2012 2:00:00 PM

Monday, November 26, 2012 2:00 PM
Sparks Legislative Building, 745 E. 4th Street, Sparks, NV 89431

General Business: 6.1

Title: Review and possible approval of a request to start negotiating possible lease agreement with the Reno Rodeo Association for the Gandolfo Rodeo Arena located at 2200 Loop Road.

Petitioner/Presenter: Tracy Domingues, Parks and RecreationDirector/Tracy Domingues, Parks and Recreation Director

Recommendation: : That the City Council direct the City Manager to enter into lease negotiations with the Reno Rodeo Association for the Gandolfo Rodeo Arena located at 2200 Loop Road.

Financial Impact: None

Business Impact (Per NRS 237):
A Business Impact Statement is not required because this is not a rule.

Agenda Item Brief: The Reno Rodeo Association is interested in entering into a lease agreement with the City of Sparks for the maintenance and programming of the Gandolfo Rodeo Arena in Horseman’s Park located at 2200 Loop Road.

Background: According to a staff report dated June 14, 1993 submitted by Les Hicks, Jr., Parks and Recreation Director, “The City of Sparks acquired the 40 acre parcel in 1927 from the Federal Government. The deed, signed by Calvin Coolidge, states that the city can use the land for a city dump or municipal purposes. In the 1970’s, the City of Sparks started transforming the old dump site into a professional rodeo area, with holding chutes, grandstands, announcer’s booth and parking lot. The site presently (1993) consists of 3 different levels which were primarily used for parking and storage of trees and limbs removed by the Parks and Recreation Department.” On July 28, 1980, the City of Sparks awarded a bid to Ferretto Construction Company to construct the road to Joe Gandolfo Arena at Horseman’s Park in the amount of $80,254.04. This road was and continues to be the access road to Horseman’s Park and the paving and maintenance is the city’s responsibility. On May 24, 1982, the City Council passed and adopted a grant offered by the Reno/Sparks Convention Authority in the amount of $64,840.00 to defray the cost of improvements to be installed at the Gandolfo Arena in Horseman’s Park. The funds for Capital Improvements were distributed as follows: Priority #1 Second Arena $10,000.00 Priority #2 Restroom and Concession $26,840.00 Priority #3 Announcing Stand (complete) $ 2,000.00 Priority #4 Bleachers $16,000.00 Priority #5 Restroom and RV dump station $10,000.00 $64,840.00 On 6/14/1993, a lease agreement was proposed by Les Hicks and approved by City Council by and between Sierra Nevada Junior Rodeo, Inc. The lease was valid for a term of two (2) years beginning 6/14/1993 and ending on 6/14/1995, with the option to renew for an additional two (2) year term. The agreement stated that the Lessee was required to obtain the prior written approval from the Lessor’s Parks and Recreation Director before erecting improvements or making alterations upon the leased premises. Lessee was to be responsible for the maintenance and repair at Lessee’s cost and expense to make repairs, alterations and/or improvements. Lessee was also responsible for the security and safety of the premises. A letter dated 6/17/1997 to Mr. Gandolfo from the City Clerk stated “The City of Sparks wishes to extend the existing Lease Agreement for the ‘Gandolfo Arena’, from June 14, 1997, until a new lease agreement is approved by the City Council at a future Council Meeting. This probably will be sometime in July, 1997.” Mr. Gandolfo signed this letter in agreement on 6/19/97. There is no record of this lease being presented or approved by City Council in July, 1997 or later. Therefore, it is the opinion of the Assistant City Attorney that the lease is null and void.

Analysis: Since 1997, the City of Sparks Parks and Recreation Department has managed the use and maintenance of the Gandolfo Rodeo Arena. Activity was more closely monitored during the summers of 2011 and 2012. Staff has determined that the city no longer has the expertise or resources to continue the maintenance and/or programming of this special use rodeo facility. In the best interest of efficiency and promotion of the Gandolfo Arena, staff requests that the City Manager or his designee be directed to initiate lease agreement negotiations with the Reno Rodeo Association (RRA). The RRA’s stated purpose is to cultivate, foster and promote interest and participation in rodeo activities, entertainment; the proper care and management of domestic animals; and to provide and promote competitions, exhibitions, shows and entertainment of any and all descriptions for the general enjoyment and instruction of its members and the public. City Staff believes that the RRA’s goals are compatible with those of the City and that the RRA would best provide the appropriate management, maintenance and programming of the Gandolfo Arena. If approved, other terms of the lease agreement would include but not be limited to: 1) Reservation of access and use. The lessee (RRA) would have the responsibility of programming the facility and collecting the revenue to offset the maintenance costs; 2) Maintenance and Repair. In short, the Lessee’s maintenance responsibilities would encompass the arena, holding pens, roping chute(s) and associated panels. The Lessor (City of Sparks) will continue to maintain the interior and exterior of the two (2) buildings on the site; 3) Improvements. The lessee must obtain prior written approval from the Parks and Recreation Director before making improvements or alterations upon the leased premises; 4) Subleases and assignments; 5) Utilities; 6) Indemnification and insurance; 7) Damage or destruction; 8) Termination; 9) Security; and general covenants. The lease would begin with a two (2) year term with the option to renew an additional two (2) years.

Alternatives: • Council may direct staff to initiate a Request for Proposal for the maintenance and programming of the Gandolfo Rodeo Arena. • Council may direct staff to continue maintaining and programming the Gandolfo Rodeo Arena. • Council may direct staff to negotiate a lease agreement with the Reno Rodeo Association for the maintenance and programming of the Gandolfo Rodeo Arena.

Recommended Motion: I move that the City Manager be authorized to initiate negotiations for a lease agreement with the Reno Rodeo Association for the maintenance and programming of the Gandolfo Rodeo Arena in Horseman’s Park located at 2200 Loop Road.

Attached Files:

Reno rodeo letter of intent 11.2.12.pdf

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