98-22988 RESO
RESOLUTION NO. 98-22988
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY
OF MIAMI BEACH, FLORIDA, ACCEPTING THE RANKING OF
PROPOSALS RECEIVED AND AUTHORIZING THE ADMINISTRATION TO
ENTER INTO NEGOTIATIONS AND CONTRACT WITH THE NUMBER-ONE
RANKED FIRM, ECONOMIC RESEARCH ASSOCIATES, PURSUANT TO
REQUEST FOR PROPOSALS (RFP) NO. 1-98/99 FOR A FEASIBILITY
CONSUL T ANT IN CONNECTION WITH THE IMPROVEMENT AND
DEVELOPMENT OF THE CITY'S MUNICIPAL GOLF COURSES, FOR AN
AMOUNT NOT TO EXCEED $35,000.
WHEREAS, the City issued Request for Proposals (RFP) No. 1-98/99 to provide for a
Feasibility Consultant in Connection with the Improvement and Development of the City's
Municipal Golf Courses; and
WHEREAS, specification packages for RFP No. 1-98/99 were issued on October 12, 1998,
resulting in the receipt of two (2) responsive proposals; and
WHEREAS, an Evaluation Committee recommended by the City Manager met on
November 2, 1998, and recommended the firm of Economic Research Associates as the first-ranked
respondent; and
WHEREAS, the City Manager has reviewed the responses and the recommendation of the
Evaluation Committee and concurs with the Evaluation Committee's recommendation.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City
Commission herein authorize the Administration to enter into negotiations and contract with
Economic Research Associates pursuant to RFP No. 1-98/99 to provide for a Feasibility Consultant
in Connection with the Improvement and Development of the City's Municipal Golf Courses, for
an amount not to exceed $35,000.
PASSED and ADOPTED this 4th day of November, 1998.
ATTEST:
j~r PCVt~
CITY CLERK
J)/ A I
MAYOR
APPROVED AS TO
FORM & lANGUAGE
& FOR EXECUTION
Iftt~ JJJr#R
CITY OF MIAMI BEACH
CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139
http1:\\ci.miami-beach.f1.us
COMMISSION MEMORANDUM NO. I bD - 92
TO:
Mayor Neisen O. Kasdin and
Members of the City Commission
Sergio ROdrigue'7A
City Manager W.-
DATE: November 4,1998
FROM:
SUBJECT: A Resolution of the Mayor and City Commission of the City of Miami Beach,
Florida, Accepting the Ranking of Proposals Received and Authorizing the
Administration to Enter into Negotiations and Contract with the Number-One
Ranked Firm, Economic Research Associates, Pursuant to Request for
Proposals (RFP) No. 1-98/99 for a Feasibility Consultant in Connection with the
Improvement and Development of the City's Municipal Golf Courses, for an
amount not to exceed $35,000.
ADMINISTRATION RECOMMENDATION
Adopt the Resolution.
FUNDING
$35,000 (not to exceed)
Funds are available from the Account Number 011.9322.000.312.
BACKGROUND
The City is moving forward with a plan to improve and develop the City's three municipal courses:
Bayshore Golf Course; Normandy Shores Golf Course and Bayshore Par 3 Golf Course. In this
regard, the City has approved on a preliminary basis, a conceptual design of the capital improvement
projects required for the renovation of the three golf courses. The conceptual design and related
renovations maintain the integrity of the existing design of the golf courses while enhancing some
of the holes, improves drainage, expands the practice facilities providing for a driving range with
two practice tees and provide for a golf school facility.
To finance the renovation of the three golf courses the City seeks to evaluate the following strategies:
pay-as-you-go financing; enterprise fund revenue bonds; public/private partnerships and/or other
methods.
AGENDAITEM~
DATE~
RFP No. 1-98/99
Page Two
November 4,1998
BACKGROUND( continued)
A Request for Proposal was issued on October 12, 1998, with an opening date of October 30, 1998.
Twelve (12) specifications were issued, resulting in the receipt of proposals from the following three
(3) firms:
Economic Research Associates
Moore, Stephens Lovelace, P.A.
National Golf Foundation Consulting, Inc.
National Golf Foundation Consulting, Inc. failed to submit the required Proposer Information and
Declaration, therefore, was considered non-responsive.
The scope of services requested in this RFP is as follows:
The City requested proposals for a Feasibility Consultant to assist with the evaluation of the
financing strategies and to develop recommendations for a preferred strategy.
The evaluation components include the following:
1. A comprehensive survey and evaluation of fees charged at golf courses and facilities
within southeast Florida comparable to the proposed fully renovated facilities of the
City and owned or operated either by governmental agencies or privately;
2. A recommended schedule of fees including ranges for each course, by season and for
all fee categories from those appropriate for a destination resort to those for year
round residents;
3. Proposed alternatives for the structure and management of food and beverage
operations, proshop operations, cart and equipment rentals, and other services;
4. Evaluation and recommendation of strategies for the financial participation
of a single destination resort hotel or group of hotels, including alternatives
appropriate for different types of financing;
5. A comprehensive forecast of prospective operating and maintenance costs
for each of the facilities, including periodic maintenance and acquisition of
capital equipment ;and
6. Development of alternative financing/operating strategies.
RFP No. 1-98/99
Page Three
November 4, 1998
BACKGROUND( continued)
The feasibility consultant will work closely with the Assistant City Manager, the Finance Director
and the Director of the Parks and Recreation Department to develop a financing strategy that
minimizes the expenditure of General Fund capital funds and maximizes the utilization of the golf
courses. Current estimates of the renovation costs based on the conceptual design for the three
courses is approximately $7,000,000. Estimates to renovate the clubhouse facilities for the courses
have not yet been completed but will need to be included as an integral component of the evaluation
and feasibility study and strategy development.
This study will be developed in two phases. The first phase would determine and assess the financial
feasibility of the renovation of theses courses and the second phase, if necessary, would include
expanded information necessary for financing, should that be determined to be a recommended
alternative.
ANALYSIS
An Evaluation Committee, consisting of the following persons, met on November 2, 1998, to review
and discuss the proposals:
Allan Weitzel, Region 6 Manager, Miami Dade Park & Recreation Department
Mayra Diaz Buttacavoli, Assistant City Manager
Patricia Walker, Finance Director
Kevin Smith, Director of Recreation, Culture and Parks
The Proposal's were evaluated based on the experience of professionals assigned to the project;
previous experience of the firm; ability to perform services within the City's schedule; and the cost
proposal.
The committee unanimously recommended Economic Research Associates as the top-ranked
respondent because of its extensive experience with golf course feasibility studies, the experience
of the proposed project team, and the ability to complete the project within an acceptable timeframe.
In accordance with the terms of the RFP, the City Manager has reviewed the Evaluation
Committee's recommendation and concurs with its ranking of proposals.
Economic Research Associates has proposed a lump sum fee of$25,000 for Phase I and $5,000 for
Phase II with reimbursable expenses not exceeding $5,000. Economic Research Associates will
complete the project within eight (8) weeks of Notice to Proceed.
CONCLUSION
The City Commission should adopt the Resolution to negotiate and award of this contract to
Economic Research Associates for an amount not to exceed $35,000.
~.sf
SR:~JF:mr
PROFESSIONAL SERVICES AGREEMENT
BETWEEN THE CITY OF MIAMI BEACH, FLORIDA
AND
ECONOMIC RESEARCH ASSOCIATES
THIS AGREEMENT made this V1~ day of N()I/~~
, 1 998 by and between the CITY
OF MIAMI BEACH, FLORIDA (City), which term shall include its officials, successors, legal
representatives, and assigns, and ECONOMIC RESEARCH ASSOCIATES, (Consultant).
SECTION 1
DEFINITIONS
Agreement:
This written Agreement between the City and the Consultant.
City Manager:
"City Manager" means the Chief Administrative officer of the City.
Consultant:
For the purposes of this Agreement, Consultant shall be deemed to be
an independent contractor, and not an agent or employee of the City.
Final Acceptance:
"Final Acceptance" means notice from the City to the Consultant that the
Consultant's Services are complete as provided in Section 4.8 of this
Agreement.
Fixed Fee:
Fixed amount paid to the Consultant to allow for its costs and margin of
profit.
Project
Coord i nator:
An individual designated by the City to coordinate, direct and review on
behalf of the City all technical matters involved in the Scope of Work
and Services.
RFP No. 1-98/99
City of Miami Beach
CITY OF MIAMI BEACH
PROCUREMENT DIVISION
TO:
Robert Parcher
City Clerk
DA TE:
December 10, 19~8 ,/ __
Michael A. Rath ~ d('O-L.J
Assistant Procurement Director
FROM:
SUBJECT:
Agreement For Request for Proposal (RFP) No. 1-98/99, For a Feasibility
Consultant in Connection with the Improvement and Development of the City's
Municipal Golf Courses
Paragraph 3.1 and 3.2 of the above referenced Agreement have been amended by Economics
Research Associates. The City is in agreement with these amendments. Please request the Mayor to
initial these two (2) changes when he is executing the Agreement.
Thank you for your prompt attention to this matter.
"
,;
Risk Manager:
The Risk Manager of the City, with offices at 1700 Convention Center
Drive, Third Floor, Miami Beach, Florida 33139.
Services:
All services, work and actions by the Consultant performed pursuant to
or undertaken under this Agreement described in Section 2.
Termination:
Termination of Consultant Services as provided in Section 4.9 of this
Agreement.
Task:
A discrete portion of the Scope of Services to be accomplished by the
Consultant, as described in Section 2 below, if directed and authorized.
SECTION 2
SCOPE OF WORK AND SERVICES REQUIRED
The scope of work for this project to be performed by the Consultant is set forth in the
Proposal Documents, entitled "FEASIBILITY CONSULTANT IN CONNECTION WITH THE
IMPROVEMENT AND DEVELOPMENT OF THE CITY'S MUNICIPAL GOLF COURSES"
(Services). ~
SECTION 3
COMPENSATION
3.1
FIXED FEE
Owner shall pay Consultant for performance of the Work in accordance with the
Proposal Documents in current funds at the h::11"11p sum prices presented in the Proposal,
attached to this Agreement. ~. '
v W)#/I'
3.2 METHOD OF PAYMENT
Owner shall pay Consultant for performance of the Work in accordance with the
Proposal Documents in current funds at the 'IUlIIP :.UT'II prices presented in the Proposal,
attached to this Agreement. ~ .'
CffJJ$IJ
-2-
SECTION 4
GENERAL PROVISIONS
4.1
RESPONSIBILITY OF THE CONSULTANT
With respect to the performance of the Services, the Consultant shall exercise that
degree of skill, care, efficiency and diligence normally exercised by recognized professionals
with respect to the performance of comparable Services. In its performance of the Services,
the Consultant shall comply with all applicable laws and ordinances, including but not limited
to applicable regulations of the City, County, State, Federal Government, ADA, EEO
Regulations and Guidelines.
4.2
PUBLIC ENTITY CRIMES
A person or affiliate who has been placed on the convicted vendor list following a
conviction for public entity crimes may not submit a bid on a contract to provide any goods
or services to a publ ic entity, may not submit a bid on a contract with a publ ic entity for the
construction or repair of a public building or public work, may not submit bids 0[1 leases of
real property to publ ic entity, may not be awarded or perform work as a contractor, suppl ier,
sub-contractor, or consultant under a contract with a public entity, and may not transact
business with any public entity in excess of the threshold amount provicted in See. 287.017,
for CATEGORY TWO for a period of 36 months from the date of being placed on the
convicted vendor list.
4.3
PROIECT MANAGEMENT
The Consultant shall appoint a qualified individual acceptable to the City to serve as
Project Manager for the Services who shall be fully responsible for the day-to-day activities
under this Agreement and who shall serve as the primary contact for the City's Project
Coordinator.
4.4
DURATION AND EXTENT OF AGREEMENT
This Agreement shall remain in force until all work be specified has been completed.
4.5
TIME OF COMPLETION
The Services to be rendered by the Consultant shall be commenced upon receipt of a
written Notice to Proceed from the City subsequent to the execution of this Agreement and
Consultant shall adhere to the completion schedule as shall be determined by the City and
Consultant.
A reasonable extension of time shall be granted in the event the work of the Consultant
-3-
is delayed or prevented by the City or by any circumstances beyond the reasonable control
of the Consultant, including weather conditions or acts of God which render performance of
the Consultant's duties impracticable.
4.6
NOTICE TO PROCEED
Unless otherwise directed by the City, the Consultant shall proceed with the work only
upon issuance of a Notice to Proceed by the City.
4.7
OWNERSHIP OF DOCUMENTS AND EQUIPMENT
All documents prepared by the Consultant pursuant to this Agreement are related
exclusively to the Services described herein, and are intended or represented for ownership
by the City. Any reuse shall be approved by the City.
4.8
INDEMNIFICA TION
Consultant agrees to indemnify and hold ha;mless, the City of Miami Beach and its
officers, employees and agents, from and against any and all actions, claims, liabilities, losses,
and expenses, including, but not limited to,-attorneys' fees, for personal, economic or bodily
injury, wrongful death, loss of or damage to property, in law or in equity, which may arise or
be alleged to have arisen from the negligent acts, errors; omissions or other wrongful conduct
of the Consultant, its employees, agents, sub-consultants, or any other person or entity acting
under Consultant's control, in connection with the Consultant's performance of the Services
pursuant to this Agreement; and to that extent, the Consultant shall pay all such claims and
losses and shall pay all such costs and judgements which may issue from any lawsuit arising
from such claims and losses, and shall pay all costs and attorneys fees expended by the City
in the defense of such claims and losses, including appeals. The parties agree that one percent
(1 %) of the total Compensation to the Consultant for performance of this Agreement is the
specific consideration from the City to the Consultant for the Consultant's Indemnity
Agreement.
The Consultant's obligation under this article shall not include the obligation to
indemnify the City of Miami Beach and its officers, employees and agents, from and against
any actions or claims which arise or are alleged to have arisen from negligent acts or
omissions or other wrongful conduct of the City and its officers, employees and agents. The
parties each agree to give the other party prompt notice of any claim coming to its knowledge
that in any way directly or indirectly affects the other party.
-4-
4.9
INSURANCE REQUIREMENTS
The Consultant shall not commence any work pursuant to this Agreement until all
insurance required under this Section has been obtained and such insurance has been
approved by the City's Risk Manager. The Consultant shall maintain and carry in full force
during the term of this Agreement and throughout the duration of this project the following
Insurance:
1. Consultant's Professional Liability in the amount of $300,000.00. A certified
copy of the Consultant's (and any sub-consultants') Insurance Certificate must
be filed and approved by the Risk Manager prior to commencement.
2. Workers Compensation & Employers Liability as required pursuant to Florida
statute.
3. Thirty (30) days written notice of cancellation or substantial modification in the
insurance coverage must be given to the CLty's Risk Manager by the Consultant
and his insurance company.
4. The insurance must be furnished by insurance companies authorized to do
business in the State of Florida and approved by the City's Risk Manager.
5. Original certificates of insurance for the above coverage must be submitted to
the City's Risk Manager for approval prior to any work commencing. These
certificates will be kept on file in the office of the Risk Manager, 3rd Floor, City
Hall.
6. The Consultant is responsible for obtaining and submitting all insurance
certificates for their consultants.
All insurance policies must be issued by companies authorized to do business under
the laws of the State of Florida. The companies must be rated no less than "B +" as to
management and not less than "Class VI" as to strength by the latest edition of Best's Insurance
Guide, published by A.M. Best Company, Oldwick, New Jersey, or its equivalent, subject to
the approval of the City's Risk Manager.
Compliance with the foregoing requirements shall not relieve the Consultant of the
liabilities and obligations under this Section or under any other portion of this Agreement, and
the City shall have the right to obtain from the Consultant specimen copies of the insurance
policies in the event that submitted certificates of insurance are inadequate to ascertain
compliance with required overage.
-5-
4.9.1 ENDORSEMENTS
All of Consultant's certificates, above, shall contain endorsements providing that
written notice shall be given to the City at least thirty (30) days prior to termination,
cancellation or reduction in coverage in the policy.
4.9.2 CERTIFICATES
Unless directed by the City otherwise, the Consultant shall not commence any services
pursuant to this Agreement until the City has received and approved, in writing, certificates
of insurance showing that the requirements of this Section (in its entirety) have been met and
provided for.
4.10
TERMINATION. SUSPENSION AND SANCTIONS
4.10.1
Termination for Cause
If through any cause ~ithin the reasonable control of the Consultant, the Consultant
shall fail to fulfill in a timely manner, or otherwise violate any of the covenants, agreements,
or stipulations material to this Agreement, the City shall thereupon have the right to terminate
the Services then remaining to be performed. Prior to exercising its option to terminate for
cause, the City shall notify the Consultant of its violation of the particular terms of this
Agreement and shall grant Consultant ten (10) days to cure such default. If such default
remains uncured after ten (10) days, the City, upon three (3) days' notice to Consultant, may
terminate this Agreement.
In that event, all finished and unfinished documents, data, studies, surveys, drawings,
maps, models, photographs, reports and other work products prep,ared by the Consultant and
its subcontractors shall be properly delivered to the City and the City shall compensate the
Consultant in accordance with Section 3 for all Services performed by the Consultant prior to
Termination.
Notwithstanding the above, the Consultant shall not be relieved of liability to the City
for damages sustained by the City by virtue of any breach of the Agreement by the Consultant
and the City may reasonably withhold payments to the Consultant for the purposes of set off
until such time as the exact amount of damages due the City from the Consultant is
determined.
4.10.2
Termination for Convenience of City
The City may, for its convenience, terminate the Services then remaining to be
performed at any time by giving written notice to Consultant of such termination, which shall
become effective seven (7) days following receipt by Consultant of the written termination
-6-
notice. In that event, all finished or unfinished documents and other materials as described
in Section 2 shall be properly delivered to the City. If the Agreement is terminated by the City
as provided in this Section, the City shall compensate the Consultant for all Services actually
performed by the Consultant and reasonable direct costs of Consultant for assembling and
delivering to City all documents. Such payments shall be the total extent of the City's liability
to the C(')nsultant upon a Termination as provided for in this Section.
4.10.3
Termination for Insolvency
The City also reserves the right to terminate the remaining Services to be performed in
the event the Consultant is placed either in voluntary or involuntary bankruptcy or makes an
assignment for the benefit of creditors. In such event, the right and obligations for the parties
shall be the same as provided for in Section 4.10.2.
4.10.4
Sanctions for Noncompliance with Nondiscrimination Provisions
In the event of the Consultant's noncompliance with the nondiscrimination provisions
of this Agreement, the City shall impose such Sanctions as the City or the State of Florida may
determine to be appropriate, including but not limited to withholding of payments to the
Consultant under the Agreement until the Consultant complies and/or cancellation,
termination or suspension of the Services, in whole or in part. In the event the City cancels or
terminates the Services pursuant to this Section the rights and obligations of the parties shall
be the same as provided in Section 4.10.2.
4.10.5
Changes and Additions
Each such change shall be directed by a written Notice signed by the duly authorized
representatives of the Consultant. Said Notices shall provide an equitable adjustment in the
time of performance, a reallocation of the task budget and, if applicable, any provision of this
Agreement which is affected by said Notice. The City shall not reimburse the Consultant for
the cost of preparing Agreement change documents, written Notices to Proceed, or other
documentation in this regard.
4.11 ASSIGNMENT. TRANSFER OR SUBCONTRACTING
The Consultant shall not subcontract, assign, or transfer any work under this Agreement
without the prior written consent of the City; which consent, if given, shall be at the sole and
absolute discretion of the City.
4.12 SUB-CONSULTANTS
The Consultant shall be liable for the Consultant's services, responsibilities and
liabilities under this Agreement and the services, responsibilities and liabilities of sub-
-7-
consultants, and any other person or entity acting under the direction or control of the
Consultant. When the term "Consultant" is used in this Agreement, it shall be deemed to
include any sub-consultants and any other person or entity acting under the direction or
control of Consultant. All sub-consultants must be approved in writing prior to their
engagement by Consultant.
4.13 EQUAL EMPLOYMENT OPPORTUNITY/ADA NON-
DISCRIMINATION POLICY
In connection with the performance of this Agreement, the Consultant shall not
discriminate against any employee or applicant for employment because of race, color,
religion, ancestry, sex, age, national origin, place of birth, marital status, or physical handicap.
The Consultant shall take affirmative action to ensure that applicants are employed and that
employees are treated during their employment without regard to their race, color, religion,
ancestry, sex, age, national origin, place of birth, marital status, disability, or sexual
orientation. Such action shall include, but not be limited to the following: employment,
upgrading, demotion, or termination; recruitment or recruitment advertising; layoff or
termination; rates of pay, or other forms of compensation; and selection for training, including
apprenticesh i p.
Consultant agrees to adhere to and be governed by all applicable requirements of the
laws listed below including, but not limited to, those provisions pertaining to employment,
provision of programs and services, transportation, communications, access to facilities,
renovations, and new construction.
The Americans with Disabilities Act of 1990 (ADA): Pub. L. 101-
336, 104 Stat 327, 42 U.S.e. 12101-12213 and 547 U.s.e.
Sections 225 and 611 including Title I, Employment; Title II,
Public Services; Title III, Public Accommodations and Services
Operated by Private Entities; Title IV, Telecommunications; and
Title V, Miscellaneous Provisions.
The Rehabilitation Act of 1973: 29 U.s.c. Section 794.
The Federal Transit Act, as amended: 49 U.S.c. Section 1612.
The Fair Housing Act as amended: 42 U.s.e. Section 3601-3631.
Consultant must complete and submit the City's Disability Non-Discrimination Affidavit
(Affidavit). In the event Consultant fails to execute the City's Affidavit, or is found to be in non-
compliance with the provisions of the Affidavit" the City may impose such sanctions as it may
determine to be appropriate, including but not limited to, withholding of payments to
-8-
Consultant under the Agreement until compliance and/or cancellation, termination or
suspension of the Agreement in whole or in part. In the event, the City cancels or terminates
the Agreement pursuant to this Section, Consultant shall not be relieved of liability to the City
for damages sustained by the City by virtue of Consultant's breach of the Agreement.
4.14 CONFLICT OF INTEREST
The Consultant agrees to adhere to and be governed by the Metropolitan Dade County
Conflict of Interest Ordinance (No. 72-82), as amended; and by the City of Miami Beach
Charter and Code, which are incorporated by reference herein as if fully set forth herein, in
connection with the contract conditions hereunder.
The Consultant covenants that it presently has no interest and shall not acquire any
interest, direct or indirectly which should conflict in any manner or degree with the
performance of the Services. The Consultant further covenants that in the performance of this
Agreement, no person having any such interest shall knowingly be employed by the
Consultant. No member of or delegate to the Congress of the United States shall be admitted
to any share or part of this Agreement or to any benefits arising therefrom.
,
4.15 PATENT RIGHTS: COPYRIGHTS: CONFIDENTIAL FINDINGS
Any patentable result arising out of this Agreement, as well as all information, design
specifications, processes, data and findings, shall be made available to the City for public use.
No reports, other documents, articles or devices produced in whole or in part under
this Agreement shall be the subject of any application for copyright or patent by or on behalf
of the Consultant or its employees or subcontractors.
4.16 NOTICES
All communications relating to the day-to-day activities shall be exchanged between
the Project Manager appointed by Consultant and the Project Coordinator designated by the
City. The Consultant's Project Manager and the City's Project Coordinator shall be designated
promptly upon commencement of the Services.
All other notices and communications in writing required or permitted hereunder may
be delivered personally to the representatives of the Consultant and the City listed below or
may be mailed by registered mail, postage prepaid (or airmailed if addressed to an address
outside of the city of dispatch).
Until changed by notice in writing, all such notices and communications shall be
addressed as follows:
-9-
TO CONSULTANT:
Economic Research Associates
388 Market Street
Suite 1580
San Francisco, CA 94111
Telephone (415) 956-8152
Facsimile (415) 956-5274
TO CITY:
City of Miami Beach
City Clerk
1 700 Convention Center Drive
Miami Beach, FL 33139
(305) 673-7411
WITH COPIES TO:
Office of the City Attorney
Attn: Murray H. Dubbin, City Attorney
City of Miami Beach
1700 Convention Center Drive
Miami Beach, FL 33139
(305) 673-7470
Notices hereunder shall be effective:
If delivered personally, on delivery; if mailed to an address in the city of
dispatch, on the day following the date mailed; and if mailed to an address
outside the city of dispatch on the seventh day following the date mailed.
4.17 LITIGATION IURISDICTION
Any litigation between the parties, arising of, or in connection with this Agreement,
shall be initiated in the court system of the State of Florida.
4.18 ENTIRETY OF AGREEMENT
This writing and the Scope of Services embody the entire Agreement and understanding
between the parties hereto, and there are no other agreements and understandings, oral or
written with reference to the subject matter hereof that are not merged herein and superseded
hereby. The Scope of Services is hereby incorporated by reference into this Agreement to the
extent that the terms and conditions contained in the Scope of Services are consistent with the
Agreement. To the extent that any term in the Scope of Services is inconsistent with this
Agreement, this Agreement shall prevail.
No alteration, change, or modification of the terms of this Agreement shall be valid
-10-
unless amended in Writing, signed by both parties hereto, and approved by the City
Commission of the City of Miami Beach.
This Agreement, shall be governed by and construed according to the laws of the State
of Florida.
4.19 LIMITATION OF CITY'S LIABILITY
. The City desires to enter into this Agreement only if in so doing the City can place a
limit on the City's liability for any cause of action for money damages due to an alleged
breach by the City of this Agreement, so that its liability for any such breach never exceeds
the sum of $25,000.00. Consultant hereby expresses its willingness to enter into this
Agreement with Consultant's recovery from the City for any damage action for breach of
contract to be limited to a maximum amount of $25,000.00 less the amount of all funds
actually paid by the City to Consultant pursuant to this Agreement.
Accordingly, and notwithstanding any other term or condition of this Agreement,
Consultant hereby agrees that the City shall not be liable to the Consultant for damages in an
amount in excess of $25,000.00 which amount shall be reduced by the amount actually paid
by the City to Consultant pursuant to this Agreement, for any action or claim for breach of
contract arising out of the performance or non-performance of any obligations imposed upon
the City by this Agreement. Nothing contained in this paragraph or elsewhere in this
Agreement is in any way intended to be a waiver of the limitation placed upon City's liability
as set forth in Section 768.28, Florida Statutes.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed
by their appropriate officials, as of the date first entered above. APPROVED AS TO
E.QRM & LANGUAGE
FOR CITY: CITY OF MIAMI BEACH, FLORIlf:\FOR EXECUTION
:~E~ ~~~
City Clerk
By:
If/A
Mayor
~ft! ~
FOR CONSULTANT:
ECONOMIC RESEARCH ASSOCIT AES
~~
;;?j;;: >
. Secretary
/
President
ATTEST:
By:
Corporate Seal:
-11-
Economics Research Assoc:ia~e$
Facsimile
Date: November 19, 1998
To: Ms. Trish Walker
FAX: 305-673-7795
From: J on Peterson
RE:
cc:
Number of pages including cover sheet: 15
Message
Dear Trish,
Revised proposal attached. I will delay sending a final copy until I hear
from you. However, please call me on Friday to confirm acceptance and
schedule. I need to purchase my airline ticket by tomorrow night to lock-
in the reduced airfare. Greg and I are both looking forward to assisting
the City on this project!
Best regards,
ct- A4-.~
Jon H. Peterson
Senior Associate
388 Marlcet Street, Suite 1580 San Francisco, CA 9"111
(41$) 956-8152 FAX (41 S) 9S6.SZi4 Www.ec:onres.c:om ERA is affiliateG with Ori.....ra: :Jon."
!.os Angeles San Francisco $~n Oiego Chic:a$Jo Washington DC !.oodon
Economics Research Associates
November 19, 1998
Mr. Michael Rath, CPPB
City of Miami Beach, Procurement Division
1700 Convention Center Drive, Third Floor
Miami Beach. Florida 33139
Phone:
305-673-7490
ERA Proposal #: 36552r
Fax: 305-673-7851
Dear Michael:
In response to the City's Request for Proposals (RFP) and subsequent
discussions with Trish Walker, Economics Research Associates (ERA) is pleased to
submit the following revised proposal to examine potential future market support for
the City's public golf COUISes and to evaluate possible development and mm1~gemen[
options. Specifically, under the tenns of this pro~ ERA would:
1. Review the physical and operating chmcteristics of each the City's three
existing golf facilities;
2. Examine proposed improvements to each of these golf facilities;
3. Conduct a detailed analysis of the regional public golf market, examining
the physical and operating characteristics of comparable public-access
golf courses in southeastern Florida, and evaluating demand from visitors,
residents, and other sources;
4. Evaluate potential future market support for the City's renovated golf
facilities;
5. Provide operations and market positioning recOmm.endatioILS; and
6. Project future financial performance for the entire golf system and each of
the three courses within the system.
ERA's analysis will conclude with specific recommendations regarding the most
appropriate development and operations structure. If, based on ERA's analysis or
388 Mllrket Street SUlt<l1580 S"n I'(anci~<:o. CA, 94111
415.956.8152 FAX.1 5.956.5274 Www, "r"sf,com/e,~:d ERA i. .44....<~d with D.h.~.S JOn..
LoS ""11"'''5 S... Francisco San Oi"90 Chic"'90 W",shin9to,., DC Lo"'don
Mr. Michael Rath
19 Nov~mber 1998
Page 2
other factors, the City elects to issue Requests for Proposals to either
developer/operators or golf management firms, ERA will also assist the City by
providing the City with: (1) a list of recommended finns; and (2) suggested criteria
to include in the RFP. Although not included under this proposal, upon request,
ERA would also be pleased to submit a separate proposal upon completion of this
assignment to: (1) help the City evaluate proposals from either developer/operators
or management firms; and (2) negotiate a final contract with the selected firm.
Based. on our review of the RFP, we understand that the City presently owns
three municipal golf courses: Bayshore, Normandy Shores, and Bayshore Par 3. The
RFP also states that the City has approved on a preliminary basis a conceptual plan
for capital improvements required for the renovation of these three golf courses.
According to the RFP, this renovation would maintain the integrity of the existing
designs, while enhancing certain holes). improving drainage, and expanding the
practice facilities. Preliminary estimates place capital improvement costs at
approximately $7 million, but clubhouse improvement cost estimates have not yet
been completed.
Based on our review of the RFP, we understand that the City now wishes to
retain a qualified feasibility consultant to conduct a market and financial analysis,
assist with the evaluation of finance strategies, and develop recommendations for a
preferred strategy. We believe that ERA is uniquely qualified to assist the City in
this analysis. ERA's Qualifications, proposed Scope of Services, proposed Timing,
requested Fees, and proposed Project Staffing are smnmarized below.
QUALIFICATIONS
Economics Research Associates (ERA) is a diversified consulting firm
founded in 1958 which provides a wide range of research services in economics,
finance, and market analysis. ERA has :five offices located in the United States and
one office located in London. The firm's principal areas of expertise are golf.
recreation and resort planning and economics, as well as real-estate and land use
strategies for public agencies. Over the past 40 years, ERA has completed over
12,500 assignments for public and private sector clients, and now completes 50 to 75
golf and golf-related analyses each year.
ERA is the largest and most experienced golf economics consulting firm in
the United States. ERA's clients include municipalities and other public agencies, as
well as private developers, financial institutions, golf comse operators, and
public/private joint ventures. ERA's assignments in the golf industry include market
Economics Research Associates
Mr. Michael Rath
19 November 1998
Page 3
and financial analyses, forecasts of golf course performance~ appraisals, operations
audits, evaluations of lease arrangements, and evalillltions of capital investment
strategies and alternatives. Please refer to ERA's attached Golf Qualifications and
list of new golf courses recently developed or presently under COnstruction based on
ERA studies.
ERA takes pride in providing the highest quality and most thorough golf course
feasibility studies and operations audits available. We have observed that many golf
course consulting firms rely primarily on demographic analyses and published data on
participation rates. ERA uses the demographics approach only as a secondary test of
the market Om primary investigation involves an in-depth study of comparable
courses in the market area and surrounding regions. We analyze trends in rounds
played on courses in the area, course quality. course location, course maintenance and
operation budgets, greens fees, revenues, development costs, and other important
factors. Moreover, we also carefully examine the likelihood of proposed new courses
opening in the market. Based on this analysis, as well as the characteristics of the
subject site (location, attractiveness, etc.) and the characteristics of the existing or
planned subject facility (course quality, surrounding land ~ market positioning. etc.).
we are able to project likely futUre financial perfonnance.
Importantly, ERA also offers more than two decades of experience in Florida.
J. Richard McElyea, Executive Vice President, would serve as the principal in charge
of this assignment Mr. McElyea offers more than 40 years consulting experience and
is widely recognized. as one of the foremost experts on golf economics. He also
completed a redevelopment study for the City of Miami Beach in the 19705. He would
be assisted by Greg Cory, Vice President Mr. Cory previously headed ERA's former
Florida office and has completed numerous golf studies in southeast Florida. including
studies in Hollywood, Key West, Pembroke Pines, and Boynton Beach. Either Jon
Peterson, Senior Associate, Bill Brandon, Senior Associate, or Rich Warfel, Senior
Associate, would assist Mr. McElyea. and Mr. Cory. All three specialize in golf
economics, and all three have conducted. golf studies in Florida in recent years.
Resumes are enclosed.
PROPOSED SCOPE OF SERVICES
Our proposed Scope of Services includes four phases:
I. An examination of the subject facilities, planned improvements. regional
golf market, and management and finance options;
2_ ERA's recommendations concerning market positioning and management
structure;
Economics Research Associates
Mr. Michael Rath
19 November 1998
Page 4
3. ERA's financial projections for each of the three facilities and the entire
golf system; and
4. ERA's recommendations regarding the most appropriate development and
management option for the City, as well as recommendations regarding
qualified firms and RFP criteria.
ERA's proposed Scope of Services is detailed below.
Phase One: Orientation and Analysis of Subject Fadliti.es, Planned
Improvements, Golf Market Conditions, and Management Options
Task 1: Orientation Session
ERA. will meet with representatives from the City in order to gain a full
understanding of the City's near and long range objectives, other possible concerns, and
options regarding the renovation and expansion of the three golf facilities. Key issues
relating to the study will be identified, and we will obtain past work relating to
prOposed renovations and any relevant information or reports the City possesses
regarding regional demographics or the local golf market.
Task 2: Analysis of the Three Existing Golf Facilities
ERA 'Will inspect each of the three existing golf facilities from a marketing
perspective, focusing on:
L Site characteristics (size, configuration, topography, vegetation, other features,
overall attractiveness, and surrounding land uses);
2. Quality and market appeal of the existing facilities (course layout and
conditioning, length, clubhouse characteristics, ete); and
3. Location and access issues.
Following each inspection, ERA will conduct a detailed interview with the Director of
Golf and/or Head Professional at each facility to gather detailed data on each facility.
ERA. will gather data concerning both physical characteristics (age, me of facilities,
etc.) and operating characteristics (play levels> seasonality> sources of play, fee
structures, revenues by department, maintenance and operating costs> etc.) for both
facilities.
Economics Research Associates
Mr. Michael Rath
19 Novembet-l998
Page 5
Task 3: Analysis o/tlte Planned Renovations and Improvements
In conjunction with the analysis of the existing facilities. ERA will review
planned renovations and improvements at each facility. This will include a review of
planned golf course renovations, expansions of practice facilities, and other
improvemen~ such as clubhouse improvements.
Task 4: Market Area DefinitWn and Demographic Review
ERA will define an appropriate market area for the three golf courses after
renovations and improvements are complete based upon: 1) reported play patterns at
the existing facilities; 2) the locations of the three facilities; 2) population
concentrations and socio-economic characteristics; 3) major roads and drive-times; 4)
current golfer driving patterns in the region; 5) the locations of other existing golf
courses in the area; 6) probable new courses opening in the region, and their planned
locations and m~et positionings; and 7) the desired market positioning for the three
courses after renovations and improvements, including any discounts or special
privileges that will be offered to City residents. ERA will then gather detailed data for
this ~on regarding population size, population distnbution, and demogr3phic profile.
ERA will then analyze these data in order to gain a better understanding of the
characteristics of demand for public golf in the region and potential demand for the
three facilities following renovations and improvements. Among others. factors
analyzed would include:
· Historic population, current population, and projected growth rates.
· Demographic characteristics, such as incom~ age and other household
characteristics that will affect golf play propensities.
· Present employment and projected employment growth.
· Geographic distribution of population and jobs within the region by segment.
Task 5: Analysis o/Comparable Public Gal/Courses
A critical component of this analysis will be an in-depth examination of
existing public-access golf courses located throughout the market area. This will
include a review of municipal golf facilities, privately owned daily-fee golf courses.
and, if relevant, semi-private golf facilities. It could also include additional
comparable courses located outside of the market area, if appropriate. Based
primarily on in-depth field research, ERA will determine the following for each
Economics Research AssociaIes
Mr. Michael Rath
19 November 1998
Page 6
potentially competitive course in the market area;
· Owner, operator, and age.
· Overall cowse quality including course architect. course setting. slope rating
and course conditioning.
· Overall quality and size of other physical facilities including the clubhouse, golf
practice facilities, and any other facilities.
· Greens fees, cart fees and other fees.
· Annual roWlds by type, and trends in annual play levels.
· Accessibility and sources of play by area.
· Number- of group outing or tournament rounds, and banquet revenues.
· Weekday versus weekend play patterns where available.
· 'Where available, annual revenues from greens f~ cart rentals, driving range,
pro shop, food-and-beverage operations, and other major departments.
· Where available, annual expenditures on comse maintenance and course
operations.
· If available, development costs for newer courses in the area.
· Where relevant, the likelihood of existing comses converting to residential,
commercial, or industrial uses, or of-public courses converting to private
courses (or vice versa).
Task 6: Analysis of Proposed GO/fCoursBS
Based on interviews with county and city planning department personnel, local
golf course managers, local developers, and other persons knowledgeable about new
courses proposed in the area, ERA will investigate and update the following regarding
proposed competitive golf courses in the area:
· The number of new cowses proposed or under construction in the region.
· The number of courses approved or likely to be approved in the region.
· Speciflc project information including developer, location, type of golf cowse
and any other related planned developments such as residential housing or a
hotel.
Economics Research Associates
Mr. Michael Rath
19 November 1998
Page 7
. The likely positioning of the golf course in the market.
. Any demand "interception" potential a proposed course may have over any or
all of the three subject facilities due to location or other reasons.
This will include an investigation of all types of proposed new public-access
golf facilities, including both publicly owned and privately owned facilities. ERA will
also seek to identify and evaluate any relevant proposals to :renovate or redesign
existing golf facilities in the region. This task will conclude with an overall assessment
of the anticipated competitive market.
Task 7: Estimation ofPotentUd Golf Demand in the Market Area
ERA will quantitatively examine the supply-and-demand relationship for public
golf in the defined market area, providing an indication of current and anticipated
future market support for public golf courses in the area. This will include an analysis
of potential demand from both area residents and visitors (including seasonal
residents). Utilizing published data and ERA's local research experience, propensity to
play will be established and compared to accepted norms for golf demand. This
analysis will indicate total current and anticipated. future demand for public-access golf
facilities in the market area. This estimation of current and anticipated future potential
demand will be compared with total play on existing public golf courses in the marl<:et
area and anticipated play on new courses that are likely to open in the market area in
the near future.
Task 8: Review of Management and Development Options
Based on management and development options available to the City and
ERA's industry knowledge, ERA would identify and evaluate relevant management
and development options. The most appropriate and attractive development and
management structures would be selected based. on a variety of factors, including but
not limited to:
· The objectives of the City;
· The recommended market positioning (discussed below);
. Any special limitations or unique characteristics of the City's golf system; and
· The projected system-wide financial performance (discussed below).
Thus, it would be necessary to formulate recommendations regarding the most
appropriate development and management structures in conjunction with
Economics Research Associates
Nfr. .Michael Rath
19 November 1998
Page 8
recommendations regarding market positioning and projections regarding future
financial performance.
Phase Two: Market Positioning and MalUlgement RecommendatioflS
Task 1: Market Positibning Recommendations
ERA will provide recommendations regarding general market positioning for
each of the three subject facilities after renovations. Included in these
recommendations will be recommended reservations policies (and possibly
preferences) and greens fee. structures for each facility, including recommended
resident/non-resident pricin& seasonal pricing, twIlight discounting, and other pricing.
ERA will also recommend general pricing and management policies concerning carts
and use of the driving range. Market positioning recommendations will also address a
variety of other issues, including but not limited to golf course conditionin~ clubhouse
size and quality, and food.-and-beverage facilities and character. These
recommendations would be based on:
· The objectives of the City, the characteristics of the three existing facilities and
sites (including distance from golfing populations), and the characteristics of
the local population.
· The operating characteristics of comparable courses in the region.
· ERA's analysis of potential demand for public golf in the market area and the
projected supply and quality of public golf comses (including daily-fee,
municipal courses, and semi-private courses). This would include ERA's
estimate of the number of additional supportable public golf courses.
· The level of development that is financially feasible given the marlcet support.
· Any under-served market niches that ERA. might identifY in the market
If desired, as part of this task, ERA could also comment on the City's existing
renovations plan.
Task 1: Management Structure Recommendations
In addition to recommending the most appLopllate marlcet positioning for the
subject golf facilities, as noted above, ERA would also recommend the most
appropriate management structure. This recommendation would be based on a host of
factors, including but not limited to the objectives of the City, the anticipated
characteristics of the renovated golf faciliti~ the characteristics and historic
Economics Research Associates
Mr. Michael Rath
19 November 1998
Page 9
performance of the eXIstmg management structure, and the anticipated financial
performance and debt requirements of the renovated. golf facilities. ERA offers a great
deal of experience in examining the relative strengths and weaknesses of various
management and development options.
Task 3: Evaluation and Recommendations Regarding Potential Hotel and
Resort Pttrti.dpation
ERA 'Will also investigate the possibility of seeking financial participation from
a nearby hotel, resort, or group of hotel properties. Most likely, such participation
would occur in exchange for play privileges or other inducements. Included in this task
will be determining the degree to which existing and/or proposed hotels or resorts in
the region desire improved access to golf, and identifying appropriate hotel or resort
properties. This 'Will be determined based on interviews with directors of sales at local
hotel properties and discussions with other knowledgeable sources. ERA's
recommendations will be formulated in conjunction with. recommendations concerning
market positioning and management structure, as well as projections concerning
financial performance and recommendations regarding the most appropriate source of
financing. Thus, ERA's recommendations will reflect the specific needs and
requirements of the recommended management structure. market positioning, and
finance option. These recommendations will also reflect the stated objectives of the
City and any potential conflicts such an arrangement could pose with resident golfers.
Phase Three: Financial Analysis
Based upon the market analysis and recommended market positioning and
management structure, ERA will complete a pro-forma financial analysis of the entire
golf system, which will include the following components:
Task 1: Project Rounds, Sources of Play and Operating Revenues
ERA will recommend appropriate market positionings and fee structures for
each of the three renovated golf faciliti~ and then formulate detailed ten-year pro
forma financial projections for each of the three renovated golf facilities. These
projections will be based on a variety of factors, including but not limited to: (1)
historic play levels and revenues at the three subject facilities; (2) actual play levels and
revenues at other comparable courses in the market area; (3) industry standards; (4) the
specific characteristics of the subject sites; (5) anticipated facility characteristics after
the planned renovations; and (6) our knowledge of the golf industry. Based on these
and other facto~ ERA will project the following for each of the three subject golf
Economics Research Associates
Mr. Michael Rath
19 November 1998
Page 10
facilities after renovations are complete:
1. Seasonal and annual play levels (by source of play); and
2. Operating revenues (by department, including greens fees, cart fees, driving
rang~ food and beverage, and merchandise sales). Allowances for weekday I
weekend pricing and any discounts will be included.
Task 2: Project Future Operating Expenses
Operating expense projections will be based primarily on current maintenance
and operations costs (and/or budgets) at the three subject facilities and at other
comparable golf courses in the market area. Projected costs will be adjusted to reflect
anticipated changes in market positioning and changes in maintenance costs (associated
with more intricate designs and other features). ERA will also consider any potential
significant changes resulting from a new mazket positioning or management structure. ~
Operating expenses will consist of the following components: golf course
maintenance, water, utility costs, replacement reserve, golf operations (carts, starters,
pro shop staff: marshals), gene:rnl and administrative expenses, and. .others as
appropriate.
Task 3: Projection of Net Operating Income before Debt Service
ERA's analysis will culminate in the generation of a ten-year pro-fonna
projection of Net Operating Income before debt service for the entire golf system. This
projection will be based on tasks 1 and 2 (as described above), and will be presented
both with and without inflation. It should be noted that up to three iterations of the
financial analysis could be provided on a pre-tax, pre--debt basis. If desired, additional
iterations, or other" customizations," can be provided on a time and expenses basis.
The final product from the fiISt three phases will be a complete market and
financial analysis suitable for presentation to a prospective lender or rating agency.
Economics Research Associates
1ir. Michael Rath
19 November 1998
Page 11
Phase F(Jur: DeveIopmentIManagement Rec(Jmmendations and Ass(Jciated
Assistance
At the conclusion of Phase Three, based on the results of ERA's analysis and
the City's objectives, ERA will formulate and summarize development and
m~oement recommendations. Municipalities in similar situations typically elect to
either.
1. Enter into a ground lease contract with a developer/operator, who would
finance and oversee facility renovations and then operate the facilities;
2. Finance renovation costs (utilizing a bond offering, City fimds, or other
sources) and then retain a golf course management firm to operate the facilities
(typically contracts include a base fee plus incentive component); or
3. Finance facility renovations and then manage and operate the facilities
themselves (hiring qualified staff to oversee, operate, and maintain the
facilities).
If the City elects to pursue either of the first two alternatives, ERA wouIdassist the
City by providing a list of qualified and. recommended firms to receive Requests for
Proposals. ERA would also provide the City with a list of criteria to include in the
RFP. ERA's list of recommended firms and recommended RFP criteria will be
presented under separate cover.
PROPOSED STAFFlNG
ERA will connnit its most experienced Staff to this assignment. Greg Cory,
Vice President, will serve as the principal in charge of this assignment Jon Peterson,
Senior Associate, will serve as project manager. J. Richard McElyea, Executive Vice-
President and head of ERA's golf practice, and Gene Krekorian, Vice President, will
also provide key assistance.
REQUESTED FEES AND PROPOSED TIMING
ERA commits to provide the services described above (phase One through
Four) for professional fees not-t~ceed twenty-five thousand dollars ($25,000).
These fees are for professional fees only, and reimbursable costs associated with travel,
report production, telephone and research material will be billed in addition. ERA will
seek to limit these costs wherever possible, including utilizing advancc>pmchase airline
tickets.
Economics Research Associates
Mr. Michael Rath
19 November 1998
Page 12
If ERA.' s market and financial feasibility study is used as part of a bond offering
or if the study is referenced in a bond offering. it will be necessary for ERA's legal
counsel to review the document. If this is the case, additional fees will be charged on a
time-and-expense basis_ Moreover, additional work completed by ERA (associated
with review of the P.O.S. and the O.S., and revisions resulting from the legal review)
will be completed on a time-and-expense basis. Typically, professional costs for such a
review associated with a bond offering total approximately $4,000 to $5,000.
ERA is prepared to initiate work on this project immediately, and could
commence field research on the week of December 6th. Preliminary financial
projections could be provided by Christmas, and ERA could provide a complete drn.ft
version of the report by January 15th.
We understand that the City utilizes a standard service agreement, and that
ERA's proposal will be inCOIpOrated into this standard service agreement. We also
tmderstand the City does not issue retainers, but rath~ pays according to the percentage
of contract completed. Based on the timing described above, ERA would suggest
invoicing for $18,000, plus accrued expenses, on December 31, 1998, with the balance
of fees and expenses billed on January 30, 1999 (or upon presentation of the .final
document, whichever occurs first).
Should ERA discover any conditions during the course of its analysis that could
adversely affect the project, these wottld be brought to your immediate attention and all
work would cease pending your further instructiOIlS. Similarly, you retain the right to
terminate the project at any time. If the Client elects to terminate the project at any
point in time, only professional fees and expenses incmred as to the date of
termination, plus reasonable costs of terminating the project, would be due and
payable. The attached Standard Proposal Addendum is an integral part of this
proposal.
Economics Research Associates
.MI. Michael Rath
19 November 1998
Page 13
ACCEPTANCE
If this proposal is acceptable to you, please indicate so by signing. and
returning one copy to the San Francisco office of ERA. We understand that the
standard service agreement may come lUlder separate cover. If you require any
modifications to this proposal, please let US know.
Vice President
J- ~-@r-
Jon H. Peterson
Senior Associate
Enclosures! Attachments: Proposal Addendwn
Accepted By:
Date:
Economics Research Associates
STANDARD PROPOSAL ADDENDUM
It is understood by the client that Economics Research Associates (ERA) can make no
guarantees concerning the recommendations that wiD result fi:'Om the proposed assignment.
since these recommendations must be based upon facts discovet'ed by ERA during the course
of the study and those conditioos existing as of the date of the report To protect you and
other clientS. and to ensure that the research results of ERA's work Will cootinu.e to be
accepted as objective and impartial by the business community. it is understocxl that our fee
for rhe undertaking of Ibis project is in no way depe:txtent upon the specific conclusions
reached or the narure of the advice given by us in our repa:t to you.
It is agreed by the client that the report is not to be used in c:orgunction with any public or
private offering of ~ or equity securities without pria- written consent..
It is further agreed that the client will jndemnify ERA against any losses. claims. damages
and liabilities under fedeml and state securities Jaws which may ariSe as a result of
statements or omissions in public cr private offerings of securities.
It is agreed by the client that payment fOl" the services of ERA is due upon receipt of the
invoice; that full payment is due upon receipt of tile completed report; and that ERA has the
right to withhold delivery of the final report pending receipt of any overdue paymentS.
In the event any invoice is not paid within 30 days after rendering of the invoice it sbaII
commence bearing interest on the date the invoice was rendered at the rate of 18 percent pet
annum (or such lessa- rare as may be the maximum interest permiSsible UDder applicable
law) and the client agrees to pay all acaued interest. togethet with the charges for setVices
rendered as provided for in this agreement. In addition, should an unpaid invoice be referred
to OUt' attorneys foe collectioo. the client agrees to pay tl:1cil" reasooable fee for such work. as
well as any costs of suit which may be incurred.
It is further agreed by tile client that the report will be presented to third parties in its entirety
and that no abstracting of the report will be made without first obtaining the permission of
ERA
It is understood by ERA that the findings of this report are the proprietary property of the
client and they will not be made available to any Olher organization or individual without the
consent of the cliem.
This proposal Will remain in force for a period of 60 days from the date shown hereon.
Economics Research Associates
RFP NO.1 -98/99
PROPOSAL TO ASSIST THE CITY OF MIAMI
BEACH EVALUATE MARKET SUPPORT AND
DEVELOPMENT ALTERNATIVES CONCERNING
THE PROPOSED RENOVATION OF THE CITY'S
THREE PUBLIC GOLF FACILITIES
Prepared for
The City of Miami Beach, Procurement Division
Submitted by
Economics Research Associates
October 29, 1998
ERA Proposal No. 36552
. I r I ~i
': Ii: ERA i.. .lffilidt'..d vvith O,-;v,.'r~ Jon.ls
(Ji),;
,1 1 :") _ i ~j \-~ } 01
"I/f.,. .',
Lo~ Arlgele.. S.ln Francisco San Diego
C h j C .1 q 0 D .) II il S W .1 S h j n 9 ton DeL 0 n don
Economics Research Associates
October 29, 1998
Mr. Michael Rath, CPPB
City of Miami Beach, Procurement Division
1700 Convention Center Drive, Third Floor
Miami Beach, Florida 33139
Re: Golf System RFP
ERA No. 36552
Dear Michael,
This document includes the following components:
. ERA's proposal;
. Relevant ERA resumes;
. ERA's bibliography of selected relevant projects;
. ERA's Golf Qualifications; and
. Copies of required forms and articles.
I have also enclosed the original (completed and notarized, where applicable) forms
forwarded to ERA in conjunction with the RFP, including the Vendor Application form
along with a check for $20. I have also enclosed five copies of ERA's golf brochure
and one copy of ERA's corporate brochure.
Please do not hesitate to call if you have any questions.
Sincerely,
*)j.~
:r6n H. Peterson
Senior Associate
36552l.doc
lP
Enclosures
388 Market Street SUite 1580 San FranCISco, CA 94111
415 956 8152 FAX 415 956 5274 www.erasf corn/erasf ERA is affiliated 'Nith Drivers Jonas
Los Angeles San Francisco San Diego Chicago Washington DC London
PROPOSAL
Economics Research Associates
October 29, 1998
Mr. Michael Rath, CPPB
City of Miami Beach, Procurement Division
1700 Convention Center Drive, Third Roor
Miami Beach, Rorida 33139
Phone:
305-673-7490
305-673-7851
ERA Proposal #: 36552
Fax:
Dear Michael:
In response to the City's Request for Proposals (RFP), Economics Research
Associates (ERA) is pleased to submit the following proposal to examine potential
future market support for the City's public golf courses and to evaluate possible
fmance options to pay for proposed improvements to these courses. Specifically,
under the terms of this proposal, ERA would:
1. Review the physical and operating characteristics of each the City's three
existing golf facilities;
2. Examine proposed improvements to each of these golf facilities;
3. Conduct a detailed analysis of the regional public golf market, examining
the physical and operating characteristics of comparable public-access golf
courses in southeastern Rorida, and evaluating demand from visitors,
residents, and other sources;
4. Evaluate potential future market support for the City's renovated golf
facilities;
5. Provide operations and market positioning recommendations;
6. Project future fmancial performance for the entire golf system and each of
the three courses within the system; and
7. Evaluate relevant fmance options - including possible public/private
partnerships -- and determine which option is most attractive for the City.
388 Market Street SUite 1580 San FranCISco, CA 94111
4159568152 FAX 415 956 5274 www eras! com/eras!
ERA is affiliated vvith Drivers Jonas
Los Angeles San Francisco San Diego Chicago Washington DC London
Mr. Michael Rath
29 October 1998
Page 2
Based on our review of the RFP, we understand that the City presently owns
three municipal golf courses: Bayshore, Normandy Shores, and Bayshore Par 3. The
RFP also states that the City has approved on a preliminary basis a conceptual plan
for capital improvements required for the renovation of these three golf courses.
According to the RFP, this renovation would maintain the integrity of the existing
designs, while enhancing certain holes, improving drainage, and expanding the
practice facilities. Preliminary estimates place capital improvement costs at
approximately $7 million, but clubhouse improvement cost estimates have not yet
been completed.
Based on our review of the RFP, we understand that the City now wishes to
retain a qualified feasibility consultant to conduct a market and fmancial analysis,
assist with the evaluation of tinance strategies, and develop recommendations for a
preferred strategy. We believe that ERA is uniquely qualified to assist the City in this
analysis. ERA's QuaWications, proposed Scope of Services, proposed Timing,
requested Fees, and proposed Project Staffmg are summarized below.
QUALIFICA TIONS
Economics Research Associates (ERA) is a diversitied consulting fIrm
founded in 1958 which provides a wide range of research services in economics,
fmance, and market analysis. ERA has five offices located in the United States and
one office located in London. The firm's principal areas of expertise are golf,
recreation and resort planning and economics, as well as real-estate and land use
strategies for public agencies. Over the past 40 years, ERA has completed over
12,500 assignments for public and private sector clients, and now completes 50 to 75
golf and golf-related analyses each year.
ERA is the largest and most experienced golf economics consulting fIrm in the
United States. ERA's clients include municipalities and other public agencies, as well
as private developers, financial institutions, golf course operators, and public/private
joint ventures. ERA's assignments in the golf industry include market and fmancial
analyses, forecasts of golf course performance, appraisals, operations audits,
evaluations of lease arrangements, and evaluations of capital investment strategies and
alternatives. Please refer to ERA's attached Golf Qualifications and list of new golf
courses recently developed or presently under construction based on ERA studies.
ERA takes pride in providing the highest quality and most thorough golf
course feasibility studies and operations audits available. We have observed that
many golf course consulting firms rely primarily on demographic analyses and
published data on participation rates. ERA uses the demographics approach only as a
secondary test of the market. Our primary investigation involves an in-depth study of
Economics Research Associates
Mr. Michael Rath
29 October 1998
Page 3
comparable courses in the market area and surrounding regions. We analyze trends in
rounds played on courses in the area, course quality, course location, course
maintenance and operation budgets, greens fees, revenues, development costs, and
other important factors. Moreover, we also carefully examine the likelihood of
proposed new courses opening in the market. Based on this analysis, as well as the
characteristics of the subject site (location, attractiveness, etc.) and the characteristics
of the existing or planned subject facility (course quality, surrounding land use,
market positioning, etc.), we are able to project likely future financial performance.
Importantly, ERA also offers more than two decades of experience in Florida.
J. Richard McElyea, Executive Vice President, would serve as the principal in charge
of this assignment. Mr. McElyea offers more than 40 years consulting experience and
is widely recognized as one of the foremost experts on golf economics. He also
completed a redevelopment study for the City of Miami Beach in the 1970s. He
would be assisted by Greg Cory, Vice President. Mr. Cory previously headed ERA's
former Rorida office and has completed numerous golf studies in southeast Rorida:
including studies in Hollywood, Key West, Pembroke Pines, and Boynton Beach.
Mr. McElyea and Mr. Cory would be assisted by either Jon Peterson, Senior
Associate, Bill Brandon, Senior Associate, or Rich Warfel, Senior ASsociate. All
three specialize in golf economics, and all three have conducted golf studies in Florida
in recent years. Resumes are enclosed.
PROPOSED SCOPE OF SERVICES
Our proposed Scope of Services includes four phases:
1. An examination of the subject facilities, planned improvements, regional
golf market, and management and fmance options;
2. ERA's recommendations concerning market positioning and management
structure;
3. ERA's fmancial projections for each of the three facilities and the entire
golf system; and.
4. An evaluation of the selected finance options and ERA's recommendations
regarding the most appropriate option for the City.
Depending on which tinance option appears most appropriate, it may be necessary to
conduct additional work, as discussed below. ERA's proposed Scope of Services is
detailed below.
Economics Research Associates
ERA
I
Mr. Michael Rath
29 October 1998
Page 4
Phase One: Orientation and Analysis of Subject Facilities, Planned
Improvements, Golf Market Conditions, and Management and Finance Options
Task 1: Orientation Session
ERA will meet with representatives from the City in order to gain a full
understanding of the City's near and long range objectives, other possible concerns,
and options regarding the renovation and expansion of the three golf facilities. Key
issues relating to the study will be identified, and we will obtain past work relating to
proposed renovations and any relevant information or reports the City possesses
regarding regional demographics or the local golf market.
Task 2: Analysis of the Three Existing Golf Facilities
ERA will inspect each of the three existing golf facilities from a marketing
perspective, focusing on:
1. Site characteristics (size, configuration, topography, vegetatiop., other
features, overall attractiveness, and surrounding land uses);
2. Quality and market appeal of the existing facilities (course layout and
conditioning, length, clubhouse characteristics, etc.); and
3. Location and access issues.
Following each inspection, ERA will conduct a detailed interview with the Director of
Golf and/or Head Professional at each facility to gather detailed data on each facility.
ERA will gather data concerning both physical characteristics (age, size of facilities,
etc.) and operating characteristics (play levels, seasonality, sources of play, fee
structures, revenues by department, maintenance and operating costs, etc.) for both
facilities.
Task 3: Analysis of the Planned Renovations and Improvements
In conjunction with the analysis of the existing facilities, ERA will review
planned renovations and improvements at each facility. This will include a review of
planned golf course renovations, expansions of practice facilities, and other
improvements, such as clubhouse improvements.
Task 4: Market Area Definition and Demographic Review
ERA will defme an appropriate market area for the three golf courses after
renovations and improvements are complete based upon: 1) reported play patterns at
Economics Research Associates
Mr. Michael Rath
29 October 1998
Page 5
the eXlstmg facilities; 2) the locations of the three facilities; 2) population
concentrations and socio-economic characteristics; 3) major roads and drive-times; 4)
current golfer driving patterns in the region; 5) the locations of other existing golf
courses in the area; 6) probable new courses opening in the region, and their planned
locations and market positionings; and 7) the desired market positioning for the three
courses after renovations and improvements, including any discounts or special
privileges that will be offered to City residents. ERA will then gather detailed data
for this region regarding population size, population distribution, and demographic
profile. ERA will then analyze these data in order to gain a better understanding of
the characteristics of demand for public golf in the region and potential demand for
the three facilities following renovations and improvements. Among others, factors
analyzed would include:
. Historic population, current population, and projected growth rates.
. Demographic characteristics, such as income, age and other household
characteristics that will affect golf play propensities.
. Present employment and projected employment growth.
. Geographic distribution of population and jobs within the region by segment.
Task 5: Analysis of Comparable Public Golf Courses
A critical component of this analysis will be an in-depth examination of
existing public-access golf courses located throughout the market area. This will
include a review of municipal golf facilities, privately owned daily-fee golf courses,
and, if relevant, semi-private golf facilities. It could also include additional
comparable courses located outside of the market area, if appropriate. Based
primarily on in-depth field research, ERA will determine the following for each
potentially competitive course in the market area:
. Owner, operator, and age.
. Overall course quality including course architect, course setting, slope rating
and course conditioning.
. Overall quality and size of other physical facilities including the clubhouse,
golf practice facilities, and any other facilities.
. Greens fees, cart fees and other fees.
. Annual rounds by type, and trends in annual play levels.
. Accessibility and sources of play by area.
Economics Research Associates
Mr. Michael Rath
29 October 1998
Page 6
. Number of group outing or tournament rounds, and banquet revenues.
. Weekday versus weekend play patterns where available.
. Where available, annual revenues from greens fees, cart rentals, driving range,
pro shop, food-and-beverage operations, and other major departments.
. Where available, annual expenditures on course maintenance and course
operations.
. If available, development costs for newer courses in the area.
. Where relevant, the likelihood of existing courses converting to residential,
commercial, or industrial uses, or of public courses converting to private
courses (or vice versa).
Task 6: Analysis of Proposed Golf Courses
Based on interviews with county and city planning department personnel, local
golf course managers, local developers, and other persons knowledgeable about new
courses proposed in the area, ERA will investigate and update the following regarding
proposed competitive golf courses in the area:
. The number of new courses proposed or under construction in the region.
. The number of courses approved or likely to be approved in the region.
. Specific project information including developer, location, type of golf course
and any other related planned developments such as residential housing or a
hotel.
. The likely positioning of the golf course in the market.
. Any demand "interception" potential a proposed course may have over any or
all of the three subject facilities due to location or other reasons.
This will include an investigation of all types of proposed new public-access
golf facilities, including both publicly owned and privately owned facilities. ERA will
also seek to identify and evaluate any relevant proposals to renovate or redesign
existing golf facilities in the region. This task will conclude with an overall
assessment of the anticipated competitive market.
Economics Research Associates
Mr. Michael Rath
29 October 1998
Page 7
Task 7: Estimatioll of Potential Golf Demand in the Market Area
ERA will quantitatively examine the supply-and-demand relationship for
public golf in the de tined market area, providing an indication of current and
anticipated future market support for public golf courses in the area. This will include
an analysis of potential demand from both area residents and visitors (including
seasonal residents). Utilizing published data and ERA's local research experience,
propensity to play will be established and compared to accepted norms for golf
demand. This analysis will indicate total current and anticipated future demand for
public-access golf facilities in the market area. This estimation of current and
anticipated future potential demand will be compared with total play on existing
public golf courses in the market area and anticipated play on new courses that are
likely to open in the market area in the near future.
Task 8: Revie,w of Management and Finance Options
Based on management and [mance options available to the City and ERA's
industry knowledge, ERA would identify and evaluate relevant management and
[mance options. The most appropriate management structure and fInance option
would be selected based on a variety of factors, including but not limited to:
. The objectives of the City;
. The recommended market positioning (discussed below);
. Any special limitations or unique characteristics of the City's golf system; and
. The projected system-wide fInancial performance (discussed below).
Thus, it would be necessary to formulate recommendations regarding the most
appropriate management structure and [mance option in conjunction with
recommendations regarding market positioning and projections regarding future
[mancial performance.
Phase Two: Market Positioning and Management Recommendations
Task 1: Market Positioning Recommendations
ERA will provide recommendations regarding general market positioning for
each of the three subject facilities after renovations. Included in these
recommendations will be recommended reservations policies (and possibly
preferences) and greens fee structures for each facility, including recommended
resident/non-resident pricing, seasonal pricing, twilight discounting, and other pricing.
Economics Research Associates
Mr. Michael Rath
29 October 1998
Page 8
ERA will also recommend general pricing and management policies concerning carts
and use of the driving range. Market positioning recommendations will also address a
variety of other issues, including but not limited to golf course conditioning,
clubhouse size and quality, and food-and-beverage facilities and character. These
recommendations would be based on:
. The objectives of the City, the characteristics of the three existing facilities
and sites (including distance from golfmg populations), and the characteristics
of the local population.
. The operating characteristics of comparable courses in the region.
. ERA's analysis of potential demand for public golf in the market area and the
projected supply and quality of public golf courses (including daily-fee,
municipal courses, and semi-private courses). This would include ERA's
estimate of the.. humber of additional supportable public golf courses.
. The level of development that is fmancially feasible given the market support.
. Ariy-under-served market niches that ERA might identify in the market.
If desired, as part of this task, ERA could also comment on the City's existing
renovations plan.
Task 2: Management Structure Recommendations
In addition to recommending the most appropriate market positioning for the
subject golf facilities, as noted above, ERA would also recommend the most
appropriate management structure. This recommendation would be based on a host
of factors, including but not limited to the objectives of the City, the anticipated
characteristics of the renovated golf facilities, the characteristics and historic
performance of the existing management structure, and the anticipated fmancial
performance and debt requirements of the renovated golf facilities. ERA offers a
great deal of experience in examining the relative strengths and weaknesses of various
management options.
Task 3: Evaluation and Recommendations Regarding Potential Hotel and
Resort Participation
ERA will also investigate the possibility of seeking fmancial participation from
a nearby hotel, resort, or group of hotel properties. Most likely, such participation
would occur in exchange for play privileges or other inducements. Included in this
task will be determining the degree to which existing and/or proposed hotels or
Economics Research Associates
Mr. Michael Rath
29 October 1998
Page 9
resorts in the region desire improved access to golf, and identifying appropriate hotel
or resort properties. This will be determined based on interviews with directors of
sales at local hotel properties and discussions with other knowledgeable sources.
ERA's recommendations will be formulated in conjunction with recommendations
concerning market positioning and management structure, as well as projections
concerning fmandaI performance and recommendations regarding the most
appropriate source of fmancing. Thus, ERA's recommendations will reflect the
specific needs and requirements of the recommended management structure, market
positioning, and fmance option. These recommendations will also reflect the stated
objectives of the City and any potential conflicts such an arrangement could pose with
resident golfers.
Phase Three: Financial Analysis
Based upon the market analysis and recommended market positioning and
management structure, ERA will complete a pro-forma fmancial analysis of the entire
golf system, which will include the following components:
Task 1: Project Rounds, Sources of Play and Operating Revenues
ERA will recommend appropriate market positionings and fee structures for
each of the three renovated golf facilities, and then formulate detailed ten-year pro
forma financial projections for each of the three renovated golf facilities. These
projections will be based on a variety of factors, including but not limited to: (1)
historic play levels and revenues at the three subject facilities; (2) actual play levels
and revenues at other comparable courses in the market area; (3) industry standards;
(4) the specitic characteristics of the subject sites; (5) anticipated facility
characteristics after the planned renovations; and (6) our knowledge of the golf
industry. Based on these and other factors, ERA will project the following for each
of the three subject golf facilities after renovations are complete:
1. Seasonal and annual play levels (by source of play); and
2. Operating revenues (by department, including greens fees, cart fees, driving
range, food and beverage, and merchandise sales). Allowances for weekday I
weekend pricing and any discounts will be included.
Task 2: Project Future Operating Expenses
Operating expense projections will be based primarily on current maintenance
and operations costs (and/or budgets) at the three subject facilities and at other
comparable golf courses in the market area. Projected costs will be adjusted to reflect
Economics Research Associates
Mr. Michael Rath
29 October 1998
Page 10
anticipated changes in market posltloning and changes in maintenance costs
(associated with more intricate designs and other features). ERA will also consider
any potential significant changes resulting from a new market positioning or
management structure. Operating expenses will consist of the following components:
golf course maintenance, water, utility costs, replacement reserve, golf operations
(carts, starters, pro shop staff, marshals), general and administrative expenses, and
others as appropriate.
Task 3: Projection of Net Operating Income Before Debt Service
ERA's analysis will culminate in the generation of a ten-year pro-forma
projection of Net Operating Income before debt service for the entire golf system.
This projection will be based on tasks land 2 (as described above), and will be
presented both with and without inflation. It should be noted that up to three
iterations of the [mancial analysis can be provided on a pre-tax, pre-debt basis. If
desired, additional iterations, or other "customizations," can be provided on a time
and expenses basis.
The fmal product from the ftrst three phases will be a complete market and
[mandaI analysis suitable for presentation to a prospective lender or rating agency.
Phase Four: Evaluation of Finance Options and Project Recommendations
The fourth phase will consist of an evaluation of the potential fmance options
identitIed and the presentation of ERA's project recommendations. This evaluation of
finance options and summary of project recommendations will be presented in a
separate report, appearing in "memorandum format." This evaluation will seek to
evaluate and identify the most appropriate and appealing fmance option, based on the
City's objectives, the recommended market positioning, the projected fmancial
performance, the suitability and availability of potential public/private joint venture
partners, and other factors.
PROPOSED STAFFING
ERA will commit its most experienced staff to this assignment. 1. Richard
McElyea, Executive Vice-President and head of ERA's golf practice, will serve as the
principal in charge of this assignment. He will be assisted by either Jon Peterson,
Senior Associate, Bill Brandon, Senior Associate, or Rich Warfel, Senior Associate.
Economics Research Associates
Mr. Michael Rath
29 October 1998
Page 11
He will also receive assistance from Greg Cory, Vice President and manager of
ERA's former Florida office. Resumes are attached.
REQUESTED FEES AND PROPOSED TIMING
ERA commits to provide the services described above (Phase One through
Four) for professional fees not-to-exceed twenty-five thousand dollars ($25,000).
These fees are for professional fees only, and reimbursable costs associated with
travel, report production, telephone and research material will be billed in addition.
Based on prior experience, ERA anticipates that these costs will likely equal
approximately 10 to 15 percent of the professional fees. However, total reimbursable
expenses will not exceed 16 percent of professional fees (or $4,000).
If ERA's market and tinancial feasibility study is used as part of a bond
offering or if the study is referenced in a bond offering, it will be necessary for ERA's
legal counsel to review the document. If this is the case, additional fees will be
charged on a time-and-expense basis. Moreover, additional work completed by ERA
(associated with review of the P.O.S. and the O.S., and revisions resulting from the
legal review) will be completed on a time-and-expense basis. Typically, professional
costs for such a review associated with a bond offering total approximately $4,000 to
$5,000.
To initiate this project, ERA requires a retainer in the amount of $10,000,
with the balance due at report completion. ERA is prepared to commence work on
this study immediately, and could provide a complete draft version of the report
within eight weeks of commencing work. ERA's preliminary fmancial projections
could be provided within three weeks of commencing work.
Should ERA discover any conditions during the course of its analysis that
could adversely affect the project, these would be brought to your immediate
attention and all work would cease pending your further instructions. Similarly, you
retain the right to terminate the project at any time. If the Client elects to terminate
the project at any point in time, only professional fees and expenses incurred as to the
date of termination, plus reasonable costs of terminating the project, would be due
and payable. The attached Standard Proposal Addendum is an integral part of this
proposal.
Economics Research Associates
Mr. Michael Rath
29 October 1998
Page 12
ACCEPTANCE
If this proposal is acceptable to you, please indicate so by signing one copy
and returning it with the retainer check to the San Francisco office. If you require any
moditications to this proposal, please let us know.
Respectfully submitted,
/ 11/ /Ie 1lj4'-
,1
1. Richard McElyea
Executive Vice-President
~~~
Jon H. Peterson
Senior Associate
Enclosures! Attachments: Proposal Addendum
Accepted By:
Date:
Economics Research Associates
STANDARD PROPOSAL ADDENDUM
It is understood by the client that Economics Research Associates (ERA) can make no
guarantees concerning the recommendations that will result from the proposed assignment,
since these recommendations must be based upon facts discovered by ERA during the course
of the study and those conditions existing as of the date of the report. To protect you and
other clients, and to ensure that the research results of ERA's work will continue to be
accepted as objective and impartial by the business community, it is understood that our fee
for the undertaking of this project is in no way dependent upon the specific conclusions
reached or the nature of the advice given by us in our report to you.
It is agreed by the client that the report is not to be used in conjunction with any public or
private offering of debt or equity securities without prior written consent.
It is further agreed that the client will indemnify ERA against any losses, claims, damages
and liabilities under federal and state securities laws which may arise as a result of
statements or omissions in public or private offerings of securities.
It is agreed by the client that payment for the services of ERA is due upon receipt of the
invoice; that full payment is due upon receipt of the completed report; and that ERA has the
right to withhold delivery of the final report pending receipt of any overdue payments.
In the event any invoice is not paid within 30 days after rendering of the invoice it shall
commence bearing interest on the date the invoice was rendered at the rate of 18 percent per
annum (or such lesser rate as may be the maximum interest permissible under applicable
law) and the client agrees to pay all accrued interest, together with the charges for services
rendered as provided for in this agreement. In addition, should an unpaid invoice be referred
to our attorneys for collection, the client agrees to pay their reasonable fee for such work, as
well as any costs of suit which may be incurred.
i
1
It is further agreed by the client that the report will be presented to third parties in its entirety
and that no abstracting of the report will be made without first obtaining the permission of
ERA.
~
i
,
'1
It is understood by ERA that the findings of this report are the proprietary property of the
client and they will not be made available to any other organization or individual without the
consent of the client.
i
j
This proposal will remain in force for a period of 60 days from the date shown hereon.
~
1
RESUMES
I
J
j
---
l
~
.~
j
~
.
.
1
... .
1
!
.
..
.
..l
,
t
!
1
J. RICHARD McELYEA, Executive Vice President
Qualifications in United States Golf Course Economics
With a strong background and knowledge of golf and thirty years experience in real estate
consulting, Mr. McElyea is ERA's Practice Leader in golf course economics. Working with clients
interested in developing golf courses both nationally and internationally, he provides consulting
services relating to market analysis, fmancial feasibility, valuation, and strategic planning of golf
courses and clubhouse facilities for public agencies, academic institutions large scale community
developers, golf course owners and operators, and national and international resort developers.
In recent years, some of Mr. McElyea's most significant golf-related assignments in the areas of
resort and large scale community development include:
. A strategic planning and location study for Gleneagles International Hotels of Scotland for
their entry into North America. The Gleneagles Hotel includes 72 holes of golf.
. Master planned consultation for golf course expansion and residential development for the
Mauna Lani resort on the Island of Hawaii.
. Market and fmancial analysis for the fmancialre-structuring of the Pinehurst Golf resort in
North Carolina.
. Analysis of the golf course and real estate development potentials for the Ventana Canyon
resort and country club in Tucson, Arizona.
. Analysis of resort hotel, golf and real estate potentials for the Semiahmoo Resort in Blaine,
Washington, named as the best resort course for 1988 by Golf Digest.
.
Analysis of golf course expansion potentials for the 36-hole Sunriver Resort golf complex
outside Bend, Oregon.
Economic impact of the Spanish Bay Golf Resort prepared for the Pebble Beach Company.
Golf course concept development for a 36-hole golf complex for the Ahmanson Ranch, a
master-planned community in Ventura County, California.
Market and financial assessment of a high quality, ocean front golf course being developed by
the Atlantic Richfield Company (ARCO) near Santa Barbara, California.
Analysis of the impact of a proposed Marriott timeshare development on a 36-hole golf facility
at Ford's Colony in Williamsburg, Vrrginia.
Ten recent analyses in Northern California including the fmancial potential of adding 36 holes
to the current 18 holes at Stanford University, a Greg Nonnan designed high-end daily fee
course adjacent to the Wente Champagne Cellars in Livennore; a new golf course for the
NCGA, Poppy Ridge, in Livermore; a second 18-hole championship golf course in Half Moon
Bay, a high quality daily fee course in San Juan Batista, review of development proposals for
ECONOMICS RFSEARCH ASSOCIATES
GREGORY L. CORY, Senior Vice President
Qualifications in Golf Course Economics
As Senior ViCe President in ERA's San Francisco office, Mr. Cory over the past 17 years has developed
an extensive expertise in the analysis of large scale planned residential communities and resorts. One
aspect of this experience has been developing knowledge in assessing the demand for and financial
feasibility of all typeS of golf courses. He is recognized as one of the leading experts in the field, is a
frequent speaker on the subject at international conferences, and has perfonned as an expert witness on
the on golf related matters.
Mr. Cory has performed market analyses for both public clients as well as private developers
throughout the U.S., including Aorida, North and South Carolina, Oregon, Washington, Illinois, and
California. These analyses typically incorporate a fmancial analysis of various development alternatives
to insure optimum recommendations are made regarding membership type, supportable fees,
recommended ancillary recreational facilities. and the relationship of golf to surrounding land uses. He
has also been involved in golf development in other countries, including Canada, Mexico, Portugal,
Aruba, Nevis, Puerto Rico, and Indonesia.
A good many of these analyses have been for large scale integrated residential communities. Some of
the projects on which he had worked include the long-range development program for the 5,600 TP&J
project owned by Mobil Land in Aorida, devising both long tenn real estate product offerings and a
golf development strategy for the 7,000 acre Desert Mountain community in Carefree, Arizona, and
assessing the importance of golf to the exclusive 20,000 acre Rancho San Carlos on the Monterey
Peninsula of California.
Other analyses in which golf has played a pivotal role has been in pure resort settings. Some of the
projects in which Mr. Cory has been involve include the master planning for expansion at Stratton and
Stowe, Vennont; Snowmass, Colorado; Telluride and Lake Catamount, Colorado; Grand Cypress in
Orlando, Aorida; and Sun River, Oregon.
In still other instances golf has been examined for its impact on large scale communities and how it fits
into a regional development objective. For instance, Mr. Cory was instrumental in developing the golf
strategy for the 1O,OOO-acre Westin project in Broward County, Florida, for the Arvida Corporation.
Recommendations were made regarding the extent of golf required, phasing, timing, recommended
golf course architects, membership orientation, etc. A similar analysis was prepared for Crescent
Resources, the development subsidiary of Duke Power for the Charlotte market area, which involved
over 3,500 acres in four development parcels and up to five golf courses. Also a detailed,operational
analysis was conducted for the Silverado Resort in Napa, California, to determine whether additional
golf was required in order to satisfy ongoing resort demand as well as additional residential play.
1!
I
;t
GREGORY L. CORY, Senior Vice President
Qualifications in Golf Course Economics
Page 2
Still in the area of examining the economic impacts of golf, Mr. Cory was the principal ERA staff
person as part of interdisciplinary team developing a golf development strategy for the Province of
British Columbia, Canada. 'The Province had successfully used a system of governmental grants and
low interest loans to develop the ski industry to bolster winter tourism and contribute to economic
development of the Province. The Province assessed the golf market as a means by which to broaden
summer tourism for the same purposes. The analysis focused not only on existing competitive
facilities, but also prioritized geographic opportunities for development, outlined demonstration
projects for early consideration, and calculated net economic benefit to the Province.
Fmally, Mr. Cory has been active in performing evaluation analyses for the offering of memberships in
private equity clubs. 'These analyses typically require a detailed examination of competitive courses in
the area and a careful assessment of the supportable pricing for various categories of memberships in
conjunction with a securities offering. Projects in which he has been involved include offerings at Bald
Head Island, North Carolina; Wachesaw Plantation, Pawley's Island, South Carolina; the Blackhawk
Country Club in DanviIle, California, and Silver Creek Country Club in San Jose, California.
Mr. Cory has an undergraduate degree in economics from the University of California and a Masters in
Urban and Regional Planning gained through a joint program with the University of Oregon and the
University of California-Berkeley. Prior to joining ERA Mr. Cory maintained his own consulting
, . practice specializing in recreation real estate.
"
- ~
,;,
1
i
'j
,
.
a
1
1
j
I
JON H. PETERSON, Senior Associate
Qualifications in Golf Course Economics
Mr. Peterson specializes in recreation-oriented economic analysis. He has served as project manager
on golf-related consulting assignments in more than twenty states, as well as Canada and Puerto Rico.
These assignments have included feasibility studies for proposed new municipal, daily-fee, private, and
resort golf courses, as well as valuations, strategic plans, and expert witness testimony. In addition to
golf-related assignments, Mr. Peterson has worked on a variety of other projects, including master
planned residential communities, beach resorts, marinas, ski resorts, themed attractions, and regional
and national parks. The following include some of the golf projects for which Mr. Peterson has served
as project manager:
Resort / Visitor-Oriented Courses
"
. A Market Analysis, Strategic Plan, and Financial Analysis for the Dos Mares golf club in
Fajardo, Puerto Rico, a proposed high-end Nicklaus-designed semi-private resort course
that would be located adjacent to the existing EI Conquistador resort. ERA also examined
the market and financial potential for residential development on this site, and conducted a
comprehensive financial analysis.
. A Market and Financial Analysis of the Legacy at Lakewood Ranch in Bradenton, Florida
ERA played a key role in assessing market support and determining the appropriate market
positioning for this new Palmer-designed course near Sarasota, which opened in February
1997 and has enjoyed strong performance to date.
. A Market and Financial Analysis of Intracorp's planned Tower Ranch Golf Club in
Kelowna, British Columbia. ERA's analysis included an examination of both visitor
and resident markets, and looked at demand for both private memberships and daily-
fee play.
. A Market and Financial Analysis of a proposed new upscale public golf course in
Eagle, Colorado, which would rely primarily on summer visitation to the Vail Valley.
ERA analyzed demand from visitors, seasonal residents, and permanent residents, and
provided detailed market positioning recommendations.
. A Market and Financial Analysis of a proposed upscale public golf course near
Mendocino, a popular coastal resort town in northern California. ERA's analysis
included a detailed review of the region's visitor market, which had not been well
documented in the past.
,
..
I
I
i
,.
I
Daily-Fee / Semi-Private Courses
!
,
,
. A Market and Financial Analysis of The Oaks, a new upscale daily-fee golf course in Pass
Christian, Mississippi (near Gulfport). ERA's study was successfully used to obtain
fmancing for this facility, which opened in early 1998.
.
J
1
J
Mr. Peterson, Senior Associate
Page 2
. A Market Analysis, Strategic Plan, and Financial Analysis for Weyerhaeuser's new TPC at
Snoqualmie Ridge golf course near Bellevue, Washington. This Nicklaus-designed course
is currently under construction.
. A Market and Financial Analysis of Stevinson Ranch, an upscale daily-fee golf course in
California's Central Valley (near Merced) which opened in 1995.
. A Market and Financial Analysis of the new Bridlewood Golf Club, in Flower Mound,
Texas (a suburb of Dallas). ERA's study was successfully used to obtain financing for this
facility, which opened in 1997.
. A Market Analysis, Strategic Plan, and Financial Analysis of the proposed Oak Creek golf
course in Mountain Home, Arkansas. This course would rely on a combination of member
play, local daily-fee play, and visitor play.
. A Market and Financial Analysis of a proposed high-end daily-fee golf course designed by
Tom Weiskopf in St. Tammany Parish, Louisiana (near New Orleans).
Municipal Courses
. A Market and Financial Analysis of the Timbers at Troy, a new high-quality municipal golf
facility in Howard County, Maryland. ERA's study was used in a successful bond offering.
This course is now open and enjoying strong fInancial performance.
. A Market and Financial Analysis of Buffalo Run, a new municipal golf course designed by
Keith Foster located in Commerce City, Colorado. ERA's study enabled Commerce City
to obt.ain fmancing for this facility, which is now open and performing as projected.
. A Market and Financial Analysis of Saddle Rock, a new upscale municipal golf course in
Aurora, Colorado, designed by Dick Phelps. ERA's study was used in a successful bond
offering. Saddle Rock is now open and enjoying strong fmancial performance.
. A Market and Financial Analysis of a proposed new municipal golf course in Port Angeles,
Washington, which would overlook the Strait of Juan de Fuca, and rely on a combination
of visitor and resident play.
Other Relevant Consulting Assignments
,~
. Expert witness testimony regarding the valuation of an existing 27-hole private club in
suburban Denver, Colorado.
. Expert witness testimony regarding the relationship between residential development and
membership sales at a proposed new semi-private golf club located near Seattle, Wash.
. Valuation of a new Robert Trent Jones, Jr. golf facility in Medford, Oregon.
\
I
,
Mr. Peterson graduated Phi Beta Kappa from Dartmouth College. with a B.A in geography modified
with environmental studies. Mr. Peterson earned an M.S. in economic geography from the
Pennsylvania State University. Formerly, Mr. Peterson worked for the U.S. Census Bureau as a
regional manager on MauL Mr. Peterson also taught at Penn State University and Seabury Hall, a
small private school on Maui.
...
j
RICHARD T. WARFEL, Senior Associate
Golf, Resorts, Residential Real Estate
As a Senior Associate in ERA's San Francisco office since 1990, Mr. Warfel provides consulting
services pertaining to a wide range of assigrunents including golf, resorts, and residential real estate.
GOLF
Mr. Warfel addresses market analysis, financial feasibility, financing alternatives, valuations and
appraisals, membership structuring, operational audits, and strategic planning for all types of golf
course developments including municipal and daily-fee courses and private and semi-private clubs.
Municipal / Daily-Fee Clients
. City of Concord, CA: operational audit, Diablo Creek Golf Course
. City of Concord, NC: market and financial feasibility, Rocky River GC (architect Dan Maples)
. City of Antioch, CA, market and financial feasibility, proposed Sand Creek GC (Carry Bickler)
. City of Pleasanton, CA: market and financial feasibility, proposed municipal course
. City of Anchorage, Alaska, analysis of.lease alternatives for proposed Glacier Valley GC
. No. Ca. Golf Assoc. (NCGA), Livennore, CA: feasibility study, Poppy Ridge (Rees Jones)
. Perini Development, Tucson, AZ: feasibility analysis for The Raven GC (Robert Trent Jones m
. Ocean Colony Partners, Half Moon Bay, feasibility analysis of new Ocean Course (Art Hills)
. Brandenburg Partners, San Juan Bautista, CA: San Juan Oaks GC (Fred Couples / G. Bates)
. Placer Holdings, Lincoln, CA: feasibility analysis for Twelve Bridges GC (Dick Phelps)
. O.B. Sports, Portland, Oregon, appraisal of the Langdon Farms GC
. Ocean Colony Partners, Half Moon Bay, CA: appraisal of the Links course (Arnold Palmer)
. Orix Company, Las Vegas, NY: appraisal for the Seven Hills GC (architect -- Rees Jones)
Private / Semi-Private Clubs
. Shea Homes, San Jose, CA: membership analysis, Silver Creek Country Club (Ted Robinson).
. Misawa Homes, Vallejo, CA, operational audit of the Hiddenbrooke CC (Arnold Palmer).
. Atlantic Gulf Communities, Naples, Florida: market I financial analysis, proposed private club
. Merrill Lynch, Williamsburg, VA, analysis of club operations at Ford's Colony (Dan ~aples)
. Southwest Diversified, Qrinda. CA: membership analysis, Montanera CC (Jack Nicklaus)
. Banyan Management, Bishop Ranch, Monterey, CA: analysis of membership potentials.
~
1
RESORTS I HOTELS
Mr. Warfel received his Master's degree in Hotel Management from UMASS -- Amherst, then
taught marketing at The Hague Hotel School in the Netherlands for two years before joining ERA
. Gleneagles Hotel. Auchterarder, Scotland: analysis of alternative vacation ownership concepts.
. Lodge at Koele, Lanai. Hawaii.. Castle & Cooke, market analysis of townhome development.
. Big Cedar Lodge, Branson, MO, Bass Pro Shops: analysis of conference center potentials.
. Melia Playa Concha!, Guanacaste, Costa Rica, Desarollos Hotel Group, market and financial
analysis of residential real estate, hotel. and golf for this 2,()()()-acre, ocean-front resort.
. Page, Arizona, market and financial analysis of proposed 300-room resort on Lake Powell.
. Mission Bay, San Diego, CA, market and financial analysis of hotel and timeshare development
. Vtalone Resort, Milan, Italy: market and financial analysis of residential real estate, hoteL and
27-hole golf course.
. Chateau Montcalm Resort, Quebec, Canada: market and financial analysis of proposed hotel.
spa, and 18-hole golf course.
. Hansen Properties USA: The Woodlands, San Luis Obispo, CA: market and financial analysis
of 350-room hotel, 54-holes of golf, and residential real estate.
RESIDENTIAL REAL ESTATE AND GOLF COMMUNITIES
i
. Hines Interest, Aspen Glen, Aspen, CO: for this 1,000 acre project, examined the market
potentials for 400 lots, 160 townhomes and a private I8-hole golf course.
. Governor's Land, Williamsburg, VA: for this 1,444 acre, 722 lot community, provided research
and recommendations pertaining to lot pricing, absorption and marketing.
. Appalachian Power, Golf Course Community, Smith Mountain Lake, VA: for a 2,000 acre site,
addressed the market and financial potentials of residential real estate and golf.
. Banyan Management, Bishop Ranch, Monterey, CA: for this planned 550 acre, 253 unit
community, addressed the market potentials of lots and townhomes.
. Rio Rico, Tucson, AZ: for this large 5,000 acre resort and land sales development, provided
market and developmental recommendations for retirement oriented housing.
. Loeb Enterprises, Sparks, NY: analysis of residential real estate and golf for the Wmgfield golf
community I Red Hawk Golf Dub located near Reno.
Mr. Warfel received a B. A in Economics from the University of California at Davis and a Masters
of Science in HoteL Restaurant and Travel Administration at the University of MassaChusetts at
Amherst.
....
t
J
ECONOMICS RESEARCH ASSOCIATES
BILL D. BRANDON, Senior Associate
Mr. Brandon provides a wide range of consulting services pertammg to golf course,
residential real estate, and resort development and planning. Mr. Brandon graduated from
the University of California at Santa Barbara, with a RA. in Law and Society. Mr.
Brandon has earned an M.RA. from the University of Southern California.
GOLF PROJECTS
Mr. Brandon specializes in market analysis, fmancial feasibility, pOSlt10nmg strategy,
operations analysis, valuation, and membership structuring for public, private, and semi-
private golf clubs. Golf projects Mr. Brandon has completed include:
Public Golf Courses
"
. Big Springs Golf Course, Hudson, Ohio.
. Odessa National Golf Club, Smyrna, Delaware.
. New York Institute of Technology G6lfCourse, Long Island, New York.
. Atlantic County Golf Course, Atlantic County, New Jersey.
. Treasure Island Golf Course, San Francisco, California.
. Hampshire Greens~Golf Course, Montgomery County, Maryland.
. Riverside Golf Club, Jack Nicklaus design, San Jose, California.
..
. The Tradition Golf Course, 27 -hole golf course, San Jose, California.
. City of Concord Golf Course, Dan Maples design, Concord, North Carolina.
. Wente Brothers Winery Golf Club, Livermore, California.
· City of Hayward Golf Course, Hayward, California.
. Keystone Lake Golf Course, Tulsa, Oklahoma.
. Lime Ridge Golf Course, Walnut Creek, California.
. Gale Ranch Golf Club, Johnny Miller design, San Ramon, California.
. The Woodlands Golf Club, 27-hole course, San Luis Obispo, California.
. Timbers at Troy, Howard County, Maryland.
...
1
!
,
.
I
..
.,
i
j
Private and Semi-Private Golf Courses
1
J
. Wingford Estate Golf Course, Jack Nicklaus design, Port Huron, Michigan.
. Mill Creek Golf Resort, Robert Trent Jones II design, Austin, Texas.
. Kemper Sports Management (I8-hole course), Charles County, Maryland.
. Kemper Sports Management (I8-hole course), Prince William County,
Virginia.
. Eagle Ridge Golf Club, Johnny Miller design, Gilroy, California.
Golf Course Operations Audits
. Hiddenbrooke Country Club, Vallejo, California.
. City of Concord, Diablo Creek Golf Course, Concord, California.
. City of Mountain View, Shoreline Golf Course, Mountain View, California.
. City of Walnut Creek, Boundary Oaks Golf Course, Walnut Creek, California.
RESIDENTIAL REAL ESTATE PROJECTS
Mr. Brandon provides consulting services relating to the market and fInancial feasibility of
residential developments with an emphasis on golf course residential communities. Recent
residential studies which Mr. Brandon has completed include:
. Bedico Creek (golf residential community), St. Tamminy Parish, Louisiana.
. Fort Collins (golf residential community), Colorado.
. The Woodlands (golf residential community), San Luis Obispo, California.
. Bishop Ranch (golf residential community), Monterey, California.
RESORT PROJECTS
..,;,.
Mr. Brandon has conducted tourism market analysis and economic feasibility studies for
international resort destinations. International resort studies perfonned by Mr. Brandon
include:
i
j
i
t
J
. Yeonpo Resort, Korea; analysis of golf, timeshare, and resort hotel properties;
review of domestic tourism market trends.
. Turks and Caicos Islands, Caribbean; analysis of the Caribbean cruise line
industry and feasibility study for a new cruise ship terminal.
. Bintan Island Resort, Indonesia; analysis of the international and domestic
tourism markets; recommendations for development programming.
. Fort Amador, Panama; analysis of the international tourism market and a land
use feasibility study for the re-development of a fonner U.S. military base.
..
,
.
~
,
,
j
1
j
BIBLIOGRAPHY OF RELEVANT PROJECTS
'.
..
1
1
'f:
i
""
j
:1
J
References from Selected Golf Studies:
Economics Research Associates (ERA) is an independent consulting fIrm which provides both
public and private sector clients with unbiased market and fmancial analyses and other consulting
services. ERA completes 50 to 75 golf and golf-related consulting assignments each year. ERA's
primary role typically includes examining the market and fmancial potential of planned projects.
However, ERA is often asked to assist public and private sector clients identifY and evaluate potential
fmance options, determine the most appropriate market positioning and design characteristics, and
select the most appropriate management and operations structure. ERA has also worked on numerous
assignments evaluating proposed renovations, redesigns, and/or repositionings of existing golf facilities.
The following is a representative list of clients for which ERA recently provided golf-related consulting
services:
Ms. Mary Austin Crofts, Director
Blaine County Recreation District
Blaine County, Idaho
Quigley Canyon Golf Course
Phone: 208-788-2117
.
.
ERA was retained by the Blaine County Recreation District in June 1998 to conduct a
detailed market and financial analysis of the proposed Quigley Canyon golf course in
Hailey, Idaho. ERA's study examined regional demographics and population
distribution, potential demand from second-home owners, potential demand from
visitors, the physical and operating characteristics of existing courses in the region,
proposals to develop new courses in the region, and other factors. Based on this
analysis, ERA recommended an appropriate ~ market positioning and projected future
fmancial performance. The Recreation District is presently negotiating with the land
owner and hopes to move forward with a bond offering in the near future.
,
;
Mr. Walter Koelbel
Koelbel and Company
Denver, Colorado
Pinehurst Golf Club
Phone: 303-758-3500
~
1
j
I
ERA was retained by Koelbel and Company in April 1996 to evaluate the financial
feasibility of renovating the Pinehurst Golf Club in Denver, Colorado, and repositioning
the facility as an upscale public-access golf course. Among other things, ERA's analysis
included a review of comparable public-access golf courses in the region, an examination
of potential demand from both residents and visitors, and an evaluation of tile existing
facility and the potential renovations. ERA concluded with market positioning
recommendations and tinancial projections, which ERA utilized to indicate the probable
value of the renovated facility as a public-access golf course. ERA's analysis enabled
1
t
t
'.
j
I
j
KoeU:>el and Company to realize a significantly greater sales price when the facility was
sold in late 1996.
Mr. James Niskanen, Assistant Director
Community Services and Neighborhood Connections Department
City of Modesto, California
Creekside, Dryden, and Municipal Golf Courses Phone: 209-577-5351
ERA was retained by the City of Modesto in August 1998 to provide a comprehensive
management audit of the City's Golf Program. The primary objectives of the audit were
to analyze the ability of the Golf Program to compete within the existing and future golf
market and to assess the potential for privatization of the golf courses through a master
facility lease. The conclusions and recommendations of the final report will be formally
presented to the City Council and Human Services Committee during November 1998.
Mr. Bruff Shea, Director of Parks and Recreation
Town of Castle Rock, Colorado
Red Hawk Golf Club Phone: 303-660-1036
..1
ERA has been retained several times by the Town of Castle Rock, Colorado, to provide
consulting services. Most recently, ERA was retained in December 1996 to conduct a
market and financial analysis of the proposed Red Hawk golf course. ERA's study was
used in a successful bond offering, and this facility is now under construction, with an
opening planned in Spring 1999.
.i
Mr. Alan Ferragamo, Director
Department of Public Works
Howard County, Maryland
Phone: 410-313-3440
-
(
;.:t
t
"
ERA completed a market and fmancial analysis of a proposed public golf course in
Howard County, Maryland, in February 1995. Howard County included ERA's analysis
in a successful revenue bond offering, and began construction shortly thereafter. This
new course, called the Timbers at Troy, is now open and has enjoyed two years of
strong financial performance.
I
""
1
1
Ms. Lori Harlan, Director
Economic Development Corporation
City of The Colony, Texas Phone: 214-625-4916/1756
..
j
~ .
....
In August 1995, ERA completed a market and fmancial analysis of the City of The
Colony's proposed 36-hole golf facility on the Wynnwood Peninsula, in Dallas' northern
suburbs. ERA was later retained to update this analysis and assist The Colony in its
effort to secure fInancing and attract a qualified operator. ERA was successful on both
counts, and this facility is presently under construction, with development financing
provided by the new golf course operator.
j
J
J
,.
,
,
, ,
.j
..
,
,
-\
.
J
j
1
I
'!
...
j
j
I
QUALIFICATIONS
Economics Research Associates
,~
. f
Economics. Research Associates
SELECTED GOLF QUALIFICATIONS
i
I
j
j
J
J
]
j
J
I
388 Miirkct Stre(~t SUite lS80 Silll r!;.JI1CI~;C().
c.!'.. :1.1111
4159568152 FAX 415 956 5274
\
vvww ~; r il::'!
C (l III ,it' I d:; t
ERA is dffillatt'd with DrIVt~r.. JOllas
Los Angeles
San Francisco
San Diego
Chicago
Washington DC
london
Economics Research Associates
OVERVIEW OF RELEVANT GOLF ASSIGNMENTS
Economics Research Associates is proud of its reputation for objective and creative analysis
and of our contributions to well-executed and successful projects and marketing programs. Since
1958, we have conducted over 12,500 assignments providing essential economic and planning analyses
for corporations, fmancial institutions, governments, and land owners. Innovative projects to which
ERA has made important contributions include: the world's most successful tourism attraction --
Disney World; destination resort -- Kaanapali, special event -- 1984 Los Angeles Olympics; and mixed-
use real estate development -- Irvine Ranch. ERA pioneered many of the research techniques and
analytical models which are now widely used in land use economics and concept development. We
approach each project as a unique assignment, and use creative thinking, structured analysis, and
common sense to develop programs, plans and answers for our clients.
Among ERA's areas of specialty are Real Estate, Hotels and Resorts, Recreation and Tourism,
and all aspects of Golf Development. Our work encompasses all stages of a project from initial
concept development and feasibility studies to consulting on project implementation, marketing, and
operations.
I$JjtYJ~F$:m.~~~'jj..~~t.1$WItI:
. ,. ..-....................
....... ....-_............ .................
.... -........................................
.......-. ..................................
.......,'.......<:-...,.,-,..-.-..................,.,.................................
.. ... '. ,_................ ............. .....
...... . ....................................
... .... ...................................
.. ..............................
....................... .
... .................
...
.................
..... ...... .
.............(
. ........ ...
ERA real estate development services include concept development, market studies, financial
analysis, market penetration strategies, structuring of leasing programs, solicitation of joint venture
partners, site location analysis, and packaging of complex projects. While ERA's services are
extremely important to the smaller development tirrns which do not have similar expertise in-house, the
major development ftrms will often solicit a second opinion from ERA on particularly complex or
innovative projects
Knowledge of the Development Community
1.
ERA most likely has greater familiarity with the regional, national and international land
development community than any other tinn of its type. ERA has worked directly for or has evaluated
the proposed projects of the following major development organizations: Chevron Land and
Development, Crocker Land Company, Gerald D. Hines Interest, The Irvine Company, Hyatt
Corporation, Homart Development, Marriott Corporation, Sutter Hill, Weyerhauser Properties,
Southern Pacific Land, The Ernest Hahn Company, Olympia York, Campeau, Wilson Gates, Daon,
>
Cadillac Fairview, the Rouse Company, and many others.
"f
."
1';'
t
...
1:
1
Development Financing
ERA understands land development tinancing from both the private and public perspectives.
One of the most frequently cited reasons for securing an ERA study is project feasibility documentation
for fmancial institutions. ERA studies have contributed to the fmancing of billions of dollars of real
estate development both in the United States and overseas.
Dedication to Objectivity
ERA's operating philosophy is to provide high level and objective consulting services in the
area of land use and land development economics. ERA does not provide brokerage services, leasing
services, nor does it assume equity positions in development projects because such activities could
compromise consulting objectivity.
IqGjQN.A,l.t.lQ~i-JrgfiS>
,.....-................. ,......._"-."-_...._-..,,...,.......,,-,. ",- ........................ ".. .....,
........."...................".......,.........,-'....,...,.....-..-.-...,-........................,'. "..-....
................................................-....,..--.........--...-.........................,..............
.........................................,..,.........---........................................................
...........................................-..................-.-....'"...-.-...................................
...................... .................................'.......-.......".'.........................'................
............ ... ...... .......... ..... ..... ...... ......... ...... . ..... ..... ....................
. . .. ..........
. . . . . . . . . . - . . . . . . . . . . . . . . .. ..................................................
...-.-....... ...................-.......................................
... ....................................................
. ......... .... ...........................
...... ................
.....,
.......
ERA has six offices strategically located to serve the major markets in which our clients are
active. Unlike other finns, ERA's office are not geographically bound. Instead, professional staff are
responsible for assignments in their area of expertise regardless of physical location. In this manner,
clients are assured of gaining access to the most qualified and experienced staff of the firm.
San Francisco
388 Market Street
Suite 1580
San Francisco, CA 94111
415/956-8152
Washington, OC
1101 Connecticut Avenue NW
Suite 750
Washington, OC 2006
2021496-9870
,
.,
,
i
Los Angeles
10990 Wilshire Boulevard
Suite 1600
Los Angeles. CA 90024
310/477-9585
Chicago
20 E. Jackson Street
Suite 1200
Chicago, IL 60604
3121427 - 3855
l
t
.
London
30 Watling Street
London, EC4 M9JN
44 171 489-3124
San Diego
964 Fifth Avenue
Suite 214
San Diego, CA 92101
619/544-1402
...
,
"
I
.
1
I
IERA"SGQLFPRA.C'J'lC!iJ)><
. .....................................
. ,...................................
.... ..............................
. ...............,.............
... ..... ,-. ..........
........,
:t.:)
......."",............................-..-.........
.........._................................-.........
. .... ... . ..... ......... ..-.-..........
ERA is the largest and most experienced golf economics consulting fIrm in the U.S.
ERA's clients include municipalities, private developers, fmancial institutions, golf course
operators, public/private joint ventures, and other public agencies. The analysis of golf courses,
either public or private or stand-alone or as a component of a resort or residential community, is
an important sector of ERA's consulting practice. Assignments in the golf industry include market
evaluations, forecasts of course performance, assessment of market orientation, analysis of
existing operations and evaluations of lease arrangements including capital investment strategies
and alternatives. In any given year the fIrm is engaged in between 50 and 75 assignments which
involve golf, either as a single land use or in conjunction with other land uses.
GOLF RESORTS
ERA has been very active in destination resort, golf course and other real estate development
analysis both nationally and internationally. In the United States, our project experience covers nearly
all of the major resort properties on both the east and west coasts, mountain areas, and the islands of
Hawaii and Puerto Rico. Internationally, we have completed resort assignments throughout South
America, Europe, Asia, and the Pacific. We are consultants to the world's most well known and
successful resorts, including:
.
Wailea, Maui
La Costa, San Diego
Kapalua, Maui
Costa Smeralda, Sardinia
Palmetto Dunes, South Carolina
PGA West
Pebble Beach
Costa del Sol Highlands, Spain
Kiawah Island
Dragon Valley, Korea
Sunriver, Oregon
Mauna Kea, Hawaii
Bandung Pakar, Indonesia
Semiahmoo, Washington
Mauna La.ni. Hawaii
Hana Ranch, Maui
Hawaii Kai, Oahu
Kaanapali, Maui
The Inn at Spanish Bay
Crand Cypress, Orlando FL
Las Hades, Manzanillo Mexico
Kiahuna, Kauai
Belmont Beach, Nevis, BWI
Sea Pines Plantation
Lau Lau Bay, Saipan
Carambola, St. Croix, USVI
j
1
1
.
A more complete description of some golf related resort assignments are as noted below.
'!
.,
J
.>.
Disney Vacation Club
The Disney Vacation Club is a highly successful and innovative participant in the fractional
interest resort market. After electing to expand beyond the original Orlando location,
DVC retained ERA to aid in site selection and consideration for additional facilities. One
prime consideration in the selection process was the amount of golf access and play which4
.,
..
1
i
I
might be required by their members, and how golf access might be provided. For both the
Hilton Head, South Carolina, and Irvine, California sites, ERA assessed the local golf
market, and made recommendations to DVC regarding the amount of play which might
come from their members, as well as guidelines for negotiating treaties and right of access
with area courses. These recommendations were critical to the decision acquire both
locations.
Tierra Del So~ Aruba, Dutch West Indies
Tierra Del Sol is a unique joint venture between the Aruban Government and a private
developer. The project contains multiple resort real estate product lines and a championship
Robert Trent Jones II golf course, all on leased land. Key elements of the assignment included
preparing an operating plan which allowed access to the course for the over 7,000 hotel rooms
on the island, while still providing for a private club environment in order to support real estate
sales.
Costa Banderas Resort, Nararite, Mexico
This project is to include up to four resort golf courses, hotels, and extensive resort real
estate, all fronting on up to 13 kilometers of coast line on Bahia de Banderas In addition
to providing the real estate programming recommendations and hotel feasibility analysis,
ERA examined all of the resort golf courses in coastal Mexico and devised a golf
operating strategy based on extensive fmancial testing of market viability.
Aspen Glen, Pitkin County, Colorado
Aspen Glen is being developed as a resort second home community near Aspen, and
includes a golf course, spa, two miles of private river frontage, and residential lots. The
Gerald Hines Interests was considering acquiring the property, and retained ERA to assess
the plan, real estate program, golf membership structure, and other features. ERA
perfonned extensive competitive and primary research, made recommendations for
changes to both the membership and real estate programs, and conducted a valuation of
the project based on the revised program.
>
..1
Harvest Golf Club, Kelowna, British Columbia
This assignment was conducted for Nipon Cable, and represented the fIrst venture for the
owner into the North American golf market. Kelowna is a well known summer resort
destination and second home location in the Okannagan region, and is known as a golfmg
destination. Research for the project included positioning recommendations for the
course, operating format, club house and related amenity programming, within the stated
goal of being within the high end of the market. During the analysis, it was determined
that a high end daily fee positioning, catering to group outings and the area
accommodation base was the preferred venue, due largely to the multitude of membership
~ ....
'.
"\
1
programs offered by competing courses which precluded them from addressing this
market.
Sunriver Resort, Bend, Oregon
ERA has prepared several assignments for Sunriver over the years, the most
comprehensive of which included preparing a valuation of the entire assets of the resort in
anticipation of change of ownership. This valuation included deriving specific value
estimates for each of the amenities, including the golf courses.
Pebble Beach Company, Pebble Beach California
In the early 1990's the owner of Pebble Beach was considering converting the golf
facilities to a private club. ERA was retained to analyze the proposed plan, and to assess
the economic impact of the plan not only on the operating characteristics of the company,
but also on the overall economy of the area. As a consequence, fIscal impacts resulting
from changes in property values as well as the tourism market needed to be addressed.
This analysis required detailed assessment of the entire resort operations of the Pebble
Beach Company, as well as economic patterns of the entire region.
The Vineyards, Phoenix, Arizona
The Phoenix and Scottsdale area is noted for it fme quality resorts and golf courses. The
Vineyards is designed to be a high end daily fee/semiprivate facility aimed at penetrating
the resort and group outings market. The analysis for this project required detailed
interviews with area hotel operators to determine the amount of potential resort play
which might come from the hotels in order to assess pricing policies, potential treaty
arrangements with hotel management, etc.
GOLF RESIDENTIAL COMMUNITIES
ERA has extensive experience in analyzing the market and fmancial feasibility of master-
planned golf residential communities. ERA assesses the market potential for golf and golf
oriented real estate to generate projections for golf related premiums, supportable prices, and
anticipated sales rates. By fmancially modeling alternative development scenarios, ERA provides
recommendations for supportable residential products and development phasing as well as
strategies to maximize project value and rate of return on investment. In addition, ERA is
effectively able to evaluate development synergies and provide recommendations regarding course
positioning, membership structure, pricing and marketing. Some representative assignments are
highlighted below.
Rancho San Carlos
This unique property, being developed by Pacific Union Company, is comprised of 20,000
acres adjacent to and accessible from the famous Carmel Valley on the Monterey
Peninsula of California. Originally planned for over 5,000 units, new planning guidelines
allow for only 350 homes plus up to 150 transient accommodations. The scarcity of
developable property dictates a very exclusive residential community, with very strict
design controls, a comprehensive environmental management program, and over 16,000
acres of the total being dedicated and deed restricted to a public trust called the Santa
Lucia Preserve. ERA was asked to aid in the real estate programming as well as the
positioning of the golf course. Initially planned as a resort oriented course focusing on
tournament play, extensive focus groups and primary research indicated the proper
positioning to be as a private facility. Key to the recommendations was the potential
impact on real estate values resulting from alternative operating formats and positioning.
Foothills Club West
UDC Homes is the developer of Foothills Club West in Phoenix Arizona, a golf residential
community targeted towards the higher end of the market. ERA was retained to conduct
a market and [mancial feasibility study for the golf course, and to make recommendations
regarding supportable fees, memberships, and course positioning. All sources of potential
play had to be taken into consideration, including resident, public, and resort
guests/tourists to the area.
.J
The Peninsula
Crescent Resources is the development arm of Duke Power. ERA was retained to evaluate
the development potential of four separate properties totaling over 6000 acres. The
appropriate land uses and development timing of each of the properties was examined. For the
site showing the greatest near tenn potential, detailed market and financial analyses were
carried out. That site has subsequently been developed as The Peninsula private golf and
residential community at Lake Nonnan near Charlotte, North Carolina. In a reverse
positioning strategy, this development became the only equity club in an area which offered
four other non-equity active membership opportunities at the same time.
,
..
..;.
Wachesaw Plantation, Murrells Inlet
ERA became part of a plarming team chosen to master plan the development of a 1,250 acre
fonner rice plantation in the Murrells Inlet area of South Carolina, neighboring the Myrtle
Beach resort area. The parcel was unique in that it retained much of the original tree cover,
ruins of old great houses, a civil war fort, and other interesting relics of the past. ERA
determined the level of market support for primary homes, second homes and resort
properties, and provided development recommendations regarding product mix, pricing,
amenity requirements and market positioning. A key element of this project was positioning it
against the overbuilt resort market by developing the tirst equity club in an area that at the time
had over forty golf courses. Subsequent to the conceptual development of the master plan,
i
1
ERA performed detailed financial analyses for the investor group as a precursor to soliciting
investing capital from outside sources.
Daufuskie Island umd Trust
ERA was retained as part of the planning team for the 2,350-acre Daufuskie Island
residentiaVresort project which is adjacent to Hilton Head Island, South Carolina ERA was
initially retained to assess the development potential of one of the last remaining costal barrier
islands in South Carolina. An island of over 6,000 acres, accessible only by boat, the project
encompasses 2,350 acres. Ultimately it will include three golf courses, a 300-slip marina, a
commercial center, associated recreation centers and amenities, and two embarkation points.
A key element of the analysis was juxtaposing and positioning the project against Sea Pines
Plantation and the neighboring successful developments on well-known Hilton Head Island.
The analysis included extensive fmancial analysis of various development scenarios. In a
subsequent assignment, ERA conducted focus group interviews to test public acceptance of
the project's concept. Finally, ERA aided the developer in soliciting investors and joint
venture-partners. The initial phase of the project is now called Haig Point and is owned by
International Paper Realty.
Pinehurst Resort Community
ERA has been engaged by Pinehurst, Inc., for two assignments. Initially, ERA performed a
comprehensive market analysis for both resort and residential portions of this North Carolina
resort/second-home project, and on the basis of this, developed long-range financial
projections. Subsequently, ERA undertook an assignment consisting of two components. The
first part consisted of a review of development potential for the existing Village Center and
preparation of fmancial projections and future development strategies. The second component
was assisting the group business department of Pinehurst in developing a strategy for
increasing the amount and quality of group business at Pinehurst.
Pinehurst National Golf Club
ERA examined the feasibility of an exclusive second-home residential development along with
a championship Jack Nicklaus designed 18-hole golf course and related club facility in
Pinehurst, North Carolina. The analysis included market research on single-family home lots
and patio home lots. The project has been exceedingly successful
~
The Governors Club
The developers of Pinehurst National retained ERA to aSsess the market potentials for The
Governor's Club, a prestigious golf course residential community on a 1,100 acre site near
Chapel Hill, North Carolina. The project, with a golf course designed by Jack Nicklaus, was
planned to be one the most exclusive communities in the Research Triangle area ERA's
review of the area's residential market included surveys of condominiums, townhouses, single
family residences and golf course communities. Recommendations included forecast
absorption of residential units and lots, along with a suggested unit and size mix.
..
..
'f
1
Sunrise Company
The PGA West project in La Quinta California has been underway since 1985, and will
ultimately consist of five championship golf courses, a 60 court tennis complex, 650 roo hotel,
and about 4,500 residential units. The Sunrise Company retained ERA to complete an
appraisal of the development's position in PGA West.
Ventana Canyon Country Club
ERA prepared an assessment of the market potential and a valuation of the Ventana Canyon
Country Club in north Tucson, Arizona. The club was structured with nonproprietary
memberships, but is available for resort play. The valuation relied heavily on the income
approach to value, but considered the market and cost approaches as well
Horseshoe Bay Resort and Conference Club
This project is a 9,000 unit resort and residential development 55 miles northwest of Austin
Texas. In both 1986 and again in 1995 ERA prepared a valuation of the operating assets of
the club, which included three championship golf courses, marina, equestrian center, small inn,
and property management program.
PRIVATE GOLF AND COUNTRY CLUBS
,,"
For private golf and country clubs, ERA performs analyses relating to existing and future
membership demand, current and anticipated competitive clubs and measures of fmancial
performance. Through detailed analysis, ERA addresses the intricacies of private membership
structurings including the economic and marketing impacts of various membership types (for
example, equity versus non-equity and private versus semi-private). Other critical issues
addressed include the size of the membership, the pricing and phasing of initiation fees, the club
privileges for various types of memberships, the level of monthly dues, the refundability and
transferability of memberships and the recommended size and scope of physical facilities. ERA is
also very experienced in international markets throughout Europe and Asia. Representative
assignments are described below.
1
!
~
1
..
Desert Mountain
In 1993 ERA was part of the master planning team retained to examine the development plan, real
estate offerings, and membership structure for the prestigious second home community. Through
extensive primary consumer and comparable research ERA developed recommendations and a
strategy for providing required amenities and alternative membership programs to insure adequate
golf availability to support the remaining residential sales through sell out. It was determined that
the area would need to expand to at least four golf courses to accomodate future member
requirements. Additionally, real estate product recommendations were made which dramatically
accelerated absorption and raised effective pricing levels from their historic levels.
J
r
1
!
,
.
.j
J
Silvercreek Valley Country Club
Shea Homes is one of the major homebuilders in California, and recently launched a 1500 unit
private golf club community in San Jose California. ERA performed all of the initial golf feasibility
assessment, and positioned the membership program relative to the market. All necessary
documentation in support of the Department of Real Estate security registrations was also
undertaken. Both memberships and home sales have met with strong acceptance, even during the
recent recessionary period.
Blackhawk Country Club
Blackhawk is an exclusive 2200 unit masterplanned community in the San Francisco Bay Area
which has gained national recognition. It contains two championship courses, and over $20 million
of other recreational features, all of which was to be sold as an equity club to homeowners. ERA
was retained to perform a valuation of the membership offering, and to prepare the necessary
Department of Real Estate security registration documents.
Discovery Bay Country Club
Developed originally as a second home community on the outskirts of San Francisco, California,
Discovery Bay has transformed into a primary residential area. The developer sought to transfer
ownership of the club to the members, and retained ERA to value the memberships as part of the
transaction. In this unique assignment, a full valuation of the facilities was necessary in order to
substantiate documentation necessary for a tax free endowment to a major university, who was to
participate in the proceeds of membership sales.
Bald Head Island Resort
Mitchell Energy purchased the assets of an established resort operation on Bald Head Island,
located off the North Carolina coast. These assets included a good public golf course, an on-island
golf cart transportation system, a ferry system to reach the island, the remaining undeveloped real
estate, as well as a 6,000 acre nature preserve. ERA assisted Mitchell Energy in revising the
resort's master plan, which includes the development of an additional 1,200 units. ERA also
evaluated the potential for upgrading the golf facilities and converting the operation to equity
membership. ERA assisted in the development and pricing of a program in which all of the
operating entities, including the golf course, marina and ferry system were sold to the property
owners.
~
,
GOLFDEVELOPMENTSTRATEG~
!
~
Given the long time horizons inherant in the development of large scale master planned
communities, it is imperative to insure an adequate mix of recreation opportunities throughout the
development cycle to insure ongoing buyer appeal and quality of life for the residents: ERA is
particularly experienced in developing golf and other recreation strategies for such communities,
including the amount of and initial operating format for the golf component, phasing of additional
course offerings, and deteriming the balance between public and private play. From the golf operator
and investor's perspective, the fIrm is also very experienced in analyzing portfolios, determining
,
..:..
j
1
geographic opportunities, and providing quick assessments of individual investment opportunities.
Representative assignments are discussed below.
The Province of British Columbia, Canada
From time to time the provincial governments of Canada have purposely underwritten private
sector development of recreation facilities in an attempt to stimulate tourism and economic
development. They were, for instance, major proponents of ski area development during the
1980's, making grants and low interest loans available to private developers. The British Columbia
government targeted the golf industry for just such a program in the early 1990's in an attempt to
stimulate summer visitation to targeted areas in the same way ski area development had generated
winter tourism. ERA was retained as part of the consultant team to analyze the overall condition
of the golf market in the Province, to make recommendations regarding demonstration projects, to
prioritize geographic areas of the province for initial de:velopment focus, and to assess the potential
economic impacts of the recommended development program.
Arvida Corporation
During the initial stages of development of the 10,000 acre Weston new town in Florida, ERA was
retained to develop an overall golf strategy for the community. All sources and types of golf
demand were examined to ensure sufficient capacity existed to satisfy future home buyers.
Additionally, a detailed program was undertaken for the initial golf course and surrounding real
estate, with particular care to position the project against a competing development immediately
adjacent. ERA made recommendations regarding the appropriate designer for the course,
membership structure and values, clubhouse programing, and a real estate product and price mix.
The Irvine Compp'!y
ERA has enjoyed a long professional relationship with the Irvine Company, and has performed
numerous assignments for this 90,000 acre development. One of the more recent assessments was
to provide an overall golf strategy to guide the remainder of the development. A complete
competitive assessment of the area was undertaken, and the number and types of courses required
to support future household demand was performed. Subsequently, alternative development
strategies were performed, detailing pro tit enhancement capabilities from all golf operations, as
well as the economic impact on real estate sales.
f
'I
Silverado Country Club
Silverado is a resort and residential community in the Napa Valley, California, with two golf
courses, a membership program, and one of the more successful resort programs of any property
of its kind. ERA was retained to assess the need of providing an additional golf course in order to
satisfy real estate buyers and club members who felt overwhelmed by the resort operation. ERA
completed an extensive analysis of the entire resort operation, including an audit of the existing
club play structure, and determined the new course was not required. Instead recommendations
were made for restructuring access agreements and providing new clubhouse facilities' to satisfy
member demand.
,
I
1
'f
,
,
,.
..i
i
j
1
Myrtle Beach Golf Strategy
Economics Research Associates was retained by GA TX Realty Corporation to examine the golf
market in each of three subareas of South Carolina-Charleston, Hilton Head, and Myrtle Beach.
ERA's object of the analysis was to review market trends in each of these areas, and to make
specific recommendations regarding each of the existing investment properties and those under
co nsideratio n.
The Gentry Companies
The Gentry Companies of Hawaii are programming a large scale golf residential community
containing both an exclusive country club and a retirement community. ERA prepared a strategic
plan for golf operations covering three separate golf courses with a total of 72 holes. Unique
characteristics of country club, retirement, and tournament courses were evaluated. Specific
recommendations regarding design, clubhouse programs, tournament play, etc, were made for each
course. Era evaluated special considerations regarding international memberships primarily sold to
Japanese. The Country Club course is to be designed by Jack Nicklaus Golf Services.
The Woodlands
ERA was retained by The Woodlands Corporation, a 25,000 acre new community in Houston,
Texas to develop a long term strategy for the development of golf courses over the next 25 years.
We examined the potential for private country clubs, daily fee golf, and the potential for a new
TPC (Tournament Players Club). Existing golf courses at the Woodlands include one private
country club, a TPC course used primarily for group outings and tournaments and a third course
which is used by both guests of the Woodlands Conference Center and private club members. In
arriving at a long term strategy we conducted an in depth analysis of existing and proposed golf
courses within the greater Houston area. We also examined golf development strategies for other
large planned communities and then formulated alternative strategies for the short, medium and
long term taking into consideration the economic potentials from the golf course operations, the
enhancement to golf course oriented residential lots, and the impact on the overall development of
The Woodlands. The strategy is being implemented with the development of a second private
country club, planning for a 36 hole daily fee complex, and the development of a state of the art
Junior Golf Program for which ERA is preparing the program.
)
I
i
!
National Golf Properties
National Golf Properties has emeerged as one of the most aggressive acquition players in the golf
market, and are routinely examining multiple investment opportunities throughout the United
States. ERA has been working with the fIrm on a continual basis assessing the viability of and long
term prospects for many of the acquistion targets. Rather than full detailed market analyses, these
1
4
r
'.
PRIV A TEL Y OWNED DAILY FEE COURSES
,'"'
it
~
,4
Increasingly, private sector developers are entering the golf market, choosing to build courses
which bridge the gap between the typical municipal golf experience and that provided by the private
golf residential community. ERA is extensively involved in the analysis in support for these facilities.
A few of the Ii10re representative assignments are described below.
,
I
1
""'"
)
Magnolia Creek
This 1200 acre development in Orlando Rorida was originally intended to be a joint venture
between the property owner and Disney Development, and was planned to include multiple golf
courses, hotels, residential, and commercial uses. ERA was retained to assess the golf market for
privately owned daily fee opportunities, and to make recommendations regarding positioning,
pricing, supportable rounds, etc.. Important to the analysis was the balance between resort/hotel
play, resident demand, and off-site area demand.
Ocean Colony Partners & Half Moon Bay Golf Links
Ocean Colony is a up scale residential golf community south of San Francisco along the Half Moon
Bay coast. The owner wanted to expand the golf course and residential area, and the City wished
to establish itself as more of a golf destination resort experience. ERA was retained to assess all
aspects of the proposed plan, with specific emphasis on the demand for and positioning of the golf.
Tower Ranch
INTRA WEST is a major Canadian based developer with interests in ski areas, golf, and golf
residential communities. ERA was retained to examine the market for and positioning of the golf
course aspect of Tower Ranch, a golf residential development in Kelowna, British Columbia. Due
to the desire to preserve access for property owners and to maximize real estate premiums, the golf
strategy had to be carefully developed so as to maximize present value of the golf operations by
providing public access, yet take into consideration the developer's desire for a private community.
Thus, a semi-private positioning, converting over time to a private club, was recommended.
f
1
.l
lmperia/akes Joint Venture
Imperialakes is a golf residential community located north of Tampa Rorida New ownership
retained ERA to determine the value of the golf course and other amenity assets under both a
public play and private courSe operating format as a basis for expanding the golf facilities.
Extensive comparative financial analysis determined the market was very price sensitive and highly
seasonal Consequently a public play positioning was recommended as a means by which to
enhance present value of the facilities.
-'-
t
1
Sea Ranch
Sea Ranch is an established resort second home coastal community along the Mendacino coast
north of San Francisco. ERA was retained to value the golf assets, and to project the value of
expanded facilities as a requirement for securing funding. An additional nine holes was recently
funded by Nations Financial.
{
'1
~
Poppy Ridge
The Northern California Golf Association retained ERA to assess the market support for this
course located in Livermore, near San Francisco. Based 0 the strength of the market support in the
area, the NCGA committed funds to build the course, which is now under construction.
,..
J
1
J
Ken - Caryl Ranch
A private residential developer is interested in developing a golf course community within the
prestigious Ken - Caryl Ranch near Denver. The Developer plans on dedicating the land to the
Metropolitan Service Disuict. The course would be jointly developed by the Colorado Golf
Association and the Ranch, and operated for the benefit of CGA members and Ranch residents,
with access to the general public. ERA demonstrated the strong market support for this unique
public private joint venture. Although voted down by area residents, the developer and disuict are
attempting to go forth with the course.
',,:;.
Castle Oaks
This privately developed golf residential community is located in the Sierra Mountain foothills
south east of Sacramento. In this unique project, the land for the golf course was obtained from
the State of California as part of mitigation and impact fees associated with building a state penal
facility in the area. The Town of lone transferred title to a private developer who built a residential
community surrounding the course. By agreement, the course must be open to the public, but was
able to use Mello Roos bonding to construct the course and all necessary infrastructure. The
developer retains the right to convert the course to a private facility at a later date under the
provision that he construct a like facility in the immediate area and dedicate it to the city. ERA
provided all necessary market and fmancial feasibility analyses required to satisfy City and financing
requirements.
Paiute Indian Tribe
The Paiute Indians are planning to develop a four course golf resort on the outskirts of Las Vegas
on Tribal Land. ERA assessed the area golf market, including detailed estimates of potential
demand to be generated by area hotels, and recommended a development strategy, pricing
program, and operating framework for all of the projected facilities.
MUNICIPAL GOLF FACILITIES
r
ERA typically completes 25 to 30 golf assignments each year for municipalities and other
public agencies. These studies consist of detailed market and fmancial analyses (often included in
successful revenue bond offerings), operations audits, market positioning analyses, and other studies.
Please refer to the attached bibliography of comparable projects.
....
i
I
''/
.
.
,...
J
J
J
'j
Economics Research Associates
New golf courses recently opened or currently under construction where ERA
performed market and [mancial analyses are listed below (golf course architect in parenthesis):
,
I
i
California
1. NCGA Poppy Ridge, Livermore, California (Rees Jones).
2. The Hills Course, Half Moon Bay, California (Arthur Hills).
3. The Stevinson Ranch Golf Course, Merced, California (John Harbottle).
4. Twelve Bridges, Sacramento, California (Dick Phelps).
5. Castle Oaks, lone, California (Bradford Benz).
6. Saddle Creek, Copperopolis, California (Jay Moorish).
7. Green Horn Creek, Angel's Camp, California (Don Boos).
8. San Juan Oaks, San Juan Bautista, California (Fred Couples and Gene Bates).
9. Diablo Grande, Stanislaus County, California (Dennis Grifftfth & Assoc.).
10. Encinitas Ranch, Encinitas, California (Cary Bickler).
11. Hidden Valley Golf Club, Riverside County, California (Cal Olson).
12. The Cascades, North Los Angeles, California (Bob Cupp).
13. Sea Ranch Expansion, Sea Ranch, California (Robert Muir Graves).
14. The Course at Wente Brothers, Livermore, California (Greg Norman).
~
15. Coyote Creek, San Jose, California (Jack Nicklaus)
'.
.....
."f
}
j
..
1
..
..
r
1
Other Locations Throughout the World
1. Hualalai, Kona Coast, Hawaii (Jack Nicklaus Signature).
2. Paiute Resort, Las Vegas, Nevada (Pete Dye).
3. Seven Hills, Las Vegas, Nevada (Rees Jones).
4. Lake Las Vegas, Las Vegas, Nevada (Jack Nicklaus).
5. Red Hawk Golf Club, Sparks, Nevada (Robert Trent Jones, II).
6. The Raven, Tucson, Arizona (Robert Trent Jones II).
7. Greyhawk, Scottsdale, Arizona.
8. Foothills Club West, Phoenix, Arizona.
9. Eagle Point, Medford, Oregon (Robert Trent Jones, II).
10. Snoqualmie Ridge, Snoqualmie, Washington (Nicklaus Signature).
.,
J
I
J
J
I
I
388 Mar k e t S t! {-j {~t S lJ 11 C' 1~) c; () ~) d II f I d II C I~; (' (l. ( 1\ ~I.l I I 1
41~) 956 8152 Ft...X 415 ~I~(:; ~)7/4 www I'lil\ j l'(,lll t'I,1 1
ERA ... .ltf.li<ltt'd Vvlth Oriv(>r~ Jnna~
Los Angeles San Francisco San Diego Chicago Wdshington DC London
,..
11. Columbia Point, Richland, Washington (Jim Engh).
12. Settler's Bay, Wasilla, Alaska (9-hole expansion).
13. Westridge Municipal Golf Course, West Valley, Utah (Bill Neff).
14. Buffalo Run, Commerce City, Colorado (Keith Foster).
15. Saddle Rock, Aurora, Colorado (Dick Phelps).
16. Murphy Creek, Aurora, Colorado (Keith Foster).
17. Red Hawk, Castle Rock, Colorado (Jim Engh).
18. The Broadlands, Broomfield, Colorado (Dick Phelps).
19. Bridlewood Course, Flower Mound, Texas (Golf Resources).
20. South Padre Island Golf Club, Laguna Vista, Texas (Landmark National).
21. Hickory Creek, Houston, Texas (Greg Norman / Landmark National).
22. Colony Municipal Golf Course, The Colony, Texas (Baxter Spann).
23. Bright Ranch, Hebron, Texas (Jay Moorish).
24. Broken Arrow, Tulsa, Oklahoma (Bland Pittman).
25. Casino Magic, Bay St. Louis, Mississippi (Arnold Palmer).
26. The Oaks, Pass Christian, Mississippi (Landmark National).
27. Old Works, Anaconda, Montana (Jack Nicklaus).
28. Stock Farm, Hamilton, Montana (Tom Fazio)
29. The Timbers at Troy, Howard County, Maryland (Ault & Clark).
30. Hampshire Greens, Montgomery County, Maryland (Lisa MaId).
31. Jericho National Golf Club, New Hope, Pennsylvania (Michael Hurdzan).
32. Rocky River, Concord, North Carolina (Dan Maples).
33. The Legacy at Lakewood Ranch, Sarasota, Florida (Arnold Palmer).
34. Playa Concha!, Guanacaste, Costa Rica (Robert Trent Jones, II).
35. Tierra del Sol, Aruba (Robert Trent Jones II).
i
...
J
I
f
~
"
1
1
I
REQUIRED FORMS AND ARTICLES
..,.
.
i
1
'1
j
,
i
j
..
1
I
I
J
J
I
I
PROPOSER INFORMATION
Submitted by:
Proposer (Entity):
~LJN'.;) '" /( '> R.. E)EIt~(rI /1 ).'>0<.. i ItIC"">
Name (Typed):
1-- At- (p~
(
~:.J H PETrt SOl..)
Signatllre:
Addre!JS:
3 ~~ ,;V\A~ kCT S'Tt:,cFr
S...tIIT 1S-~"';
City/State:
S-\ N r ,.elttJc.:..f 5'-0
LA
qLtIlJ
Fu:
i.f '" - '1""- ~ I s2-
4'<)- 9'" -'>21-t;/
Telephone:
~
It is Wlderstood and agreed by propoler that the City reserves the rigbt to reject any and all
propoltab, to make awards on aU items or any items .e~rdiDg to the best interest of the City J
aud to waive any i.rrqularities in the RFP or in the proposals reuived as a result of the RFP.
It is a1..0 understood ud agreed by the proposer that by submittiDg a proposal, proposer shaD
be deemed to undentmd and agree thllD no property intere!t or lepl right of any kind shaD
be created at any point during the aforuaid evaluation/selection process Dntil and unless a
contract has been agreed to aDd signed by both parties.
~
)
j
..
t
I
~ 14-. r;p~
V":"""::' (Authorized Sipature)
J" /oJ H P E rCRSo I,)
(printed Name)
lo-Zg- (~8
(Date)
i
~
..
.
1c
.1
~
.l
I
UP NO.: 1-98199
DATE; 10/12/98
CITY OF MIAMI BEACH
10
j
>"!
1
.1
.'
-J
-T
j
..
1
1
I
1
1
J
I
rTnffll
DECLARATION
TO: Sergio Rodriguez
City Manager
City of Miami Beach, Florida
-~
Submitted this 21 day of C,-t::?~,-
,1998.
The und~:rsigned, as proposer, declares that the only persons interested in this proposal are named
herein; that no other person has any interest in this proposal or in the Contract to which this proposal
pertains; that this proposal is made without connection or arrangement with any other person; and
that this proposal is in every respect fair and made in good faith, without collusion or fraud.
The proposer agrees if this proposal is accepted, to execute an appropriate City of Miami Beach
document for the purpose of establishing a formal contractual relationship between the proposer and
the City of Miami Beach, Florida, for the performance of all requirements to which the proposal
pertains.
The pro poser states that the proposal is based upon the documents identified by the following
number RFP No. 1-98/99.
~SI!~
-:J"o IV H P E rrr 5.;. IJ
PRINTED NAME
S~ {)..~
TITI.E (IF CORPORATION)
RF'P NO.:
DATE:
CITY OF MIAMI BEACH
t:Z
1-98199
1018198
...........ro.,....,.........~.......... ---
-------
i
...
1
I
..
~
.
.l,
1
~
1
J
7.Tn IiJ1
REQUEST FOR PROPOSALS NO. 1.98199
ACKNOWLEDGMENT OF ADDENDA
Directions: Complete Part I or Part U, whichever applies.
Part 1: Listed below are the dates of issue for each Addendum received in connection with
this RFP:
Addendum No.1, Dated
Addendum No.2, Dated
Addendum No.3, Dated
Addendum No.4, Dated
Addendum No.5, Dated
Part ll:
X No addendum was received in connection with this RFP.
Verified with Procurement staff
f\ ,(HA!/... ~~TH
Name of staff
i () - 2 ~- 9 g
Date
. . .~ ~. ~~ (:rajJ H Pt:~S"~)
V- (Proposer - Name)
A. 1}. \P~
----tT-~ (Signature)
If.} - 2- ') - , 8'
(Date)
UP NO.: 1-911/9'
DATE: 10/11198
CITY OF MIAMI BEACH
11
~,.. .:;:;;-;--...;-;;;........
.lD
-
OIS.-\tHLn y NONDISCRI1\lINATION AFFIDA VrT
CONTRACT REFERE~CE
Rf P th
I -"3~/'11
,
NAME OF FrRL"f. CORPORATION. OR ORGAJ\TIZATION E'-iJ,'J;<'I'<'") R ESE"/JRU! .1))"'''170
AUTHORIZED AGENT COi'v{PLETING AFFrDA VIT: I:J rl fCT1f?S~,V
POSITION SEtJiof'- ,A?~O(f-11{
PHONE N1J1vffiER (4/5) }"-{-,, :,sIS2-
I, :I;;J H pc ~s,,:J
, being duly first sworn state:
That the above named firm. corporation or organization is in compliance with and agrees to cOntinue to
comply with, and assure that any subcontractor, or third pany contractor under this project complies with
all applicable requirements ofthe laws listed below including, but not limited to, those provisions
pertaining to employment, provision of programs and services, transponation, communications, access to
facilities, renovations, and new construction.
-
The Americans with Disabilities Act of 1990 (ADA): Pub. L. 101-336, 104'Stat"J27, 42 U.S.c. 12101-
12213 and 47 U.S.C. Sections 225 and 611 including Title I, Employment; Title II, Public Services; Title
III, Public Accommodations and Services Operated by Private Entities; Title IV, Telecommunications; and
Title V, Miscellaneous Provisions.
The Rehabilitation Act of 1973: 29 U.s.C. Section 794.
The Federal Transit Act, as amended: 49 U.S.C. Section 1612.
The Fair Housing Act as amended: 42 V.S.C. Section 3601-3631.
if-' ~,,~~
/o--z'}-'1!
D:ll~
SUBSCRIBED AND SWORN TO (or affirmed) before me en o-t ~ q B
~ . ~~
i by -=s 0 ('\ ~et~~ . He'She is personally known to me or has
1 (Affi:mt)
1
I
presented GlII6r)Y n;a DY1v€.Y' ~ L(r€Y\6~
(T e of identilic:ltion)
as identwc:ltion.
,.
1
Notary Public
- - -~- t - - - ~l
f a~~ ~., - - GLORIA VUEN
~; ,_., COMM. # 1002502 ~
~ :!? ~ Notary P\bIIc - eanfomla ~
Z :;..... . . SAN FRANCISCO COUNlV
(StJt~ ~., ot~~m. ExpIrelJUN_18. 1999J
~ ....... ,.............. """ ... 4
ntract to any firm, corporJtion or orgJliizJtion th:lt fJils 10 complete and submit this
izJlion's bid or propos:ll or f:lils to hJve this Affidavit on fill: with the City ofMi:uni
/ Oh 2~ :2..
(~ Number)
Q:> l'HI"'1 '
t) -{ 8- /9<1 '1
(ExpirJtion D:lte)
i
~
i
)
et L RIA -JuHJ
(Print or Stamp Name of Not:uy)
I
I
The City of Miami Be:1ch '11 no
Affid.wit with the firm, corpor:lli
BC::lch.
SWORN STA TEMPH Pl:RSUANT TO SECTION 287.133(3)(a),
FLORIDA STATUTES. ON PUBLIC ENTITY CRIMES
THIS FORM MUST BE SIGNED AND SWOR.'\' TO f.'I THE PRESENCE OF A NOTARY PUBLIC OR OTHER OFFICIAL
ACTHORIZED TO ADMINISTER OATHS.
This sworn statement is submitted to {.." (,,~ '6 111 ~
:r.:;.; i1/~ fJ. () - V f! ~ '>vrJ
(print individual's name and tide)
&~.h..
by
5E'" Iv'':'?'
.~'))V -1.-1 rl
for
CC--';;I.;..-"'"., RE')CIt~c.n 1~"~O(llfm
(print name of entity submitting sworn statement)
whose business address is J % ~
jY1 It ,q K ET
ST~rr1
~~Irf IS'd'O ,Sit,.., FRIlW,-I!w;,,, (A~"1/11
,
and (if applicable) its Federal Employer Identification Number (FEIN) is
'1"- 36/1/1 ,
(If the entity has no FEIN.
statement:(
include the Social
.)
Security Number of the individual signing this sworn
2. I understand that a "public entity crime" as defined in Paragraph 287.133(I)(g). Florida Statutes. means a violation of any state or
federal law by a person with respect to and directly relared to the transaction of business with any public entity or with an agency or
political subdivision of any other state or of the United SlateS. including. but not limited to, any bid or contract for goods or services to
be provided to any public entity or an agency or political subdivision of any other swe or of the United Swes and involving antitrust.
fraud, theft, bribery, collusion, racketeering, conspiracy. or material misrepresentation.
3. I understand that "convicted" or "conviction" IS defined in Parapaph 287. I 33(l)(b), Florida Statutes. means a finding of guilt or a
conviction of a public entity aimc. with or without an adjudication of guilt, in any fcdcraI or state trial COUIt of record relating to charges
brought by indictment or infonnation after July I. 1989, IS a result of a jury verdict, non-jury trial, or entry of a plea of guilty or nolo
contendere.
f
5.
"'"
j 6.
I
1
j
i
1
j
f
j
1
4. I understand that an "affiliate" as defined in Paragraph 287.133(1)(1), Florida Statutes. means:
I. A predecessor or successor of a person convic:ted of a public: entity crime; or
2. An entity under the control ofany naIUraI person who is active in the management of the entity and who has been convicted ofa public
entity crime. TIle tenn "affiliate" includes those officer, directors. executives, partners, shareholders, employees, members, and agents
who are active in the management of an affiliate. TIle ownership by one person of shares constituting a controlling interest in another
person, or a pooling of equipment or income among persons when not for fair market value under an ann's length agreement. shall be
a prima facie case that one person controls another person. A person who knowingly enters into 1 joint venture with a person who has
been convicted of a public: entity crime in Florida during the preceding 36 months shall be considered an affiliate.
I understand that a "person" IS defined in PlIfIII'IPh 287.133(1)(e), Florida Statutes. means any natural person or entity organized under
the laws of any state or of the United SlateS with the lepi power to enter into 1 binding contract and whic:h bids or appl ies to bid on
conlnlCtS for the provision of goods or services let by a public: entity, or which otherwise transal:ts or applies to transact business with
a public entity. the tenn "person" includes those ofticcrs, directors. executives, partners, shareholders, employees, members, and agents
who are active in management of an entity.
Based on information and belief, the statement which I have marlted is tnIe in relation to the entity submitting this sworn statement.
(indicate which swement applies.)
x
Neither the entity submitting this sworn swement, nor any of its officers, directors, executives. partners, shareholders,
employees, members, or agents who are active in the management of the entity, nor any affiliate of the entity have been
charJed with and convicted ora public entity crime subsequent to July I, 1989.
The entity submitting this sworn swement, or one or more of the officers, directors. executives, partners, shareholders,
employees, members, or apntS who Ire active in the management of the entity, or an affiliate of the entity has been charged
with and convicted ora public entity crime subsequent to July I, 1989.
The entity submitting this sworn swement, or one or more of its officers, directors, executives, partners, shareholders,
employees members. or agents who are lICtive in the management of the entity, or an affiliare ofthc entity has been charged
with and convicted ofa public: entity crime subsequent to July I, 1989. However, there has been a subsequent proceeding
before a Hearing Officer of the Swe of Florida. Division of Administrative Hearings and the Final Order entered by the
Hearing Officer detcnnincd that it was not in the public interest to place the entity submitting this sworn statement on the
convicted vendor list. (attacb a copy of tbe final order)
. ~
I l:\OERST..\:\D TIIAT TIlE SlB'IISSIO:\ OF TIllS FOR" TO TIlE CO:\TRACTI:\G OFFICER FOR TilE PlBI.IC E:\Tln
IDE:\TIFlED 1:\ PARAGRAPII 1 (O:\E) ABOVE IS FOR TII,.\1" PlBLlC E"TIT'\' O"LY A:\I), TIIAT TillS FOR'I IS V,\LlO
TIIROlGII DECDIBER 31 OF TilE CALE:'oolDAR YEAR I~ WIIICIIIT IS FILED. I ALSO {'''DERSTA:\D TII,\ T I ,\\1 REQlIREO
TO ':\FOR'I TilE PI'BLlC E:"TITY PRIOR TO E"TERI~G I"TO A CO~TRACT I~ EXCESS OF TilE TIIRESIIOLD A'IOl:\T
PROVIDF.D ,~ SECTIO~ 287.017. FLORIDA ST.ATlTES FOR CATEGORY m'o OF A:\Y CIIA:\GE I" TIlE I:\FOR\I.\T10"
(O",TAI:\[D '" THIS FOR'1,
'-,1~ t~ @r----
(Signature)
1'D~21-qt
STATEOF (~
COl"TY OF Sa,... F ~
(Date)
PERSO.,ALL Y APPEARED BEFORE ME. the undersigned authority. ~C\ n r\. Peter5:) Y"\ . who,
arier tirst being sworn by me. atlixed hislher signature in the space provided above on this ~ day of Q:t , 19 ~.
,
. .
My Commission Expires: 6 -t9-\'1'19
@,."_:",GLORIAWEN
_ !{. . COMM. # 10D2EQ2 i
~ ,-. ~ - Notary P\bIc - CaIIfcrnIa ::
z.,.,. SAN FRANCISCO COJJNlV
J '"' ;~.~. T ~c:n~.~;~'~'~~~
...
!
FORM PUR 7068 (Rev, 06/05/91)
I
t
Jt
J
I
1
1
J
I
J
--
CITY OF MIAMI BEACH VENDOR APPLICATION
-
NOTE: $20.00 Vendor Administrative Fee is required with this form and will be due before the first of
each calendar year.
Complete all items on form, check commodities which apply, enclose check in the amount of $20.00. and return to:
City of Miami Beach Procurement Division, 1700 Convention Center Drive. Miami Beach, FL 33139
Phone: (305) 673-7490 Fax: (305) 673-7851
,.
Type Application: ,v-2'if- 98
Date:
J(New o AddlDelete o Change 9)-3(,1/1/(,
Federal ID# or Social Security #:
Applicant's Name & Mailing Address for Bidding Forms & Mailing Address for Payments (if different):
Purchase Orders:
[c." rJO ....Ies R...f5E..,~O-1 A :5::)oO"l'-{)
3 g8 ;V1,., ,r( /([ T 5-' SIoo/ 117: J S' ~.J
I.
S.4N f R IfN(.1 5'-v CA 9'1111
Type of Organization: o Other:
o Individual o Partnership ~ Corporation, incorporated under the laws of the Stale of: c."L.lfO(Ni~
Corporations and Partnerships -I'lease supply the following information:
President ~~ ~7'1'" A~OCJI.SoN Vice-President OK/< /I'l/..'Iclt Secretary Til"l ~~ Treasurer T,I"'I R~
Owner or Partners E R. A ~^ ..._ I 1 J.v. 2J.f ~~~.
.
Persons authorized to sign bids. (:ontracts:~
Name Official Capacity Telephone/Fax Number
OJ 111 (. f/1U-' 5- T' - Uu~- p~ 4J'i-'C,(,- K/5"2 /'1/~- 956-r;271'1
J
Contact for quotations:
O~ 1Yf'-/#..... fdA r.~ II ~'" _ 0. -" - 41~-9n... 81<)"2.. / '16 - 9~ ';-2'1 '1
Type of Business:
o Manufacturer o Authorized DistribulOrlDealer o Retai ler o Wholesaler o Construction - General Contractor 0
t(Service (Define): ~~/ ,e~ f.~ t.dW1"~ Sub-ConU3ClOr 0
Business Ownership:
o Black o Woman o Hispanic o Section 3 Business o Other, Specify
,
Occupational Business License Number: (Attach copy to application)
I hereby certify that information herein is correct:
'~tJ H fE1ERs..w Sc N 101{ ASSOd ~rr ~ 4.(P~
Print or Type Name and Titl~ Signature
-.,/
FOR PROClREME:".,. DI\'. USE OI'iLY: Date Received Ltr. Mailed Ltr. Reed. Date Entered
\
Vendor ~umbtr Assigned: Entered b~':
,
i
f
t
i
i
.
I
1
.i
i
I
10/29/98 10:35 ~1310 478 1950 ECON RES LA
SECOND NOTICE: CORPORATION WILL BE DISSOLVED ON OR AFTER SEPTEMBER 30. 1998.
AMOUNT DUE ON OR BEFORE 09/30/98: SS50 (IF DISSOLVED, MINIMUM AMOUNT DUE TO REINSTATE: $750),
->-H ERo\ SF
I4l 006/0~
~OFIT
-C-ORPORA TION
ANNUAL REPORT
e'
"
.~~~~.
FLORIDA DEPARTMENT OF STATE
Sand,.. B. Northam
Secretary of State
DIVISION OF CORPORATIONS
1998
P5?~~o~~T # 849637
ECONOMICS RESEARCH ASSOCIATES. INC.
(4)
Principal Place of Business
1<ml WILSHIRE BLVD 11600
LOS ANGElES CA !OJ24
Mailing Address
lQ99J WILSHIRE BLVD '1600
LOS A~LES CA !m24
1111111 1111111111 ~II' '''"111111111 '/111111111111111111 '/111111111111
2. Principal Place of BVSlness
2a, Mailing Address
215
DO NOT WRITE IN THIS SPACE
3. Date Incorporated or Ovald<ed
07061981
4. FEI Number
Suite, Apt. #, elc.
S uile, ApI. 11. elc
5. C6r1rficate of Stalus Desired
o
Applied For
Not Applicable
$8.75 Additional
Fee Required
95-3611116
27
City to Slale
City & Stale
6, 8e<:1ion Campaign Financing
Trust Fund Contribution
o
Zip
Country
Country
$5.00 May Be
Added 10 Fees
8. ThiS corporallon owes 01 has palClthe current year ~gible
Personal Property Tax due June 30. 0 Yes ~No
10, Name and Address of New Re lelered A. ent
CT CORPORATION SYSTEM
1200 S, PINE ISlAND ROAD
PlANTATION Fl 33324
81 Name
82 Slreet Address (P.O. Box Number is Not Acceptable)
83
84 City FL 85 Zip COCle
11. Pursuant to the provisions 01 ~ 607.0502 and 607.1506. Florida Slalules, lhe.aboYe-named ~ral!on submits this statement for the purpose of changing lis regostered
office or regIstered agent. or both. m.the State of Flonda. Such change was authorized by the corporation s board 01 directors. J hereby accept the appoontment as regiSlered
agent. I am familiar with, and acceplthe ObliQalions of. section 607.0505. FIonda Slalutes.
SIGNATURE
OTY .sT.ZIP
TITl.E
NAME
STREET AOCRESS
CllY.ST.Z1P
TITLE
OELm
fl<<)TE:~_____1 DATE
13. ADDfTIONSlCHANGES TO OFFICERS AND DIRECTORS IN 12
1.1 TJ'lL( Change 0 Addr1lOn
12 NMlE
tJ SlIET AlXJRESS
12.
TiiLf
NAME
S';"",", '"*' or prinCed".,.,. 01"""""" -oeM'aIlCS..." ~
OFFICERS AND DIRECTORS
RAGER, TIMOTHY
10990 WILSHIRE BLVD
LOS ANGElES, CA 00000
DElETE
U CITY.sT-ZIP
2 lTlTlf
,
. ,_--.1
o Change 0 Add,~""
U HAM[
2J STIIaT AlDlESS
2.4 ClTYoSl.ZIP
JllnU
\J?1:)
B~~~ I ~Ytol\O"-lD
10"\'"\0 WiI..S\\iQ..~ B...."~
~~~. CA 9002.d
CNn;le
o Change ,gj AddIII()I\
DELETE
NAME LEE. W1WAM 12NNo1E
STREETAOORESS 388 MARKET STREET. SUfTE 1580 lJSllifflAill'lF.SS
CITY.ST.ZIP SAN FRANciSCO CA HCIlY.ST.ZoP
TlTLf VP DELETE 41 mlE
NAME SPICKARD. STEVEN 41 NNoIE
STREETAIXlRESS 7 NACE AVE 43STREfUOOAESS
em.ST.lIP PIEDMONT CA 44 CllYoS1-Z1P
Tine VPO DElETE 51 mu
NAIoIE BAXTER, CHERYL 52 NAI.!f
S'IIlEEUDOIlESS 20 E. JACKSON BLVD. SJS1RE(l~ESS
CITY.sI.Z1P CHICAGO R HCllY.Sl.ZIP
TITlE VPO DELETE . , nUE
- PHIWPS, PATRICK 12_
STREf1ADORESS 8300 GREENSBORO DRIVE IJS1I1e:TAIlllAf:SS
ClTYoS1-ZF MCLEAN VA 6.40lY.sr-lf>
14. I hereby cer1i1y,that the infonnation 6UPplled wtth this filing does no! Qua~fy for !he uxomplion Staled In se<:loon 119,07(3)(1). Flonds Slatulss I further cerIIfy UIlII 'he information
Indlcaled on this annual report or supplemental annual report Is !rue aOO accurate and that my signalUfe shall have the same legal alleet as If made under oath; lhal I am
an officer or dIrector of the c:orporallon or the receiver or lru&l8e empowered to execule \his report as required by etlapler 607, f:lorida Stalules; and Itlal my name appaars
In Block 12 or Block 13 If c;h n en n an add_so
. TI~OT""'Y f=. \1.A,6€'e
I r:;:: r: ~~. ~\ E'c.p.:~T~f'!-y ;
o Change
o Acdlbon I
I
I
I
I
o Addlllon l
I
I
I
Add""'"
SIGNATURE:
~ '3OJqCjl
\0 u,1(-9$~$
Dolo
o.ro- -.
......... ERA SF
14I 0021006
10/29/98 10:33 ~J310 478 1950
.
ECON RES LA
. State
'. of
i Ca ifornia
OFFICE OF THE SECRETARY OF STATE
('( il;l'()!\ \TIO'\ I)I\'ISI():,\
L i\l/\H(~ll FC).VC; J~ {'. Secretary of State of tht'
State of C:aliforllia. hl'fCb\' certifv: .
',,"
..
'rhat t.he ..\illuo\(,d i,Lillscripl hc.ls been ('ornpar('cl \\'itll
the corporale- rt'l'urd OIl fill.' ill this officl'. of \\ hich it
purports to ht, ;~ ('(IPY, ,-Jlld.th,lt saqH' is fulL trut' and
correct.
IN 'VITNESS WHEREOF. I execute
this certificate and affix the Great
Seal of the State of Califomia this
l'
I
,
..
',' ",! /' ~G87
.' l ~ '.J
i
I
l/LuMc.& ~ ~
,.
,
.
Sc.crctary of State
1
1
1
I
~"c:/~T.Tr FnnM cr.'n'"
.;;;
"
1
...
,
j
I
1
1
j
I
I
10/29/98
.. . '~
1'''
10:34
WAYNE R.
1.
"B1310 4..18 1950
EGON RES LA
~ 003/006
-H-> ERA SF
RESTATED
..t@ ~ ~
,,' "Vr..,~~
I \,.,-9 .',':\. t:9 C, t.
/ '. '::.:";:.;r .
=NDO~~ r"t
F I LED
in I!,. Df/it. ot 11M Se('~Q'" Il'I St~
of Ihe .slON 01 CaNlomio
ARTICLES O~ INCORPORATION
OF
ECONOMICS RESEARCH ASSOCIATES
SEP 1 01987
2.
MARCH fONG EO. Secretaty 0' State
WILSON and TIMOTHY F. RAGER certify that:
They are thEl President and Secretary, :t:"espectively,
of Economics. Research Associates, a California
corporation.
The ArticleSI of Incorporation of this corporation
are amended and restated to read as follows:
I
The name of this corporation is:
Economics Research Associates
II
The purpose of this corporation is to
engage in any lawful act or activity for which a
corporatic1n may. be organized under the General
Ccirporatio1n Law of California other than the
banking bu.siness, the trust company business or
the practice of a profession permitted to be
incorporated by the California Corporations Code.
III
(A) AUTHORIZED SHARES. The aggregate
number of shares which this corporation shall
have authorized to issue is 660,000, of which
.330,000 ,shares shall be designated Class A shares
and 330,000 shall be designated Class B shares.
The aggregate par value of all shares is $66,000.
The par value of the Class A shares shall be
SO.lO per share. The par value of Class B shares
shall be $0.10 per ~hare. Class A shares and
Class B shares shall be equal in all respects
except as to voting rights.
1
I
r
.
j
J
J
I
]
J
I
10/29/98
').
t"
10:34
'5'1310 478 1950
~ 004/006
ECON RES LA
+H ERA SF
(B) VOTING RIGHTS. The Class A shares
voting as a class shall elect a minority of the
Board of Directors. The Class B shares voting as
a class shall elect a majority of the Board of
. Directors. If the number of members of the Board
is an odd number, the Class B shares shall elect
one more member than the Class A shares. If the
number of members of the Board is an even number,
the Class B shares shall elect two more members
than the Class A shares. If there are no Class A
shares outstanding, the Class B shares shall
elect the Board of Directors. If there are no
Class B shares outstanding, the Class A shares
shall elect the Board of" Directors.
IV
As long as any Class A or Class B
shares are outstanding, the corporation shall
not, without the approval of the holders of a
majority of the. outstanding Class A shares and
the approval of the holders of a majority of the
outstanding Class B shares: .... .
(A) Amend or repeal any provision
of, or add any provision to, the
corporation's Articles of Incorporation if
such action would alter or change the
rights, preferences, privileges or powers
of, or the restrictions provided for the
benefit of, any Class A shares so as to
affect such Class A shares adversely; or
(B) Authorize or issue additional
Class A, Class B, or any new class of shares
or make any changes to the capital of the
corporation.
2
'0"1310 478 1950
ECON RES LA
......... ERA SF
~ 005/006
10/29/98 10:35
...
4..... .~
3. The foregoing amendment and restatement of Articles
of Incorporation has been duly approved by the
Board of Directors.
4. TQe foregoing amendment and restatement of Articles
of Incorporation has been duly approved by the
required vote of shareholders in accordance with
Section 902 of the Corporations Code. The total
number of outstanding shares of the corporation is
203,171 Class A shares and 30,000 Class 8 shares.
The number of shares voting in favor of the
amendment equalled or exceeded the vote required.
The percentage vote required was more than 50% of
the outstanding Class A shares and more than 50% of
the outstanding Class B shares.
We further declare under penalty of perjury under the laws of
the State of California that the matters set forth in this
Certificate are true and correct of our own knowledge.
Date:
./ '7 /,:./j/;-
_.. Ii
./t.1 '
,
,
~L .....~? ..:/ /
.......-...yCZ.e/N ~--;'f' ~~_
Wayne ~. Wi son, President
c::/ ~ ~r
--.-:.-" .._.,..{..,( /~"''''-:-, --..
-.. -,--- . '-- . --
-Timothy\F. Rager,ysecretary
2/60/007
..
3
CITY OF MIAMI BEACH
RFP NO. 1-98/99
REQUEST FOR PROPOSALS
FOR A FEASIBILITY CONSULTANT IN CONNECTION WITH THE
IMPROVEMENT AND DEVELOPMENT OF THE CITY'S MUNICIPAL
GOLF COURSES
PROPOSALS ARE DUE AT THE ADDRESS SHOWN BELOW
NO LATER THAN 1:00 P.M. ON FRIDAY, OCTOBER 30,1998
CITY OF MIAMI BEACH
PROCUREMENT DIVISION
1700 CONVENTION CENTER DRIVE, THIRD FLOOR
MIAMI BEACH, FL 33139
PHONE: (305) 673-7490
FAX: (305) 673-7851
RFP NO.: 1-98/99
DATE: 10/12/98
CITY OF MIAMI BEACH
1
SECTION I - OVERVIEW AND PROPOSAL PROCEDURES:
A. INTRODUCTIONIBACKGROUND
The City of Miami Beach desires proposals from qualified firms for a feasibility consultant
in'connection with the improvement and development of the city's municipal golf courses
B. RFP TIMETABLE
The anticipated schedule for this RFP and contract approval is as follows:
RFP issued
October 12, 1998
Deadline for receipt of proposals
October 30,1998,1:00 p.m.
Commission approval
November 4,1998
Projected contract start date
December 1,1998
C. PROPOSAL SUBMISSION
Proposal must be received by October 30,1998 at 1:00 p.m. and will be opened on that day
at that time. Proposals must be submitted to the Procurement Division, 1700 Convention
Center Drive, Miami Beach, FL 33139.
The responsibility for submitting a response to this RFP to the Procurement Division on or
before the stated time and date will be solely and strictly that of the proposer. The City will
in no way be responsible for delays caused by the U.S. Post Office or caused by any other
entity or by any occurrence. Proposals received after the proposal due date and time will not
be accepted and will not be considered.
D. PRE-PROPOSAL CONFERENCE
N/A
E. CONTACT PERSON/ADDITIONAL INFORMATION/ADDENDA
The contact person for this RFP is the Procurement Director at (305) 673-7490. Proposers
are advised that from the date of release of this RFP until award of the contract, no contact
with City personnel related to this RFP is permitted, except as authorized by the contact
person. Any such unauthorized contact may result in the disqualification of the proposer's
submittal.
RFP NO.: 1-98/99
DATE: 10/12/98
CITY OF MIAMI BEACH
2
Requests for additional information or clarifications must be made in writing to the
Procurement Director no later than the date specified in the RFP timetable.
The City will issue replies to inquiries and any other corrections or amendments it deems
necessary in written addenda issued prior to the deadline for responding to the RFP.
Proposers should not rely on representations, statements, or explanations other than those
made in this RFP or in any addendum to this RFP. Proposers are required to acknowledge
the number of addenda received as part of their proposals. The proposer should verify with
the Procurement Division prior to submitting a proposal that all addenda have been
received.
F. PROPOSAL GUARANTY
N/A
G. MODIFICATION/WITHDRAWALS OF PROPOSALS
A proposer may submit a modified proposal to replace all or any portion of a previously
submitted proposal up until the proposal due date and time. Modifications received after the
proposal due date and time will not be considered.
Proposals shall be irrevocable until contract award unless withdrawn in writing prior to the
proposal due date or after expiration of sixty calendar days from the opening of proposals
without a contract award. Letters of withdrawal received after the proposal due date and
before said expiration date and letters of withdrawal received after contract award will not
be considered.
H. RFP POSTPONEMENT/CANCELLATION/REJECTION
The City may, at its sole and absolute discretion, reject any and all, or parts of any and all,
proposals; re-advertise this RFP; postpone or cancel, at any time, this RFP process; or waive
any irregularities in this RFP or in any proposals received as a result of this RFP.
I. COST INCURRED BY PROPOSERS
All expenses involved with the preparation and submission of proposals to the City, or any
work performed in connection therewith, shall be the sole responsibility of the proposer(s)
and not be reimbursed by the City.
RFP NO.: 1-98/99
DATE: 10/12/98
CITY OF MIAMI BEACH
3
J. VENDOR APPLICATION
Prospective proposers should register with the City of Miami Beach Procurement Division;
this will facilitate their receipt of future notices of solicitations when they are issued. All
proposer(s) must register prior to award; failure to register will result in the rejection of the
proposal. Potential proposers may contact the Procurement Division at (305) 673-7490 to
request an application.
Registration requires that a business entity complete a vendor application and submit an
annual administrative fee of $20.00. The following documents are required:
1. Vendor registration form
2. Commodity code listing
3. Articles of Incorporation - Copy of Certification page
4. Copy of Business or Occupational License
It is the responsibility of the proposer to inform the City concerning any changes, including
new address, telephone number, services, or commodities. .
K. EXCEPTIONS TO RFP
Proposers must clearly indicate any exceptions they wish to take to any of the terms in this
RFP, and outline what alternative is being offered. The City, after completing evaluations,
may accept or reject the exceptions. In cases in which exceptions are rejected, the City may
require the proposer to furnish the services or goods originally described, or negotiate an
alternative acceptable to the City.
L. SUNSHINE LAW
Proposers are hereby notified that all information submitted as part of a response to this RFP
will be available for public inspection after opening of proposals, in compliance with Chapter
286, Florida Statutes, known as the "Government in the Sunshine Law".
M. NEGOTIATIONS
The City may award a contract on the basis of initial offers received, without discussion, or
may require proposers to give oral presentations based on their proposals. The City reserves
the right to enter into negotiations with the selected proposer, and if the City and the selected
proposer cannot negotiate a mutually acceptable contract, the City may terminate the
negotiations and begin negotiations with the next selected proposer. This process may
continue until a contract has been executed or all proposals have been rejected. No proposer
RFP NO.: 1-98/99
DATE: 10/12/98
CITY OF MIAMI BEACH
4
shall have any rights in the subject project or property or against the City arising from such
negotiations.
N. PROTEST PROCEDURE
Proposers that are not selected may protest any recommendations for contract award by
sending a formal protest letter to the Procurement Director, which letter must be received no
later than 5 calendar days after award by the City Commission. The Procurement Director
will notify the protester of the cost and time necessary for a written reply, and all costs
accruing to an award challenge shall be assumed by the protester. Any protests received after
5 calendar days from contract award by the City Commission will not be considered, and the
basis or bases for said protest shall be deemed to have been waived by the protester.
O. RULES; REGULATIONS; LICENSING REQUIREMENTS
Proposers are expected to be familiar with and comply with all Federal, State and local laws,
ordinances, codes, and regulations that may in any way affect the services offered, including
the Americans with Disabilities Act, Title VII of the Civil Rights Act, the EEOC Uniform
Guidelines, and all EEO regulations and guidelines. Ignorance on the part of the proposer
will in no way relieve it from responsibility for compliance.
P. DEFAULT
Failure or refusal of a proposer to execute a contract upon award by the City Commission,
or untimely withdrawal of a proposal before such award is made and approved, may result
in forfeiture of that portion of any proposal surety required as liquidated damages to the City;
where surety is not required, such failure may result in a claim for damages by the City and
may be grounds for removing the proposer from the City's vendor list.
Q. CONFLICT OF INTEREST
All proposers must disclose with their proposal the name(s) of any officer, director, agent,
or immediate family member (spouse, parent, sibling, child) who is also an employee of the
City of Miami Beach. Further, all proposers must disclose the name of any City employee
who owns, either directly or indirectly, an interest of ten (10%) percent or more in the
proposer or any of its affiliates.
R. PROPOSER'S RESPONSIBILITY
Before submitting proposal, each proposer shall make all investigations and examinations
necessary to ascertain all conditions and requirements affecting the full performance of the
contract. Ignorance of such conditions and requirements resulting from failure to make such
RFP NO.: 1-98/99
DATE: 10/12/98
CITY OF MIAMI BEACH
5
investigations and examinations will not relieve the successful proposer from any obligation
to comply with every detail and with all provisions and requirements of the contract
documents, or will be accepted as a basis for any claim whatsoever for any monetary
consideration on the part of the proposer.
S. RELATION OF CITY
It is the intent of the parties hereto that the successful proposer be legally considered to be
an independent contractor and that neither the proposer nor the proposer's employees and
agents shall, under any circumstances, be considered employees or agents of the City.
T. PUBLIC ENTITY CRIMES (PEC)
A person or affiliate who has been placed on the convicted vendor list following a conviction
for public entity crimes may not submit a bid on a contract to provide any goods or services
to a public entity, may not submit a bid on a contract with a public entity for the construction
or repair of a public building or public work, may not submit bids on leases of real property
to public entity, may not be awaIded or perform work as a contractor, supplier, sub-
contractor, or consultant under a contract with a public entity, and may not transact business
with any public entity in excess of the threshold amount provided in Sec. 287.017, for
CATEGORY TWO for a~period of 36 months from the date of being placed on the convicted
vendor list.
RFP NO.: 1-98/99
DATE: 10/12/98
CITY OF MIAMI BEACH
6
SECTION II - SCOPE OF SERVICES
The City of Miami Beach is moving forward with a plan to improve and develop the City"s three
municipal courses: Bayshore Golf Course; Normandy Shores Golf Course and Bayshore Par 3 Golf
Course. In this regard, the City has approved on a preliminary basis, a conceptual design of the
capital improvement projects required for the renovation of the three golf courses. The conceptual
design and related renovations maintain the integrity of the existing design of the golf courses while
enhancing some of the holes, improves drainage, expands the practice facilities providing for a
driving range with two practice tees and provide for a golf school facility.
To finance the renovation of the three golf courses the City seeks to evaluate the following
strategies: pay-as-you-go financing; enterprise fund revenue bonds; public/private partnerships
and/or other methods.
In connection with the evaluation of the financing strategies noted above, the City is inviting
proposals for a Feasibility Consultant to assist with the evaluation of the financing strategies and to
develop recommendations for a preferred strategy.
The evaluation components should include the following:
1. A comprehensive survey and evaluation offees charged at golf courses and facilities
within southeast Florida comparable to the proposed fully renovated facilities of the
City and owned or operated either by governmental agencies or privately;
2. A recommended schedule of fees including ranges for each course, by season and for
all fee categories from those appropriate for a destination resort to those for year
round residents;
3. Proposed alternatives for the structure and management of food and beverage
operations, proshop operations, cart and equipment rentals, and other services;
4. Evaluation and recommendation of strategies for the financial participation
of a single destination resort hotel or group of hotels, including alternatives
appropriate for different types of financing;
5. A comprehensive forecast of prospective operating and maintenance costs
for each of the facilities, including periodic maintenance and acquisition of
capital equipment ;and
6. Development of alternative financing/operating strategies.
RFP NO.: 1-98/99
DATE: 10/12/98
CITY OF MIAMI BEACH
7
The selected feasibility consultant will work closely with the Assistant City Manager, the Finance
Director and the Director of the Parks and Recreation Department to develop a financing strategy
that .minimizes the expenditure of General Fund capital funds and maximizes the utilization of the
golf courses. Current estimates of the renovation costs based on the conceptual design for the three
courses is approximately $7,000,000. Estimates to renovate the clubhouse facilities for the courses
have not yet been completed but will need to be included as an integral component of the evaluation
and feasibility study and strategy development.
It is anticipated that this study might be developed in two phases. The first phase would determine
and assess the financial feasibility of the renovation of theses courses and the second phase, if
necessary, would include expanded information necessary for financing, should that be determined
to be a recommended alternative.
The following factors will form the basis of the selection of the feasibility consultant:
1. Firm's experience;
2. Experience of professionals assigned to the project;
3. Previous experience of the firm and the professionals assigned with conducting
similar studies for golf courses;
4. Ability to perform services within the City's schedule; and
5. Cost proposal.
RFP NO.: 1-98/99
DATE: 10/12/98
CITY OF MIAMI BEACH
8
SECTION III - SUBMISSION REOUIREMENTS
Qualified firms interested in providing the services described are invited to submit a complete
proposal for consideration. The proposal shall address the items listed below. Non-compliance with
the list of requested items will be sufficient cause for non-acceptance of the proposal.
*
Bibliography of similar projects, including description of study, specific services performed,
date of study, references in form of contact person familiar with project.
*
Identification of all staff members which will comprise the team, tasks they will perform on
the proposed project, and their experience and qualifications.
*
A complete description of the firm's proposed method of carrying out the work, including
methods of coordination with City personnel and other agencies.
*
A time schedule outlining the period of time necessary for completion of all services required
for this project.
*
Fee proposal for project as stated in the scope of services for Phase I and Phase II.
RFP NO.: 1-98/99
DATE: 10/12/98
CITY OF MIAMI BEACH
9
PROPOSER INFORMATION
Submitted by:
Proposer (Entity):
Signature:
Name (Typed):
Address:
City/State:
Telephone:
Fax:
It is understood and agreed by proposer that the City reserves the right to reject any and all
proposals, to make awards on all items or any items according to the best interest of the City,
and to waive any irregularities in the RFP or in the proposals received as a result of the RFP.
It is also understood and agreed by the proposer that by submitting a proposal, proposer shall
be deemed to understand and agree than no property interest or legal right of any kind shall
be created at any point during the aforesaid evaluation/selection process until and unless a
contract has been agreed to and signed by both parties.
(Authorized Signature)
(Date)
(Printed Name)
RFP NO.: 1-98/99
DATE: 10/12/98
CITY OF MIAMI BEACH
10
REQUEST FOR PROPOSALS NO. 1-98/99
ACKNOWLEDGMENT OF ADDENDA
Directions: Complete Part I or Part II, whichever applies.
Part I: Listed below are the dates of issue for each Addendum received in connection with
this RFP:
Addendum No.1, Dated
Addendum No.2, Dated
Addendum No.3, Dated
Addendum No.4, Dated
~
Addendum No.5, Dated
No addendum was received in connection with this RFP.
Part II: .
Verified with Procurement staff
Name of staff
Date
(Proposer - Name)
(Date)
(Signature)
RFP NO.: 1-98/99
DATE: 10/12/98
CITY OF MIAMI BEACH
11
DECLARATION
TO: Sergio Rodriguez
City Manager
City of Miami Beach, Florida
Submitted this
day of
,1998.
The undersigned, as proposer, declares that the only persons interested in this proposal are named
herein; that no other person has any interest in this proposal or in the Contract to which this proposal
pertains; that this proposal is made without connection or arrangement with any other person; and
that this proposal is in every respect fair and made in good faith, without collusion or fraud.
The proposer agrees if this proposal is accepted, to execute an appropriate City of Miami Beach
document for the purpose of establishing a formal contractual relationship between the proposer and
the City of Miami Beach, Florida, for the performance of all requirements to which the proposal
pertains.
The proposer states that the proposal is based upon the documents identified by the following
number: RFP No. 1-98/99.
SIGNATURE
PRINTED NAME
TITLE (IF CORPORATION)
RFP NO.:
DATE:
1-98/99
10/8/98
CITY OF MIAMI BEACH
12