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08-166 Resolution No. 08-166 RESOLUTION AUTHORIZING EXECUTION OF AN AGREEMENT WITH THE ORDER SONS OF ITALY IN AMERICA FOR THE 2008 FOXFIREFEST BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN,ILLINOIS,that Olufemi Folarin,City Manager,and Diane Robertson,City Clerk,be and are hereby authorized and directed to execute an agreement on behalf of the City of Elgin with the Order Sons of Italy in America for services as alcoholic liquor retailer for the 2008 FoxFireFest, a copy of which is attached hereto and made a part hereof by reference. s/Ed Schock Ed Schock, Mayor Presented: July 9, 2008 Adopted: July 9, 2008 Omnibus Vote: Yeas: 7 Nays: 0 Attest: s/Diane Robertson Diane Robertson, City Clerk FoxFireFest Alcohol Retailer Agreement THIS AGREEMENT is hereby made and entered into this 01 "' day of ,1v�, 2008, by and between the City of Elgin, Illinois, a municipal corporation (hereinafter referred to as "City") and the Order Sons of Italy in America(hereinafter referred to as "Vendor"). WHEREAS, City conducts an annual, three-day festival known as the "FoxFireFest" along the city's riverfront in Festival Park; and WHEREAS, City has determined it to be in its best interests to engage the services of Vendor to serve as its alcoholic liquor retailer for the 2008 FoxFireFest; NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein, the sufficiency of which is hereby acknowledged, the parties hereto hereby agree as follows: 1. Vendor shall have the exclusive right to sell alcoholic beverages at the 2008 FoxFireFest. 2. Vendor shall dispense and serve alcohol only from those three (3) locations within the 2008 FoxFireFest grounds designated by the City. 3. Vendor shall staff two (2) wrist banding stations at locations within the 2008 FoxFireFest grounds identified by the City. Vendor shall be responsible for purchasing wristbands, checking identification to confirm lawful drinking age, and banding the wrists of persons 21 years of age or older who wish to purchase alcohol from the Vendor at the 2008 FoxFireFest. 4. All alcohol sold at the 2008 FoxFireFest shall be purchased by Vendor from City Beverage Company. Vendor and City Beverage Company shall determine the appropriate the product mix of alcoholic beverages that will be offered for purchase by Vendor during the 2008 FoxFireFest. Vendor shall also be responsible for purchasing all cups for dispensing beverages. 5. Vendor shall provide City with proof of completion of a state certified "beverage alcohol sellers and service education and training program" (BASSET) for each person selling or selling alcoholic beverages during the 2008 FoxFireFest. 6. City shall not be required to provide storage space for Vendor's equipment, goods or perishable items. City may provide storage space to Vendor at City's sole discretion. In the event Vendor stores any equipment on City's property, Vendor shall be solely liable for any and all damage or theft to Vendor's equipment. CITY SHALL NOT BE LIABLE FOR ANY LOSS OR DAMAGE TO ANY Vendor EQUIPMENT, GOODS OR PERISHABLE ITEMS PURSUANT TO ANY BAILMENT OR OTHER BASIS OF LIABILITY. 7. City shall provide for and pay all costs for utilities and refuse disposal services which may be reasonably required by Vendor in the performance of its duties hereunder. 8. Vendor shall pay to City 25 percent of the net sales, of all alcoholic beverages sold during the 2008 FoxFireFest. In addition, Vendor shall make a charitable donation in the amount of 25 percent of the net sales of all alcoholic beverages sold during the 2008 FoxFireFest, , equally to Renz Addition Center, Clare Woods Academy ant the Order Sons of Italy in America, all charitable organization recognized under section 501(c)(3) of the U.S. Internal Revenue Code. In addition, Vendor shall make a charitable donation in the amount of 50 percent of the net sales of all alcoholic beverages sold during the 2008 FoxFireFest to the City of Elgin, on behalf of the Larkin Center, a charitable organization recognized under section 501(c)(3) of the U.S. Internal Revenue Code. 9. The City of Elgin shall receive all sponsorship fees from City Beverage. 10. The pricing of drinks shall be determined mutually between the Vendor and the City of Elgin. 11. Vendor shall keep and maintain records of all beverage sales served pursuant to this agreement. All records shall be in a form ecords shall be made available upon request to th accounting practice. The aforementioned r e City good duly authorized representatives for inspection, copying or auditing purposes upon reasonable notice. 12. Vendor shall pay all monies provided herein to the City and the charitable organization identified in paragraph 8 within three (3) days following the final date of the 2008 FoxFireFest. All payments shall be accompanied by a signed written report of the gross receipts for that event. 13. Vendor shall provide all equipment necessary for dispensing, selling and serving alcohol which shall be used to provide the required services for this agreement. The placement location of all equipment must be approved in writing by the City prior to its placement within the 2008 FoxFireFest grounds. 14. No alcoholic beverages shall be served in glass bottles. 15. Vendor shall keep and maintain all assigned locations in a clean, orderly and sanitary condition at all times and in strict accordance with all applicable laws, ordinances and regulations. 16. Vendor shall provide sufficient personnel to serve alcoholic beverages and provide wrist banding at the respective service stations for those activities and shall provide to the City the names of all persons working at the 2008 FoxFireFest twenty-four (24) hours prior to the event. Vendor, its employees, agents, partners or assigns shall not unreasonably disturb patrons and spectators or interfere with a program or event in progress. Upon request of the City, Vendor shall remove any employee, agents, partner or assign from the building and not allow that person to again serve without the written approval of the City. 17. Vendor shall not make any alterations in or additions to the 2008 FoxFireFest grounds without the express written consent of the City. 18. Vendor shall not post any signs, other than price schedules within the 2008 FoxFireFest grounds without the express written consent of City. 19. Vendor shall comply with all federal, state and local laws and regulations, including but not limited to,the obtaining of any licenses or permits which may be required. 20. Vendor hereby waives and releases City from any and all liability for loss or damage to goods,merchandise or equipment of Vendor used or stored at any City owned property. 21. Vendor shall furnish City with a liability insurance policy naming the City as an additional insured in the following amounts: Personal Injury: $1,000,000 per person Property Damage: $1,000,000 per occurrence Vendor shall also provide City a policy of insurance commonly known as "dram shop" insurance, including City as an additional insured, covering the service of alcoholic beverages. Said policy shall be subject to approval by City. Such insurance policies as provided by this agreement shall apply as primary insurance with respect to any other insurance or self-insurance program afforded to or utilized by City. There shall be no endorsement or modification of such insurance to make it excess over other available insurance, and alternatively, if such insurance states that it is excess or pro rata, it shall be endorsed to be primary with respect to City. 22. Vendor hereby agrees to hold harmless, indemnify and defend City, its officers, employees, agents, boards, commissions and assigns from and against any and all causes of action, claims for damages, suits, and any and all other liability of whatsoever nature, including but not limited to attorney's fees, arising out of or in connection with Vendor's negligent performance of this agreement. Nothing herein shall be construed so as to waive Vendor's duty to defend City. In the event of any by the action against City, its officers, agents, employees, and defend, such action commissions shall be defended by ounsel aforementioned duty to indemnify, hold harmless of City's choosing. 23. Vendor shall not assign, transfer or convey any interest in this Agreement without the written consent of the City. 24. Vendor shall not hold itself out as an agent of the City. 25. This agreement shall terminate after Vendor has fulfilled its obligations under this Agreement as the exclusive alcoholic liquor retailer for the 2008 FoxFireFest. City may terminate this agreement for any reason at any time at City's sole discretion and without liability of any kind upon seven(7) days written notice via U.S. mail. Such notice shall be considered effective when sent to: Vendor: Order Sons of Italy in America Address P.O. Box 68594 City, State ZIP: Schaumburg, IL 60168 All notices directed to City shall be considered effective when sent via U.S. mail to: Ms. Daina DeNye Assistant Purchasing Director City of Elgin 150 Dexter Court Elgin, IL 60120-5555 26. This agreement shall be subject e enforcement of any rights ghts ari mg out oftoein of connection with for the resolution of any disputes and t this agreement shall be in the Circuit Court of Kane County, Illinois. 27. The terms of this agreement shal unenforceable for any provisions of this agreement shall be deemed to be void or otherwise of this agreement shall remain in full force and effect. 28. This agreement shall not be construed so as to create a joint venture, employment, partnership or agency relationship between the parties hereto. 29. This agreement is the sole and exclusive agreement between the parties hereto. There are no other agreements, either oral or written, which amend, written ten consent of the parties hereto. agreement. This agreement shall not be amended or modified 30. Vendor shall pay to City the cost of any damage to City property or goods arising out of or in connection with Vendor's negligent performance of this agreement upon 30 days written notice of the cost of such damage by City. CITY OF ELGIN By: Olufe i.Folarin, ity Manager �L Attest. City Clerk June 19, 2008 -PycrTumi TO: Mayor and Members of the City Council FROM: Olufemi Folarin, City Manager Randy Reopelle, Parks and Recreation Director SUBJECT: RFP 08-047 FoxFireFest Alcohol Vendor PURPOSE The purpose of this memorandum is to provide the Mayor and members of the City Council with information to consider entering into an agreement with the Order Sons of Italy in America for alcohol at FoxFireFest. RECOMMENDATION It is recommended that the City Council approve the agreement with the Order Sons of Italy in America as the alcohol vendor for the 2008 FoxFireFest. BACKGROUND Proposals were sought from not-for-profit organizations to coordinate the sales of alcohol at the 2008 FoxFireFest. The Request For Proposal (RFP) requested information regarding the organization's ability to obtain a state and local liquor license, percentage of sales to be given back to the City of Elgin, percentage of sales to be given to local not-for-profits, the ability to purchase the alcohol from the distributor, proof of insurance listing the City of Elgin as additionally insured, and alcohol training certifications or courses attended. A request for proposals was advertised in the Courier News on May 30 with an opening on June 10 at 11:00 am. The Order Sons of Italy in America(OSIA) was the only organization to submit a proposal. The proposal stated that the OSIA could meet all of the terms of the RFP. The proposal also stated that 25% of net proceeds would be donated to the City of Elgin; that 50% of net proceeds would go to paying off the Larkin Center's debts to the City; and that the other 25% would be split between Renz Addiction Center, Clare Woods Academy, and the OSIA. In addition, all volunteers assisting the OSIA would be required to attend state certified training for pouring alcohol. FoxFireFest Alcohol Vendor June 19, 2008 Page 2 Last year the OSIA performed the same service at FoxFireFest and they were found to be reliable and thorough in providing said service. The only difference is that last year the City purchased the alcohol, cups and wrist bands and this year OSIA will be making these purchases. COMMUNITY GROUPSANTERESTED PERSONS CONTACTED FoxFireFest Committee FINANCIAL IMPACT The City of Elgin will receive 25% of the net proceeds. LEGAL IMPACT None ALTERNATIVES 1. The City Council may choose to approve the agreement with the Order Sons of Italy in America to provide alcohol retail for the second annual FoxFireFest on August 1, 2, and 3, 2008. 2. The City Council may choose to approve the agreement with the Order Sons of Italy in America to provide alcohol retail for the second annual FoxFireFest on August 1, 2, and 3, 2008. Respectfully submitted for Council consideration. gb attachments