Farron Hendrix and Golf Course Management Group Awarded Bid to Lease City Golf Course and Pool

August 18, 2008
Dwayne Page
Farron Hendrix-New Tenant at City Golf Course and Pool

Farron Hendrix and Golf Management Group will become the new tenants at the Smithville Municipal Golf and Swimming Club on September 1st, subject to signing a contract with the city.

The Smithville Aldermen voted 3 to 2 Monday night to accept Hendrix' s bid, which was one of only two submitted.

The other bid was submitted by Tony Poss, who offered to manage the facility for the city, rather than leasing it.

Aldermen Tonya Sullivan, Willie Thomas, and Jerry Hutchins Sr. voted to award the lease to Hendrix. Aldermen Steve White and Cecil Burger voted against it.

Both White and Burger argued that more time was needed to study the bids before making a final decision.

In his remarks, Alderman Burger said "In my opinion, the lease needs to be written, and we discuss it. If you don't know what's in the lease, you don't know what you're voting on. I'm also not for studying bids at this meeting. You take 15 minutes to study four or five bids and decide what's what, the measurements and everything contained with them, I don't think it's the right thing to do. We need to study bids other than this meeting. Then you can make the decision here as to what you want."

Alderman White, in his comments, stated "I think we need to take some time to look at both of these (proposals). I'm also still in favor of looking at the option of us (city) taking over the pool and golf course (operation). I believe there is a good possibility that we could be making money by the city operating it instead of losing money over there every year. I think we need to, at least as a board, look at that option and I don't think that's even been looked at and I think that's a big mistake."

Alderman Sullivan replied that "I think it was discussed at the last meeting and due to the cost of the equipment, we chose to open this back up for bids."

Hendrix agreed to accept the requirements set forth in the bid specifications for leasing the golf course and swimming pool but he requested that the following provisions be added:

"The Lessee (Hendrix) would pay up to $500 on the repair or the replacement of the hydraulic watering stations for the golf course, pumps, and any structural damage that may occur to the swimming pool. The City of Smithville would pay for any costs above the $500 on the repair or replacement of new equipment.'

"The Lessee bids $750 per month for the term of the lease"

The city received $2,500 per month under the previous lease with Jimmy Lewis.

The bid specs are as follows:

"Lease will be for a 5 year period starting September 1st, 2008 and will expire August 31st, 2013. Bidder shall state in his/her bid package the amount per month they will offer to pay for the term of the lease. Rent will be due on the first of each month beginning September 1st, 2008 with a 5 day grace period each month."

"Lessee shall have the right and option to extend the term of the previous lease for an additional 5 years beginning September 1st, 2013 and ending August 31st, 2018 under previous lease agreement pending Mayor and Board of Alderman approval at said time.'

"Lessee shall provide at it's sole expense, public liability insurance, including general liability coverage, with a limit of not less than one million dollars for any one person and three million dollars coverage per occurrence. Certificates of insurance shall be deposited with the Secretary-Treasurer at or prior to the beginning of the term and thereafter within 30 days prior to the expiration of such policies."

"Lessee shall provide the City a Letter of Credit in the amount of $10,000 either at or prior to the beginning of the term."

"Lessee will provide the necessary equipment and supplies for maintaining and operating the golf course and swimming pool, including but not limited to all proper mowing equipment for fairways and greens mowers, tractors, and swimming pool equipment. Tenant must, at all times, maintain a minimum of 20 golf carts available to golf course patrons."

"Lessee agrees to manage, from start to finish, the entire operation of the golf course and swimming pool facilities and tennis courts. Landlord will maintain tennis courts, nets, and fence as well as the electricity from the tennis court lights. All monies received by the lessee for use of pool and golf course, including concessions, shall be the property of lessee. Subletting of said demised properties will not be permitted."

"Maintenance of the Smithville Swimming Pool shall be at the lessee's responsibility. This includes certified lifeguards during all hours of operations. The Swimming Pool will be open for the general public on a daily basis from at least Memorial Day until the first day of school as designated by the DeKalb County Board of Education. Lessee shall also provide at least one day of "Free" swimming to school children K-12 that have successfully passed their recent school year. The City of Smithville will provide the water to fill the swimming pool once a year for filling and also provide necessary chemicals for proper maintenance and operations."

"Any person bidding on the Smithville Golf Course and Swimming Club may add or delete any provision mentioned in the bid specs in his/her bid proposal. The bidder that is awarded the lease to the Smithville Golf Course and Swimming Club must sign into contract with the City of Smithville before the lease becomes valid."

"The City of Smithville Mayor and Board of Aldermen reserve the right to accept or refuse any bid proposal."

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