HomeMy WebLinkAbout15-35 Resolution No. 15-35
RESOLUTION
AUTHORIZING EXECUTION OF TWO LEASE AGREEMENTS AND
A MAINTENANCE AGREEMENT WITH
NADLER GOLF CAR SALES, INC. FOR LEASING ELECTRIC
GOLF CARS AND MAINTENANCE OF GOLF CARS
AT BOWES CREEK COUNTRY CLUB
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS,that
pursuant to Elgin Municipal Code Section 5.02.020B(9) the City Council hereby finds that an
exception to the requirements of the procurement ordinance is necessary and in the best interest of
the city; and
BE IT FURTHER RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN,
ILLINOIS, that Sean R. Stegall, City Manager, and Kimberly A. Dewis, City Clerk, be and are
hereby authorized and directed to execute two lease agreements and a maintenance agreement on
behalf of the City of Elgin with Nadler Golf Car Sales, Inc. for leasing electric golf cars and
maintenance of the golf cars at Bowes Creek Country Club,copies of which are attached hereto and
made a part hereof by reference.
s/ David J. Kaptain
David J. Kaptain, Mayor
Presented: March 18, 2015
Adopted: March 18, 2015
Omnibus Vote: Yeas: 9 Nays: 0
Attest:
s/Kimberly Dewis
Kimberly Dewis, City Clerk
NADLER GOLF CAR SALES, INC.
LEASE AGREEMENT
NAME OF LESSEE CITY OF ELGIN
ADDRESS 150 DEXTER COURT
CITY ELGIN COUNTY KANE STATE IL ZIP 60120
QUANTITY AND DESCRIPTION OF LEASED EQUIPMENT
TWENTY (20),2015 MODEL CLUB CAR PRECEDENT i2 Electric Golf Cars equipped with: Canopy
Tops, Fold Down Windshield, Bag Covers,2 Divot Bottle Kits. Custom Nameplate, Battery Watering
System,Numbers,Automatic E.R.I.C. Chargers, R. Atlantic Blue Body Color w/Beige Seats.
THIS LEASE AGREEMENT, made and entered into and executed in triplicate this 18th day of
MARCH,2015 by and between NADLER GOLF CAR SALES, INC. an Illinois Corporation,hereinafter
called 'LESSOR', and CITY OF ELGIN hereinafter called `LESSEE'.
WITNESSETH
WHEREAS,the Lessor is engaged in the business of the sale and leasing of golf cars; and
WHEREAS,the Lessee is the operator of a Golf Course located as aforesaid.
NOW, THEREFORE, IN CONSIDERATION OF THE PREMISES AND THE MUTUAL PROMISES OF THE
Parties hereto, IT IS AGREED as follows,to wit:
1. LEASE. Lessor hereby leases to Lessee, and Lessee hereby rents from Lessor the golf cars herein above
described.
2. LOCATION. Said cars are to be used at the Golf Course known as BOWES CREEK COUNTRY CLUB
and only at said Golf Course for the purpose of providing transportation to golf players when playing golf. Said
golf cars are not to be used at any other location or for any other purpose without the written consent of the Lessor.
3. EQUIPMENT. Lessor represents that on delivery, said cars will be in first class mechanical condition,and
agrees to maintain said cars in first class mechanical condition through the term of this Agreement, except as
hereinafter otherwise provided. Lessor agrees to furnish servicing for said cars not less than once in each calendar
week during the season when said cars are in use. Lessor agrees that in the event Lessee shall notify Lessor that
any unit is inoperable. Lessor will within forty-eight(48)hours of such notification make examination thereof, and
in the event that such unit cannot be made operable within forty-eight(48)hours of such examination,then Lessor
will furnish an adequate temporary replacement within said period for such unit. Lessor shall make all repairs
promptly and shall repair or replace all parts at their own expense. Lessor guarantees electric cars shall have a
minimum 36-hole performance capability throughout the term of said Lease Agreement.
4. USE. Lessee agrees not to knowingly allow the use of said cars by persons under driver's license age or persons
incapable of operating said units safely.
5. INSURANCE. Lessor agrees to furnish, at its own expense,bodily injury and property damage liability
insurance with a minimum of$500,000 combined single limit as a result of any one occurrence for the use,
operation, and maintenance of leased golf cars. Said insurance shall name as additional insured Lessee, and a
certificate thereof shall be filed with Lessee. Lessor shall carry adequate physical damage coverage for said cars.
Lessee is responsible to Lessor for the first$20,000.00 of damage, per occurrence, resulting from vandalism
and/or theft of said cars. Lessee must notify Lessor,via e-mail, (eric(itnadlergolf.com)within (24) hours of
any occurrence. Additionally, Lessee must notify the appropriate law enforcement agency within(24) hours
of said occurrence. Lessee shall also be responsible for providing Lessor with a police report within one week
of said occurrence. Should Lessee not provide proper notification, Lessee is responsible for all costs for
repairs/replacements of said golf cars.
6. OPERATION. Lessee shall provide for electric models, electricity and outlets as required, and shall properly
charge and water batteries as needed. Lessee shall provide gasoline as required for operation of gasoline models.
7. STORAGE. Lessee shall provide adequate and secure storage for said golf cars when not in use.
8. TIRES. Lessor shall provide adequate spare tires and Lessor further shall be responsible for any flat tire
repairs required by said cars.
9. DAMAGE AND REPAIRS. The cost of parts and labor required to repair any normal wear and tear shall be
the responsibility of Lessor. Any abnormal damage, whether it be caused by accidents, caused by negligence,
and/or improper operation of the vehicle on part of Lessee, employees or renter of said cars shall be invoiced to the
Lessee at the normal prevailing rates charged.
10. MAINTENANCE. Lessee further agrees to keep said golf cars in a clean and orderly condition at all times so
that their use will be encouraged, and that the cars will be maintained so as not to detract from the standard
appearance and cleanliness of the Golf Course maintained by said Lessee. In addition, Lessee agrees that Lessee will
not, without the prior written consent of Lessor,make an alteration,modification, or addition to any leased golf car,
including,without limitation,the addition of any markings, advertising, placards, stickers, or GPS(Global
Positioning Systems). Visage GPS by Club Car/GPSI is the ONLY approved GPS system approved by the Lessor at
this time. Visage must be installed in accordance with Club Car's recommendations.
I I. LEASE PAYMENTS. Lessee agrees to pay to Lessor $865.00 dollars per car per season. Both Lessor
and Lessee acknowledges the length of a season will vary from year to year but in no way does this variation effect
the Payment Schedule, hereinafter written, and agreed upon by both Parties. Lessee further agrees to keep records
and receipts of all golf car rentals. A 1.25% MONTHLY SERVICE CHARGE (15% ANNUALLY)WILL BE
CHARGED ON ALL ACCOUNTS OVER THIRTY (30) DAYS.
PAYMENT SCHEDULE
May 10, 2015 &2016 $716.67
June 10.2015 & 2016 $716.67
July 10, 2015 &2016 $716.67
August 10, 2015 &2016 $716.67
September 10, 2015 &2016 $716.67
October 10,2015 &2016 $716.67
May 10,2017 through 2022 $2,883.34
June 10,2017 through 2022 $2,883.34
July 10, 2017 through 2022 $2,883.34
August 10,2017 through 2022 $2,883.34
September 10,2017 through 2022 $2,883.34
October 10, 2017 through 2022 $2,883.34
A trade value of$26,000.00 for Lessee's owned CLUB CAR Golf Car fleet consisting of Twenty(20),2009
Club Car Electric Golf Cars has been applied to the above payment schedule for the 2015 and 2016 payments.
12. LEASE TERM. This Agreement shall terminate DECEMBER 1,2022.
13. LEASE TERMINATION OPTION. Lessee may, at its option,terminate this Agreement at the conclusion of
the 2019 Golf Season. Upon exercising this option, Lessee shall be responsible for a$1,875.00 per car penalty
totaling$37,500.00. Written notification must be received by Lessor from Lessee no later than August 1,2019 with
full penalty payment of$37,500.00 due by October 10, 2019. Should Lessee exercise this option, all duties and
obligations of Lessee and Lessor within this Agreement shall cease December 1,2019.
14. FORCE MAJEUR. Lessor shall not be liable for any part of this Agreement due to any occurrence or
contingency beyond their reasonable control, including but not limited to war, hostility, insurrection, riot or other act
of civil disobedience, accident, fire, explosion,flood, storm, or other such weather conditions.
15. MISCELLANEOUS.
(a) It is understood that this Agreement is one of rental and not one of sale.
(b) In the event Lessee defaults in the performance of any of the terms hereof, or fails to make any payment
when due. Lessor, in addition to any other remedy accorded by law, shall have the right to declare this
Agreement terminated and shall have the right to enter upon the golf course premises and take possession of
and remove the golf cars subject to this Agreement. Lessee shall pay all costs and damages incurred by
Lessor, including reasonable attorneys fees and costs, in enforcing the terms hereof.
(c) This Agreement shall be governed by and construed in accordance with the laws of the State of Illinois.
The parties hereto further agree that any action on this Agreement shall be brought in the Circuit Court for
the 16th Judicial District, Kane County, Illinois and the undersigned specifically and expressly waives the
right to transfer jurisdiction and venue to the Federal Court system.
(d) Lessee agrees to pay to Lessor, replacement cost(parts only), for any option or accessories that require
replacement during the term of this Agreement.
IN WITNESS WHEREOF, the Parties hereto have executed this Agreement on the day and year first above written.
LESSOR:
NADLER GOLF CAR SALES, INC. ADDRESS:
2700 N. FARNSWORTH AVE.
BY AURORA, IL 60502
LESSEE:
CITY OF ELGIN ADDRESS:
150 DEXTER COURT
BY /L /,. ELGIN. IL 60120
Sea 1'R. Stegall, Ci - Manager
Attest:
‘11(1,(& 41-e/
City Clerk
NADLER GOLF CAR SALES, INC.
LEASE AGREEMENT
NAME OF LESSEE CITY OF ELGIN
ADDRESS 150 DEXTER COURT
CITY ELGIN COUNTY KANE STATE IL ZIP 60120
QUANTITY AND DESCRIPTION OF LEASED EQUIPMENT
TWO(2),2015 MODEL CLUB CAR PRECEDENT 12 Electric Villager 4 Transportation Vehicles
Equipped with Tops, Fold Down Windshield, Standard Light Package, Fold Down Rear Seat, Automatic
E.R.I.C. Chargers, Battery Watering System& Black Body Color w/Beige Seats.
THIS LEASE AGREEMENT,made and entered into and executed in triplicate this 18th day of
MARCH,2015 by and between NADLER GOLF CAR SALES, INC. an Illinois Corporation, hereinafter
called `LESSOR',and CITY OF ELGIN hereinafter called `LESSEE'.
WITNESSETH
WHEREAS,the Lessor is engaged in the business of the sale and leasing of golf cars; and
WHEREAS,the Lessee is the operator of a Golf Course located as aforesaid.
NOW, THEREFORE, IN CONSIDERATION OF THE PREMISES AND THE MUTUAL PROMISES OF THE
Parties hereto, IT IS AGREED as follows, to wit:
1. LEASE. Lessor hereby leases to Lessee, and Lessee hereby rents from Lessor the golf cars herein above
described.
2. LOCATION. Said cars are to be used at the Golf Course known as BOWES CREEK COUNTRY CLUB
and only at said Golf Course for the purpose of providing transportation to golf players when playing golf. Said
golf cars are not to be used at any other location or for any other purpose without the written consent of the Lessor.
3. EQUIPMENT. Lessor represents that on delivery, said cars will be in first class mechanical condition,and
agrees to maintain said cars in first class mechanical condition through the term of this Agreement, except as
hereinafter otherwise provided. Lessor agrees to furnish servicing for said cars not less than once in each calendar
week during the season when said cars are in use. Lessor agrees that in the event Lessee shall notify Lessor that
any unit is inoperable, Lessor will within forty-eight(48)hours of such notification make examination thereof,and
in the event that such unit cannot be made operable within forty-eight(48)hours of such examination,then Lessor
will furnish an adequate temporary replacement within said period for such unit. Lessor shall make all repairs
promptly and shall repair or replace all parts at their own expense. Lessor guarantees electric cars shall have a
minimum 36-hole performance capability throughout the term of said Lease Agreement.
4. USE. Lessee agrees not to knowingly allow the use of said cars by persons under driver's license age or persons
incapable of operating said units safely.
5. INSURANCE. Lessor agrees to furnish, at its own expense, bodily injury and property damage liability
insurance with a minimum of$500,000 combined single limit as a result of any one occurrence for the use,
operation, and maintenance of leased golf cars. Said insurance shall name as additional insured Lessee, and a
certificate thereof shall be filed with Lessee. Lessor shall carry adequate physical damage coverage for said cars.
Lessee is responsible to Lessor for the first$20,000.00 of damage, per occurrence, resulting from vandalism
and/or theft of said cars. Lessee must notify Lessor, via e-mail,(eric(r�nadlergolf.com)within (24) hours of
any occurrence. Additionally, Lessee must notify the appropriate law enforcement agency within (24) hours
of said occurrence. Lessee shall also be responsible for providing Lessor with a police report within one week
of said occurrence. Should Lessee not provide proper notification, Lessee is responsible for all costs for
repairs/replacements of said golf cars.
6. OPERATION. Lessee shall provide for electric models, electricity and outlets as required, and shall properly
charge and water batteries as needed. Lessee shall provide gasoline as required for operation of gasoline models.
7. STORAGE. Lessee shall provide adequate and secure storage for said golf cars when not in use.
8. TIRES. Lessor shall provide adequate spare tires and Lessor further shall be responsible for any flat tire
repairs required by said cars.
9. DAMAGE AND REPAIRS. The cost of parts and labor required to repair any normal wear and tear shall be
the responsibility of Lessor. Any abnormal damage,whether it be caused by accidents, caused by negligence,
and/or improper operation of the vehicle on part of Lessee,employees or renter of said cars shall be invoiced to the
Lessee at the normal prevailing rates charged.
10. MAINTENANCE. Lessee further agrees to keep said golf cars in a clean and orderly condition at all times so
that their use will be encouraged, and that the cars will be maintained so as not to detract from the standard
appearance and cleanliness of the Golf Course maintained by said Lessee. In addition, Lessee agrees that Lessee will
not,without the prior written consent of Lessor, make an alteration, modification, or addition to any leased golf car,
including, without limitation,the addition of any markings, advertising, placards, stickers, or GPS(Global
Positioning Systems). Visage GPS by Club Car/GPSI is the ONLY approved GPS system approved by the Lessor at
this time. Visage must be installed in accordance with Club Car's recommendations.
11. LEASE PAYMENTS. Lessee agrees to pay to Lessor $1,175.00 dollars per car per season. Both Lessor
and Lessee acknowledges the length of a season will vary from year to year but in no way does this variation effect
the Payment Schedule, hereinafter written, and agreed upon by both Parties. Lessee further agrees to keep records
and receipts of all golf car rentals. A 1.25% MONTHLY SERVICE CHARGE(15% ANNUALLY)WILL BE
CHARGED ON ALL ACCOUNTS OVER THIRTY (30) DAYS.
PAYMENT SCHEDULE
May 10,2015 &2016 $150.00
June 10,2015 &2016 $150.00
July 10, 2015 &2016 $150.00
August 10,2015 &2016 $150.00
September 10, 2015 &2016 $150.00
October 10,2015 &2016 $150.00
May 10, 2017 through 2022 $391.37
June 10, 2017 through 2022 $391.67
July 10,2017 through 2022 $391.67
August 10,2017 through 2022 $391.67
September 10,2017 through 2022 $391.67
October 10,2017 through 2022 $391.67
A trade value of$2,900.00 for Lessee's owned CLUB CAR Golf Car fleet consisting of Two(2),2009 Club
Car Villager 4 Electric Golf Cars has been applied to the above payment schedule for the 2015 and 2016
payments.
12. LEASE TERM. This Agreement shall terminate DECEMBER 1, 2022.
13. LEASE TERMINATION OPTION. Lessee may,at its option,terminate this Agreement at the conclusion of
the 2019 Golf Season. Upon exercising this option, Lessee shall be responsible for a$2,650.00 per car penalty
totaling$5,300.00. Written notification must be received by Lessor from Lessee no later than August 1,2019 with
full penalty payment of$5,300.00 due by October 10,2019. Should Lessee exercise this option, all duties and
obligations of Lessee and Lessor within this Agreement shall cease December 1,2019.
14. FORCE MAJEUR. Lessor shall not be liable for any part of this Agreement due to any occurrence or
contingency beyond their reasonable control, including but not limited to war, hostility, insurrection, riot or other act
of civil disobedience,accident,fire, explosion, flood, storm, or other such weather conditions.
15. MISCELLANEOUS.
(a) It is understood that this Agreement is one of rental and not one of sale.
(b) In the event Lessee defaults in the performance of any of the terms hereof, or fails to make any payment
when due, Lessor, in addition to any other remedy accorded by law, shall have the right to declare this
Agreement terminated and shall have the right to enter upon the golf course premises and take possession of
and remove the golf cars subject to this Agreement. Lessee shall pay all costs and damages incurred by
Lessor, including reasonable attorneys fees and costs, in enforcing the terms hereof.
(c) This Agreement shall be governed by and construed in accordance with the laws of the State of Illinois.
The parties hereto further agree that any action on this Agreement shall be brought in the Circuit Court for
the 16th Judicial District, Kane County, Illinois and the undersigned specifically and expressly waives the
right to transfer jurisdiction and venue to the Federal Court system.
(d) Lessee agrees to pay to Lessor, replacement cost(parts only), for any option or accessories that require
replacement during the term of this Agreement.
IN WITNESS WHEREOF, the Parties hereto have executed this Agreement on the day and year first above written.
LESSOR:
NADLER GOLF CAR SALES, INC. ADDRESS:
2700 N. FARNSWORTH AVE.
BY AURORA, IL 60502
LESSEE:
CITY OF ELGIN ADDRESS:
eZeti
150 DEXTER COURT
BY �f E60 120
Sea Siegal , Ci Ma ager
At e t:
City Clerk
NADLER GOLF CAR SALES, INC.
MAINTENANCE AGREEMENT
This Agreement made and entered into in duplicate this 18th day of March, 2015
by and between Nadler Golf Car Sales, Inc., hereinafter called "FIRST PARTY", and
CITY OF ELGIN / BOWES CREEK C.C. hereinafter called "SECOND PARTY"; both
Parties hereby agree as follows:
QUANTITY AND DESCRIPTION OF EQUIPMENT TO BE MAINTAINED:
fifty-Three (53). 2009 Model CLUB CAR PRECEDENT Electric Golf Cars.
1. During the term of this Agreement FIRST PARTY agrees to: maintain vehicles in first class
mechanical condition, provide weekly service from May 1st through October 1st of each
respective year. provide all mechanical parts and associated labor, provide winter reconditioning
of said vehicles which includes attached check sheet, perform battery discharge tests. completely
wash vehicles during reconditioning process, and provide transportation of vehicles for
reconditioning.
2. During the term of this Agreement repairs/replacements may be required which are not
covered under said Agreement. These repairs/replacements will be provided by FIRST PARTY
on a TIME & MATERIAL basis. These repairs/replacements include but are not limited to:
A) Any cosmetic repair
B) Any battery charger repair
C) Any tire repair
D) Batteries not covered under warranty
E) Battery wires
F) Computers & Controllers not covered under warranty
G) Electric motors not covered under warranty
H) Any repairs necessary due to accidents, misuse, or abuse
3. Said vehicles are to be used at the Golf Course known as BOWES CREEK COUNTRY CLUB
and only at said Golf Course for the purpose of providing transportation to golf players when
playing golf. Said vehicles are not to be used at any other location or for any other purpose
without consent of FIRST PARTY.
4. SECOND PARTY agrees to pay to FIRST PARTY according to the following Payment
Schedule.
PAYMENT SCHEDULE
April 1, 2015 $ 4,240.00
April 1, 2016 $10,600.00
5. Said Agreement shall terminate OCTOBER 1, 2016.
FIRST PARTY
NADLER GOLF CAR SALES, INC. ADDRESS:
/� 2700 N. FARNSWORTH AVE.
BY 1 7 ��•,G�2,, AURORA, IL 60502
SECOND PARTY
CITY OF ELGIN / BOWES CREEK C.C. ADDRESS:
150 DEXTER COURT
BY ,/A„/ j �f;g ELGIN, IL 60120
Se!n R. Stegall, C',' Manager
Attest:
lit/444dg _. %6Ze-A
City Clerk