City, County Seeking New Lease For Moccasin Bend Golf Course

Thursday, June 30, 2005

The city and county are seeking a new lease for the Moccasin Bend Golf Course that has long been operated by Wes and Ed Brown.

Becky Browder, county real property manager, said the Browns are very interested in continuing to operate the 156-acre golf course, but she said other proposals will be considered.

She said, "It has been many years since the lease was re-negotiated, and we felt it was prudent to take a new look at it. It may be in the Browns' best interest to offer a different type proposal."

The Browns now pay the city and county 11 percent of annual gross revenues.

Ms. Browder said the request for proposals asks for either a percentage of revenues per year or a flat annual rate.

Ms. Browder said the proposal process is not related to establishment of the adjacent Moccasin Bend National Park. She said, "That issue was decided earlier. The park bill excludes the golf course."

She said that does not mean the golf course might some day become part of the national park, but she said that is not under discussion now.

The lease expires Oct. 31.

Proposals are due in by Aug. 1.

Here is the RFP:

REQUEST FOR PROPOSALS
for the lease and operation of the
Moccasin Bend Golf Course

The governments of Hamilton County, Tennessee, and the City of Chattanooga request proposals for the lease and operation of the Moccasin Bend Golf Course located on Moccasin Bend Road in Chattanooga, Tennessee.

GENERAL INFORMATION:

The Moccasin Bend Golf Course is located within the city limits of the City of Chattanooga, Tennessee, bordered by Moccasin Bend Road on the east, Moccasin Bend National Archaeological District on the south, and the Tennessee River on the west.

Legal Description: The legal description for the property is recorded in Deed Book 1442 Page 380, Register's Office, Hamilton County, Tennessee.

State Tax Map Number: part of 145-001

Building and property parameters: The property consists of approximately 156 acres and includes the following buildings: club house, two cart sheds, maintenance building, equipment storage building, and utility building. For purposes of this Request for Proposals the words “building” and “property” may be used interchangeably and shall mean the existing buildings, golf course, and parking areas adjacent to the buildings.

Current Context: The property has been used as the Moccasin Bend Golf Course for approximately 40 years.

Environmental: Hamilton County and the City of Chattanooga are unaware of any environmental reports or engineering studies that have been done on the property. Should any environmental audits and/or reports, including but not limited to, Environmental Phase I or II reports be required by the proposer, the cost and performance of such reports will be the responsibility of the proposer. Permission must be obtained from Hamilton County and the City of Chattanooga for such reports.

Utilities: The property is currently served by the Tennessee American Water Company, Electric Power Board of Chattanooga (EPB), and the Chattanooga Gas Company. It shall be the responsibility of the proposer to determine if the utilities currently serving the property are suitable for any proposed capital improvements to the property and whether the appropriate utilities are available to the site.

Storm Water Drainage: It shall be the responsibility of the proposer to ascertain the requirements regarding storm water drainage for any proposed capital improvements to the property.

GENERAL REQUIREMENTS:

The property will be leased in an "as is" condition. It will be the responsibility of the proposer to determine the condition of the buildings including, but not limited to, all mechanical, electrical, plumbing systems and structural conditions of the buildings and the suitability of the property for use as a public golf course.

An aerial map showing the property boundaries and improvements is available upon request. A boundary survey and/or topographical survey, if required by the proposer, shall be the responsibility of the proposer to obtain at the proposer’s cost.

Any capital improvements to the property must conform to all building and zoning requirements and/or ordinances as established by the applicable governmental entity including, but not limited to, the Hamilton County Regional Planning Agency, Hamilton County Government, City of Chattanooga, Air Pollution Control Bureau, and the Southern Building Codes.

During the Request for Proposals submission time and at other subsequent times necessary, Hamilton County and the City of Chattanooga will allow the property to be inspected by the proposer with appropriate notice to Hamilton County and the City of Chattanooga and the current lessee. The proposer shall hold harmless Hamilton County and the City of Chattanooga and the Moccasin Bend Golf Course.

DESCRIPTION OF SERVICES REQUESTED

Use of Property – The property has been used for the operation of a public golf course since 1965 and the Lessee must continue to use the property for the operation of a public golf course. The golf course should continue to offer a quality playing experience at reasonable rates while having the golf course operated, maintained and improved without subsidy from Hamilton County or the City of Chattanooga.

The golf course should promote the welfare and quality of life for Hamilton County residents. The golf course should charge reasonable fees, commensurate with the fees charged at other publicly-owned golf courses in the area.

Hamilton County and the City of Chattanooga expect the Lessee to manage, maintain, improve, market, promote and develop the golf course and provide community golf programming, coordinate special events, and administer and operate the golf course and all associated equipment and facilities in accordance with the terms and conditions of the Lease Agreement to be entered into by the Lessee and Hamilton County and the City of Chattanooga pursuant to this Request for Proposals.

Lease Payments - Hamilton County and the City of Chattanooga have historically leased this property and received monthly lease payments based upon a percentage of revenues generated from operations of the golf course. A schedule of annual lease payments paid to both Hamilton County and the City of Chattanooga for the ten year period January 1995 through December 2004 is available upon request.

Lease Term –Hamilton County and the City of Chattanooga expect to enter into a lease agreement with terms up to fifteen years beginning November 1, 2005. In addition, the lease agreement will allow for negotiated renewals of up to ten additional years.

Capital Improvements – The Lessee will be expected to make appropriate capital improvements to the buildings and golf course. All major capital improvements must be approved by Hamilton County and the City of Chattanooga prior to beginning any construction or renovation of the property.

Provisions will be negotiated and stipulated in the Lease Agreement in the event that Hamilton County and the City of Chattanooga should choose to terminate the lease prior to its expiration, through no fault or breach on the part of the Lessee.

Quality of Course – The Lessee will be responsible for identifying, planning, financing, and implementing those activities necessary to meet at all times a minimum maintenance standard for the golf course (i.e. – lawn cutting, irrigation, lawful application of fertilizers and pesticides, erosion control, stormwater management, aeration, soil testing, top dressing, etc.) and all course buildings, equipment, and appurtenant facilities (i.e. – asphalt sealing, cleaning, patching in vehicular drives and parking areas, paved walkways, landscape beds, cart paths and other common areas).

Equipment – The Lessee shall be responsible for acquiring and maintaining all equipment necessary to operate, manage, maintain and improve the golf course and all course buildings and appurtenant facilities.

RESPONSE GUIDELINES:

All proposals in response to this Request for Proposals should include the following:

Identification
 Name, address, telephone number and email address of proposer and contact person.
 Organizational form of proposer (individual, company, corporation, partnership, etc.).
 List of principals, partners, directors, and/or stockholders of the organization or company making proposal.
 Names and information about any architects, engineers, contractors, consultants and/or any other principal associates affiliated with the proposed operation of the golf course or planned improvements.

Experience
Details of experience in successfully managing, operating and maintaining a public golf course or related projects, including:
 Dates of Service
 Description of responsibilities
 Contact/reference, including name and telephone number

Financial Capability
All proposers should be ready to supply the following financial information upon request:

 Copy of certified financial statements, prepared in accordance with accepted accounting principles and dated not earlier than the close of the last complete fiscal year.
 Copy of annual report, financial rating reports, or other documents indicating the financial condition of the proposer.

Management Plan
All proposers must submit the following information regarding their management plan:

 Evaluation of current status of golf course, course buildings, equipment, and appurtenant facilities
 Assessment of capital improvements needed and/or desired
 Phased plan for capital improvements
 Rates for play, cart rentals, etc.
 Plan for ordinary course maintenance to ensure the course meets or exceeds its current level of maintenance
 Plan for use of facilities, including community golf programming, junior development, special events, etc.

Lease Payments
All proposers must submit the following relative to lease payments to the City of Chattanooga and Hamilton County:

 Option 1 – proposed percentage of gross receipts to be shared with City and County, along with a proposed minimum lease payment

 Option 2 – flat rate for lease and operation of the facility, including interval and amounts of escalators

Insurance Requirements
All proposers must submit current insurance coverage limits and the insurance limits expected to be carried on the golf course and its operations.

The selected lessee will be required to maintain adequate insurance on the leased property and add Hamilton County and the City of Chattanooga as additional named insured parties on the policies. Insurance requirements will be, at a minimum:


Archaeological Sensitivity
Due to the proximity of the golf course to the newly established Moccasin Bend National Archaeological District, it is necessary that the Moccasin Bend Golf Course operation be compatible with the emerging development of the national park. Proposers should include the following with all responses to the Request for Proposals.

 Demonstration of willingness to identify and protect important historical, archaeological, and cultural resources within the golf course boundary.
 Commitment to restructure the layout of the golf course during any capital improvements program to the extent necessary to protect or preserve identified cultural resources.

COMPARATIVE EVALUATION CRITERIA:

Evaluations of the proposals and recommendation for selecting the proposal will be based on the criteria listed below (not necessarily in order of importance):

1. The overall desirability, aesthetic quality, compatibility, and archaeological sensitivity of the proposed golf course operation as it relates to the surrounding community.

2. Lease terms (lease payment method and rate; estimated lease payments; minimum lease payments; etc.)

3. Total amount and plan of private investment for capital improvements to the property.

4. Type of capital improvements to be made to the property.

5. Time frame for capital improvements.

6. Financial stability and experience of the proposer.

7. The overall terms of proposed operation and management of the public golf course.

SELECTION PROCESS:

Representatives of Hamilton County and the City of Chattanooga will review all written proposals and rank them based upon the Comparative Evaluation Criteria in order to select the best proposal for the lease and operation of the public golf course. Proposers may be asked to make oral presentations.

Once a proposal has been determined to comply with this request for proposals, discussions may be commenced with the proposer to ascertain the proposal most advantageous to Hamilton County and the City of Chattanooga. The proposer selected will be invited to negotiate a final lease agreement with Hamilton County and the City of Chattanooga upon approval by the Hamilton County Board of Commissioners and the Chattanooga City Council.

Hamilton County and the City of Chattanooga reserve the right to withdraw this Request for Proposals or to reject any and all proposals for any reason. It is expressly understood that the receipt of any response to the Request for Proposals does not commit Hamilton County or the City of Chattanooga to the lease of the property and that any proposal must be accepted by action taken by the Hamilton County Board of Commissioners and the Chattanooga City Council.

Proposals may be public at such time recommendations are made to the Hamilton County Board of Commissioners and the Chattanooga City Council.

Hamilton County Government and the City of Chattanooga do not discriminate on the basis of race, color, or national origin and are in compliance with the guidelines and procedures of Title VI of the Civil Rights Act of 1964.

LEASE AGREEMENT:

After selection of the preferred proposal, Hamilton County and the City of Chattanooga will negotiate and enter into a lease agreement, with specific terms, with the proposer (lessee) selected.

REAL ESTATE COMMISSION/FEES:

Hamilton County and the City of Chattanooga do not have an exclusive right-to-sell agreement or exclusive leasing arrangement with any real estate agent/broker to sell or lease the property. If, however, a proposer elects to use a broker/agent to negotiate a lease agreement with Hamilton County and the City of Chattanooga, it will be the responsibility of the proposer to bear the cost of any commissions or legal fees associated with any lease negotiations.

PROPOSAL SUBMISSION AND DEADLINE:

All proposals will be submitted at the proposer's own cost and expense. Hamilton County and the City of Chattanooga will have no financial obligation relative to the submission of any proposal.

Proposals must be submitted (mailed or hand-delivered) to the Hamilton County Real Property Office, Mayfield Annex, 123 E. 7th Street, Chattanooga, TN 37402. Proposals must include all of the detailed information listed in the Response Guidelines section of the Request for Proposals. Ten copies of the proposals must be submitted.


Deadline for receipt of proposals is 2:00 p.m. local time on Monday, August 1, 2005.

QUESTIONS:

Questions regarding the Request for Proposals should be addressed to the Hamilton County Real Property Office at:
Hamilton County Real Property Office
123 E. 7th Street
Chattanooga, TN 37402
Phone: (423) 209-6444
Fax: (423) 209-6445
email: paul.parker@mail.hamiltontn.gov



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