation of rules and regulations for the operation of the convention facility, provided it shall be the purpose of those rules and regulations to promote the operation of the facility for convention purposes. B. The joint committee may recommend policies to govern the hiring and discharging of all,such` salaried personnel. C. The preparation of budgets for the operation of the convention facility. D. Accounting procedures for the determination of profit and loss of.the operation of the convention facility; provided that the determination of profit and loss for the operation shall be determined by sound accounting procedures as established.by a cer-tified public accountant approved by the committee. E. Rates and charges for all persons, groups or organizations utilizing the convention facility for convention purposes. SECTION 8. LIABILITY The Board of Managers shall have no responsibility for any loss,or damage sustained to Century Center arising from any cause whatsoever, or to any person or persons on or about the premises, and the City and Century Center Board shall defend and hold harmless the Board of Managers for any such loss or damage. SECTION 9. PARKING It is understood and agreed that 360.parking spaces will be made available on site for the convention facility, and that when convention(s) are in progress, such spaces shall be made available for utilization by persons attending the convention(s). All parking revenues shall be reported and accounted for to the Board of Managers. SECTION 10. LOSSES It is recognized that the Board of.Managers is obliged .to pay each year the $150,000 referenced in Section.2 of this Agreement and is also obliged to support.the promotion of conventions and tourism in St. Joseph County. It is, further understood that the Boards recognize their obligation to increase the utilization of Hotel -Motel rooms in St. Joseph. County in conjunction with events at Century Center. However, in the event losses occur in the operation of the convention facility for any calendar year and in the further event the Board of Managers.has tax revenues for that year in excess of $300,000, the Board of Managers agree to pay out of its remaining tax revenue a minimum of 75% of such excess for such losses for that year. It is further understood and agreed that the Board of Managers shall have no further responsibility for any loss of any kind whatsoever. SECTION,11. BOARD OF MANAGERS RESERVATION OF RIGHT TO DISCONTINUE ITS OBLIGATION.TO-PAY FOR LOSSES 'FROM OPERATIONS In the event the Century Center Board fails to make an accounting in accordance with Section 7D or. consistently fails to maintain the facility and operation for the purposes for which they were intended or if the City should fail to fulfill its duty to support the facility, then the Board of Managers may furnish written notice to the Mayor of the City of South Bend of its intention to discontinue its obligation to pay losses as provided in Section.11 hereinabove, as well as any other obligations of support to the convention facility or its operation,'not specified herein, to which it has, or may hereafter, commit itself out of Hotel -Hotel Tax revenues. Such notice shall be served upon the Mayor of the City of South Bend either personally or by Certified Mail, return receipt.iequested., and shall inform the Mayor of the City of South Bend of the specific action -or decision of the Century. Center Board or of the City of South Bend to which the Board of Managers takes exception and advise of _its intent to invoke the provision of this paragraph relating to the discontinuance of its obligation to pay such losses or additional support. J If the joint committee referred to in Paragraph 7 is in existence at the time such notice is delivered, it shall meet within 2 weeks from the date of said notice. If it is not in existence, then booth Boards shall appoint their members within 1 week-from the date of notice and the committee shall then meet within 2 weeks from the date of notice. The Purpose of said meeting or of any subsequent meeting of the joint committee shall be to find solutions to the problems which caused the Board of Managers to send. its written notice to the Mayor. In the event the joint committee cannot find a solution but in no event prior to 14 days from'the date of service of the notice, the joint committee shall appoint an arbitrator who shall be empowered to resolve such dispute. .In the event the joint committee fails to agree upon an arbitrator provided herein, such vacancy and.appointment shall'be filled by the Judge of the 8t. Joseph County Circuit Court on petition of any interested party. If the. arbitrator fails to resolve the dispute within 2 weeks from the date of appointment then the obligation of the Board of Managers to pay losses as provided in Paragraph 10 herein, as well as any other obligation of support to the Convention Center, not specified herein, is terminated upon the service of a written Notice of Termination to the Mayor of South Bend, either by personal service or by Certified Mail, return receipt requested. Nothing contained herein shall prohibit the Boards from extending the time limits contained herein by mutual agreement.. Nothing contained herein.shall relieve the Board of Managers of its responsibility to make the $150,000- annual payment provided for in Paragraph.3, which obligation shall continue in effect so long as the Century Center Board operates and uses the convention facility for convention purposes as provided in this Agreement. Any discontinued obligations of the Board of Managers shall become the obligation of the Century Center Board. No action or failure to act on the part of the Board of Managers, except by official resolution, shall constitute a waiver of its right hereunder at any time. Voided betein is not exclusive. g "N iv � '�'� �`"K , '�l�t Y /� % i1 A 5 - b �([�isy +�- �"�+,�p4'' t � .t„,• APPROVED: Roger 0. Parent, Mayor Fred Kahn, President City.of South Bend St. Joseph County Hotel /Motel Tax Board of Managers Date Date President Terry Miller, President South Bend Common Council South Bend Century Center Board of Managers Date Date Attests City Clerk Joseph E. Kernan Director, Administration and Finance CITY ®f SOUTH BEND ROGER O. PARENT, Mayor COUNTY -CITY BUILDING SOUTH BEND, INDIANA 46601 January 18, 1983 South Bend Common Council 4th Floor County -City Building South Bend, Indiana 46601 Dear Members of the Council: The attached bill would permit the City of South Bend to amend the Agreement of Operations with the Hotel -Motel Tax Board and the Century Center Board of Managers. 219/284 -9742 The new agreement establishes more definitive guidelines for the allocation of Hotel -Motel Tax Funds. It will provide greater pre- dictability to the entire budgetary process for the Century Center. The agreement has already been approved by the Hotel -Motel Tax Board and Century Center Board of Managers, and your favorable consideration is requested. If you have any questions please call me at any time. Thank you very much. Since rq ly, L Joseph E. Kernan City Controller JEK /caw Attachments Tommutor Tryon on tot (IInmum Moumll of tot, (I ttil of 00W4 Stub: Your Committee OF THE WHOLE to whom was referred BILL NO. 10 -83 A BILL APPROVING THE FORM AND TERMS OF AN AMENDED AGREEMENT OF OPERATIONS BETWEEN ST.'JOSEPH COUNTY HOTEL —MOTEL TAX BOARD OF MANAGERS AND SOUTH BEND CIVIC CENTER BOARD OF MANAGERS AND CITY OF SOUTH BEND AND AUTHORIZING THE EXECUTION THEREOF PERTAINING TO THE SOUTH BEND CIVIC CENTER. Respectfully report that they have examined the matter and that in their opinion THIS BILL SHOULD BE RECOMMENDED TO THE COUNCIL FAVORABLE. RAYMOND ZIELINSKI Chairman FREE PRESS PUBLISHING CO.