11-22-2021 Council Packet - Laserfiche WebLink

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1 Professional Management Services and Fitness Center Agreement This Agreement is made by and between Endurance Fitness of Minnesota (“EF”), a Limited Liability Company and the City of Lino Lakes (“City”), a Minnesota municipal corporation (“City”), hereinafter collectively referred to as the Parties. City is the owner of a Recreational Facility, located at 7690 Village Drive in Lino Lakes, hereinafter referred to as the “Facility”. The Facility includes, among other uses, a fitness center previously operated by the YMCA. The YMCA has ceased operations at the Facility and the City desires to retain a management company to operate a fitness center (the “Fitness Center”) within the Facility in order to benefit the public’s recreational opportunities and maximize the use of the Facility by City residents. EF desires to manage the Fitness Center according to the terms and conditions set forth in this Agreement. Therefore, in consideration of the mutual promises, terms, and conditions contained in this Agreement, the Parties hereby contract and agree as follows: Section One Scope of Services 1.1 Subject to all policies and guidelines the City may establish from time to time pertinent to the Facility and Fitness Center; EF shall provide the following management services in compliance with all applicable Federal, State, and local laws and regulations: 1) Operate all non-aquatic programs, classes and fitness spaces in the Fitness Center, and furnish the Fitness Center’s equipment, material and supplies and programs. 2) Fully staff the Fitness Center with instructors and employees of EF and supervise their conduct and performance in the operation of the Fitness Center. 3) Until the City has the necessary membership accounting system in place, collect all gross revenues generated by the Facility, and promptly transmit to the City, but in no event more than 45 days from the end of a given month in which fees are collected. Once the City has the accounting system in place it shall be responsible for collection of all gross revenues. 4) Transmit to the City all membership revenue collected prior to February 1, 2022 for membership in effect February 1, 2022 to January 31, 2023. 1.2 EF shall offer basic and premium fitness classes and personal training programs as determined by EF in consultation with the City. Fees for premium fitness classes and personal training programs shall be shared per terms set forth in Exhibit A, but will be set by EF with the City’s written approval. The fee schedule shall provide for both nonresident and reduced resident rates. Members of EF as of January 31, 2022 shall also be entitled to resident rates, provided they renew their membership with the Facility by April 30, 2022. Subject to Section 1.1 above, the policies, procedures, and operations of the Fitness Center will be the responsibility of EF.