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2 <br />• At the commencement of this renewal (July 1, 2013), the monthly management fee will <br />be $11,699 per month, and the reimbursable monthly expenses will be $1,288 per <br />month. Under the terms of the renewal, these fees would increase by 3% annually <br />throughout the life of the renewal(s). <br />RFP has also indicated a willingness to consult with County staff and others as may be <br />appropriate to assess the current recreation programs offered to County residents through the <br />County and the SportsPlex, and to recommend a coordinated approach to service offerings that <br />may improve the cost efficiency while expanding available programs. Such services through <br />RFP would be provided at no additional billing to the County, assuming a reasonable allocation <br />of time required by RFP. <br />Over the past five years, RFP has exhibited outstanding customer service — reflected in <br />continued membership growth — and has fostered revenue stabilization and growth in the face <br />of a faltering economy and significant disruptions from construction projects at the site. The <br />Board of Commissioners has recently seen evidence of this via budget information provided by <br />John Stock, Chief Executive Officer of RFP. RFP management has expressed a commitment <br />to ensuring these trends continue. Staff recommends that the County renew the management <br />agreement pursuant to the renewal terms cited above. <br />FINANCIAL IMPACT: Effective July 1, 2013, the monthly management fees will be $11,699 <br />per month, and monthly expense reimbursement will be $1,288 per month. Each of these fees <br />will be increased by 3% annually over the life of the renewals. <br />The cost of this agreement will be paid through the SportsPlex operating budget, which is <br />maintained in an enterprise fund that is separate from the County's General Fund. The Board <br />will continue to approve the operating budget for the SportsPlex as part of the annual budget <br />process. <br />RECOMMENDATION(S): The Manager recommends that the Board approve the <br />management agreement renewal with Recreation Factory Partners, LLC under terms cited <br />herein, and authorize the Chair to sign on behalf of the Board. <br />