Orange County NC Website
ORANGE COUNTY <br />BOARD OF COMMISSIONERS <br />ACTION AGENDA ITEM ABSTRACT <br />Meeting Date: November 2, 2005 <br />Action Agenda <br />Item No. <br />SUBJECT: SportsPlex Facility Management Agreement <br />DEPARTMENT: Manager /Attorney /Purchasing/ PUBLIC HEARING: (Y /N) No <br />Finance <br />ATTACHMENT(S): <br />INFORMATION CONTACT: <br />RFP Management Overview <br />Rod Visser, 245 -2308 <br />Facility Management Services Summary <br />Geof Gledhill, 732 -2196 <br />Proposed Agreement with RFP <br />Pam Jones, 245 -2652 <br />Ken Chavious, 245 -2453 <br />PURPOSE: To review and approve an agreement between Orange County and Recreation <br />Factory Partners, Inc. to provide overall facility management for the Triangle SportsPlex, upon <br />the County's anticipated closing on the acquisition of that facility in December 2005. <br />BACKGROUND: Since 2004, County staff have been working at the direction of the Board of <br />Commissioners to perform due diligence analysis regarding the County's potential interest in <br />acquiring the Triangle SportsPlex property. The County's interests relate not only to recreation <br />opportunities, but also to a proposal to construct the new Central Orange Senior Center in <br />conjunction with an expansion of the SportsPlex. The SportsPlex is an 82,000 square foot <br />facility in the Meadowlands Business Park in Hillsborough that provides a regulation ice rink, <br />three swimming pools, fitness equipment, and other recreation amenities. The County operates <br />a small senior center in rented space on property immediately adjacent to the SportsPlex <br />property. Co- location of the SportsPlex and new senior center offers the opportunity to: 1) keep <br />a widely used community recreation facility in place; 2) more quickly bring on line a new senior <br />center that can be built at lower overall cost than a standalone facility; and 3) operate both the <br />recreation facility and the senior center more cost effectively by spreading certain fixed costs <br />over several different operations <br />In June 2005, the BOCC approved a contract to purchase the SportsPlex property subject to <br />several contingencies, including Hillsborough approval of the senior center expansion <br />development application, securing of bank financing for the acquisition, and North Carolina <br />Local Government Commission (LGC) approval of the financing proposal. As reported at the <br />October. 18 BOCC meeting, the County has secured the approval of the Hillsborough Board of <br />Adjustment for the senior center expansion and favorable short-term financing for the $6 million <br />acquisition price from Bank of America at a variable interest rate estimated at about 3.15 %. <br />LGC review of the County's financing proposal is docketed for December 6, 2005. If that is <br />approved, staff anticipate closing on the SportsPlex property no later than December 16, 2005. <br />Consistent with previous direction from the Board that County employees not operate the <br />SportsPlex, staff have been working to identify a recommended contractor to manage the <br />