95-1494 Council File # 95 -1494
Green Sheet # 33648
RESOLUTION
SAINT PAUL, MINNESOTA
Presented By O 111111
Referred to Committee: Date
1 WHEREAS, conditions have made it necessary to change how
2 Cafesjian's Carousel is operated in Town Square Park, and
3 WHEREAS, the City and Our Fair Carousel, Inc. (operators of
4 the Carousel) agree it is necessary to work out a plan for the
5 future operation of the Carousel, and
6 WHEREAS, two existing agreements, the Carousel Funding
7 Agreement dated March 1, 1990 and the Carousel Installation
8 Permit and Operations Agreement dated March 1, 1990, need to be
9 amended to make this possible,
10 NOW THEREFORE BE IT RESOLVED, that the two agreements
11 referred to above are hereby amended as outlined in the attached
12 Amendatory Agreement.
Yeas Nays Absent
Blakey Requested by:
Grimm 1/
Guerin Division of Parks and Rlcreation
Harris
Megard
-
Rettman By: 10111141 ��410�_
Thune
Department of Pla ing & Economic
Develop /nt /
By :
Form Approved by City Attorney
Adopted by Council: Date V,.� \S9S
Adoption Certified by Council Secretary B' Ard, = � / / — — S
By • ; _ sh. Approved by Mayor for Sr. ission to
Council �y
Approved b/ ayor : Dat - : , 7i , �G
By: !____ 1 /b .A.LAL
95-1494 •✓
�:. IN �tN ET N_ 33648
Parks and Recreation 12/18/95
® DEPARTMENT DIR - • - ' t ® CITY COUNCIL IN TE Vic Wittgenstein 66409 ANION FOR -IEY 1:11) CITY CLERK
MOEN MUST BE ON COUNCIL AGENDA BY (DATE) mum gi • c ET DIRECTOR D FIN. & MOT. SERVICES DIR.
December 20, 1995 ORDER r� MAYOR (OR ASSISTANT) ® PED Director(
TOTAL # OF SIGNATURE PAGES 4 (CUP ALL LOCATIONS FOR SIGNATURE) `�
ACTION REOUESTEO: -
Signatures of Director of Planning and Economic 'Development, Superintendent of Parks and
Recreation, City Attorney and the Mayor and passage by City Council of the attached
Council Resolution
RECOMMENDATIONS Apps (A) or Read (R)
PERSONAL SERVICE CONTRACTS MUST ANSWER THE FOLLOWING QUESTIONS:
'N ANNING commissioN _ CIWL SERVKTE OOAau1MS10N 1. Has this person/firm ever worked under • contract for this department? tiEctiva
CM COMMITTEE YES NO
M STAFF 2. Has this person/firm ever been a city employee?
YES No DEC 19 1995
DISTRICT COURT 3. Does this persoMltrm possess a NdM not normally possessed by any current city employee?
SUPPORTS WHICH COUNCIL OBJECTIVE? YES NO '
Recreation, Economic Development Explain all yes answers on separate sheet and attaoh to nal fi INIYOOPS OFFiCI
INITIATiNG PROBLEM, ISSUE, OPPORTUNITY (Who. What. When, Wham. Why):
In order to.get Cafesjian's Carousel operating again in Town Square Park it is necessary to
amend the existing Carousel Funding Agreement dated March 1, 1990, and the Carousel
Installation, Permit and Operations Agreement dated March 1, 1990. The attached agreement
makes such amendments and allows the Carousel to begin operating on December 22, 1995.
ADVANTAGES IF APPROVED:
The Carousel will begin to operate on December 22, 1995 and continue in operation until
July 31, 1996 as a trial period to determine if it is possible for the Carousel to be
self- supporting in Town Square Park.
DISADVANTAGES IF APPROVED: t
If the Carousel is not successful in generating enough revenue to pay its operating cost
during the trial period and average ridership of 8,000 per month and generate at least al
average of $8,000 per month from ride - related activity during the last four months of th
trial period the ride will close on July 31, 1996. After which time the City has one yer
to provide a new site and housing for the Carousel or the Carousel may be purchased by
Our Fair Carousel, Inc. for $1.00 and moved to a site of their choosing.
DISADVANTAGES IF NOT APPROVED:
Carousel will not open on December 22, 1995 as desired for the holiday season. A new
agreement would have to be negotiated. Lastly, we could end up in aaa suit over Our Fair;
Carousel's right to move the Carousel to another location that they beTieve to be mo`r --
viable.
TOTAL AMOUNT OF TRANSACTION $ -0 COST /REVENUE BUDGETED (CIRCLE ONE) YES NO
FUNDING SOURCE ACTIVITY NUMBER
FINANCIAL INFORMATION: (EXPLAIN) Financial matters were covered in earlier agreements & budget resolutions
NOTE: COMPLETE DIRECTIONS ARE INCLUDEO4N THE GREEN SHEET If ISTRUGTIONAL
MANUAL AVAILABLE IN THE PURCHASING OFFICE. (PHONE NO. 2
ROUTING ORDER:
Below are correct routings for the five most frequent types of documents:
CONTRACTS (assumes authorized budget exists) COUNCIL RESOLUTION (Amend Budgem/Ao¢ept. Grants) .. ,
t Outside Agency 1. Department Director
2. Department Director 2. Budget Director
3. City Attorney 3. City Attorney
4. Mayor (for contracts over $15,000) 4. Mayor /Assistant
5. Human Rights (for contracts over $50,000) 5. City Council
6. Finance and Management Services Director 6. Chief Accountant, Finance and Management Services
7. ' Finance; Accounting
ADMINISTRATIVE ORDERS (Budget Revision) COUNCIL RESOLUTION (NI'others, and Ordinances)
1. Activity Manager 1. Department Director
2. Department Accountant 2. City Attorney
3. Department Director 3. Mayor Assistant
4. Budget Director 4. City Council
5. City Clerk
6. Chief Accountant, Finance and Management Services
ADMINISTRATIVE ORDERS (all others)
1. Department Director
2. City Attorney
3. Finance and Management Services Director
4. City Clerk
TOTAL NUMBER OF SIGNATURE PAGES
Indicate the #of pages on which signatures are required and paperclip or flag
each of these pages.
ACTION REQUESTED
Describe what the project/request seeks to accomplish in either chronologi-
cal order or order of importance, whichever is most appropriate for the
issue. Do not write complete sentences. Begin each item in your list with
a verb.
RECOMMENDATIONS
Complete if the issue in question has been presented before any body, public
or private.
SUPPORTS WHICH COUNCIL OBJECTIVE?
indicate which Council objective(s) your project/request supports by listing
the key word(s) (HOUSING, RECREATION, NEIGHBORHOODS, ECONOMIC DEVELOPMENT,
BUDGET, SEWER SEPARATION). (SEE COMPLETE LIST IN INSTRUCTIONAL MANUAL)
PERSONAL SERVICE CONTRACTS:
This information will be used to determine the city liability for workers compensation claims, taxes and proper civil service hiring rules.
INITIATING PROBLEM, ISSUE, OPPORTUNITY
Explain the situation or conditions that created a need for your project
or request.
ADVANTAGES IF APPROVED
Indicate whether this is simply an annual budget procedure required by law/
charter or whether there are specific ways in which the City of Saint Paul
and its citizens will benefit from this project/action.
DISADVANTAGES IF APPROVED
What negative effects or major changes to existing or past processes might
this project /request produce if It is passed (e.g., traffic delays, noise,
tax increases or assessments)? To Whom? When? For how long?
DISADVANTAGES IF NOT APPROVED
What will be the negative consequences if the promised action is not
approved? Inability to deliver service? Continued high traffic, noise,
accident rate? Loss of revenue?
FINANCIAL IMPACT
Although you must tailor the information you provide here to the issue you
are , addressing, in general you must answer' two questions: HOW muth is It
going to cost? Who is going to pay?
AMENDATORY AGREEMENT
This Amendatory Agreement entered into effective , 1995 by and among
the City of Saint Paul (City) and Our Fair Carousel Incorporated (OFC):
WHEREAS, conditions have made it necessary to change how Cafesjian's Carousel is
operated in Town Square Park, and;
WHEREAS, the City and OFC agree it is necessary to work out a plan for the future
operation of the Carousel, and;
WHEREAS, the City and OFC have agreed on terms and conditions under which the
Carousel will re -open in Town Square Park, and;
WHEREAS, the City and OFC have agreed on terms and conditions to determine the
feasibility of continuing to operate the Carousel in Town Sq ' e Park.
NOW THEREFORE, in consideration of the foregoii:°g and agreements, covenants and
conditions here -in contained, the City and OFC agree as follo;vs:
1. That the covenants and conditions contained here -in ja1 supersede those contained in
the Carousel Funding Agreement and the Carousel Installation Permit and Operations
Agreement when language in the agreements are in conflict.
2. That all covenants contained in the Carousel Funding Agreement and Carousel
Installation Permit and Operations Agreement shall remain in effect unless modified by
language contained here -in.
3. That OFC will resume operation of Cafesjian's Carousel in Town Square Park on
December 22, 1995. The carousel shall run until July 31, 1996 as a trial period to
determine its viability in Town Square Park.
4. That paragraph V.F. of the Carousel Installation, Permit and Operation Agreement is
amended to reduce the amount of general liability insurance OFC must carry from two -
million dollars ($2,000,000) to one - million dollars ($1,000,000).
5. That Article 1, Section 1.02 "Definitions" of the Carousel Funding Agreement shall be
amended as follows on page 4 under "Park Restoration Requirement" delete everything
after 1250,000".
6. That the City through Gerard Cafesjian will provide $28,000 for OFC to hire an
executive director who will be responsible for the day to day operations of the
Carousel during the trial period.
c,S -1`19y
7. That the City through its Superintendent of Parks and Recreation shall have input into
the work program developed for the executive director.
8. That the City will hire and pay for marketing personnel whose task it shall be to market
and promote use of the Carousel.
A. The marketer shall work with OFC's executive director and City staff on
promotion and marketing efforts.
B. The OFC marketing chair shall have the right to approve all written copy (ads,
brochures, press releases, etc) for accuracy and appropriateness. Such approval
shall be made in a timely manner and shall not be unreasonably withheld.
C. OFC's executive director shall have the right to approve any promotion that
results in a reduced ticket price for carousel rides or gift shop items, based on
guidelines to be developed by OFC's Board o` "irectors. It is agreed that the
normal price of a ride on the Carousel is $1.0y:,
D. A marketing committee will be created consisting of the Superintendent of
Parks and Recreation and three other representatives of the City, together with
OFC's representatives, including its executiv -'irector. The Superintendent of
Park and Recreation shall have approval /veto power over any marketing
concept proposed by the marketing consultant.
9. That in order to help with the promotion and marketing issues the City will program
the park during periods that the carousel is in operation, when possible.
10. That if OFC's present executive director should quit or be terminated before the trial
period is completed, money designated for the executive director's salary shall not be
spent in any manner other than its original purpose. Secondly, if it is necessary to hire
a new executive director the City through its Superintendent of Parks and Recreation
shall have the right to approve OFC's choice for the position. Such approval shall not
be unreasonably withheld.
11. That OFC shall prepare a business plan and budget for the operation of the Carousel
for the trial period. This shall be done within thirty (30) days of the completion of
this agreement. The plan shall be submitted to the City's Superintendent of Parks and
Recreation for the City's approval. The City shall have fifteen (15) days from receipt
of the plan to approve or suggest changes to the plan. If the City does not act in the
fifteen day period the plan and budget shall be considered approved.
S 1 t i
12. That on or about July 15, 1996 OFC's Board Chairperson, OFC's Executive Director,
the major donor Gerard Cafesjian, the City's Superintendent of Parks and Recreation
and the City's Director of Planning and Economic Development shall meet to review
data concerning Carousel ridership and revenue during the trial period. They shall use
the following criteria to make their determination.
A. The Carousel must generate enough revenue to off -set all of its operating costs
during the trial period.
B. The Carousel must generate an average of eight thousand (8,000) riders per
month and eight thousand dollars ($8,000) in ride generated income per month
during the last four months of the trial period.
13. That if the conditions outlined in 12.A and 12.B have both been met, the Carousel shall
remain open after the trial period. If one or both of the above conditions is not met the
Carousel will close operation on July 31, 1996.
14. That it is agreed between the City and OFC that if the Carousel is able to generate the
required revenue and the required ridership during t he: trial period the Carousel will
continue to operate in Town Square Park. However', if subsequent to the trial period
the Carousel fails to meet its operational costs which:: ill include the executive
director's salary and not more than $1,000 marketing costs per month, the OFC Board
may choose to discontinue to operate the Carousel. The OFC Board shall review the
operating budget at its quarterly meetings to determine if the Carousel is meeting its
operating costs.
Determination of revenue versus operating costs will be made on an accrued basis
starting from December 1, 1995. Ridership must continue at an average of 8,000
riders per month and at least $8,000 in revenue must be generated from ride income
each month. Ridership shall be determined on an accrued basis starting from April 1,
1996.
15. If OFC determines to close the Carousel due to lack of revenue to cover operating
costs or lack of sufficient riders, they shall so notify the City through its
Superintendent of Parks and Recreation and its Director of Planning and Economic
Development. At such time OFC shall provide the City, through the two individuals
named above, with all requested financial records of OFC that show that the Carousel
has not been able to meet its operational financial obligations, or its required ridership.
16. That if it is determined that the Carousel operation in Town Square is not feasible,
based on the above criteria, at the end of the trial period or at some subsequent time,
the Carousel shall close and be moved to another site.
17. That if it is determined that the Carousel should be moved (in accordance with item 16)
either at the end of the trial period or at some subsequent time, the City agrees to use
the criteria developed by OFC's site committee (see attachment A) in determining a
new location for the Carousel in Saint Paul. Further, the City will provide the new
location and housing for the Carousel at the location within twelve months of the
Carousel's closing in Town Square Park.
18. If the City fails to provide a new location and /or housing for the Carousel within
twelve months of its closing in Town Square, OFC shall have the right to purchase the
Carousel and move it to another site as outlined in the Carousel Funding Agreement.
19. OFC and the City enter into this Agreement with the approval of Minnesota Landmarks
and BCED, signatories to the original Carousel Agreements (letters attached).
20. The City will act with all due speed to produce documents to remove
Minnesota Landmarks and BCED as parties to the of . nal Carousel Agreements.
IN WITNESS WHEREOF, the parties have executed this Ag ;cement as of the day and year
first above written.
For OFC/ Approved as to Form
Ci ' Attorney, Ci • : int Paul
Its Si DAN 'i / —
Superinten• ent of 'rrks� d ` ecreation
Director of Finance & Management
Service
Director of P 'nning & Econ. ' is
Development
Mayor
/-
O C S - 1��1�{
Cite Criteria Committee
•
Meting Sept. 2, 1994 • •
•
i T Historical SocieLY '.
I n attendance: Boehm, Herskcvitz, McCormick, Tracy, Wei chest
n items s were discussed as factors effecting the
The -Following ..• Y � =el or for evaluating
selection of a new site for the carousel,
the current site:
The facility itself: i� i"C":CS to the use of a carousel;
apDrcoriatenesS of e; = :
cu : and if aC caro el from ; e! E:?:E: =t = i
fire, theft, vandalism,
security from ticket booth and C__t shop; r restoration s�aC °,
stC age,
availability of office, _ p., C. the facility;
,,.. Cr renovation cost O. construction for facility i tVilc3`?te'- �i -c:=C° •
...d respci":si..i 1 - ty _o_ _
cost G: = '" •
l •:! GC11� L:J
Cast to relocate carouse_ to a new f .
Park i f we leave that l cica
Cost to restore Town Square - { - ft ,
(CuYrent estimate is -L
- .O the carousel su : C
must provide f f i C , t__e ca_ cu
location + ± +t- -t requirements, rc -aii -" but i :Ct s0 Creat
meet cur revenue - ` ui ements, D
to Tieet e _
rapid d =ri o - ation of the carousel itself i
as to cause rap by Carousel itself ,T:List �e
traffic (and noise) generated
- acceptable and consistent with other uses of the facility.
Financial nanci al viability: .- c`' sufficient t0 meet
projected revenue at the site mu be _
operations and maintenance cost and to create a reserve fnd.
Public access: public access in terms of dates avail aD! ?
must be reasonable _L- is acc__�
and for educational purposes;
for use by riders a:
handicap d accessibl i t Ji _ _ _ '
- f or t'•e - •.�. _ to =p rCac 1.
Greer. must be sa f
l _ r _.. -
Site must be C res•. -ed to ha'v 3 Cnc-term stability.
_...
_Cr donor will be
Cnored:
Obligations to ma
%- C'CerGt cont-^
i
-or0f1 OFC will continue to have 1Ci1 t
of t e carousel.
Non - profit OF C will continue to control the d
of the carousel.
of =au_, or close to t..E
Locations within :he `, - __�� - Fair site will �e c :en
s cri C . a.
carousel's - - - - -- .
Landmark Center S I LI 9 I
r -
111 -
" Minnesota Landmarks
;• 404 Landmark Center • 75 West Fifth Street •Saint Paul, Minnesota 55102 • (612) 292 -3233
s�G ` rte'
.
Event Services: December 1, 1995
Meetings,
Conferences and
Special Events for Division of Parks and Recreation
20 to 10100 City of Saint Paul
people c/o Vic Wittgenstein
Landmark Traditions 25 W. Fourth St., Room 200
Full beverage services St. Paul, MN 55102
�
State -of- the -art
sound system City of Saint Paul:
Reception and This letter serves as authorization for the City of Saint Paul, Division of Parks •
Banquet facilities and Recreation, to act on behalf of Minnesot andmarks in the matter of
230 -seat auditorium amending the existing "Carousel Installation, Permit and Operation Agreement,"
for seminars, to which you referred in your letter of November 27, 1995.
meetings, recitals,
plays and concerts
We would appreciate completing the process of removing Minnesota
Tour and theatre Landmarks from all agreements concerning Our Fair Carousel. Please keep me
packages for groups updated on this process. I, or my assistant Amy Walgrave, can be reached at
Event planning Minnesota Landmarks at 292 -3285.
Sincerely,
Public
:z: i ; /;` `,� fgo,,r � ann,
v1d A. anegr ,
Programs for President
children, families and
seniors DAL:alw
Ethnic and cultural
celebrations
Exhibition galleries
Public and private
building tours
L,n,',mark Center is a
Ramcev County
.;\rty, r rt �ratt,r ,
and managr.l I-y
l., r•ar. ,;a L n imarks