B4: 2021 Annual Concession Report — original pdf

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Austin Parks and Recreation Department ANNUAL CONCESSION REPORT 2021 Presented by Maggie Stenz, Financial Services Division November 9, 2021 AUSTIN CITY CODE Austin City Code § 8-1-73 requires delivery of an annual report to the Parks and Recreation Board and the Environmental Commission providing the following information regarding concessions on Lady Bird Lake Park: • Name and Location • Income and Expenditures • Total Number of Boats Rented • Environmental Concerns 2 Austin Rowing Club / Waller Creek Boathouse Name and Locations Butler Pitch & Putt EpicSUP Expedition School Lone Star Riverboat Cruises Rowing Dock Texas Rowing Center Zilker Café (temporarily closed) Zilker Park Boat Rentals Zilker Eagle Railroad (temporarily closed) 3 3 FY21 Gross Sales, Expenditures, and Payments to the City *Business Expenses, IRS Publication 535 4 Annual Gross Sales Since 2014 5 5 Capital Improvements Butler Pitch and Putt – $829,500 • Green restoration and irrigation improvements • Clubhouse remodeling • New restrooms and maintenance shed • Upgrades to HVAC, plumbing, and electrical • Upgrades to landscaping and hardscaping Texas Rowing Center – $93,343 Boathouse / Dock Construction • Completed multi-year $1.1 million floating boathouse project Totals – $922,843 6 Boat Inventory Type of Boat Kayaks Canoes Rowing Shells Stand-up Paddle Boards (SUPs) Coaching Boats / Launches Electric Boats Total (not including coaching launches) 150 105 0 53 10 15 Austin Rowing Club EpicSUP Expedition School Rowing Dock Texas Rowing Center Zilker Park Boat Rentals 27 116 0 0 0 0 39 40 7 0 0 0 161 156 23 0 0 0 203 462 23 151 11 0 75 62 56 0 0 0 323 143 86 340 839 193 Total Boat Inventory by Fiscal Year FY16 | 1456 FY17 | 1794 FY18 | 1694 FY19 | 1597 FY20 |1640 FY21 |1924 7 Zilker Park Boat Rentals 2006 2022 5 5 5 1 1 Contract Terms Concession Contract Begin Contract 0 0 0 End 2 Rowing Dock 2000 2022 2 Austin Rowing Club 2012 2023 EpicSUP* 2013 2023 Lone Star Riverboat 2015 2025 Butler Pitch & Putt 2019 2029 Texas Rowing Center 2020 2030 5 2 0 2 0 3 0 2 5 3 0 2 5 0 0 2 5 0 1 0 2 5 0 2 0 2 5 5 1 0 2 5 5 2 4 5 2 . o m 6 2 5 5 10 10 10 5 5 5 5 5 5 Zilker Café 2020 2030 10 Expedition School 2020 2022 18 mo. Interim Period Basic Term Option Executed Option Remaining Holdover *EpicSUP Contract with Hostelling International 2013-2020 Six-month temporary concession permit 2020-2021 Contract with the Trail Foundation 2021-2022 8 Contracts and Concession FY20 Recommendations Concession Development Provide a comprehensive contract and concessions report that includes a plan to increase concessions at park facilities. Concession Reporting Report expenditures and revenue on all park concessions outside of Lady Bird (Town) Lake. 9 9 Concessions Outside of Lady Bird Lake Permit Type Term Permits Issued Cost / Permit Revenue Commercial Use – Food or Other Specific Park Use Six month Single day $500-$1500 $50 $30,689 Commercial Use – Fitness Trainers (14,018 attendees total) Commercial Use – Performing Artists Golf Concessions (3 contracts) TOTAL REVENUE 37 0 N/A 55 (14,018 attendees total) $50/trainer $30/sound +0.45/attendee $10 N/A Six month Single day N/A $7,109 $2,280 $234,434 $274,421 10 Strategic Plan to Increase Park Concessions • Integrate concession planning into the Vision Planning process for individual parks. • Implement Long-Range Plan recommendations for establishing concessions. • Refer to previous data referencing community needs and wants for diverse system-wide concessions. • Evaluate concession ideas based on business needs and viability. • Collaborate with PARB working group to engage with communities and explore innovative concessions. • Collaboratively develop criteria for concessions. • Develop, release, and oversee concession solicitations. • Standardize concession contract language. 11 Park Planning Process Concession Potential Walnut Creek Sports Complex Request for Information (RFI) released December 2020 RFI did not result in viable concepts Walter E. Long Metro Park Vision Plan approved by Council October 2020, design to begin in 2022 Watercraft rentals Food and beverage John Treviño Metro Park Vision Plan approved by Council October 2020, design to begin in 2022 Watercraft rentals Food and beverage Seaholm Intake Building Phase 1 construction began summer 2021 Café possible in Phase 2 (currently unfunded) Zilker Botanical Garden Seeking vendors for temporary permits Food and beverage Zilker Metro Park Final approval for vision planning projected for mid-2022 TBD through community outreach 12 Strategic Plan to Increase Park Concessions Environmental Commission Recommendations At their November 20, 2020, meeting, the City of Austin Environmental Commission recommended that PARD do the following: Marine Waste Disposal  Verify that three years of records have been maintained for entities that pump waste on Lady Bird Lake; include these monthly records in the public record.  Include waste pump-out data in both the public record and the Annual Report. Lake Safety  In consultation with City of Austin rescue teams, review the number of public and private boats typically on lake and if there are capacity issues, that should be considered.  Consider physical, social, and environmental capacity issues when anticipating upcoming solicitations. Other Concession Considerations  Continue working on consistent terms and conditions in concessions contracts to the extent practicable.  Provide an update on any new concessions, including the Seaholm Power Plant. 13 Marine Waste Disposal State Law Texas Commission on Environmental Quality (TCEQ)  Requires permits for boats with an on-board toilet.  Permits must be renewed every two years. City Code Lake Water Protection Program (Austin Water) PARD  Staff may inspect any boat or boat pump-out facility at any time to determine compliance with state law.  Program staff inspects Lady Bird Lake excursion boats annually during permit application process.  Contract requires Lone Star Riverboat Cruises to include manifests of pump-out activity in monthly reporting. 14 Watercraft Rentals at Peak Times Parks and Recreation Department Austin Fire Department (AFD) Special Operations (emergency lake response) does not maintain capacity estimates for Lady Bird Lake. AFD stages more crews during peak use periods to increase AFD visibility and reduce emergency response times. Holiday Week Rentals Spring Break Memorial Day Fourth of July Labor Day Austin Rowing Club 1344 1667 1226 1584 EpicSUP Expedition School Rowing Dock Texas Rowing Center Zilker Park Boat Rentals 837 1295 865 1173 205 215 133 185 4341 4490 4121 3812 4848 7042 6014 7407 2249 2387 2420 2102 Totals 13,824 17,096 14,779 15,263 15 Other Concession Considerations New Solicitations  PARD considers the physical, social, and environmental capacity of the lake by including environmental requirements in concessionaire Requests for Proposals. Consistent Terms & Conditions for Contracts  In collaboration with Corporate Purchasing, PARD will use a standard contract template for all concession contracts. Contract components include:  Standard contract  Solicitation  Vendor proposal  Standard purchase terms and conditions  Supplemental purchase provisions 16 16 Public Benefit • Austin Rowing Club – provided free programming and discounts for veterans and service members, Boys’ and Girls’ Club, and other non- profits Value Butler Pitch and Putt – donated free rounds of golf and venue rental for local fundraisers Austin Rowing Club • EpicSUP – hosted monthly lake cleanups and fundraising events, donated gift cards to local charities Expedition School – provided kayak rentals and support staff to clients of Down Home Ranch and Breakthrough Central Texas Lone Star Riverboat – donated 1000 passes for local charities and discounts for Education in Action Lone Star Riverboat • Rowing Dock – donated free rentals to local schools and non-profits, hosted fundraising and lake cleanup events Texas Rowing Center – provided scholarships for rowing, summer camps, • and adaptive programs, supported lake cleanups and other charitable Texas Rowing Club events Zilker Park Boat Rentals – donated free watercraft rentals for youth camps • • • • 17 Staff Recommendations Per Austin City Code, § 8-1-73 Not later than the 30th day after receipt of a report by the director of the Parks Department, the board and the Environmental Commission shall make a recommendation to Council regarding: • Creation, continuation or termination of a concession • The status of each existing concession • The issuance of request for proposal for a concession under this division 18