Title
Staff Report for a City of San Leandro City Council Resolution Authorizing the City Manager to Enter into a Two-Year Non-Professional Services Agreement with the Option for Three One-Year Extensions Between the City of San Leandro and David Sams for Management of the City’s Contract with American Golf Corporation for an Annual Amount of $48,000 and to Appropriate $24,000 from the Shoreline/Golf Undesignated Fund Balance to Account 597-56-001
Staffreport
SUMMARY AND RECOMMENDATIONS
Staff recommends that the City Council approve a resolution authorizing the City Manager to enter into a new two-year Non-Professional Services Agreement (NPSA) with David Sams for oversite and management of the City’s contract with American Golf Corporation (AGC) for the operation of the Monarch Bay Golf Club. At the City’s discretion this agreement could be extended for up to three additional one-year terms. Staff also recommends that the City Council approve an appropriation of $24,000 from the Shoreline/Golf undesignated fund balance to cover the increased costs of this new contract.
BACKGROUND
David Sams is a former City of San Leandro employee who has been involved with municipal golf operations for 40+ years. When Mr. Sams retired from the City in 2009, the City’s Public Works Department hired him as the consultant to oversee the existing American Golf Corporation (AGC) lease agreement approved by the City Council in 1997. The new AGC management agreement approved by the City Council on June 1, 2020 has a term that expires in November 2024, with two five-year extensions at the City’s discretion.
Analysis
David Sams’ current NPSA expired on June 30, 2020. With the City Council’s June 1st approval of a new management agreement with AGC, the Public Works Department would like to continue to retain Mr. Sams’ services, because existing City staff do not have golf course operations/management expertise.
With the recent change from a golf lease agreement to a management agreement, the City anticipates it will have a more active role in the golf operations. This includes annual development (in conjunction with AGC) and monthly oversight of the golf courses’ Annual Plan (budget), development of the next 5-year golf CIP projects list, ensuring that the City’s best interests are represented within the context of golf course operations, and providing general direction to AGC on all golf-related matters. It is recognized that the golf consultant will also be relied on by City staff to provide technical comments on the proposed reconstruction of the Marina Course at such time as work is proposed by the Shoreline developer.
Fiscal Impacts
This agreement will cost $48,000 annually. This requires increasing the FY 2021 Budget by $24,000 and will be funded by transferring an appropriation from the Shoreline/Golf undesignated fund balance to Account 597-56-001. There is sufficient fund balance to fund the appropriation of $24,000 into Account 597-56-001. It is noted that since David Sams started consulting for the City in 2009 and through the end of FY 2020, the annual charge to the City of $24,000 for his consulting services remained flat with no requested increases in 11 years.
ATTACHMENT
Attachment(s) to Staff Report
• Non-Professional Services Agreement with David Sams
PREPARED BY: Debbie Pollart, Director, Public Works Department