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Ordinance No. 15,951 ORDINANCE NO. 15,951 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS, AUTHORIZING A MANAGEMENT SERVICES AGREEMENT WITH PHILIPPIANS 2:3 CONSULTING TO PERFORM AQUATICS MANAGEMENT SERVICES FOR THE OPERATION AND ENHANCEMENT OF PIRATES BAY WATERPARK AND CALYPSO COVE; AUTHORIZING PAYMENT BY THE CITY OF BAYTOWN IN AN AMOUNT NOT TO EXCEED FOUR-MILLION, FOUR-HUNDRED, TWENTY- THOUSAND DOLLARS ($4,420,000.00) FOR EACH OF THE FIRST TWO YEARS OF THE AGREEMENT; MAKING OTHER PROVISIONS RELATED THERETO; AND PROVIDING FOR THE EFFECTIVE DATE THEREOF. ************************************************************************************* BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF BAYTOWN,TEXAS: Section 1: That the City Council of the City of Baytown,Texas,hereby authorizes and directs the City Manager to execute and the City Clerk to attest to a Management Services Agreement with Philippians 2:3 Consulting ("P2:3") to perform aquatics management services for the operation and enhancement of Pirates Bay Waterpark and Calypso Cove. A copy of said agreement is attached hereto as Exhibit"A" and incorporated herein for all intents and purposes. Section 2: That the City Council of the City of Baytown authorizes payment to P2:3 in an amount not to exceed FOUR-MILLION, FOUR-HUNDRED, TWENTY-THOUSAND DOLLARS ($4,420,000.00)for each of the first two years of the agreement in accordance with the agreement authorized in Section l hereinabove. Section 3: That pursuant to the provisions of Texas Local Government Code Annotated §252.048, the City Manager is hereby granted general authority to approve any change order involving a decrease or an increase in costs of FIFTY THOUSAND AND NO. 100 DOLLARS ($50,000.00) or less, provided that the original contract price specified in Section 2 hereof may not be increased by more than twenty-five percent(25'o)or decreased by more than twenty-five percent(250 o)without the consent of the contractor to such decrease. Section 4: This ordinance shall take effect inunediately from and after its passage by the City Council of the City of Baytown. INTRODUCED, READ and PASSED by the affirmative vote of the City ouncil of the City of Baytown this the 24" day of October, 2024. � ,�1 NDON CAPETILLq Mayor EST: T y ANGEL ACKSON,�Vk� i `Clerk% ' ikon �. -•w =of.h c yc �,4PPR,0VED AS 7'O FOR SCOTT LEM01,4131 City Attorney R:Ordinances and Resolutions Ordinance Drafts 2024-10-24 P23-Aquatics mgmt agt docx AGREEMENT BETWEEN PHILLIPIANS 2:3 (Consultant)and CITY OF BAYTOWN (City) EXHIBIT A—SCOPE OF WORK Consultant agrees to provide comprehensive Park Management services to the City for the operation and enhancement of Pirates Bay Waterpark and Calypso Cove. These services include, but are not limited to: 1. Operational and Resource Savings: P2:3 Consulting agrees to deliver operational and resource savings to the City of Baytown of over$200,000, non-budgeted in the Aquatics fund. This includes: o Marketing, Finance, and Facilities support. o Onboarding and offboarding processes, HR compliance, and training. 2. Employee Benefits: P2:3 Consulting will provide a free season pass to all City employees and council members, along with discounted passes for their immediate family members. 3. Parking Lot Revenue: All revenue generated from the parking lot (if any) will be allocated directly to the City of Baytown. 4. Retail Planning: P2:3 Consulting will handle the planning and implementation of retail operations. S. Staffing Oversight: P2:3 Consulting will assume full responsibility for staffing concerns and oversight, relieving the City of this obligation. 6. Discounted Tickets: P2:3 Consulting will provide discounted tickets to current citizens of Baytown. 7. Brand Consistency:The branding of Pirates Bay Waterpark and Calypso Cove will remain unchanged, ensuring that citizens will not perceive a different brand, but rather experience an enhanced and visibly improved facility and amenities. 8. Cost Assurance:The City of Baytown will not incur any additional costs to fund or maintain operations during the agreement term. AGREEMENT BETWEEN PHILLIPIANS 2:3 (Consultant) and CITY OF BAYTOWN (City) EXHIBIT B—COMPENSATION The City guarantees to P 2:3 Consulting: 1. Guaranteed Minimum:The City of Baytown guarantees a minimum revenue of$4.395 million per year to 132:3 Consulting, disbursed in predetermined monthly installments as outlined below, for the first two years to cover both Pirates Bay and Calypso Cove operations: o October 1: $300,000 o November 1: $150,000 o December 1: $100,000 as needed per P23 discretion. Will confirm by November 15th. o Revenue Return: If P2:3 Consulting meets the annual revenue goal of$4.395 million, all money will be returned to the City before the end of the fiscal year. 2. WWIS and General Fund Exemption: P2:3 Consulting will not be responsible for contributions to the WWIS and General Fund in years 1 and 2 of this agreement. 3. Utilities and Insurance: o The Water and Sewer costs will not exceed $60,000 annually, with any excess covered by 132:3 Consulting. o Electricity expenses will continue to be covered by the City of Baytown. o General Liability insurance will remain the responsibility of the City of Baytown. 4. Open Communication: P2:3 Consulting requires an open flow of communication with the City of Baytown's marketing team to facilitate cross-promotion on City social media channels and websites. 5. Support for Unprofitable Requirements:Any operational requirements mandated by the City for Pirates Bay or Calypso Cove that are not profitable by P2:3 Consulting's standards will be financially supported by the City. (Example: If the City requires an early opening on May 1st, knowing it may result in a financial loss, the City agrees to support this requirement.)